When it comes to Tennessee whiskey (and arguably American whiskey as a whole), Jack Daniel’s is overwhelmingly the largest and most recognizable name. And for good reason.
In the early 20th century, Tennessee boasted upwards of 700 active distilleries. However, a statewide prohibition enacted in 1910 (a decade before the nationwide ban) decimated the industry. After repeal in the ‘30s, Jack Daniel’s became the first to begin legal production again. But it was a combination of the brand’s pre-Prohibition reputation, a purchase by Brown-Forman in the ‘50s and expanding distribution that led it to become the powerhouse it is today.
While Jack Daniel’s will likely continue to dominate the category for the foreseeable future, Sazerac — the company that owns Buffalo Trace, Pappy’s and several other Kentucky bourbon icons — is introducing some competition.
A cooling period
If you haven’t heard, the whiskey industry has been experiencing a downturn these past couple of years, especially after the major boom the decade prior. Outside of Kentucky, some popular brands have halted production, such as Indiana-based MGP’s Ezra Brooks and Yellowstone Bourbon, along with Jack Daniel’s main Tennessee compatriot George Dickel.
So launching any new distillery right now is a risk. But recent struggles merely mark a cooling period, not a collapse. And Sazerac wants to be there when things improve again, which is why it decided to move forward with its first-ever Tennessee distillery.
