Food & Beverage Development 6HO020

The World Of Whisky
A critical analysis of the social and cultural development of whsiky.

Submitted to: Ms. Christine Barnes Submission date: 1st April 2010

Student name: Zsolt Duska (BAH) Student number: duzs100288

A report submitted in partial fulfillment of the requirements of the Degree of Bachelor of Arts with Honors in Hospitality Management

SHMS UC University of Derby 2002010

2010 2 . Thursday. April 1.Table Of Contents THE DEVELOPMENT OF WHISKY WHISKY AND SOCIETY SITUATION DEFINER STATUS INDICATOR STATEMENT OF AFFILIATION GENDER DIFFERENTIATION GLOBALIZATION OF WHISKY MARKETING OF WHISKY FUTURE AND NEW PRODUCT DEVELOPMENT CONCLUSION REFERENCE LIST 4 6 6 6 6 7 8 10 12 13 14 F&B Development.

There are many different examples around the world to demonstrate what the public and private sector is doing to attract more customers.Introduction In the 1820 s whisky started out as a new product for the British market but since then it has spread to the world and appreciated many people. This number might be seen as a strong market share but the study also mentions that the whisky is struggling to keep pace with the growth of vodka and pre packaged spirits. The Bushmill distillery has realized this and created a solution in one of their closest distilleries to the Scottish border. distilling and maturing in the same way it had been produced for years. The reason for this is that whisky is still viewed as an old mans drink. F&B Development. However change can be seen because the interest for single malt whisky has increased in the past years and market strategists point out that this development is likely to continue. One of the biggest ironies of the whisky making industry in Ireland is that the public is not allowed to visit the establishment and to experience first hand how the whisky is being made. The youth market is also turning away from this spirit because of the so-called whisky snobs who are asserting that it is a disgrace to mix whisky with anything else other than a splash of water. The current efforts are to introduce more contemporary bottle shapes and labels. fermenting. As described by the history article much of its spectacular development is the result of the introduction of blended whisky. To illustrate this the article mentions that approximately 90 percent of all whisky produced in Scotland is used in blended whisky. April 1. The same author also mentions that this is not the same everywhere in the world and there is still room to maneuver in the malt sector. Today whisky is one of the most popular alcoholic drinks in the world. Archer in an online artice is revealing that whisky accounts for more than 40% of the UK spirits market. 2010 3 . The reaction from the whisky producers has initiated a new marketing concept to update the whisky s image. Thursday. This operation is now open to the public and offers a tour where people can experience the mashing.

Luckily the owner didn t throw out the casket instead tried it and realized that the whisky tastes better than ever. F&B Development. 2010 4 . It was much later when this knowledge has spread to the British Isles.The Development of Whisky The online article that is discussing the history of wine is taken into consideration in the following section. Thursday. It is a very interesting accidental story how this discovery was made. The Celts are the ones to take credit for the name of the spirit as whisky was derived from the Gaelic word Uisge . Later this craft of knowledge slowly started to spread outside the monasteries and eventually it came to a point where almost every farm in Scotland has produced this spirit. In the beginning this technique was used to make different types of perfumes but there is also evidence that the Chinese used this method to distill liquor out of rice. One of the major milestones in the development of whisky came in the year 1994 when there are records that Friar John Cor has purchased eight bolls of malt to start making aqua vitae. It wasn t until the 18th century when the discovery was made that the flavor of whisky improves and mellows if it is allowed to mature for some time. It is important to mention that the whisky produced around the 16th century had a very different taste from the drink that we enjoy today. A common theory accepted by many historians is that around 432AD St Patrick brought the method with him when he came to Ireland as a Christian missionary. This movement has continued until the 1829s when the government passed the Excise Act and it resulted in local government shutting down illicit distilleries. In the time around 800BC the Asian people discovered the knowledge of distilling. At one of the distilleries the owner forgot about a cask and he found it years later. At that time the spirit was consumed at a very young age. The history cannot confirm exactly how this happened but there are strong indications that the Moors brought it to Europe. April 1. This knowledge than came to the Celts who started using it to make a drink called Uisge Beatha which is the Gaelic term for water of life . This was the first recorded written proof of whisky production in Scotland. resulting in a raw and brutal taste.

