Beverage Spectrum Sept-Oct 2007

SEPTEMBER – OCTOBER 2007

energy slims down how diet drinks equal fat profits ALSO INSIDE: BOUTIQUE CSDs EXOTIC FRUIT JUICES MALTERNATIVES

SPECIAL NACS GUIDE INSIDE

SEPTEMBER – OCTOBER 2007

26

Cover Story

55 // ENERGY SLIMS DOWN

vol.

5 // no. 6

55

38

Departments

8 // BEVSCAPE Senators. Love. Bourbon.

How diet energy drinks can lead to fatter profits.

T:10.875 in

B:11.125 in

S:10.625 in

12 // CHANNEL CHECK Milkshakes.

Features

26 // STRANGE FRUIT

16 // NEW PRODUCTS

The more exotic, the better for

Jack’s Pumpkin, great costume.

juicemakers.

80 // PROMOTION PARADE Holiday promos and more.

38 // DRYING OUT? DON’T BET ON IT! Boutique sodas are still searching for their niche, but now it’s in front

Columns

4 // THE FIRST DROP

of the bar.

Saving the goose.

47 // MALT FINDS ITS MUSE

6 // PUBLISHER’S TOAST

Struggling for inspiration, flavored

Barry’s fridge.

malt beverages raid the liquor 24 // GERRY’S INSIGHTS

cabinet.

Ruminations on strange berries.

4HE (EINEKEN $RAUGHT+EG HAS BEEN ENGINEERED WITH PIONEERING TECHNOLOGY TO DISPENSE PERFECT QUALITY DRAUGHT BEER GUARANTEEING CUSTOMER SATISFACTION AND INCREASED PROFITS

4HE (EINEKEN $RAUGHT+EG OFFERS ONE OF THE HIGHEST RINGS IN THE SEGMENT GIVING YOU HIGHER DOLLAR RINGS AND PROFITS

4HE (EINEKEN $RAUGHT+EG IS ONE OF THE TOP IMPORT GROWTH PACKAGES

4HE (EINEKEN $RAUGHT+EG ATTRACTS NEW USERS OF PURCHASERS ARE NEW CONSUMERS TO THE HIGHLY PROlTABLE (EINEKEN BRAND

&UTURE PURCHASE INTENT IS VERY STRONG OF USERS WHO HAVE TRIED THE $RAUGHT+EG WOULD BUY IT AGAIN

! REVOLUTION IN BEER MEANS REVOLUTIONARY PROFITS Enjoy HeinekenŽ Responsibly Š2007 HEINEKENŽ Lager Beer. Heineken USA Inc., White Plains, NY. * ACNielsen, Total US, 13 Weeks Ending 11/25/06

** ACNielsen, Total US Grocery, 26 Weeks Ending 4/28/07

*** Heineken DraughtKeg Target Research Group May 2006

66 // NACS 2007 PREVIEW 64 // ON THE EDGE

What’s on in Atlanta.

Face time with consumers.

72 // EXPO EAST SHOW REVIEW Baltimore goes natural.

Beverage Spectrum Magazine is published monthly with combined issues in January/February, May/June, July/August and November/December by Beverage Spectrum Publishing, Inc., a wholly owned subsidiary

76 // NBWA 2007 SHOW REVIEW

of BevNET.com, Inc. One Mifflin Place, 3rd Floor, Cambridge, MA 02138. Periodicals postage pending at

Las Vegas in all its glory.

Boston, MA and additional mailing offices.

POSTMASTER: Please send address changes to Beverage Spectrum Magazine, Subscriber Services, One Mifflin Place 3rd Floor, Cambridge, MA 02138-9917.

SEPTEMBER – OCTOBER

2007

\\ BEVERAGE SPECTRUM

3

THE FIRST DROP

Saving the goose ’ve been getting a lot of press calls recently about the potential collapse of the bottled water business. It’s not that hard to imagine why – it’s the kind of idea that reporters love: the goose turns out to be laying not a golden egg, but one that’s made of Uranium. And while I don’t think things are going to blow up, they aren’t going to blow over, either; the public’s growing awareness of the origin of its bottled water and its environmentally touchy status is causing something of a backlash that might hurt future growth.

