As you’re no doubt painfully aware, price rises across the board are becoming increasingly common here in the UK, and in many other countries too for that matter. Everything seems to be getting smaller, yet more expensive at the same time. 

Whereas whisky bottles may not be getting any smaller, there are certain brands out there that are becoming more expensive. Recently, after a couple of small drams, I found myself browsing the web and came across the unusually titled camelcamelcamel website. Basically, you enter the Amazon web link for any product and the site will bring up a tracker so that you can see how the price has changed over the years. 

Needless to say, I decided to take a look at how much different premium core whisky ranges have changed in price over the years. In 2022 – 2023, when everything really started to get silly, The Dalmore 18 increased by a staggering 140%, increasing from £125 to £300. 

Closely following behind were GlenDronach and Glenrothes, which had increased by 44% and 53% respectively. This got me thinking. Why is it that whiskies can increase and fall in price by so much? Here are a few factors which can influence the overall price of whisky. 

The Economy

Now, I’m sure I’m stating the obvious here, but of course, the overall state of the economy can heavily influence the price of whisky. 

When I say the economy, I don’t just mean the UK economy either, but rather, the global economy. What you tend to find is that economies are very sensitive. One seemingly small issue in one country can impact a completely different part of a different country’s economy. This in turn can set off a chain reaction. 

Ideally, we want economic stability, growth, low inflation, and customer and investor confidence. At the end of the day, those in the whisky industry, such as ourselves here at Great Drams, want to sell as much whisky to our wonderful customers as possible. The poorer the economy is, the less disposable income people have, which means that people have less money to spend on luxuries such as whisky. 

However, during boom periods, when the economy and markets are enjoying stability and growth, customers, collectors, and whisky investors likely have more money and are likely to spend more on premium whiskies. This in turn can ramp up the price of whisky as demand increases. 

Supply and Demand

Speaking of supply and demand, this is another factor which massively impacts the overall price of whisky. It’s one of the most basic economic principles, and arguably, the most important. 

If there is an abundance of whisky, and demand is low, the whisky in question will likely be priced lower. On the flipside, if whisky demand is high, and supplies are lower, the whisky becomes rarer and the price is likely to increase. These price increases will only continue as whisky supplies become rarer and rarer. 

Taxation and Alcohol Duties

Without getting too political, the more taxes and duties that are placed upon the whisky industry, the more the price of whisky is going to increase. 

Put very simply, when manufacturers, independent bottlers, and other people in the industry are taxed by the government, they have to pay out of their own pockets. With each tax increase, they need to pay more and more. To help cover the costs, and often, to simply stay afloat, they’re forced to pass these expenses onto the customer. 

Take it from me, we here at Great Drams absolutely hate having to increase our prices, and only do so whenever absolutely necessary. We know we wouldn’t be where we were had it not been for our customers, and the last thing we want to do is upset them. In some instances, however, there is sadly no other option. 

Ingredients, Energy, and Marketing Costs

In terms of the overall cost of whisky, things like the price of ingredients, energy, and marketing costs can also play a huge role. 

Whisky may only contain three fundamental ingredients, but if there is a shortage of barley one year, or a bad crop due to poor weather, the cost of barley will increase, meaning the distillery will need to spend more on the grains. 

To produce the whisky, distilleries obviously have to use energy to power the machines and equipment used to make the spirit. If energy prices increase, like they did in 2022, it costs the distillery more to produce the whisky. 

Finally, once the whisky is made and has been matured and aged, it still needs to be marketed. Things such as the cost of glass bottles, bottle caps, labels, label printing, bottling machines, boxes, crates, graphic design, web copy, SEO, website management, social media marketing, transportation, and more besides, all cost money. If any of these things increase in price, it means that the distilleries will be spending more on marketing. This eats into their profit margins so again, price increases may be necessary to offset the extra costs. 

To say the last few years have been hard for us all would be a massive understatement, but hopefully this has provided a small insight into why the price of whisky varies from year to year and brand to brand. 

If you’d like to learn more about your favourite whiskies, or treat yourself to a wee dram or two at the same time, head on over to GreatDrams.com and take a look at what we have to offer. 

With an impressive selection of limited-edition, rare, and award-winning whisky, as well as heaps of whisky info on our blog, it’s the perfect spot for any whisky lovers out there.