Price Competition Heating Up In Tequila, Says Proximo’s Vergara
October 24, 2025Further to yesterday’s story on Grupo Cuervo’s third quarter results, Proximo Spirits chief Mauricio Vergara noted on the company’s earnings call that the group plans to stay disciplined amid heightened competition on price in the Tequila category.
“Within Tequila, we continue to observe intensified industry-wide pricing competition,” said Vergara. “Average Tequila pricing in the market declined 7.9% versus last year as leading competitors implemented material negative price adjustments. In this environment, we have remained disciplined, focused on selective strategic promotions while maintaining an overall responsible pricing approach.”
Vergara added that Proximo’s higher-priced Tequilas continue to outpace the market, with brands like Gran Centenario, Maestro Dobel, and Gran Coramino all up strongly in control states so far this year. Proximo’s focus on the on-premise and consumer enthusiasm for smaller formats is also boosting the business.
“Notably, small format offerings of our super-premium and ultra-premium brands continue to outperform, underscoring that consumers are seeking high-quality products while managing their spending,” Vergara said. “Our strategy to strengthen the on-premise continues to deliver results. On-premise shipments outpaced the off-premise, driven by initiatives that enhance brand visibility and consumer reach.”
Meanwhile, Proximo acknowledged softness in its ready-to-serve Margaritas, which has weighed on its shipments lately, but noted that its RTD canned offerings continue to gain momentum. “Looking ahead, we anticipate improving long-term fundamentals in the U.S. spirits market, particularly within our focus categories,” Vergara said.
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