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Campari’s U.S. Shipments Up 3.4% In 2020, Despite Destocking Headwinds

February 18, 2021

Campari Group saw global sales dip 4.1% to €1.8 billion ($2.2b) in 2020, as growth in strong off-premise markets like the U.S., Canada, Australia and Northern Europe was offset by ongoing challenges in on-premise-focused markets like Italy, as well as travel retail. Adjusted EBIT was down 20% to €322 million ($389m) for the year.

“Although our brands continue to be very healthy with strong consumer pull, our outlook remains cautious mainly due to the uncertain timing related to the ongoing restrictions and the vaccine rollout affecting the on-premise channel across all geographies and global travel retail,” said Campari CEO Bob Kunze-Concewitz.

In the U.S., Campari’s largest market, shipments rose 3.4%, “despite the on-premise restrictions impacting in particular the European imports, and destocking across the whole portfolio,” which is now completed. Excluding the destocking effect, U.S. sales would have been up 9% for the year, the company said. Off-premise sales remain vibrant across Campari’s core brands in the U.S.—with Wild Turkey, Espolon, Appleton, and Campari all increasing their U.S. volume by double-digits last year, according to Impact Databank—as well as newly acquired Mexican brands Ancho Reyes and Montelobos. Campari noted that e-commerce now accounts for around 3% of U.S. sales, increasing by 500% compared with 2019.

Kunze-Concewitz said the company is investing in its digital and online capabilities, “to rapidly adapt to the ‘new normal’ environment, particularly with regards to e-commerce. We expect the home consumption to remain sustained, particularly in the key off-premise markets, including the United States, where, with destocking activities completed, the shipments are expected to progressively align with consumption trends.”

Campari America—Top 10 Brands
(thousands of 9-liter case depletions)
Rank Brand Origin/Type 2019 2020 Percent
Change
1 Skyy American Vodka 2,390 2,390 0.0%
2 Wild Turkey Bourbon 705 810 14.9%
3 Espolòn Tequila 511 768 50.3%
4 Grand Marnier French Liqueur 528 540 2.3%
5 Wild Turkey American Honey Flavored Whiskey 442 454 2.7%
6 Appleton1 Jamaican Rum 225 250 11.1%
7 Aperol Italian Liqueur 241 248 2.9%
8 Campari Italian Liqueur 158 182 15.2%
9 Cabo Wabo Tequila 71 85 19.7%
10 Frangelico Italian Liqueur 68 63 -7.4%
Total Top 10 5,339 5,790 8.4%
Total Campari America 5,489 5,922 7.9%
1 Includes Wray & Nephew.
Source: IMPACT DATABANK © 2021
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