BevNET Magazine January/February 2022

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Contents / January – February 2022 / Volume 20 / No. 1

RTD ALCOHOL BEVERAGE GUIDE • 2022

56

64

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COLUMNS

FEATURES

6 First Drop What’s Your Archetype?

52 Ingredients & Flavors What to Watch For in 2022

8 Publisher’s Toast The Crawdaddy Speaks

56 Coffee Cold Coffee Heats Up (with Brand News)

34 Gerry’s Insights Borders to Booze Keep Blurring

64 Mixers New Occasions, New Opportunities (with Brand News)

DEPARTMENTS

70 Spirits RTDs Asking Pricing, Packaging Questions

12 Bevscape/NOSHscape/Brewscape Brands Form ‘Alliance’ to Reduce Sugar Consumption, Green Circle Capital Launches Hormel-Backed Food Tech Fund, and Tilray Acquires Green Flash and Alpine

SPECIAL SECTION 75 RTD Alcohol Beverage Guide with services and suppliers

26 New Products Wunder, Silk, Vive Organic 30 Channel Check Kombucha Climbing 106 Promo Parade Honeydrop Documentary Debuts

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BevNET Magazine (ISSN 2165-6061, USPS 24-552) is published bi-monthly by BevNET.com, Inc. 65 Chapel Street Newton, MA 02458. Periodicals postage paid at Boston, MA and additional mailing offices. POSTMASTER: Please send address changes to BevNET Magazine, Subscriber Services, 65 Chapel Street Newton, MA 02458

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THE FIRST DROP BY JEFFREY KLINEMAN

What’s Your Archetype? A thought on business models as we enter the new year:

things are shifting, but there are still some basics that are worth remembering. Entrepreneurs are always reinventing the pathways to growing a brand, but there are recurring growth patterns when it comes to beverage companies. They don’t necessarily conform exclusively to these patterns – warehouse and DSD can overlap, and omnichannel is hybrid in nature – but see if these archetypes seem familiar to you. I’ve also included some “lookouts” for when you find yourself. Warehouse/Broadline: you’re selling a pretty inexpensive product that you feel can be reliably shipped to and serviced by the retailer rather than your team in-market; you have invested heavily in tightly controlled pricing and commodity and operations costs. Your sales team is effective but not huge because it tends to work with a network of accounts who are pretty well established. You rely on broker networks to get you up and running but a strong sales team keeps key accounts happy. Your super-strengths are reliability and affordability. Weakness: Times change. People stop being as interested in your product (see: Orange Juice). You’ve established your route to market but you’ve caused your margin cushion to all but evaporate; you get squeezed by commodity price spikes. At scale, even when you make money, there’s little room for growth; innovators can erode your position irrevocably. DSD: you’re selling a premium product and you’re growing region-by-region, supporting the right sales to the right accounts as guided by your network of distributors. You’re super focused, deploying data tools to determine your selling story, you pay attention to your margin so that even when you take into account the high cost of third-party distribution, you’re still attractive to potential investors while you grow. You emphasize something about your product: premium appearance or ingredients, functionality or taste, in the interest of creating “pull.” Weakness: The costs mean you’re taking on debt and investors to juice your expansion; investors are absolutely important but their need to realize return means that you create a clock on when you’re going to sell. You can get by without transacting, but that’s the ultimate goal since you’re likely playing from behind. Regardless, you have to be really careful with margins – you’re going to have to grow large enough that your revenues can eventually overtake the cost incurred to create that growth. And, as longtime beverage counselor Bill Sipper notes, DSD distributors are “needy… in the beginning, they just deliver. You and your sales team do all the work in the beginning until you are able to prove your product is working.” Direct-to-Consumer: You’re focused on acquiring consumers whose passions for a product means that its cost is less of a concern than its presence in their lives. Repeat consumption is important and you are constantly listening to your customers about the ways that you can maintain the relationship. If they’re on board and you can keep them interested, you create a highly profitable cycle, and you only have one customer, the end user. Your marketing process is your sales process, because you aren’t relying on in-store placement, and there’s a lot of focus on making it easy to purchase from your site. Weakness: Scale is hard to achieve, which means that if you have investors who are looking at growth, you’re going to have to cross the chasm to the physical world and it’s expensive to effectively create a new sales operation to do that. If it works, people might buy you anywhere; if it doesn’t, you’re last week’s “as seen on tv” product. And Amazon and shipping costs are getting more expensive. Omnichannel: You figure out a combined sales and marketing operation that relies on your product’s optimal characteristics 6 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022 2018

that suit both online and brick-and-mortar channels. You hope to create enough of a phenomenon online that offline trial is encouraged and price it low enough to mean that your online consumers will also support offline purchases so that retailers will continue to stock you. Subscription revenue online is both a steady stream, but also a marketing play for visibility and growth offline. Weakness: you have to have intense focus; it helps to adopt this strategy from the start. Picking the right channels for offline growth is product specific and you basically develop a second business. While a balance between sales channels means that you have a cushion should one shut down, that balance is also key to long term success, so if one slows dramatically the business could need to be reconfigured. You may shrink or grow your team accordingly, because you’re running several sales teams, and may have wild inventory swings as well. Now, here’s the really difficult part: while entrepreneurs with strong knowledge of their products (something more elusive than it sounds) might feel like it’s easy to pick their route, it’s very hard to convince the right partners along each path to come along with them. Key retail accounts, distributors, investors and consumers all have to see the virtue; for native omnichannel operations, that convincing has to take place on different tracks simultaneously, just to get started. Data is very scarce at the start for brick and mortar brands; sample data is so small as to be potentially irrelevant for early D2C brands. To truly align your business with your life goals, though, I’d say you need to begin with an ending in mind: if you want to be huge, know it’s going to take more time and money than you can fathom, and structure your finances so that you can handle the stalls that accompany driving forward all the time. You have to be willing to cede a lot of the business to investors because you’re buying into the idea that when you sell, it’s better to sell your 10 percent of a $1 billion brand than 50 percent of a $100 million brand. But if your ending is that you’d rather own and maintain that $100 million brand over the long term, then you build your company differently. Control is more important. But there are other changes in the environment that can affect your decisions: As we’ve heard repeatedly, exits for brands to strategic acquirers have evolved to become much more about seeing the potential to add profitability to the buyer’s existing portfolio rather than about adding a shiny brand that is going to take hundreds of millions of dollars in support before it becomes a viable winner. That means that fast growth has to be disciplined, because then you create a brand that’s more likely to stand up on its own. Better to be the pursued than the pursuer. Second, knowing that margins need to support a path to profitability, it’s also important that you not lock yourself into a company that can’t eventually grow. A lot of brands that try to leap from the screen to the store fall spectacularly in the moat between them. Maybe the best expansion is the incorporation of other good brands into your sales and marketing engine, especially as you think about the perfect channels for you to try out in the physical world. Third, really carefully evaluate your growth options beyond all of the patterns we’ve discussed above. You’ll be bombarded with options: international containers; cruise lines; foodservice; the Google cafeteria. You have to weigh the cost of visibility, the hassle, against your resources, strategy, and their effect on your all-important focus. Finally, remember: as we’ve learned in the past two years, it can all change in the time it takes for one international sneeze. So knowing your costs is going to let you understand on a day-to-day basis whether it’s worth it to stay on your planned route, or to try a side road. Best of luck. Photo by Samara Doole on Unsplash



PUBLISHER’S TOAST BY BARRY NATHANSON

A Word from the Crawdaddy The year 2022 is off to a promising start. The optimism I hear in every conversation speaks volumes. Sales are up, innovation forges ahead and marketing initiatives are back on track. I couldn’t be happier for each and every brand. I think the year could bring the industry back to those glorious days before the scourge of COVID-19 took over the world. Since it’s the new year and I didn’t watch the ball drop or otherwise do any other kind of New York thing, I had a little time to get reflective with regard to the beverage business. Sometimes, things get stuck in my craw, and I can’t stop myself from thinking about them. (Side note: I don’t know where the phrase “stuck in my craw” comes from – I’ve never actually seen a craw and my knowledge of human physiology, while limited, did not include a diagram of the craw). My first craw-driven reflection: the quality and taste of most brands coming out today is terrific. That’s great, because one of my most persistent concerns over the years has been the taste – or lack of taste – characterizing the new offerings that appear on our landscape. There were some dark years when product innovation far outpaced enjoyability. I believe strongly that the most important aspect of successful beverages is taste, taste and more taste. That still applies. Too often that has been lacking, going in cycles until either innovation, formulation, and taste finally meshed. This is such a time. I don’t know if the down time due to the pandemic gave marketers the time they needed and sparked a drive to create healthful, and functional brands that wouldn’t offend

the craw, but recent products that have crossed my desk are truly fantastic. They are true to their mission to create great brands, hence, the very good. While our ability to communicate through taste might be improving, however, we’re falling apart when it comes to communicating interpersonally, and that’s really got me searching for my craw so I can show you how much this miscommunication is stuck in it. Here’s the deal: We all look at brand web sites for research, but no matter how well constructed those sites are, how well they help deliver a brand story, I can’t for the life of me fi nd a company’s address or phone numbers. They’re harder to locate than the craw! Why? It makes no sense for you to make it impossible to reach out to your company. Why do you consider it an intrusion? Should the rest of us, say, at BevNET, keep our phone numbers a secret? Of course not! We want you to contact us. And we want to contact you! It boggles the craw. My e-signature lists several ways to contact me: my phone number, my cell number, my email address. Please, offer me the courtesy and respect to make it easier to reach you. We’ve been away from each other for far too long. I crave contact. In exchange, I’ll offer some advice: I’ve just looked up the term “craw” and found that it’s really a kind of organ in a bird or insect where food is stored before it moves on to the stomach. Ew. Do NOT make that part of a beverage. It would be crawful.

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Barry J. Nathanson PUBLISHER bnathanson@bevnet.com Jeffrey Klineman EDITOR-IN-CHIEF jklineman@bevnet.com Martín Caballero MANAGING EDITOR mcaballero@bevnet.com Ray Latif CONTRIBUTING EDITOR rlatif@bevnet.com Brad Avery REPORTER bavery@bevnet.com Justin Kendall NEWS EDITOR, BREWBOUND jkendall@bevnet.com Carol Ortenberg EDITOR, NOSH cortenberg@bevnet.com Adrianne DeLuca REPORTER adeluca@bevnet.com

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BEVSCAPE

THE LATEST BEVERAGE BRAND NEWS

Liquid Death Raises $75M, Preps Flavored Line Launch California-based canned water brand Liquid Death announced in January that it has raised $75 million in a Series C round led by startup studio Science Inc. The new funding brings the brand’s total financing to about $125 million since its founding in 2018 and is aimed at helping the company scale its presence in the conventional channel and support a new flavored sparkling water line launching in January. The round also includes investments from Powerplant Partners, Live Nation Entertainment (which first invested in the brand in 2021), Access Capital and Nomad Ventures. According to co-founder and CEO Mike Cessario, Liquid Death was up over 300% year-over-year in 2021 and reported about $45 million in topline revenue, up from $3 million when the brand launched in 2019. Its products are currently sold in about 29,000 retail locations nationwide, including Whole Foods, 7-Eleven and Target stores. With Albertsons already onboard, the company is seeking to grow its presence in grocery stores, with much of the new funding set to go towards building out its field sales team. “As you can imagine, everybody at the beginning, BevNET included, was skeptical of Liquid Death and I think it’s taken retailers more time to come around and realize it’s not some niche thing,” he said. At the end of 2021, Liquid Death had a retail ACV of about 9% nationwide, though Cessario noted that for most of the year the brand averaged a 6% ACV. The company is also preparing to launch its first flavored line, set to debut online at the end of January. The new sparkling waters will be sold in Liquid Death’s customary tallboy 16.9 oz. cans and come in three flavors: Berry It Alive, Severed Lime and Mango Chainsaw. The drinks are made with the brand’s mountain spring water and will also be sweetened with agave syrup and contain 20 calories per can. “The most important thing is, we want to make something that you absolutely call a healthy beverage, but let’s make the taste significantly better, or better is a relative word, but a little more intense or bold than Lacroix and Bubly and all of the zero-zero-zero [calorie] flavored sparkling waters out there,” he said. Mark Rampolla, co-founder and managing partner of Powerplant Partners, told BevNET in a statement that he has “never seen anything like Liquid Death” throughout his time in the food and beverage business, pointing to its swift crossover success in both the conventional and natural channels, as well as with a diverse array of consumers. While Liquid Death has worked closely with lead investor Science Inc., which first took a stake in the brand in 2018, the new partnership with Powerplant is also poised to open additional doors within the beverage industry through the firm’s experience in the space. “It’s scaling so fast, selling as well in Whole Foods as 7-Eleven and resonating with a wide audience ranging from heavy metal to country music fans and soccer Moms to skater kids,” Rampolla said. “Many entrepreneurs think they are building lifestyle brands, but how many of those brands have consumers sporting tattoos of them? Mike and his team are building the next Red Bull by making water cool and along the way will eliminate mountains of 12 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

single-use plastic and pull tons of sugar out of our bodies. That’s a mission we’re excited to support.” Dan Gluck, managing partner of Powerplant, echoed Rampolla’s comparison to Red Bull, noting that despite early skepticism from many in the CPG industry that a brand built around death could connect with mainstream consumers, he didn’t believe Liquid Death had a ceiling. Citing Powerplant’s internal data, Gluck said 291 bottled water brands launched in 2019 and Liquid Death is now outpacing all of them. “M&A is always part of our diligence,” Gluck said. “And we’ve seen where transactions have taken place, the multiples, and this is going to be a very attractive asset to acquire one day.” As has been the brand’s main claim to fame thus far, Cessario said the company drove a significant number of sales last year through earned media. One of the most successful recent ad campaigns, he said, was the release of a limited line of skateboards made using ink mixed with the blood of Tony Hawk (also an investor in the brand). A video for the campaign cost about $10,000 to produce and roughly $5,000 was spent on the physical boards he said, but its viral success ultimately generated roughly $10 million in earned media (as well as revenue from selling the boards). Going forward, merchandise and apparel will also play a bigger role in Liquid Death’s strategy, including plans for a wholesale business. Last year, apparel sales passed $3 million, up from $700,000 the year before, and branded clothing is also being sold in Urban Outfitters stores. According to Cessario, about 52% of direct-to-consumer purchases last year also included an item from the brand’s online merchandise store. “Merch is a very serious part of our business, just like it is for Metallica or Travis Scott, or any of these huge artists where merch and apparel is a huge part of what they do, even though technically what they do is make music that people consume,” he said. “They’re not clothing manufacturers, but I think it all goes hand in hand and not many CPG brands know how to really take advantage of that.”


Kids Drink Brand good2grow Acquired by Wind Point Partners

Atlanta-based kids drink brand good2grow was acquired in December by Chicago-based private equity firm Wind Point Partners, which purchased the brand from its owner Kainos Capital. Terms of the deal were not disclosed. Founded in 1997, good2grow produces clean label, RTD juices, fortified waters and flavored milks and has now emerged as one of the fastest growing brands in the kids drink space. In addition to its better-for-you positioning, the company has driven growth through its collectible bottle tops, featuring cartoon characters from Disney, Hasbro and Nickelodeon, to name only a few of the brand’s licensing partners. Since 2018, good2grow has been part of the Kainos portfolio and, according to the firm, has doubled in size. “We chose to partner with the Kainos team in 2018 with the belief that their sector knowledge and network of relationships – in particular in the c-store channel – would be invaluable, and this proved to be true,” good2grow CEO Gunnar Olson said in a press release. “They are a great team to work with, and they execute with speed and certainty.” Under Kainos, the brand expanded its DSD distribution network nationwide, added to the product portfolio with the launch of waters and milks and revamped the brand’s marketing strategy with a stronger focus on in-store activation. But it was the expansion of good2grow’s brand marketing partnerships with kid-friendly companies that has been one of its biggest growth drivers. In May, VP of marketing Edrza Gibson told BevNET that the growth of streaming services and increased home viewing during the pandemic was a significant booster for the brand as families watched more content and became familiar with new properties. In particular, sales spikes can often be times towards big film releases, as the brand saw its Trolls and Scooby-Doo licensed drinks rise in time with the releases of the films Trolls World Tour and Scoob! According to NielsenIQ, good2grow’s flavored water retail dollars sales were up 77.9% to $31.8 million in the 52-week period ending November 6. On a two-year stack basis, those sales were up 86%. IRI data for the 52-weeks ending October 3 showed strong dollar sales in MULO plus convenience, with flavored fruit drinks (+33.2% to $51.6 million), apple juice (+29.8% to $88.4 million) and fruit juice blends (+41.8%) all up double digits. Wind Point Partners is a private equity firm focused on consumer goods, industrial products and business services. Its portfolio includes companies such as Stir Foods, cookies and crackers brand Nonni’s and Bakery Chef. 13


BEVSCAPE After Pace-Setting First Year, ZOA Aims Higher For the past half-decade or so, Dwayne “The Rock” Johnson has broken box office and social media records on his way to becoming the “Most Likable Person in the World.” It turns out he can make a pretty good energy drink, too. First announced last January and launched in March, ZOA has broadly managed to live up to the lofty goals it set for itself upon entering the market, becoming the fastest-growing new energy drink of the past year. This year, the brand is looking to leverage that momentum to continue expanding its audience with the release of two new zero-sugar fl avors — White Peach and Tropical Punch — and a 12 oz. can format. “I’m proud to say that ZOA is an A-plus product. From our formulation, to taste, to our health and wellness benefits to the story and ethos that is ZOA,” Johnson told BevNET in an email. The new fl avors and format, fi rst teased at the National Association of Convenience Retailers (NACS) trade show in October, are designed to nudge ZOA toward a slightly more mainstream audience; recall that the brand originally was given an early access exclusive with GNC last March, where it plays on the shelf with other fitness-oriented, “performance energy” brands in 16 oz cans, including C4, Bang and A.M.I.N.O. Energy. Through its nationwide distribution agreement with Molson Coors, the line has since migrated to 40,000 locations spanning across channels, from Kroger, HyVee and Albertsons to Circle K, CVS and Speedway. But according to the brand, 16 oz. cans currently account for just over half of the energy drink category, meaning there’s plenty of white space to capture new consumers under the brand’s ethos of celebrating the “everyday warriors” that “champion positivity.” In a survey of 2,000 adults commissioned by the brand, results showed that 79% of Americans want to make decisions that are best for their bodies, but are often forced to turn to less than ideal options like sugary caffeine drinks or multiple cups of coffee in order to keep their energy levels elevated, while 60% of respondents said they didn’t believe they could make it through the day without sugar. The brand remains “rooted in fitness,” said co-founder Dave Rienzi, but its messaging is now leaning more into callouts of “clean, natural energy” that “doesn’t mean you have to be in the gym to be a ZOA Warrior.” The ingredient deck reflects that mix across both the sugar-sweetened (100 calories) and zero-sugar varieties: there’s natural boosters like turmeric and camu camu, alongside the requisite caffeine (from green coffee and green tea) and B vitamins. With that in mind, the 12 oz. can is “the perfect size to appeal to a broader demographic audience,” according to CEO Michael Pengue, with a lighter caffeine payload compared to the 160mg in the full size can. The brand is leveraging the smaller size to target the addition of another 60,000 retail outlets this year to pass the 100,000 mark: major chains like Target and Walmart — both of which requested a smaller size for their shoppers — are coming onboard, along with 7-Eleven, Murphy Oil, Kum & Go, Walgreens, Chevron, 14 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Giant Foods, Food Lion, GPM and others. Both new fl avors will be available in singles, 4-packs and 12-pack ($29.98). The brand’s ecommerce ambitions are equally high, Pengue said, noting the goal is to “more than double our business” on Amazon (where it currently ranks as the top-selling energy drink), ZOAenergy.com and other new online stores this year. Looking ahead, there’s not much to indicate that ZOA will do anything but continue to rise. The overall energy drink category continues to expand (+15.2% year-over-year through the end of December, according to Nielsen), while Johnson himself will have plenty of cross-promotional opportunities with the release of “Black Adam” (based on the DC Comics character) later this summer. That’s even better news for Molson Coors and its evolving non-alcoholic beverage segment (alongside names like La Colombe and ZEN WTR), of which ZOA accounted for roughly half of the 2 million cases of non-alc product shipped by the beer giant over fi rst nine months of 2021. Crossover between the beer and energy drink spaces isn’t new in itself, but with big names on either side getting more involved with each other — see Anheuser-Busch and GHOST Energy or, more recently, Monster Energy’s acquisition of CANArchy Brewing — the stakes continue to climb. “We created a healthier for you energy drink that has become the #1 fastest growing energy drink in the market,” Johnson said. “A kick ass product that men and women of all demographics absolutely love. Much more work to be done as we grow the ZOA brand and expand our healthy offerings.”



BEVSCAPE Better-For-You Brands Form ‘Alliance’ to Reduce Sugar Consumption

As sugar reduction continues to be a top priority for food and beverage manufacturers, seven low- and zero-sugar brands are banding together to form the Alliance to Control Excessive Sugar (ACES), a new business group dedicated to promoting better-for-you products. The group was conceived by its chairman, Super Coffee CEO Jimmy DeCicco, and includes his own company alongside mini cookie maker HighKey, prebiotic soda Olipop, lemon water brand Lemon Perfect, protein drink Koia, ice cream and cookie mix brand Enlightened, and low-sugar cereal Three Wishes. “These brands are solving the same problem, and the problem is that food can taste good while being good for you,” DeCicco said. “I think we’ve been inundated with too many carbs and sugars, especially in our drinks, from big, big sugar corporations like Coke and Pepsi and Dr Pepper – and there’s no doubt that sugar and flavor is addicting. But what we do at Super Coffee, and what ACES is all about, is to remove as much sugar as we can, but still make our favorite products taste flavorful.” ACES launched in January with a website, sweetaces.org, where consumers can read about the project and sign up for themselves or a friend or family member to receive a free “Passport” style coupon book, which includes $30 worth of manufacturer discounts for each of the seven brands. Each brand has pledged up to $1 million in discounts for their products. Margaret Wishingrad, co-founder and CEO of Three Wishes, noted that the program purposefully has a “discovery” component built in which, through the website, will help consumers learn about new products. “For someone who knows brands like Super Coffee and Olipop, maybe they haven’t tried Three Wishes or vice versa,” she said. “I think it’s a really good way to find what brands are like other brands.” DeCicco noted the broader goal, however, is to draw in new consumers who have not yet made the leap to a betterfor-you lifestyle and help to push more brands across the food and beverage sector to reduce the amount of sugar in their products. 16 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

“It’s not just ‘Hey, try our products and hopefully you become a customer’ it is ‘Hey, is there somebody in your life who you want to see live a healthier lifestyle?’” he said. “If you know somebody who can’t put down the Coca-Cola, or the Cinnamon Toast Crunch or the Oreos, then definitely send them a health passport with all these free coupons from ACES brands, introducing them to the healthy options that still taste good.” According to DeCicco, the ideas behind ACES date back to 2018 when Super Coffee wanted to adopt a charitable mission, but could not afford to donate money as it needed to invest its cash back into the company to maintain growth. Instead, the brand began promoting approximately how much sugar it had “removed” from consumers’ diets by comparing its sales to more sugary competitors, which for 2018 was estimated to be around 1 million pounds. Now, ACES is borrowing a similar model, touting on its website that Americans consumed 11 million metric tons (24 billion pounds) of sugar in 2021. The site also includes a “manifesto” calling for better tasting products that use less sugar and features an interactive easter egg where users can type in the chemical formula for sugar to reveal a slide comparing Super Coffee’s nutritionals to other bottled coffees. Sugar’s longstanding public enemy status has continued to fuel the growth of better-for-you brands as consumers increasingly seek to reduce their sugar intake. A 2021 Euromonitor report found that 53% of respondents said they aimed to “eat less sugar” as their chosen weight loss method in 2020. Fifty-eight percent of consumers looking to avoid sugar said it was “better for me to avoid it,” and 57% said a low sugar diet “makes me feel healthier.” Even among the big food and beverage companies that have often taken the blame for proliferating unhealthy diets are embracing the trend, as “Zero Sugar” sodas fuel growth for companies like Coca-Cola and PepsiCo (the segment was up 19.5% in 2020, per Mintel, doubling 8.4% growth for sugary sodas). According to DeCicco, ACES currently plans to grow awareness through the individual brands’ social media channels, as well as tapping their respective celebrity influencers to promote the website. While ACES’ current focus is on education and providing discounts on products from its partner brands, DeCicco said that he hopes the project will eventually grow into a major industry organization. In its announcement, the group has put out a call for other low and no sugar brands to join and DeCicco added that he hopes that consumers will get engaged and nominate their favorite brands to get involved.a “Ultimately, we want this thing to scale massively,” DeCicco said. “The more sugar-free or low sugar options that we get involved with ACES, the bigger the impact that we can all collectively make. Eventually, someday, I see this thing building out sets in grocery stores for brands that are a part of the ACES coalition. Instead of the Healthy Living set at a Wegmans, perhaps it’s an ACES set with brands that you recognize.”


For more stories, check out Bevnet.com

Ugly Drinks Co-Founder Hugh Thomas Steps Down as CEO Ugly Drinks CEO Hugh Thomas stepped down from his role at the sparkling water startup in December, citing a desire to “take a break and a deep breath before figuring out what is next.” In a post on social media, Thomas wrote: “Being a Founder and CEO is an exhilarating, yet exhausting rollercoaster and I can honestly say I have put everything into this journey. Blood, sweat and tears. The brand is in my DNA and has taken every bit of my energy, heart, and soul to get it to this place, but now it’s time for me to step back and focus on myself.” Working alongside co-founder and fellow Vita Coco veteran Joe Benn, Thomas launched Ugly Drinks in London in 2015, positioning the brand as a playful, inviting zero-calorie alternative to sugary soda. Since then the brand has entered into 15,000 stores worldwide, introduced an energy line, developed a robust hybrid D2C/retail business in the U.S., was backed by ZX Ventures, and won praise for its limited edition flavor drops inspired by classic sodas. To date, the brand has raised at least $3.9 million in financing, according to Crunchbase. Investors in the brand include

U.K.-based firms Pentland Ventures and Steadman Partners and California-based MAGIC Fund. Over the past year, the company has hired experienced operators to support its U.S. business, including former Coca-Cola veterans Brett Lanford as president and Jason Villano as VP of sales. “I’m going to be taking time out before figuring out what’s next,” Thomas added. “This is just the beginning. I love building things and remain incredibly passionate about startups and the people building them.” A successor for Thomas was not immediately announced. His co-founder, Benn, also left the company last year, according to Linkedin.

