Brown-Forman- Statistics & Facts
Brown-Forman is one of the major players in the global spirits industry, particularly the whiskey market in the United States. Brown-Forman accounts for almost four percent of the total distilled spirits market in the country, as the eleventh largest distilled spirits company, but it accounts for nearly a quarter of the straight whiskey market, ranking second to competitor Beam Suntory.
In order to bolster falling market share and promote new brands, Brown-Forman has greatly increased advertising expenditure . From 399 million U.S. dollars in 2021, ad-spending rose to 529 million dollars in 2024. This seems to have worked as sales have risen concurrently. Although the last few years have been tough on the alcoholic beverages market generally, Brown-Forman has weathered the difficulties. Future success will hinge on whether the company can stem the loss of market share of the flagship brand or continue to capitalize on current trends in the industry with new introductions.
Reliance on spirits and the United States
Brown-Forman saw a 63 percent increase in net sales between 2011 and 2023, from about 2.6 billion to over 4.2 billion dollars, before falling slightly in 2024. Nearly half of the company’s regional net sales are attributed to the United States, with Mexico making up the second largest single market. Although Brown-Forman has wine and RTD brands, only a tiny percentage of their sales come from non-spirits segments, while whiskey provides the bulk of sales.New brands offer growth
Jack Daniel’s is one of the most recognizable whiskey brands worldwide. The brand makes up a large portion of the whiskey market in the United States. However, this share has been steadily declining since 2011, when Jack Daniel’s made up a 30 percent share of the total straight whiskey market. These losses coincide with an increasing market share of craft whiskey brands. Brown-Forman brands that have seen an increase in sales in the past year are non-traditional spirits beverages like Jack Daniel's Tennessee Apple and the RTD brand New Mix, as well as the company's more premium whiskey offerings.In order to bolster falling market share and promote new brands, Brown-Forman has greatly increased advertising expenditure . From 399 million U.S. dollars in 2021, ad-spending rose to 529 million dollars in 2024. This seems to have worked as sales have risen concurrently. Although the last few years have been tough on the alcoholic beverages market generally, Brown-Forman has weathered the difficulties. Future success will hinge on whether the company can stem the loss of market share of the flagship brand or continue to capitalize on current trends in the industry with new introductions.
