Southern Heat

The Tequila business is booming

for operators as increasing guest
sophistication, new offerings and
innovative marketing take the
spirit up-market.
By Jack Robertiello
MatrixFillmore in San Francisco serves
up a variety of tequila-based drinks,
including the Paniolo, made with
pineapple juice and jalapeño peppers.

20 | april 2009 www.cheersonline.com

 H
as the fortune of any spirit been more closely tied to
its outreach to the restaurants and bar community
than tequila?
Take the flight phenomenon. While a handful of bars that
focus on single malt Scotch offer customers the chance to
order a trio of various whiskies in one go, it’s not a common
occurrence. Likewise, there are plenty of operators that gather
large selections of brandies and rums, but the flight concept
never really has caught on with them.
Tequila does not suffer this problem—from vertical tastings
from a single distiller to groupings by age or region, tequila
flights barely raise eyebrows these days.
Distiller dinners are another example. When a rum maker or
a vodka producer comes to a city with a dining and drinking
story to tell, it can be cause for news. But every day, it seems,
tequila producers send their reps out on the road to host special
spirit, cocktail and food pairings that routinely sell out.
These are just two of the innovative ways operators are marketing
and selling tequila, leading the way for the category by educating
consumers and generating excitement for the Mexican spirit.
Their work is paying off: Most leading tequila brands grew
last year, according to Cheers parent The Beverage Information
Group (BIG). Category leader Jose Cuervo inched up 0.2
percent, Patrón shot up 5.8 percent, Sauza grew 1.8 percent,
Juarez was up a blazing 14.5 percent and 1800 grew more than
20 percent. The top 10 tequila brands grew 4 percent by volume
last year, with the category as a whole up 3.8 percent.
Many suppliers also have been focusing on new iterations
that offer operators greater diversity: Cuervo now offers the
mixto Jose Cuervo Especial Silver; Milagro has advanced
its second line of Select Barrel Reserve tequilas and Proximo
recently introduced Gran Centenario Rosangel, a 100 percent
agave reposado tequila finished in port pipes and infused with
hibiscus flowers.
“I had access to only five tequilas that I thought were drinkable
when I opened; it was so bad during those years, I switched from
being a tequila drinker to a Scotch drinker,” he says. “You can’t
even imagine what it was like then.” Today, Tequila’s selection
ranges in price from $7.50 for 1800, Hornitos and Cuervo
Tradicional Reposados to $100 for Gran Patrón Burdeos, which
is finished in Bordeaux wine barrels.
Doing business in Pennsylvania, where the state strictly
controls entry, made it harder for Suro to get quality brands. But
the point is well taken: Tequila has come a long way. Nowhere is
the importance of 100 percent blue agave tequila more obvious
than with the continuing growth of Patrón; its entire product
line is made from 100 percent agave.
In fact, many operators like Suro carry only 100 percent
agave tequilas. There are two basic types of tequila: those made
entirely from agave, and mixto tequila, produced from a mix of
51 percent agave and other sugars. Tres Agaves in San Francisco
stocks about 100 offerings of pure-agave tequilas, limited to 30
brands in the three major age ranges. As with Philly’s Tequilas,
Tres Agaves also holds monthly distillery dinners that are hosted
by a distiller or brand ambassador, with mariachi musicians, a
special menu and both cocktail and flight pairings. The dinners
cost $75 per person and include tip, tax and tequila.
Tres Agaves also boosts sales with a passport marketing
program that allows them to ramp up the informational aspect

Quality Rising
While the association with bad collegiate behavior still lingers
on some level, tequila’s reputation as a quality spirit now is well
established for the most part. According to the most recent statistics
from the Washington, D.C.-based Distilled Spirits Council of
the United States, tequila exploded last year at the highest price
points, with volume up among super-premium spirits by 10.6
percent. Value-priced tequilas also were up, gaining 6.4 percent
by volume in 2008, while premium, the largest category, sank 1.3
percent and high-end premium dropped by 9.2 percent.
But it wasn’t always this way. “It’s amazing to see how quickly
things have changed,” says David Suro, owner of Tequilas, a Tres Agaves in San
Philadelphia bar that has been providing quality tequila for Francisco serves a bevy of
more than 23 years. It was “a spirit that was considered sort of tequila drinks, including
dangerous, and now it’s become [one of] the fastest growing the Zapatos Nuevos, made
pat mazzera

with Herradura Silver

spirits in the U.S.” He shakes his head when he remembers the Tequila, watermelon and
difference between the tequila collection when he started the ginger purée.
bar and the 105 pure-agave tequilas he carries today.

