Nouns is considering venturing into the lucrative alcoholic beverage industry with the launch of Nouns Whisky, with the potential to tap into the $17.5 billion annual turnover. This article looks into the potential strategy of Nouns to make its mark in the alcoholic beverage industry and how they could establish themselves as a major player if they decide to move forward with the plans
What is Nouns Whisky?
Building on their success, Pierre Coetzee and Andre Pienaar have achieved their goal of creating a revolutionary spirit. If their Prop of 102 ETH, the South African entrepreneurs would able to produce a 3-year old Nouns Whisky. With the help of the Treasury of the Nouns DAO, they would be crafting a 7-year old premium whisky. If successful, the dynamic duo’s ambitious project will undoubtedly reshape the whisky industry and the world of spirits.
What are the costs associated with the project?
The Nouns Whisky project is set to launch a limited-edition offering of 500 oak barrels, each containing 40 bottles of premium whisky. Global marketing, production and management costs will be supported by a total of 30 ETH, and an additional 20 ETH will be allocated towards the purchase of the barrels, along with the necessary spirits and labor.
The barrels and bottles will be put up for sale on OpenSea, with each barrel priced at 0.35 ETH (approximately $450). As part of the project, 5% of the profits will be allocated to the Nouns DAO and Nouns Whisky in the form of a creator’s royalty. The barrels and bottles can be re-sold, and the bottles will be shipped worldwide, provided that the buyer is of legal age and can present valid identification upon claiming their order.
In addition to the sale of the whisky barrels and bottles, the Nouns Whisky project will also launch a whisky club, a pop-up bar, and an Instagram, Twitter, a website, and a newsletter.
What is the current business model of Pienaar & Sons Distillery?
Pienaar & Sons Distillery, located at Cape Town’s V&A Waterfront, has successfully developed a business model in the whisky industry. Their Tiny Batch Whisky – Heavy Char is produced and stored in two 185 litre barrels, which evaporate to over 1100 bottles. The bottles each retail for 0.032 Eth in South Africa, resulting in 35.42 Eth in gross income and 23.20 Eth in net profit, after advertising costs. This gives a return of investment of 994%. The whisky has also been awarded a Bronze Medal at the World Whisky Awards – Single grain, Single cask.
What are the challenges and opportunities associated with the Nouns Whisky project?
Nouns DAO is hoping to make a splash with their ambitious Nouns Whisky project. Led by Pierre, Andre and Nouns DAO, the venture involves a number of challenges, such as acquiring 25L Oak Barrels, negotiating a 3-year storage facility lease, registering Sin tax licensing, setting up insurance and security, hiring labor, and installing a camera in the facility.
If the project is successful and all 4000 bottles are sold in 2026/2027 at $100 each, the DAO will receive 300 Eth, 10% of the net income from the distillery’s Nouns Whisky sales, and a 2.5% royalty from all sales on OpenSea in perpetuity.
The project also includes numerous opportunities, such as selling the whisky across South Africa, including bars, music festivals, major liquor outlets, pop-up bars and e-commerce stores. This creates sustainability and proliferation, as well as regular cash flow, social responsibility campaigns and donations to charities. Nouns Whisky can invest financially in music events, artists, musicians and any other strategic partnerships as well as releasing another batch of whisky each year.
What is the potential of Nouns Whisky?
Nouns Whisky is an innovative product that could revolutionize the whisky industry. With the right marketing and distribution strategy, it could reach a wide audience and create a steady revenue stream for its creators.
The Whisky sector is mostly controlled by brands with a great tradition and not very prone to use innovation in their product. Nouns Whisky could use all the opportunities offered by web 3 to create a better user experience that could attract consumers to this new model.
How will Pierre and Andre succeed?
To succeed in their whisky-making venture, Pierre and Andre must ensure their project runs smoothly from start to finish. This means acquiring the necessary funds, adhering to industry regulations, and building a well-connected network of collaborators to help with distribution and consumption. They must also form and implement an effective marketing strategy to reach the right customers and promote the worth of their whisky.
The responsibility they have to have created the project is really important and the future of the project depends on the proper execution of their idea.
The project has numerous challenges, but also vast opportunities that will enable the project to reach a wide range of customers, both in South Africa and around the world.We will keep you informed, in case the proposal is supported by the DAO, on how the project evolves. This is a sector in which Nouns can bring a disruption to the the actual model and lead a $17.5 billion industry.