Shanken’s Impact Newsletter, the leading source for exclusive data on the alcoholic beverage industry in the United States and internationally. Every issue features up-to-the-minute data and analysis on trends in the worldwide drinks market.
IN 2020, THE IRISH WHISKEY CATEGORY WAS HIT ESPECIALLY HARD BY ON-PREMISE shutdowns associated with the pandemic, enduring its first U.S. decline in memory. Last year, however, Irish whiskey resumed its long-term growth trend, surpassing 5 million 9-liter case depletions in the U.S. for the first time ever, according to Impact Databank. The U.S. is the largest single market for Irish whiskey in the world with about 40% share of worldwide volume, and it accounts for roughly 60% of global shipments on a value basis. Before the pandemic, Irish whiskey had been on pace to overtake total Scotch whisky consumption in the U.S. by 2025. The unexpected decline in 2020 upended those projections, but with on-premise re-openings again gaining steam Irish whiskey is back on the upswing and reverting to…
THE BROWN SPIRITS BOOM IN THE U.S. MARKET HAS been in motion for more than a decade, but consumer interest in whiskies of all kinds remains firmly on the rise. Despite supply chain issues that in some cases have held back brands on both the domestic and import sides, the American and Irish whiskey categories continue to forge ahead at a rapid clip. According to Impact Databank, straight American whiskey depletions surpassed 27 million cases in the U.S. last year, excluding flavors, up from 20 million cases in 2015. And the above-$25 segment is approaching 10 million cases after more than doubling in size over the past decade. Premiumization has also taken the top end of the Bourbon and rye segments much higher than in years past, with prized bottles now…
DIAGEO HAS ANNOUNCED the appointment of Debra Crew as global chief operating officer, and Claudia Schubert as president, North America, effective October 1. Crew has helmed Diageo North America since 2020, and is credited with driving market share gains and 20% organic net sales growth in fiscal 2021, and 13% organic net sales growth in the first half of fiscal 2022. In her new role, she will drive “continued performance momentum across Diageo’s markets, brands and supply operations globally, and will continue to report to Ivan Menezes, chief executive,” according to the company. Stepping into Crew’s post as head of Diageo North America is 20-year company veteran Claudia Schubert. Since being appointed president, US Spirits and Canada in 2018, Diageo says Schubert “has reshaped the market’s strategy, put in place…
REPUBLIC NATIONAL DISTRIBUTING Company (RNDC) has launched the Artisan Group (TAG), a new division dedicated to craft spirits. The group, led by vice president Simone Bianconcini, will be fully up and running by the end of the summer. TAG will unify RNDC’s craft portfolio and offer dedicated support for the craft market. Bianconcini has been with RNDC for 25 years and most recently served as vice president of sales for Kentucky. In his new role, he will report to Mike Young, senior vice president, spirits. “RNDC has a long history of finding, nurturing, and developing craft spirits brands using the strength of our local teams and their execution,” said RNDC COO Bob Hendrickson.…
CONSTELLATION BRANDS POSTED SALES UP 17% TO $2.36 BILLION IN ITS FISCAL first quarter ending in May, with operating income rising 10% to $793 million. Constellation’s beer business saw depletions rise almost 9%, driven by ongoing gains for Modelo Especial (+15%) and solid growth from Corona Extra (+4%). Modelo Especial Chelada and Pacifico also contributed growth to the beer unit, whose sales increased 21% to $1.9 billion, generating operating income up 13% to $763 million. The beer business continues to expect net sales and operating income growth of 7%-9% and 2%-4%, respectively, for its current fiscal year. On the wine and spirits side, net sales rose 2% to $465 million, while operating income slipped 13% to $91 million on increased costs. Constellation noted that its Aspira fine wine and crafts…
HEAVEN HILL BRANDS IS appointing current chief marketing officer Kate Latts and chief operating officer Allan Latts as co-presidents, effective September 1. Current president Max Shapira will be assuming the new role of executive chairman. Kate Latts, Max’s daughter, and her husband, Allan Latts, joined Heaven Hill in 2001 after graduating from Duke University and serving with Procter & Gamble with careers in marketing and finance, respectively. Kate leads the company’s marketing and brand management functions as chief marketing officer, while Allan serves as COO, overseeing operations, the corporate functions, strategy, and the newly acquired Samson & Surrey division. “Over the past twenty years, I have been proud to watch Kate and Allan grow and develop into roles of leadership and increased responsibility,” said Max Shapira. “They have added immeasurably to…