Crime and violence was not uncommon during theses years and the administration of regulations became almost impossible to manage. An interesting fact is that in the beginning of the 19th century more than 50% of the whisky production came from illegal distilleries. The most important whisky regions in alphabetical order are: American. This new and improved technique has resulted in lower production costs and it allowed the use of malted and unmalted barley with other kinds of corn at the same time. This had the desired effects as only a few years after it was passed the illicit distilling and smuggling has reduced significantly. The Coffey still could produce larger quantities of compared to the traditional distilleries but the end product had far less quality. The Irish never really liked this idea but Coffey has managed to introduce it in Scotland. Thursday. This idea was introduced in 1852 and was the year when the so-called blended whisky was born. Indian. This act had made it clear what kind of operations can produce whisky legally. F&B Development. Today whisky is produced all over the world according to wikipedia. This was the beginning of an era filled with illegal distilleries and many smugglers. By the time the French vineyard recovered whisky has was already established as a top drink. Another important year was 1831 when Aneas Coffey has invented a new version of the patent. This was crucial because it was the same time when the American vine louse was introduced in France. The whiskeys produced in these different areas are varying in the strength of taste and flavor resulting from different geographical factors and the use of different ingredients. Another important factor in this act was the increase in penalties for the smugglers making it very risky for them. They came up with a solution to blend the spirit from the Coffey still with the one from the traditional stills. Irish. Japanese. This basically destroyed the whole brandy industry and slowly people started to view blended whisky as an alternative. 2010 5 . which was mentioned earlier. German. This was a huge success as the Scottish volume of production has greatly exceeded the Irish. which slowly traveled to the Cognac valley. Finnish. Canadian.In 1735 an equivalent to the English malt tax act was applied in Scotland. April 1. Scottish and the Welsh region. This is the time when the government had enough and passed the Excise Act in 1820.

Status Indicator The beverage people choose is also a significant indicator of social status. which also needs time to enjoy properly. Generally speaking the imported drinks have a higher values than local ones. Thursday. Situation Definer He mentions that on the simplest level alcoholic beverages are used to define the nature of occasion. 1994) gives this example: For Scottish Highlanders. as a middle class drink with high status. There are many different factors that define the choice of alcohol. Whisky is often accompanied with a cigar. Statement of Affiliation To illustrate this the author states that certain drinks carry symbols of national identity. This is because whisky is often drunk slowly to analyze the flavor. drinks are classified in terms of their social meaning. In case of whisky the occasion can be a social reunion for example where people sit and talk for a long time. The author describes these various categories. generosity and virility. and the classification of drinks is used to define the social world. April 1. The author gives an example in Poland where drinking whisky and wine is considered. and to refuse a dram may be seen as a rejection of these values F&B Development. while beer and vodka is associated with working class people. it is clear that in all cultures where more than one type of alcoholic beverage is available. for example. McDonald. He also mentions that it is rare that a choice of beverage is made in a matter of personal taste.Whisky and Society An online journal describes how different alcoholic beverages have symbolic roles: From the ethnographic material available. An example is how champagne is synonymous with celebration. whisky represents traditional values of egalitarianism. 2010 6 .

During the show Barney can be seen in the bar many times always drinking scotch on the rocks and often makes remarks about whisky as the only real men s drink. the Damn Right Your Dad Drank It campaign features masculine imagery from the 1960s and 70s. often times fruity flavors. The marketing campaign described by Mike Ginal is: Aimed at males younger than the traditional over-40 Canadian whisky consumer group. In the show barney is representing the absolute masculine view of today s male individual. In today s society whisky is considered on of the most masculine drinks there is. Thursday. He also mentions in the interview that Canadian club whisky is perfect for mixing a masculine cocktail because of its uniquely smooth flavor. April 1. F&B Development. The Canadian Club s marketing campaign illustrates this perfectly. Even though the alcohol percentage found in both spirits are the same.Gender Differentiation The author of the article mentions that almost all societies make distinctions between masculine and feminine drinks. Since the introduction of flavored vodkas and the fact that it can be mixed very easily it had became the whisky equivalent to women. Neil Patrick Harris who is playing the role of Barney Stinson . In today s world the girl drinks are associated with a lot of colors and very light. To illustrate how whisky is viewed in today s society an example will be given from one of the most viewed television series in the world. 2010 7 . This illustrates what direction they are taking even though Canadian whiskies are the lightest in flavor that could appeal to the female society. The reason for this is that whisky has a very strong taste and cannot be mixed with many ingredients. Mike Ginal the brand manager of Canadian club whiskies is describing their new multilayered national ad campaign in the last 20 years. There are not many initiatives to change this perception. He is always very confident and funny when drinking whisky and usually has no trouble in creating relationships with beautiful women. Barney is always well dressed and in many situations he is illustrated to know everything. In the popular show How I Met Your Mother co-starts. This can be a subliminal marketing massage as it associates drinking whisky with successful men.