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NOSHSCAPE

THE LATEST FOOD BRAND NEWS

Good Crisp Closes Funding To Push Into Conventional Retail In December, salty snack brand The Good Crisp Company announced it has closed what it described as its largest funding round to-date as it seeks to make the jump from natural retailers into conventional grocery. Good Crip CEO Matthew Parry declined to share the amount of capital raised, but said it was the company’s largest ever, coming roughly 18 months since it raised approximately $5 million in May 2020. Returning investors included CircleUp, Stonyfield founder Gary Hirshberg and Orgain founder Andrew Abraham, along with new participants including FF2032 (the venture arm of Lotus Bakeries), Vitality Capital, Goat Rodeo, RCV Frontline, Native founder Moiz Ali and Thrive Market founder Nick Green. “Most of our [previous] investors have been angels or founders and really bring some expertise — I was really keen to continue along that model,” Parry said of the investor group. “For me, some real world experience is valuable.” Parry said the capital is largely needed to help support the brand’s push into conventional grocery. The brand’s chips will launch into 1,500 Kroger stores in January as well as H-E-B, and its cheese balls, which were introduced in 2021 online and in smaller independent stores, will enter 2,700 Walmart locations in March. To support these efforts, the company, which currently has six full-time employees, plans to also invest in its field marketing, finance and sales teams.

“[It’s a] big leap from natural into conventional,” Parry said. “This is our first key [jump] into that so we want to make sure we are capitalized to be able to do that and really win in conventional like we have in natural.” The funding will also help the brand further build its e-commerce business, he added, which currently accounts for 10% to 15% of sales. Though there are plenty of traditional potato chip manufacturers, Parry said there are very few manufacturers who can produce canister chips, which have a different texture. Furthermore, Good Crisp’s exclusivity with Mamee for the North American market takes the number of copackers even lower, he said. In part because of this lack of competition, Good Crisp is able to command a price point of $3.36 to $2.99, roughly a dollar more than Pringles. The other part of the brand’s success, Parry said, has been the simplicity of its value proposition — especially amidst the sea of health claims and functional foods found on other grocery products.

18 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022


Coolhaus Sells to Perfect Day, Will Transition to Entirely Animal-Free Offerings Alt-dairy ingredient provider Perfect Day has reached an agreement to acquire ice cream brand Coolhaus from investment group Sunrise Strategic Partners for an undisclosed fee, the company announced in December. The deal will make Coolhaus part of Perfect Day’s CPG arm, The Urgent Company, and transition its dairy-based line to use Perfect Day’s animal-free milk proteins in place of its current dairy-bases. The brand’s dairy-free products made with pea protein will remain the same. Coolhaus CEO Natasha Case will also join The Urgent Company as its president of brand experience, while CFO Ryan Bennett will join as SVP of operations and integration. Other employees have been offered positions at Perfect Day or the Urgent Company as well, according to Paul Kollesoff, GM of The Urgent Company. While the acquisition of one emerging brand by another may seem unusual, Steve Hughes, founder of Sunrise Strategic, said that the path to acquisition has shifted. “Five years ago large strategics were apt to take flyers with emerging brands before they got the scale,” Hughes said. “If you want to sell to a strategic [now], you need to have $100 million in revenue and be making [over] 15% EBITA. I think the strategics have proven to themselves that they don’t have the fine motor skills they need to scale these emerging brands. So now, emerging brands have to be scaled brands to be attractive to them.” Coolhaus will join The Urgent Company’s current slate of brands, including fellow ice cream brand Brave Robot, Modern Kitchen cream cheese and California Performance Co protein supplements – all of which use Perfect Day’s animalfree dairy ingredients. The consumer division has been on an innovation tear in recent months, launching cream cheese, baking mixes and sports supplements, as the previously announced integration of the Urgent Company into Perfect Day has begun to bear fruit. Though Coolhaus, which is sold in more than 6,000 stores, and Brave Robot, available in over 5,000 stores, have some overlap in customers including Kroger and Sprouts, Coolhaus has its own unique relationship with Whole Foods Market. The retailer does not currently sell products made with Perfect Day proteins — which also cannot be classified as non-GMO because of their use of synthetic biology. Urgent Company executives said discussions with Whole Foods are ongoing but also noted that it will continue to produce Coolhaus’s pea protein-based ice cream. Coolhaus also produces novelties using cookies and cones, and these too will eventually transition over to being “animalfree,” Kollesoff said. But, until then, only the ice cream will be vegan. Despite their apparent similarities, Kollesoff broadly noted that Coolhaus seeks to “inspire the next generation of diverse creators …. [and create] ice cream for positive change,” while Brave Robot “exists to make more sustainable products without compromise.” As an example of further synergies, The

Urgent Company said it plans to launch an exclusive animalfree dairy Coolhaus x Brave Robot co-branded novelty with “a key national retail partner.” However, the agreement will give Perfect Day the ability to immediately place its brand on the packaging of a trendy ice cream brand, versus having to create a brand identity from scratch, as it has tried to do with Brave Robot. Perfect Day previously partnered with Graeter’s, but that brand tends to lean on its midwestern roots for branding and messaging. The Urgent Company also noted that the acquisition will allow the two to share “resources and structure,” — though declined to provide specifics — which should result in efficiencies for both brands, a sentiment echoed by Hughes.

19


NOSHSCAPE

For more stories, check out nosh.com

Green Circle Capital Launches Hormel-Backed Food Tech Venture Fund

In December, Green Circle Capital Partners announced it has raised $13 million for its fi rst fund in a new venture capital division, Green Circle Foodtech Ventures (GCFV), with an anchor investment from Hormel Foods’ VC arm 199 Ventures. The new investment vehicle will target early stage, innovative food tech companies working across a number of spaces, including food safety, sustainable packaging, sugar reduction, food waste and supply chain effi ciency and – to a lesser degree – “tech-enabled” food and beverage brands. According to Green Circle founder and managing director Stu Strumwasser, the fi rm expects to write checks between $250,000 and $5 million per investment, with an average size of about $1 million, and will primarily participate in seed and Series A rounds. Prior to the closing of the fi rst fund, GCFV has already invested in two startups: California-based alternative protein company The Better Meat Co. and Israeli animal-free dairy protein maker Imagindairy. The fi rm is now aiming to grow its fund size to around $25 million. 20 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Founded in 2013, Green Circle Capital is a New Yorkbased investment bank focused on the natural products industry, including food, beverage and supplements, restaurants and – appropriately – foodtech. According to Strumwasser, as GCFV marks an extension into principal investing for the fi rm, the new fund will only invest in technologies while Green Circle Capital will continue to service brands as a middleman for acquisitions and capital raises. In addition to Strumwasser, GCFV’s partners include Graham Anderson, who brings experience in technology investing, and Green Circle Capital director Bakley Smith. Operational advisors include Green Circle associate Francesco Lorenzetti, Rao’s Specialty Foods CEO Eric Skae, Honeydrop Beverages founder David Luks and Explore Cuisine CEO Gregor Forbes. The fund received an anchor investment from 199 Ventures, a division of global branded food company Hormel Foods. According to Strumwasser, Hormel’s involvement is a sign of the conglomerate’s dedication to plant-based innovations and sustainability. In addition to Hormel, Strumwasser said several unnamed family offi ces invested in the fund. He noted that while GCFV’s initial fund may be smaller in the grand scheme of venture capital, portfolio brands will also have access to connections at Hormel and 199 Ventures or the family offi ces may provide additional sidecar investments. While the food tech sector may be past its fi rst inning, Strumwasser said it’s “still the second or third” and that “many of the best opportunities are still early stage.” According to a 2021 report from Emergen Research, the global food tech market size was estimated at $220.32 billion in 2019 and is expected to reach $342.52 billion by 2027, at a CAGR of 6%. The growth is being driven by rapid adoption of new technologies within the food industry and pointed to new innovations in robotics, processing techniques and data technology as new growth opportunities. “Food is the biggest industry in the world and it’s the least indexed for technology,” Strumwasser said. “And if that wasn’t gonna change, I thought there’s nothing I could do about it – I can’t start a revolution. But I started seeing that it looked like there was a revolution starting, and with that I thought that this is probably the biggest economic opportunity of my life, maybe, since the internet.” In particular, Strumwasser said he is interested in fermentation technology, namely as a way to create better plantbased alternatives to meat and dairy products. That’s the tech at the heart of The Better Meat Co., in which Green Circle Capital invested in 2019, prior to the offi cial formation of GCFV, and in October announced a partnership with 199 Ventures. Strumwasser also pointed to shelf-life extension technology that can help reduce food waste, plant-based fat alternatives and plastic replacements as other areas of interest.



BREWSCAPE

THE LATEST CRAFT BEER BRAND NEWS

Constellation Brands and Coca-Cola Partner on Fresca Branded Canned Cocktail Constellation Brands has entered a brand agreement with The Coca-Cola Company to manufacture, market, distribute and launch Fresca Mixed – a spirit-based ready-to-drink cocktail based on the citrusy soft drink. “The Coca-Cola Company’s Fresca brand is not only trusted by consumers, but also directly delivers on consumer preferences for refreshment, flavor, and convenience – attributes that also play well within beverage alcohol and where we can leverage our expertise,” Bill Newlands, Constellation president and CEO said in a press release. Fresca, a zero calorie soda with citrus-inspired flavors, is the fastest growing soft drink trademark in Coca-Cola’s U.S. portfolio, according to the announcement. The new Fresca Mixed product – which will be released later this year at a yet-to-be-determined date – will “balance the Fresca flavor consumers expect with quality spirit bases rooted in Constellation’s expertise.” “One of the core tenets of our innovation strategy is a belief in the power of extending strong and trusted brands in thoughtful ways to bring to market unique products that resonate with consumers,” Mallika Monteiro, Constellation’s chief growth, strategy, and digital officer, said in the release. “This is an exciting agreement that allows us to continue expanding our premium portfolio in ways that deliver distinctive consumer value propositions that include things like more flavor, different alcohol bases, and functional benefits.” Other than being spirit-based, no other details of the alcohol base were released. Constellation will use its own distribution networks for Fresca Mixed.

During Constellation’s third-quarter earnings call, Newlands said more than half of Fresca’s consumers already use the diet soda as a mixer with spirits. Fresca Mixed isn’t Coca-Cola’s first foray into beverage alcohol via the RTD segment. Last year, the beverage behemoth partnered with Molson Coors Beverage Company to launch Topo Chico Hard Seltzer, a sugar-based offering based on its popular non-alc mineral water. After a successful launch in select markets, Molson Coors announced that it would take Topo Chico Hard Seltzer nationwide and expand the brand with a ranch water version.

Tilray Acquired Green Flash and Alpine for $5.1M; Dissolves Anheuser-Busch JV SweetWater Brewing parent company Tilray paid $5.1 million in cash and stock to acquire Green Flash Brewing and Alpine Beer Company in January, according to financial forms filed with the U.S. Securities and Exchange Commission. A purchase price of $5,133,000 for the San Diego craft brands values their combined 2020 output of 34,000 barrels at $150.97 per barrel – far less than the $1,149.42 per barrel Tilray paid to acquire Atlanta-headquartered SweetWater in late 2020. Tilray CEO Irwin D. Simon shed some light on the acquisition during a conference call to discuss the company’s second quarter earnings. “Right before year-end, SweetWater announced the acquisition of Alpine Beer and Green Flash, iconic West Coast craft beer brands to be brewed in our new Fort Collins facility for West Coast distribution, all which complements SweetWater’s existing product offerings and give us a strong foothold in California and the west part of the United States, the largest state economy in the U.S. and the largest legal cannabis market in the world,” he said. The $5.1 million Tilray paid to WC IPA LLC, the investor group that acquired Green Flash in April 2018, includes the brands’ intellectual property and inventory. Green Flash and Alpine beer will be brewed at SweetWater’s Fort Collins, Coloradobased production facility, which Tilray acquired from Red Truck Brewing in July 2021. Also last month, Tilray acquired all membership interests in Cheese Grits LLC, the limited liability company that owns the real estate SweetWater occupies in Atlanta, for $30.6 million. 22 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

The deal included “the assumption of outstanding debt” and the issuance of nearly 1 million shares of Tilray stock. Tilray remains bullish on the prospect of federal legalization of cannabis in the U.S. and that its acquisition of three American craft breweries and Colorado-based Breckenridge Distilling will help it recruit American consumers through infused beverages, once legal. However, the company plans to support its beverage alcohol brands in their current forms. “One of the big things you can’t do is wait for the U.S. to legalize,” Simon said. “I think what the important thing is is us being in adjacency categories, that [have] got growth, that [have] got accretion, that give us opportunities in the marketplace.” Meanwhile, Tilray and Anheuser-Busch InBev have parted ways on the joint venture they launched to explore cannabisinfused beverages for the Canadian market in 2018. The world’s largest beer manufacturer was not interested in pursuing THCinfused beverages and the JV became “a major money-losing relationship,” Simon said. Fluent Beverages, the brand created by the JV, is now a wholly owned subsidiary of A-B-owned Labatt Breweries of Canada, and Tilray will operate as its co-manufacturing partner, Labatt director of communications Tamar Nersesian told Brewbound. “We do not expect these changes to have any significant impact on Fluent’s day-to-day operations as it remains focused on commercializing CBD-infused non-alcohol beverages in Canada,” Nersesian said. At its launch, both companies invested up to $50 million in the JV.


For more stories, check out Brewbound.com

Kings & Convicts to Acquire Saint Archer Facility; Molson Coors Discontinues Craft Brand The San Diego craft brewery scene is once again getting shaken up by the Kings & Convicts. After acquiring the Ballast Point brand from Constellation Brands in 2019, the company is acquiring the brewing facilities and taprooms of Saint Archer from Molson Coors. Molson Coors announced the deal and plans to cease production and distribution of the Saint Archer brand on its blog. “The Saint Archer team has built a distinct brand that has a very loyal following in Southern California. Unfortunately, the overall business has struggled to grow despite investing significant resources behind its production and commercialization,” Paul Verdu, VP of Tenth and Blake, Molson Coors craft division, said in a press release. “We’ll maintain ownership of the Saint Archer brand as we determine the best longterm plan and remain focused on growing our regional breweries that continue outpacing home-market competitors.” In the blog post, Verdu added that the company “tried to do everything we could to keep the brand going, but it just wasn’t financially viable to continue operating.” Enter Kings & Convicts, which will acquire the 50,000 sq. ft. brewery with its 40-barrel brewhouse, 5-barrel pilot system, cellar, canning line and a 1,200 sq. ft. satellite taproom in Leucadia. The company plans to take on Saint Archer’s operations and tasting room employees. With 1 million barrels of beer brewing capacity at its Ballast Point facility, why does Kings & Convicts need another San Diego brewery? CEO Brendan Watters explained that the company wanted a headquarters for Kings & Convicts, where its beer will be produced, as well as small batch Ballast Point offerings and

other craft beverage products. He added that the Ballast Point facility with its 300-barrel brewhouse was “too bloody big” for Kings & Convicts, and the Saint Archer facility made more sense. Additionally, Watters said Saint Archer’s packaging line was an upgrade over Ballast Point’s existing line, giving the company back capabilities it lost when it sold the Scripps Ranch facility to hard kombucha maker JuneShine. With the soon-to-be former Saint Archer facility, Kings & Convicts will scrap its planned facility in Pleasant Prairie, Wisconsin. The Kings & Convicts brand is only sold in select markets in Illinois and California, where it is self-distributed. Watters added that the acquisition of the facility is about creating capabilities and flexibility within a beverage alcohol industry that is in the midst of a convergence. “For us, it’s much more important to ensure that we grow a profit,” he said. “I don’t care about rankings. I care about what’s sitting in the bank account. And so part of this is really thinking about a profitable, sustainable company with brands that allows us to do stuff and be more nimble, quite frankly, as we start to develop new products, and we come to market with new products.” Molson Coors acquired Saint Archer in 2015, marking the company’s first craft acquisition in California, the country’s largest craft beer market. Under Tenth and Blake, Saint Archer’s volume peaked at 65,000 barrels in 2019. Saint Archer’s output declined -15%, to 55,000 barrels in 2020, making it the fifth largest brand among Tenth and Blake’s seven craft breweries. Molson Coors placed significant investment in Saint Archer Gold, the company’s health-and-wellness challenger to Anheuser-Busch InBev’s Michelob Ultra, in early 2020, promoting it with a Super Bowl ad that featured pro skateboarder Paul Rodriguez skating from store to store in search of the beer while whistling along to Guns N Roses’ “Patience.” But the company was impatient with the new product and announced its hibernation seven months later.

Sierra Nevada Enters Non-Alc Fray with Hop Splash Sparkling HopInfused Water One of the nation’s largest craft breweries is dipping its toe into the non-alcoholic beverage space. Sierra Nevada Brewing Company has launched its first non-alcoholic product, Hop Splash, a sparkling water infused with Citra and Amarillo hops. Sierra Nevada began pre-selling Hop Splash (zero calories, carbs and sugars) via its website on January 3. Shipments will go to the lower 48 states with orders limited to no more than four 6-packs at $10 apiece, plus shipping costs ($5 for up to two 6-packs). Robin Gregory, Sierra Nevada’s director of communications, said the craft brewery is testing the product first with direct-to-consumer sales to gauge interest and gather feedback before exploring taking it to retail. “We felt pretty confident that we could launch this online

and get feedback and just see how it does for now,” she said. “And then see where it goes in the future.” Should Hop Splash graduate to retail, the brand would face competition from several existing hop waters, including Athletic Brewing’s Daypack, Lagunitas’ Hoppy Refresher, Hop WTR (with a minority investment from Constellation Brand), Hop Lark, H2OPS, HopTea, Aurora Superior Sparkling Beverages and Oregon Hop Springs, among several others. Until then, Hop Splash will be sold directly to consumers through e-commerce. Sierra Nevada ramped up its DTC sales capabilities over the last two years of the COVID-19 pandemic, shipping beer directly to consumers in eight states. The infrastructure built during the pandemic and the lack of constraints on sales of non-alcoholic beverages has allowed the company to offer Hop Splash to consumers in 48 states. 23




NEW PRODUCTS

THE NEWEST BEVERAGE OPTIONS

CBD Drinks Chai Cherry is the latest addition to Shimmerwood Beverages’ line of CBD seltzers. Containing “the woodsy flavor” of cherry bitters, the drink also includes chaga mushroom, chai spices and 5 mg of fullspectrum CBD per 11.5 oz. can. The flavor launch comes as Shimmerwood expands its retail footprint into New Jersey and Virginia. Online, the Chai Cherry SKU can be found in 4-packs for $20 on the brand’s website, and in a 6-pack variety sampler for $25. For more information call (508) 633-3349. Portfolio Beverages, Inc. has debuted a new hemp-infused, functional beverage brand, Real Good Tea, available in four flavors; Rise-Up, Stay Well, Destress and Wind Down. Each of these RTD iced teas contains botanicals, vitamins, adaptogens and 50 mg “VESIsorb” hemp extract per 12 oz. sleek can. The drinks are naturally sweetened with amber clover honey. Real Good Tea is currently available for purchase online for $23.99 per 4-pack and $65.99 per 12-pack. For more information call (678) 242-5222. Wunder, a sparkling cannabis-infused beverage brand available in California, has debuted its latest flavor, Blackberry Lemon. The new SKU is a part of the brand’s lowdose Sessions line, containing 2 mg of THC, 2 mg of Delta-8 THC and 4 mg of CBD, which aims to provide consumers with a “light, social buzz similar to alcohol, but without the hangover.” Sold in 8 oz. cans at select dispensaries, each serving only contains 25 calories. For more information text or call (415) 329-7995.

CSDs Non-alcoholic soft drink brand Casamara Club, which made its debut with a line of amaro-styled sparkling sodas in glass bottles, is launching its latest innovation: a canned “leisure soda” line currently available on the brand’s website. The products are designed around “Americana” culture and are available in two varieties: The Mellow Ginger and The Red Drink (strawberry). Each 12 26 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

oz. can has 4 grams of sugar, 20 calories and contains botanicals and no artificial sweeteners or flavors. Variety 12-packs are available for $45 and 24-packs for $72. For more information contact yourfriends@ casamaraclub.com. Until now, New Wave Soda’s approach to low-sugar CSD has focused on fruity flavors that are less common in the mainstream soda set, like Tangerine, Blueberry and Mango. But the brand is now introducing its take on what is perhaps the classic soda flavor with Cola. The limited edition flavor is available for $18.99 per 12-pack on the brand’s website and contains 10 grams of sugar and 40 calories per 12 oz. can. For more information contact Hello@Wavesoda.Com.

Alt Dairy The New Year isn’t just for Dry January, as some consumers have embraced a plant-based diet for Veganuary. To meet the need, Silk released its new Extra Creamy Almondmilk, available in 1 quart cartons. The Non-GMO Project certified product is designed to appeal to flexitarian consumers (or the “plantcurious”) as they try non-dairy milk drinks. For more information call (888) 820-9283.

Energy Fitness product brand Optimum Nutrition has released Orange Blast as the newest addition to its sparkling hydration drink line AMIN.O. ENERGY + ELECTROLYTES, offering 100mg of natural caffeine and 5 grams of amino acids and electrolytes. Orange Blast is now available at QuikTrip, Speedway, Vitamin Shoppe and via Amazon. For more information call (800) 705-5226.

Functional Mission-based brand The Spare Food Co., which aims to reduce food waste by creating upcycled innovations using byproducts of food production, has launched its first beverage: Spare Tonic. The new functional elixir is made with whey sourced from



NEW PRODUCTS yogurt, as well as fruit, spices and honey. The fermented beverage also contains electrolytes, calcium, magnesium, potassium and vitamins B6 and B12. Available in Lemon & Ginger, Cucumber & Lime, Blueberry & Ginger and Peach & Turmeric flavors, each 12 oz. can contains 100-120 calories and retails for $3.99. For more information contact info@sparefood.com. Startup beverage brand Heywell added a “Calm + Hydrate” Lime flavor to its line of functional sparkling waters. The new drink – made with L-Theanine, lemon balm, schisandra, amla berry and electrolytes – is a relaxing alternative to the brand’s current Energy + Focus and Energy + Immunity SKUs. The drink is now available on the brand’s website for $24.99 per 6-pack. For more information call (312) 489-8530.

Juice With immunity remaining one of the most in-demand functional beverage traits, Vive Organic is giving consumers an even stronger dose with its new Pure Boost Vitamin C juice shot. Made with camu camu berry, dragon fruit, passionfruit and cayenne pepper, each 2 oz. shot contains 500 mg of Vitamin C. The shots are available online through the brand’s website, Amazon and Walmart.com, and in retail in Whole Foods Market stores. The product retails for $3.99 per individual shot or $46.99 per 12-pack. For more information call (877) 774-9291.

RTD Cocktails Red Saint Botanical Spirits is now rolling out to stores with its line of canned cocktails made from tea, botanicals and fruit. Positioned as a “spirit-based hard tea” with an eye on converting hard seltzer drinkers, each 12 oz. can (5% ABV) contains 110 calories and 2 grams of sugar. The line includes Original Blend, Strawberry Basil and Peach Ginger flavors. Red Saint is distributed by Southern Glazer’s Wine & Spirits and is currently available in select Los Angeles retail accounts. For more information contact sales@drinkredsaint.com.

28 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Ultra-premium craft soju brand Yobo Soju has debuted Hunni, a new line of readyto-drink and ready-to-pour flavored soju cocktails. The line includes Hunni Sparkling Soju available in single serve 12 oz. cans, and Hunni K.Town, sold in 750 ml bottles. The canned line (4% ABV) features five flavors – Yuzu and Elderflower, Korean Pear, Perilla Leaf and Lime, Peach and Chili Pepper, and Grape and Ginger – that retail for $16.99 per 4-pack. Hunni K.Town (18% ABV) features the same varieties but with a bolder flavor profi le. For more information contact sales@yobosoju.com.

Mixers & Dry Spirits Non-alcoholic spirits maker and BevNET Award winner Lyre’s is introducing its agavebased tequila-alternative line with Agave Blanco and Agave Reserva drinks. According to Lyre’s, the launch is expected to give the brand a new edge in the U.S. market where tequila is one of the fastest growing spirits categories. Available for $35.99 per 700ml bottle, each expression is crafted as an “homage” to tequila and features flavor notes of citrus, peppers, pine, spices and oak. For more information contact lyres@ wagstaffmktg.com. Botanical soda maker DRY has released the latest seasonal varieties in its non-alcoholic Botanical Bubbly Reserve line. Lavender 75 and Spiced Pear are complexly flavored sparkling beverages intended for special occasions like holidays and weddings. Each 64 oz. bottle sells for $8.99 and is available online via Amazon and the brand’s website and will also be launching in select retailers. For more information call (206) 652-2345. Brooklyn-based better-for-you mixer company AVEC has partnered with kitchenware brand Williams Sonoma for its fi rst co-branded product offering with a line of sparkling, low-sugar canned mixers made from real juice and botanicals. The new line includes Grapefruit Pomelo, Yuzu Lime and Ginger Pineapple flavors and will be sold for $14.95 per 4-pack online and in-store at Williams Sonoma. For more information contact sales@avecdrinks.com.



