Beverage Dynamics is the largest national business magazine devoted exclusively to the needs of off-premise beverage alcohol retailers, from single liquor stores to big box chains, through coverage of the latest trends in wine, beer and spirits.
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International Affairs www.beveragedynamics.com May/June 2014 • Beverage Dynamics 31 Justin Giuliano, general manager at Win- chester Wine & Spirits, in Winchester, Mass. He notes that Heineken and Stella Artois are also popular in the imports aisle. "The Mexican segment is really driv- ing the import business as a whole," says Hackett at Crown. "We spent a lot of time, energy and dollars over the years building Corona Extra as a brand that represents relaxation, beach, sun and fun; that's the messaging we continue to drive home with our creative," says Hackett. The number-three brand in the category, Modelo Especial, exceeded 50 million cases last year. "We think it will continue to grow at double-digit rates." Crown's president attributes much of Modelo's success to the brand's popularity with Hispanic consumers, as well as gener- ating awareness and interest among general market consumers. After testing Corona Light on-premise in a draft format, the com- pany has expanded the draft program to 35 incremental markets. "We saw benefi t in both on- and off-premise in package business because the draft drove awareness of the brand, and consumers started looking for the beer in the packaged format, which gen- erated a strong halo effect for the brand." Pacifi co (up 4.5%) and Negra Modelo (3.6%) fi ll out Crown's range of beers in the top 15 imports. Victoria, which is in select markets across the U.S., will be expanding into new markets in 2014. "Growth is driven by rising demand for beers of Mexican and/ or Latin American origin, driven in turn by the expanding infl uence of Hispanic culture of all stripes throughout the marketplace," says Doug Campbell, brand director for Guinness. "For us, the Mexican beers are doing well," says Greg Eccles, owner of Tops Liquors, Tempe, AZ, and a certifi ed Cicerone. Corona, Dos Equis, and Modelo seem to be gaining share, he reports, noting that proximity to the Mexican border might be a factor. Tops carries almost a 1,000 different beers and boasts 27 cooler doors. "The older guys are still buying their tried and true brands, like Heineken. Stella is also going strong." Stella Artois is Anheuser-Busch InBev's top performer in the U.S. im- port market. The Belgian lager grew 16% last year to over 20 million cases. The brand recently spun off Stella Ar- tois Cidre as an entrant in the small but rapidly growing hard cider cate- gory. Other AB-InBev imports include Presidente from the Dominican Republic and St. Pauli Girl from Germany. "Belgian beers are growing, which are held in high regard, qual- ity-wise," notes Eccles. "A lot of the same customers who buy craft beer are buying the Belgians too. They consider the beers micro- brews from Belgium." The retailer has separate sections for imports, Belgian and craft. The other heavy hitter in the top 10 brands is Dos Equis, the Mexican brand, owned by Heineken USA. "Total Heineken USA portfolio volume grew 2.9% in 2013, driven by Dos Equis, Strong- bow, Tecate Light and our popular Beers of Mexico variety pack," reports Scott Blazek, senior vice president of sales. Mexican imports sell well at Heritage, says Jacobson, and he adds, Mexican craft beers, such as Cerveza Cucapa, are starting to gain a small foothold as well. Belgian brews, however, are such a big seller, that the retailer devotes an entire cooler and section to the country. Crown Imports features an extensive lineup of imported beers, including the Mexican heavyweights Corona Extra (up 2.2%), Modelo Especial (rocketing 18%) and Corona Light (up 3.0%). Other brands seen here include Corona Familiar, a large format 32-oz. bottle; Pacifi co, the 11th best-selling imported beer in the U.S.; Negro Modelo, ranked 17th among imported beers in the U.S.; Tsingtao, the number one Chinese beer in the U.S. market; Victoria, a more recent Mexican import; and the new Modelo Especial Chelada, a blend of Modelo Especial mixed with tomato fl avors, salt and lime, which comes in a ready-to-drink 24-oz. can. Heineken USA numbers three of the leading imports in its port- folio: Heineken, and the Mexican stalwarts Dos Equis and Tecate. Heineken recently released the fi rst 8.5-oz. slim can in the category. Crown Imports recently featured a range of Cinco de Mayo marketing materials for its Corona brand.