Rémy Cointreau Up 10% Through Three Quarters, Despite Cognac SlowdownJanuary 27, 2023
Rémy Cointreau saw sales climb 10% to €1.3 billion ($1.4b) in the nine months through December, representing the first three quarters of its fiscal year, but the company posted a 6% decline in its most recent quarter as Cognac sales slowed in the U.S. market.
Rémy’s third quarter Cognac sales slipped 11%, as U.S. sales were “affected by a high basis for comparison and the normalization of consumption, albeit at levels significantly higher than in 2019-2020. Rémy Martin continued its value-driven strategy, holding prices steady and investing to raise brand desirability and awareness,” the company said. The news was brighter in Rémy’s Liqueurs & Spirits division, which was up 10% for the quarter, propelled by strong U.S. growth for Cointreau liqueur and Bruichladdich single malt Scotch whisky.
While the luxury-focused drinks group expects Cognac consumption to continue to “normalize” in the U.S. after a strong run in recent years, SND recently reported that the flagship Rémy Martin brand is getting heavy support in the coming weeks with a 60-second Super Bowl ad. Rémy Martin has been around 1.4 million cases in the U.S. recently, up from under a million cases in 2017.
“The investment during the big game is really a reflection of the increase in consumer interest both in Rémy Martin and the category, and the idea is definitely to continue recruiting further into the brand,” Rémy Cointreau Americas president and CEO Nicolas Beckers told SND. “The target audience is younger but also more female-driven.” He added that the company is also targeting further growth for Cointreau, as well as other other key brands in the U.S. range like The Botanist gin and Westland American single malt whiskey.
Meanwhile, in recent days it was announced that Rémy Cointreau USA will relocate its New York City headquarters to 3 Times Square, setting up shop on the entire 20th floor of the building. The company is expected to make the transition from its current headquarters at 1290 Avenue of the Americas this summer.—Daniel MarstellerSubscribe to Shanken News Daily’s Email Newsletter, delivered to your inbox each morning.
Tagged : Botanist, Remy Cointreau, Remy Martin
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