This Month's Bourbon Zeppelin Feature Article
A Look Into of One of the Most Controversial Aspects of Whiskey Collecting

Behind the Scenes of the Secondary Bourbon Market by Steve Akley
Most buy their whiskey from a liquor store or supermarket. It's a simple transaction that mirrors everyday household goods purchases. With the seemingly infinite interest in whiskey, in particular bourbon in the United States, simple supply and demand combined with the scarcity of certain aged products leads to certain distillery offerings becoming extremely difficult to locate in the marketplace.
Not wanting to miss out on these difficult-to-find gems, some people turn to the secondary market to purchase these unicorns (bottles so difficult to find they become almost mythical creatures). The sky is the limit when it comes to pricing once you leave the retail world and turn to the secondary market. It's not unusual to find retail price multipliers of 5 or 10 times being tacked onto the bottles most in demand.
There really isn't a regulation on this, though, distributors often serve as the police with retailers when it comes to the topic of the secondary market. Distilleries want to get their product in the hands of their customers at the supply chain price (wholesale to distributors, markup for the distributor who then sell to the retailers who also mark it up and then sell to the final end user... in theory). This keeps the machine moving. Customers are happy and everyone gets their predetermined share of profit along the way.
Some say the distilleries are behind the demand outstripping supply phenomenon we've witnessed by creating a false sense of scarcity as a means of marketing (touting the scarcity of a product which creates more demand, which in-turn creates more publicity for the distillery, which then creates more demand, etc.). No matter how it actually happens, it's often the most loyal customers to brands whom get left out of the picture when a product becomes a hot secondary market item. Retailers will hold product back to sell to those with the most money, or individuals/organization buy up all of the supply to resell it leaving the consumer shopping stores looking to pay retail price out of the picture.
When customers start complaining, the distilleries will then tighten up on the distributors who then attempt to force the hand of the retailers to not mark up their products to secondary prices by not offering them the most limited releases. The scarcest offerings are typically allocated to stores based on loyalty, total purchases and those following directives from the distillery like not selling above the suggested retail prices.
The stakes are so high, many retailers are willing to risk a rocky distributor relationship to make a quick profit. One St. Louis liquor store owner, who asked to remain anonymous when interviewed for this article, summed it up best when he said, "We are supposed to sell Pappy Van Winkle 20 Year Old at $149. We got one bottle. That's it. This was our allocation for the entire year. I could have sold it at $149, but I had an executive for a local company calling me to ask if I had it a few weeks leading up to the release. When it came in, he called and when I informed him I had a bottle he told me he would send his driver over to pick it up. He never even asked the price. The driver just came by and picked it up paying for it with a company credit card."
How much for the bottle he should have sold for $149?
$1,800.
That's right, he netted an extra $1,651 in pure profit on one perfectly legal, though heavily frowned upon by the distributor and distiller, transaction.
With profit potential like the Pappy example, it's hard to argue against selling to the highest bidder. Running a liquor store is a highly competitive business that requires owners to carry an expensive inventory. A few of these transactions a year represents an opportunity to make some much-needed extra cash.
Wanting to know more, I reached out to Matt Saunds, a retailer and secondary market seller of bourbon, whiskey, wine and other distilled spirits. Matt works as the store supervisor for Village Wine and Spirits in Sleepy Hollow, New York. I met Matt through Instagram (@vwinespirits) after he had contacted me to gauge my interested in buying rare whiskies via the secondary market. While I prefer the thrill of the challenge in bourbon hunting, his role is intrigued me. After all, it's an activity that is equally revered by those who want help locating those difficult to find offerings and despised by those who feel a secondary market cripples their ability to find and buy their booze at reasonable prices.
