Stateways

StateWays - March/April 2017

StateWays is the only magazine exclusively covering the control state system within the beverage alcohol industry, with annual updates from liquor control commissions and alcohol control boards and yearly fiscal reporting from control jurisdictions

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StateWays | www.stateways.com | March/April 2017 16 Q&A WITH ESTABLISHED GROWTH BRAND JACK DANIEL'S TENNESSEE HONEY StateWays: What industry trends are most impacting sales right now? Casey Nelson, brand director, JD Flavors: While many consumers are intrigued by the whiskey category, they are not quite ready for straight whiskey. Jack Honey allows consumers to get a taste of Jack Daniel's in an approachable and easier-to-drink format. Flavored whiskeys in general play a role in whiskey recruitment, which has led to an increased pace of innovation. SW: What marketing programs and activations in 2016 led to your success? CN: On-premise, Jack Daniel's Tennessee Honey executed a number of programs like Neighborhood Flavor, which celebrates the pride we have in our communities, and Art, Beats + Lyrics, a traveling exhibition of local music, art and culture. SW: What do you have planned for 2017 to build on the brand's growth? CN: We just announced an exciting partnership with the NBA. While Jack Daniel's is the offi cial marketing partner, Tennessee Honey will play a big role in celebrating and highlighting the infl uential culture of the NBA. SPIRIT ESTABLISHED GROWTH BRANDS (000 9-liter cases) '15/'16 Brand Supplier 2013 2014 2015 2016p % Change Crown Royal Diageo 4,296 4,375 4,850 5,125 5.7% Jim Beam Beam Suntory 3,976 4,192 4,318 4,560 5.6% Svedka Constellation Brands 3,950 4,080 4,200 4,335 3.2% Hennessy Moet Hennessy 2,390 2,575 3,010 3,465 15.1% Burnett's Vodka Heaven Hill Brands 2,350 2,608 2,860 2,902 1.5% New Amsterdam Vodka E & J Gallo Winery 1978 2480 2715 2875 5.9% Jameson Pernod Ricard USA 1,871 2,042 2,436 2,833 16.3% Patron The Patron Spirits Co. 2,075 2,150 2,186 2,474 13.2% Evan Williams Heaven Hill Brands 1,650 1,865 2,144 2,294 7.0% Ketel One Diageo 2,135 2,155 2,175 2,250 3.4% Sauza Beam Suntory 2,041 2,089 2,095 2,247 7.2% Maker's Mark Beam Suntory 1,249 1,337 1,428 1,502 5.1% Admiral Nelson Heaven Hill Brands 820 836 844 851 0.8% Johnnie Walker Red Diageo 710 712 736 758 3.0% Sailor Jerry William Grant & Sons 733 738 744 745 0.1% Juarez Luxco 610 684 688 695 1.0% Jack Daniel's Tennessee Honey Brown-Forman Corp. 609 670 679 686 1.0% Belvedere Moet Hennessy 490 510 535 545 1.9% Rum Chata Agave Loco Brands 420 512 525 530 1.0% El Jimador Brown-Forman Corp. 336 379 441 516 17.0% Buchanan Diageo 335 430 452 480 6.2% Source: The Beverage Information & Insights Group (p) Preliminary. holiday co-pack and a tri-pack for the election season. "There are three underlying consumer trends within the industry that are infl uencing the renewed growth of American whiskey, particularly at the pre- mium end," says Woodford Reserve Master Distiller Chris Morris. "Foodie culture, retro revival and the artisanal and craft boom." Fast Track Brand Woodford Reserve and its Rising Star sibling, Woodford Reserve Double Oaked, were both winners this year. Morris credits the brand's success to outreach to the trade and consumers during 2016. "We've seen opportunities for our fans to share their love of the brand through the creation of personalized labels and engraved bottles," he says. "And with nearly 700 entries nationwide in the Manhattan Experience cocktail competition, we've offered bartenders an opportunity to showcase creativity and sophisticated skills through uniquely crafted cocktails." Woodford Reserve plans to con- tinue its longstanding partnership with the Kentucky Derby, which has made the brand its offi cial bourbon for nearly two decades. 2017 GROWTH BRANDS SPIRITS 2017 GROWTH BRANDS SPIRITS

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