CHANNEL CHECK WHAT’S HOT AND WHAT’S NOT

SPOTLIGHT CATEGORIES RFG KOMBUCHA New year, some cool new features for us to enjoy from IRI. For example, these first-of-their kind refrigerated kombucha numbers, which give us a snapshot of rankings and fortunes for a good number of the brand families that have crossed over into tracked channels. Also, you’ll find brand families throughout the IRI sets, instead of past separation by, say, low-calorie numbers. Now, kombucha watchers know this isn’t a complete picture of the whole category: but it’s interesting to see relative brand strength. Expect more intrigue as the year goes on. RFG KOMBUCHA BRAND

DOLLAR SALES

CHANGE vs. YEAR EARLIER

GTs

$7,902,044

104.1%

Humm

$6,999,757

329.8%

KOE Organic Kombucha

$2,423,181

63.0%

Health Ade Kombucha

$1,061,523

126.3% -3.9%

Wild Tonic

$661,361

Remedy Kombucha

$591,992

-

Private Label

$370,750

40.5%

Buddhas Brew Kombucha

$352,168

-7.0%

Tapuat

$327,117

156.1%

Tribucha

$254,810

110.7%

Revive

$238,026

57.6%

Acai Roots

$179,103

220.8% -65.0%

Wonder Drink

$148,711

Bucha Live Kombucha

$106,733

-79.3%

Kombucha Town

$45,727

-25.5%

Wild Bay

$45,379

-

Brew Dr Kombucha

$34,708

-69.3%

Bare Culture Kombucha

$31,366

-12.4%

Rainbow Cloud

$30,625

-39.3%

Blue Ridge Bucha

$25,972

-

TOPLINE CATEGORY VOLUME Sports Drinks

$9,480,039,275

19.7%

Energy Drinks

$16,657,824,966

16.3%

Bottled Juices

$7,995,156,187

4.1%

Tea/Coffee

$7,883,598,545

8.7%

Bottled Water

$21,484,732,761

12.0%

Liquid Drink Enhancers

$516,889,860

14.4%

SOURCE: IRI, a Chicago-based market research firm-@iriworldwide% 52 Weeks through 12/26/21

30 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022



CHANNEL CHECK CRAFT BEER

FLAVORED SELTZER/SPARKLING/MINERAL

DOLLAR SALES

CHANGE vs. YEAR EARLIER

DOLLAR SALES

CHANGE vs. YEAR EARLIER

$370,882,888

-7.9%

Sparkling Ice

$819,991,526

12.0%

New Belgium

$351,771,156

14.9%

Private Label

$628,189,356

0.6%

Sierra Nevada

$317,556,853

-2.5%

La Croix

$543,214,119

1.7%

Samuel Adams

$234,337,960

-2.6%

Bubly

$391,474,156

10.1%

Lagunitas

$182,754,838

-12.2%

Polar

$246,566,297

10.5%

Shiner

$141,840,454

-6.1%

Perrier

$158,795,404

9.9%

Firestone

$121,210,380

3.3%

Aha

$150,532,632

25.8%

Founders

$121,062,302

-10.5%

Spindrift

$111,508,588

54.0%

BRAND Blue Moon

BRAND

Elysian

$119,819,789

-0.9%

Topo Chico

$84,696,719

59.8%

Bells

$108,859,824

-6.4%

Waterloo

$64,352,648

24.5%

HARD SELTZER

NONFLAVORED CONVENIENCE/BOTTLED STILL WATER

BRAND

DOLLAR SALES

CHANGE vs. YEAR EARLIER

BRAND

DOLLAR SALES

White Claw Hard Seltzer

$1,933,416,509

-2.6%

Private Label

$3,912,022,796

CHANGE vs. YEAR EARLIER 11.9%

Truly

$1,264,766,109

35.6%

Aquafina

$1,239,022,796

15.0%

Glaceau

$1,019,503,840

22.7%

Bud Light Seltzer

$407,602,137

8.1%

Corona Hard Seltzer

$143,358,384

-14.5%

Dasani

$996,611,307

0.5%

Vizzy Hard Seltzer

$139,945,486

87.9%

Poland Spring

$798,545,268

11.2%

Michelob Seltzer

$139,515,509

-

Pure Life

$772,536,317

7.6%

Topo Chico Hard Seltzer

$85,510,649

-

Fiji

$504,450,185

14.8%

Mikes Hard Seltzer

$64,379,767

-

Deer Park

$475,335,243

12.3%

Cacti Spiked Seltzer

$49,488,755

-

Essentia

$429,888,604

51.4%

Smirnoff Seltzer

$41,216,042

-47.4%

Ozarka

$407,466,460

11.6%

SOURCE: IRI, a Chicago-based market research firm-@iriworldwide% 52 Weeks through 12/26/21

32 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022


ENERGY DRINKS

CANNED/BOTTLED RTD TEA

BRAND

DOLLAR SALES

CHANGE vs. YEAR EARLIER

BRAND

DOLLAR SALES

Red Bull

$6,677,003,820

20.1%

Lipton

$1,901,616,249

CHANGE vs. YEAR EARLIER 9.1%

Monster

$4,805,959,107

15.9%

Arizona

$865,616,560

2.4%

VPX

$1,365,753,383

13.9%

Gold Peak

$481,132,219

7.6%

Rockstar

$708,309,543

-9.5%

Snapple

$372,271,548

-7.2%

Reign

$449,736,957

-1.8%

Monster

$195,408,138

-6.1%

NOS

$424,759,678

-6.4%

Guayaki

$130,153,266

30.9%

Mtn Dew

$188,612,497

200.7%

Peace Tea

$106,487,384

-2.6%

Cellucor

$146,766,204

158.7%

Private Label

$61,726,202

1.1%

Alani Nu

$140,074,876

1409.9%

Honest

$38,361,598

10.9%

Full Throttle

$111,695,395

11.9%

Yachak

$15,004,203

-27.6%

SPORTS DRINKS

CAPPUCCINO/ICED COFFEE

BRAND

DOLLAR SALES

CHANGE vs. YEAR EARLIER

BRAND

DOLLAR SALES

Gatorade

$6,068,917,384

12.6%

Starbucks

$2,115,479,293

CHANGE vs. YEAR EARLIER 7.9%

Bodyarmor

$1,536,195,508

50.6%

Monster

$675,303,071

15.4%

Powerade

$1,250,949,045

4.0%

Coca Cola

$178,542,547

13.3%

Electrolit

$245,897,207

111.5%

Private Label

$56,811,333

62.9%

Private Label

$45,432,646

52.1%

Black Rifle Coffee Co

$50,009,605

1115.1%

Biolyte

$27,310,342

113.4%

Kitu Super Coffee

$44,865,167

66.8% 69.5%

Pedialyte

$21,047,037

364.5%

VPX

$41,069,431

Suerox

$4,055,156

606.4%

La Colombe

$27,617,162

32.3%

Recover 180

$2,548,970

45.5%

Intl Delight

$14,334,981

287.9%

Nuun

$2,358,772

62.8%

Peets

$13,002,328

16.2%

SOURCE: IRI, a Chicago-based market research firm-@iriworldwide% 52 Weeks through 12/26/21

33


GERRY’S INSIGHTS BY GERRY KHERMOUCH

Everybody Get Together! The other day, at my local craft beer bottle shop, I found the

end of happy hour converging terrifyingly with the deadline for my BevNet Magazine column. The question plaguing me as I’d entered the premises a couple of hours earlier remained unanswered: What to write about? It was even more pressing now that I’d procrastinated my way into the higher-priced phase of the evening and my dawdling was depleting my wallet of a dollar more a draft. Aha! Convergence! In truth, that would be a topic better addressed at the beginning not the end of a happy hour, given the bewildering web of alliances being forged between alcohol and non-alcohol giants as the long-predicted convergence of those separate empires finally seems to be occurring. (Disclosure: my colleagues at Beer Marketer’s Insights and I launched my newsletter Beverage Business Insights partly out of a conviction that convergence was just around the corner. That was 19 years ago.) In many cases, these alliances are fairly straightforward deals wherein an alcohol player makes and distributes a hard version of a non-alcoholic brand, say, Molson Coors doing a beerified take on AriZona Iced Tea’s Arnold Palmer or a cervezafied version of Coca-Cola’s Topo Chico. In journalists’ terminology, those might rate as run-of-the-mill “dog bites man” deals, except that their sheer proliferation makes them confusing: AriZona has also teamed up with Heineken for a hard seltzer called SunRise; Coke just threw its lot in with Constellation for an alcoholic Fresca; that prompted Molson Coors to plaintively reveal that Coke’s got another brand in the hopper at MC, too. The man-bites-dog anomaly? That would have to be Pepsi’s deal with Boston Beer to itself distribute the Hard Mtn Dew upon which the two companies are collaborating, an initiative that requires Pepsi to navigate an exhausting array of bureaucratic hurdles in every state in which it plans to do business, even as it’s left Boston Beer trying to placate a wholesaler network that is furious that a key supplier would betray them by setting up a new competitor in the middle tier. (Boston Beer’s response: With or without its help, wholesalers gonna wholesale. I’m paraphrasing.) It’s a big pack for sure, and we could be forgiven for viewing these companies as playing some kind of three-dimensional chess? As a guy who hasn’t yet graduated from Yahtzee, I’ve wondered, for instance, whether Coke’s successive alliances might be aimed at cluttering potential exit routes of its energy drink partner Monster should Monster decide someday to flee the relationship now that it seems clear KO doesn’t represent its ultimate exit. After all, Coke announced the Fresca deal not long after word leaked out that Monster was talking to Constellation about an alliance. OK, maybe, though Coke higher-ups I’ve encountered have never struck me as particularly Rasputin-ish. I suspect instead Coke and its peers are just experimenting, getting in the game to see where things go. If not 3D chess, it’s still not a terrible way to proceed for companies trying to be agile and ready to pivot in disruptive times, as the buzzwords dictate these days. Still, for all the ink they’re getting now, most of those alliances could prove tenuous, not surviving the fate of the particular brands they’re putting into place. But I’d argue that the boldest move so far has been Monster Beverage’s acquisition of the CanArchy collective of craft beers, announced just as I was writing this column. After all, here’s a beverage company plunking down hard cash for a presumably permanent seat at the table in the beer and hard seltzer businesses. So what’s afoot there? The Monster/CanArchy deal bears some resemblances to PepsiCo’s acquisition of Rockstar Energy a couple of years ago. Both represent 34 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

less a move on coveted brands than attempts to clear obstacles in the path of playing in a promising sector with other brands. In Pepsi’s case, the deal enabled it to void a highly restrictive Rockstar contract that made it difficult to play in the energy category under Pepsi’s own Pepsi-Cola or Mountain Dew brands, or to create others via internal development, acquisition or other means – like the Bang Energy distribution deal it promptly inked. In Monster’s case, as the company was explicit in pointing out, CanArchy provides the infrastructure in licenses, brewing capacity and an established distribution network for Monster to move forward, including with its own alcoholic entries. Some of these are well along in development. So while I have no doubt Monster intends to do well by CanArchy brands like Oskar Blues, Cigar City and Deep Ellum, they’re not the real focus of the deal. Of course, with the $330 million price Monster paid for CanArchy is slightly less than the net income the company reported in its third quarter – if the CanArchy brands evaporated overnight, it’s not like investors would particularly notice. In contrast to PepsiCo’s $4.1 billion pricetag for RockStar, Monster’s deal is nearly risk-free. And it by no means precludes a broader deal with one of the alcoholic powerhouses down the line. The company retains great optionality, as the Wall Street guys like to say. There’s another side of this trend, too, of course: the alcohol players moving to play in non-alcoholic beverage spaces. That one’s not quite as interesting because there are fewer legal and logistical impediments to alcohol players’ efforts to participate in non-alcoholic segments. So the forays of the alc players into that area can seem more off the cuff: they pick up a brand here or there, through alliance, investment or outright acquisition. As for their distribution networks, those have long carried NA brands, albeit with greatly varying degrees of commitment and consistency. That said, several of them seem serious this time. Its corporate identity now rebranded as Molson Coors Beverage, that beer giant is focused on attaining meaningful scale with Zoa Energy and La Colombe Coffee but it’s got a flock of other brands at various stages of incubation. AnheuserBusch is running mainly with Ghost Energy and Super Coffee, but its Zx Ventures arm has taken a piece of a broad array of plays, many of them not remotely ready for Bud Light trucks. Constellation is working with BioSteel, Karma and Hop WTR. That’s not to even mention their dalliances on the CBD side. And another form of convergence – the boom in alcohol-alternatives – seems certain to accelerate their moves into NA plays that function convincingly for those occasions. But the more epochal shift will be the soft drink giants and their bottlers offering both NAs and alcohol. Those with a more global perspective, of course, will wonder why that should be such a stretch. After all, in many parts of the world, soft drink bottlers – including Coke’s and Pepsi’s – have long mingled alcs and non-alcs on their trucks. So maybe what we’re seeing now was inevitable all along, only a matter of time before the U.S. clambers aboard. Kind of like us getting serious about soccer, y’know? It would be nice to conclude by reporting that my final beer of the evening was a Harmonic Convergence. (Burlington Beer, Garage Project and Crooked Run have all done one.) Not on tap, alas. So I’ll leave you with this: As exciting as it is to watch this great convergence unspool, it may well end up as a zero-sum game, not the solution to the growth dilemmas of all these beverage giants, kind of an agreement between farmers letting herds freely stray into their neighbor’s pasturages. But the efforts may yield some fascinating new brands and sub-segments in the process in this ever-morphing beverage space. Longtime beverage-watcher Gerry Khermouch is executive editor of Beverage Business Insights, a twice-weekly e-newsletter covering the nonalcoholic beverage sector.



EVENT COVERAGE BY BEVNET MAGAZINE STAFF

BevNET Live Recap After a two year wait, BevNET Live Winter 2021 returned in December in Santa Monica, Calif. with a full slate of programming looking at how the beverage industry is moving ahead amid changes from the pandemic, increased participation from celebrity investors, rising health and sustainability trends and the impact of ecommerce and internet market. On December 6, the two-day event kicked off with a panel bringing together a range of experienced experts and operators to more closely examine the current state of the beverage business, taking into account the disruptive conditions of the last two years. For investors like Mark Rampolla, founder of ZICO and cofounder and managing partner at PowerPlant Ventures, the ability of beverage startup founders and their teams to be prepared to tackle problems and “ride out” difficult periods has become a critical asset. “More than ever, we are looking for founders and teams,” he said, that can handle the “unbelievably complex” business environment. However, those that do manage to emerge from the early growth stage may find themselves with an “open field” to continue scaling, as many will not. The widely reported issues related to supply chain gridlock, material shortages and labor scarcity have recalibrated the metrics used to evaluate a brand’s progress, according to Nick Giannuzzi, managing partner at The Giannuzzi Group. “These are brand new issues,” he said, but at the same time there is “more money, more creativity, more great ideas” circulating through the industry, and that judging brands strictly on their performance during the pandemic is missing the bigger picture of what they bring to the table. Along with leadership, the panelists noted that profitability is another key focus within the beverage business, which arguably wasn’t the case several years ago. Nicole Dawes, CEO and founder of Nixie Sparkling Water, implored entrepreneurs to prioritize “building a solid business” that is profitable, while Brian Barr, account executive at DPI Specialty Foods, emphasized the importance of setting long-term and short-term goals. With so many brands competing for space, Barr said trends like immunity and functional drinks have seen particular rise in consumer interest. Speaking from his experience in guiding the brand for a decade, Eddie Simeon, co-Founder and CMO of Hella Cocktail Co., made the case for growing slowly (and profitably) rather than chasing riskier bets for short-term gain. Reflecting on her own long journey in building snack brand Late July before launching Nixie, Dawes noted how core values and beliefs can help guide companies through fallow periods. “When you are an organic brand or doing other things that require more capital, you have to be realistic about that and know it’s part of your mission and part of who you are, and build that in,” she told the audience at the Loews Santa Monica Hotel. Also on day one of BevNET Live Winter 2021, Sarah Frey, CEO of Frey Farms, discussed her personal journey in building 36 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022


an agricultural power brand, and how initial setbacks and challenges influenced her approach to brand building, negotiating with partners and building an effective team. As well, a presentation by Nik Sharma, CEO of Sharma Brands, focused on how beverage brands can grow smart in D2C and arm themselves with the right knowledge and tactics as they scale. Stepping outside the strictly beverage space, BevNET editor-in-chief Jeff Klineman sat down with founder/ investor Shaun Neff (Neff, Orro, Sun Bum, Pattern, Beis, Moon, and Beach House) to break down effective ways to work with celebrities and influencers to create awareness and gain attention organically, and how engaging brands can distinguish themselves within crowded categories. Day two of the event kicked off with another look at how the industry has changed since 2020, this time with a panel featuring members of The Coca-Cola Company’s New Revenue Streams group. Daniel White, Chief of New Revenue Streams at Coke, described how Coke has shifted its core focus away from “Brands” and towards “Businesses” over the past two years. Until recently, Coke’s Venturing and Emerging Brands (VEB) unit had been focused on “finding the next billion dollar brand,” but today that idea is outdated and the industry has room for a broader array of companies to meet a larger, more diverse beverage market. “Today it’s about finding the right model for the right brand,” White said, describing the new way of thinking as a transition from venture capital (i.e. investing and scaling brands) to private equity, where each brand and category needs to be met on its own terms.

Turning to Coke’s immediate interests, White highlighted five new revenue streams the company is focused on, including alcoholic drinks, the Topo Chico brand, coffee, mixers, and new packaging formats built around home use. “The world is more open than ever, whether we like it or not,” he said. “Closed systems are difficult to build and difficult to protect.” In regards to alcohol, White said that Coke is entering the space carefully, but at the same time very little is off the table — including potential line extensions from core brands. Though it didn’t come up during the panel, the move would follow in the path of PepsiCo, which announced this year it has partnered with Boston Beer Company for the launch of a Hard MTN Dew line. Other highlights from the second day included Cliff Morgan, founder and CEO of G Fuel, who sat down to discuss how he built a thriving energy drink brand by honing in on the gaming community and a pandel with Nutpods CEO Madeline Haydon and United Sodas of America CEO Marisa Zupan, who both started their businesses as direct-to-consumer brands, and talked about the need to make the leap to brick-and-mortar retail and how they approached becoming omnichannel companies. The second day started to wind down with Brian Kelly, the chairman and CEO of PearlRock Partners, who delivered a presentation drawing from his experiences scaling Keurig to share how beverage brands can best meet the demands of their investors, their retailers and their consumers. Finally, the conference concluded with a panel looking towards the future of beverage investment, featuring Redbud Brands founder Brian Goldberg, Supply Change Capital managing partner Noramay Cadena and Cambridge SPG managing partner and COO Filipp Chebotarev. The trio dove into the current trends in financing and where valuations and deal-making are headed in the near future.

37


EVENT COVERAGE The Importance of Scrappiness and Storytelling: NOSH Live 2021 Recap After an evolutionary year of changing trends and consumer shopping habits, natural food industry leaders converged in Santa Monica in December for NOSH Live Winter 2021 to discuss the state of the industry and outline a vision for the path forward. Erewhon chief growth officer Kabir Jain, CAULIPOWER founder and CEO Gail Becker, Country Archer Provisions cofounder and CEO Eugene Kang and Loft Growth Partners Liz Myslik kicked off the first day with a wide-ranging discussion on how retailers, investors and entrepreneurs have been impacted by a challenging market environment over the past year. Supply chain disruption has continued to weigh on companies large and small. Despite brands’ best efforts to establish solid products and marketing plans, these supply chain issues have put a “tremendous strain” on industry members, Becker said. These challenges have created a “ripple effect” across not only brands, but also retailers due to shortages and out-of-stock issues. According to Myslik, brands are now more focused than ever on supply, which ultimately presents an opportunity to establish a stronger supply chain that will make brands better overall. Trying to maintain stability within this volatile market is no easy feat, Kang admitted, but the ability to control your business’ “controllables” is key. This includes building strong lines of communication with retailers and other partners across the supply chain and having honest and transparent conversations, which Kang described as “eye-opening” for Country Archer. As consumers migrated to D2C shopping during the pandemic, brands and retailers were forced to evolve to meet their needs with an omnichannel presence. Now consumers have returned to stores and retailers are adapting to the types of products consumers want and how they want to buy them, Myslik said. Later in the day, The Hartman Group CEO Laurie Demerritt examined how food companies can use brand attributes and mission to establish loyal consumer bases as many macro and micro cultural forces are interplaying and affecting consumer choices. Closing out the day, natural products retailer Earth Fare took to the stage to discuss its whirlwind year in 2020. After announcing it would close due to financial challenges the grocer ultimately reopened later in the year. At this time, Gavin Konkel, VP of center store merchandising at Earth Fare, said the natural retailer decided to take what was working the best within the store, adopting an entrepreneurial spirit to maximize opportunities. Earth Fare took this new opportunity to establish a new vision and strategy around its “food philosophy,” enhancing its merchandising standard and evaluating overexposed categories — diving deeper into functional foods and pulling back in segments such as yogurt. As Earth Fare evolves, Konkel said brands looking to land on its shelves or any other grocery shelves need to see if their product is a fit by getting to know a retailer, which will ultimately help them sell to buyers. Konkel noted that “getting in is easier than staying in” so establishing strong relationships with buyers is essential. 38 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Day two of NOSH Live Winter 2021 brought discussions on how brands can position themselves for success with regards to the current state of the industry including shifting consumer interests and a dynamic landscape for brand building. Acid League co-founders Allan Mai and Cole Pearsall and Chrisitina Pearson, Global Category Manager at Whole Foods, took to the stage announcing Acid League will be launching 12 new sauces and condiments with the retailer early on in the new year. The new products include everything from an 1860s cocktail sauce to a modern take on ketchup. In tandem with the new product announcement, the trio also discussed how they have navigated their brand-retailer partnership and how a sense of positivity, clear and consistent communication and a willingness to compromise allowed this partnership to grow and thrive. According to Pearsall, Whole Foods essentially serves as the company’s “testing ground” for new products, noting that launching exclusives with the retailer has given them valuable data and proof of concept within the category. By launching these exclusives, Pearsall said they have elevated the brand’s other retail partnerships because they are able to pitch new products with a sense of confidence, data and a solid proof of concept behind its more unique innovations. However, the relationship isn’t one sided. Pearson emphasized that for Whole Foods, Acid League’s in-house operations brings a sense of stability to the shelf, especially over the course of the past year where manufacturing disruptions impacted every category. She highlighted the company’s ability for the most part to avoid out-of-stocks and, when they couldn’t, easily communicate that production might be strained. Another highlight from day two included Ashley Alden, VP of Merchandising at Foxtrot sitting down with NOSH editor Carol Ortenberg to discuss how the company is modernizing the approach to the traditional corner store through an innovative retail and delivery format catering to all-day use occasions and the contemporary consumer. The brick-and-mortar Foxtrot locations offer a typical retail experience with an data-curated array of products on shelf. In addition to retail, the store also has a food service component, “transitioning from coffee shops to a wine bar throughout the day” said Alden. This brings in consumers who may just want to grab a cup of coffee to then discover the wider variety of services this modern c-store has to offer. The stores also serve as “micro-fulfillment centers” enabling Foxtrot to deliver products across its CPG and foodservice portfolios in under an hour. However, when it comes to growth, Alden believes it is Foxtrot’s relationship with its brands and consumers that allowed the company to expand at such a rapid pace. She emphasized the company’s “commitment to community” and highlighted how the retailer has also taken an active role in shaping local brands so they would be positioned for success once they reach the shelf. Currently Foxtrot operates 15 retail locations in cities including Chicago, Washington D.C. and Dallas and over the next year, 50 new Foxtrot locations are set to pop up in cities such as New York, Los Angeles and Boston. Alongside this expansion Alden said it’s close-knit team, which currently includes only three category managers responsible for bringing in and managing brands, will also undergo a significant expansion.



EVENT COVERAGE Brewbound Live Peers Into the Future of Beer and Beyond The Brewbound Live business conference in December focused on the future of the beer category and the increasing convergence between alcoholic and non-alcoholic beverages. Firestone Walker co-founder David Walker opened the conference with a discussion on what it means to be an American craft brewery as the industry morphs and evolves. Craft brewers have taken some lumps over the last few years, but Walker has nevertheless remained bullish on craft with the Paso Robles, California-headquartered craft brewery aiming for 600,000 barrels in 2022 on the way to 1 million barrels down the road. Also bullish on craft beer is Kirin-owned Lion Little World Beverages, which now has more than 1.5 million barrels of production at its disposal between its acquisitions of New Belgium Brewing in Fort Collins, Colorado, and Bell’s Brewery in Kalamazoo, Michigan. New Belgium CEO Steve Fechheimer and Bell’s Brewery EVP Carrie Yunker wrapped up Day One of the conference on what comes next, following founder Larry Bell selling Bell’s to Lion. Along with detailing goals for the new partnership,Yunker and Fechheimer eased some concerns that the Michigan-based craft brewery will lose its identity with the acquisition, and the retirement of Larry Bell. “I’ve been doing a lot of work with Steve and the team over the last several months, and I don’t feel like the smaller brewery,”Yunker said. “My voice is just as big in the room as them and they’re great leaders and I think really our job is to be bullish about making sure we protect the things that matter to our people.” Meanwhile, Athletic Brewing Company co-founder and CEO Bill Shufelt discussed the evolution of non-alcoholic (NA) beer – and the strategies the Stratford, Connecticut-based brewery has used to become a leader in the segment. Athletic launched in 2018, and has grown to claim about 50% of the NA craft beer segment by “taking something that was so long neglected and bringing it out of the penalty box,” according to Shufelt. “The word sober – and these binary words are so outdated – 80% of our customers drink alcohol at other times during the week,” he said. “We really think non-alcoholic in all its forms, not only beer, is the first credible occasion growth driver in adult beverages that we’ve had in decades.” Rather than “cannibalizing the other offerings” in beer, Shufelt said the non-alc segment provides a beer option for the days where alcoholic beverages might not fit. “Now, we have a beer you can drink Sunday through Thursday and absolutely love and be psyched to pair with your weeknight meal,” he said. “Or [a beer for] the 50% of the population who barely drinks at all.” Among those coveted consumers are Generation Z drinkers, those ages 21-24. Gen Z is consuming less alcohol and drinking it less frequently than older generations, according to Lindsay Kunkle, FTI Consulting senior director of digital and insights, and Peter Rose, senior partner of Kantar’s consulting division. One-in-five (22%) Generation Z consumers surveyed in 2021 said they never consume alcohol – a +5% increase compared to millenni40 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

als surveyed at the same age. One-quarter of Gen Z consumers are drinking alcohol weekly (17% less than millenials), and 6% consume daily (7% less than millennials). Gen Z’s formative years have been shaped by 9/11, an encompassing digital world, the COVID-19 pandemic and more, according to Kunkle and Rose. Those events have helped shape Gen Z’s perspectives and what they want as both consumers and employees. “We’re seeing a generation that – not just from a workplace standpoint, but from a consumption standpoint – is going to be trying to align with brands that’s values are quite similar to their own,” Rose said. As employees, Gen Z is looking for value in work over monetary gain, leading to what has been referred to in the past two years as the “great resignation.” However, Kunkle said this movement should be viewed as a “great reshuffle.” “They are looking for careers that make them happy, not necessarily the most possible money,” she said. “And they’re looking for a job, a career, that reflects their own personal identity.” Brewers aren’t the only ones looking to cater to Gen Z consumers. Retailers told the Brewbound team that they’re actively courting them. Jason Murphy, Buffalo Wild Wings beverage product and program innovation manager, said he’s exploring different beverage offerings beyond beer to better meet those consumers’ needs. “Low- and no-alc has a huge opportunity to drive sales in our sports bars next year, not just in beer, but also in spirit-free drinks [and] mocktails,” he said. “That category has a lot of runroom for us, and it’s something that our guests have surveyed back to us and told us that they place a lot of importance on when they come to have a visit at Buffalo Wild Wings.” With more than 1,200 locations in the U.S., Murphy said Buffalo Wild Wings has to be even more selective with what products it chooses for its tap handles. “Most of the products that are being pitched to us right now are hard seltzers and imperial IPAs, or things chasing off-premise trends,” he said. “I understand why that’s happening, but for me, I only have 22 handles. There’s not much I can do with a 15th hazy IPA and 100th hard seltzer in my set, so I’d like to see more innovation in the beer space.” Mary Guiver, Whole Foods global senior category merchant for beer and spirits, stressed the importance of brands knowing who their shoppers are and why their products meet those consumers’ needs. “They have to really focus on the high-level takeaways around what makes their product special, whether that’s metrics around topperforming items or brands in the market in their category, or trends, or capturing share of a category,” she said. “Those have been historically things that we asked for. If not that, then really showing up with some whitespace items that are really unique. If not that, then the Whole Foods ethos around something that you’re doing beyond the product can really get us time with you one-on-one.”


