The following interview has been edited for concision and clarity.
Q: The Scottish government recently said that, without marketing, all spirits within a given category are just variations of the same thing. To what degree is this true? How can you make a unique spirit?
A: I don’t agree with the sentiment that distilled spirits within categories are interchangeable. The substrates are wildly different from one another. It would be like saying beer and wine are interchangeable–and they’re not. And we take it further than the beer and wine people do.
One of the things that the industry is slowly coming to a reckoning with is that we have been traditional to a fault. You can understand that if you think about the production cycle of spirits. With the exception of vodka or gin, the turnaround time of developing a product is considerably longer than beer or wine. You could open a brewery, dial in a recipe, and have it released in a couple of weeks. For me, if I want to do a certain whiskey, it’s a four year minimum. You have a lot of money and labor tied up into something that will take a long time to develop–and you don’t even know if it will sell.
Consumer trends change faster than we can as an industry. When you look at the long term view it’s challenging. There’s all this money tied up in liquid stocks, so people are risk averse in the industry. To make something unique is not that challenging, there is a lot of room to explore because people have been really reluctant to go after it.
When I look at larger whiskey firms, they’re talking about the innovation they’re doing, but most of it is iterative. Every week I see the release schedule, and I just see another release with some red wine barrel or something, but it tastes very similar to the guy who did it last week.
Q: Do you think that the way people build careers and receive training as distillers teaches them to be risk-averse and less open to exploration?
A: It depends on how they get their training. I work in the education space and I see both sides of it. Some of the organizations that I train for are very old school in their mentality. They say, “This is the way to do it. This is the way it has always been done.”
But I teach in Kentucky, and I do a two day workshop called The Craft of Whiskey, which is an overview of the different whiskey styles around the world. People come in from all walks of life. We get guys from Jim Beam, Pernod Ricard, and Diageo, we get guys who want to open small distilleries, we get guys who have no intention of distilling, but they’re retired, have the money, and want to learn about how their favorite tipple is made.
I find in that class, once you get the discussion going, those are the people who tend to bend the rules a little more. Even in the larger firms, there is interest to see what smaller distilleries are doing and how they can innovate.
My mentor from Diageo told me that there is not a single thing that anyone in the craft sector has done that they hadn’t tried internally first. I’m not so sure about that. But, the truth is, a lot of those big guys are playing around with stuff, but they’re beholden to shareholders and stock prices. They can’t be as nimble about innovation. If they are going to do some serious innovation, they almost have to re-brand it. They have to innovate more slowly because there’s more at stake.