Brown-Forman builds a responsible future alongside industry prominence
Nick Mogford at the Brown-Forman stand, TFWA WE in Cannes 2024
As Nick Mogford, Vice President and Director GTR Brown-Forman, explains during an exclusive interview with Global Travel Retail Magazine, the company’s travel retail division has again committed to sustainability initiatives and is making strong progress in integrating past acquisitions, while its focus on super premium spirits continues to drive robust performance across its portfolio.
For the third consecutive year, Brown-Forman has been recognized as one of the World’s Most Ethical Companies by Ethisphere, a distinction that requires providing over 240 different proof points on corporate culture of ethics. This recognition reflects what CEO Lawson Whiting describes as, “a strong ethical foundation since our founding in 1870, where every day the company leans into its ‘core values of integrity, respect, trust, teamwork and excellence’ in our interactions with our consumers, employees, and business partners.”
Brown-Forman's Scotch whiskies are an important part of the company's premiumization strategy
Circular life cycle gains momentum
Brown-Forman’s commitment to sustainability manifests in concrete actions. In fiscal 2021, the company established a new 2030 Sustainability Strategy to align the efforts with industry best practices and the most current climate science. The goals include the supply chain, where the majority of the environmental footprint resides. “By 2030, all primary packaging shall be recyclable or reusable, while we will also significantly increase the recycled content of product materials,” Mogford says.
A notable achievement in this direction has been the introduction of Jack Daniel’s Tennessee Whiskey 50ml bottles produced from 100% post-consumer recycled (PCR) plastic for airlines, highlighting the company’s commitment to sustainable packaging solutions.
Super-premium success
In Cannes this year, Brown-Forman showcased its expanding super premium portfolio, with industry experts on hand including Nelson Hernández, Maestro Ronero Ron Diplomático, and Master Blender Rachel Barrie, who works with Brown-Forman’s scotch family of malts including The Glendronach in the Highlands, Benriach in the heart of Speyside, and Glenglassaugh on the coast.
Global Travel Retail Magazine's Wendy Morley with Master Blender Rachel Barrie
Mogford emphasizes the significance of having industry experts present at that event, stating, “Their presence elevates our entire experience, and I’m confident that this is a further step in continuing the exciting journey of growth and success for our brands in the GTR channel.”
In the ultra-premium segment, Brown-Forman has achieved significant milestones. “Benriach 50 is currently the oldest-ever expression of Benriach,” Mogford notes. This exceptional release was showcased in Singapore at TFWA Asia Pacific 2024 for the first time in the world and is now being placed in five selective airport shops in Europe and Asia. The Glenglassaugh 49 Years Old, a limited GTR exclusive with only 190 bottles, has generated substantial interest. Its launch further demonstrates Brown-Forman’s luxury strategy, with Mogford stating, “Each bottle and accompanying wooden box are engraved with ‘Travel Retail Exclusive,’ further underscoring its prestigious and limited nature.”
Global activation momentum
The Jack Daniel’s brand continues to drive innovation in the American whiskey category, with its American Single Malt expression gaining significant traction. Following successful activations at major hubs including Incheon and Changi airports, which reached an estimated 7.5 million passengers combined, the brand has expanded its presence with live activations.
While Brown-Forman has acquired several important brands in recent years, Jack Daniels retains its importance, with a growing emphasis on premiumization for this beloved brand as well
“We’re live in London Heathrow Terminals 3 & 5 with tasting activations, Airport OOH, and supporting Digital Media,” says Mogford. A tasting activation is currently active in JFK Terminal 4 from October to December. These two locations are expected to reach a further 4.7 million travelers.
The success of these activations is evident in the numbers, with over 40 global activations having reached an estimated 17 million shoppers globally and providing over 60,000 whiskey tastings to travelers thus far.
Partnership evolution
The company’s partnership with McLaren F1 Team has evolved significantly since its inception. “This year we’re expanding our partnership activations across the Americas and the Middle East, where F1 and the partnership have been shown to resonate strongly,” Mogford says.
Current and upcoming activations span multiple key locations including Baku, Dubai, Abu Dhabi, Mexico City, Sao Paulo, and Los Angeles. The partnership is set to enter its third year in 2025 with plans for new product releases.
Premiumization trends
Ron Diplomático, acquired by Brown-Forman in 2022, has maintained its position as the second-largest super-premium+ rum in GTR by value and volume according to IWSR. The brand continues to expand its presence with increased activations globally and special releases such as the Single Vintage 2008.
Rum has finally reached its place on the world stage, with premium and super-premium Ron Diplomatico an important reason for this ascension
In the rapidly growing tequila category, which saw a 76.3% value growth in Travel Retail 2023 and is expected to grow at a 12.6% value CAGR over the next five years according to IWSR, Herradura maintains its position as the #5 super premium+ tequila in GTR. The brand’s ultra- premium expression, Herradura Legend, highlights Brown-Forman’s commitment to elevating tequila to new heights.
APAC growth trajectory
The Asia-Pacific region remains crucial for Brown-Forman’s growth trajectory, particularly in premium spirits. “Jack Daniel’s and Woodford Reserve dominate the super premium+ American Whiskey category, both globally and in APAC, with a combined APAC Value Share of super premium+ American whiskey of 66%,” Mogford states, referring to IWSR 2023 data. The company continues to see significant growth potential for both brands in the region, supported by increasing demand for super-premium whiskey innovations and exclusive GTR launches.
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