Funkytown Wins 2021 Pitch Slam Competition Chicago’s Funkytown Brewery won the 2021 edition of Brewbound’s Pitch Slam Competition, presented by O-I. Funkytown, the second Black-owned brewery in Chicago, beat fi ve other semifi nalists, judged by a panel of industry experts. In a four-minute pitch, childhood friends and cofounders Richard Bloomfi eld, Zachary Day and Gregory Williams detailed how their offerings “meet the needs of the fi rst time craft beer drinker.” “We’re using homebrew as an opportunity to gather feedback from Black people, women and other minorities to see what smells and tastes based on the palate,” Bloomfield said. “The feedback we were able to gather from these underserved groups is what drives our approach for brewing and branding.” Funkytown has four beers: Hip-Hops and R&Brew American pale ale, Woo-Wap-Da-Bam American amber ale, Cuffi n’ Season Irish red ale, and New Year, Who Dis oatmeal milk stout. All beers are between 5.5% and 5.8% ABV, and feature local references in their label art. “These different styles enable us to have a competitive price point that doesn’t turn someone away but provides an

entry point for clients and beer consumers,” Day said. “On one end, we’re offering an entirely different world for the people within our culture, and another offering an entirely different culture in the beer world.” Bloomfield, Day and Williams started homebrewing in 2017, and were inspired to start their own brewery two years later after attending Fresh Fest (now Barrel and Flow), a beer festival showcasing Black-owned breweries in Pittsburgh, Pennsylvania. Funkytown launched in October 2021 through the Pilot Project, a Chicago-based brewery incubator.

41


SHOW PREVIEW BY BEVNET STAFF

WHAT

WHERE

Natural Products

Anaheim, Calif.

Expo West 2022

Anaheim Convention Center

WHEN

WHO

Education and Events: March 8-12, 2022

Anaheim Hilton

Trade Show: March 9-12, 2022

More than 300 beverage brands and approximately 60,000 attendees

ALPHABETICAL EXHIBITOR LIST Exhibitor

Booth

Exhibitor

82 Labs, Inc.

N113

Big Watt Beverage

N1333

Clear Cut Phocus

N2318

BLK International, LLC

N909

Cloud Water Brands

N1430

A Game Beverages INC

118

Booth

Exhibitor

Booth

a2 Milk

N728

Blue Monkey

5407

Coca-Cola North America Group

Acai Roots

1925

Blue Skies USA, Inc.

5727

coco5

N509

142

Blue Stripes Urban Cacao

5284

Cocobear Inc.

N1270

Agua Bonita

739

Alexandre Family Farm

2690

BlueTriton Brands

Copper Cow Coffee

N2012

AlkaH2o U.S.A LLC

N1242

Blume Beverages, LLC

2670

Counter Culture Coffee

5536

Alkaline88, LLC

N441

Boomerang Energy, Inc.

5791

Crafted Brand Company, LLC

N938

Bragg Live Food Products, LLC

N1802

Bragg Live Food Products, LLC

5315

Crystal Geyser Alpine Spring Water

1588

BrainJuice

N1016

Culture Pop Soda

5197 N143

ALO Drinks by SPI West Port, Inc.

461

ALOHA

N208

AMAZ

5151

Brew Dr. Kombucha

5157

Cure Hydration

583

Cusa Tea

American Yaupon Association

N1514

Brooklyn Food & Beverage, LLC

Amy & Brian Naturals

N1017

Buddha Brands

APAX USA, Inc.

4249

Aqua 9+ Beverage Co.

181

918

Bulletproof Califia Farms

N2005

N505

DAH!

5096

5666

Danone North America

5416

921

Danone North America

1517

Aqua ViTea

N1049

Canopy Growth USA, LLC

4783

Danone North America

1421

Ardor Organic

N2039

CanWater

N636

Danone North America

1317 1417

Ascent Protein

N1114

Caribe Juice Inc

130

Danone North America

Athletic Brewing Company

N2108

CBD Living

3211

Danone North America

Athletic Brewing Company

211

1617

CELSIUS

N1128

De La Calle Tepache

Aura Bora

5649

Ceves Beverages, LLC

N537

Death Wish Coffee Company

2664

B SWEET BEVERAGE CO.

N1342

CForce Bottling Company

N100

Defy

5275

Bala Enzyme, Inc

N1945

904

N915

1805

Diabolo

Barsotti Family Juice Company

Chameleon Cold-Brew or Chameleon Organic Coffee

DIVAS drink U.S. Inc.

4937

Beliv Company

N1725

Cherry Central

N1418

Doctor D's Sparkling Probiotic

Better Booch

4955

CLEAN Cause

2124

Dream Water

BevNET, NOSH and Taste Radio will be interviewing, broadcasting and filming throughout the event. If you’re attending or exhibiting, let’s connect! Reach out at news@bevnet.com, news@nosh.com, or ask@tasteradio.com 42 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

N2044

N2328 3920



SHOW PREVIEW Exhibitor

Booth

Exhibitor

Booth

DRY

N1013

Hello Bello, Tiller and Hatch, Taffer's Mixologist

2983

HFACTOR

N731

Meyenberg Goat Milk Products

1647

1810

High Brew Coffee

5337

Milkadamia

N223

1467

Hint, Inc.

5022

Milkman Milk

4900

N239

HOP WTR

N2334

EB Beverages Elements Drinks Elite Naturel USA, LLC Elmhurst Epicurean Food & Beverages

373 N2000

Exhibitor

Booth

Mattoso Extratos Naturais LTDA

1793

Mayawell

N2041

Minor Figures

N1238

5340

Essentia Water

814

Hoplark, LLC

Mixed-Up Mules

N248

Eternal Water

5123

HumanCo

N835

Molson Coors Non-Alc

5036

5018

HUMANITEA Company

5734

Mori Leaf

N2143

1478

Humm Kombucha

N919

Mortal Kombucha

N1112

1117

Hydrant

5292 5440

Natalie's Orchid Island Juice Company

N1719

Europa Sports Products Evamor Products, LLC Evolve Fentimans USA, Inc

N1321

Icelandic Glacial

Flow Alkaline Spring Water

5448

ITO EN (North America), Inc.

5508

Naturli' Foods A/S

N1620

Flow Alkaline Spring Water

5452

Java Trading Coffee

N744

Ninth Avenue Foods

N2124

Forage Kombucha

5294

Jayone Foods, Inc.

972

Nirvana Water Sciences

N2131

Forager Project

5062

JJ Martin Group, LLC

2553

Nixie Sparkling Water

5474

Four Sigmatic

N545

Jones Soda Co.

966

North Coast Organic

2191

Free Rain

N544

Just Made Foods, LLC

N515

611

4975

Genki USA, Inc.

Karma Water

NovaNaturals: Steaz, C20 and Mineragua

Ginger People, The

342

KeVita Drinks®

915

Numi Organic Tea

2580

Ginger Shots, LLC

5074

Kill Cliff, Inc.

5369

nutpods

5743

Ginseng Up Corp.

N1338

Kokomio

N1827

Nuun Active Hydration

5102

166

Kor Shots

N520

OATLY

527

GoHydrate Inc.

N1536

Goldthread Tonics

N1731

Kuli Kuli Foods

N1636

Oatnestly

N912

Good Crop, Inc./ Sofresco

N1339

L.A. Libations

5043

Oaza cold Brew

N446

Good Idea Inc

H434

L.A. Libations

5044

Ocean Spray Cranberries Inc.

1472

Good Karma Foods

5279

L.A. Libations

5053

Odyssey Elixir

N1341

GoodBelly by NextFoods

N1047

LaCroix Sparkling Water

1205

Omni Bev

GoodSport Nutrition

4557

1936

Goya Foods

1488

Lakewood Organic Juice Company

One8 Health Brands, LLC

182 N2205

Open Water

5489

GREEN COLA NORTH AMERICA LLC

Lavazza Premium Coffees Corp

2527

Orangina

N1632

N1652

LIFEAID BEVERAGE COMPANY

5162

ORGAIN

2037

GURU Beverage

2234

Lifeway Foods, Inc.

1431

Organic Valley

1737

Harmless Harvest

5261

LiveMore Organics

2003

Organifi

Harmless Harvest

5262

LOL Juice, LLC

N1314

OXIGEN Beverages (USA), Inc.

N613

Harney & Sons Fine Teas

2089

LOOP MISSION

N246

Pain Drink, Inc.

4384

Hart Dairy

1685

Machu Picchu Energy

N2048

Panos Brands

761

Malibu Mylk

N1344

Partake Brewing

Hawaii Volcanic Beverages

N1038

Hawaiian Springs, LLC

1054

MALK Organics

Health-Ade Kombucha

5332

Mananalu

HealthVerve Food Manufacturing USA

1486

Hella Cocktail Co.

N1949

44 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

1804 N1736

N1708

N2347

PATH

N747

Pickle Juice

5327

Manda Fermentation USA

693

Picnik

5217

Marquis

2612

PIRQ

5296

Planet Oat

5040

Matchaful

N2138


Exhibitor

Booth

Exhibitor

Booth

Exhibitor

Pocas International Corp.

1973

Smart Juice

2110

Try MY T, LLC

N2028

Polar Beverages, Inc.

791

SMARTFRUIT INC

227

Pop and Bottle, Inc.

5078

So Cool Brands Inc

N542

TURVEDA Prebiotic Herbal Sodas & Tea

N432

poppi

5288

Soda Press Co.

N1746

Twrl Milk Tea

N1717

Positive Beverage

354

Som Sleep

5335

Ü Calming Co.

N2326

Sound

N746

UGLY

N237

Pressed Juicery

N1648

Protein2o

N931

Spindrift Beverage Co., Inc.

5430

Ultima Replenisher

Proud Source Water

N1302

Spinning Wheel Brands

5194

Uncle Matt's Organic

Booth

610 4958

N2132

Unique Beverage Company, LLC

N2335

Pura Coco

N536

Sproud

Pure Rose

N403

Purps

N1269

Square One Organic Cocktail Mixers

2491

Upstate Elevator Supply Co.

2786

RAMBLER

N214

Squeeze Dried, LLC

N944

Verve Coffee Roasters

5150

RAW FARM by Organic Pastures Dairy

SuckerPunch Gourmet

N217

Vina

N2040

692

Suja

2414

VitaCup, Inc.

N2018

REBBL

5584

Sun Tropics

5558

Vital Proteins

N804 3215

Recess

4959

Sunwink

N240

Vital Proteins

RECOVER 180°

N1037

Super Coffee

N1800

VitaNourish

N2249

RED ACE ORGANICS

4427

Swoon

N2013

Vive Organic

N2025

413

Synapse

N1135 N1449

Waiakea Hawaiian Volcanic Water

N317

N1900

Waiakea Hawaiian Volcanic Water

5423

wanu water, Inc.

5633

Reed's, Inc. Remedy Drinks

N1942

Tabletree Montana

Remedy Organics

N2002

Taika

3508

Take Two

Revive Kombucha

5280

Tampico Beverages

N1407

REZ Plant-Based Hydration

N1444

Taste Nirvana Int'l, Inc.

4944

Riff

N1133

Tea-Biotics Kombucha

5265

RIOT Energy

N1552

Teaonic

N222

Ripple Foods

N646

teapigs

N1524

RISE Brewing Co.

5135

Teeccino

2017

Rishi Tea & Botanicals

N620

Thaiwala

5726

Ritual Zero Proof

N1401

The Bu Kombucha

ROAR Organic

5594

THE LEMON PERFECT COMPANY

Rowdy Mermaid

4943

THE NOT COMPANY

Saint James Brands

2465

THE OTHER SIDE OF COFFEE

1767

Sambazon, Inc.

2123

The Republic of Tea

1479

Sanzo

N2311

The Vita Coco Company

435

Three Trees

5357

Tiesta Tea

5601

Topo Chico

749

Reneva Collagen Drink

Sarah's Homegrown

228

Say When Beverages

N1730

Seeds of Wellness - SOW by Benexia

5146

Torani

231

N2349 5107 N1429

N1816

Shaka Tea

N2129

TOST Beverages

Shine Water, LLC

5398

TRIP

5248

Shine Water, LLC

5497

True Nopal Cactus Water

5316

Simple Foods Co., Ltd.

N1735

True North

709

170

waterdrop Microdrinks, LLC

5762

Waterloo Sparkling

N228

Wave Soda

N1121

Wellbev LLC

2419

WellDrinks USA LLC

1075

Weller

5060

Whole e Nature Whole Harmony LLC

N221 N2307

Wild Noni Natural Juice

906

wildwonder

5652

Win Soon, Inc. DBA Epoca

2417

Wize Tea

N745

WYLD CBD

2793

XicamaTM

N2043

Zeal Grass Milk Creamery

1592

Zen Beverage LLC

N1120

Zenify

N1147

Zest Tea

N1021

Zevia, PBC

5007

45


Each year, BevNET’s annual Best Of awards honors companies, brands, individuals, products, ideas and trends from across the dynamic and ever-changing beverage landscape. After the unprecedented challenges of a global pandemic in 2020, this year saw the beverage landscape coping with changing conditions and new, often uncomfortable realities. As the arrival of COVID vaccines helped push the industry back towards overall growth, supply chain gridlock, labor shortages and scarcity of materials threatened to paralyze it once more, compounding with economic inflation and uncertainty over new variants of the coronavirus. Yet, as often happens, those issues sparked the innovative and resilient spirit of entrepreneurs from across drink categories as they continued their relentless pursuit of progress. That meant taking on the challenge of reinventing

BRAND OF THE YEAR Super Coffee Super Coffee is moving fast, achieving a $400 million valuation this year as it continues to draw investors, distributors, retailers and consumers to its own brand of functional hustle. The company, founded by three college-age brothers, is loaded up for the stretch run, with more than $100 million in new investment from its latest raise. But beyond the numbers, it’s the look: every day new cans of Super Coffee are appearing on store shelves in both big chains and independents; there’s a pervasiveness to the brand’s growth that has a parallel arc to some of the other big independent brands out there that found their formula and started executing it on the street and in the boardroom. Monster, BODYARMOR, and Vita Coco all hit periods of hyper-growth and it’s clear that Super Coffee has entered that phase. What the ultimate outcome for the company will be is for its founders, investors, and the market to decide, but this 46 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

categories like soda and tea, or carving space for entirely new ones, like tepache. It meant using tools like TikTok to bring consumers closer to the personalities behind their favorite drinks, or turning a canned water brand into a boldly funny, proudly counter cultural voice for a new generation of drinkers. And it meant turning a decade of hard grinding and tireless hustle into a historic, deeply impactful company exit, as with BODYARMOR’s eight-figure sale to The Coca-Cola Company. The winners of BevNET’s Best of 2021 Awards embody that spirit and drive, combining inspiration with effort, style, dynamism and personality. Backed by the confidence and enthusiasm from having these brands, products and leaders at the helm, the beverage industry is ready for whatever surprises 2022 might have in store.

was the year that Super Coffee became a fully realized presence for a broad set of consumers and a necessary product for retail customers as well. With AB InBev’s distribution muscle and an increasingly potent marketing operation, this brand has reached a new plateau, all signs are pointing up, and the engine is roaring.


PERSON OF THE YEAR Mike Repole, Chairman and co-founder, BODYARMOR Mike Repole — and an experienced team of longtime associates — pulled off a rare career double this year with the sale of BODYARMOR to the Coca-Cola Company. That created a new category of entrepreneur, one who has twice sold startup brands for more than $1 billion. There are other entrepreneurs who have pulled off multiple sales, of course (BODYARMOR Co-Founder Lance Collins among them), but the price tag for Repole’s labor is indicative of the scale he’s able to bring to brands that become permanent parts of the industry. That’s a good year for sure, but what underscores the title of Person of the Year is that Repole has also spread the wealth and success throughout the company and throughout the community. Estimates are that more than 40 core employees at BODYARMOR have become millionaires through the sale — something that resonates within the entrepreneurial culture because of its emphasis on hustle, ingenuity, and team loyalty. Beyond that, Repole, already a major fi nancial contributor to civic institutions like St. John’s

University, immediately followed news of the Body Armor sale with news of a $50 million donation to the Memorial Sloan Kettering hospital to fund cancer research. Repole’s teams are willing to take on the hard task of building brands his way because they know that no one will work harder than him for the same end, and that he won’t simply rely on superior skills and vision when drive is the real difference-maker. This year, he was an easy choice for person of the year.

BEST MARKETING Poppi’s TikTok Case Study One Friday night in January, around 10 p.m., Poppi co-founder Allison Ellsworth was sitting in her Texas home when the inspiration struck her to record a quick impromptu video for her brand’s TikTok profi le. She quickly discussed the prebiotic soda company’s founding story and its game changing appearance on Shark Tank (which netted an investment from Rohan Oza and his fi rm CAVU Venture Partners). As Ellsworth tells it, she spoke briefly but honestly, tying the brand’s journey to her own. The next morning, the video was already a viral hit and by Sunday the company had sold over $75,000 worth of product on Amazon. As of December 2021, the video had over 17.5 million views and 475,000 comments from consumers. Poppi was able to use its initial success to populate its email contact list, going from next to no subscribers in December 2020 to over 200,000 in months, but the company has not slowed down its social media marketing. The brand has posted to TikTok over 100 times since (on occasion striking the right nerve and getting over 1 million views) and Ellsworth remains the main star and face of the company. “Nowadays, that’s what the consumer wants,

right? They want to connect with a real human, they don’t want the high gloss, they don’t want the ad in your face,” she told BevNET earlier this year. With so many companies striving for a viral hit on platforms like TikTok and Instagram, Poppi has shown that the secret isn’t always to think, but to feel. Ellsworth’s on the fly video may not, and probably can’t be replicated (at least not exactly the way she did it), but brands can learn from the moment how the power of authenticity, passion and a founder’s connection to their company can resonate with consumers and put a startup into the spotlight. 47


RISING STARS Liquid Death When Liquid Death began raising money through Indiegogo in 2017 with a video claiming water as the deadliest fluid on Earth and commanding consumers to “Murder Your Thirst,” many were left wondering: Is this a joke? Well, after nearly three years on the market, the answer is a firm ‘Yes and No.’ The recipient of BevNET’s 2019 Best Marketing award, Liquid Death established its name through genuinely hysterical and provocative advertising campaigns that have continued to roll out at breakneck pace. From gimmicky headline grabbers like giving away free cans in exchange for consumers’ souls to more recently releasing a 45-minute horror movie on Amazon Prime, that marketing prowess -- driven by the vision of co-founder and CEO Mike Cessario -- is but only the support structure for a legitimate business model. Liquid Death has rebuked any notion that it’s merely a novelty by building an omnichannel brand around mountain spring water in a tallboy can, all while wielding sustainability bonafides like no other; has any phrase summed up the beverage industry’s shift towards green packaging better than “Death to Plastic?” But the company has also made a series of moves in the market, securing an exclusive partnership with the country’s largest live event promoter, raising over $125 million in capital, and building out its leadership team with experienced c-suite and director hires. How much further can Liquid Death take this concept? It’s hard to say, but take this brand as a joke at your own risk. Hoplark HopTea In 2018, speaking as one of 12 competitors in BevNET’s New Beverage Showdown 16 pitch slam, Hoplark HopTea founder and CEO Dean Eberhardt said he believed his innovative new brand was helping to create a new category for non-alcoholic hops-infused drinks. Three years after winning that competition, Hoplark itself is thriving; building its national distribution network and releasing a steady stream of flavor innovations that lean into the brand’s craft beer styled drinks through unique combinations of hops and teas. The brand’s 2020 sales were 85x its 2018 numbers, and as of this March the brand was reporting exponential growth curves, also doubling its brewery capacity to meet demand. But not only is this Colorado-based startup that dares to play in two different sets of the store living up to its promise, the category Eberhardt predicted is beginning to grow around it. Big name brewers are investing in and creating their own non-alc hop drinks and teabased competitors are entering the market, leaving Hoplark as an early leader and cementing its status as a trailblazer. 48 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Cann In these very early days of the cannabis beverage market, the landscape remains a bit hazy. Despite the prodigious growth numbers, it remains a minor slice of the market, a still largely inaccessible space entangled in differing state regulations and uneven levels of consumer awareness. Yet if there’s a brand that symbolizes both how far the concept of a weed-infused drink has come and the tantalizing potential that still lies ahead, it’s Cann. The self-stylized “cannabis-infused social tonic” captured our attention as the winner of New Beverage Showdown 17, but it’s now clear that the basic pitch — approachable, mildly dosed (THC and CBD) beverages made with natural ingredients and draped in sexy, playful branding — carries mainstream appeal: despite only being available in five states, Cann is the top-selling cannabis beverage in California, and is on course to triple last year’s $3 million in revenue this year as it continues to expand into new legal markets. Innovation remains a key focus — see the caffeinated Peach Passionfruit Mate, launched in August, or next year’s planned introduction of the premium Cann Reserve line — for the company, but it’s the brand’s authenticity and clear sense of identity that has helped make cannabis drinks sexy, attracting partners like pop star Tove Lo, actress/investor Gwenyth Paltrow and national distributor Green Thumb Industries along the way. Though the story of cannabis beverages is still being written, Cann’s place within it as a pioneer is secure.

BEST PACKAGING United Sodas of America Looking at a single can, United Sodas of America is instantly eye-catching, with its blend of clean minimalist design, all-caps label copy and bold, striking colors creating an instantly recognizable and unique look. Each can stands out on its own, which makes the seeing the kaleidoscopic colors across its 12 SKUs all the more effective in visually popping out on-shelf (or in the brand’s double-stacked variety packs). Talk about power in numbers.



Wildwonder As the copy on the back of the label relays, Wildwonder tonics are inspired by founder Rosa Li’s Chinese grandmother, who would assemble healthy drinks in her home kitchen “with a symphony of wild herbs.” That idea is represented visually on the can’s front label, with its hero ingredients floating against a bright background and bold text directly in the middle. The overall effect is both inviting and unique, creating a functional drink that actually looks fun.

Culture Pop Founded by industry veterans Tom First, Andrew Guard and Mark Christou, Culture Pop’s approach to the probiotic “Pop” category has resulted in a line of tasty, functional beverages with bold flavor profiles like Orange Mango Chili & Lime and Wild Berries basil & lime, presenting a more complex (but still familiar) contrast with the nostalgic soda flavors found throughout the category. As an early entrant to a rapidly developing segment, Culture Pop has set itself apart by marrying a strong product with approachable branding.

De La Calle! Tepache Startup tepache brand De La Calle! invites new consumers into an emerging category with a bright and colorful visual aesthetic. Tepache is well known in Mexico where the fermented beverage has a long history, but as American shoppers are introduced to the drink it’s packaging like De La Calle! that will welcome them in.

Ghia Le Spritz In the emerging non-alcoholic mocktail category, Ghia is making a powerful impression with its nonalcoholic aperitifs. Le Spritz, its RTD line packaged in 8 oz. cans, presents an impressive flavor profile that’s aptly reminiscent of a classic Aperol Spritz, but with its own unique twist through ingredients like white grape juice, yuzu juice and a variety of extracts. Bitter, sweet, light, complex and -- most importantly -- refreshing all describe this product.

BEST NEW PRODUCTS Taika Matcha Latte Taika’s approach to functional, plant-based coffee lattes has thus far produced a strong stable of products, but its macadamia milk Matcha Latte shows that the company’s barista skills extend beyond cold brew. Working with an ingredient that can be notoriously difficult to integrate in an RTD product, Taika makes the organic ceremonial grade matcha sing, resulting in a drink that’s sweet without any aftertaste, with a creamy and smooth texture. De La Calle! Tepache Beyond its vibrant packaging, De La Calle! is a delicious product helping usher in a wave of new tepache beverages -- a sparkling, fermented Mexican drink made from water, turbinado sugar and pineapple rind. Its five SKUs that showcase different regional takes on the brew, including sweet and spicy flavors like Tradicional (Pineapple Spice) and Picante (Mango Chili) are all deserving of a Best New Product title. 50 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Harmless Harvest Coconut Smoothie Harmless Harvest has produced no shortage of great tasting coconut beverages over the past decade, and it’s latest coconut smoothie line is an excellent addition. Even more than its signature coconut water, this smoothie captures and accentuates the refreshing sweetness of fresh coconut without added sugar, resulting in natural hydration that’s both indulgent and functional, thanks to MCTs. Holy Tepache This year we saw plenty of gut-health focused beverage launches, however Austin-based Holy Kombucha’s Tepache line stands out for its flavorful spin on the traditional fermented pineapple Mexican beverage. In addition to hitting timely trends including with its use of pre- and probiotics, each SKUs of this functional beverage maintains the traditional pineapple base while capitalizing on distinct flavor profiles ranging from Ginger Hibiscus to Strawberry Lime. While Holy Tepache has embraced flavor and function it has also positioned itself as a better-for-you mixer making this beverage right on trend and easily one of 2020’s best new products.


