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Tito’s

Total

>$25

$15 -

Premium

$10 - $15

Mid

3.5%

1.3%

-0.2%

BEER BEHEMOTH ENTERS THE RING Total

Ultra

price decline by almost half. This is significant in light of how well the overall stock market has performed during the same period. Historic and projected consumption data spells out very clearly the monumental task the company faces to “right the ship.” AB InBev In April, an announcement was made that ZX Ventures acquired has fallen victim to a shift away from mass-market beers. Beer, the Atom Group, a UK-based spirits, eCommerce, and import still the largest beverage alcohol category, is projected by IMPACT business. This deal may have gone slightly unnoticed in the Databank to account for 46.2 percent of share of servings in the craft spirits industry, but is important in that ZX Ventures is the U.S. beverage alcohol category in 2020. This projection is a far cry “global growth and innovation team” of Anheuser-Busch InBev from the share the category held in (AB InBev). AB InBev is one of FIGURE 6 2000 when beer represented 59.1 the world’s largest, and most Share of Servings by Beverage percent. The beneficiary of this influential, consumer product Alcohol Category (2000-2020P) 59.1% change in consumer preference companies — this deal marks their Source: IMPACT DATABANK has been the spirits industry. first foray into the spirits category. Spirits share is projected to grow In a letter to wholesalers to discuss 46.2% Beer from 27.2 percent in 2000 to 36.2 the transaction, an AB InBev Spirits percent in 2020 (see Figure 6). executive wrote that the deal meets Wine These industry dynamics have left two of the company’s strategic 36.2% AB InBev looking for solutions to initiatives: “gain share of throat their “share of throat” problem. and lead category development.” 27.2% Part of the solution is the Atom This investment should come as Group investment, but AB InBev little surprise as AB InBev has has also recently partnered with been struggling over the last few 14.9% Beam Suntory to cross-promote years due to changing consumer 12.6% their flagship brands across bars preferences. and retailers throughout the U.S., Over the last three years, AB 2000 2005 2010 2015 2020P as well as launching Budweiser InBev has witnessed their stock

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RNDC 13.6%

r’s Breakthru

$750

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10.0%

ng Distributors 44.6%

$250 sales@fx5solutions.com

fx5solutions.com

$0 2010 $600

72 

2011 $610

2012 $630

2013 $710

2014 $700

2015 $750

2016 $770

2017

$961.50

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Profile for Artisan Spirit Magazine

Artisan Spirit: Winter 2018  

The magazine for craft distillers and their fans.

Artisan Spirit: Winter 2018  

The magazine for craft distillers and their fans.