Shaking up the spirits industry with a shot of innovation

Local entrepreneur taps into $20 billion RTD market with shatterproof, portable tequila shots

by Len Lear
Posted 9/12/24

Long-time Chestnut Hill resident John Panichello, 62, had a very successful sports memorabilia business for many years. In fact, his company, B.C. Sports, had 50 stores up and down the East Coast. But then came the pandemic in March 2020, which had the impact of a walk-off grand-slam home run by the opposing team.

"All of my businesses shut down," Panichello recalled last week. "I realized I would have to find a problem and come up with a solution to that problem. That's what entrepreneurs do. It just so happened that my wife, Bridget, and I went on a vacation to Puerto Vallarta, Mexico, …

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Shaking up the spirits industry with a shot of innovation

Local entrepreneur taps into $20 billion RTD market with shatterproof, portable tequila shots

Posted

Long-time Chestnut Hill resident John Panichello, 62, had a very successful sports memorabilia business for many years. In fact, his company, B.C. Sports, had 50 stores up and down the East Coast. But then came the pandemic in March 2020, which had the impact of a walk-off grand-slam home run by the opposing team.

"All of my businesses shut down," Panichello recalled last week. "I realized I would have to find a problem and come up with a solution to that problem. That's what entrepreneurs do. It just so happened that my wife, Bridget, and I went on a vacation to Puerto Vallarta, Mexico, at the time. Maybe it was the sun setting over the Sierra Madre Mountains or the large cruise ships pulling into port or the quality margarita I had just poured, but I came up with a unique twist on the 'shot' idea of putting premium tequila in a resealable, twist-off lid in a shatterproof shot vessel."

He continued, "It would come in a six-pack that could go anywhere where it is inconvenient or frowned upon to bring a 750-ml glass bottle, like the beach. Since they would be shatterproof, they would be ideal for the pool, beach, boating, tailgating and sporting or concert events."

Panichello was in the Mexican state of Jalisco at the time, which is the birthplace of the agave plant. Tequila can only be made from the blue agave plant, which takes seven or nine years to mature. The plants feed on natural rainwater and are baked in an artisan masonry oven. The distillation process uses stainless steel stills and copper reactors to create the tequila.

You may have noticed the recent trend of pre-made cocktails in small cans that are now available not only in State Stores but also in supermarkets and convenience stores. According to New Food Magazine, "The emergence of canned cocktails represents a departure from traditional norms, offering consumers the convenience of pre-mixed, ready-to-drink (RTD) beverages without compromising on taste or quality. The canned cocktail revolution can be traced back to the early 2010s, with its origins rooted in the broader trend of convenience. While cocktails in cans have been around for decades, it was during the last several years that they began to gain traction as a mainstream beverage choice."

RTD cocktail sales in the U.S. reached $20 billion last year, according to futuremarketinsights.com, and that number has been increasing every year in the past decade. The biggest selling cocktail is the classic margarita, whose main ingredient is tequila. The shelf life of RTDs is approximately one year.

Panichello has worked on creating a new tequila brand, Juan Pistolas, which has led to his own store at Liberty Place, 1625 Chestnut St., which will likely be open by the time this article appears. Panichello also expects to have the product available soon in the area's Walmart and Acme stores.

"You have to go through the Pennsylvania Liquor Control Board (PLCB)," he said. "It's a complicated process. And we can go directly to regional buyers for chain stores and convenience stores. I'm now licensed to do this business in Pennsylvania and New Jersey in bars, restaurants, chain stores and liquor stores."

Where did the name Juan Pistolas come from? "While we were in our condo (in Mexico)," Panichello explained, "I sat down to relax and watch TV. A 1966 Mexican Western came on the screen. The title was 'Juan Pistolas,' and it perfectly captured the feel and look of my concept, so I purchased the rights to the name. I instantly had the perfect name, and the concept was complete."

Panichello uses a company in Lansdale, Boardroom Spirits, to make all of his products. In addition to tequila, he expects to produce other products such as vodka, mezcal, gin, rum, bourbon and cocktails such as espresso martinis, bloody Marys, tequila surprise and seltzers under 12.5% alcohol. They will be available soon in the Rotunda store at Liberty Place. One 3-ounce canned shot is $4, or $3 for a mixed drink. A six-pack is $25 and a 750-ml bottle would be in the high $30s.

Panichello's first shipment of tequila came at the end of 2022. The PLCB put the product in 140 stores at first. About 65 still have inventory, and the rest sold out. "I will be OK being in 10 to 15 PLCB stores in the Philly area," said Panichello, "and I expect to have five retail stores of our own."

One Chestnut Hill resident who is sure Panichello will succeed is chiropractor Jeffrey Sklar. "When I met John, a patient of mine," said Sklar, "I was struck by his passion to keep busy and creative during the pandemic. He told me about the passion he found for agave and making tequila. The way he turned his passion into a brand is quite impressive to me ... One more thing that is incredibly likable about John is that he is a huge Bruce Springsteen fan!"

Some of Panichello's products can be ordered online at juanpistolas.com.

Len Lear can be reached at lenlear@chestnuthilllocal.com.