Wine Spectator: A Year After The
Wildfires, Napa And Sonoma Rebuild
The series of firestorms that tore through Northern California last year killed 44 people, burned 245,000 acres and destroyed 8,900 structures. One year later, wineries that were damaged have broken ground on new construction, many slowed by insufficient insurance policies. Sonoma residents are facing a housing shortage, with rebuilding delayed by a lack of workers.
Despite those hurdles, most residents are feeling optimistic about the future, thanks to a promising harvest and a desire to make the region even better than before the flames. Wine Spectator has a full report.
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Scotch Whisky Exports Jump 11% In First Half, With
Single Malts Driving Gains
Scotch whisky exports posted impressive growth in the first half of 2018, with the upscale single malt segment showing especially strong progress. According to the Scotch Whisky Association, total exports jumped 11% to £1.97 billion ($2.57b) in the six months through June on a 5.6% volume increase to 558 million bottles. Single malt exports were up 14% to £550 million ($717m) in the first half, accounting for 28% of shipments.
The U.S. remains the top export market for Scotch whisky in value terms, with shipments above £400 million ($523m) in the first half of the year. France is the category’s top export market by volume, at 90 million bottles in the January-June period. Total U.S. Scotch volume fell 3.1% to 7.6 million cases last year, according to Impact Databank, while single malts rose 4.5% to 1.67 million cases.
Scotch Whisky Association CEO Karen Betts hailed the strong first-half numbers, but warned of potential stumbling blocks on the horizon for the category. Most notably, the SWA highlighted “the real downsides of a ‘no deal’ Brexit, which could have an impact on growth.”
Industry Veteran Patrick Piana Named CEO Of Italy’s
Fratelli Branca
Longtime spirits industry executive Patrick Piana has been appointed chief executive of Italy’s Fratelli Branca, known for the Fernet Branca, Brancamenta, Punt e Mes, and Carpano brands, among others. Based in Milan, Piana has joined the Fratelli Branca board and reports directly to fifth-generation family member and chairman Niccolò Branca.
Piana was most recently CEO of Stoli Group North America, a role he held from mid-2015 up to the beginning of this year. Prior to that he was global CEO of Rémy Martin Cognac. Piana’s 20-year industry career also includes time with Moët Hennessy and Pernod Ricard.
In his new role, Piana will look to spearhead growth for the company’s core Fernet Branca label ($30 a 750-ml.), which grew 9% to 71,000 cases in the U.S. last year, imported by Infinium Spirits. The company’s Carpano Antica Formula vermouth was also up strongly, rising 19% to 59,000 cases in the U.S. Globally, Fernet Branca grew by 2.2% to 5.3 million cases last year.
News Briefs:
•Bacardi’s Dewar’s Blended Scotch whisky is kicking off a new $15 million global marketing campaign today with an ad debuting on U.S. television networks. The campaign, dubbed “Live True,” will run through the end of 2019 and will roll out globally after its U.S. debut. “Live True” aims to highlight Dewar’s double maturation process while keeping the messaging fun and accessible. The company has also purchased print advertisements in sports, food, and travel publications, and will be supporting the brand with on- and off-premise promotions.
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•Rémy Cointreau has reported a 7.7% jump in organic sales for its fiscal first half ended in September, to €571.4 million ($656.7 million). The company posted 5.9% and 9.1% organic growth for the first and second quarters, respectively. The House of Rémy Martin performed particularly well—up 11.7% for H1—amid growing demand for Cognac in both the U.S. (where the brand was up double-digits) and China. Overall, Rémy Cointreau’s Americas region was up 4.9%, with the U.S.’s shipments accelerating in the second quarter. The company notes that the Botanist gin is up double-digits worldwide, and that single malt Scotch, led by Bruichladdich, is driving growth in the Americas and Asia Pacific.
•California-based retailer BevMo has named Josiah Knutsen as its senior vice president of merchandising. Knutsen brings nearly 20 years of experience in the grocery industry to BevMo. Most recently he served as senior vice president of marketing and merchandising for Albertsons Companies’ Northern California division. At BevMo, Knutsen will be responsible for developing promotions, adjusting prices, and helping to drive traffic to BevMo’s stores.
Craft Brewing and Distilling News:
•Florida’s Cycle Brewing has partnered with contract brewer Brew Hub to increase production and expand throughout Florida. Beginning in November, Cycle Brewery’s Fixie IPA, Sharrow Double IPA, and Peloton Pilsner will be available on draft from Brew Hub, while Cycle’s Crank IPA and Cream & Sugar, Please American Porter will be distributed in 6-packs of 12-ounce cans for the first time. Cycle Brewing’s beers are on track to be available in Miami and Orlando by early next year. Statewide distribution is planned for mid-2019.
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