Innholdsfortegnelse for July 1, 2021 i Shanken's Impact Newsletter

AFTER ACQUIRING WEST COAST REtailer BevMo last year, e-commerce player Gopuff has acquired Kentuckybased Liquor Barn for an undisclosed sum. “This acquisition brings two customer-focused brands together to introduce new products and experiences while rapidly accelerating Gopuff’s geographic footprint in the region as we continue our expansion,” said Daniel Folkman, Gopuff’s SVP, Business. The deal will see Liquor Barn, Party Mart, and DEP’s footprint of 23 stores provide infrastructure for Gopuff to integrate into its network of microfulfillment centers, currently numbering more than 275 around the country, plus its more than 160 BevMo stores on the West Coast. Gopuff added that the acquisition positions it “to support Kentucky’s Bourbon industry and its thousands of employees by working with distributors to expand access to products nationwide.”…

DIAGEO HAS INKED A DEAL TO BECOME THE FIRST OFFICIAL SPIRITS SPONSOR of the National Football League. The agreement, for which terms weren’t disclosed, will include opportunities for on-site activation and engagement with adult fans, as well as broadcast, digital, and social content from NFL Kickoff through the Super Bowl. The sponsorship will boost visibility with the NFL audience for brands like Smirnoff Vodka, Captain Morgan Original Spiced Rum, and Crown Royal Whisky. It will also include responsible drinking programs, integration into marquee events, and, starting with the 2022 season, involvement in the NFL International Series games in London. The move builds on the existing relationship between the NFL and Diageo, which already has 12 NFL team and stadium-specific deals in place.…

BOOSTED BY A 14% SURGE IN THE fourth quarter, Brown-Forman saw net sales for its full fiscal year ended in April increase 6% on an organic basis to $3.5 billion, with operating income rising 4% to $1.2 billion. In the U.S., net sales growth registered 10% for the fiscal year, driven by the company’s American whiskey and Tequila portfolios. Brown-Forman’s Woodford Reserve, Gentleman Jack, Old Forester and Jack Daniel’s Tennessee Apple whiskies all earned Impact “Hot Brand” honors for their 2020 performances in the U.S. market, and they were joined on the honor roll by stablemate Herradura Tequila, which competes in the upscale segment of the category. Globally, the overall Jack Daniel’s family saw sales increase 4% in the fiscal year, while the premium Bourbon portfolio including Woodford and Old…

THE SPARKLING WINE CATEGORY, INCLUDING IMPORTS and domestic labels, méthode champenoise and charmat method wines, as well as a variety of subregions and price segments, continues to expand in the U.S. Despite the Covid-19 pandemic, sparklers performed well in 2020, seeing total depletions rise in nearly every segment. Overall, imports eked out stronger gains, rising 3.7% to just under 14 million cases. Domestic products grew by 1.5% to just over 11 million cases. While the overall sparkling wine market rose, growth was not evenly distributed across price segments. Domestic sparklers performed best above $15 and below $10, with the workhorse brands sitting between declining slightly, by 0.2%. On the import side, Italian brands priced between $10-$20 performed very well, with the majority of leading brands growing, many at double-digit rates.…

HEAVEN HILL BRANDS HAS ANnounced the grand opening of the Heaven Hill Bourbon Experience in Bardstown, Kentucky. Originally opened in 2004 as the Bourbon Heritage Center by the late Harry Shapira, the visitor center has received a $19 million upgrade to become an interactive, educational space offering signature exhibits unique to the Heaven Hill Bourbon Experience. Heaven Hill has also launched Five Brothers Bourbon, paying tribute to the founding Shapira brothers. Five Brothers Bourbon is bottled at 45% abv and is a blend of whiskies aged five to nine years.…

AMAZON IS THROWING ITS SUBSTANTIAL WEIGHT BEHIND CANNABIS LEGALization. In a blog post, the retail giant’s CEO, worldwide consumer, Dave Clark, announced that Amazon’s public policy team will be “actively supporting” the MORE Act, the piece of federal legislation that would legalize cannabis at the federal level, as well as clear old convictions and reinvest in impacted communities. The MORE Act was reintroduced in the House of Representatives in recent days. Key Senators have also said they plan to introduce their own legalization measure in the near-term. Amazon’s announcement set off a round of conjecture over whether the retail behemoth could look to add cannabis to its mix of offerings sometime in the future. Amazon will no longer test employees for cannabis use as part of its drug screening program…

THE NEW YORK STATE SUPREME Court, Queens County, has rejected Total Wine & More’s appeal to open a second store in the state. The court issued a decision in favor of the New York State Liquor Authority’s (SLA) denial last June of a license to MCT New York Fine Wine & Spirits (also known as Total Wine) in College Point/Flushing, Queens. Judge Pam Jackman Brown agreed with the SLA in her June 16 decision that the applicant failed to meet the “public convenience and advantage” standard and dismissed the complaint. Total claims the SLA’s rejection was an “abuse of discretion” because the state agency isn’t empowered to protect interests of existing stores or eliminate competition. About 350 liquor stores in the area oppose the proposal and deny the need for…