Today people can easily recognize the most popular brands of the biggest distillers. He explains that the customers at the Whisky Live Glasgow who approached him were very educated about Scotch whisky but had absolutely know idea about bourbon. Thursday. They are expecting to attract customers by providing something unique and different. The globalization and globalization of whisky has led to many difficulties legal issues that companies are facing today. He explains how bourbons tend to be sweeter and have a different taste that many Scotts are not aware of. At firs it might not seem like a feasible idea but Jonathan McCormick explains his insight in the topic. Another way to illustrate the globalization of whisky is to take a look at the new distilleries opening up all over Europe. The distillers are often experimenting with a range of different grains and wood types for the barrels creating spirits with unique taste. However the technique and ingredients came from Scotland the whiskies produced in different parts of the world vary greatly in flavor and texture. This is the reason why American companies are trying to emerge in the Scottish market. which offer the tourist many attractions. This is a perfect way to bring closer the people to the whisky production resulting in an unforgettable experience. These businesses are often situated in touristic areas. The Scotch Whisky Association (SWA) has been pursuing an Italian businessman who has been selling his brands of whiskies labeled as scotch since the 1980s. However this is not the case with most of them as many of the owners share passion and commitment in creating a good quality whisky. This is a very difficult task because F&B Development. The article by Christopher Mackie talks about the worldwide fight between scotch producers and counterfeiters. An online journal mentions that some of these operations are using poor equipment resulting in a poor quality spirit. 2010 8 . April 1.Globalization of Whisky Whisky has spread across the globe in tremendous pace resulting in many distilleries across the world. One of the biggest problems for companies is to fight counterfeit products that are spreading across the market.

The association describes it as a noncompetitive agreement to make sure the initiative benefit everybody. 2010 9 . The aim of the association is to protect Scotch whisky from imitations. The other problem is if the customer has a bad experience with a fake scotch he or she might associate that with all the scotch whiskies and refuse to buy more. There are economic factors that influence the production of whisky. Barclay explains that they don t want Scotch whisky to be produced everywhere because the geographical location of Scotland is effecting the unique flavor. Fortunately the price is coming down but producers have to take economy into account when planning for the future. The article describes the negative effects of counterfeiting. The key factor is the price of the main ingredient. The Scotch Whisky Association has set goal for both 2020 and 2050. To illustrate the significance of this problem Mr. If someone buys a scotch whisky that is not from Scotland a sale is lost. distribution. In the UK there was a tremendous rise in the price of barley from 90pounds / Tonne in 2006 to 200pounds/Tonne in 2007. Thursday. April 1. Douglas Cruinckshank the spokesperson for Chivas Brother states that: We ve never seen such high costs for two consecutive years making it very difficult to have a stable price. not to mention the retailer s profit margin.there are 200 different markets where Scotch whisky is being sold and each one of them has to be pursued individually. which results in prices floating up and down. labels. F&B Development. The article describes the main factors affecting price: including the cost of distilling and aging. Barclay mentions that at any one given time there are about 70 cases underway with hundreds more under the investigation process. Another challenge faced by the industry is the growing green revolution which is now starting to affect the distilleries. and this cannot be imitated. glassware. Mr. with many challenging targets concentrating on renewable energy and reduction of energy waste. excise duty and vat. which is barley.