www.cheersonline.com april 2009 | 21

 Budding
Blancos
Spirits authority Sean Ludford of BevX magazine
says the surest way to assess the attributes of a
tequila brand is to sample its blanco version, also
known as plata.
“Barrel aging has a profound affect on tequila,”
notes Ludford. “Blanco tequilas are left unadulterated
and typically bottled fresh from the still. When well-
made, they’re vibrant, bursting with flavor, and best
represent the compelling qualities of tequila.”
In case you’ve missed the initial fanfare over their
releases, here are a few silvers you’ll want to explore.
 Artisanal Jose Cuervo Platino is a charming blanco
with such tremendous depth of character that it is
guaranteed to make Jose Cuervo a household name.
The handcrafted tequila is made according to the
esencia de agave process in which only that part of the
agave richest in fermentable sugars is used in distillation.
Platino immediately grabs your attention with an alluring
bouquet and a layered, long-lasting palate.
“Cuervo Platino is a genuine pleasure to work with,”
states Adam Seger, general manager, sommelier
and bar chef at Nacional 27 in Chicago. “Not only
is it fabulous featured in cocktails, it demonstrates
to consumers just how elegant a silver tequila can
be, and [it highlights] the enhanced flavor of Jose
Cuervo’s high-altitude agaves.”
New from the bestselling brand of 100 percent
agave tequilas is Gran Patrón Platinum. In order to
produce a more brilliant, light-bodied spirit, the
tequila is sent through a traditional copper pot still a
third time. Another innovative twist is that a portion
of each distillation is aged briefly in American oak
barrels prior to being blended back into the batch.
Bridget Albert, director of mixology for Southern
Wine and Spirits of Illinois, describes Gran Patrón
Platinum as a tequila to be celebrated. “Agave-
forward with hints of citrus, it’s one of the few blancos
deserving of a snifter.”
Also worth trying is top-shelf Partida Blanco,
produced from mature, estate grown blue agaves
cultivated in the rich, red volcanic soil of Amatitán,
Mexico. The piñas are slowly baked, fermented and
double-distilled in traditional pot stills before being
bottled fresh. Partida Blanco is a sleek, aromatic
tequila with a warm, satisfying finish.
The most innovative silver making its American
debut is ultra-premium Maestro Dobel Diamond. This
franchise player is composed of barrel-aged tequilas
filtered to remove all traces of color and impurities.
The result is a crystal clear, highly aromatic tequila
with all the nuances and complexity of an añejo.
—Robert Plotkin
22 | april 2009
The classic Margarita is
a popular drink at Tres
Agaves in San Francisco.
of selling tequila. “Anything we do is about furthering our mission
to educate people about 100 percent agave tequila,” says managing
partner Eric Rubin. Customers get their Tres Agaves “passports”
stamped with each variety they sample, and guests who fill their
book have a chance to win a free distillery dinner or other gifts.
To bolster staff training, management also regularly takes
servers to Mexico on distillery trips; the restaurant has logged
75 unique staff visits in the past three and a half years.
Staff training and customer education works wonders, says
Suro, who hosts a monthly dinner and seminar that pairs
tequila—both neat and in cocktails—with food. They focus
on the history, geography and terroir of the spirit, he says. He
also holds a monthly late-night tasting that features six brands.
During these tastings, he passes around a tray of herbs, spices
and fruits that, according to each producer, tasters might
encounter in the products. Limited to about 18 people, these
events sell out fairly quickly and cost $45 per person.
More Than Frozen Margaritas
Tastings are one way to sell tequila, but it’s long been the
Margarita, America’s favorite cocktail, that has driven the
spirit’s success.
In New York City, Toloache chef and owner Julian Medina
took a hands-on approach and developed the half dozen or so
recipes for the restaurant’s various Margaritas. Like guests at
many other authentic Mexican restaurants, Toloache’s customers
seem to be passing on the old standby, the frozen Margarita.
“I thought we’d sell more frozen Margaritas then we do, but
the number one seller is the Toloache,” he says, a $12 signature
drink made with Frida Kahlo Blanco, hibiscus, blueberries and
lime. A shaken, $10 house-made Margarita with El Jimador is
the second largest seller, and all are made with agave nectar, an
pat mazzera
ingredient popular in cutting-edge cocktail programs.
Some of Medina’s other creations are proving to be successful,
as well. “I’ve been trying to make drinks that people will like
