SHNJF’s Modest Sales Goals Should Be Easy to Achieve
- Rogue Baron (OTCMKTS: SHNJF) believes that if he can hit 10,000 cases sold per year, Shinju will be worth $50 million.
- SHNJF currently sells 3,000 cases of Shinju Japanese whiskey per year.
- An additional 7,000 cases per year would represent only 0.1% of the average annual growth of the alcohol market in the United States alone.
- SHNJF’s Shinju is a reasonably priced premium liquor in a rapidly growing market, so these projections could be considered conservative.
The popularity of Japanese whiskey has grown over the past decade. Japan’s whiskey exports have grown 233% in sales value since 2013, according to a 2020 report from the United States Department of Agriculture’s Foreign Agricultural Service.
Some round numbers highlighting this growth to take into account:
- US imports of Japanese whiskey in 2010 were $1 million
- US imports of Japanese whiskey in 2019 were $50 million
Some beverage analysts predict that Japan will rival the UK, Ireland and Canada as top whiskey exporters.
In fact, North America’s leading online liquor marketplace, Drizly, reports that Japanese whiskey’s share of the total whiskey category in its market has increased by 13% (from 3.8% at this point l). year to 4.3% in 2021).
The average unit price for Japanese whiskey on Drizly has risen to $79.38 in 2021 to date from $74.66 in the same period of 2020. This leads many to view Japanese whiskey as a luxury brand given the Average unit price for whiskey on Drizly in 2021 as of date was $36.72.
According to the Distilled Spirits Council, premium spirits grew at an annual rate of 17.7% from 2015 to 2020, compared to just 2.5% for all spirits brands. The luxury whiskey category, to which many Japanese whiskeys belong, experienced an annual growth rate of 11.1% over the same period.
That’s why Rogue Baron plc. (OTCMKTS: SHNJF) is so interesting.
LUXURY BRAND AT A REASONABLE PRICE
Rogue Baron PLC’s Shinju Japanese Whiskey is currently selling for $54.99 on Drizly. Well below the average Japanese whiskey price, but a little higher than average. Still, the company’s recent awards signal a taste for a premium brand.
The 2021 Shinju Japanese Whiskey prices include:
- Sante Spirits 2021 Best in Class
- Sante Spirits 2021 Best Whiskey
- Health Spirits 2021 Double Gold
- Fifty Best World Whiskey 2021 Silver Medal
- John Barleycorn 2021 Taste Competition Gold Medal Winner
“Shinju Japanese whiskey is double distilled; an elegant and well-balanced expression with whiffs of honey, orange and vanilla accompanied by hints of herbaceous notes and light oak. Shinju, which means “Pearl”, was born from the slopes of the great Mount Fuji, the highest and most sacred mountain in Japan.
While the great taste of the product is one of the reasons it should easily reach the 10,000 case threshold, the sheer size of the US liquor market shows that US demand for spirits can certainly meet the SHNJF.
ALCOHOL SALES GROWTH
Impact Databank estimates that the total volume of spirits in the United States reached a new record of 260 million 9-liter cases in 2021, with an increase of 2%.
In fact, the spirits market in the United States has grown by more than 42 million cases since 2015, according to Impact Databank. During this six-year period, the top 25 spirits brands by volume added nearly 28 million cases to their overall total, while brands outside the top 25 combined for an increase of 14.7 million. of crates. Thus, the top 25 increased its volume share of the spirits market to almost 46%, compared to around 42% in 2015.
7,000 more cases per year is not a big number at all, it would only represent 0.1% of the average annual growth in the United States alone, and Shinju is positioning itself globally.
Currently, Rogue Baron plc’s portfolio includes Shinju as well as several tequila brands, a champagne brand and a DC bar strategically positioned to drive demand growth in a city filled with tastemakers who travel across the country.
Put SHNJF on your watch list now.
Learn more about Shinju’s history here.
This article is part of a sponsored investor education program.