just On Call - Beer coup boosts wines, spirits retail power - Constellation CFO
Constellation has increased its beer sales
Bob Ryder told analysts yesterday (2 July) that Constellation “definitely has a bigger seat at the table” in conversations over shelf space and distribution points. Constellation became the third biggest brewer and beer seller operating in the US market after taking control of Modelo brands last month.
“Beverage alcohol is probably the most important category at retail, especially among chain and mass merchandise retailers, and as the third largest player overall that puts us in an important position,” Ryder said. “We have increased points of distribution in wines, spirits and beers so we think that we should be seeing continued favourable trends because of this.”
In first-quarter results released today, Crown Imports, the beer JV in the US with Grupo Modelo that Constellation has acquired, saw net sales increase by 5%.
CEO Rob Sands said in the call that sales were driven by brand “juggernaut” Modelo Especial, which sells more than 40m cases a year and “continues to grow in the 20% range”.
“The other thing that's happening is that the import category is doing better than the sub premium and premium categories," Sands added. "I think that our marketing also continues to resonate with the consumer and our equity continues to resonate.”
For a full round-up of just-drinks' coverage of Constellation's Q1 results, click here.
The final just-drinks management briefing of the year takes a look back at the last 12 months in the global drinks industry. The penultimate chapter in this five-part briefing reviews 2013 for wine....
With the end of the year looming, just-drinks is running a series of 'Top Tens of the Year' in the run-up to Christmas. Here are the ten most read news stories on just-drinks in 2013....
With the end of the year looming, just-drinks is running a series of 'Top Tens of the Year' in the run-up to Christmas. Here are the ten most read Hot Topics on just-drinks in 2013....
Sustainable packaging gets the just-drinks management briefing treatment in this, the fourth and final part of our look at environmental sustainability in the wine sector....
- What's so special about Islay anyway? - Comment
- Six key trends for alcoholic drinks in 2016
- What do Bourbon and craft beer have in common?
- Ten things to know about spirits in the US
- Aus wine industry pays price for past failures
- Alcohol industry warning over Kroger plan
- SABMiller hits back in UK corporation tax row
- Diageo's Orphan Barrel The Gifted Horse - NPD
- Suntory bids for Lucozade, Ribena Nigerian network
- American rye whiskey sales leap 600% in five years
- What Next for Beer and Brewers Following the MegaBrew Deal?
- Global travel retail insights - market forecasts, product innovation and consumer trends
- Global Beer Trends 2015 : Global Beer Trends and Long-term Forecasts
- Global Whiskey Market 2016-2020
- Global sparkling wine insights - market forecasts, product innovation and consumer trends research