Clay Risen, Sipping Pretty. Tequila's popularity in the US has soared as high-end makers emphasize artisanal, pure versions. Now it’s trying to become a worldwide phenomenon. Can a Mexican export win over the Chinese?
fortune.com/tequilas-global-ambitions/
(a) Excerpts in the windows of print:
“Tequila is one of the most exciting categories in spirits,” says Diageo’s Tomlin.
“People want to understand who’s making their spirits,” says Pernod Ricard’s Kanter.
(b) Quote:
“The numbers tell it all. According to data from the Distilled Spirits Council of the U.S., between 2004 and 2014 total U.S. tequila sales grew 63%, decent if not blockbuster growth. But consider the super-premium level, where bottles start at around $30. In 2004, Americans bought just 513,000 cases; a decade later they purchased 2.39 million, a 365% increase. By comparison, vodka grew 51.8% overall and 143% at the super-premium level, while bourbon, the industry darling, grew just 40% overall and 282% for super-premium.
“And unlike vodka and whiskey, which are popular around the world, tequila is mostly sold in the U.S. For the category to really hit big, it’s going to have to find a way to win over even more consumers. That may mean not just breaking out of the shots ghetto, but also making inroads in a new market with huge potential: China.
Note:
(a) “In exchange for [Old] Bushmills [distilled in Northern Ireland], Casa Cuervo, the Mexican company behind Jose Cuervo, gave Diageo its super-premium Don Julio brand, along with $408 million. To whiskey fans, the deal made no sense. At 272 years, Old Bushmills is widely considered the longest continuously operating distillery on the planet. * * * While the media have focused on the surge in consumption of vodka and, more recently, whiskey—both of which far outsell tequila—the agave-based spirit has been quietly outpacing their [vodka and whiskey] growth rates in the US market. Almost all the action is at the top end”
(i)
(A) Jose Cuervo
en.wikipedia.org/wiki/Jose_Cuervo
(the best selling tequila; family-owned; The first Vino Mezcal de Tequila de Jose Cuervo was made in 1795)
(B) Spanish English dictionary
* cuervo (noun masculine): "crow, raven"
en.wiktionary.org/wiki/cuervo
* mixto (adjective masculine; Latin mixtus): “mixed”
en.wiktionary.org/wiki/mixto
* Santiago (proper name; from Latin sanctus holy, saint + Iacobus James):
"1: (biblical) [Saint] James.
2: a male given name.
3: The name of several cities in Chile, Cuba, the Dominican Republic, Colombia, Galicia (Spain), and several other Spanish-speaking countries"
en.wiktionary.org/wiki/Santiago
* patrón (noun masculine; from Latin [noun masculine] patrōnus [protector, patron]): "boss, master, patron”
en.wiktionary.org/wiki/patrón
* piña (noun feminine; from Latin pinea): "pine cone; pineapple"
en.wiktionary.org/wiki/piña
(ii)
(A) “Don Julio Tequila is named after its founder, Don Julio González-Frausto Estrada, who began distilling tequila in 1942 at age 17.” Wikipedia
It is a brand wholly owned by Diageo
(B) Who owned how much of Don Julio is summarized in
James Quinn, Why Diageo's Don Julio Deal Will Leave Investors Thirsty. Daily Telegraph, Nov 3, 2014.
www.telegraph.co.uk/finance/news ... estors-thirsty.html
five consecutive paragraphs:
“For Diageo, Don Julio will be coming full circle. In 1999, Seagram took control of the brand [Don Julio] from its founding family.
“A year later, in December 2000, Diageo under [its then CEO Paul] Walsh, then just three months into the job, took control of the Seagram drinks portfolio in a joint $8.15bn deal with French rival Pernod Ricard.
“The pair divided the brands between them. * * * Diageo took [among others] Don Julio [100%].
“But within three years, Walsh signed a deal with Casa Cuervo that saw the Mexican firm take control of 50pc of Don Julio.
“Now Diageo’s new CEO Ivan] Menezes wants it back, and for obvious reasons[: * * *] Diageo has focused on premium tequila brands.
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