High Noon On Pace To Extend Its Lead In U.S. Spirits Market This Year

With 86% growth to 16.4 million cases, according to Impact Databank, Spirit of Gallo’s spirits-based RTD High Noon Sun Sips vaulted into first place among all spirits brands in the U.S. last year. Growth has continued apace in 2023, with Impact Databank projecting that the brand could crest 21 million cases on 31% growth this year. Along with its core vodka-based RTD lineup, High Noon’s progress has been boosted this year by its rollout of a Tequila-based range.

“High Noon continues to have tremendous momentum year over year,” Britt West, Spirit of Gallo senior vice president and general manager, told SND. “We’re strengthening our position as the number-one spirits brand by volume, and with the addition of High Noon Tequila Seltzer this year, as well as our seasonal limited edition packs and 700-ml. options, our momentum is strong and we feel confident about it continuing into 2024.”

The expansion into Tequila-based seltzers ($22 an eight-pack) back in May has seen the brand capitalize on Tequila’s popularity, as well as continue to draw in calorie-conscious consumers and fans of malt-based hard seltzers. High Noon is canned at 4.5% abv with 100 calories a serving. “Our hypothesis that consumers were looking for a high quality and transparently communicated spirits-based Tequila seltzer proposition has been borne out by the consumer pull we’ve seen since launch,” said West.

“In less than a year we’re already the No. 1 Tequila RTD SKU, and the proposition is driving incremental growth, which we expect to continue into 2024,” he noted, adding that new offerings for the Tequila lineup are in the pipeline. “Trading up to High Noon Tequila Seltzer from lower quality propositions has resonated both with existing High Noon consumers as well as the Tequila-first consumer who was searching for an option they could feel good about.”

While High Noon is Spirit of Gallo’s largest RTD by far, the company is seeding growth in a number of smaller ready-to-drink and ready-to-serve brands. The largest of these, Liqs, more than doubled in size to 235,000 cases last year. Liqs, bucking the trend toward canned RTDs, offers 750-ml. bottles, boxed wine style packages, and shot cups.

Gallo also acquired Fishers Island Lemonade earlier this year, which reached 175,000 cases in 2022. The brand offers a variety of lemonade, vodka, and whiskey cocktails, aimed at the higher end of the canned RTD market, and Gallo intends to continue to build it out in new markets across the U.S.

Most recently, Gallo debuted VMC, a new Tequila-based RTD created in collaboration with boxer Saúl “Canelo” Álvarez and Casa Lumbre. It comes in three flavors—Paloma, Margarita, and Jamaica (hibiscus)—all at 5.5% and made with Blanco Tequila, sparkling water, and natural flavors. Four-packs of 12-ounce cans retail for around $11 with individual 700-ml. cans going for $5. “VMC was created and first launched in Mexico led by our partners at Casa Lumbre, and it was a huge success among Canelo’s fans,” said West, adding that he expects it to gain traction among Mexican and Mexican-American consumers in the U.S. —Shane English

Tagged : Fishers Island Lemonade, High Noon, LIQS, Spirit of Gallo, VMC

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