Diageo is dropping Guinness from the name of its US beer business as part of a plan to expand its investment in the market.
The name will change to Diageo Beer Company USA from Diageo-Guinness USA (DGUSA) to signal the company’s commitment to the broad category of premium beer.
For few years now, Diageo has been concentrating on Guinness and Smirnoff Ice brands, which currently form majority of DGUSA business
The Guinness brand has been repositioned as a brewer, supported by a range of beers that suit several occasions and tastes.
On the other hand, Smirnoff Ice is being received well by consumers. Several Smirnoff extensions such as Smirnoff Ice Electric Flavors, as well as Smirnoff Ice Spiked line and new seasonal flavours have contributed towards the success of the Smirnoff brand.
Diageo Beer Company USA President Tom Day said: "Diageo Beer Company USA will be a forward-thinking premium beer company, rooted in our brewing heritage and focused on brands, customers and consumers.
"While Guinness will of course continue to play an essential role in our beer portfolio, the new Diageo Beer Company USA name will help highlight the contributions and potential of our other great brands like Smirnoff Ice, Smithwick's and Harp."
"We have confidence in the position of our two largest brands and are excited for what's to come over the next year. This change truly represents a culture and mindset shift for Diageo's U.S. beer business."
Diageo Beer Company USA, now plans to increase investment in Smithwick’s and Harp brands.
As part of the renewed strategy, Diageo announced new products including Quaker City Malting, a partnership with drinks architect Steve Grasse to create a new hard soda line. Launch of Smirnoff Spiked Sparkling Seltzer line.
The company's planned collaboration with New York celebrities Boomer Esiason and Craig Carton, aims to create a limited release Smithwick’s variant.
Day said: "More and more, American beer drinkers are interested in experimenting with new styles and brands. That's evident with the continued proliferation of craft beers and traditional flavored malt beverages, as well as the rise of hard sodas, spiked seltzers and ciders.
"We're confident that those consumers will love the high quality and variety of our new offerings from Smithwick's, Smirnoff Ice and Quaker City Malting and as always, we will be encouraging consumers to enjoy our products responsibly."
