On Feb. 13, 2018, Jägermeister CEO Jeff Popkin told Major Brands CEO Sue McCollum that the relationship was over. Major Brands filed suit that day.
Walsh said jurors would ultimately have to decide damages, which an economist estimated at $9.1 million over 10 years and $17 million over 40 years.
Jan P. Miller, lawyer for Jägermeister and Southern Glazer’s, told jurors that the break came after a decadelong decline in sales. Sales of Jägermeister in Missouri trailed the region, and the brand was also struggling nationally. Jägermeister had to change their way of doing business “if it was going to survive in the marketplace.”
The move was part of an attempt to consolidate the distribution network in a more responsive company and increase national marketing, he said.
There was no contract or franchise agreement with Major Brands, which is not covered by the Missouri franchise law, Miller said.
The $25 million over five years was an investment in marketing, which paid off, Miller said. Sales have started to increase, and Jägermeister is now the “official shot” of both the National Hockey League and the St. Louis Blues.
“They want you to declare that Jägermeister is stuck with them and cannot leave,” Miller said of Major Brands.
