Diddy Gets 50% Of Circoc’s Profits

Ciroc and Ketel One are pricier alternatives to Diageo’s Smirnoff. Ciroc volume sales climbed to 400,000 cases in the year ended June 30 from 60,000 cases in first half of 2007, the year that Diageo teamed up with Sean Combs. Diddy’s fellow rappers Snoop Dogg, Dr. Dre and Jay-Z all have endorsement deals with liquor brands in the U.S., while Combs is “a true partner” and receives half the brand’s profits, Strachan said.

Diageo’s Ciroc vodka, an equal-share venture with Combs, is set to release coconut and red-berry varieties in the U.S., Marc Strachan, the brand’s marketing director, said at an Oct. 28 presentation in Schiedam, Netherlands. Ketel One, the local vodka maker in which Diageo bought a 50 percent stake for $900 million last year, plans to enter 15 new markets including Brazil and Australia by the end of June, said Bob Nolet, vice president of the Nolet Distillery, where it’s made.

Full Story: Bloomberg