Below is a chart and brief excerpt from today's Early Look written by Consumables analyst Daniel Biolsi.
|
Unlike the mass appeal of Cats, the appeal of Modelo Especial is much easier to understand. I can tell you the light, crisp, slightly sweet Mexican style pilsner-lager with a gold foil neck is an easy drinking, seemingly premium beer. Various demographic groups feel that it is their beer. When consumers are surveyed for unaided brand awareness Modelo is listed at 7% of general market drinkers compared to 35% for Corona. That is remarkable considering it is the now the second largest beer brand in the U.S. and the only beer in the top five that is not a low-calorie beer. In 35 of the past 38 years Modelo has seen double digit growth in the U.S., a growth streak that is more impressive than Cats’ 18 year run on Broadway. However, you don’t have to drink Modelo to understand the growth driver. Its destiny is demographics as seen below. Modelo’s impressive growth streak will continue, it’s written in the birth certificates. Constellation Brands is a Best Idea long in the Consumer Staples position monitor. ¡Viva! |
