This drink is directly derived from the pierced nipple. Here is an early printing of this drink:
Option: Volumes 48-53 Sonic Options Network in 1993
"native named Jerome, is mixing free samples of exotic drinks with names like Purple Hooter and Buttery Nipple."
This drink was likely created by Dekuyper, given then name and time frame of the drink. Butterscotch Schnapps has been in production since at least 1987, however, DeKuyper introduced their "Buttershots" Butterscotch Schnapps in 1993. This introduction is accurate timing for the drinks apperance in literature. It seems likely they created this cocktail, it was also likely it was printed on the back label, much as all their created cocktails are.
There is no specific location associated with this drink and the given name is for obvious reasons. This drink belongs to a family of drinks named after terms generally associated with sex. This drink dates between 1992 - 1993 and contained at least as of then:
Layer these ingredients in a shot glass in this order:
Bailey's Irish Cream