the company realized this and came out with a campaign targeting young people. As the study mentioned before whisky is often viewed as an old mans drink. The Canadian Club Company s advertisement campaign was mentioned earlier which can be seen as revolutionary. This can be seen as a creative idea bringing the history of whisky in today s culture (St. The company states that the marketing campaign is very successful because it doesn t rely only on the traditional masculine values. and in-bar promotions. Therefore the advertising channels and messages are very limited. print and outdoor). The Jameson Company has launched a very interesting marketing campaign to make whisky more popular. The advertisements are mainly focusing on the male generation because as mentioned before whisky is a masculine drink. Patrick introduced the distillation process). advertising (radio. The article mentions that: Through a combination of social media. The advertisement often show successful and handsome male models many time accompanied by beautiful women. They main idea of the company was to get people to vote their brand as the official St Patrick s Day drink. off-premise.000 votes were cast by March 7th. with many more expected. April 1.Marketing of Whisky The marketing and advertising of different whisky products is a very challenging task because there are many laws today concerning this issue. 2010 10 . Thursday. The law states that advertisements need to contain realistic information about the consequences of consuming alcohol. This report will focus on specific advertisement campaigns to illustrate the efforts of the global whisky industry. F&B Development. In this case they are trying to establish it as an elegant and stylish drink in order for people to associate whisky drinking with success. over 80. The main motto of the campaign is: Damn Right Your Dad Drank It which is very straight forward and a bit aggressive in order to capture the attention of today s youth society.

This is crucial because once these rouge cells start breaking down the healthy cells the formation of cancerous cells can occur. 2010 11 . If this theory is proven to have significant positive effect. The exact words of Dr Swan: whisky can protect you from cancer. which are responsible and highly effective in destroying rough cells that occur in the body. The doctor explains that this is due to the high levels of powerful antioxidants found in whiskies. April 1. whisky companies can start advertizing in new directions.There could be a change seen in the future of whisky advertizing as an interesting study has been revealed. Dr Jim Swan has reported that whisky can reduce cancer risk. Thursday. F&B Development. which can kill cancer cells. At the EuroMedLab conference in Glasgow. He continues to explain that single malt whiskies have a large amount ellagic acid in them.

The hotel industry however is trying to capitalize on the whisky drinking society by coming up with new cocktails and bars that are specializing on the consumption of the spirit. The procedures have been specialized throughout the years to produce the best combination of ingredients and methods of distillation. The JW Marriott in Phuket has a designated liquid Chef who is responsible for creating new exciting cocktails. They came out with new whiskies that offer a range if citrus notes like orange. One example for this is can be seen in case of the Nosing Glenmorangie producers. orange peel and Veuve Cliquot Ponsardin Champagne. pasteurized egg whites. They state that they are not afraid to create new cocktails with spirits that are often not used to mix cocktails. These blends are usually very similar to each other and this is the reason customers don t see it as a new product. April 1. The hotel has taken the word cocktail to a whole new level. F&B Development. lime juice. He then wraps a strand of Anadaman pearls around the stem of the glass. lemon and mandarin. However there are companies that are trying to change the conceptions about traditional whiskies. The companies today are following these guidelines and there is very little effort to create something completely revolutionary. Thursday.Future and New Product Development The whisky industry is in a very difficult situation when trying to come up with ideas for new products. They use fresh fruity flavors like apples and pears but butterscotch and vanilla can also be found in the flavor. 2010 12 . The Paramount Premium Cocktail is described by the inventor Tom Warden: it combines Hennessey Paradise 150 year old eau de vie from France with Quinta de Noval Vintage Port. The biggest whisky companies are experimenting regularly in order to create new unique blends. Johnnie Walker Gold Label Whisky. Madagascar vanilla infused syrup.

Thursday. As the consumption of alcoholic beverages have a further meaning in today s society the report focused on the most important aspects and demonstrated them with clear examples to have a better overview of today s perception of whisky. In the last section the report focuses on the future development of the industry and new products that are introduced to the market. 2010 13 . April 1. The development and history of the whisky production illustrated how the industry has evolved and what were the most important milestones during these years. The marketing concept is described and further examples are given to demonstrate how companies are trying to attract customers. The globalization process of the spirit is explained briefly to illustrate the current challenges that whisky producers are facing.Conclusion To conclude this report the author will briefly elaborate on the most important points in the report. F&B Development.

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Thursday. April 1. 2010 16 .F&B Development.

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