Sales of rum and other spirits in Italy’s Campari Group liquor portfolio grew 39% in the Jamaican market nine months to September 2022, the strongest sales growth of any of its regional markets for the period .
Sales in Jamaica were driven by the Campari brand, as well as Appleton Estate, Wray & Nephew Overproof and other rums, according to the group’s latest financial report released on Thursday.
Local Campari Group company J. Wray & Nephew Limited, JWN, however, continues to face a shortage of packaging materials for some products, a hangover from supply chain bottlenecks induced by the COVID-19 pandemic, it seems. The shortages led to lower sales of the popular Magnum tonic wine, which fell 3.3%, in what the company described as an “overall decline due to continued supply constraints”.
Over the months, total sales in Jamaica amounted to 104 million euros, compared to 75 million euros a year earlier. Growth in the US and Germany increased 29% and 23% respectively, making them the other territories with growth close to the 39% revenue improvement in Jamaica.
Sales over nine months in Jamaica represent 5% of the group’s turnover, estimated at 2.0 billion euros for the global producer and distributor of spirits. This amount was up from 1.57 billion euros a year earlier. Net profit before tax amounted to 453 million euros, or 33% more than a year earlier.
“The brand continues to benefit from the at-home mixology trend, consumer-focused Campari spritz success, as well as upward price repositioning,” Campari said in the September quarter, tacitly acknowledging that the rising prices due to inflation had contributed to the better financial performance.
Over the period, the group said, the Jamaican rum portfolio overall grew by 16.4% “largely driven by Jamaica, New Zealand and Mexico”.
The Jamaican operation is said to hold one of the largest stocks of aged rums in the world. Its aged rums are marketed under the premium Appleton Estate brand. In April, JWN launched a new rum called Ruby, a limited rum blend of five aged and rare Jamaican rums, to celebrate Master Blender Joy Spence’s 40 years of craftsmanship with the distillery. Then, in July, the company launched Decades, a product that includes rum from each of Jamaica’s six decades of political independence. Decades sells for $240,000 a bottle.