The new move by Chivas Regal says a lot about the current state of the Scotch whisky market.
That old gag about imitation being the sincerest form of flattery popped into my head the other day when I spotted the latest new Cognac release from Martell. Let’s just say the concept and packaging are eerily familiar to anyone well-versed in the world of single malt Scotch whisky.
Martell VS Single Distillery is an assemblage of eaux-de-vie all made in the same distillery, a departure for a product that is more typically the ultimate blend, using spirit from a multiplicity of sources – vineyards, distilleries, warehouses.
Why do this? Well, while Cognac is a big seller in the US – it’s the largest market in the world in volume terms, although China is more lucrative – single malt Scotch is on fire right now Stateside.
Incidentally, if Martell has been taking marketing lessons on provenance from stablemate The Glenlivet (both are owned by Pernod Ricard), the brand has also been indulging in a little Macallan-esque press release bingo in the missive that accompanies the launch.
Three uses of the word ‘iconic’, two mentions of ‘disrupting’ the category, namechecks for ‘craft’, ‘luxury’ and ‘innovative’ – plus the delightfully ugly phrase ‘pushing the boundaries of the competitive landscape’. Lovely stuff. Utterly meaningless, but lovely stuff.
Eerily familiar: Martell VS Single Distillery aims to exploit the single malt zeitgeist
Smartly packaged and aping the consumer-friendly cues of single malt, it’s a little surprising to see Martell VS Single Distillery priced at US$34.99 a bottle – less than the core Martell VS bottling and closer in price to standard blended Scotch than the single malts to which it pays homage.
But then, for all its size, the Cognac market in the US remains heavily skewed to the cheapest VS price tier – even VSOP struggles to gain much traction here – leaving Martell VS Single Distillery as an opportunistic attempt to tap into a hot trend, rather than an attempt to drive the Cognac category upmarket.
It’s also part of a broader movement that extends across the whisky category. As single malt continues to expand, its growth is modifying the language used to talk about blended (and blended malt) Scotch products.
Last year’s launch of Chivas Regal Ultis – the brand’s first venture into blended malt – was rich with descriptions of the roles played by the five single malts that are its constituents. As was the fanfare surrounding the debut of Royal Salute Union of the Crowns a few weeks earlier.
Meanwhile, the publicity accompanying the recent relaunch of Johnnie Walker Platinum Label as Johnnie Walker Aged 18 Years ticked off four malts (and alluded to more) in master blender Jim Beveridge’s description of its creation – even though the liquid remains unaltered.
Yes, blends continue to dominate Scotch whisky, accounting for more than 90% of export volumes last year; but single malts brought in more than 25% of export revenues, breaking through the £1bn mark for the first time.
And, in the ways that we talk about and communicate Scotch whisky, their contribution is becoming stronger still, with an impact and influence that is felt in blends and beyond – even, now, into the world of Cognac too.
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