Amazon's big move in the whisky market

Amazon is amping up its cred in the alcohol space, releasing its first exclusive single malt whisky.

Beam Suntory-owned Scotch whisky brand Bowmore has launched a 19-year-old single malt through the online retailer, available in the UK, Germany, Spain, Italy, France, and Japan. Just 4500 bottles have been released.

The whisky costs £120 ($153) and is bottled at 48.9% ABV (alcohol by volume). It features aromas including candied apple, honey and light peat smoke. On the palate, it presents notes of “rich toffee, wild honey and exotic spices,” with a finish of summer fruits and warm peat smoke.

“This unique new expression has been patiently aged for 19 years in French oak barriques to impart a richness of flavour that perfectly marries with the gentle peat that has made Bowmore so famous," said David Turner, Bowmore distillery manager. “It’s the first time we’ve offered a whisky of this age and maturation. We know everyone who buys a bottle will be rewarded with a liquid of exceptional flavor and character.”

London-based whisky writer Felipe Schrieberg has told Forbes: "When shopping for a bottle of whisky it would be foolhardy to dismiss Amazon. The whisky range on offer by the digital superpower is impressive, and prices for the most part are competitive compared to other online stores."

He added: "If the Internet behemoth does get more involved in releasing other exclusive bottlings, it will be hard to ignore Amazon as a potential major player in the whisky market. And if the company sees these forays as successes, expect plenty more whisky news in the future from Amazon - the company that started out selling books online."

VinePair went even further, noting: "Will Amazon start distilling its own spirits? Only time, and our addiction to convenience, will tell."

A year of expansion in the whisky space 

While this is the first exclusive Amazon whisky release, it isn’t the first time Amazon has dipped its toe into Scotch. It is also the main online retailer for the Johnnie Walker Game of Thrones blend.

And earlier this year it filmed an Amazon Prime series on Scotch - called 'The Three Drinkers Do Scotch' - headed by three well-known figures in the drinks trade that aimed to “shake up” the whisky category.

The presenters are whisky writer and photographer Colin Hampden-White who is a Keeper of the Quaich; wine and spirits personality Helena Nicklin, and drinks writer Adrian (Aidy) Smith.

The trio journey around Scotland exploring the world of whisky.

“By following our journey, our audience can absorb the flavours, culture and diversity of Scotland’s iconic spirit,"  said Hampden-White. “We want people to feel inspired to try Scotch whisky – maybe for the first time, or perhaps they are already a fan looking for something new.

“This is the other side of the all-to-often snobbish and pretentious way in which drinks are communicated. Scotch has never before been promoted through entertainment on a digital platform.” 

Amazon alcohol destined for Australia?

Earlier this year, Bain & Co's Yngve Andresen told The Drinks Association Network Breakfast he predicts Amazon Australia boss Rocco Braeuniger will move to include alcohol in the online retailer's offering.

Braueniger was director of consumables at Amazon Germany, where alcohol has been a strong performer on the site. Amazon’s alcohol sales grew by 230% in Germany in 2017 according to research firm OneClick Retail.

He said Amazon would have the ability to be more agile on pricing than a retailer such as Dan Murphy's because it wasn't relying on updating its cost offering in bricks and mortar locations. 

Amazon finally arrived in Australia at the end of 2017 – to a muted reception. Andresen notes that while the initial launch might have been rushed and under delivered on expectations, it is poised to present the biggest retail disruption in a generation during 2018 and beyond.

Amazon is believed to have undertaken initial talks with some Australian drinks companies about potential collaboration.

Andresen said Australian drinks companies should "plan for UK levels" of growth on Amazon, rather than Canada, where investment hasn't been as strong due to its proximity to the US market.

Alcohol sales on Amazon skyrocketed by 96% in the UK last year, with 34% of beer drinkers regularly purchasing online.