The new Rhumbar at the Mirage Hotel in Las Vegas from tiki to premium: rum keeps growing By Jack Robertiello

The Zombie, Rhumbar here are many contributors to rum’s surging popularity today: the growth of Latin culture and population, the customer loyalty through education about its history and about regional and stylistic increasing number of fl avored rums and the country’s love affair differences in production. with the Mojito are only three. But don’t forget the effect of Tiki. Even brands are making the Tiki con- nection: Tommy Bahama Rum recently introduced some collector’s edition value added packaging that embodies a Tiki theme through artwork, textured packaging and summer cocktail recipes. Based on the celebrated work of two and gaudy serving vessels like volcano bowls, Bacardi’s new Seven Tiki pays tribute to restaurant pioneers of the 1930s (Donn it’s the drinks made with three, four or more the South Pacifi c legend of Polynesian navi- “the Beachcomber” Beach and “Trader Vic” rums that have put Tiki back on the map. gators, The Great Fleet, and the Tikis they Bergeron), the South Pacifi c-themed fad has And while many of the rum-focused carved into seven canoes. This spiced rum is made its way back as a component in many operations are only tangentially Tiki, they made from quality sugarcane, sun-baked In- bars today. Best known for wacky Polynesian have discovered the wisdom of stocking 50 donesian nutmeg, Madagascar vanilla beans décor, bamboo fi xtures, island bric-a-brac or more rums at a time, and of developing and other mellow spices. CATEGORY FOCUS

Martin Cate, who helped establish For- bidden Island in Alameda, CA, as an inter- Rum Marketing national Tiki destination, soon will open Smuggler’s Cove in San Francisco, a bar designed to celebrate rum with Tiki drinks, traditional Caribbean beverages including those served in pre-Prohibition Havana, The Mojito offers many marketing op- and a selection of rare rums. portunities. Don Q rum has been ramping “From having a very traditional Tiki bar up its U.S. expansion through events in- with a good rum selection, I found people re- cluding a reception at New York City’s Jazz ally love Tiki drinks, but I wanted to broad- at Lincoln Center, where Esteban Ordonez en the spectrum as I learned more about of NYC bar Apoteke presented his version rum,” Cate says. “Tiki drinks are a great part of a Mojito using Don Q Grand Añejo and of classic cocktails but rum’s story is so much yerba buena, while mixologist James Menite older, and people in the Caribbean have of the Porterhouse restaurant created the been drinking some wonderful, elegant and “Rum Plum” and “Caribbean Club Punch” sophisticated rum cocktails.” Cate intends using Don Q Cristal. to broaden even the selection of rums he Appleton gets its ‘Sip Up’ “It's a good time to be a fan of premium message across with serves from the well, making classic Bajan rums, with more brands from more coun- outdoor advertising cocktails with rum from Barbados, or Cuban tries now available,” says Dori Bryant of drinks with lighter, Cuban-style rum. Polished Palate, who has hosted rum events In Las Vegas, the recently opened Rhum- since 2002. “When I held that fi rst event, bar, at the Mirage Hotel is far from Tiki style, there were precious few experts focusing on but behind the bar guests fi nd 50 or so rums cane-based spirits. Now there are dozens and the drinks include Tiki classics, says who devote volumes to reviewing and pro- Michael Frey, managing partner. A modern moting rum.” interpretation of classic Caribbean culture, As the rum category has grown, more Rhumbar’s menu includes such drinks as suppliers are developing products and intro- the Trader Vic-inspired “1944 Mai Tai” and ducing new brands. Diageo is building sup- “Donn the Beachcomber’s Zombie”. port for their national launch of Guatemalan It’s a national trend. At the RumBa at Ron Zacapa by highlighting its quality as a the InterContinental Hotel in Boston, near- standalone beverage, unusual for a category ly 100 rums and rum-based drinks make the where mixability has long been the keyword. menu, including the “Caribbean Swizzle” Likewise, Infi nium Spirits’ popular Zaya (Gosling’s Black Seal, lime