By Andrew Starke
Jose Cuervo will be marketed and distributed by Diageo Australia from April 1 after the global drinks giant finally confirmed the popular tequila brand would be part of its portfolio.
TheShout broke the news late last year that Diageo was in negotiations with Suntory about the brand’s future and it has since been a case of when rather than if Diageo would take up its rights.
Under the new agreement, Diageo Australia will manage the full marketing and distribution of Jose Cuervo portfolio brands including: Jose Cuervo spirits, Jose Cuervo Margarita Mix, Gran Centenario, and 1800 Tequilas.
The agreement will not include Jose Cuervo’s current RTD brand, Vivezo.
In the lead-up to the official start date of April 1, Diageo has also reached an interim agreement to sell the core product Especial (700ml and 1L) from March 22 to help meet immediate customer supply requirements.
“We are incredibly excited about the addition of Jose Cuervo to our portfolio of brands,” said Diageo Australia managing director, Tim Salt, told TheShout.
“Jose Cuervo has a rich history dating back to the 18th century, and is the world’s number one selling tequila. It offers great synergy to our collection of iconic alcohol brands. As the leader in the tequila category, we are looking forward to the opportunities Cuervo will present in helping deliver category growth for the retailer.”
“The strength of our white spirits portfolio will be further bolstered by Jose Cuervo, and we will be investing behind the brand to drive growth,” added Diageo Australia marketing director, John Green.
The distribution agreement of the Cuervo spirit portfolio in Australia will complement Diageo’s existing global joint venture with Don Julio tequila, which will also continue in Australia with no changes.
Jose Cuervo Tequila is imported and marketed in the United States by Diageo North America, a subsidiary of Diageo.
Jose Cuervo is owned and run by the Beckmann family – heirs of the Cuervo family – with Juan-Domingo “Dobel” Beckmann the sixth-generation head of the company.