Facebook, Corona Hard Seltzer, Mexico discussed on MAD MONEY W/ JIM CRAMER

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Get a better read on the quarter and what comes next? Welcome back. Thanks Jim good to be here all right so bill. What could you have done since this was a blowout quarter? If you could actually get all the beer that you need it out of Mexico? Well. Certainly, we had a bunch of headwinds, but that that didn't stop us from having a pretty good quarter. As you know, we're a little under indexed the on premise, which was off about seventy five percent in the quarter, but when you grow almost twenty percent in the off premise arena, you have a pretty good quarter which we did well, they went there because you know that they are closing the bars again around around the country. There's just too much Kraus's none of social distancing. and. People. Say Well. That must hurt consolation, but in reality that is not a way to look at. It's What what you said earlier is true. A lot of people move their consumption from on premise to the off premise in these typical types of environments, so the networks to some degree to our advantage, because we are overrated, overweighted in the off premise arena, so it actually works pretty well for us as you. On the first quarter, we performed extremely well in that particular channel. So now I go home and I see billboards for Corona Hard Seltzer, and it looks like the initial returns are pretty amazing. They have been we today. We've shipped over three and a half million cases well on our way to roughly ten million cases in this fiscal year, and it's gone extremely well almost ninety percent of it to date as incremental to our business outwear the number, four Seltzer and variety pack already of we've got almost sixty five ACP share. And it's growing every day. We're just scratching. The surface of we think the ceilings pretty high. So which can you meet the demand I mean? Come on the show, and they're having trouble meeting demand. Quantum Adele having trouble. King and make them much seltzer. We can we'RE GONNA? Make roughly ten million cases this year, which is about the amount that we can for this fiscal year and we think that's roughly going to be about what the demand is, so we think those will be pretty well balanced in the meantime. Pretty interesting. This empathy deal that you made. A GARY CHECK I've been I've been on his show. He's from ground. Right around the corner from me. Online online is the way to go. Can it be meaningful for the bottom line? Well, we think it can one of the things that's happened during the pandemic is a radical increase, three teary congress, and and direct to consumer, and I ain't Gary stunt an excellent job with his brand of of approaching the entire business that way, so we hope we not only can leverage that particular business, but also learn a lot apply it to other brands within our portfolio at is going to be the way when we talked to consumers. They tell us they continued to plan to buy. A lot more often than they did before the pandemic. Bill you're tough numbers guy. I know you were not happy with canopy. Put Your Man Klein and there's is a tough guy. How quickly do you think you guys can turn that around because I know you still got the best capital, but some of these other guys were Pesky in that category and I felt I felt that you could dominate it. Can you still? I guess, we think we can. We're still the best capitalised business David has already created a much leaner structure. That's that's really set up to win. And most importantly and you and I have discussed this before a beverages is going to be a game changer the work the canopy has done to put out outstanding tasting products with virtually no calories It's really going to be a game changer, and and no one is better position canopy to win in beverage. Have to tell you that I was thinking. To tell people help people with politics I. Don't do politics if the Democrats swept the stock, which was is constellation because we'll be drinking beer in all fifty states rather quickly. Certainly we think if the if there's a change of administration. During the next election that would certainly be advantageous relative to galleries for Kansas all right now there are two issues i. want to talk about that I, think are important. One is your decision to put a hold on facebook I. Think they're trying now, but I want to know what it means to you. And then you made a decision to invest in the community invest in the African, American community not write a check, but it will invest what why are you going that way? One of the things that we realized is that the African American community in particular has been under served relative to capital as an example, african-american population is roughly thirteen percent of the total population, but gets only about one percent of the venture capital. Our view was this was a great way to provide some of that. Seek capital over of course of a number of years to encourage some of these smaller businesses. It really had a tough time having access to apple. Our view is it could be a great win for them and a great win for our company and the decision to suspend facebook. Could you go back to facebook if they? Made Immense. So what we choose chose to do was we've suspended our engagement with facebook or the month of July and we're going to have an overview of our entire approach to digital advertising, and to make sure that all of our media partners meet the commitments that we have to racial equality, social justice and facebook will be one of those, and if they do the kinds of things that we think are appropriate, we would certainly consider going at a, but we're going to expect all of our media partners to meet the that we have for ourselves. Are there enough? Media Partners Without sports I'm used to seeing your ads when I watch football games. Well one of the reasons that we we advertise less during the first quarter is there just wasn't the kind of live. Sports and other live activities that we're used to seeing and we're being very judicious, but we're ready. We expect to continue to advertise a one of the things we always see. In prior. Recessions are the people that invested in their brands and continued to do so during recessions always came out the other side in a much better space. That obviously with the NBA, starting with baseball starting. You're going to start to see some of these. Live of instant live sporting events available to us again, and we're looking forward to getting back in front of consumer more often well terrific regulations on what could have been a tough quarter. Was it instead? It was a great one bill.

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