Matt's involvement in the business came about when he went to work at a store that was in the process of changing hands after the longtime owner was retiring. Village Wine and Spirits had opened in 1970. The back of the store contained a stockpile of unorganized bottles. Some were simply trash that needed to be discarded, but, as Matt looked a little deeper, he discovered some of the inventory selling for top dollar on the secondary market. His boss gave him the freedom to determine the value of these old bottles and find buyers for them. He turned to the internet (sites like BottleSpot) and social media to find buyers in addition to marketing in the store.
The profits allowed Village Wine to expand its inventory. Of course, once you start selling on the secondary market, people begin asking you to either buy their valuable whiskey, help them sell it, or assist them in locating something they are looking for. While Matt couldn't do these transactions through the store, he started doing them himself on the side with the blessing of his boss. He typically charges 10% for an assisted transaction (helping a buyer or a seller).
Unlike in the Midwest, where distributors try to stop stores from selling above retail, the distributors in his area Matt resides in are fine with the approach they take at Village Wine to sell their product. The Pappy they get immediately is priced at secondary market prices. Matt quickly points out that while a bottle of Pappy 12 Year Old, for instance, is marked at $450, (with a suggested retail price of $59.99), these prices are always negotiable.
So what's a guy like Matt like? The person. The real guy.
Well, he's awesome. He's just a guy doing a job. There isn't anything bad about him, nor is he doing anything wrong. He's matching up the product he has with customers who want it for a price they can pay.
What about the person on a budget? Is this fair?
Hey, bourbon hunting is fun. There is not thrill like walking in a store, or getting a call from a favorite retailer, or your name pulled in a lottery to tell you that you got that special bottle everyone is after. This wouldn't exist without a secondary market. Plus, everyone talks price. For instance, I was lucky enough to have my favorite liquor store sell me a bottle of Colonel E.H. Taylor Seasoned Wood. Like everyone else who bought it, even though I would never sell it and bought it simply to enjoy, I do like to note it's a $375 bottle of bourbon (secondary market prices) I bought for $70. Again, this doesn't exist without guys like Matt out there selling.
The bottom line is that profit potential is too large for the secondary market to go away. If you are a collector on a budget, embrace it. Enjoy the scores when you get them, and simply become more motivated when you hear about a bottle you missed out on going for a high price.
You have to do this. Because once you start collecting bourbon, not matter what your budget is, it's not like you are going to stop!
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The photo montage of this Bourbon Zeppelin Special Report. Clockwise from left: A bottle of 23 year old Pappy Steve recently "found out in the wild." It could be yours for only $2,000. Steve's buddy/secondary market authority Matt Saunds. The official seal of Sleepy Hollow, New York, home to Village Wine and Spirits (Is that not the coolest name/best seal for a town ever?). "Tough to find" to "unicorns" ("impossible to find") are one of the most frustrating, and rewarding, aspects of whiskey collecting.
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In this issue...
Welcome to the second issue of Bourbon Zeppelin! Feedback to our first issue was off the charts and I'm pleased to bring you and even bigger and better issue this month. Things have been evolving here so quickly at BZ Headquarters, I'm pleased to announce Hasse Berg, who has been helping with all rapid ramping up we have been doing, will now be serving as my associate editor starting with this issue. I also want to sincerely recognize all of the great contributors you see in this publication. We're all working hard to deliver something we would simply want to read ourselves. We truly live by our mission statement of a publication "written for bourbon fans by bourbon fans!"
We've got some great new regular features debuting in this edition. Aaron Cave brings his detailed approach to reviews in his "From the Cave" column where he has a laser focus to reviews in that he'll be honing in on single barrel/high proof offerings. Elizabeth Jones joins us a field reporter where we'll have an insider coverage to bourbon happenings (she lives right in the midst of bourbon country). Evan Haskill brings us some fun as only he can with his Bourbon PSA series. Remember, the "more you know, the more you can enjoy bourbon." Also, my buddy from Instagram, Corey Chandler, kicks off his new column in the perfect issue. With our feature article being all about the secondary bourbon market, Corey shares his bourbon hunting tips to help you find those elusive selections without having to pay a premium price.
I couldn't be happier to have these new regular features added to Bourbon Zeppelin.
I hope you enjoy reading this issue as much as the B.Z. team had putting it together for you!