Pop & Bottle Almond Milk Lattes As dairy-free RTD coffees continue to flood the category, finding a point of differentiation has become an added challenge. However, Pop & Bottle’s Almond Milk Lattes stand out from the pack with its clean ingredient profile, no refined sugar and a variety of caffeine levels among the line’s seven SKUs. These plant-based lattes are made with only almond milk, dates, cold brew coffee and Himalayan salt and feature flavors ranging from a Classic Cold Brew to Matcha Green Tea. Between its low-sugar content and great taste, this latte is among the best we have tried in 2021. Lyre’s Spirit Co. Premixed Lyre’s premixed spirits perfectly execute a nonalcoholic take on traditional cocktail recipes with combinations ranging from an Amalfi Spritz to its innovative and limited-edition Dark & Spicy beverage. These “impossibly crafted” cocktails hold their own among the likes of non-alcoholic and alcoholic RTD cocktails with a distinct yet contemporary twist on buzz-worthy beverages, without the booze. As report after report continues to predict that non-alcoholic spirits are going to continue their climb within the beverage industry throughout the next year, Lyre’s core line of RTD alt-cocktails are definitely one to watch. Rowdy Mermaid Adaptonic Rowdy Mermaid’s first extension beyond kombucha is proof that this functional beverage brand has plenty of room to grow beyond its original category. While working on the innovation of Rowdy’s Adaptonic line, the brand tapped into its existing ingredient supply with the resulting liquid featuring fruit, botanical herbs and Reishi mushrooms as its primary ingredients. These sparkling immunity beverages come in four flavors including Ashwagandha Blackberry and Matcha Yuzu and, while they complement the company’s flagship Kombucha product, the Adaptonic line has made its way on shelf as a better-for-you, immune-boosting beverage.

BEST NEW SPIRITS PRODUCTS

Tip Top Cocktails Shaken Last year we loved Tip Top’s launch line of ready-to-drink stirred cocktails and its new Shaken line (featuring classics like Margarita, Daiquiri and Bee’s Knees) is an equally brilliant collection. With a potent serving (24-26% ABV) and a sharp use of citrus flavors, the Shaken lineup is a fine addition to Tip Top’s portfolio.

SunDaze In an ever-more competitive category, SunDaze has quickly distinguished itself as much by what it is not — another hard seltzer — as by what it is: a unique citrus juice-based cocktail made from a patent-pending fermentation process, complete with probiotics and vitamin C to go along with the 6% ABV in each 12 oz. can. Truly innovative yet at the same time firmly grounded in an approachable identity, we could enjoy SunDaze all week.

Onda Tequila was everywhere in 2021 when it came to RTD cocktails, but Onda seemed to rise above a field that included several worthy contenders. Clean, refreshing, perfectly poised at 5% ABV/100 calories and available in a range of flavors made with real fruit juice, Onda is the tequila soda to beat right now. 51


TASTES OF TOMORROW Functional ingredients and diverse flavors highlight 2022 trends By Martín Caballero Things can change fast in the beverage industry. Case-in-point: just a few years after popping up on the RTD scene, ashwaghanda has gone from niche functional ingredient to having its own SKU of Smartwater, complete with a Gal Gadot-starring media campaign. Maybe that’s a credit to the herb itself, but it’s also an indicator of how much marketers have channeled consumer attitudes towards ingredients touting betterfor-you claims or functional benefits: if there’s a chance it can help them, they’re willing to give it a shot. That’s good news for the flavors and ingredients industry. After a second year of riding the COVID-19 roller coaster, consumers are fi nding room to fit a broad assortment of beverages into their lives, whether its products promising immunity support or those simply offering a tastefi rst flavor experience. Suppliers are fi nding opportunities to innovate within that mix, but also chances to go beneath the surface on some of the key issues influencing purchasing decisions, including factors like sourcing integrity and climate impact. For our annual look at the flavor and ingredient trends that will shape the year ahead, BevNET spoke with suppliers and brands across the industry to glean insights on the top three trends set to shape the future of beverage innovation in 2022 and beyond. These responses have been edited for space and clarity.

52 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Applied Food Sciences Brian Zapp, Director of Marketing

Plant-Based Protein Snacks, baked goods, gummies, juices, cold brew coffees, and meal replacements top a long list of products with protein-related claims. Yet while animal-based protein sources like whey and casein are the most prominent, consumers are showing a clear interest in plant-based alternatives. As a result, grocery sales of plant-based foods that directly replace animal products grew 27% in the past year, reaching $7 billion (SPINS retail sales data, April 6, 2021). One of the most attractive ingredients in this area is hemp heart protein, which can produce more than 70% protein, complete with all nine essential amino acids.

Premium Functional Energy Marquee brands like Bang, CELSIUS, Reign, C4, GFuel, A-Shoc, Gamer Fuel, and others are ushering in the segment and showing growth that the energy category has not seen in decades. What do they all have in common? Premium, more functional ingredients! Bursting onto the scene here is guayusa, a uniquely different kind of energy ingredient with naturally occurring caffeine and an unusual antioxidant makeup that provides a focused energy experience for enhanced mental performance with fewer “jittery” feelings.

Immunity & Wellness These days, it is no surprise that immune health is on the top of consumers’ minds. As a result, we have seen a particular interest in our organic vitamin C extracted from organic acerola cherries. But why the push for organic when brands have been successfully fortifying with synthetic vitamin C for decades? The companies we work with are constantly trying to push the envelope with their ingredients to show trust and transparency on their label. Organic certified ingredients support their efforts, and organic vitamin C from acerola, which contains 70 times more vitamin C than other fruits and vegetables by weight, is proving to be an excellent solution.



SYNERGY FLAVORS

SOVEREIGN FLAVORS

NURA

K.C. Kuder, Marketing Communication Specialist

Alexandra Muñoz, Marketing Manager

Caydie Carrizosa, Marketing Manager

Tropical Flavors

Immunity & Mental Health Ingredients

Alt-Protein

While tropical flavors have been at the forefront of new product launches in recent years, consumers can expect brands to look outside of beach escapes toward other dream travel destinations that still give off those summer vibes, potentially turning to the Mediterranean and South Asia for flavor inspiration. We can expect to see brands calling out provenance-specific citrus fruits, such as Sicilian Lemon or Valencia Orange, and highlighting other fruits grown in these areas, such as pomegranate, apricot or Ume (Japanese plum).

Fruit Exploration As consumers continuously seek out new flavors across beverage categories, we can expect to see an increase of profi les highlighting fruit flavors that perhaps were more nuanced in the past. Melon and kiwi are two flavor profi les that are often blended with more traditional fruits to create an approachable offering for the less adventurous consumer. We expect to see more of these flavors in 2022 and beyond.

Twists on Tradition While we may see an increase in the types of fruit profiles highlighted across beverage categories this year, brands will likely continue to look for ways to provide consumers with new twists on traditional profiles. Whether it’s adding a citrus note to add a bit of zest to wine spritzers, or coffee brands turning to more indulgent categories like ice cream and desserts for innovation, playing on proven consumer favorites will allow brands the flexibility to explore and provide new flavors for their customers to try in LTO and/or permanent line extensions. 54 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

In the immunity category, ingredients we’re seeing more and more of include zinc and vitamin C. With an increased focus on cognitive function and mental health over the past few years, we’re also seeing an increase in nootropics, namely ashwagandha for its calming properties, as well as lion’s mane, L-theanine, omega 3’s, and cordyceps. Lastly, as consumers continue to focus on their overall health and wellness amidst the continuing pandemic, we’re seeing a trend for clean energy through ingredients including caffeine, guarana and ginseng.

There is a broad consensus that the dietary shift is crucial to driving our food systems toward making healthier choices that are also respectful of our planet. Alternative protein is on the rise, and these sources need to provide clean, high nutritional value, sustainability, and culinary versatility. Many vegan proteins support digestion, heart health, immunity, sports recovery, antiinflammation, anti-aging, and weight management. NURA’s BESTEIN Vegan Protein Line provides a variety of highly nutritious protein from pea, brown rice, fava bean, mung bean, sacha inchi seeds, pumpkin seeds, quinoa, chickpea, and more.

Citrus & Superfruit Flavors

Gut Health

While citrus is always trending (think: orange, lemon, lime and grapefruit), as we head into the third year of the pandemic consumers have become more interested in exploring global cuisine from the comfort of their homes, creating an increase in regionally exotic citrus flavors such as Sicilian lemon, Meyer lemon, clementine, mandarin orange and yuzu. Additionally, super fruit flavors weigh in as a close second for what we’re seeing in the industry such as elderberry, blueberry and açaí.

Classic Soda Revival We’re seeing an increase of “classic soda” flavors becoming popular again, such as cola, root beer, orange cream and lemon lime, which are primarily being used in products like spiked colas, BCAA sodas, prebiotic and probiotic drinks.

There’s a wide range of opportunities for probiotic products beyond traditional applications, such as yogurt and supplements, to diversify into more unique products that offer improved nutritional value.

Mood Support Consumers are eager to find products with mood support benefits. 5-HTP has been around for decades and has been shown to support positive effects on sleep, mood, anxiety, and appetite. CLEANMOOD Organic 5-HTP was extracted from Griffonia simplicifolia seeds and is SA-GRAS, supporting the functional food and beverage trend. NURA went through a certified organic harvesting and collection process, using clean water, clean soil, and zero pesticides to ensure we can deliver a clean organic 5-HTP ingredient for mood food or mood beverage support.


BLUE PACIFIC

Micah Greenhill, Beverage Marketing Director

Jessica Morto, Senior Manager, Sensory & Consumer Insights

Fruits & Botanicals

Ethically & Sustainably Sourced

Increasing interest in overall health and resilience means fruit flavors are bursting in popularity, especially citrus and tropical flavors that are frequently associated with products formulated to support immune function. Passion fruit, watermelon, pineapple and tangerine add punch to energy drinks, sparkling waters and bottled teas. We’ll also see a heightened focus on botanical flavors, such as elderflower, hibiscus, mint and ginger, which can enhance the overall better-for-you perception of a product. Watch for botanicals in functional beverages, flavored waters and premium juices.

There is a growing awareness, especially among the younger Millennial and Gen Z consumers, that their purchasing power can also align with their social consciousness and ethical values to make a difference. We have seen demand for ethically manufactured and sustainably sourced clothing for years in the fashion and apparel industry. This trend is also well-established in local craft and artisan food and beverage communities. As this trend has gained traction, we have added a range of unique missionbased extracts and flavors to our portfolio, including Kilimanjaro Vanilla (sustainably sourced from Mt. Kilimanjaro, Tanzania) and our Farm Stand Whole Fruit Flavors, made with real fruit that has been extracted from upcycled “ugly fruit.”

International Flavors Global flavors are also trending, including mango lassi, matcha and coquito, a creamy coconut drink similar to eggnog. Ongoing travel restrictions have consumers thirsting for new experiences and embracing taste profiles that offer a sense of adventure. On one hand, flavor preferences are becoming more authentic and specific, such as Indian, Caribbean and southeast Asian regional cuisines. We also see innovation within the fusion cuisine trend, where flavor combinations aren’t restricted by geographic boundaries. Think beverages inspired by the flavors of China and Peru or Italy and Morocco.

Healthy Biome ADM research finds that 58% of global consumers are aware of the potential benefits that bacteria in the digestive system can have on their overall health. Probiotics, prebiotics and postbiotics for microbiome support are often found in beverages as well as nutritional supplements. We expect to see gut-friendly biotics in sports beverages, yogurt drinks and other challenging formulations as more postbiotics enter the marketplace. Postbiotics contain non-viable microorganisms that can retain stability despite harsh processing conditions, unlocking opportunity in a variety of applications. Plus, fermented beverages like kombucha, kefir, ginger beer and probiotic lemonade are increasingly popular.

Alcohol Free Perhaps the hottest trend of 2022 is no/low alcohol. It should come as little surprise that when you remove the “spirit” from a spirit (or wine, beer, or cocktail) you also remove a significant portion of the original sensory profile. To meet consumer expectations, alcohol flavors need to deliver the complexity, body, and mouthfeel of a traditional alcohol-based drink. We have seen increased demand for flavors like champagne, gin, rum, bourbon, and tequila. While most of the interest in alcohol flavors has been to support the alcohol and alcohol alternative categories, we expect these flavors to gain traction in other beverages too, such as coffee, plant milk, and hydration formulations.

Hispanic Heritage LatinX flavors have been growing organically in popularity for decades, but in 2022 authentic and traditional Hispanic flavors will finally come mainstream. Interest amongst younger consumers in culture, heritage, and authenticity are bringing flavors like cinnamon horchata, mango chamoy, and tamarind lime to center stage. We are excited to see these flavors gain steam in the beverage industry, especially in categories where they are underrepresented, such as alcohol and energy drinks.

TASTES OF TOMORROW

ADM

55


Why the RTD Coffee Set is Getting More Competitive By Brad Avery

56 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022


Ready-to-drink coffee is among the fastest growing categories in beverage, with dollar sales up 20.1% in retail channels in 2021 to $3.4 billion, according to NielsenIQ, and growing 35.4% on a two-year stack basis. Bottled java is now outpacing the (still significantly larger) energy space on shelf and, as consumers increasingly stock multiserve cold brew in their fridges and grab canned lattes from their local convenience stores on the go, many of the smaller players are feeling the lift from that good ol’ rising tide. But even with a large array of brands growing their share of the space, Starbucks is still the leviathan of RTD coffee, with dollar sales up 11% last year to $2.4 billion, per NielsenIQ. The second largest player, Danone’s STOK, accounted for a relatively smaller $331 million. For years the Seattle icon has been steadily bleeding market share to the crop of emerging brands that have redefined the space over the past decade, and its growth is decelerating further (sales were up just 1.1% in the 12-weeks ending January 1) while its rivals differentiate through flavor, texture, and functional innovations. STOK might be a fraction of Starbucks’ size, but the brand was up 36.8% in 2021. Meanwhile, competing conglomerate Coca-

Cola (Dunkin’, McCafe) rose 62.7% and independent brand Califia Farms reported coffee sales up 21.1%. That’s to say nothing of the emergence of brands like Super Coffee and La Colombe (up 45% in MULO and convenience last year, according to the company) which have fueled their nationwide expansion through DSD partnerships with beer giants Anheuser-Busch InBev and Molson Coors Beverage Company, respectively, who are looking to make up for the decline in the beer category by diversifying into non-alc. Industry followers know the RTD coffee revolution has been long underway, but since the onset of the pandemic –which drove the expansion of the multiserve cold brew set for at home consumption – the space has further cemented itself in retail and consumers are becoming more familiar with a diversified set. However, with brands like Califia Farms, Super Coffee and La Colombe winning in the mainstream, there are also signs that a shakeout in the category is now underway. According to SPINS data for MULO and convenience, as of December 26 there were 326 active coffee brands (excluding private label) in the market, down from 350 in 2020 and a peak of 357 in 2019.

57


Jim Watson, senior beverage analyst for Rabobank, told BevNET that although the category’s sales are strong, the category is more established and the glitz has worn off, meaning retailers aren’t necessarily allotting additional shelf space at the rate they were several years ago. As well, dedicated coffee brands large and small are also now fighting for placements with established companies who decide to launch coffee line extensions (see Chobani’s multiserve cold brew line, for one example). “I think one of the biggest challenges, especially for the smaller players, is that the big players know that they can introduce a lot of new flavors, they can add nitro, functionality, all the different things that you can do, and take up a lot of space,” Watson said. “And I think retailers are happy to give it a little extra space, but I mean, it’s no longer that ready-to-drink coffee is outgrowing the market in a significant way. So, they’re really not going to be getting more than compared to the first couple of years of the category.”

NEW OPPORTUNITIES EMERGE While Starbucks may have plenty of share to spare for startups to get in the door, it’s primarily the large players and the brands that align with them who are making the biggest gains. But the door is by no means closed for independent companies to win in the set, particularly if they’re positioned to take advantage of the uncertainty within the category and able to provide meaningful differentiation. Grant Gyesky, co-founder and CEO of nitro cold brew coffee brand RISE Brewing Co., said he has seen the shakeout occurring in the set and that it has been accelerated by supply disruptions. Out-of-stocks from smaller companies have led some retail buyers to seek out coffee brands with more fortified supply chains to fill empty shelf space, he noted, which is now benefitting the established brands and forcing many of those small players out of the market entirely. For RISE, the company has worked with its co-packers and ingredients suppliers since the beginning of the pandemic to ensure stable inventory and consistent fulfillment, and that has positioned the brand to maintain high levels of growth without a distribution deal with a major strategic partner. “I think the challenges from the pandemic and supply chain

58 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

issues have made it more difficult for new brands to enter into the space,” Gyesky said. “And that certainly benefits the brands that have established themselves and gotten national distribution and have the supply chains in place. So it will also be interesting to see how far that trend goes and what the set looks like a year from now or two years from now if there’s a continued high water mark that brands need to get over in order to stay in the category.” When RISE was founded in 2014, the brand differentiated itself as one of the first nitro cold brew makers on the market. Now, in an environment where Starbucks has its own nitro line and consumers are more familiar with the concept, RISE has focused on innovation in plant-based oat milk lattes and multiserve formats to help draw in new consumers. According to Gyesky, the company is currently producing a new 12 oz. slim can line to drive an expansion in the convenience channel, while the multiserve products are finding placement in conventional grocery. The pitch that many coffee brands made early on that consumers would adopt black cold brew as an alternative to sugary energy drinks has not entirely panned out yet. Starbucks’ Frappuccino (over $1.3 billion in sales per IRI) and Double Shot remain the number one and two best selling lines in the space and Java Monster is a not too distant third. But where indulgence will continue to play a significant role, health and functionality are also places for companies to differentiate. La Colombe EVP Kyle O’Brien said he’s seen retailers beginning to “clean up” the category, particularly in regards to differentiating between the cold case and the dry shelf. As consumers “basically know what they want” from their coffee, the shakeout in the set is expected and the company is now focused on continuing to expand its presence throughout the store, whether that be its beans in the dry shelf, multiserve cold brew in refrigerated and single serve lattes in grab-and-go sections. “There’s been a lot of ready-to-drink [coffee products] that have come out, and they’re just going to throw everything and anything at the shelf. It’s taken a while for the retailers to figure out ‘Okay, how does this [set] need to look?’ What should be in the dry aisle, what should be in the refrigerated aisle? And, you know, we need to help them figure that out, and they’ve been great in terms of doing just that.” At Super Coffee, co-founder and CEO Jimmy DeCicco has made health and wellness a key trait of the brand and most recently launched an industry action group, Alliance to Control Excessive Sugar (ACES), to promote better-for-you food and beverage options. He noted that to succeed in the mainstream today, brands entering the space likely need to be both flavorful and functional, noting that “functional” could mean anything from added protein to plant-based. But perhaps more importantly, they also need to be able to draw in new consumers who aren’t already coffee drinkers. “A buyer only has such limited space, right? They have four feet and they need that shelf to generate so much revenue. So if they’re generating $1,000 from Starbucks alone, and this next brand comes in and says, ‘Hey, we generate $500 a month



and we steal so much business from Starbucks,’ that buyer doesn’t really care because they were already getting $1,000 from Starbucks. They don’t need that $500, they need $500 from people who don’t drink Starbucks, and that’s where function is so critical.” DeCicco said that Super Coffee, whose product portfolio includes coffees with added MCT oil and L-theanine, has largely brought protein shake and energy drink consumers into the coffee set by providing a cleaner label alternative to those products. The brand, which signed a master distribution agreement with AB InBev in 2020, has been one of the largest drivers for incremental dollar sales in coffee over the past year and has focused on growing its presence in grocery and convenience. However, even as a health focus fuels expansion, DeCicco said the move away from sugar is still slow rolling. “Health is here to stay, function is here to stay,” he said. “Flavor is not going anywhere anytime soon, meaning people are still going to drink Starbucks and Monster despite the sugar and calories, because it tastes good. I think we’re probably, I don’t know, maybe five years away from the seismic shift of recognition that ‘Just because it tastes good, doesn’t mean I should buy it.’”

NEW WAYS IN TO THE SET

It may be a lofty challenge for a new brand to establish itself in the RTD coffee category today, but there is one significant new entrant emerging as a potentially significant player: Black Rifle Coffee Company. The Utah-based brand, founded in 2014, launched a ready-to-drink line of iced coffees in 2020 and is now among the fastest growing 60 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

in the category. The brand’s RTD products rose 1,602% to $32.1 million in MULO and convenience sales in the 52-weeks ending October 3, according to IRI, positioning it below Super Coffee but above brands like Peet’s and International Delight. In November, Black Rifle was acquired by SilverBox Engaged Merger Corp I, a SPAC that is now in the process of taking the company public at a valuation of $1.7 billion. The company will receive $225 million in the deal, which will support its growth as it expands both its cafe chain nationwide and its RTD line. According to the company, total revenue between 2019 and 2020 grew 100% to $164 million, driven by direct-toconsumer sales. “The proposed business combination with SilverBox Engaged Merger Corp I (NASDAQ: SBEA) will provide significant resources to expand our primary mission,” Black Rifle co-CEO Tom Davin told BevNET in an email. “[Black Rifle] will accelerate the implementation of our omnichannel strategy and support continued rapid growth across all of our formats, which RTD is certainly a primary focus. This will provide the capital Black Rifle needs to expand growth, serve great coffee, and move us closer to our goal of hiring 10,000 Veterans.” Black Rifle’s sudden rise in retail is primarily a translation of their success building the brand online and via on-premise, Watson noted, and their credibility in other channels helped set the stage for quadruple digit growth barely one year after launch. The company can point to high caffeine and premium quality as the reasons for its success in retail, but it’s also succeeded in large part due to its branding. Black Rifle has not shied away from partisan politics, and established a strong conservative consumer base in 2017 when it announced its plan to hire 10,000 veterans in response to a pledge by Starbucks to hire 10,000 refugees. Political associations have often sparked controversy -- Black Rifle has grown cautious to temper those associations amidst its expansion -- but its strong branding attracted a large, loyal American consumer base seeking an alternative to Starbucks’ corporate identity. Looking ahead, Starbucks’ status as the coffee category leader is not in any immediate danger. But as consumers seek out more from their coffee, a diverse set of established brands will continue to seize their piece of the pie. Gyesky said that while Starbucks may still be over 50% of the category, he thinks the shift will come sooner than later. “I think the opportunity now for the brands that have established themselves and have grown and found themselves in the majority of retailers is to begin attracting the consumers that no longer want to be owned by Starbucks,” he said “And I think we’re all there’s a lot of opportunity for all of us to be successful in trying to attract that consumer and that’s going to begin to get reflected in the sets over the coming years. Starbucks won’t own 50% of the ready to drink coffee space in two years.”



BRAND NEWS COFFEE/COLD BREWS

Led by creative agency Wonderkind, Jibby’s craft coffee with CBD unveiled its new packaging refresh alongside an illustration of its whimsical brand mascot, Mr. Jibby. The new look comes after a successful preseed raise and will help solidify the brand within the CBD category as it continues expansion throughout Florida and NYC, the company said. Coffee maker Projo* has gone from bottles to bags with the launch of its new instant Projo* packets. The grab-and-go format maintains Projo*’s key attribute – to provide energy without any crash – with the brand’s flagship use of pure egg white protein and monk fruit extract in a proprietary coffee blend. Projo* instant packets are available online in Cacao, Cinnamon, and Original flavors. MADE Coffee has unveiled its newest innovation: Cold Brew Con Leche. The new product is cold brew forward, contains 100 calories and is made with specialty coffee, real cane sugar and milk. Con Leche is available at Publix Supermarkets and Whole Foods as well as online for home delivery and via subscriptions on the brand’s website. Explorer Cold Brew - known for offering cold brew concentrates in four caffeine levels - has launched a 16 oz. format of its concentrate. The coffee is “super concentrated,” and makes a full cup with only 1 to 2 oz., depending on the consumer’s preference. The new large format concentrate makes the equivalent of 10 cups and comes in the brand’s four signature caffeine levels: No Caf, Low Caf, Reg Caf, and Extra Caf. All Explorer coffee products are organic, fair trade and made with a proprietary process that allows it to be shelf-stable for up to a year. Austin-based Daysmith Coffee+ recently made its debut with a line of functional, vitamin-infused, low-sugar, ready-to-drink coffees. Designed for energy, focus, and immunity support, Daysmith offers three varieties: Focus Vanilla Oat Milk Latte, Immunity Mocha Oat Milk Latte and Multi Straight Black Coffee Brew. Each coffee is packaged in 7.5 oz. cans and is available in single flavor and variety 12-packs online and at select Austin-area retailers for $48.00. 62 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Sir Owlverick’s announced that its Original Cold Brew and Maple Cold Brew bottled coffees have been awarded an USDA Organic Certification by BioAgriCert. The brand said this announcement has reaffirmed its commitment to the premium taste and smooth coffee flavor that are firmly rooted in its original company pledge to “always value taste, quality, and authenticity,” now verified with the USDA label. Combining caffeine and the energy of nootropic L-Theanine, REBBL Stacked Coffee launched at Whole Foods stores nationwide. Layered with oat milk, Reishi, Lion’s Mane and MCTs, Stacked Coffee provides immune support and comes in four flavors: Cafe Mocha, Vanilla Latte, Hazelnut Latte and Straight Black. The coffees are certified organic, certified Fair Trade, non-GMO, dairy-free, soy-free, gluten-free and made without cane sugar or artificial flavors. REBBL Stacked Coffees come in 100% recycled and recyclable plastic bottles. ‘Jitter-less’ coffee maker Quokka Brew unveiled its newest SKU, Chocolate Cereal Milk Latte. The company said the liquid is best described as the milk left at the bottom of a bowl of chocolate cereal combined with cold brew coffee. Each Cereal Milk Latte is vegan-friendly, organic and contains 60 calories, 135 mg of caffeine and 5 grams of sugar. Cold brew coffee maker Volant Coffee has launched its 32 oz. Cold Brew Concentrates in Original Black and Toasted Coconut flavors nationwide at Sprouts Farmers Market. The concentrates are available in 12 oz. glass bottles and the brand also makes Classic Vanilla and Wild Blueberry flavors. B Sweet Beverage Co.’s Nitro cans have returned to SoPac Whole Foods shelves with a new shelf-stable formula and refreshed branding. The company has made its return with its original four SKUs – Nitro Cold Brew Coffee, Nitro Matcha Green Tea, Nitro Hibiscus Tea and Nitro Thai Tea with Oat Milk – and will be announcing a new flavor at Expo West 2022. All of the beverages are vegan/dairy free, low or no calorie, keto-friendly and available in 8.4 oz. cans.