It’s an issue that’s more nuanced than, say smoking, however. The issue isn’t so much the “egg” – the water – which still has that golden, healthy glow – as it is the “egg’s shell” – the PET bottle – which may be, as a reporter for a reputable Northern Florida daily suggested to me, manufactured by The Devil.

I find the current cultural backlash against the bottled water industry fascinating because both the growth of bottled water as a consumer good and the concerns about its environmental impact are coming from largely the same ideal of healthy living.

Carrying a bottle of water – a portable, pure, calorie-free hydration source – is something that tells consumers they are making a good choice for themselves. Its dollar value is derived largely through its convenience – whether or not the water is purer than that pouring out of the tap, it is hassle-free in its relatively cheap, ubiquitous availability and disposability.

But concerns that the empty container will end up occupying space in a landfill and that its manufacture and transport increases one’s “carbon footprint” are also valid. Healthy living means, for many, maintaining a healthy environment, and a healthy environment doesn’t have billions of water bottles stacked in the town dump like so many old tires.

So what is one to do as a retailer, a manufacturer, a consumer, an editor? Surprisingly, the industry itself may be on the right track.

PepsiCo’s top brass might have seemed out of their collective gourds when they added their municipal water supply copy to their labels, but disclosure is the key, and their water’s purity doesn’t have any bearing on its convenience – particularly since raising the veil on Aquafina also did so for every other bottled water out there. When it comes to lessening impacts, by the way, Pepsi bottler have also bought up millions of dollars in pollution credits, CocaCola recently published a manifesto on its domestic recycling goals, while Nestle Waters North America announced 17 percent PET reductions in its top selling product containers.

These moves aren’t going to put a stop to the problems with resource consumption and junk creation that are the hobgoblins of PET usage. But they are indicative of companies that want to decrease the negative consequences of their products. That said, these moves don’t go far enough, and that’s where retailers, consumers, and editors need to take some responsibil-

ity themselves, encouraging these companies to reduce resource consumption even further, stop vilifying bottle bills and, long-term, develop and mainstream technologies like biodegradable packaging – the kind of packaging to which a healthy living premium can be attached.

And don’t think that premium is something consumers won’t pay for – the success of the bottled water business as it stands right now is testament to the financial potential of the healthy living impulse.

Keeping things as they are now won’t kill the goose immediately. But if the industry and the retailing sides don’t act soon, it’s still shortsighted. All geese die. To keep getting the eggs, you breed new generations of geese. That sustainable perspective will keep the water business from laying an egg altogether.

©2007 Anheuser-Busch, Inc., St. Louis, MO

4

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

PUBLISHER’S TOAST

My Refrigerator

(is a metaphor for the beverage universe) o, you think you’ve got perks? A secretary? A private jet? Well, guess what? I have a refrigerator in my office.

True, it’s a little smaller than the normal home model, but it’s definitely larger than the ones you’ll see in, say, a dorm room or private plane. But, after all, I am the publisher of a renowned beverage retailing magazine, and beverages should be a part of my life. Also, when they got the big vault refrigerators over at BevNET, they gave me this one, which is really nice, ‘cause it keeps stuff cold.

The reason I bring this up is that after being away for a little while, I took stock of what I had

in there. The inventory inside is a microcosm of the world of beverages. There are about 40 bottles, cans and tetra-pack boxes of the latest the industry has to offer. A sampling? I’ve got FRS, Function Drinks, Twist, Sweet Success, New Leaf, Skinny Water, Muscle Milk, Carpe Diem, Fiji, 24C, Respect, Honest Ade, Vida Tea, Nutrisoda and a bevy of others. Notably absent were any traditional CSD’s, although I did have a few boutique sodas. What can I say?

I’m a rebel.

