Dear Client:   Resolving tariffs has been towards the top of the Distilled Spirits Council’s priority list since the tariffs were implemented in 2018. As part of the trade group’s efforts to do so, late last week DISCUS submitted a comprehensive report on the current trade barriers impacting US spirits exports in response to the … Continue reading “The Top Trade Barriers Impacting Spirits Exports”

Dear Client:   The prepared cocktail segment has been steadily growing off a relatively small base in recent years and has really hit the gas this year, with sales up about 73% year-to-date.  The total prepared cocktail segment–which includes both the ready-to-serve and ready-to-drink single-serve options– has reached more than $260 million in sales the … Continue reading “A Look at the Top Spirits-Based RTD Brands”

Dear Client:  Similar to bev alc and other CPG categories, the US cannabis industry has been impacted by COVID-related trends like stocking up and increased consumption. BDS Analytics vp of commercial development Jessica Lukas explored the COVID impact on cannabis, the cannabis impact on bev alc consumption, as well as a few market predictions at the … Continue reading “If You’re Thinking About Getting into Cannabis, Now’s the Time”

Dear Client:  The pandemic has impacted individual companies very differently, with some taking a huge hit while others are seeing stronger growth. Chile’s Concha y Toro finds itself in the latter category, with net sales up 16.5% globally for the three months ended June 30 – the peak of quarantine measures in most markets. “To be … Continue reading “Concha y Toro’s Strategic Changes Drive Growth”

Dear Client:   Campari net sales were down 2.8% globally on an organic basis for the nine months through September, a big improvement over H2 thanks to a strong third quarter. Indeed, global sales were up nearly 13% in Q3.  In the US, Campari eked out 0.1% growth for the nine-month period, impacted by destocking … Continue reading “Campari Improves in Q3, Destocking Efforts Impact US Results”

Dear Client:  After just two years, Ste. Michelle Wine Estates chief Jim Mortenson is retiring, effective November 1, per a release. You may recall, Jim took the helm in 2018 following Ted Baseler’s retirement [see WSD 08-22-2018]. David Dearie has been named his successor. “The opportunity to work at Ste. Michelle Wine Estates was a wonderful … Continue reading “Ste. Michelle Chief to Retire”

Dear Client:   The latest data reports came in late last week, and your editor pored over them so you don’t have to. Premiumization is still holding strong for both wine and spirits, and the usual suspects were way up during the month of September with high-double-digit and even triple-digit growth rates.  SPIRITS SEGMENTS GROWING … Continue reading “Hennessy the Top Dollar Share Gainer in September”

Dear Client:   Grupo Cuervo is killing it right now, thanks to its strong presence in the fastest-growing spirits categories – tequila and RTDs. Global net sales were up 48.3% and volumes were up 26% for the third quarter ended September 30.  The US and Canada’s “robust volumes and sales growth” continued to drive “solid … Continue reading “Cuervo Growing like Gangbusters”

Dear Client:   After five years at the helm, William Grant & Sons ceo Simon Hunt is stepping down, as first reported by Just-Drinks. While the company hunts for a replacement, William Grant chair Glenn Gordon and cfo Giles Wilson will assume Simon’s responsibilities. Simon first joined William Grant in 2007, serving first as managing … Continue reading “William Grant & Sons CEO Stepping Down”

Dear Client:   Pernod Ricard showed “marked improvement” for the first quarter ended September 30, with global sales down 6%. Comparatively, sales were down 36% in Q4.  “Our first quarter is encouraging. Sales were still in decline, but the business has recovered significantly vs. Q4 FY20, thanks to the partial reopening of the on-trade and … Continue reading “Pernod Sales up 6% in the US in Q1, Expects Further Improvement in H2”

Dear Client:   It’s been a tough year for California’s wine country, to say the least. The fallout from a global pandemic and a series of record-breaking wildfires in the region have left many wondering what this year’s harvest will look like.  A recent survey from the Sonoma County Winegrowers gives us some insight into … Continue reading “Sonoma Winegrowers Could Lose More Than $150M in 2020”

Dear Client:   After a sales decrease of more than 30% in Q1, Remy Cointreau showed “significant sequential improvement” in the second quarter through September with total sales down just 4%. As a result, sales for the first half were down 16.4% on an organic basis.  “We had guided for a modest decline in Q2, … Continue reading “US Performance Buoys Remy’s H1 Results”

Dear Client:   The pandemic has created some unique financial challenges this year, to say the least. A panel of cfos at the recent Wine Industry Financial Symposium discussed their early reactions to COVID, channel shifting, handling furloughs/layoffs, and how they’re thinking about a post-COVID environment. The panel included: Cory Brown, cfo of Washington-based Long … Continue reading “Winery CFOs Talk COVID, Channel Shifting and Planning for the Future”

Dear Client:   Continuing the conversation around M&A activity in the COVID-era and beyond, Park Street University led a panel on acquisitions and partnerships and what strategic buyers are thinking during the virtually-held Bar Convent Brooklyn this week. The panel included Evis Savvides, operating partner, North America for Distill Ventures, the Diageo-backed accelerator program; and … Continue reading “Top M&A Themes: Convergence and Resilience”

Dear Client:   COVID-19 has impacted pretty much everything this year, including M&A activity. A panel at the recent Wine Industry Financial Symposium discussed how they’re thinking about M&A in the current environment. HOW DO YOU APPROACH VALUATION? The question that always pops up for any panel discussing M&A, regardless of a pandemic, is: how … Continue reading “How the Pandemic has Impacted the Wine M&A Landscape”