Carlos Rodriguez, head bartender at The Happiest Hour in Manhattan, is known for creating cocktails that feature fresh flowers, vibrant green herbs, and eye-catching colors in unique cocktail glassware to captivate the senses.
“People first experience the cocktail visually,” Rodriguez explains. “We aim to make everything visually appealing.”
One of the popular drinks at The Happiest Hour is a rum-based frozen daiquiri garnished with a peach gummy ring, reflecting the cocktail industry’s efforts to reinvent rum and attract attention to this spirit.
While rum generates $2.4 billion in annual revenue for distillers in the U.S., it has faced growing competition from tequila and whiskey among younger drinkers, especially millennials and Gen Z.
Rum’s big problem
“Rum has the potential to stand out among other spirits if it’s given the attention it deserves,” says Nick Jackson from The Rum House in Times Square.
As Gen Z becomes of legal drinking age, rum producers have a unique opportunity to engage with this new generation of consumers.
“We have a new generation of young bartenders eager to showcase their skills,” says Alex Fellows from Brown-Forman, the maker of Diplomático Rum.
Fellows believes that rum needs a premium brand to elevate its status in the market, much like Absolut, Patrón, and Maker’s Mark have done for vodka, tequila, and bourbon, respectively.
The hunt for a champion
While rum sales are growing, only 3% of rum sales in the U.S. are for “super premium” bottles, which sell for $30 or more, lagging behind other spirits like American whiskey and Mexican tequila.
Copalli Rum, based in Belize, emphasizes quality ingredients like sugar cane over cheaper options like molasses to produce exceptional rum. Their focus on sustainability and authenticity sets them apart in the market.
Instead of relying on celebrity endorsements, Copalli prefers to highlight its heritage and commitment to quality ingredients for an authentic brand experience.
A marketing challenge
To appeal to Gen Z drinkers, Bacardi collaborated with singer Camila Cabello and created a rum cocktail featuring her song “I LUV IT.” Singers like Bruno Mars, Ciara, and Kenny Chesney have also endorsed rum brands, adding to the competitive landscape of the rum market.
Bacardi’s rum portfolio in the Americas, led by Lisa Pfenning, focuses on increasing consumer awareness of rum’s versatility. Innovative offerings like the Sevillian Orange Cask Finish cater to both cocktail mixing and sipping experiences.
Planteray, another rum brand, blends rums from 16 countries to create unique flavors and expressions. Their commitment to diversity and quality ingredients sets them apart in the market.
With rum being produced in over 50 countries, marketing the spirit poses a challenge due to the variety of approaches to distilling, aging, and flavors. However, this diversity also offers an opportunity to educate consumers and showcase the unique characteristics of rum from different regions.
Overall, the rum industry is evolving, with brands like Copalli, Bacardi, and Planteray leading the charge in redefining rum’s image and capturing the interest of a new generation of drinkers.