Stateways March April 2018

StateWays is the only magazine exclusively covering the control state system within the beverage alcohol industry, with annual updates from liquor control commissions and alcohol control boards and yearly fiscal reporting from control jurisdictions

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2018 GROWTH BRANDS - SPIRITS WELCOME TO THE HALL OF FAME This year, two spirit brands won their 15th Growth Brands Award, making them eligible for induction into the Growth Brands Hall of Fame. The winners are: Juarez Tequila Jameson Irish Whiskey Each Hall of Famer will receive a profi le in the May/June issue of Beverage Dynamics and be honored at the Growth Brands reception during the WSWA Convention in Las Vegas. This year's inductees join a select group of brands that have entered the Growth Brands Hall of Fame since it was created in 2015: SPIRITS Bombay Sapphire Burnett's Vodka Captain Morgan Crown Royal Hennessy Johnnie Walker Ketel One Maker's Mark Patron Remy Martin Sauza SKY Y Vodka Svedka WINES Chateau Ste. Michelle J. Lohr Estates BEERS Blue Moon Corona Extra Corona Light Dos Equis Modelo Especial Pabst Blue Ribbon Pacifi co Shiner Bock Stella Artois Yuengling Keep an eye out for the full write up of the Hall of Famers in the next issue! DISTILLING SUCCESS BY JEREMY NEDELKA SPIRITS SUPPLIER OF THE YEAR: BROWN-FORMAN (000 9-liter cases) '16-17 Brand 2017p % Change Woodford Reserve Double Oaked 35 34.6% Woodford Reserve Rye 28 47.4% Woodford Reserve 469 17.0% Herradura 179 13.3% el Jimador 572 10.9% Jack Daniel's Tennessee Honey 709 3.4% Jack Daniel's Country Cocktails 985 15.3% Jack Daniel's Tennessee Rye 32 Source: The Beverage Information & Insights Group. (p) Preliminary A ccording to the Beverage Information & Insights Group, distilled spirits sales increased 2.3% in 2017 to more than 226 million nine-liter cases, continuing a growth trend for the industry that goes back more than two decades. While gin and rum sales saw another year of decline and vodka saw tepid growth, tequila and whiskey sales increased yet again. This year's list of Growth Brands winners includes 48 brands in four categories: Rising Stars, Fast Track Brands, Established Growth Brands and Comeback Brands. Together, they represent more than 57 million cases sold in 2017. The biggest brands on the list are Crown Royal and Tito's, which together sold more than 10 million cases. Close behind are New Amsterdam, Jim Beam, Fireball, Svedka and Hennessy. This year's Supplier of the Year, Brown-Forman, had eight spirits brands on the list. More about that award, and about Juarez and Jameson joining the Hall of Fame, in the May/June issue of StateWays. How did these winning brands achieve their sustained growth in 2017? Some uti- lized creative activation programs, some expanded their distribution area, some re- leased line extensions to appeal to new consumers and some are capitalizing on current industry and consumer trends. WHISKEYS LEAD THE PACK Established Growth Brand and Hall of Famer Crown Royal grew 8.5% last year, with nearly 5.8 million cases sold. The brand has expanded every year recently with new line extensions, including vanilla and the popular Regal Apple. In 2017, Crown Royal fo- cused its advertising on charitable promotions and giving back. "One of our most successful off-premise initiatives was the "Gift That Gives Back" promotion in support of the troops," says Michelle Sibley, associate manager of culture and partnerships at Diageo. "The brand encouraged consumers to donate Crown Royal bags they had collected and then we, in partnership with Packages From Home, sent donations to the troops." Crown Royal also partnered with the NFL in 2017, running ads on television and in StateWays | | March/April 2018 15

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