Beer Marketer's Insights
Spirits volumes held on and pricing got quite a bit stronger in control states as third qtr closed (different than scan in Oct). Cases grew 1.7% in Sep, slightly faster than in Aug. Single additional selling day provided only slight boost. But $$ up 5% on better price mix of +3.3%. That's about 2x contribution of price mix in Aug and fastest since Feb. For 12 mos, control state spirits volume up just 0.3%, $$ +3.3%.
WA's Olympic Eagle refuted virtually all of Constellation's legal arguments (see Oct 27 issue) in latest filed response, as Beer Biz Daily reported earlier this morn. Olympic disputes STZ's perceived right to terminate without cause and view of general WA franchise law while arguing it would be irreparably harmed even with "fair market value" for Constellation brand rights and more. Indeed, this is already gearing up for a longer-term battle as Court already appointed new scheduled dates (subject to extension) into Jan 2023.
Beer Gained Share of Alc Bevs in Latest Week: $$ Up 3.8%, Faster Than Spirits; Avg Prices Up 8%
Beer gained share of alc bev $$ in latest week thru Oct 23 in IRI multi-outlet + convenience data, riding benefits of increased beer industry pricing, at least short-term. With avg beer prices up about 8% for 1 week, beer $$ sales jumped 3.8%, compared to all alc bevs up just 2.4%. Spirits $$ sales up 3.6% and wine $$ sales down 3%.
AB Partnering with Jarritos Parent Co to Create Cantaritos Hard Sodas; CA & TX Launches in 2023
Another top brewer is partnering with a sizable non-alc bev co for new alc bev innovation. AB partnered with Novamex, parent co of Jarritos sodas, to create "Cantaritos Hard Soda, a new-to-world alcohol brand that takes inspiration from favorite Jarritos soda flavors." Cantaritos will take aim at lower-ABV FMB segment that's grown 56% to $2.2 bil for latest 52 wks thru Oct 16 2022, while targeting Hispanic consumers, the "fastest growing demographic in our country." It clocks in at 5% ABV, available in 12pk bottle variety pks, 6pk bottles of Mandarin and Pineapple flavors, and 25oz cans of Mandarin and Pineapple; Fruit Punch and Tamarind flavors also available in the variety pk.
Pricing was clearly top-of-mind during Molson Coors' Q3 earnings call. But as stock dropped ~4% following another set of improved results, MC ceo Gavin Hattersley positioned latest qtr as progress toward "sustainable long-term top and bottom-line growth." Going back to last yr, MC grew top & bottom line on underlying basis for 4 of 7 qtrs. And global net sales "above 2019 levels on a constant currency basis" thru Q3 with best US $$ share trend improvement relative to the last 52 wks.
Beer Insights Seminar in NYC Less Than 2 Wks Away! Agenda Available; Last Day for Discounted Rooms
Time is running out to join us for this year's Beer Insights Seminar, coming right up on Monday, Nov 14 in midtown NYC. Our stellar agenda features a line-up of top industry execs and thought leaders. Learn the latest industry insights, dig deeper into hot topics during in-depth discussions and reconnect with other beer biz movers and shakers. And don't delay: discounted rooms at the nearby Muse Hotel will only be available thru end of day today. Book a room and
Molson Coors US performance continued to improve in Q3 with depletions down less than 1% (0.9%). That's about a point better trend than AB (-1.7%) and several points better than Boston Beer (-6%). This slight 3d qtr dip "was the best quarterly performance we have seen in over a decade," wrote Molson Coors chief communications and corporate affairs officer Adam Collins. That followed 1.7% drop in Q2 and 3% drop in first half. So steadily better STR trend so far in 2022. Molson Coors net sales in the Americas up 6.8%, while net sales per hectoliter up 7.5% in Q3.
We've already reported on Prime Hydration brand fronted by social media influencers Logan Paul and KSI seems to have ignited out the gate in US. In UK, where rapper KSI is based, the launch has reached point of outright frenzy, Guardian reports, with typically late-sleeping teens lining up at dawn outside exclusive retail partner Asda to try to grab a few bottles. "Such is demand from the YouTubers' army of teenage fans among their tens of millions of followers on social media that all flavors are currently sold out on the brand's own website and Asda has a 3-bottle limit on sales," story reports. "Many stores are only selling it from the customer service desk as queues form every time stocks arrive." Meanwhile, indie retailers have been spotted selling bottles for 4X the Asda price "while the sums demanded on eBay range from 99p to several thousand pounds." Twitter feed @prime_tracker set up to guide fans to available stocks "features clips of men, young and old, jostling to get to a new delivery at a store in Bradford and diving under the shutters of another branch to reach the Prime display as it opens in the early hours." With parent co Congo Brands unable to meet demand from US, Prime has enlisted Refresco as local copacker in Britain to try to keep up, Guardian informs.
The coffee/tea biz is a whirlwind of reinvention these days, with new processing techniques, equipment and formats proliferating. The Coffee Fest NY event held earlier this month at NY event space offered substantial proof of that during its 3-day span, drawing throngs of trade visitors on first day and welcoming consumer visitors to the mix the next 2 days, with diversions provided by barista tourney, latte art competition, coffee cocktail bar and array of musical performers. The post-pandemic return of event to city drew 8,100 attendees, per Allegra Group Events, which organizes show in several US cities.
Beer Insights Seminar in NYC Just 2 Wks Away! Agenda Available; Last Days for Discounted Rooms
Time is running out to join us for this year's Beer Insights Seminar, two weeks from today on Monday, Nov 14 in midtown NYC. Our stellar agenda features a line-up of top industry execs and thought leaders. Learn the latest industry insights, dig deeper into hot topics during in-depth discussions and reconnect with other beer biz movers and shakers. And don't delay: discounted rooms at the nearby Muse Hotel will only be available thru tomorrow. Book a room and