Altitude Beverages is excited to announce the addition of Matcha and Chai to its Everything Latte line of superfood oat milk lattes. Building on the success of its Coffee latte, Matcha and Chai will provide the same functional blend of CBD and adaptogens for relaxation support. Groundwork Coffee, one of the first certified organic coffee roasters in Southern California, debuted its brand refresh that reflects a down-to-earth attitude, eco-friendly practices and community-driven approach. This year it will showcase the new look on its line of ready-to-drink cold brews and add a new variety, Angel City Organic Nitro Cold Brew, inspired by its bestselling light roast signature blend. Arizona-based Press Coffee is made in a state-of-the-art facility with natural Brazilian beans that result in the perfect balance of flavors, with tasting notes of chocolate and peanut butter. Press has been making cold brew since 2011 and recently rolled out its Nitro Cold Brew can. Vietnamese Cold Brew Coffee maker Omni Bev entered the bean segment with its premium roasted coffee beans, grown sustainably on multi-generational family estate farms in the Central Highlands of Da Lat, Vietnam. The company also reformulated its Black Cold Brew coffee with a proprietary blend that offers a unique, premium and robust taste with zero calories. Keto-friendly. Omni beverages are available in over 2,500 locations across 38 U.S. states. Big Watt Beverage Co. announced a new look along with new flavors, functionality and products. The company unveiled its re-imagined logo and brand expression spanning across its product line of clean label, plant-based beverages. Additionally it will begin to roll out its new non-dairy, plant-based Oat Milk Latte, made with responsibly sourced coffee beans and featuring an adaptogen boost. La Colombe introduced its 42 oz. Extra Bold Cold Brew last summer. The singleorigin, fully washed and sun-dried coffee beans are sourced from Brazil and high-

light the naturally bold and nutty flavors of Brazilian coffee. The new product is sugar free, dairy-free, non-GMO, glutenfree and vegan, and contains 275 mg of caffeine per 12 oz. serving Based in Costa Rica, Pura Coco is a new RTD cold brew coffee made with coconut water in the brewing process, resulting in a sweet taste with no added sugars. The company works directly with coffee and coconut farmers in Costa Rica to ensure fair trade practices and its facility is powered by 100% renewable energy. Sunup Pure Green Coffee has earned USDA Organic certification and through distribution partner UNFI is now offered in four regions of Whole Foods Market. Cuvée Coffee launched a shelf-stable cold brew concentrate made from smallbatch roasted, 100% Arabica beans. The cold brew comes in a refrigerator-friendly, 36 oz. fridge pack and contains zero sugar and 7 calories. The beverage can be made into a traditional strength coffee by mixing 6 oz. of concentrate with 6 oz. of water, or to make a latte with 1-2 oz. of concentrate to 8-10 oz. of milk. Functional coffee brand Super Coffee has introduced its Tasty Pastry lineup in three flavors: Cinnamon Roll, Blueberry Muffin and Caramel Waffle. LaDiDa has introduced its latest flavor: Oat Milk Coffee Latte with hemp CBD. The clean coffee beverage contains sunflower oil and hemp extract and does not contain any added sugar or sweeteners. The beverages are available online and at select retailers in Los Angeles and New York City. Madrinas Coffee has a new look, feel and online experience. The new branding tells the story of delivering great flavor-forward coffee to coffee drinkers worldwide: from fresh roasted Whole Bean Coffee to Cold Brew to their Green Coffee Fueler. Madrinas uses all natural ingredients and encourages consumers to choose #coffee4fuel and make the switch away from chemically charged energy drinks to all natural Madrinas Coffee. 63


The Recipe for Mixers

Trying to Stay on Course in a Sea of NA Options

By Martín Caballero

In

a press release introducing her new mixer brand Betty Buzz in September, actress Blake Lively neatly summed up the feeling amongst many curious consumers eager to explore the emerging world of zeroproof beverages: “Over the past many years of mixing but not drinking cocktails, it became clear mixers are the unsung heroes of the drink world and deserve just as much love as alcohol.” In general, that sounds like great news for brands and entrepreneurs in the mixers category: as has been well reported by now, Americans are increasingly thirsty for innovative and interesting no-and-low alcohol beverages, whether as part of a commitment to a completely booze-free lifestyle or just as a way to mix up their familiar drinking habits. According to a January report by market research fi rm Brightfi eld Group, 57% of wellness consumers claim to be drinking less alcohol than in the past; amongst that group, 47% wish there were more non-alcoholic options available on the market. Brands have been happy to provide that innovation, which has been manifested in everything from alcohol-free spirits to RTD bitters and soda. But with their own place in the beverage spectrum already 64 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

well defi ned, where do mixers fit on this new stage? With value to provide across either side of the alcohol divide means, there’s ample opportunity for further growth, but also added pressure to keep up with ingredient and fl avor trends as the traditional borders between categories continue to fall. With more brands and options available than ever before, Lively’s words feel particularly prescient: if a mixer doesn’t require alcohol, then what exactly makes it a mixer, instead of a non-alcoholic RTD cocktail? And how do they fit amongst the new names built around complex and sophisticated non-alcoholic mocktails — think brands like Lyre’s Spirit Co. and Casamara Club, or function-forward products like Kin Euphorics — even as established players are repositioning existing products as zero-proof options. It’s all an attempt to harness the trendline, of course: according to research from IWSR, zero-alcohol RTDs and spirits are both expected to grow volume around 14% CAGR through 2025. Brands have responded to the incursions by non-alcoholic drinks in various ways, including by simply continuing to push the envelope with interesting and on-trend new fl avor


innovations. This fall, Minnesota-based Mixly introduced three new SKUs (Pear Honey Vanilla Lime, Strawberry Pomegranate, and Rosemary Lemon Honey), while Milwaukee’s Top Note Tonic earned praise for the inaugural release in its Bartender Release series, Gentiana, marketed as “the fi rst aperitivo soda in the United States featuring French gentian root in 145 years.” Along with creative fl avors, mixer brands are also increasingly looking to align their products with on-trend health and wellness callouts. Navy Hill markets its line of “sonics” (a blend of club soda and tonic) as “the fi rst cocktail mixer with electrolytes for hydration,” while the likes of Zevia and Swoon have extended their respective zero-sugar/zero-calorie credentials to mixer products. The nascent RTD bitters and soda category is also a space where mixer and alcoholadjacent brands may fi nd more runway for growth. That approach has fueled expansion for the likes of Hella Cocktail Co. and Portland, Oregon-based The Bitter Housewife, which launched two new fl avors, Grapefruit and Cardamom, in its canned Bitters & Soda line over the past year.


And while brands like Q Mixers and Fever Tree (+42% in U.S. revenue through July 2021, with “very strong” off-premise sales) have continued to leverage their followings within bars and restaurants to expand in retail, they have also dropped their prices, potentially giving space for a new mainstream challenger brand to emerge. One such name is Owen’s Craft Mixers, which has generated momentum off the strength of a star-studded $7.5 million fundraising round in May (Darius Rucker, Mario Lemieux, Lee Brice) and its ongoing partnership with media powerhouse Barstool Sports. After successfully seeding the brand in on-premise channels — specifi cally golf courses and over 60 professional sports venues — the company has been able to leverage its growing awareness to offset COVID-related declines in those accounts by pushing further into grocery and drug stores, including at Kroger, CVS, Shaw’s and Food Lion. There’s also a new entrant in the form of Taffer’s Mixologist, a seven-SKU line of mixers from bar expert and TV host Jon Taffer But more prominently, while chief rival CocaCola has been dabbling in beverage alcohol with Molson Coors and Constellation Brands, Pepsi has taken a number of steps over the past 12 months to develop a long-term strategy around the mixer category. At the beginning of 2021, the soda giant soft launched its fi rst-ever mixer line, Neon Zebra, in four broadly accessible SKUs: Margarita, Strawberry Daiquiri, Mojito and Whiskey Sour. Born out of internal company research on consumers between the ages of 21-34, the brand has been supported by a summer ad campaign fronted by comedian and actor Billy Eichner. A second, premium line of mixers in 7 oz. glass 66 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

bottles, called Unmuddled, followed in September, entering natural grocery chain Fresh Thyme (and Amazon) in single-fl avor 4-packs priced at $6.19 each. Available in Fiery Pineapple, Spiced Mandarin and Lemon Mint, Unmuddled offers a different fl avor experience and nutritional profi le than Neon Zebra: 70 calories and 18 grams of sugar per serving, compared to 150 calories and 36 grams of sugar. Both feature juice and natural fl avors. Whether they’re mixers, mocktails, or straight up sodas are in the eye of the drinker, but it’s clear that Pepsi thinks there’s enough love to go around, as well. LIQUID COCKTAIL MIXES BRAND

DOLLAR SALES

CHANGE vs. YEAR EARLIER

Zing Zang

$53,300,359

-3.5%

Mr & Mrs T

$48,203,115

-12.3%

Master Of Mixes

$45,328,152

-12.5%

Jose Cuervo

$39,713,911

-14.5%

Angostura

$19,310,439

1.4%

Tres Agaves

$18,855,779

-9.4%

Roses

$16,895,155

8.0%

Q

$10,696,124

38.5% -6.0%

Goya

$10,590,771

Coco Lopez

$10,153,341

-7.7%

Private Label

$9,737,740

-4.5%

Stirrings

$7,521,502

-1.6%

Coco Real

$5,903,755

1.2%

Powell & Mahoney

$4,886,195

-21.9%

Cocktail Artist

$4,869,888

-18.4%

Dailys

$3,929,684

35.0%

Owens Craft Mixers

$3,320,564

117.9% 20.4%

Agalima

$3,278,273

Finest Call

$3,030,583

-11.1%

Charleston

$2,596,797

39.5%



BRAND NEWS MIXERS

Colorado-based all-natural cocktail mixer brand Freshies recently introduced a line of hemp CBD-infused versions of their signature recipes, including Margarita, Bloody Mary and Paloma. The range is currently available online and at retailers in Colorado as well as other select states. Root Elixirs has introduced a new Mix + Match 12-pack format for its craft cocktail mixers. Designed to be mixed with your favorite spirit and to take the stress out of entertaining, the new pack comes with everything needed to serve 20-25 guests, including garnishes. The set can be purchased on the brand’s website. American-made craft mixer brand Top Note introduced Gentiana, the first aperitivo soda in the United States featuring French gentian root. Gentiana is also the first product in Top Note’s new Bartender Release series, which will feature limited edition sparkling mixers reflecting contemporary flavor trends in the cocktail and spirit-free drinks industry, to be released once per year in limited quantities. The limited edition mixer is available online and through select alcohol beverage distributors in Illinois, Colorado, Alaska and Wisconsin, while supplies last. Hella Cocktail Co.’s Grapefruit Bitters & Soda is now available nationwide at Whole Foods Market stores. The Grapefruit Bitters & Soda flavor is unsweetened with notes of ripe grapefruit, allspice and bitter root. The liquid can be mixed with light wine and spirits or sipped on its own for a dynamic and adult zero-proof drinking experience. ‘Mix for Beer’ maker Miche Mix unveiled its new packaging featuring brighter colors and a modernized logo. The company also introduced sampler kits of its best selling michelada mixers and ready-toserve 100% recyclable michelada cups. Miche Mix’s flavors include Original, Original Spicy, Salt & Lime, MicheMoy and Spicy Tomato. The Bitter Housewife recently introduced the latest flavor in its Bitters & Soda line: 68 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Cardamom. Made with balanced bitter herbs, cinnamon and containing no sugar or calories, the drink can be consumed as a mocktail or used as a mixer. MONK officially launched its non-alcoholic craft cocktail line in California with the largest adult beverage distributor in the U.S.: Southern Glazer’s Wine and Spirits. The bottled cocktails include The Forager, The Troublemaker and The Outlaw and are all developed by a “master bartender” with real ingredients and innovative recipes. MONK will soon roll out nationwide in 4-packs via the brand’s website monkprovisions.com. The Backyard Soda Co has rebranded to Backyard Bev Co and has repositioned its ready-to-drink CBD beverages as sparkling cocktail mixers in an effort to better reflect a better representation of the product and brand. Alongside the rebrand, Backyard signed with Empire Distributors and began to roll out products in Nashville, Memphis, Chattanooga, Knoxville and Colorado. Sugar free beverage maker Swoon, a liquid which can double as mixers, recently launched its latest flavor - Ginger Lemonade. The brand’s latest canned beverage features ginger and packs health benefits such as reducing inflammation and common cold prevention, the company said. The Ginger Lemonade flavor is available at retailers nationwide and online in a 12-pack for $29.99 or $25.99 with a subscription. Cheeky has launched an Espresso Syrup for at-home Espresso Martini making. The coffee is sourced from Café Integral, a small batch coffee roaster in Brooklyn roasting seasonal Nicaraguan coffees, and made with cane sugar and gum arabic for sweetness and texture. The mix can be prepared with 1 oz. syrup to 2 oz. vodka. In 2021, Q Mixers saw significant sales growth with new national partnerships including Hilton Hotels, PF Chang’s and Red Lobster, alongside venues such as the Mercedes Superdome and San Vicente Bungalows. At retail, Q Mixers


launched Q Tropical Ginger Beer nationally at Kroger, among other retailers, while also bringing on actor/comedian Joel McHale as its “Chief Happy Hour Officer.” Powell & Mahoney Craft Cocktail Mixers has signed a distribution agreement with Republic National Distributing Company (RNDC) to expand its presence within Southern markets including Florida, Virginia, South Carolina and Georgia. The announcement comes on the heels of the brand’s successful national rollout at CVS Pharmacy. Owen’s Mixers will be rolling out a refreshed brand look in 2022. The company’s growth has been driven in large part by its partnership with Barstool Sports as the media brand’s Official Cocktail Mixer, as well as the Transfusion mixer, which is utilized at over 1,500 golf venues across the country, according to the company. BryteLife, a premium electrolyte seltzer designed to fight the effects of dehydration while consuming alcohol, will launch its new 12 oz. sleek can (available in a 4-pack format) this spring. Additionally, the manufacturer of BryteLife, The DrinkBryte Company, recently received approval on its patent for its proprietary process of infusing seltzer with large amounts of electrolytes without changing the flavor profile. Blending its Pacific Sea Salt Club Soda and Dry Citrus Tonic, Regatta’s new SoNic is positioned as a great tasting, lowsugar tonic alternative. Like all of the brand’s products, So-Nic is all natural, non-GMO, made with pure cane sugar and packaged in sustainable cans. Navy Hill has built upon its existing presence at Whole Foods, The Fresh Market, Publix and Central Market by adding grocery retailers such as Wegmans, Stop & Shop, Harris Teeter and Lowes Foods. Additionally, the brand expanded its online presence on Amazon, walmart. com and faire.com and launched two new flavors: Sparkling Blood Orange and Grapefruit Club Soda. 69


Pricing, Problems, and Potential: A Look at RTD Packaging by Beth Demmon

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hen choosing what beverage alcohol product to drink, components like base spirit, flavor, and nutritional information are some of the primary factors that guide individual decision-making. Will it be wine, beer, spirits, hard seltzer, or something else? It is time for something tropical, or would floral notes satisfy? However, there’s one overlooked trait that may influence one’s choice more heavily than many realize: the packaging. According to a 2017 Mintel report, “Two thirds of alcohol buyers pay attention to packaging,” meaning it remains one of the fastest ways to communicate value, uniqueness, and product information with potential consumers. And while consumers have the ability to choose what products they purchase, the decision of what to package said products in happens long before it hits the shelves. Producers across all beverage alcohol segments have to pick between a relatively small menu of standard options: aluminum cans, glass bottles, or, in rarer instances, less common alternatives like the bag-in-abox option popularized by boxed wine. So what value propositions do producers take into consideration when selecting packaging? Aspects like up-front cost, sustainability, regulatory limitations, and supply chain availability all come into play. And things can change quickly, something that Mark Anderson, founder and CEO of 70 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022


Drake’s Organic Spirits knows first-hand. “White Claw and Truly will sell approximately 10 billion cans alone in 2021,” he estimates. Both brands launched in 2016, and with those two companies alone now accounting for an estimated three-quarters of the entire hard seltzer industry, beverage brands producing less volume may face challenges when entering such a competitive supply chain. Balancing standard on-premise shelf measurements while offering eye-catching packaging that’s both affordable and consistently acquirable is not always easy.

unlike glass, which is often not allowed on beaches, boats and other outdoor areas where it could break.” Considering the flexibility canned RTDs tend to offer, this is one scenario where packaging may outrank other components in importance to consumers, especially those looking for convenience. “Convenience has always been a key consideration for beverage alcohol packaging. Today, it’s a must-have,” reports packaging experts Fres-co. “[I]t’s a key driver behind the success of ready-to-drink cocktails in flexible liquor pouches.”

The Current State of RTD Packaging

Drake’s is one company chasing convenience as well as eco-consciousness, opting for pre-mixed boxed cocktails (or “boxtails”) as their featured RTD offering. “Boxtails substantially reduces the amount of cans going to landfills by utilizing 1.75 liter boxed wine format with recycled corrugate,” says Anderson. “With only 20%-30% of cans recycled, more than 8 billion seltzer cans are heading to the landfills this year.” Other companies outside the RTD space, like U.K.-based Sustainable Spirit Company and U.S.-based Holla Spirits, also rely on bag-in-a-box packaging for sustainability reasons. IWSR reports Sustainable Spirit Company claims its 2.8-liter “eco pouch” reduces packaging by 95%, while Holla also espouses an 80% lower carbon footprint than a glassbottled equivalent. While Drake’s does use glass bottles for multi-serve spirits like their Spiced Rum or Premium Vodka, Anderson says the decision to eschew bottles and cans for their ready-to-drinks was due both as a way to stand out from the increasingly crowded segment, as well as a way to promote

One look at retailers like BevMo or Drizly and it’s clear the vast majority of readyto-drinks (RTDs) opt for the industry standards of cans or bottles. Bottles are more likely to be used for multi-serve RTDs for their ability to be re-sealed for future enjoyment and completion, while cans tend to be favored for single-serve due to their convenience and comparatively less breakable form. Of the first 24 selections under Drizly’s “Ready To Drink” category, 18 are single-serve cans with the remaining six all falling under the multi-serve category in glass or plastic bottles. Geography and specific consumer demographics also affect brands’ packaging decisions. “I decided on aluminum cans not just for efficiency, but also because they are perfect for island living and summer activities,” explains founder and CEO of Fishers Island Lemonade, Bronya Shillo. The seaside brand primarily caters to drinkers enjoying the outdoors or on-the-go, often to destinations where glass is prohibited. “Cans have the benefit of being durable,

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sustainability through every step of their process. As a company who touts a mission of creating “great-tasting spirits produced with the healthiest and most sustainable ingredients while giving back to this planet,” adding cans to the pile of trash or recycling didn’t line up with Drake’s ethos. “The seltzer companies are shipping truckloads of empty cans to the bottling plants, filling, then trucking filled cans to distributor/retailer. Boxtails are made of recycled corrugate that ship flat to our bottling plant, filled and shipped to distributor/retailer,” says Anderson. “It only takes one semi of boxtails to equal the volume of nine truck loads of seltzer cans.” It’s not an apples-to-apples comparison, however. Drake’s boxtails contain up to 14 cocktails per 1.75L package, which he claims can remain shelf-stable at room temperature for up to a year after it has been opened. A single-serving RTD in a can, especially one that’s heavily carbonated, starts losing its fizz upon opening, but is meant for immediate consumption in its entirety. Regardless of shelf life, sustainability in both product and packaging is only becoming more important to consumers.

What's Working (and What's Not) Having the luxury of choice regarding packaging isn’t always possible, especially for small makers who lack the volume ordering capabilities of global conglomerates. COVID-19 disrupted virtually every aspect of human existence, and the global supply chain was—and remains—far from exempt from the ensuing chaos. For months, story after story after story of the challenges beverage alcohol makers are facing have dominated headlines, and while the industry has adjusted somewhat to the new normal, allowances made during the pandemic to ensure producers’ survival has left some wondering what the future holds. “The three-tier system is a challenge, to say the least,” admits Anderson. When onpremise sales plummeted in 2020, the new top outlet—off-premise—meant far less alcohol was heading to bars and restaurants, relegated instead to packaged takeaways from retailers. That shift to off-premise and online sales is expected to continue: Drizly’s 2021 Consumer Report cites that 53% of those surveyed “anticipate more of their alcohol purchases will be made online in the next year compared to during the pandemic,” with 33% expecting to order about the same amount as they did during 72 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

the pandemic. With these increased demands for relaxed restrictions on direct-to-consumer alcohol sales, as well as the United States’ pandemic-inspired spike in online ordering for off-premise consumption, the current three-tier system’s hold on the RTD industry (and beverage alcohol at large) may weaken. Nielsen data also charts anticipated consumer purchasing habits that will affect RTD packaging decision-making in the years to come, thanks to the pandemic’s lingering influence. “Beyond the influx of omnichannel buyers on the scene, many consumers are trading up to larger pack sizes in their off-premises purchases,” going on to cite huge increases in large variety packs sales, especially for wine and spirits. “For spirits purchased on-premises via takeout orders, 37% of Americans indicate a preference for 200mL bottles, while 36% prefer ready-to-drink cans of spirits,” the report explains. “[T]here are clear differences between the package size preferences of today’s on-premises alcohol buyers.” Drake’s has been able to weather supply chain interruptions, thanks to their unique packaging choices. “We have not had supply interruptions, nor do we expect any due to how we structured our production and supply chain,” says Anderson. The organic spirits company can fill up to 12 million cases of spirits without stretching their packaging suppliers: a handy safeguard during the pandemic’s peak and beyond.

The Future Of RTD Packaging Now that COVID-19 has shifted consumers to more online and off-premise sales, the progression of packaging options towards larger variety packs of single-serving RTDs is likely here to stay. The Nielsen report cited above says that: “Large-format alcohol packages are growing in popularity… Doubling down on hard beverages [like RTDs] can drive sustained growth in these challenging times.” U.S.-based Packaging Strategies also advises RTD producers to evaluate their packaging to evolve with the changing purchasing channels. “According to a Nielsen study, while in-store alcohol sales saw a bump of 21%, online sales experienced a 234% increase during 2020. This translated into greater demand for larger pack sizes and e-commerce friendly packaging,” they report. “Brands should consider the behavior of their target audience — whether they are likely to stay home or embrace reopening — and

identify a packaging partner who understands the nuance of specific channel needs.” Anderson adds to the advice: “Look for sustainable, unique options that extend shelf life and flexibility,” he suggests. This should extend not just to the individual drinks, but outer packaging and all other supplemental packaging material. ISWR agrees, especially regarding the growing importance of sustainability across all fronts. “Across almost every category, sustainability has become an important consideration within beer, wine and spirits, and is having an impact on everything from production methods to ingredient sourcing. And while environmental considerations aren’t new to the industry, there’s never been a time when they have been quite as important.” As online ordering continues to increase in popularity, pouches may become more common, thanks to being comparatively underused currently as well as their above-average sustainability score. “Liquid pouch packaging is especially suited to e-commerce, making it a popular choice for beverage makers looking to expand their reach online,” says Fres-Co. “With off-premise alcohol consumption outpacing on-premise consumption, at least in the short term, packaging will take more of a front-and-center role.” As buyers continue to seek out earthfriendly products and packaging, as well as convenience and value, RTD producers would do well to evaluate their current packaging plans to minimize supply chain interruptions as well as meet evolving consumer demand.




RTD ALCOHOL BEVERAGE GUIDE • 2022

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BRAND LISTINGS SLIQ Spirited Ice - An Assorted Portfolio of Premium Frozen Cocktails 21 Holdings LLC

Grisly’s Cosmic Black Aged Bourbon and Gourmet Cola RTD Cocktail Black Yeti Beverage

Bang Hard Seltzer

Hard Cider Meets RTD: Introducing Paloma! Blake’s Hard Cider

BuzzBallz Ready-to-Drink Cocktails Bang Energy

BuzzBallz/Southern Champion

Bang Hard Seltzer is a brilliant innovation by the makers of Bang Energy. It is sugarfree, contains 5% alcohol, 100 calories, and key electrolytes. Bang Hard Seltzer comes in 4 flavors: Frosé Rosé, Purple Kiddles, Piña Colada, and Strawberry Blast.

Hard Seltzer Based Cocktails, Y'all!

BuzzBallz ready-todrink cocktails are made with premium spirits or wine and real fruit juices and creams. Available in a variety of flavors, the 15% ABV cocktails are gluten-free, contain no corn syrup, and are Kosher certified.

Uptown Cocktails Ready to Drink and Ready to Share

Big Country Beverage Hang on to your hats and enjoy the ride as you drink these hard seltzer-based canned cocktails made with organic alcohol, flavors and Texas spirit! Crafted with hibiscus, ginger, lime and botanicals. Fair trade | 0g Sugar | 90 calories | 4.5% ABV

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BuzzBallz/Southern Champion Uptown Cocktails are a vibrant and sophisticated blend of wine and natural ingredients - no corn syrup, no artificial flavors. Available in a variety of flavors and sizes, ready-to-drink cocktails are expertly mixed and are 13.9% ABV.


