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Why Companies Win - Looking Back at Spirits RTDs in 2019 - Quench Report Issue #26

Could We Have Predicted High Noon's Success?

Author

Matt Rice
February 02, 2026

Welcome to Issue #26 of The Quench Report, the newsletter that raises a glass and delivers the latest and greatest in Beverage Alcohol and the broader Beverage category.

This week, we're continuing our exploration of Spirits RTDs from last week's issue. We're taking a step back to 2019 to examine what the category looked like when High Noon first launched, and if we could have predicted Gallo would be so successful with it.

What’s on tap for today:

  • 🥃 A Look Back at RTDs in 2019

  • 🔥 Hot Jobs Worth Applying To

 🥃 WHY DO CERTAIN COMPANIES WIN?

As a reminder, last week we reported on early 2025 spirits RTD performance data showing High Noon's volume declined 3% versus 2024. This marks the end of an unprecedented run that made High Noon one of the fastest-growing spirits brands in history.

Just how fast did High Noon grow? Last week's visual on the fastest-growing U.S. spirits brands by volume revealed that High Noon alone claimed 5 of the 8 fastest-growing years for a spirits brand in recent history. Check it out below if you missed it 👇️ 

This week, we decided to rewind to 2019 and investigate whether there were any indicators that could have predicted High Noon's success. First, let's set the stage for what was happening in Beverage Alcohol in 2019:

  • La Croix Impact - One reason we track trends across all beverages is the clear historical link between non-alc and alc categories. The explosive growth of White Claw and Truly in 2019 was fueled not only by strong summer marketing but we would argue, also by an echo effect from La Croix's emergence, which peaked in 2015. Time and again, we see non-alc trends cross over to alc years later as those consumers age in bev alc.

  • Summer of Seltzer - Although White Claw and Truly both launched in 2016, their initial traction was modest. It wasn't until summer 2019 that both brands truly accelerated, each posting triple-digit growth. They repeated this performance in 2020, but 2019 was the year the industry really took notice.

  • Incumbents Were Coming - Driven by the category's explosive growth, a wave of new entrants from major suppliers flooded the market in early 2020. By mid-summer, the seltzer landscape was crowded with competition.

Given this backdrop, which company was positioned to launch the next breakout RTD brand? Check out the competitive landscape in 2019 below 👇️ 

Looking at this list, which competitor would you have bet on to launch the next great RTD brand? Certainly a competitor powerful in either beer or spirits? Most wouldn't have picked Company D (E&J Gallo), but that's exactly what happened.

Why the Skeptics Were Wrong

Looking back, there were plenty of reasons to doubt Gallo's chances:

• Spirits face tax disadvantages versus malt-based products
• Spirits have more limited distribution than malt products
• Gallo's route-to-market couldn't possibly compete in this space
• The convenience channel is critical, and Gallo had minimal presence there
• With competitors having a 3-year head start, catching up seemed impossible
• Gallo exceled at push marketing, but could they create genuine consumer pull?
• Did Gallo even have the capability to manufacture canned products?

None of it mattered. Gallo's launch outperformed every competitor. The lesson: Don't overthink what drives success. When analyzing the capabilities needed to win, focus on the ones that truly matter - and make sure they are proven historically. Above all, great brands find a way.

Next week: More on how non-alc trends migrate into alc years later.

THIS WEEK’S HOT JOBS IN BEVERAGES

These roles came to us via personal recommendations (not public job boards). Want your open role featured? Email: [email protected] 👇️ 

THANKS FOR READING

The Quench Report is a free weekly newsletter from Thirsty Insights, a beverage alcohol consulting company that serves top clients in data, strategy, insights, and analytics.

Any questions, please email us at [email protected]