Although the production method may seem somewhat gimmicky, Hangar 1 is genuinely committed to crafting a unique—albeit pricey—vodka that consumers will appreciate for its limited-edition allure and quality. The company claims that all profits from Fog Point will support water conservation efforts in California, effectively appealing to the growing consumer demand for mission-driven sustainability initiatives. FogQuest, a Canadian company, produces mesh fog-collectors that gather fog in the Bay Area. This fog is then vaporized, with the vapor being collected and converted back into liquid form. According to head distiller Caley Shoemaker on the company’s website, vodka is composed of 60% water, and the addition of fog contributes salinity and minerality to the beverage, qualities that could entice adventurous spirit enthusiasts. Hangar 1 also offers a range of other premium vodka varieties, including infused options, but this “Fog to Bottle” technique enhances the overall experience.

Consumers of spirits are increasingly seeking upscale versions of their favorite drinks, which has led to a surge in sales of premium tequila, gin, and bourbon. Additionally, the millennial inclination towards vintage cocktails and high-quality sipping liquors is driving retail sales of whiskey, tequila, bourbon, and gin. A 2016 survey revealed that these shoppers are more inclined to consume alcohol than baby boomers or Gen Xers and enjoy experimenting with various brands and types of alcohol. This trend has benefited companies like Bacardi, Constellation Brands, and Brown-Forman, as they acquire premium labels and launch their own products within this segment.

In the highly competitive alcohol industry, effective positioning and differentiation are essential for success, prompting companies to continually seek new value propositions that will attract adventurous drinkers. In the beer sector, for instance, Lagunitas introduced a cannabis-infused product last year, while CERIA Beverages plans to launch a line of cannabis-infused, non-alcoholic craft beverages. In the beer and wine markets, innovations like aging beer on bourbon barrel staves and blending red wine in similar ways are becoming popular.

Whether these marketing strategies will endure or prove to be mere fleeting trends remains uncertain. Products must substantiate their advertising claims with high quality and a price point that aligns with the average consumer’s expectations. While a price tag of $134 per bottle may not fall within that range, Fog Point vodka is a limited-edition offering, likely not intended for everyday cocktail bases. However, it may entice consumers to explore the company’s more affordable vodka options, which could be a clever strategy. Moreover, the presence of calcium carbonate citrate in the production process may enhance the overall mineral profile, attracting even more adventurous drinkers to this unique vodka experience.