juice, Angostura Gran Reserva Rum is produced in Trini- Bitters and pineapple ginger beer) and the dad, where the rum rests in medium charred Mai Tai (Appleton Reserve 15 year old, Bar- white oak barrels, for a minimum of 12 years. bancourt Estate Reserve, orange curacao, The result is a rum that is smooth and full- Ron Matusalem Ron Abuelo orgeat rock candy syrup and lime juice). bodied, meant to be sipped. This fall, Skyy Spirits’ Flor de Caña is Making that connection with other illuminating a rum cocktail specialty: the high-end spirits helps rum’s imagery at the Other rums are working hard in this sip- punch. NYC bartender Phil Ward, known premium end, says John Pennacchio, director ping arena. Ron Abuelo is another estate- for his trendy tequila bar, Mayahuel, is col- of spirits for Kobrand Corporation, importer grown super-premium rum, produced in laborating with Flor de Caña to create sig- of Jamaica’s Appleton rum. Making consum- Panama by Varela Hermanos. According to nature punch recipes using seasonal ingredi- ers aware of Appleton’s sipping quality is the Steve Armstrong, national sales manager for ents like cinnamon and teas. goal of a new ad campaign, “Sip Up,” aimed Varela Imports, the company intends to ex- “Rumbuillion”, Boston’s Rum Bar Of course, the Mojito has a lot to do with at whiskey and brown spirit drinkers. “We’ve pand beyond Florida, where it is especially breaking the rum and cola habit (though an- seen a heightened consumer demand for a popular, and New York. “Aged rum is easier ecdotal bar reports indicate the tandem still more fl avorful and complex taste experience, to get into than Scotch and even bourbon,” dominates). But with RumBa and other bars which plays perfectly to our Appleton Estate says Armstrong. “For most consumers, it’s using fresh squeezed sugarcane and Carib- distilled rums,” says Pennacchio. One ad an easier entry point for straight spirits.” bean mint in their Mojitos, tweaking recipes reads: “It spent 12 years in a barrel. The last The company currently offers an Añejo and with grilled pineapple and using more pricey thing it wants to see is the inside of a blender,” Añejo 7 Year Old, and the Añejo 12 Year rums, it’s no wonder that premium rums while trade info communicates how Appleton Old rum will be rolled out later this year via grew 8% in 2008, according to the Distilled is made from estate-grown sugarcane in copper a recently signed deal with Van Gogh Im- Spirits Council (DISCUS). spot stills. ports for broader U.S. distribution. CATEGORY FOCUS

Pr 0 emium Rum Since 176 Trading Up

Even in such tough economic times, brands see the wisdom in adding top shelf extensions; Mount Gay has released Mount Gay 1703 Old Cask Selection, an aged pre- - from Andrea Bearbower, Tommy Bahama’s bar in Cruzan brand education manager mium dark made from rums 10 to 30 years new Yankee Stadium old. The new label’s suggested retail price ■ Rum is made in most parts of the world nears $100. where sugarcane is produced, but most Marketing is still key for high-end rums: come from the Caribbean with about 85% of the volume produced in Puerto Rico. in addition to Tiki packaging, Tommy Ba- ■ Rum continues to be the second largest hama has its own bar at the new Yankee Sta- distilled spirits category. IWSR forecasts dium in New York, a branding opportunity that rum will continue to grow from 22.7 meant to capture the essence of the Tommy million cases in 2007 to 28.7 million cases by 2012. Additionally, as the economy Bahama message to relax, have fun and enjoy becomes more uncertain, consumers fl ock life to the fullest. to familiar cocktails and more reasonably Other brands are focusing on Internet priced spirit categories, like rum. marketing. Pyrat rum’s new website gives ■ The spirit made from fermented molasses consumers an opportunity to learn more came to be called rum in English, rhum in French and ron in Spanish. In the Caribbean, about its fi rst consumer-focused brand cam- it was considered a cure-all for various paign to support the high-end rum from An- tropical ailments and affl ictions. Plantation guilla. Trade-focused print advertisements for owners also sold it to naval ships that were stationed in the Caribbean, often offering