Posted: Apr 09, 2021
Constellation’s STZ -4.6% sell-off of its lower-priced wine brands to E&J Gallo seems to be paying off in terms of promoting their “premiumization” strategy in the wine arena.
In an earnings call with investors today, President and CEO Bill Newlands reported, "Our retained wine and spirits portfolio, excluding divested brands, delivered net sales growth of 5% for the year, driven by double digit volume growth for Meiomi, Kim Crawford and the Prisoner Brand Family."
Newlands also admitted that these three “wine power brands” achieved double digit distribution growth. Part of this growth had to do with the introduction of line expansions, such as Meiomi Cabernet Sauvignon, the Prisoner Unshackled, and Kim Crawford Illuminate – a lower alcohol, lower calorie wine.
However, it was beer sales, especially Modelo, that claimed most of the credit for driving Constellation sales growth for their fiscal year, which runs from March 1, 2020 to February 29, 2021. Constellation’s beer business posted depletion growth of more than 7%.
By Liz Thach
Source and complete article by: forbes.com
Go-Wine's mission is to organize food and beverage information and make it universally accessible and beneficial. These are the benefits of sharing your article in Go-Wine.com
Professional consulting to the Food and Beverage industry.www.winebusinessacademy.com
The Wine Thief Bistro & Specialty Wines is a locally owned small business in downtown Frankfort, IL offering world class wines in a relaxed, casual gathering spot for friends and family. Offering world class virtual tastings and touchless carryout.https://www.twtwineclub.com/aboutus
Go-Wine 25 Great Wineries in US selection prioritizes quality, value and availability.www.go-wine.com/great-wineries-in-america
Tasting wine is a nice experience, but visiting the places in which wine is made is a magic moment. Available in New York City for touchless pickup.