BRAND LISTINGS Stevia-Free Hard Seltzer from Wrestling Superstar Goldberg Bravago Bold Seltzer

CANTEEN Especial Tequila Soda CANTEEN Spirits

Lead with buzzbox premium cocktails buzzbox premium cocktails, inc

CANTEEN Gin Spritz CANTEEN Spirits

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BRAND LISTINGS CANTEEN Vodka Soda CANTEEN Spirits

Dashfire Bourbon Cold Brew Hard Coffee

Drunk Fruit: Asian-inspired hard seltzers Drunk Fruit

Drake's Organic Spirits Presents: Perfect Margarita BOXTAIL

Dashfire

Drake's Organic Spirits

We think Cold Brew is best enjoyed black, but that doesn't mean we can't have a little fun. This Cold Brew has Bourbon, a hint of sugar, and coffee carefully roasted to bring out all the richness the bean can offer and the caffeine level you expect.

Each BOXTAIL contains 14 perfectly pre-mixed cocktails handcrafted with organic fruit juice and extracts at 12% ABV. Our Perfect Margarita includes a combination of Drake's Organic Tequila, triple sec liqueur, fresh lime juice, and citrus juice.

Dashfire Rye & Ginger Old Fashioned

Fishers Island Lemonade Award-Winning Craft Cocktails Fishers Island Lemonade

Drake's Organic Spirits Presents: Minted Mojito BOXTAIL

Dashfire

Drake's Organic Spirits

At Dashfire, we think that one Old Fashioned just isn't enough. Our Rye Old Fashioned has notes of ginger combined with spicy Rye Whiskey. It's elegant and sophisticated familiar but different than the rest.

Each BOXTAIL contains 14 perfectly pre-mixed cocktails handcrafted with organic fruit juice and extracts at 12% ABV. Our Minted Mojito BOXTAIL is the perfect refreshing combo of mint, lime, and pure cane sugar for a great craft cocktail in a box.

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Launched in 2014 by female-founder Bronya Shillo, Fishers Island Lemonade was inspired by the signature house cocktail, the “FIL,” served for decades at The Pequot Inn, which Bronya’s family owned and operated on Fishers Island, NY. It was there, that while working as a bartender, Bronya had the visionary idea to package the Fishers Island Lemonade cocktail in a can, allowing fans to take the delicious and distinctly flavorful cocktail with them to best enjoy in their happy place, wherever that may be. All-natural ingredients, premium vodka and barrel-aged whiskey are the base for the full-flavor family of craft lemonade cocktails, which now include Fishers Island Lemonade Original (9% ABV), Fishers Spiked Tea (7% ABV), Fishers Pink Flamingo (7% ABV), Fishers Fizz (5% ABV) and Fishers Island Spirit Pops (7% ABV). Fishers Island Lemonade is gluten-free and recognized as the leading craft lemonade canned cocktail brand, winning dozens of gold medal awards for its one-of-a-kind taste profile and commitment to high quality ingredients. Fishers Island Lemonade has been equally committed to giving back to the community with several philanthropic efforts since the brand’s inception. To learn more visit www.filemonade.com, and follow along on Instagram @filemonade.



BRAND LISTINGS Where Craft Seltzer Meets Purpose Good Dogg Beverage Company

Howie’s Spiked Alc-A-Chino - Vodka Spiked Ultra Premium Coffee Lattes Howie’s Spiked

Good Dogg Beverage Company launched our purpose driven brand with four (4) craft hard seltzers to market in 2021, creating a buzz in the northeast. We focused on our crafted flavor forward approach- it’s all about the flavor! We feature a variety pack of Black Cherry, Orange Mango, Cucumber Lime, and Dragonfruit. Each flavor consists of 0 Carbs, 0 Sugar, 90 Calories, and 4.5% ABV, all in 12 oz tall slim cans. Good Dogg is founded on being a purpose driven brand by creating our Leverage the Beverage™ Program. A portion of every case sold goes to help pairing children with rare diseases to service dogs. We also use this program to support no-kill animal shelters to help cover the expenses to bring in, treat and provide a good home to rescue dogs. We are making a difference in the lives of others today, and that is woven into the fabric that makes up the culture of the Good Dogg Beverage Company. So welcome to the pack and help us Leverage the Beverage™! For inquiries please contact Andrew Parry at aparry@gooddoggbeverage.com. For more information visit www.gooddoggbeverage.com. Howie’s Spiked Cherries - Alcohol Infused Maraschino Cherries Howie’s Spiked

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Introducing JuneShine Canned Cocktails JuneShine



BRAND LISTINGS New Spirit-based RTD La Dolce Vita Beverage

Liquid Fables Canned Cocktails, New York's First Farm Blendery

The first Asian-American craft hard seltzer born & raised here in USA Lunar Hard Seltzer

Passion Tree - The First Lightly Carbonated Hard Seltzer

Liquid Fables Canned Cocktails

Passion Tree Hard Seltzer

At Liquid Fables we have a passion for crafting farm-fresh cocktails made with NYS distilled spirits. We are pioneering the revolution in the craft of blending and are innovating cocktails based on our pilot system in our tasting room.

Brewed in San Diego by three young passionate founders who are disrupting the market one sip at a time. Passion Tree seltzers are lightly carbonated, infused with 100% natural exotic fruit flavors, 5.5% ABV and for every case sold one tree is planted

Mad Lemon Introduces Craft Lemonade Cocktails

Small can, big momentum. Right-sized cocktails disrupting the category

Mad Lemon The worlds favorite beverage just got brighter. Mad Lemon is the best RTD Lemonade Cocktail you will ever taste. We craft our premium cocktails using fresh lemon juice, pure maple syrup, clean spirits and signature blends of fruits and herbs.

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Post Meridiem Cocktails Post Meridiem is the first line of 100ml canned cocktails in the US. We’re elevating the RTD category via authenticity; real ingredients, proper proportions & full strength. Most notably, we use 100% real lime juice. No Natural or Artificial flavors.

Masq Hard Tea - Hard Organic Yerba Mate with Adaptogens Masq Hard Tea


BRAND LISTINGS Mighty Swell’s “Keep It Weird” Variety Pack Mighty Swell Spiked Seltzer

Canned Brunch Cocktails, by Picnic Brunch Picnic Brunch

Ole Smoky Distillery Canned Cocktails Ole Smoky Distillery

*BRAND NEW* Buena Fé Organic Tequila Quenchers Pure Brands Co.

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BRAND LISTINGS Introducing AgaVida, a Unique Low-Alcohol Wine Made from Agave Rancho La Gloria

MPL Brand’s Rancho La Gloria has become a category leader in agave-based products since its launch in 2010. Over a decade later, the brand is expanding its portfolio in 2022 with a new product line: AgaVida, a subtly sweet, slightly effervescent wine made from premium agave and infused with natural fruit flavors. Fermented from 100% Blue Agave and sweetened with a hint of organic Blue Agave nectar, AgaVida is then elevated with the infusion of a variety of premium fruits, resulting in a light and refreshing agave-based table wine. At 5% ABV with only 80 calories per serving, AgaVida is an easy to drink alcoholic beverage that can be enjoyed chilled, on the rocks or as a mixer in four different flavors:

Reed's Zero Sugar Craft Ginger Mule: RTD Mule with a REAL Ginger Kick

Salt Point Premium Canned Cocktails

Reed's Inc

Salt Point

America's #1 Ginger Beer, is now packing it's REAL, fresh ginger into an RTD Mule. The Zero Sugar Classic Mule has 7% ABV, no artificial colors, no gluten and GMOS and is keto certified. Get a REAL Ginger Kick and reach for REAL, it's always better!

Salt Point’s premium canned cocktails are made with real spirits at 10% alc/vol, no artificial preservatives using fruits & vegetables for color & flavor. Their bar quality can be tasted in their Moscow Mule, Gin Highball, Margarita and new Cape Cod.

New! Reed’s Hard Ginger Ale Reed’s Inc

- Strawberry: Bold fruity tartness from sweet strawberries and bright agave flavors - Mango: Tropical fruit flavors married with bright agave sweetness. - Peach: Slight acidity balanced by agave syrup sweetness, with aromas of nectarines and white peaches. - Green Apple: Crispy, juicy green apple flavor matched by the sweetness of blue agave. Rancho La Gloria AgaVida is now available nationwide at Walmart for a suggested retail price of $12.99 per 750ml bottle and will launch in additional retailers throughout 2022. For more information visit RanchoLaGloria.com. Rancho La Gloria Expands RTD Offering With New Skinny Margarita Line Rancho La Gloria

Reed’s fan-favorite Ginger Ale is now spiked! Get your hands on this light and refreshing, ready-to-drink Hard Ginger Ale with 5% ABV. Made with REAL fresh ginger, each can is only 100 calories and naturally brewed without artificial preservatives, sweeteners, or colors. Reed’s new Hard Ginger Ale is available in an 8-count variety pack with sweet and savory full-bodied flavors including Mango, Pineapple Coconut, Cherry Lime, and Watermelon Strawberry. Why Hard Seltzer, when you can Hard Ginger Ale?!

ROVM - Insanely drinkable, all natural, hand crafted hard kombucha

In November 2020 Rancho La Gloria– the largest brand in the wine-based ready-to-drink beverage category– expanded its line of bottled De Agave Wine Cocktail with the launch of Skinny Margarita Cocktails. Available in Classic Lime and Strawberry, Rancho La Gloria Skinny Margaritas offer a convenient and low calorie option to a classic cocktail. Like all Rancho La Gloria Ready-to-Drink Wine Cocktails, the new skinny margarita is crafted through the fermentation of USDA certified Organic Blue Agave nectar, resulting in agave wine. Fresh lime juice is then added to embody the essence of the original cocktail, providing an authentic tequila experience that can be enjoyed on the rocks or blended for any occasion. Bottled at 9.9% ABV with no added sugar, Rancho La Gloria Skinny Margarita comes ready to drink at only 90 calories and 3g carbs per 5 fluid oz. serving, with no high fructose corn syrup, no aspartame and no artificial flavors. Both flavors of Rancho La Gloria Skinny Margarita Cocktail are available now at Target stores nationwide for a suggested retail price of $8.99 per 750mL bottle and will roll out to additional retailers in early 2022, such as HEB, Kroger, Harris Teeter and Safeway. For more information, visit RanchoLaGloria.com and follow on social @DrinkRancho. 84 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

sipMARGS, Bold, Great-Tasting Canned Margarita

ROVM Hard Kombucha

sipMARGS

ROVM is an insanely drinkable, all-natural, better-for-you beverage. Born in Lake Tahoe CA, we handcraft our hard kombucha with real fruit and a proprietary yeast formulation that makes a delicious, low sugar, low cal, gluten-free booch.

sipMARGS are real, authentic sparkling margaritas made with top-quality tequila that’s ready to go. Not another zero carb, zero flavor hard seltzer. Available in four flavors, Classic, Coconut, Mango and Mezcal.



BRAND LISTINGS Grab A Party™ with the #1 Brand of Alcohol-Infused Gelatin Shots SLRRRP SHOTS

Introducing Spindrift Spiked, the Cleaner Twist on Hard Seltzer Spindrift Beverage Co Inc.

Spindrift, the fastest growing top 10 Sparkling Water Brand in the U.S. , has applied its proprietary process to hard seltzers and introduced their new beverage alcohol innovation, Spindrift® Spiked, made with sparkling water, alcohol from sugar cane, and real squeezed fruit – yup, that’s it. Spindrift® Spiked features color like the fruit, a huge dimension of flavor, and simple ingredients with no synthetic natural flavors, sweeteners or additives. Spindrift® Spiked is available in a 12-pack variety at 82-95 calories and 4% ABV per 12oz. can with four delicious flavors: Pineapple, Mango, Lime, and Half & Half. While most competitive hard seltzers are clear, Spindrift® Spiked is made with real fruit resulting in real fruit color and flavor. The new hard seltzer is a refreshing option for consumers looking to extend sparkling water and real fruit into alcohol without compromise. The slim can design with simple, clear ingredients and color inspired by the flavors within is reflective of a prominent and proud exhibition of premium ingredients. For more info on Spindrift® Spiked, visit www.spindriftspiked.com and follow @spindriftspiked on Instagram.

SOKU: America’s First Soju Sparkling Cocktail

Hartwall Original Long Drink, Imported from Finland

Sool

The Danish Brewery Group, Inc

A ready to drink cocktail made with the best selling spirit in the world - Soju. Made in New York State with all natural ingredients only: Soju, sparkling water and real fruit juice. Strawberry, Tangerine and Pineapple flavors available. 6% ABV.

Sunlit - Agave Wine Cocktails for Modern Day Drinking

Spirited Hive Premium RTD Craft Cocktails Infused with Organic Honey Spirited Hive

Original Long Drink, the world's first gin cocktail in a can imported from Finland. A refreshing mix of Finnish artisan gin with natural grapefruit and citrus flavors. The original recipe from 1952. Available in MA, RI, CT, NY, PA, MD, WV, GA and CA. SANDY BOTTOM® Rum Cocktails- SEA and be SEEN ~ One Sip On Vacation !

Sunlit Agave Wine Cocktails

The Sandy Bottom Enterprises

A twist on 4 classic cocktails that are lighter, smoother and refreshingly easy to sip. Hand-crafted in California using 100% de Agave Wine, real fruit juice and premium ingredients. Proudly a WBENC Women Owned Company.

SANDY BOTTOM® is a refreshing sparkling pre-mixed rum-based cocktail with natural flavors of coconut, lemonade & lime. Notes-tropical, clean, bright. 5,99% ABV. The brand has nautical roots, with good friends, great times, and boating on the Chesapeake Bay !

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Spirited Hive Premium RTD Craft Cocktails Infused with Organic Honey Made with quality spirits, all-natural ingredients and 100% organic wildflower honey Bourbon Whiskey Infused with Rosemary, Lemon & Honey Tequila Infused with Ginger, Lime & Honey Vodka Infused with Cranberry, Lime & Honey All 7% ABV Get the buzz at www.spiritedhive.com



BRAND LISTINGS Award-Winning Line of Fermented Cocktails Made from Real Juice SunDaze Fermented Cocktails

If you like a juice-based cocktail, you’ll love SunDaze. Made from an exclusive fermentation technique that transforms fruit juices’ natural sugars into alcohol, SunDaze is one of the simplest and most refreshing canned cocktail drinks on the market. SunDaze is available in three delicious flavors - Classic, Botanical and Spicy -- and each 12 oz can of SunDaze contains only 7 grams of natural sugar, 140 calories and 6% ABV. The brand is introducing non-citrus flavors in summer 2022. Tip Top Proper Cocktails Tip Top Proper Cocktails

Vermont Cider Company introduces RTD Day Chaser Cocktails Vermont Cider Company

Day Chaser is a ready-to-drink spirit-based canned cocktail made with real fruit juice and sparkling water. This easy drinking beverage is perfect for those living an active lifestyle full of adventure. All Day Chasers are 100 calories, certified gluten free, with only 2g carbs, 1g of sugar and no artificial ingredients. Day Chaser features the perfect balance of spirit, fruit flavors and carbonation. Day Chaser launched first with two vodka and sparkling water styles, with two more vodka and four tequila styles available in Spring 2022. Visit DayChaser.com and follow @daychaser on Instagram, Twitter and Facebook.

The Clean Tequila Seltzer, Inside & Out. Volley

Volley is designed to be the cleanest seltzer possible using 3 simple ingredients. 100% blue agave tequila, sparkling water, and organic juice (never from concentrate). While most products in the category use fermented cane sugar paired with lab made ‘flavors’, Volley uses the highest quality, real ingredients available. Founders (husband and wife duo) Chris and Camila, are on a mission to build awareness around the clean drinking movement and have introduced an innovative aluminum protective foil to keep their cans clean both inside and out. Studies show that 8 of 10 cans on shelves have concerning levels of bacteria. Volley is proud not to be one of them. At 5.25% abv, Volley is a light refreshing alternative to malt based seltzers. Volley is currently sold online at drinkvolley.com as well as in 14 states across the country. The products are manufactured in Jalisco, Mexico and the brand is based in Charleston, South Carolina. 88 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022


Yoju: a creamy yogurty cocktail with Korean roots Yoju Introducing the country's first Yogurt Soju RTD. This creamy and tart cocktail is a staple in both Korea and the K-Towns of America. Crafted with our own Americanmade soju and our own yogurt drink recipe.

89


SUPPLIER & SERVICES LISTINGS Helping Spirits Brands Package More Profit Berlin Packaging

Premier Alcoholic Pops Maker 21 Holdings LLC

Flavor Manufacturer abelei flavors

21 Holdings LLC is a fully licensed and bonded distillery, brewery, and winery that specializes in white-glove alcoholic freezable novelty development. This includes contract manufacturing, store-brand private labeling, and licensing. Owned and operated by the world's largest ice pop producer, Jel Sert, 21H shares the same infrastructure and formula development advantages as its parent company.

Need flavors fast? abelei has one of the shortest lead times in the industry. We manufacturer delicious organic and natural flavors for the beverage, bakery, confectionary, pharmaceutical and nutraceutical industries. abelei specializes in soft fruit, citrus fruit, sweet brown and more. Let’s work together to create the perfect flavor for your specific application.

Tea, Coffee & Specialty items A. Holliday & Company Inc.

Contract Manufacturer Azpack

For over 47 years, we've traveled the world to connect people with the finest products. At A. Holliday & Company, we source, test, and ship every product we carry. We supply bulk tea varieties (extracts & leaf), coffees (extracts), antioxidants, herbal & superfruit extracts, natural caffeine, polyphenols, EGCG, Rooibos, coconut water powder, and our newest product, oil soluble tea polyphenols.

Fully automated canning for high-acid beverages with variety pack capabilities, state-of-the-art 350,000 sf facility, 2 million can daily capacity, tunnel pasteurized or cold fill preserved carbonated, still or alcoholic beverages, organic, kosher, halal and sqf level 3 certified. *AZPACK is a refresco beverage company.

Organic Functional Ingredients Applied Food Sciences (AFS)

90 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Co-packing and Beverage Manufacturing Best Bev



SUPPLIER & SERVICES LISTINGS The Beverage Development & Operations Experts BevSource

Your Tropical Fruit Partners Brothers International LLC

Natural Flavors for Alcohol & No/Low Alcohol Beverages Blue Pacific Flavors

Water Soluble Cannabinoids Caliper Ingredients

Cans Supplied Nationwide CanSource LLC

Caliper ingredients are fast-acting, water-soluble cannabinoids that are easily introduced into any application using standard production equipment and with no noticeable impact to flavor, consistency, texture, or appearance. Designed for rapid go-to-market and scalable manufacturing across food, beverage, supplements, and topical care applications, and come with FDA-ready documentation.

With a decade of experience, CanSource is your one-stop-shop for cans. Sleeved, brite & printed cans - we have them all plus a team dedicated to customer service! We leverage 6 locations (CA, OR, CO, IN, PA, NC) to dependably provide short lead times & high on-time delivery. Call us today to ensure your cans look as great as your beverage tastes and ask about our 1/2 pallet minimums.

Real People. True Flavor. Callisons

RTD Cocktails Brought to Life Doehler North America

Since 1903, Callisons has created authentic flavors using the highest quality, natural extracts directly from nature. Known as the leader in mint, Callisons develops a diverse portfolio of true flavors with a passion for the Beverage, Confection & Oral Care industries. As tastes change and the market expands, we evolve and innovate to always remain on the forefront of the next flavor revolution.

Ready-to-drink products show the fastest growth in the alcoholic beverage segment in North America. Doehler offers complete, all-in-one compound solutions to bring your alcoholic & non-alcoholic RTD cocktails to life, delivering quality & taste continuity while reducing your inventory items & production steps. Partner with our experts to bring exceptional flavors & solutions to your customers.

92 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022


SUPPLIER & SERVICES LISTINGS Hold the Sugar, Not the Sweet Cargill

Secondary Packaging Equipment Douglas Machine Inc

Custom Flavor Development Flavor Dynamics, Inc.

For 55+ years, Douglas has provided customers with high quality automated packaging solutions for paperboard, corrugated and shrink film. We specialize in the design and manufacture of case and tray packers, shrink wrap systems, cartoners, sleevers and variety pack systems. Based in Alexandria, Minnesota, USA, Douglas is a 100% employee-owned company. Employee Owned, Customer Driven.

We are the perfect choice for your beverage flavors. Our experienced team is guided by a commitment to creating innovative, superior quality products. Our "AA" BRC audit grade represents our commitment to food safety and quality assurance. Ask us for your clean label requirements, including Organic, Non GMO, Natural, Gluten free and Vegan. Our team is up to the challenge. Call us today.

Labels, Sleeves & Sleeved Cans DWS Printing & Packaging

Custom Beverage Development Flavorman

Established in 1865, DWS is a 5th-generation family-owned label printing and can-sleeving operation. Capabilities include Shrink Sleeves, Pressure Sensitive labels, Cut-&-Stack and RollFed labels, and in-house Can-Sleeving w/ only a 1-pallet minimum. Manufacturing facilities are located in Austin, TX and Deer Park, NY. Reach out today, and let us help tell your story!

Have a great idea for a beverage? Flavorman can help you bring it to life. Own your custom formula and benefit from value-added services and resources designed for your success—everything from R&D and shelf life testing, to regulatory assistance, pre-production planning, and more. With nearly 30 years in the business, Flavorman is the best partner to help you change what the world is drinking.

Evolving attitudes toward alcohol are serving up new spaces for fresh thinking about drinking. Let Cargill’s beverage scientists help you imagine the possibilities, with reduced-sugar libations that make great flavors shine. With ViaTech® stevia leaf extract, EverSweet® stevia sweetener and Cargill’s latest sweetness innovation — EverSweet® + ClearFlo™ — our sweetener portfolio provides delicious sweetness, dramatic sugar reduction and zero calories. Discover how sweet life can be with Cargill.

Add a New Flavor to the Mix with El Dorado® Hops CLS Farms, LLC

Custom Flavor Solutions Foodarom

Welcome to FOODAROM. We are flavor designers. We are flavor tastemakers and trendsetters. Now a proud member of the global Glanbia family, we are experienced flavorists that create and manufacture the memorable flavors that will have your customers coming back for more. Partnering with food, beverage and nutritional product industries, we deliver turn-key flavors and formulation support. But not just any flavors, we create made-to-order solutions and profiles designed to perfectly meet the flavor expectations of your audience and beyond. In short, unforgettable taste sensations that will put your brand on the tip of everyone’s tongue.

Stand out by flavoring with El Dorado® hops. Bright pineapple and lemon, juicy peach, and candy come together for a tropical juice bomb. Highly concentrated total oils make El Dorado® the ultimate flavoring hop, creating a unique experience for every drinker. Learn more at www.eldoradohops.com. 93


SUPPLIER & SERVICES LISTINGS FONA Flavor & Taste Solutions FONA

Prickly Pear Cactus Ingredient GAIA fruits

Consumers today want it all. You’re balancing the demands of great taste, regulatory hurdles and consumer acceptance. The experts at FONA can help. From ideation to launch, we can create a seamless, winning path for you. Design, develop and scale up using our Beverage Innovation Studios in Geneva, IL and Irvine, CA. We are FONA. Let us bring the best taste solutions to the table for you.

Prickly Pear strengthens the Immune System. It is been attributed with healing properties since it is rich in Bioflavonoids that have strong antioxidant properties and give this fruit its distinctive bright red-violet color, and help the body detoxify and reduce inflammation. GAIA fruits is your trusted supplier of prickly pear puree and concentrate as a functional ingredient with an exotic flavor.

Coconut Beverage Ingredients Franklin Baker, Inc.

Beverage Accounting & Advisory GHJ

Franklin Baker, Inc. is the largest processor of coconut ingredients in the Philippines and the premier supplier to the global beverage & food market. Franklin Baker offers an extensive portfolio of Org & Conv coconut products including Coconut Water, Coconut Milk/Cream, Coconut Concentrate, Creamed Coconut. Our extensive third-party certifications are unrivaled to the highest product standards.

GHJ, a leading accounting and advisory firm headquartered in Los Angeles, provides services to privately owned beverage and food businesses. The firm has a deep knowledge of beverage company operations and also provides outsourced bookkeepers, Controllers and CFOs. GHJ helps clients improve their financial results, maximize efficiencies and position themselves for ownership transitions.

Going beyond great taste Givaudan

94 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Discover the right solutions for less sugar Ingredion Incorporated

Gusmer Brewing Solutions Gusmer Enterprises, Inc.

Extracted Teas & Botanicals Javo Beverage Company

Since 1924, Gusmer has taken a revolutionary approach to serving the brewer’s vision. It’s why Gusmer offers a full line of solutions for the brewing industry including fermentation and processing aids, filtration media and equipment, analytical products and instrumentation, processing equipment, and analytical laboratory services. Contact your local Gusmer Technical Sales Rep today!

Founded in 2001, Javo is an extraction company that uses a proprietary process to produce fresh, clean-labeled coffee, tea and botanical extracts for the food and beverage industry. We use clean ingredients to craft products for global and emerging brands. Our production facilities located in Vista, Calif. and Indianapolis, Ind. are Safe Quality Foods (SQF), QAI organic and kosher certified.

Your One-stop Ingredient Shop IFPC

Flavor Manufacturer Mother Murphy's Flavors

When formulating RTD alcohol beverages, IFPC carries the ingredients needed to create a delicious cocktail experience for consumers. From sweeteners to natural preservatives and more, we stock what you need in one of our 14 distribution centers across the country.

Mother Murphy's is a full service flavor manufacturer dedicated to supporting customer needs through quality and flavor innovation. At Mother Murphy's we specialize in flavor and prototype development for the alcohol industry and have over 2,000 flavors in our TTB approved portfolio. We have made the RTD world taste better and continue to be innovative leaders!



