Interview: Breakthru EVP And COO Julian Burzynski
Breakthru Beverage Group ranks as the third-largest distributor of wine and spirits in the U.S. market with projected 2025 revenues of $8.5 billion across its 16-market footprint. This year the company is focused on leveraging the bright spots in a difficult market—such as RTDs and lower-alcohol options—while ramping up its activity in vibrant channels like the convenience segment. SND executive editor Daniel Marsteller recently caught up with Breakthru executive vice president and chief operating officer Julian Burzynski for an update.
SND: Where are the bright spots within wine and spirits in the U.S. market currently?
Burzynski: While the industry is facing challenges, we’re still seeing opportunities across the wine and spirits market. Consumers are seeking value for their money. Organic and low- or non-alcoholic wine options, as well as high-end fine wines, are all category bright spots as consumer habits change.
SND: How are you finding conditions on-premise compared with off-premise?
Burzynski: The on-premise is faring well, despite the industry headwinds. Consumers are watching their wallets but are willing to pay for food and beverage experiences and remain committed post-pandemic to supporting local restaurants and bars. In terms of off-premise, we’ve seen that premiumization has slowed, but focus on unique flavors and ingredients as well as wellness offerings has stayed strong.
SND: What consumer trends are you focusing on as growth opportunities?
Burzynski: Non-alc continues to grow in popularity with consumers, and we’re investing in these alternative options through our emerging beverage portfolio Trident. Our goal is to show consumers ways they can enjoy both alcoholic and non-alc options across various occasions.
The RTD category—across both wine and spirits—is growing and we are investing in it alongside our suppliers, who continue to bring new RTD products to market. Especially as consumers shift their shopping to convenience and other small-format stores, we see an opportunity to compete on the shelves and introduce them to a wider variety of RTD products.
SND: What is Breakthru’s view on further market expansion looking ahead?
Burzynski: While we are always considering market expansion, we’re assessing every opportunity to make sure it’s the right move, at the right time. For example, we recently made the investment to open and expand our facility in Tampa, Florida, doubling the size of the warehouse to more than 1 million square feet.
Our focus is to build for the future and ensure that our infrastructure and capabilities align with our customers’ needs and our growth ambitions. In recent years, Breakthru has invested more than $75 million into its operational capabilities across its footprint by expanding warehouse capacity, incorporating new technologies, and bolstering automation.
SND: Where else are you investing across the business?
Burzynski: Breakthru has invested in new data sources and analytics platforms that put the consumer at the heart of our operations. These insights are actionable by our sales teams while they’re in the field servicing our accounts. This effort has shown promising results, ensuring we have the right product in the right account ready for the right consumer.
We’re continuing to invest in Breakthru Now, our B2B e-commerce platform, which provides real-time, expanded portfolio access and an enhanced customer experience. It was developed in partnership with suppliers to broaden exposure of their brands and allow customers to manage their business anytime, anywhere. The idea is to offer a digital connection with customers that aligns with how we serve them in person.
And investing in our people’s growth and development is at the core of our culture. We want our teams to be the most educated, agile consultants in the bev alc industry.
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