Dear Client: Today Anheuser-Busch announced a partnership with Texas-based ready-to-drink cocktail company Canteen Spirits. The partnership includes a Master Distributor Agreement and a minority investment through A-B’s ZX Ventures.  Canteen Spirits launched in 2019 by Brandon Cason and Daniel Barnes. The company has experienced rapid growth, selling 517,000 cases of RTDs in 2020. The portfolio … Continue reading “Anheuser-Busch Takes on Another Spirits RTD, Canteen Spirits”

Dear Client: After being heavily weighed down by declines in travel retail and on-premise, Pernod Ricard benefited from a performance boost in Q3. Global sales were up 19% for the third quarter ended March 31, bringing the group’s nine-month sales growth up to nearly 2%.  “Our Q3 was excellent, marking a return to organic sales … Continue reading “Pernod Sees Return to Sales Growth in Q3, Expects Acceleration in Q4”

Dear Client:Constellation Brands-backed Canopy Growth Corp. has signed a distribution agreement with Southern Glazer’s Wine & Spirits to handle Canopy’s CBD-infused beverage portfolio in the US, WSD has learned. “We’ve partnered with Southern Glazer’s as they share our future-forward view of the category and by working with them we have an immediate advantage of our route … Continue reading “Southern Glazer’s to Distribute Canopy Growth CBD Beverages in the US”

Dear Client: The low/no alcohol category is still a relatively small piece of the total bev alc pie, but it’s growing double-digits year-over-year, particularly as consumers’ focus on health and wellness only increases and more and more products are introduced in the space. Indeed, your editors have increasingly reported on new low and no-alc products, … Continue reading “Sizing Up the Low & No Alcohol Category”

Dear Client: A recent craft spirits survey found that direct-to-consumer shipping generated an average of nearly 40% of total craft distiller sales— for those able to take advantage of the channel— in 2020 [see WSD 03-31-2021]. It’s clearly a channel that’s become increasingly important for the craft spirits industry, and indeed was a topic that … Continue reading “DTC Channel as a “Marketing Vehicle” for Craft Spirits”

Dear Client: Multiple lawsuits have challenged the Texas Alcoholic Beverage Control’s public corporation ban, which prohibits public companies from selling spirits in the Lone Star State. But the rule has held fast. This month, Walmart’s case against the ban officially closed and Texas-based Gabriels Investment Group lost its appeal.  First, let’s look at Walmart’s case. … Continue reading “Courts Uphold Texas ABC’s Public Corporation Ban”

Dear Client: Today Brown-Forman announced that cfo Jane Morreau will be leaving the company on July 1. Leanne Cunningham, current B-F svp, shareholder relations officer, global commercial finance and finance planning and analysis, will take over for Jane on July 2. Jane joined B-F in 1991 and worked her way up the finance ladder. “I … Continue reading “Brown-Forman Names New CFO”

Dear Client:Today Diageo announced it has acquired spirits-based ready-to-drink brand Loyal 9 Cocktails from Sons of Liberty Spirits Company, per a release. Terms of the deal were not disclosed, but it will be funded through existing cash resources.  Loyal 9 Cocktails launched in 2018 in Rhode Island. The spirit-based RTD clocks in at 9% abv and … Continue reading “Diageo Acquires Spirits-based RTD Loyal 9 Cocktails”

Dear Client: Earlier this year, Vintage Wine Estates announced a definitive agreement to merge with Bespoke Capital Acquisition Corp., a special purpose acquisition company (SPAC), which will also take VWE public. Shortly after that announcement, Duckhorn Wine Co. moved forward with an initial public offering.  What spurred these wine companies to go public? Does this … Continue reading “Why You Likely Won’t See a “Rush of SPACs” Entering Bev Alc Space”

Dear Client: A number of states are currently grappling with the retailer shipping issue, legislatively and through the court system. So far this year, out-of-state retailers aren’t faring well in their respective cases [see WSD 02-19-2021]. The latest? Illinois-based The Chicago Wine Company’s lawsuit against Indiana’s shipping statutes.  BACKGROUND. Illinois-based The Chicago Wine Company filed … Continue reading “Judge (Mostly) Sides with Indiana, Upholding Retailer Shipping Statutes”

Dear Client: Pre-pandemic, Ghost Tequila, a spicy 100% Weber Blue Agave tequila, was doing about 70% of its business on-premise. The company quickly shifted its focus to the off-premise, and managed to grow almost 80% in 2020.  “We immediately refocused our teams [to the off-premise] and, fortunately, we didn’t have a down month last year,” … Continue reading “Ghost Tequila CEO on Cornering the Spicy Tequila Market”

Dear Client: Constellation Brands ended its fiscal year (ended February 28) with total net sales up 3%. The company’s wine and spirits business reported depletions down 2.8% and net sales down 7% for the year. But on an organic basis, wine and spirits net sales were up 2%.  “Fiscal 2021 was a year of significant … Continue reading “Constellation’s Fiscal ’21 a “Year of Significant Progress” for W&S Biz”

Dear Client: Wildfires on the West Coast burned millions of acres across California, Oregon and Washington this past year, with about 17 wineries damaged in Napa alone. There have also been significant fire events in 2017 and 2019 as well. It would seem preparing for disaster is part of the norm.  As part of those … Continue reading “Napa County Looks to Spend $42M on Preventative Wildfire Measures”

Dear Client: Yesterday we published the first part of our conversation with Delicato Family Wines chief Chris Indelicato [see WSD 04-05-2020]. Today we’ll pick up right where we left off.  Wine & Spirits Daily: Let’s talk about innovation. Delicato recently launched Bota Box Breeze – a low cal, low alc play. Why get into that … Continue reading “Part II: Delicato Chief Talks Innovation, Potential M&A, and More”

Dear Client:Today E&J Gallo announced its spirits division has signed an agreement to acquire Agave Loco LLC, the owner of cream liqueur brand RumChata. No financial details were disclosed. The acquisition includes the RumChata brand, and Midwest Custom Bottling LLC (MCB), which produces RumChata. MCB-owned The Tippy Cow and Holly Nog brands are also included in … Continue reading “Gallo Adds Cream Liqueur Brand RumChata to Spirits Portfolio”