Beam Suntory have revealed that they are changing their name to Suntory Global Spirits as the company approaches the tenth anniversary of their take over.
In May 2014, Suntory Holdings acquired Beam Inc to form Beam Suntory in a deal said to be worth US$16 billion. Later that year the group incorporated Suntory Liquors to become the third largest premium spirits company in the world.
The drinks firm have an enviable portfolio featuring some of the world’s best known brands. In terms of whisky the group are home to, among others: American whiskies such as Makers Mark, Jim Beam, and Knob Creek; iconic Islay distilleries Bowmore and Laphroaig, as well as the Teachers blend; and reputed Japanese names such as Yamazaki, Hakushu and Hibiki.
Beyond whisky, Suntory Global Spirits own a range of vodkas, premium tequila brands and other spirits such as Midori. Of growing importance to the group are their ready to drink (RTD) items - premixed products utilising their extensive collection of spirits.
Announcing the name change, the company states that the rebrand comes after ‘10 years of sustained, profitable growth’ and it will help usher in ‘the next era of growth and leadership’.
President and CEO of Suntory Global Spirits Greg Hughs adds that the rebrand offers the group a chance to “build upon the strong and positive brand recognition that Suntory has worldwide”.
In addition to the name change, the rebrand will also include further elements such as a new website and a new ‘visual identity’ for the company. However, these changes won’t come at the expense of damaging any of their brands’ legacy or reputation.
Hughs acknowledged Suntory’s “extraordinary” care in “preserving the legacy of craftsmanship and interplay of traditions” associated with Beam’s brands since the acquisition. Sustaining this commitment during the rebrand will be vital as the company continues to evolve.
The news of the name change comes off the back of another two recent developments for the Suntory group.
Firstly, in February Beam Suntory posted a 7% growth in global sales for 2023. Interestingly, this increase seemed to come from two different aspects of the drinks market.
At one end, high end spirits - namely various American and Japanese whisky brands, as well as El Tosoro tequila - all experienced double digit growth. At the other end of the ‘premium’ scale, sales of RTDs also grew by approximately 12%.
This reinforces the claim that the 2014 take over was beneficial for all parties, and it’s hoped that the rebrand will only serve to further that success.
The second development is the news that Suntory have finalised the sale of the Courvoiseur Cognac brand, ending their involvement in the cognac category.
Italian spirits group Campari have purchased the Courvoiseur name, production facilities and all existing stock in a deal estimated to be worth US$1.2 billion. News of the sale broke in December 2023 and the deal was finalised in May 2024.
Courvoiseur is one of the world’s best selling cognac brands, selling 1.2 million nine-litre cases globally in 2022. However, data suggests that this figure was actually 19.4% down on the previous year.
Hughs has said that the sale of the esteemed cognac brand will allow Suntory Global Spirits to focus on their main growth areas: premium American whiskies; Japanese spirits; tequila; and RTDs.
It’s interesting to see Suntory willing to let go of such an internationally recognised name. Of course, a billion dollars in their pocket for a brand that they may have considered to be underperforming will seem like a great deal. Nevertheless, if sales stagnate or fall for any other brand or category, one can wonder if they too will be up for the chop.
That is just gloomy speculation however; there’s nothing substantial to suggest that will happen. Many of the spirits under their umbrella enjoy a positive reputation, either domestically or internationally. Even if another brand were to be sold, they would continue to exist and hopefully thrive based on their established credentials.
When announcing 2023’s sales figures, Hughs’ confidence was high as he stated that “we have the right resources in the right places to put us in a position to win”. Indeed, with the wealth of brands behind them, Suntory Global Spirits surely has a bright future ahead.
Some may mourn the loss of the Beam name at the forefront of a global spirits empire, it’s worth remembering that Beam’s name and legacy is in capable hands. Which is definitely something worth raising a glass of your favourite spirit (or can of premix) to.