www.cheersonline.com
but are not too wild,” he says. One is based on the Mexican
street snack of a sliced radish jícama dashed with lime and chile.
The drink is called the De La Calle, made with Siembra Azul
Blanco, cucumber, jícama, basil and lime, which sells for $12.
At Philadelphia’s Distrito, a Mexican City-style bistro headed
by celebrated chef Jose Garces, beverage manager Brian Sirhal
also has found that frozen Margaritas are no longer as popular.
“It’s not our top selling Margarita,” he affirms. “When I worked
at Rosa Mexicana in New York, the frozen Pomegranate
Margarita really drove sales. Here, our house Margarita made
with El Jimador outsells everything else by 90 percent.” The
drink sells for $8.
When Distrito opened last year, Sirhal installed a complicated,
mixology-driven drink menu. He has since found that the menu
is too challenging; “Now we’re offering things like Margaritas
made with fruit.” A Tequila Manhattan didn’t sell well, but
the Tequila Gimlet dashed with cilantro does much better, he
says. Also popular is the Hemingway, a version of the Daiquiri
variant made with chile-infused Hornitos, maraschino and
grapefruit. It sells for $10.
Non-Mexican operations also are focusing on tequila service.
At the newly opened MatrixFillmore in San Francisco, owned by
the PlumpJack Group, bar manager Kenneth Luciano chooses
tequila themes, flights and drinks for Tequila Tuesdays. A recent
night featured a Casa Noble Blanco, Reposado and Añejo flight
for $12. Specialty drinks such as the Paniolo—made with
tequila, jalapeño and pineapple—normally $10 to $12 each, are
offered for $7. Distrito in Philadelphia opts for innovative tequila
cocktails instead of frozen Margaritas.
All this education seems to have made a mark on customers,
as the level of tequila knowledge has dramatically increased,
according to most observers. Some operators are driving further
staff curiosity and knowledge by grouping their menued tequilas
not only by age or brand, but also according to the region of origin. Herradura, El Jimador and Hacienda del Cristero, all made at
Tequila can be made from agave grown in five areas: Jalisco, plus Herradura’s NOM 1119 distillery in Amatitán, on his menu.
portions of Tamaulipas, Nayarit, Guanajuato and Michoacan. Tequila knowledge is driving sales at all levels, it seems. At
About 90 percent comes from Jalisco, but there are significant H. Joseph Ehrmann’s San Francisco saloon, Elixir, tequila is
agricultural differences between soil and climate in towns such as one of the strongest categories. Accordingly, he stocks more
Arandas in the highlands and Amatitán in the valley. than 90 varieties. He’s found that brand recognition still drives
Distrito, for instance, offers a flight of highlands-produced most sales, and his business is split between customers who
Patrón, Siembra Azul and Corralejo, as well as a lowlands flight understand tequila well and like to discuss the spirit and those
of Cabo Wabo, Casa Noble and Sauza Tres Generaciones. looking for a reasonably priced shot. “But these days, even those
Mario Alejandro Marquez, the tequila ambassador at San customers looking for shots are looking for quality.”
Diego’s Café Coyote, says that more of his customers are coming That Ehrmann is seeing more customers of both backgrounds
in knowing what flavor they want from their tequila, even if is an encouraging sign for operators. Far from a negative legacy,
they don’t know why. “I always say that if they want a tequila tequila, whether super-premium or not, has a reputation for
with more sweetness, they probably want to go to the highlands developing solid on-premise customers.  l
because the agave seems to get riper quicker there.” Agave piñas
from the highlands can grow very large, resulting in tequilas Jack Robertiello is the former editor of Cheers, and he’s written
that can be sweeter and crisper, while lowlands tequilas often are for the Food Network and publications such as the New York Daily
more peppery and aggressive. However, with so many tequilas News and the Washington Post.
being made with agave from both areas, regional differences are
not always easy to sort out.
Visit Cheersonline.com/more to learn what
At Tequilas, Suro has gone even further, grouping brands by
Another new tequilas have bartenders abuzz, how the
the NOM number given by Mexican regulators to each certified
Round top 10 brands sold last year, as well as which
distillery (The NOM is visible on every authentic tequila label).
infused and añejo offerings spirits expert
Many distilleries produce more than one brand of tequila, and
Robert Plotkin recommends.
each will bear the same NOM. For instance, Tequilas groups

www.cheersonline.com april 2009 | 23