THE 2020 DISCUS CONFERENCE IN AUSTIN, TX, CELEBRATED INNOVATIONS IN THE SPIRITS INDUSTRY
story and photos by Lori Moffatt
After three days of presentations, gatherings, and networking opportunities at the DISCUS (Distilled Spirits Council of the United States) Conference, held last September in Austin, Texas, I keep thinking about how interdependent we in the spirits industry all are and how many variables must converge to bring us that cocktail with which we often celebrate life’s milestones. I don’t mean just supply-chain logistics; I’m thinking about people—the farmers who grow the grain, the scientists and distillers, the coopers and the glass artisans, the marketing crews and brand ambassadors who help build brands, and the importers, customs agents, fraud detectives, attorneys, and advocates who work to protect the industry’s growth and reputation.
DISCUS brought together several hundred of these industry leaders to the Fairmont hotel downtown, where presentations and breakout sessions covered topics ranging from the pandemic-fueled evolution of alcohol e-commerce to the growth of canned cocktails (RTDs) and rare spirits.
I found a discussion of the collector’s market especially fascinating: In a panel introducing the Council’s new Luxury Brands Index (one of many data sets available to members), DISCUS chief economist David Ozgo explained that in the past five years, the luxury category (defined as bottles priced at more than $50) has grown 125%. And buyers, whether they are collectors, drinkers, or investors, are voracious: In 2019, a bottle of verified 1926 The Macallan, purchased in 1987 for $8,000, famously sold at auction for a cool $1.7 million. (I try to have perspective, but in 1987, I spent $8,000 on a used Buick Skylark and a girl’s trip to Puerta Vallarta.)
Julka Villa, global strategic marketing spirits managing director for Campari Group and leader of the company’s RARE division; Joseph Hyman, fine spirits specialist at Skinner Auctioneers & Appraisers; and Nick Buzzell, CEO of Spirits Network, continued the luxury theme in a panel called “The Rapid Rise of Rare Spirits.” “On one side, we have consumers who are more knowledgeable and curious, and they want to start collections,” said Villa, noting that brands eager to capitalize on future feelings of nostalgia are releasing limited editions today. A younger demographic is also fueling growth on social media: “At the Sotheby’s sale in March 2020,” said Villa, “more than 50% of bidders were under 40. They want to share what they are buying and drinking; their knowledge becomes social currency.”
Meanwhile, the broad nature of the spirits industry really crystallized for me as I browsed the booths at the trade show, where innovative technologies and age-old craftsmanship were represented side by side. Here was ONUS, a new U.S. rideshare app that rewards users for responsible behavior via a loyalty program, and Anfora Ceramic Bottles, a custom porcelain factory that has produced vessels in Mexico since 1920. Over there, Lallemand Craft Distilling highlighted a product called DistilaBact, a bacterial inoculant that mimics the sour mash process, while Pratt Industries showed off its lightweight, honeycombed Flexi-Hex bottle packing material, which was originally designed by environmentalists in the U.K. as a better way to ship surfboards.
Pratt and Lallemand were two of the six finalists in DISCUS’ Innovation Showcase, which also featured Siponey, a canned cocktail brand with an environmental mission as a member of 1% for the Planet; a Smart Start ankle bracelet that combines electronic and transdermal monitoring of blood alcohol levels; technology from Cleveland Whiskey that mimics the effects of barrel-aging spirits; and another technology from Solido that can turn alcohol into a frozen solid without dilution. Three judges deemed the bacterial inoculant to be the winner, awarding Lallemand $10,000 and a host of other prizes, including space at next year’s conference in New Orleans, scheduled for June 8–10.
I wonder: What will we see next year in this nimble industry that perpetually balances tradition and innovation? For more information, visit distilledspirits.org.
