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How coffee liqueur Mr. Black rode the espresso martini wave

Modern Retail Podcast · with Tom Baker · November 21, 2024 · 32 min

Summary

Mr. Black coffee liqueur capitalized on the espresso martini trend, demonstrating how a niche product can achieve global recognition by strategically targeting cocktail culture hubs like New York City. The brand’s success highlights the importance of grassroots marketing, influencer engagement, and persistent relationship-building with key industry players to create a groundswell of demand and ultimately attract high-profile endorsements and acquisitions.

Key takeaways

Themes

dtc strategybrand & contentinfluencer & creatorretail & omnichannel

Topics covered

espresso martini trendniche market entrygrassroots marketingbeverage alcohol marketinfluencer marketing strategycelebrity endorsement

Episode description

The espresso martini has been having a moment for the last few years. According to NIQ CGA’s cocktail tracker, in 2023, orders for espresso martinis doubled in velocity and dethroned the Long Island Iced Tea as the sixth most popular cocktail. Riding this wave is the coffee liqueur Mr. Black, which, since its U.S. launch in 2017, has driven one-third of the total retail sales growth in the coffee liqueur category. Mr. Black launched in Australia but has become an international phenomenon; it was acquired by Diageo in 2022. According to the brand's co-founder and now-creative director, Tom Baker, though the espresso martini wasn't popular when it launched, he had a feeling a well-crafted coffee-based liqueur would be a global hit. "I just had this sense that every bar in the world would one day want to buy this product from us," he said on the Modern Retail Podcast. "And that was all the strategy that went into it." There were a few elements that led to Mr. Black's growth. For one, it became a key ingredient in a popular cocktail. Additionally, Baker knew that the brand's success was predicated on key placements in New York City. "It was sort of the hub of cocktail culture," he said. "All roads kind of lead there, especially in liquor." So, Baker and a friend went door to door to get some of the best bars and liquor stores to sell the product. From there, the company made sure to keep the right celebrities and influencers abreast with its growth. One thing led to another, and Mr. Black was able to reach the big time. "All of a sudden, without you knowing, it's [Stephen] Colbert and [Hugh] Jackman drinking a Mr. Black Espresso Martini," he said. "So it definitely is equal parts an extraordinary amount of hard work and an extraordinary amount of luck."

Frequently asked about this episode

What does this episode say about dtc strategy?
Prioritize strategic market entry: Focus initial efforts on cultural hubs to gain traction and establish credibility before broader expansion (e.g., Mr. Black's New York City strategy).
What does this episode say about brand & content?
Cultivate grassroots advocacy: Engage with award-winning bartenders and influential journalists early on to build authentic buzz and validate your product within the industry.
What does this episode say about influencer & creator?
Leverage influencer tiers: Start with industry-specific thought leaders and gradually build towards celebrity endorsements as your brand gains momentum and proves consumer traction.
What does this episode say about retail & omnichannel?
Identify and ride cultural trends: Position your product to align with emerging consumer behaviors, such as the "less but better" drinking trend and the rise of cocktail culture.
What does this episode say about dtc strategy?
Embrace a long-term, relationship-driven approach: Understand that foundational growth involves consistent effort in building relationships with gatekeepers, rather than solely relying on immediate sales pressure.

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