Latest news with #DiageoNorthAmerica
Atlantic
14 hours ago
- Business
- Atlantic
PHOTOGRAPHY BY LAUREL GOLIO
These days socialization is all about empowerment and choice. People want to be able to decide for themselves what and whether they are drinking, just like they do with other aspects of their lives, says Christine Hasbún VP, Head of Consumer Planning at Diageo North America, a global beverage company with a leading portfolio of alcoholic and adult non-alcoholic beverage brands. This is especially true of Millennials and Gen Zers of legal drinking age. 'I think people are kind of moving away from that very black and white, super hard line demarcation, and they're going into a place where there's more options, it's more fluid, it connects more with their lifestyle,' says Hasbún. Diageo has embraced this concept by developing a 'Cheers to Choice' bar it pops up at events around the country. The idea is to present consumers with a full range of options across the spectrum from alcoholic to lower alcohol to non-alcoholic. 'It's an effort to meet people where they are and educate them about choices and a new way to think about consumption, whether they choose to have alcohol or not,' says Stephanie Childs, Executive Vice President of Corporate Relations, Diageo North America. We're living in a world where we've got people coming into alcohol with an expectation that they can choose to not drink more, but drink better. Christine Hasbún Just as a person would order gelato one day and drink an oat milk latte the following day without giving the switch from dairy to a dairy alternative a second thought, they might have a Negroni one day and a non-alcoholic Guinness 0 the next; or even on the same night. The trend of alternating between alcoholic and nonalcoholic drinks is called zebra striping—and it's growing in popularity. According to recent research, 94 percent of consumers who buy adult non-alc products also purchase beer, wine, or spirits containing alcohol. It's not an either/or situation. But it might just be a better situation. Take Gen Z. 'There's this belief that Gen Z is drinking less. Or they're not drinking. Or they hate alcohol. 'That's actually not exactly true,' says Hasbún. 'What they're doing is drinking less beer and wine, and instead they've embraced spirits and cocktails.' Case in point: The cheap beer and a burger of the previous generation—or the drunken, stumbling slice of pizza—has been replaced by the New York Happy Meal, an adult version of the treat consisting of a martini and french fries. 'We're living in a world where we've got people coming into alcohol with an expectation that they can choose to not drink more, but drink better,' says Hasbún. 'It's this realization that you can deliberately control what you consume.' And as for moderation? That's not just Gen Z or Millennials either. It's a trend that spans generations. Nor is it an entirely new thing.
Reuters
14-03-2025
- Business
- Reuters
Spirits giant Diageo suggests alternative to Trump's tariffs
LONDON, March 14 (Reuters) - Spirits giant Diageo (DGE.L), opens new tab has suggested the U.S. government consider tougher rules of origin requirements in trade agreements as an alternative to tariffs, a letter to the U.S. Trade Representative showed. In the March 11 letter, Diageo, the world's top spirits maker caught in the crossfire of U.S. President Donald Trump's effort to remake global trade, argued that new rules of origin could support his aims and benefit the industry. Such rules could give preference to goods, including alcoholic drinks, in which all ingredients and subcomponents are substantially sourced within the U.S. or via its key trading partners, Alden Schacher, vice president of government relations at Diageo North America wrote. This would deepen U.S. supply chains, prevent "foreign adversaries" from using U.S. trade partners to circumvent tariffs and support the administration's policy objectives such as growing the U.S. economy, said the letter, one of hundreds published by the USTR from firms and trade associations about tariffs. Diageo's proposed rules of origin would require that plants or grains used in the production of imported alcohol come from the United States or the territory of a strategic trade partner - any country that has a trade agreement with the U.S., such as Mexico and Canada. The company also suggested that the rules ensure the distillation also occurs in the U.S. or the territory of the same partner, with any barrels used in ageing also sourced from one of those places. Diageo sells billions of dollars worth of tequila and Canadian whisky in the United States. Executives have warned Trump's threatened 25% tariffs on Mexico and Canada could deal a $200 million hit to operating profit in the company's second half alone, before mitigation measures. Trump on Thursday also threatened to slap a 200% tariff on wine, cognac and other alcohol imports from Europe. In the letter, Schacher wrote that trade in distilled spirits is largely reciprocal and therefore actions to address imbalances are not necessary. Schacher pointed out that Diageo employs thousands of U.S. workers, has 11 U.S. manufacturing sites, and spends $650 million every year on U.S. inputs including barrels, glass and cans.
