Mast-Jägermeister FY sales drop 10%
Germany-based Mast-Jägermeister saw its net sales drop by 10% last year due to a weak consumer climate and a ‘shrinking’ spirits market.
The German spirits company saw its sales decrease to €866 million (US$973.8m) in 2024, down from €961.7m (US$1 billion) the previous year.
The parent company of herbal liqueur Jägermeister noted that the full-year sales drop was due to a ‘generally weak consumer climate’ and ‘major inventory adjustments by global distribution partners’.
It warned that the global spirits industry ‘faced a shrinking market’ for the second year in a row.
Like many of its competitors, Mast-Jägermeister also said that ‘political and economic instability dampened consumer sentiment across nearly all key regions’.
The company noted that the industry saw a drop in sales volumes across major markets such as the US, most of Western Europe, Latin America and China. Mast-Jägermeister singled out China, which has been hit by ‘poor economic prospects and low consumer confidence’.
The group’s flagship brand, Jägermeister liqueur, suffered a volume drop of 7.5% to 109.5m 700ml bottles last year, down from 118.4m bottles in 2023.
But it noted that depletions were largely stable, dipping by just 0.4%.
Mast-Jägermeister CEO Michael Volke said: “Due to the weakened global consumer climate, we saw significant one-off inventory adjustments that resulted in lower shipments.
“The encouraging part is that consumer sales in local markets remained steady. This highlights the strength and continued relevance of the Jägermeister brand among our fans and gives us a strong base for future growth.”
In March 2024, Jägermeister launched a new line extension made with Sicilian oranges, which made its debut in the Czech Republic and Slovakia. Additional global markets will follow in 2025, including Germany.
Meanwhile, Dwayne ‘The Rock’ Johnson’s Teremana Tequila brand, which joined the Mast-Jägermeister portfolio in 2019, reported double-digit growth last year.
The brand continued to grow in the US, but its total shipments declined by 8% to 16.1m 700ml bottles last year (2023: 14.8m bottles).
Mast-Jägermeister began Teremana’s international expansion in 2024 with launches in Germany, the UK, Australia, the United Arab Emirates and global travel retail.
Teremana is set to enter 29 new markets this year, while the build of a second distillery in Jalisco was commissioned last year.
Hamburg-based Gin Sul, which joined the Mast-Jägermeister portfolio in 2018 after the acquisition of a stake, expanded into Czech Republic and Slovakia last year.
That same year, Gin Sul also tested its new Limão Fizz, which garnered ‘strong results’ and the product will now be launched across Germany and select international markets.
Outlook: ‘difficult’ to forecast
Looking ahead, Mast-Jägermeister said forecasting remains extremely difficult due to volatility in global trade, as Volke noted: “Thanks to the continued stability of our international depletions, we remain fundamentally optimistic about the year ahead.
“We see strong potential for sustainable growth through the further internationalisation of our brands and innovations like Jägermeister Orange and Teremana Tequila. At the same time, global political developments and rising trade tensions are unpredictable and present considerable risks.”
Earlier this week, a lawsuit alleging that Southern Glazer’s Wine & Spirits had entered into a franchise deal with Jägermeister in Missouri was dismissed after seven years.
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