Dear Client:Earlier this year, E&J Gallo entered into an agreement with Constellation Brands to purchase more than 30 wine and spirits brands, as well as six winemaking facilities in California, Washington and New York, for $1.7 billion. Jon Moramarco, BW166 founder and Gomberg, Fredrikson & Associates editor, explored market share and other financial impacts pre-sale v. … Continue reading “Gallo/ STZ Deal: Pre-sale v. Post-sale by the Numbers”

Dear Client:The Distilled Spirits Council has been pretty busy in the last year from bringing on new chief Chris Swonger to dealing with tariffs and advocating for the Craft Beverage Modernization and Tax Reform Act (CBMTRA) to working more closely with  Last month the Distilled Spirits Council jointly launched a new platform to support spirits … Continue reading “DISCUS Chief on Tapping into Broader Audience to Advocate for Industry Issues”

Dear Client:Last month, Treasury Wine Estates announced that Americas chief Victoria Snyder left the company and Angus McPherson took over as the new president – Americas and global sales [see WSD 08-27-2019].  At the company’s annual investor day meeting last night, Angus discussed TWE’s current position in the US market and key strategies to support growth … Continue reading “New TWE Americas Chief Details 3 “Strategic Imperatives””

Dear Client:On Thursday, the Pennsylvania House Liquor Control Committee passed a bill (HB 1512), sponsored by state Rep. Jesse Topper, to repeal the state’s flexible pricing model for alcohol in a 15-10 vote.   BACKGROUND. In 2016, Pennsylvania passed new alcohol legislation, which included wine in grocery and direct wine sales as well as implemented a flexible … Continue reading “PA Legislators Take Step Toward Repealing Flexible Pricing Program”

Dear Client:US whiskey (including bourbon, Tennessee and rye) accounts for 11% of global whiskey volumes and almost 20% of category value, a market share it’s maintained over the last 10 years. “We believe the category has strong further volume growth and premiumization potential, especially outside the USA,” writes Bernstein analyst Trevor Stirling in a recent … Continue reading “Top 6 Players in US Whiskey Control 90% of Volumes”

Dear Client:Earlier this month, ShipCompliant’s mid-year direct-to-consumer report showed that rose has slowed down in 2019 after an eight-year growth trajectory [see WSD 09-06-2019]. That got us thinking, how’s the category doing outside the DTC channel?  GROWTH IS SLOWING. Rose is also showing much slower growth rates in Nielsen-measured channels.  Through mid-2017 and mid-2018, rose table wine … Continue reading “A Bird’s Eye View of Rose”

Dear Client:Oregon-based Eastside Distilling has acquired Azunia Tequila, making it the company’s second national brand and first foray into the tequila category. The deal opens doors for Azunia as well as Eastside.WHY AZUNIA? In a corporate update call this morning, Eastside interim ceo Steve Shum explained the company was looking for several key elements in … Continue reading “Eastside Distilling Buys Azunia Tequila, Provides “Significant Growth Opportunity””

Dear Client:Total beverage alcohol is growing this year in terms of total consumer spending. Spirits continue to pick up share, while beer continues to lose share and wine growth has been flattening out. The wine category is slowing, but still growing. “There’s not quite as much growth so everyone has to work harder,” said Jon Moramarco, … Continue reading “How the Biggest US Wineries are Stacking Up in 2019”

Dear Client:It can be tough for a new winery to stand out among the thousands of wineries nationwide. Napa Valley-based Tarpon Cellars has partnered with music streaming service Spotify to connect with consumers and share their story.WHO IS TARPON CELLARS? Tarpon Cellars was founded in 2017 by winemaker Jeremy Carter. Jeremy’s been in the wine … Continue reading “Napa Winery Partners with Spotify to Connect with Consumers”

Dear Client:Earlier this week we published the first part of our conversation with Breakthru Beverage Group president and ceo Greg Baird [see WSD 09-09-2019]. Today, we’ll pick up right where we left off in the conversation. Wine & Spirits Daily: Let’s talk about trends in the distributor tier. Will we continue to see consolidation?Greg Baird: We … Continue reading “Greg Baird: Distribs are “Much More” than Just Sales & Logistics Companies Now”

Dear Client:The initial batch of Labor Day stats are in, and beverage alcohol sales were up across all categories. Wine sales were up 2.5% for the week through August 31, outpacing its current year to date trend of 1.8% in all Nielsen-measured channels. Spirits also outpaced its current year to date sales trend for the holiday … Continue reading “Cans, RTDs Sales up High Double-Digits over Labor Day”

Dear Client:Total Wine & More certainly stays busy in the court system. On Friday, the Second Circuit refused Total Wine’s request for an en banc review. Interestingly, several Second Circuit judges think that’s the wrong move.  BACKGROUND. Total Wine filed a federal lawsuit against Connecticut in 2016, alleging the state’s practice of setting minimum prices for … Continue reading “Appeals Court Denies Total Wine Rehearing, But Judge Calls that a “Missed Opportunity””

Dear Client:Breakthru Beverage Group operates in about 14 US markets plus Canada. That footprint would have expanded if the deal with Republic National Distributing Co. had gone through. But Breakthru chief Greg Baird says it’s already water under the bridge and that the company continues to look for opportunities to grow the business.  Your editor recently … Continue reading “Breakthru Chief Talks RNDC Deal, Performance & Cannabis”

Dear Client:Direct-to-consumer wine sales have slowed in the first half of 2019, though still at a clip about 7x faster than the overall wine market. In general, the wine category is growing about 1%-2%, while the DTC wine market is up 4.6% in volume and 7% in value, according to ShipCompliant and Wines Vines Analytics … Continue reading “Rose Popularity Drops in DTC Channel”

Dear Client:Bardstown Bourbon Company ceo David Mandell is stepping down after five years at the helm. The BBCo board of directors has appointed BBCo board member Mark Erwin as its new president and ceo. David will remain a minority shareholder in the company, per a release. “It has been an honor to serve as the ceo … Continue reading “Bardstown Bourbon Co. Names New CEO”