Premium beef brand brings in record 2016 sales

Certified Angus Beef marketed 1.015 billion lb. in fiscal 2016 thanks to uptick in Angus cattle supply.

For the 10th year, Certified Angus Beef LLC has reported record sales of its signature Certified Angus Beef (CAB) brand, marketing 1.015 billion lb. of product in fiscal 2016 — a 13.3% increase.

“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 ranching families,” brand president John Stika said. “Our partners' collective achievement illustrates the relevance of our mission established in 1978. By delivering unique experiences and value to consumers, our individual partners succeed as well.”

A few years after a devastating drought forced a reduction of the cattle herd, ranchers have seen the fruits of their efforts to rebuild herds. Beyond adding more cattle, they improved their herds with a strong focus on raising high-quality Angus cattle, ultimately increasing the premium beef supply, the company explained.

“This additional supply led to reduced prices for consumers while continuing to deliver more of the same quality beef they've come to expect,” Stika added.

Eight of the 10 best sales months in CAB's 38-year history occurred in fiscal 2016. Sales of more than 90 million lb. in July, August and September reflect the strength of grilling season.

Growth was balanced across product categories. Sales of premium steaks (middle meats) grew by 11.4%, illustrating the appeal of premium beef cuts, while end meat sales grew by 14.9% and ground beef by 7.9%.

Retail division sales exploded, with 18.5% growth thanks to lower beef prices and grocery partners aggressively featuring the brand's items. Foodservice enjoyed a seventh consecutive year of record sales and 6.3% growth.

International CAB sales reached a new record of 138 million lb. in 49 countries, with Japan leading the growth.

The brand's convenience products rose 8.9%, with smoked brisket, marinated fajita meat and fresh corned beef driving growth.

Founded in 1978 by a group of family Angus ranchers, CAB is the only brand owned by the American Angus Assn. The brand meets 10 standards for quality — more than the requirements for U.S. Department of Agriculture Choice or Prime.

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