MASSACHUSETTS-BASED WHOLEsaler Martignetti Cos. has appointed Chris Conrad as president of sales and marketing, effective October 1. Conrad will replace Mark Fisher, who recently announced he’ll be retiring on the same date. Conrad has been with Martignetti since 1995, most recently serving as senior vice president, wine. In his new role he’ll oversee sales and marketing across Martignetti’s business and will be responsible for all supplier and customer relationships. With operations across Massachusetts, Rhode Island, New Hampshire, Vermont, and Maine, Martignetti is the sixth-largest wine and spirits distributor in the U.S., with projected 2021 revenues of $1.35 billion. •Vintage Wine Estates has appointed Jessica Kogan as CMO. Kogan will also continue to serve as chief digital officer, overseeing all DTC channels and e-grocery omnichannel strategy. As CMO, her areas of…

IT WAS A DIFFICULT YEAR FOR CHAMPAGNE IN 2020, as the luxury-focused category struggled amid on-premise closures and the erratic business conditions brought on by the pandemic. But while shipments were down markedly for Champagne last year, the situation was much more stable at the consumer level, with U.S. depletions for the category slipping only 2.5%, according to IMPACT DATABANK. This year, all reports indicate that the bubbly business is not only recouping those losses but surging forward as the removal of restrictions unleashes pent-up demand among its consumer base. Top Champagne marketers are taking note, laying the groundwork for further growth with new advertising campaigns and novel bottlings aimed both at satisfying current consumers as well as cultivating new audiences. Moët Hennessy continues to dominate the Champagne business in…

THE U.S. HAS AGREED TO A FIVE-YEAR suspension of tariffs with both the European Union and U.K. related to their long-term dispute over aircraft subsidies. Earlier this year, the tariffs were suspended for four months, but that window was set to expire, adding renewed urgency to the situation for companies across multiple industries, including wine and spirits. The 25% tariffs in the long-running aerospace dispute include E.U. and U.K. levies imposed on U.S. rum, brandy, and vodka in November 2020. In addition, the U.S. had imposed 25% tariffs on liqueurs and cordials from Germany, Ireland, Italy, and Spain in October 2019, and on certain Cognacs and other grape brandies from France and Germany in January 2021. The U.S. had also tariffed French, Spanish, German, and U.K. wines as well as…

DELICATO FAMILY WINES HAS AGREED TO ACQUIRE FRANCIS FORD COPPOLA Winery, significantly bolstering Delicato’s premium portfolio. The transaction is expected to close in the coming month. Terms weren’t disclosed. The deal will add more than a million cases of volume to Delicato’s total, including Coppola’s Diamond Collection, retailing in the fast-growing $20 range. Impact Databank estimates that, including Coppola, Delicato’s volume was up 26% to 17 million cases last year, on a pro forma basis. The Francis Ford Coppola wine portfolio and two facilities in Sonoma County—the Francis Ford Coppola Winery and the Virginia Dare Winery located in Geyserville, including the Archimedes Vineyard—will join Delicato. Francis Coppola will take an equity stake in Delicato Family Wines and join the company’s board. Coppola CEO Corey Beck will join Delicato as EVP,…

TERLATO ARTISAN SPIRITS IS LAUNCHing a new Irish whiskey label, Dublin Ink, in a 50/50 partnership with Steven Nathan, founder of Guanxi and former managing director-international at Distell Group Ltd. With brand positioning inspired by the ink and warpaint adorning ancient Irish warriors, Dublin Ink is bottled at 90 proof and will retail at $40 when it debuts in September. Finished in Sherry casks, Dublin Ink is 50% malt, setting it apart from many competitors in the blended Irish whiskey segment. The new entry will initially launch in a run of 10,000 cases.…

•DISARONNO INTERNATIONAL HAS kicked off two new ad campaigns—one for the Busker Irish whiskey and one for Disaronno Velvet—with a $7.3 million investment. Both campaigns are underway and run through July 18 as part of Disaronno’s estimated $10 million advertising budget for 2021. The Busker’s campaign is called “Born to Be Here.” It’s aimed at millennial whiskey consumers and highlights the brand’s four expressions and heritage. “The New Dolce Vita,” aimed at promoting Disaronno Velvet, follows last year’s “The Endless Dolce Vita” ad push and is intended to embody a modern Italian sensibility. •OREGON’S HOOD RIVER DISTILLers has relaunched Easy Rider Kentucky Straight Bourbon with a new look. The whiskey is bottled at 40% abv after maturing for four years. The new packaging was designed by North and features a…