Brown-Forman has expanded its distribution partnership with Coca-Cola HBC, handing over the distribution of its portfolio of spirits brands in Switzerland.
This agreement marks the twelfth territory in which the two companies will collaborate, with the joint distribution efforts in Switzerland officially launching next month.
“Coca-Cola HBC Switzerland possesses strong customer relationships, excellent local market knowledge, and an efficient sales and logistics infrastructure,” said Maria Navas Peire, Vice President and Managing Director for DACH markets and the Netherlands at Brown-Forman.
The partnership between the Coca-Cola bottler and the owner of Jack Daniel’s began in 2008 with a distribution deal in Hungary. Since then, the collaboration has expanded to multiple territories.
While Brown-Forman does not typically break down sales by individual market outside of its five largest territories—the United States, Mexico, Germany, Australia, and the United Kingdom—the company reported global sales of $3.93 billion for the year ending April, representing a 1.1% decline from the previous twelve months.
In the United States, which accounted for 42% of total sales, Brown-Forman experienced a 7% decline in sales, though organic performance remained flat. The company currently manages its own distribution in 17 markets, including key European territories such as Germany, Italy, and the UK.
Headquartered in Switzerland, Coca-Cola HBC also represents other major spirits brands, including Bacardi and Edrington.
Jürg Burkhalter, General Manager of Coca-Cola HBC Switzerland, described the deal with Brown-Forman as “an important strategic step in the further development of Coca-Cola HBC Switzerland.”
He added, “It enables us to serve our customers in an even more compelling manner and to jointly tap into new growth opportunities.”
Notably, three years ago, Coca-Cola HBC acquired the Finlandia vodka brand from Brown-Forman for $220 million, including the Brown-Forman Finland subsidiary.
