Market Watch, Summer 2020

44 MARKET WATCH MARKETWATCHMAG COM SUMMER 2020 Newcomer El Tequileño is another brand in Tequilas new guard thats lending fresh impetus to the categorys growth Originally founded in 1959 as a family run Tequila house on Chiapas Street in Jalisco Mexico El Tequileño was acquired by Alberta Canada based Paradise Brands in 2017 It recently hit U S shores with a portfolio that includes five Tequilas all at 40 abv Blanco 25 a 750 ml Reposado 27 Platinum 55 Reposado Gran Reserva 57 and Reposado Rare 225 aged six years in an American oak pipon an extra large barrel Marketed by Miami based Park Street Imports El Tequileño is currently available in 13 states Adding value to the brand experience last year Paradise opened the Casa Salles Hotel at the site of the distillery The facility which was built out from from one small tasting room has a 25 room hotel offering restaurant services and an immersive brand experience New Occasions As more Tequilas come on stream and more producers experiment with unique cask aging and extended maturation periods occasions have expanded Promoting Tequila as a sipping spirit in particular has become a major point of focus for many brands looking to further elevate their expressions and reach a wider whisk e y aficionado audience In Mexico 70 of Tequila consumption is done neat says Patróns Parker Its not cocktails its not shots As the American palate evolves that sipping neat occasion for Tequila is going to be more important and that means the quality smoothness and flavor characteristics matter even more as well For William Grant Sons the rise of sipping Tequila has resulted in increased gains for certain line extensions of its Milagro brand As consumers begin to enjoy sipping Tequila were seeing our Select Barrel Reserve range grow in some of our larger LEADING LUXURY PRICED TEQUILA BRANDS IN THE U S 1 thousands of 9 liter cases Percent Change2 Rank Brand Importer 2010 2015 2016 2017 2018 2019 2018 2019 1 Patrón3 The Patrón Spirits Co Bacardi 1690 2113 2321 2498 1897 2162 140 2 Don Julio Diageo North America 160 347 420 539 745 920 235 3 Casamigos Casamigos Spirits Co Diageo 79 111 197 333 450 350 4 Herradura Brown Forman Beverages 83 140 158 179 192 213 109 Worldwide 5 Avión Pernod Ricard USA 25 123 116 120 125 124 06 Total Leading Luxury4 1958 2802 3125 3533 3292 3869 175 Total Luxury Tequila 2190 3000 3315 3715 3475 4065 170 1 Over 40 a 750 ml 2 Based on unrounded data 3 Includes Roca Extra Anejo Gran Patrón and Limited Edition 4 Addition of columns may not agree due to rounding Source IMPACT DATABANK 2020 LEADING SUPER PREMIUM TEQUILA BRANDS IN THE U S 1 thousands of 9 liter cases Percent Change2 Rank Brand Importer 2010 2015 2016 2017 2018 2019 2018 2019 1 1800 Proximo Spirits 690 847 882 949 1058 1167 102 2 Espolòn Campari America 25 145 200 295 392 510 301 3 Cazadores Bacardi USA Inc 231 274 298 349 433 492 136 4 Altos Pernod Ricard USA 125 160 210 269 323 202 5 Milagro William Grant Sons USA 115 190 219 255 295 306 37 6 Corralejo Infinium Spirits 20 100 128 140 149 166 116 7 Gran Centenario Proximo Spirits 25 49 52 58 73 96 314 Total Leading Super Premium3 1106 1730 1939 2256 2669 3060 146 Total Super Premium Tequila 1450 2185 2415 2740 3150 3590 140 1 25 40 a 750 ml 2 Based on unrounded data 3 Addition of columns may not agree due to rounding Source IMPACT DATABANK 2020