SUPPLIER & SERVICES LISTINGS Beverage Repack Specialists Keller Warehousing & CoPacking

Luxardo Canned Cocktails Luxardo

Luxardo Canned Cocktails are the latest addition to the Luxardo portfolio and bring classic and innovative premium craft ‘Cocktails Italiano’ to curious cocktail explorers. Each of Luxardo’s three expressions utilize premium Luxardo liqueurs and spirits to create authentic flavors and refined finishes in every can. These ready-to-drink cocktails are light and bright in personality, and provide premium cocktails with convenience—perfect for on the go or to enjoy a hassle-free, delicious cocktail at home: • Aperitivo Spritz: Long before the orange drink took over Instagram — approximately 200 years before — Italians were enjoying Aperitivo hour with a timeless Spritz. Tasting notes: orange zest, refreshingly sweet • Bianco Spritz: A lighter brighter twist on the classic Aperitivo spritz, Luxardo Bianco Spritz creates a classically Italian Spritz that is less syrupy and more flavorful than the traditional orange Aperitivo. Tasting notes: grapefruit zest, a touch of sweetness, bitter finish • Sour Cherry Gin & Tonic: For the connoisseur of classics, the sour, fruity aroma of signature Luxardo marasca cherries mixed with notes of juniper adds a pleasantly sweet aftertaste to the standard Gin and Tonic. Tasting notes: rich cherry, vibrant juniper, sweet finish Beverage Repack Specialists Keller Warehousing & CoPacking

96 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Trust the monk.™ MONK FRUIT CORP.



SUPPLIER & SERVICES LISTINGS Flavors you expect, experience you trust. Mother Murphy’s Flavors

100% Recycled Packaging Handles PakTech

Juice Solution Specialists Northwest Naturals

The Craft of Flavoring Sovereign Flavors, Inc.

Your go-to team for formulation and processing of turnkey fruit bases for the cannabis and alcohol industries. We've long been recognized as a leader in the production of specialty blended, all natural, fruit juice concentrates, WONF concentrates and frozen dairy-style bases, essences, and other value-added fruit products. Let us help you turn your next product from ordinary into extraordinary.

At Sovereign Flavors, it is our mission to craft the best tasting finished beverages and highest quality flavors in the industry. Our experienced beverage technologists formulate a variety of finished drinks, according to your needs and specifications, while our talented flavor chemists create custom flavors (natural, organic, and TTB) that can be used in a variety of different applications.

Natural, Clean Label Flavors Omega Ingredients Ltd

Blending and Process Experts Statco-DSI Process Systems

We are Omega Ingredients, Award Winning Creators of Natural Flavors & Clean Label Ingredients for Manufacturers of Beverage, Food, & Flavor Products Worldwide. Our focus is on 100% Pure & Natural ingredients, helping to create your next beverage from ‘Source to Sip.’ We specialize in the innovative fusion of biochemistry & natural materials to provide the finest extracts & natural flavors.

Statco-DSI is a full-service equipment and integration service provider to the food and beverage industry, with specialties in dry powder mixing, continuous inline blending, as well as de-aeration and carbonation. Operating from 11 offices coast-to-coast, we are able to assist with all of your beverage processing requirements.

98 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

A Century of Canning Expertise, Scaled For Craft Beverage Pneumatic Scale Angelus



SUPPLIER & SERVICES LISTINGS Now Offering-VARIETY PACKS! Prime Beverage Group

TTB Approved Natural Blue Color Sensient Food Colors

Prime Beverage Group- The leading beverage co-packing in Charlotte, North Carolina. We are now offering Variety Packs. Include high speed equipment, 6 lane conveyance, carton laser code, with competitive pricing. Ideally located with easy access to major highways and interstates up and down the east coast. Visit us at primebev.com, Instagram, or LinkedIn.

Hard Seltzer Fermentation, Filtration, and Stabilization Scott Laboratories

100 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

The Microbus Portable Depalletizer Ska Fabricating


SUPPLIER & SERVICES LISTINGS Ingredients for Innovation STAUBER

Fruit & Vegetable Ingredients Stiebs

Beer Centrifuges Trucent

Stiebs, since 2005, has been devoted to sourcing, processing & delivering the world's finest plant-based products. We offer a full line of fruit & vegetable based ingredients as Single Strength Juice, Juice Concentrate, Purees, and IQF Cubes. From the beginning stages of product development to delivering an on-going supply of premium natural products, our team is here to help you succeed.

Efficient brewery operation and consistent, high-quality production is more critical than ever. If you're experiencing drags in production, a beer centrifuge could significantly enhance your process. Trucent sells, rents, and services centrifuges designed for beer. With ten different sizes and multiple automation options, Trucent accommodates all beer styles and facility sizes. Contact us today.

Inspiring Taste in Beverage Synergy Flavors, Inc

Turnkey Beverage Services US Beverage Manufacturing

Synergy Flavors® is a manufacturer and supplier of sweet and savory flavors, vanilla, coffee, tea and Synergy Pure® botanical essences and extracts for the global beverage industry. Combining a long heritage of flavor development with modern extraction technology, we blend art, science, and market insight to create an exceptional array of tastes that captivate the senses and inspire innovation.

We can turnkey develop and copack/manufacture all types of beverages, alcoholic and nonalcoholic, liquid and powder, in aluminum cans, PET bottles, glass bottles, and flexible packaging. If you are looking for a one stop shop that can develop, formulate, and manufacture your new beverage concept, then look no further! We can help supply all ingredients, materials, and manufacturing services.

101


SUPPLIER & SERVICES LISTINGS Enterprise-grade Beverage Alcohol BI. Turnkey analytics. TABS Analytics

Targeted Retail Execution Trax - Dynamic Merchandising

RTD - ASAP with TechniBlend Equipment, Systems & Technology TechniBlend Inc

Shrink Shrink Solutions Tripack

At TechniBlend, we supply beverage companies with the highest-quality, technologically advanced liquid processing systems & equipment. Our growth has been driven by providing innovative technology & equipment to Fortune 500 beverage producers. TechniBlend’s Ready-ToDrink beverage processing solutions include: FlashPAS, the Inline HTST Flash Pasteurizer ranges in speeds from 5 gallons per minute with a dedicated hold time, to 10 – 100 gallons per minute with optional triple hold times. Our Batching & Blending system is designed to quickly and easily batch and blend 3+ streams of product utilizing our patented injection and dispersion components alongside high accuracy mass flowmeters. TechniBlend’s RTD Cut Skid is capable of processing 5,500 gallons of 95% ABV ethanol at speeds of 2 – 3 hours or less with a 0.5% blending accuracy while meeting OSHA’s Class 1, Div 1 regulations. ProCarb inline carbonation technology quickly carbonates and nitrogenates 5 – 250 gallons per minute with optimal gas dispersion that virtually eliminates room for unwanted dissolved oxygen and reduces carbonation times by over 400%. The ProFill Can is a state-of-the- art, high speed filling system running at speeds of 100 – 300 cans per minute with rotary, true counter pressure gravity filling technology for < 30ppb DO pickup and < 1% product waste. contact@techniblend.com 102 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022


SUPPLIER & SERVICES LISTINGS Quality Used Bottling, Canning, Processing and Packaging Equipment United Food and Beverage, LLC

Branding & Package Design Watermark Design

United Food and Beverage specializes in buying and selling used processing, packaging, bottling and canning equipment for the Food and Beverage Industry. Our 23+ years experience propels United to be a worldwide leader in used equipment. Our 80,000 square foot warehouse is based in the Charlotte, North Carolina region. Services include plant liquidations, rigging, certified appraisals and auctions. Industries that we serve include bottled water, soft drink, dairy, co-packers, tea, breweries and food production plants. Quality Late Model assets are our specialty.

Brewery Software System Vicinity Software

Paperboard Packaging Made Easy Zumbiel Digital

VicinityBrew is flexible brewing software. Vicinity eliminates time-consuming recipe conversions, provides quick batch processing to ease your reporting requirements, gives you enhanced visibility to eliminate inventory blind spots & much more. With our brewing software, you can integrate all aspects of your business, improve operations, produce better products and drive smart growth.

Zumbiel Digital is a full-service paperboard packaging firm focused on industrial scale mass-customization. We offer an array of digitally printed folding cartons that few in the world can match; we produce on a scale that no one can match.

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COMPANY CONTACT INFORMATION COMPANY

CONTACT NAME

CITY

STATE

PHONE NUMBER

WEB SITE

Gavin Wegner

West Chicago

IL

(630) 876-4756

SLIQSpiritedIce.com

Christine Renken

Toronto

-

(416) 225-2217

teacoff.com

abelei flavors

Mike Allegretti

North Aurora

IL

(630) 859-1410

abelei.com

Applied Food Sciences (AFS)

Jackson Zapp

Austin

TX

(800) 345-9666

appliedfoods.com

-

Tempe

AZ

(480) 449-7770

azpack.com

21 Holdings LLC A. Holliday & Company Inc.

Azpack Bang Energy

Yanilis Polito

Weston

FL

(954) 802-3546

banghardseltzer.com

Berlin Packaging

Jason Loper

Chicago

IL

(312) 869-7501

berlinpackaging.com

Best Bev

Taylor Heitz

Pennsburg

PA

(267) 272-1077

bestbev.co

BevSource

-

Saint Paul

MN

(866) 956-4608

bevsource.com

Stephanie Meyer

Austin

TX

(469) 867-9299

enjoybigcountry.com

Big Country Beverage Black Yeti Beverage

Eric Trueheart & Samantha Franklin

Pasadena

CA

(323) 828-5227

grislyscosmic.com

Blake’s Hard Cider

Chelsea Iadipaolo

Armada

MI

(248) 245-1881

blakeshardcider.com

Blue Pacific Flavors

Evelyn Mendoza

City of Industry

CA

(626) 934-0099

bluepacificflavors.com

Bravago Bold Seltzer

Matthew D'Andria

Marina Del Rey

CA

(310) 493-4253

DrinkBravago.com

Andy Keane

Rochester

NY

(585) 343-3007

brothersinternational.com

Brothers International LLC BuzzBallz/Southern Champion

Blair T. Casey

Carrollton

TX

(972) 242-3777

buzzballz.com

buzzbox premium cocktails, inc

Eric Hundelt

Prosper

TX

(214) 546-3648

buzzbox.com

Caliper Ingredients

Jolene Jacobs

Denver

CO

(720) 273-3824

caliperingredients.com

Callisons

Kim Carson

Cincinnati

OH

-

callisons.com

CanSource LLC

Dan Reese

Longmont

CO

(833) 228-3959

cansource.com

CANTEEN Spirits

Cassidy Oswalt

Los Angeles

CA

(818) 625-7324

drinkcanteen.com

Cargill CLS Farms, LLC Dashfire

Pam Stauffer

Wayzata

MN

(877) 765-8867

cargill.com

Claire Desmarais

Moxee

WA

(150) 995-2791

eldoradohops.com

Dawn Egbert

Minnetonka

MN

-

dashfire.us

Doehler North America

Kristy Ellenson

Cartersville

GA

(770) 383-4526

doehler.com

Douglas Machine Inc

Todd Welker

Alexandria

MN

(320) 763-6587

douglas-machine.com

Drake's Organic Spirits

Todd Kunesh

Minneapolis

MN

(702) 375-8100

drakesorganic.com

Drunk Fruit

Steven Tang

Los Angeles

CA

(518) 577-5227

drunkfruit.com

DWS Printing & Packaging

Andy Staib

Deer Park

NY

(516) 769-1907

dwsprinting.com

Fishers Island Lemonade

Megan Ory

Waterford

CT

(860) 694-8081

filemonade.com

Flavor Dynamics, Inc.

Colleen Roberts

South Plainfield

NJ

(908) 822-8855

FlavorDynamics.com

Flavorman

Lauren Clayton

Louisville

KY

(502) 289-5549

flavorman.com

John Fishel

Geneva

IL

(630) 578-8638

fona.com

Noémie Loiselle

-

-

(801) 975-2604

foodarom.com

FONA Foodarom

John Slade

Memphis

TN

(901) 881-6681

franklinbaker.com

GAIA fruits

Franklin Baker, Inc.

Roberto Garfias

San Luis Potosí, Mexico

-

524441595829

gaiafruits.com

GHJ

Maria Pearman

Los Angeles

CA

(310) 873-1621

ghjadvisors.com

-

-

OH

-

Andrew Parry

Melbourne

FL

(321) 344-7781

Givaudan Good Dogg Beverage Company Gusmer Enterprises, Inc.

givaudan.com gooddoggbeverage.com

-

Mountainside

NJ

(866) 213-1131

GusmerBeer.com

Howie's Spiked

Greg Howard

Basking Ridge

NJ

(908) 397-6067

howiesspiked.com

IFPC

Mathew Brady

Fenton

MO

(314) 422-2324

ifpc.com

Ingredion Incorporated

Janae Kuc

Baltimore

MD

(908) 842-3349

ingredion.com

Javo Beverage Company

Joanne Sheean

Vista

IL

(760) 330-1141

javobeverage.com

Forrest Dein

San Diego

CA

(185) 880-0694

juneshine.com

Adam Bates

Defiance

OH

(419) 438-5404

Francois Tremblay

Morin-Heights

-

5148315656

JuneShine Keller Warehousing & CoPacking La Dolce Vita Beverage Liquid Fables Canned Cocktails Lunar Hard Seltzer Luxardo Mad Lemon

kellerlogistics.com ladolcevitaseltzer.com

Matthew Green

Beacon

NY

(914) 325-1040

liquidfables.com

Kevin Wong

Brooklyn

NY

(301) 339-3602

drinklunar.com

Clayton Danielsen

San Francisco

CA

-

Corina Remer

Denver

CO

(814) 880-1742

104 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

luxardocannedcocktails.com drinkmadlemon.com


COMPANY

CONTACT NAME

CITY

STATE

PHONE NUMBER

Masq Hard Tea

Brad Parkes

Winchester

VA

(540) 539-6296

WEB SITE drinkmasq.com

Mighty Swell Spiked Seltzer

Emily Duke

Austin

TX

(615) 981-1851

mightyswell.com

MONK FRUIT CORP.

Paul Paslaski

Libertyville

IL

(847) 367-6665

monkfruitcorp.com

Mother Murphy's Flavors

Michael Oden

Greensboro

NC

(336) 273-1737

mothermurphys.com

Northwest Naturals

Brittney Zigler

Bothell

WA

(425) 285-2619

nwnaturals.com

Ole Smoky Distillery

Tabitha Baum

Sevierville

TN

(865) 333-6064

olesmoky.com

Omega Ingredients Ltd

Jim Kavanaugh

Philadelphia

PA

-

PakTech

omegaingredients.com

-

-

OR

(541) 461-5000

PakTech-opi.com

Passion Tree Hard Seltzer

Andy Kuklock

San Diego

CA

(952) 446-6263

passiontreehardseltzer.com

Picnic Brunch

Josh Meyers

New York

NY

(908) 581-2922

picnicbrunch.com

Pneumatic Scale Angelus

Gigi Lorence

Stow

OH

(800) 992-0491

beer-canning.com

Post Meridiem Cocktails

Andrew Rodbell

Atlanta

GA

(404) 580-1919

postmeridiemspirits.com

Prime Beverage Group

Shannon Fowler

Kannapolis

NC

(585) 245-3535

primebev.com

Pure Brands Co.

Andrew Bushby

New York City

NY

(917) 818-8573

drinkbuenafe.com

Rancho La Gloria

-

Sausalito

CA

(415) 729-9453

rancholagloria.com

Reed's Inc

Neal Cohane

Norwalk

CT

(203) 890-0549

reedsmule.com

Reed's Inc

Neal Cohane

Norwalk

CT

(203) 890-0549

drinkreeds.com

Julie Kikla

Chicago

IL

(415) 603-1700

rovmhardkombucha.com

Jeremy Grenert

Mill Valley

CA

(707) 364-8641

saltpoint.co

Joscelyn Just

Petaluma

CA

(707) 765-6666

scottlab.com

ROVM Hard Kombucha Salt Point Scott Laboratories Sensient Food Colors

-

-

-

(800) 325-8110

sensientfoodcolors.com/BPFE

sipMARGS

Rachel Magnone

New York

NY

(516) 524-4903

sipmargs.com

Ska Fabricating

Jake Kolakowski

Durango

CO

(970) 403-8562

skafabricating.com

SLRRRP SHOTS

Trent Killian

Los Angeles

CA

(877) 988-8673

slrrrp.com

Carol Pak

New York

NY

(347) 421-3901

drinksool.com

David Ames

Santa Ana

CA

(714) 437-1996

sovereignflavors.com

Sool Sovereign Flavors, Inc. Spindrift Beverage Co Inc. Spirited Hive Statco-DSI Process Systems STAUBER Stiebs

Lindsay Trobel

Detroit

MI

(860) 294-6262

spindriftspiked.com

Jack Espy

Denver

CO

(720) 208-6955

spiritedhive.com

Randy Smith

Huntington Beach

CA

(714) 375-6300

statco-dsi.com

Magee

Fullerton

CA

(714) 441-3900

stauberusa.com

Brian Nova

Madera

CA

(559) 455-8606

stiebs.com

SunDaze Fermented Cocktails

Arthur Gallego

Austin

TX

(917) 593-3097

drinksundaze.com

Sunlit Agave Wine Cocktails

Corrie Hutchens

Westlake Village

CA

(805) 630-4499

drinksunlit.com

Reese Tannhauser

Wauconda

IL

(847) 487-1011

synergytaste.com

Synergy Flavors, Inc TABS Analytics

Tucker Malsch

Shelton

CT

(214) 403-8333

tabsanalytics.com/rtd

TechniBlend Inc

Roxanne Gorham

Waukesha

WI

(262) 278-4944

techniblend.com us.originallongdrink.com

The Danish Brewery Group, Inc

Angelica Diaz

Doral

FL

(646) 648-0515

The Sandy Bottom Enterprises

Sandra Mazza

Lutherville

MD

(410) 299-1721

sandybottomcocktails.com

Caroline Clements

Atlanta

GA

(706) 767-3651

tiptopcocktails.com

Tip Top Proper Cocktails

Abigail Cobian

Boston

MA

(617) 487-4451

info.traxretail.com/merchandising

Tripack

Trax - Dynamic Merchandising

Travis Linz

Milford

OH

(513) 304-5899

tripack.net

Trucent

Jeremy Vogel

Dexter

MI

(734) 474-8554

trucent.com/craft-beer-clarification

United Food and Beverage, LLC

Jeremy Sanders

Hickory

NC

(843) 622-8434

unitedfoodandbeverage.com

US Beverage Manufacturing

Zach Mosesian

Las Vegas

NV

(702) 476-1021

usbeveragemanufacturing.com

-

Middlebury

VT

-

Vicinity Software

Vermont Cider Company

Jamey Kirsch

-

GA

(770) 421-2467

vicinitybrew.com

Volley

Jenna Sands

Charleston

SC

(203) 921-6191

drinkvolley.com

Watermark Design

Charlottesville

VA

(844) 544-5625

watermark.design

Steven Tang

Los Angeles

CA

(518) 577-5227

drinkyoju.com

Michael Zumbiel

Hebron

KY

(513) 396-5288

zumbieldigital.com

Watermark Design Yoju Zumbiel Digital

daychaser.com

105


PROMO PARADE

INDUSTRY PROMOTIONS & EVENTS

Honeydrop Premieres ‘Save the Bees’ Documentary at Film Festival Honeydrop, a lifestyle health and wellness brand offering consumers the benefits of raw honey-infused premium products, announced that a short documentary produced by their newly formed media group entitled “BEE THE CHANGE” featuring beekeeper Paul Hekimian was accepted to premiere at the 2022 Mammoth Film Festival on the weekend of February 3 in Mammoth Lakes, California. The documentary kicks off the announcement of Honeydrop’s long term partnership with Honeylove.org, in which Honeydrop will be annually donating a portion of all sales to the foundation’s cause of Saving the Bees. “I’m thrilled to have partnered with Honeydrop on this documentary which will cast a wider net about the importance of Saving the Bees and how we can all do our part in making a difference locally and globally,” Hekimian said. “As I like to say, HoneyLove.org is the ‘Lorax’ of the Bees as they need a voice to help protect them or we would not ‘Bee’ here literally without them. Yay Bees!” Launched in 2021, Honeydrop’s Media Group is on a mission

to create first class content promoting the brand’s message and image across all verticals of the entertainment industry through original storytelling that truly captivates the viewer. “BEE THE CHANGE” is the first of several projects to debut that Honeydrop’s Media Group has in development. The documentary stars renowned beekeeper Paul Hekimian, the Director of HoneyLove. org, and is narrated by actress Sabina Gadecki and country music star Tyler Rich. “‘BEE THE CHANGE’ felt like the perfect stepping off point for the Honeydrop Media Group. It’s an entertaining documentary which highlights a cause that our company has supported from the start and a mission that all of us should care about, SAVING THE BEES,” said Lane Cheek, president of Honeydrop’s Media Group. “We wanted to bring important knowledge in a fun and engaging way to make the biggest impact for our environment in partnership with HoneyLove.org. Too often the message of these crucial causes gets lost due to stale content that leaves the audience bored and disengaged. The purpose of this documentary is to leave the viewer positively motivated.”

Phocus to Serve as Presenting Sponsor of the 14th Annual Publix Florida Marathon The Publix Florida Marathon Weekend has announced a partnership with Phocus naturally-caffeinated sparkling water. Phocus came on board as the presenting sponsor of the 14th annual running event the weekend of February 12 and 13, 2022 in Melbourne, Florida. The Florida Marathon Weekend is the largest participant sporting event in Melbourne and one of the three biggest endurance running events in all of Central Florida. A Space Coast Signature race, the running weekend features a 5k, 10k, half-marathon and Boston Marathon-Qualifying marathon. The race annually draws thousands of runners from throughout Florida and the Southeast and has been named by Runner’s World Magazine as “One of America’s Top 10 Bucket List Waterfront Races.” “We are thrilled to bring Phocus in as presenting partner for this year’s Publix Florida Marathon Weekend,” Race Director and Smooth Running principal Mitch Varnes said. “Their refreshing wellness beverages perfectly match our event, and we think our runners will love them. Their role as our presenting sponsor perfectly complements our longtime title sponsor, Publix Supermarkets.” Consumers can find some of Phocus’ most in-demand flavors — including Blood Orange and Peach – at one of the more than 750 Publix stores where Phocus naturally caffeinated sparkling water is sold. “We are enthusiastic about our newest partnership with Publix via the Publix Florida Marathon Weekend Fueled by

106 BEVNET MAGAZINE – JANUARY/FEBRUARY 2022

Phocus,” said Phocus CEO Todd Creek. “We are putting a priority on our Florida consumers, and our involvement in this running event is another step toward our long-term commitment to the region.” The Publix Florida Marathon Weekend is produced by Smooth Running, LLC, the producer of many of Central Florida’s most iconic distance running events and triathlons. “From pre-race training to the post-race celebrations, Phocus naturally caffeinated sparkling water is proud to be part of the Publix Florida Marathon Weekend’s winning team,” added Creek.


Cocktail Mixer Brand AVEC Releases Co-Branded Line with Williams Sonoma AVEC – a line of Brooklyn-based better-for-you cocktail mixers co-founded by Denetrias ‘Dee’ Charlemagne and Alex Doman – announced a partnership with Williams Sonoma to launch a co-branded line of its sparkling, low-sugar canned mixers, made with only real juice & natural botanicals – never any preservatives, artificial sugars or ‘from concentrate.’ In keeping with 2022’s rising trend of no-and-low alcohol options, the exclusive AVEC x Williams Sonoma collaboration will offer something entirely new to the kitchen and homeware retailer’s cocktail category, sold in 4-packs online and in-store at Williams Sonoma. The mixers are made with 80% to 90% less sugar than common counterparts and are just as tasty with alcohol as they are solo. At $14.95 / 4-pack, the line features favorites from AVEC’s globally inspired fl avor range, including, Grapefruit Pomelo, Yuzu Lime and Ginger Pineapple.

“We are starting 2022 super excited to kick off our fi rst partnership with a household name like Williams Sonoma. We recognized that AVEC’s customers love hosting and entertaining but want to do it consciously and in a way that can include people who are abstaining from drinking, enjoying full proof spirits, or opt for “flexi-drinking,” mixing alc and non-alc options into their routine,” said AVEC co-founders Charlemagne and Doman.

Shimmerwood Beverages Partners with Nonprofit Dignity Hemp-infused drinks maker Shimmerwood Beverages has partnered with nonprofit organization Dignity to promote its mission of reforming American drug policy and reducing overdose deaths. Dignity is a program of Agape Inc., a small nonprofit nestled in the heart of Portland, Maine. Dignity is an organization composed of teachers, healers, storytellers and listeners and they believe that there are fi ve things that are needed to reduce overdose deaths: Dignity for people using drugs, safe Consumption of all substances, amnesty for people locked in cages because of their substance use, legalization of all substances, and justice for the families and communities devastated by this epidemic. In partnership with Evergreen Cannabis Company, Dignity is looking to mitigate pain using THC and CBD instead of opioids. In support of this partnership, Shimmerwood Beverages is donating its CBD seltzer to help Dignity address the opioid epidemic in Maine. Opioid overdose deaths have surged during the pandemic, according to the C.D.C. In 2020, Maine registered 504 deaths from overdose. Deaths from opioids, or drugs sold as opioids laced with fentanyl, a synthetic opioid, have become a national health crisis. As of April 2021, opioid death numbers have surpassed the yearly tolls counted during the height of the opioid epidemic and mark a reversal of progress against addiction in recent years. According to the New York Times, more than 87,000 Americans died of drug overdoses over the 12-month period that ended in September, according to preliminary federal data, eclipsing the toll from any

year since the opioid epidemic began in the 1990s. Investments in research in this area are needed however. According to a WHO article from November of 2017, “Another possible therapeutic application which has been investigated is the use of CBD to treat drug addiction. A recent systematic review concluded that there were a limited number of preclinical studies which suggest that CBD may have therapeutic properties on opioid, cocaine, and psychostimulant addiction…” Shimmerwood Beverages leverages hemp derived CBD that has been emulsifi ed to better disperse in water. This nano emulsifi ed oil stays dispersed so that the fl avor and consistency of the seltzer is shelf stable. A benefit of edible CBD products is it is easier to monitor a specifi c dose. Shimmerwood Beverages includes 5 milligrams of full spectrum CBD per 11.5 ounce can. “When we started Shimmerwood Beverages, one of my goals was to expose more people to CBD,” said Shimmerwood president Chuck Mascari. “Doing so in a mixology way where sober curious individuals could fi nd social acceptance and chill out drinking a hemp infused CBD beverage appealed to me. Our drinks are meant for social engagement while spending time with friends and family. People really seem to enjoy them.” 107



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