Pyrat, “the enlightened ultra-premium dark a discount in order to keep friendly ships rum,” started appearing in 2008 in trade pub- close by and pirate ships away. lications. “Rum was one of the top growth ■ Through Prohibition and into the ‘30s, categories in the spirits industry last year, Americans began visiting the Caribbean, in up 3% from 2007,” says Matt Carroll, chief Vizcaya Brugal greater numbers, returning from vacations with a taste for Planters Punch and other marketing offi cer at The Patrón Spirits Com- tropical cocktails. The Mojito, for example, pany. “As the popularity of rum continues enjoyed its fi rst wave of popularity during to increase, we see great potential for more Republic since 1888. Brugal is the largest- the 1930s. It was discovered by Americans in Havana and made fashionable by people to discover and enjoy our portfolio of selling rum brand in the Dominican Repub- Ernest Hemingway. ultra-premium selections.” lic and among the top fi ve rum brands in ■ The ‘40s saw the Mai Tai emerge as a Even rums from the Dominican Repub- the world, and Extra Viejo is a blend of their popular “exotic” cocktail. Throughout the lic, long neglected in the U.S., are taking ad- older reserves. ‘60s and ‘70s, as vodka became the Also from the DR comes Vizcaya VXOP dominant white spirit in America, countless vantage of premiumization. Originally, Ron tiki bars kept Piña-Coladas, Daiquiris, Matusalem Rum was founded in Cuba in Cask 21, following a Cuban tradition since Cold-Rum Punches, Hot Toddies and 1872. Since it was forced out of the country 1960, using fresh pressed sugarcane juice other rum cocktails on the drink menu. by Castro, garnering the nickname “rebel of fermented and distilled in small batches and ■ The mojito started to come back strong in rums”, Matusalem, part of the Proximo Spirits aged in oak barrels that formerly held bour- the ’80s, beginning in Miami’s South Beach. In the early ‘90s an interest in Nuevo portfolio, is now produced in the Dominican bon. This process, more common in French Latino cuisine brought more classic rum Republic. Its distillation and blending tech- Caribbean rums like Rhum Clement and cocktails back to the table – a trend that niques uniquely come from the solera aging Barbancourt, has made Vizcaya a frequent continues today. system familiarized by sherry and brandy pro- award winner at competitions lately. duction. There is a longstanding fascination For Atlantico, another super-premium with Cuban tradition stateside and Matusa- product, the rums made in the Dominican lem manages to capture its spirit. Republic hold great promise. Atlantico is Brugal Extra Viejo, for the fi rst time made with small batch, aged rums blended 2 parts Cruzan Aged Light 2 Parts Cruzan Aged Dark available in the U.S., is being promoted as together, and the blend is then married in Dash bitters sippable straight or on the rocks. The recent small bourbon barrels for a year or two. Then, 1/4 parts simple syrup launch rounds out the collection from the using a solera process, the rums rest for 15 to 1/2 parts fresh lemon juice Brugal family, making rum in the Dominican 25 years. 1 1/2 parts fresh orange juice 1 1/2 parts fresh grapefruit juice

Service Provider: Beam Global Spirits & Wines, Inc. CATEGORY FOCUS

spiced rum, has expanded its line year-end holidays. This summer they’ll get to include Coconut, Raspberry Captain Morgan and cola to compete with and Vanilla offerings. domestic beer through what marketers are Pernod Ricard-owned Malibu calling a “40 pack” – a 1.75 L bottle of Cap- has recently rolled-out Tropical tain Morgan with a 2 L bottle of cola. Also Melon, which joins original coco- of signifi cance, they are introducing Parrot nut, banana, mango, passion fruit Bay Strawberry and Parrot Bay Orange, two and pineapple in the lineup. Like new fruity, mixable fl avors. with other Malibu fl avors, Tropi- Sailor Jerry tapped into fi lm to promote cal Melon starts with coconut- their Original Spiced Navy Rum. The fea- fl avored rum, with watermelon ture-length documentary, Hori Smoku Sailor and cantaloupe fl avors added. Jerry, focusing on the famous tattoo artist Malibu will spend much of the who branded his ink on thousands of World $3 