Editor-in-Chief
Bourbon Zeppelin
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Reviews of Unique Bourbon Offerings by Steve and Four Bourbon Zeppelin Team Members
This month we take a look at:

Pappy Van Winkle
20 Years Old
A cornerstone of Bourbon Zeppelin are the Steve + 4 Reviews. In this regular feature, Steve and four of the B.Z. team members will rate and score a bourbon. Knowing that there is something intrinsically wrong with any scoring system, BZ attempts to smooth out the human factor in three ways:
1). Right out of the gate, having five evaluators automatically adds legitimacy to this type of system which is typically completed by one person.
2). Steve + 4 helps remove personal bias by removing the top and bottom scores are tossed out leaving only the three scores in the middle as the ones that count.
3). The three scores that are left are then averaged giving us the final score for the monthly selection.
All final scores are tallied and kept at the bottom of BZ allowing us to have a growing comparative database.
Let's see how this month's selection fared:
Reviewer #1
Evan Haskill - 94.0*
Notes:
Aroma - Wood oak + toasted oak & sweet candy (butterscotch)
Taste - Wood, oak, toasted oak, sweet, buttery, caramel, grain, sweet, wheat
Final Evaluation - Great bourbon. Sweet, light, delicate. WOW factor. Loses points on packaging (old guy smoking a cigar is not my favorite). 4/3 points on value at $149.99. Back up the truck!
*Evan's final score reflects a point deduction since he gave a 4/3 on value!
Reviewer #2
Steve Akley - 96.5
Notes:
Aroma - Caramel, oak, licorice
Taste - Cake, butter, caramel, toffee
Final Evaluation - Smooth drinking. Maybe not worth the crazy secondary market prices, but worthy of its lofty retail price.
Reviewer #3
Robin Ricca - 90.0
Notes:
Aroma - Malt, caramel, honey, oak, orange, brown sugar and vanilla
Taste - Clove, butterscotch, oak, orange and maple
Final Evaluation - The aroma is a parade of the flavors above (light on the oak). On the palate this is definitely the smoothest one I have tasted so far. Balanced with just a beguiling hint of burn. The orange and butterscotch linger almost forever - at least a very long time.
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Tossed Reviews
High
The Bearded Sipper - 98
Notes:
Aroma - Slight burn at first sniff. Big bold caramel, vanilla, cedar, baking spices. Completely inviting.
Taste - Oh my goodness this is delicious it’s all rounded off with its flavors nothing sharp or overpowering and everything working in complete harmony. Luscious caramel but with that leather and something that tastes like age.
Final Evaluation - This is everything bourbon should be.
Low
The Shy Consultant- 77.5
Notes:
Aroma - After the bourbon opened up, I picked up on sweet dark fruit, like cherries with almost a raisin quality, overall sweet with a slight hint of cooked sugar. Definitely all flavors came through with an oak quality.
Taste - Flavors that came out for me were again fruity, sweet, buttery with an interesting almost honey chocolate combination. Peculiar mix flavors that were not overpowered by the burn and with a nice balanced finish that lingered just the right amount of time.
Final Evaluation - With all of the hype around this bourbon, I can say it’s a bit perplexing. It definitely has characteristics that gives it that “extra something” and is enjoyable because of the complexity. This bourbon shows up quite a bit differently than others, making it obvious as to why it has become so elusive for people to find. The mixture of the flavors was definitely something to pour and savor over a long conversation. (Maybe a conversation one would have over how they were lucky enough to “score a bottle.")
Combined Score
The final score for Pappy Van Winkley 20 Year Old Bourbon is...
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This score ranks this one #1 in our all-time Steve+4 Rankings.
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The Bouron Lifestyle
A look at products for bourbon fans

UpcycledAshley, an Etsy shop owned by artist Ashley Ommen, is making jewelry (earrings, necklaces and key chains) from recycled beer bottle caps. Why is this of interest to bourbon fans? Let's not forget many of the hottest brews being offered today are aged in bourbon barrels. In fact, you can win a pair of Lexington Brewing earrings made by Ashley in this month's free contest. Look for details below. If you would like to check out Ashley's Etsy shop, click here!
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Kentucky Knows has a product line of coffees aged in bourbon barrels. Their Kentucky Barrel has been aged in Buffalo Trace Barrels and has notes of caramel and spice in addition to a hint of bourbon. They offer caffeinated as well as decaf offerrings of this product as well as their other bourbon barrel aged coffees including: Bourbon Ball (chocolate and pecan), Caramelled, Cowboy (smoky cigar and leather) as well as a mocha version. Check out Kentucky Knows coffees by clicking here!
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Last month Wyoming Whiskey's Small Batch Bourbon was reviewed. It turns out Wyoming Whiskey isn't just a stellar producer of some awesome hooch, they have some great gear as well.
Our Own Steve Akley recently got one of their hats and hasn't stopped wearing it since. Steve reports what he likes about this particular hat is the fact it has a mesh back but it doesn't sit on your head like a bucket as he reports most trucker hats do.
To visit Wyoming Whiskey's "Gear and Goods" store, click here.
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Moonshine University has been utilized by many distillery owners as they get started in the distilled spirits business. Their introductory courses don't just appeal to business owners, though, they also being utilize by the bourbon fans as well. The curriculum helps those interested in bourbon including a thorough analysis of the individual components of the distillate and the production process, as well as an examination of history, context, standards of identity and bourbon's relationship with other whiskeys. You can check out the courses offered via Moonshine University by clicking here!
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FarmHouse Fresh's Bourbon Body Scrub is a popular item for men and women in spas across the United States. Brown sugar and bourbon combine in this rich gingersnap and pecan scented fine body scrub. It leaves your skin feeling soft with no greasy residue. You can pick up a jar of the Bourbon Body Scrub by clicking here!
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A Rare Eagle
Submitted by Suttree Stan
- 2 ounces stout beer
- 1 1/2 ounces Eagle Rare Bourbon
- Mix it
- Drink it

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Ginger Julep
Submitted by Rebel Yell
- 2 ounces Rebel Yell Ginger Bourbon Whiskey
- 1 ounce simple syrup
- 5 springs of fresh mint
- Muddle fresh mint at the bottom of a derby glass.
- Build the drink by adding crushed ice, simple syrup and ginger bourbon whiskey.
- Stir until very cold.
- Garnish with more fresh mint and serve.

