Motherlover, What The Love Is This All About?
If you've gotten your hands on a bottle, or perhaps half a dozen, of our Highland Motherlover 9-Year-Old Single Malt Scotch Whisky from the Race to the Bottle Edition range, you might be wondering: What in the world were Woodrow’s thinking? I mean, there’s a tombstone on the label, and here we are, sipping away by the fire (or radiator, depending on your heating setup) during the festive period.
The Reason behind
Well, here it is: we released this whisky as a bit of a protest. We wanted to draw attention to some recent practices from certain more established independent bottler (who shall remain nameless—for now, let’s just call them X).
By the last quarter of 2024, we noticed something troubling, and yet, strangely interesting, in the whisky world: a sudden surge of whiskies hitting the shelves at shockingly good prices. These “amazing deals” were popping up everywhere, to which, we, amongst other smaller independent bottlers cried: How on earth are they making this work?
I know, I know. Some of you are probably thinking, “Well, X is a more established bottler, and they probably bought their stock years ago when prices were lower. That’s how they can afford to offer such low prices.”
But here’s the thing—we did some quick maths in a pub to see what was really going on. (All hail the Back of the Napkin Maths)
The Maths Behind the "Excellent Price"
Let’s take an example from X’s latest release: a 13-year-old Speyside Single Malt at 57.1% ABV, priced at ~£46.00 a bottle:
Price after VAT: Remove the 20% VAT, and we’re down to £38.33.
Retailer’s Margin: Subtract the retailer’s 25% cut, and now we’re at £28.75.
Alcohol Duty: The new alcohol duty of £31.64 per litre of alcohol (from August 2023) means duty is a heafty £12.65 per 700ml, bringing us to £16.10.
Packaging & Bottling Costs: Add in the costs for glass bottles, corks, labels, and bottling (about £5 per bottle), and we’re left with a paltry £11.10.
So, £11.10 is what’s left to cover the whisky itself, X’s overhead, and—well—profit. This raised a big question amongst smaller independent bottlers, including ourselves: How is this even possible?
The "Race to the Bottom" Explained
Of course, X has every right to do what they do and release what they release. We live in a democratic, capitalist society, after all. In fact, this is a fairly common business practice, known as the "Race to the Bottom."
The "Race to the Bottom" refers to the market situations where competitors prioritise market share growth over profitability and keep lowering prices (sometimes to the point of a net loss) to gain enough control over a market and eliminating competitors.
A Whisky Drinker's Confession
I must confess—I’m a whisky drinker first and foremost (shocking, I know…). And like many of you, I do appreciate a good value-for-money bottling, especially in the current economy (I mean, just look at what I drive…).
What I first enter the whisky industry, I’ve realized that the whisky supply chain is surprisingly complicated. It involves producers, brokers, traders, and bottlers. Like many of you, I’ve questioned the model and wondered why so many people seem to be adding margins onto the whisky without doing much in return. I mean, why can’t I just buy stock directly from distillers and bottle the liquid myself? That would price out the competition, right? (Guilty as charged.)
However, over the years, I started to understand that this complicated ecosystem actually sustains the diversity of brands, flavors, and ideas in the whisky world. Each parcel of casks, no matter how big or small, finds its way into the hands of different bottlers, big and small. And that, in turn, gives us all a unique array of expressions and experiences to enjoy. Imagine walking into a specialist whisky retailer and there are only 3 indie brands on the shelves.
Is this Right or Wrong?
So, where do we stand on all of this? Please don’t get me wrong, there’s no right answer. X has every right to do what they do, and as a (smaller) business, we must adapt to the market and release what people want! And, of course, there are also plenty of bottles released in recent years that make us think, “This is ridiculously expensive for what it is... right? They used to be a lot cheaper !!!)
But here’s the thing: we thought it would be interesting to shine a light on this situation and get the conversation started. The goal of this bottling isn’t just to make a statement—it’s to spark discussion among whisky drinkers, bottlers, and even producers. We want to talk about the pricing practices that shape the market and how it affects the whisky you drink.
And let’s not forget the bigger picture. As we roll into 2025, the whisky industry is facing some pretty significant challenges—poor global economic performance, rising energy costs, global instability, shifting consumer behaviour and overproduction risks. But that’s a whole different can of worms to crack open.
So, whether you’re sipping your Highland Motherlover in front of a roaring fire, or just basking in the glow of your very efficient radiator, remember: this bottle might just be the most interesting protest whisky you’ve ever tasted.