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Exclusive: Beam Suntory Goes National With Southern Glazer’s, Adding Nine New Markets To Partnership

February 4, 2020

Beam Suntory has opted to consolidate its U.S. distribution with Southern Glazer’s Wine & Spirits across 43 markets, Shanken News Daily has learned.

Taking effect April 1, the deal will see Beam Suntory transition to Southern Glazer’s from Republic National Distributing Company (RNDC) across nine new markets: Colorado, Nebraska, North Dakota, South Dakota, Indiana, Maryland, Washington D.C., Oklahoma, and Michigan. Southern Glazer’s and Beam Suntory are already linked across 34 U.S. markets, and with the new accord their alliance is now cemented through 2030.

In a statement to SND, Beam Suntory said the move will “streamline our route-to-market in the U.S. and support our premiumization agenda. We’re confident it will support our strategic focus on bringing our local teams closer to consumers and customers and ensuring we win across channels.”

“Utilizing our nationwide network and resources will significantly increase efficiencies for Beam Suntory and allow us to use economies of scale to achieve our joint business priorities,” added Southern Glazer’s CEO Wayne Chaplin. Southern Glazer’s other national—or nearly national—partners include Bacardi, Campari, and Jägermeister.

The new national alignment with Southern Glazer’s comes as Beam Suntory looks to stoke further momentum for its flagship Jim Beam brand, which rose an estimated 8.5% to 5.7 million cases in the U.S. last year, including flavors, according to Impact Databank’s estimate. Other key brands on the rise for Beam Suntory in the U.S. include Basil Hayden’s whiskey and Hornitos Tequila, which grew by an estimated 37% to 345,000 cases and 3% to 1 million cases last year, respectively.—Daniel Marsteller

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