Look at what showed up at B.Z. Headquarters:

Heritage Distilling Brown Sugar Bourbon
This actually caused us to have two questions:
1. Why didn't someone think of this sooner?
2. More importantly, why did WE think of a bourbon infused with brown sugar?
This will be reviewed by a couple B.Z. reviewers in upcoming editions (hint, it's delicious). In the meantime, Steve Akley created a quick cocktail with it:
The Kodiak
- 1 1/2 ounces Heritage Distilling Brown Sugar Bourbon
- 5 ounces iced tea
- 1 tablespoon honey
- Combine all ingredients in a shaker with ice
- Shake well
- Strain into a copper mug
- Top off mug with crushed ice
- Drizzle a small amount of honey across top of crushed ice
This one is nice and refreshing on a hot day.
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News About Bourbon the B.Z. Team has Heard
With the popularity of bourbon at an all-time high, the rumor mill is probably also at an all-time high as well. So much so, Buffalo Trace recently released a statement which addresses some of the many rumors they have heard about their company and products. Here's a summary of what they said:

--The Elmer T. Lee and Weller 12 brands are not being discontinued. - There were rumors about Elmer T. Lee taking the secret mashbill to his grave and his heirs suing to discountinue production of Elmer T. Lee...all FALSE!
--Eagle Rare is not losing it's age statement. The 10 year age statement had been on the neck band on the front but will remain on the back. This isn't a transition like we have seen with other brands. Furthermore, Buffalo Trace has stated they are not removing the age statement from any of it's brands.
--Buffalo Trace brands have become hard to find because it's being shipped to China, Japan and other markets overseas. This is also false... mostly. A limited amount is sold internationally but the bulk of Buffalo Trace's products are still sold in the United States. The increasing popularity of the Buffalo Trace products means the company continues to allocate it's products to ensure all states get a share of what they are able to produce....
One thing Buffalo Trace is currently doing to meet the growing demand is to allocate 200 million dollars over the next seven years to expand operations. All of these dollars are going to operations to expand production and distribution...

Speaking of Buffalo Trace, they are known for their experimental releases. Tinkering with different mash formulas, non-traditional grains, different ways of aging their products, etc. It all began in 1984, under the tutelage and direction of legendary Master Distiller Elmer T. Lee (oh how we love Elmer T. Lee at Bourbon Zeppelin). Lee, along with then Distillery Supervisor Harlen Wheatley, turned the historic distillery into a science lab with their unique approaches to distilling. Fast forward to today, some 32 years later... Would you like to guess how many experiments now Master Distiller Harlen Wheatley has in the works?
Oh, we bet you would. To keep it a little fun, we have the answer at the bottom of this month's newsletter (right below Hasse Berg's column). Be sure to take a guess first before scrolling down!...

Journeyman Distillery has released the fourth batch of their Kissing Cousins brand which takes their Featherbone Bourbon and finishes it for six months n used wine barrels from Wyncroft Winery.

The Bourbon Virgin Tries...

Wild Turkey 101
(101 proof)
For my second taste test, I was given Wild Turkey 101. I had been pumping myself up all week for this go-around and felt like this was going to be it; the moment I say goodbye to my college drinking habits and hello to adulthood. I had a perfect setting; beautiful 75-degree weather, nice comfy chair on the deck, and good company. I even busted out an old bar cup I had that helped make the drink look fancy and mature. I put some ice in it, swirled it around a bit, and sat back in my chair. And boy, not even seconds after the first sip of the turkey syrup, I shot up straight in my chair!
Well. I’ve decided I don't think I'm quite ready to let go of my Bud Light and cherry bombs. Maybe there can be a cherry bourbon made? Maybe there already is? I wouldn’t have a clue, I’m the virgin here lol! Wild Turkey tastes like someone took a turkey, ran it over with big truck tires like 20 times, soaked it in gasoline and then squeezed it like an orange to get all the liquid out. Maybe not the best description, so let’s just say it tastes like death.
The fun thing about drinking it is, I think if I had a flame I could barely breathe on it and I'd have an amazing blow torch. Yes! I’d walk around the neighborhood asking people if they would like me to start up their grills or bonfires!
The positive thing about drinking bourbon is it definitely won't take me much to get a pretty damn good buzz! Another positive to this evening’s taste test, is I had a nice, cold Bud Light to chase it down with.
And, yet another positive, I actually took five swigs of the drink compared to my one from the first taste test. See! Progression!
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