Cheers

Cheers April/May 2018

Cheers is dedicated to delivering hospitality professionals the information, insights and data necessary to drive their beverage business by covering trends and innovations in operations, merchandising, service and training.

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www.cheersonline.com 30 • April/May 2018 DISTILLING SUCCESS By Jeremy Nedelka A ccording to the Beverage Information & Insights Group, distilled spirits sales increased 2.3% in 2017 to more than 226 million nine-liter cases. This continues 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 posted tepid growth, tequila and whiskey sales rose yet again. This year's Growth Brands spirits 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 Corp., had eight spirits brands on the list. More about that award, and about Juarez and Jameson joining the Hall of Fame, in the June/July issue of Cheers. How did these winning brands achieve their sustained growth in 2017? Strategies ranged from creative activation programs, expanded distribution areas, line extensions that appeal to new consumers and capitalizing on industry 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 2018 Growth Brands Spirits 2018 Growth Brands Spirits Spirits Supplier of the Year: Brown-Forman Corp. (000 9-liter cases) '16-'17 Brand 2017p % Change Jack Daniel's Country Cocktails 985 15.3% Jack Daniel's Tennessee Honey 709 3.4% El Jimador 572 10.9% Woodford Reserve 469 17.0% Herradura 179 13.3% Woodford Reserve Double Oaked 35 34.6% Jack Daniel's Tennessee Rye 32 Woodford Reserve Rye 28 47.4% Source: The Beverage Information & Insights Group. (p) Preliminary Spirits Fast Track Brands (000 9-liter cases) '16-'17 Brand Supplier 2014 2015 2016 2017p % Change Tito's Handmade Vodka Fifth Generation 2,200 2,885 4,169 5,755 38.0% Bulleit Diageo 635 810 1,050 1,164 10.9% Woodford Reserve Brown-Forman Corp. 276 341 401 469 17.0% Don Julio Diageo 260 300 392 450 14.8% Hendrick's William Grant & Sons 246 288 322 355 10.2% Espolon Tequila Campari America 112 145 200 295 47.5% Milagro William Grant & Sons 164 187 218 242 11.0% Tullamore Dew William Grant & Sons 142 178 207 236 14.0% Olmeca Altos Pernod Ricard USA 76 125 160 207 29.4% Herradura Brown-Forman Corp. 127 140 158 179 13.3% D'Usse Bacardi USA 52 59 86 170 97.7% Reyka William Grant & Sons 60 82 100 115 15.0% Rebel Yell Luxco 54 65 97 110 13.4% Exotico Luxco 11 26 61 106 73.8% Western Son Vodka Western Son Distillery 11 17 52 101 94.2% Source: The Beverage Information & Insights Group. (p) Preliminary '16-'17 Brand Supplier 2014 2015 2016 2017p % Change Tito's Handmade Vodka Fifth Generation 2,200 2,885 4,169 5,755 38.0%

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