Buying trends across the west
By Peter Mitham

Whatever the economists say, consumer confidence remains lacklustre and the recession has yet to fully let go of consumers’ wallets. But the buy-local trends are also still firmly in the minds of many, so the drinks landscape is hardly homogenous these days. Whether making the rounds of tasting events or tracking the blogosphere for news and opinion, it’s hard to miss the ongoing inclination of consumers for budget-priced drinks and unique local products. And you can add cocktails to the mix at the local bar in both categories.

A look at 2010 by RBC Economics indicated only marginal gains in how confident consumers across Canada feel about their personal finances, with the focus remaining on managing daily expenses. Just a third of Canadians believe their personal finances will improve by spring.

It makes the emblematic drink for 2010 Glimmer of Hope, a toasty Shiraz from Australia’s Kangarilla Road Vineyard. And at less than $15 a bottle, it’s as appealing to the wallet as the palate.

Inexpensive Southern European blends are also making in-roads: During a recent Import Vintner’s and Spirits Association salon in Vancouver (recently expanded to Alberta), The Red Dog agency flagged three of its Portuguese offerings for consideration given the sub-$15 price. Wines under $15 from Spain and Southern France were also abundant.

But if cheap and cheerful wines are moving, so are novel items such as a $20 Cahors that La Boutique de Vin poured for Sue Judd, general manager of the Sunshine Hills Liquor Store in North Delta. Sunshine Hills customers are asking for relatively obscure items compared to five years ago, highlighting the change that’s taken place in consumer knowledge and buying habits. Yellow Tail has given way to Carménère and other phenomena.

That’s benefitted not just wine agents, who now have an incentive to offer a wider array of products, but also producers of other niche products.

Leanne Skrenka of Bravo Beer Co. was pouring some of the Belgian beers she imports, including an organic honey ale and Skaldis, a 12% beer with a smooth flavour and solid texture. These items have been bearing out their promise, she said, because people are more willing to spend $3.50 on a unique bottle of beer than what they would have to fork over to discover a new wine.

Having artisanal or local credentials gives products an advantage, however.

Western Canada’s fruit (and even alfalfa) wine gained traction in recent years, while in B.C. and throughout the Pacific Northwest artisanal drinks such as Okanagan Spirits’ Taboo absinthe, Pemberton Distillery’s Schramm Vodka and
Spokane’s Dry Fly Distilling are garnering followers and market share. Throw in small brewers such as Calgary’s Big Rock, Edmonton’s Alley Kat and a host of smaller players in both Saskatchewan and Manitoba and loyalty to interesting local players remains. Quality and novelty still sell, especially if they’re priced right.

B.C. Liquor Distribution Branch stats available at press time showed that sales of domestic brewers of less than 100,000 hectolitres were posting growth (strong growth, at that) while large producers and imported brands (save for those from the U.S., Mexico and Germany) continue to lose ground. It’s a similar picture in Alberta, where overall beer sales slipped through 2009 while sales of wine and spirits – especially cheaper, imported brands of vodka and rum – increased.

The trends in sales stats on the retail side is reflected in the stock and trade at pubs and lounges. John Lee, a travel writer and author of Drinking Vancouver, a new guide to Vancouver’s bar scene, says a microbrew renaissance has welled up at local pubs.

A shift to quality has also been seen among cocktails and the ingredients used to make them.

“There’s a drive to differentiate and you’re more likely to see high-end gin, vodka and whisky labels, for example, winking at you behind bars than ever before,” Lee says.

Though receipts at drinking places in Western Canada are down from where they were at the height of the economic boom, signs of growth last fall show that a well-stocked bar may give licensees a competitive edge as adventurous consumers guide the way out of the recession in 2010.