After perusing my stock, I’ve come to appreciate what retailers must go through every day to create the right mix and assortment for their customers. How do you achieve the right balance and selection to give the consumer? Which brands will be an everyday purchase, and which will be that luxury to savor on special occasions?

Will you be able to articulate the regimens of the new functional drinks that enable them to truly work?

Add to the mix the standard-bearer brands from the big guys and you’ve got quite a dilemma. Do you take cooler space away from them to satisfy the new taste profiles of your customers?

As we enter the key sell-in period for 2008, keep in mind the needs of the customer first.

I love the idea of being able to open my refrigerator and find a plethora of products inside.

It means I have the luxury of knowing exactly what I want, or waiting to see what will strike my fancy when I open the door. Give your customers that freedom of choice, too. After all, if I can fit it into my little unit, you’ve got space galore!

PUBLISHER Barry J. Nathanson bnathanson@bevnet.com EDITORIAL DIRECTOR John Craven jcraven@bevnet.com EDITOR Jeffrey Klineman jklineman@bevnet.com ASSOCIATE PUBLISHER John McKenna jmckenna@bevnet.com ART DIRECTOR Matthew Kennedy mkennedy@bevnet.com PRODUCTION MANAGER Adam Stern astern@bevnet.com BUSINESS MANAGER John Schinn jschinn@bevnet.com SUBSCRIPTION INQUIRIES Adam Stern astern@bevnet.com 617-715-9679 ONLINE RENEWALS & CHANGES www.bevspectrum.com/subscribe ARTICLE REPRINTS (500 copies or more) FosteReprints 800-382-0808 x142 BEVERAGE SPECTRUM PUBLISHING INC. CHAIRMAN John F. (Jack) Craven jack@bevnet.com PRESIDENT John Craven jcraven@bevnet.com EDITORIAL 1 Mifflin Place, Suite 300 Cambridge, MA 02138 ph. 617-715-9670 fax 617-715-9671 ADVERTISING 1123 Broadway, Suite 301 New York, NY 10010 ph. 212-647-0501 fax 212-647-0565

Barry J. Nathanson, Publisher BPA Membership Applied for April 2007 Beverage Spectrum is published 8 times a year by Beverage Spectrum Publishing, Inc.

6

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

Beverage Spectrum Publishing, Inc. is a wholly owned subsidiary of BevNET.com, Inc., 1 Mifflin Place, Suite 300, Cambridge, MA 02138

Bevscape

WHAT’S HAPPENING ACROSS BEVERAGES

US SENATE UNANIMOUS: WE LOVE BOURBON!

ANHEUSER-BORBA Well, if you’re dehydrated from drinking too many Anheuser-Busch products, the company has decided to offer a solution, becoming the primary distributor of a pair of water brands.

Earlier this summer, A-B became a distributor for Icelandic Glacial Spring Water, imported from Iceland. Now, the company has become the distributor for antioxidant-heavy BORBA Skin Balance Waters.

BORBA's Skin Balance Waters include Clarifying, Age Defying, Firming and Replenishing varieties. A-B wholesalers will begin distributing the beverages in select markets in November 2007.

BORBA beverages contain antioxidants, vitamins and botanicals.

Each beverage is formulated to provide a distinct skin benefit, such as a clearer complexion, firmer skin, and help for dry, dehydrated skin.

MONSTER PERFORMANCE AT X GAMES

The U.S. Senate declared, by unanimous vote, September 2007 as “National Bourbon Heritage Month.” The resolution reinforces bourbon as “America’s Native Spirit” by celebrating the family heritage, tradition and deep-rooted legacy that the bourbon industry contributes to the United States. The resolution calls for consumers who enjoy bourbon to do so responsibly and in moderation.

“This is a great honor that the U.S. Senate has bestowed upon the bourbon industry,” said Bill Samuels Jr., president of Maker’s Mark Distillery. “The tradition of family heritage, authenticity and craftsmanship behind bourbon is what has made it an American Icon.”

This resolution is only part of Bourbon’s long relationship with the U.S. government. As America’s only indigenous spirit, bourbon was recognized in 1964 by an act of Congress when it declared bourbon “America’s Native Spirit.”

