In a word, “we decided as a business that we did not want to be a spectator as this new market opened up. And we clearly wanted to be a participant,” Mark Hunter, ceo, said during a conference call.
The market is estimated at somewhere between $7 billion and $10 billion, with nonalcoholic cannabis-infused beverages being somewhere between 20% and 30%, which means the beverage segment could have a market value of $1.5 billion.
Molson Coors plans to continue gaining share in the American light lager category with a bold positioning of Miller Light and “reenergizing Coors Light as the world’s most refreshing beer,” Mark Hunter, ceo, said during a conference call. Molson Coors investment in a joint venture with a Canadian cannabis producer will be in the range of tens of millions of dollars, not hundreds of millions, he added.
Turning to beer, Hunter said “we have to defend resolutely our big positions in Miller Lite and Coors Light, while at the same time continuing to reshape the portfolio and drive in above premium direction.” He rejected any thought to simply focusing on Miller Light, which in recent months has done better than Coors Light.
“Our work (on Coors Light) has been good,” he said, but “actually good is not good enough for Coors Light. The work needs to be world-class, and that’s what the team are focused on delivering as we leave 2018 and go into 2019. The positioning of both Coors Light and Miller Lite is still highly relevant to today’s drinkers. We’ve demonstrated that we can dramatize that very effectively on Miller Lite.
Gavin Hattersley, president/ceo of the company’s U.S. unit, MillerCoors, added Coors Light is the second largest brand in the United States and “we certainly have no intention of giving up on Coors Light.”
Coors Light has just launched a new Blue Mountain cold beer digital campaign as part of the company’s push to capture the attention of 21 to 34-year-old drinkers, Hunter said.
Brian Rice who led the Miller Lite turnaround has recently become the leader of the Coors Trademark and family of brands.
And above premium and craft, Peroni and Sol are posting the strongest percentage growth rates in their respective import segments. Molson Coors will build on the success of Sol by introducing the best-selling Mexican ready to drink Chelada next year.