Contact:
Jennifer Schertz
Certified Angus Beef LLC
330-345-2333, ext. 383
[email protected]
Certified Angus Beef ® brand announces 10th consecutive year of record sales
Increased availability of high-quality cattle allows licensed partners to meet growing consumer demand
WOOSTER, Ohio – Oct. 11, 2016 – For the 10th year in a row, Certified Angus Beef LLC reported
record sales of its signature Certified Angus Beef ® brand, marketing 1.015 billion pounds of product in
fiscal 2016 (ending Sept. 30). The increase of 13.3 percent represented an additional 119 million pounds
of product sold by a network of more than 18,000 licensed partners worldwide.
“Thanks to a dramatic positive shift in the supply of high-quality Angus cattle, our partners were able to
deliver more of the highest quality beef to consumers while supporting ranch families and rural
communities,” said brand president John Stika. “Our partners’ collective achievement – from the farm to
the table – illustrates the relevance of our mission established nearly 40 years ago. By delivering unique
experiences and value to consumers, our individual partners succeed as well.”
Monthly sales records and category growth
The Certified Angus Beef ® brand set sales records in all 12 months of fiscal 2016. Furthermore, eight of
the 10 best sales months in the brand’s 38-year history were set in fiscal 2016. Sales of more than 90
million pounds in July, August and September reflected partners’ strong marketing and promotional
activity during grilling season.
Growth was balanced across product categories. Backed by traditionally strong demand, particularly for
consumers’ celebrations and special occasions, sales of premium steaks (middle meats) grew by 11.4
percent. End meat sales grew by 87 million pounds, and ground beef sales increased by 8.5 million
pounds.
Illustrating the appeal of premium beef to the most discerning consumers, sales of the brand’s Prime
product extension grew by more than 26 percent.
Divisional success
After six years of deceleration, retail division sales exploded with 18.5 percent growth, or 68 million
pounds. Quality-focused retailers have long represented the largest portion of brand sales – 43 percent in
fiscal 2016 – but lower beef prices linked to increased supply encouraged more consumers to choose
beef for family meals more often. Plus, grocery partners aggressively featured brand items in their
circulars, further driving sales.
-more-
-2The foodservice division, already on a well-established path of growth, enjoyed its seventh consecutive
year of record sales: 355 million pounds, a 6.3 percent increase. Three-quarters of the brand’s licensed
distributors grew their business by an average 9.3 percent. Sales to licensed restaurants also increased 10
percent, demonstrating the brand’s relevance and value to chefs, restaurateurs and customers.
International sales of the Certified Angus Beef ® brand reached a new record of 138 million pounds in 49
countries. Sales in Japan, historically important for U.S. beef, more than doubled in fiscal 2016, thanks
to the efforts of partners strongly committed to the brand. Sales in Mexico also increased a notable 16
percent.
Processors responded to growing consumer demand for high-quality convenience meals in both retail
and foodservice with branded value-added products. Sales were up by 8.9 percent, driven by key items
including smoked brisket, marinated fajita meat and fresh corned beef.
Family farmers’ focus on quality leads to increased supply
Family farmers and ranchers have been the foundation of the Certified Angus Beef ® brand since its start;
their efforts to raise quality cattle meeting the brand’s 10 exacting standards enable licensed processors,
distributors, restaurateurs and retailers to meet consumers’ growing demand for premium beef.
A few years after a devastating drought across much of the United States, these families finally saw the
fruits of their efforts to rebuild herds. Beyond simply adding more cattle, they improved the quality of
their herds with a strong focus on Angus genetics and the brand’s quality target in mind. As a result, the
rate of cattle eligible to earn the brand name rose to a record 28.9 percent, up from just 14 percent a
decade ago. The collective improvement in cattle translated into increased supply for the brand of
440,000 head, or 115 million pounds of branded product.
“This additional supply led to reduced prices for consumers while delivering more of the same superior
beef they’ve come to expect from the brand,” said Stika. “This intentional focus on quality by our family
farmers and ranchers is at the core of the brand’s relevance, not just to the ranching families themselves,
but also to the brand’s partners and consumers. It’s a relationship that has a collective impact much
greater than the sum of its many individual parts, all passionately focused on quality and family.”
About the Certified Angus Beef ® brand
Founded in 1978 by a group of family Angus ranchers, the Certified Angus Beef ® brand is the only
brand owned by the American Angus Association® and its nearly 25,000 rancher members. An industry
leader and world renowned for quality, the brand is enjoyed for its flavor, tenderness and juiciness and is
offered by the finest restaurants and retailers around the globe.
Known for its generous marbling, the Certified Angus Beef ® brand meets or exceeds 10 standards for
quality more selective than USDA Choice or Prime. Only 1 in 4 Angus cattle meet the brand’s exacting
standards. For more information, visit www.CertifiedAngusBeef.com, read the brand’s blog at
www.GoRare.com, or look for the brand on Facebook, Twitter, Instagram and Pinterest.
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