million launch online. “The War II soldiers based in Hawaii, was released Malibu consumer is generally 21 this summer, adding a human dimension to to 26 years old who spends much the brand. of their lives online, and that’s 10 Cane is engaging the on-premise Cruzan Malibu’s new Island Melon where we’re driving our activi- with its new logoed pitcher. Filled with icy makes a splash ties,” says Lisa McCann, senior cold mojitos or fresh daiquiris, the 10 Cane brand manager for Pernod Ricard. Pitcher is ideal for rooftop, terrace, patio, “We’re getting high tech, working with sites beach and pool venues, and holds fi ve to like Hulu to integrate the melon idea, and six cocktails. All venues that feature the 10 we’ve developed widgets and online applica- Cane Pitcher will receive custom bar staff tions for the iPhone, and viral videos.” and waitstaff training as well as program The brand is also hooking up a two-year tools and point of sale materials. deal as offi cial spirits sponsor of the Asso- The St. Croix, USVI-produced Cruzan, ciation of Volleyball Professionals (AVP) which recently moved to Beam Global, has Crocs Tour, integrating signage and a spon- a redesigned bottle upgrade meant to high- sor “village” into the nationally televised light its origins and advance the brand up events and supporting the program with lo- the premium ladder. A national advertising cal advertising and retail display materials. campaign focuses on the brand’s St. Croix And they have partnered with Reefcheck, origins. “Beam has done testing on who is a non-profi t monitoring the world’s island the rum consumer, and we’ve developed a reefs. A limited edition bottle launched in profi le of what we call the rum tribe, a group July is part of the program. with a really high optimism level and we’re The recent roll-out of Pernod Ricard’s off- using that in advertising,” says Andrea Bear- Bacardi’s Dragon Berry Captain Morgan premise focused Seagram’s Smooth Brazilian bower, Cruzan brand education manager. Rum (white, citrus and raspberry) ramps up With nine fl avors (banana, black cherry, the competition in the nationally-supported citrus, coconut, guava, mango, pineapple, Creative Branding value sub-category, with retail promotions, raspberry and vanilla), Cruzan has devel- trade advertising, a range of POS materials, oped a reputation as a casual rum, but its off-premise sampling and targeted Internet Single Barrel has garnered support from rum programming to reach younger consumers. afi cionados and Cruzan151 proof will return Premium brands may be hot right now, For spiced rum Captain Morgan, mar- to the U.S. soon. but fl avors have also played a role in grow- keting is key. The brand has ended its “Got Its return in one way can be credited to ing the category altogether. Category leader a Little Captain in You” campaign, and the Tiki resurgence, especially the popular- Bacardi is rolling out new packaging for its launched one designed to tie the brand to ity of the Zombie, which requires not only eight fl avors and launched strawberry-fl a- legal drinking age males. Called “Calling white, gold and dark rum, but also a 151 vored Dragon Berry, made with anti-oxidant all Captains,” it includes television and on- fl oat. No wonder Donn the Beachcomber rich dragonfruit. Bringing on new fl avors is line spending, focusing on 21- to 25-year limited customers to two on any given important in building brand loyalty, says old males who spend at least 10 hours per night. Rum in general doesn’t deserve the Gordon Chisholm, brand director. “People week on social websites like Facebook and head-pounding, party punch reputation it are relying on trusted brands in economic MySpace, and texting and Twitter. The once earned through misuse of drinks like hard times.” Bacardi is also adding Bacardi brand will continue its off-premise focus the Zombie, but when well made, Tiki Classic Cocktail Raspberry Mojito, second on key time periods – Mardi Gras, the drinks show how versatile and delicious in its ready-to-drink portfolio. NCCA Men’s Basketball Tournament, Me- rums are, yet another way to help speed the Admiral Nelson’s, long recognized for its morial Day, Fourth of July, Halloween and category’s premiumization. ■