“The bourbon industry is a source of pride for Kentucky and its Heritage and has served as a major part of the Commonwealth’s economy for over 200 years,” said U.S. Senator Jim Bunning. “I am pleased that Kentucky bourbon will be recognized across this nation in September,” Bunning declared.

The declaration comes as U.S. bourbon consumption is surging, particularly the interest and demand for high-end, super-premium and ultra-premium small batch bourbons. In the United States, since 2003, high-end bourbons have seen revenue grow from $450 million to over $500 million, some 2.2 million cases, according to DISCUS, the Distilled Spirits Council of the United States. High-end bourbon sales accounted for eight percent of total spirits growth in 2006.

8

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

Red Bull might have opened the door connecting energy drinks to extreme sports, but Monster Energy has run into the room and apparently grabbed all the athletes and put ‘em to work.

Athletes backed by the Hansen’s-owned label recently cleaned up at the 13th annual ESPN Summer X Games, raking in a total of 14 medals – five of which were gold.

“Monster Energy’s overall marketing plan is based strongly on core athlete sponsorship. And to see first hand the kind of return we enjoyed this past weekend at X Games 13 was truly remarkable,” said John Lee, Director of Sports Marketing for Monster Energy. “We are ecstatic with the results.”

Some of those results were shockingly unplanned, as in the case of Monster Energy skateboarder Jake Brown, who, much to the shock of the millions of people who watched the clip again and again on YouTube, fell dozens of feet onto a wooden deck, peeled himself off, and walked away.

“Suffice to say we’re relieved Jake is up and about, doing the national network TV tour and already talking about returning to competitive skateboarding here in the near future,” said Lee. Monster Energy also received the lion’s share of the coverage in the motorcycle events, something the energy drink company can trace back to its initial foray into action sports. Monster Energy-backed pro motocross legend Ricky Carmichael had an entire event wrapped around him, the inaugural X Games Moto-X Racing competition.

Monster Energy athletes also swept gold in Moto X Freestyle (Adam Jones), Moto X Best Trick (Kyle Loza), BMX Vert (Jamie Bestwick) and SuperMoto (Mark Burkhart).

Bevscape

WHAT’S HAPPENING ACROSS BEVERAGES

Alan Maxwell Pottasch, known as the father of the “Pepsi Generation” and the creative force behind Pepsi-Cola advertising spanning nearly five decades, died on Friday, July 27, 2007. He was 79.

At the time, he was apparently working on a Pepsi TV commercial in Los Angeles. Although he officially retired from Pepsi in 1991, Pottasch continued to serve as an active creative consultant to Pepsi-Cola and other PepsiCo divisions.

He joined Pepsi-Cola in 1957 and devoted his career to market-

ing and advertising. In the early 1960s, Mr. Pottasch was among the first to recognize the coming youth culture, dominated by socalled “baby boomers.” Of that era he said, “Pepsi named and claimed 25 million young people for its own with a big, sweeping invitation to live life to its fullest.” The landmark effort shifted the focus of advertising from extolling the virtues of a product to celebrating the lives of its consumers – in this case, the young at heart, optimistic and vibrant “Pepsi Generation.”

Launched in 1963, the “Pepsi Generation” was one of the longestrunning, most successful advertising campaigns in history. Although initially aimed at Americans, the campaign proved to have universal appeal and resonated with consumers around the world. The phrase remains an important part of today’s global pop lexicon.

Pottasch’s Pepsi commercials won more than 60 major awards, including the advertising world’s highest honor, the Grand Prix at Cannes. Mr. Pottasch also produced some of the industry’s most famous celebrity commercials.

In addition to Pottasch, in August, the beer industry lost one of its greatest contemporary gurus, Michael Jackson. A somewhat eccentric but colorful author, Jackson published his World Guide to Beer in 1977. The book sold more than 2 million copies, and helped spark an interest in specialty beers worldwide.

The popularity of World Guide to Beer, was followed by Michael Jackson’s Beer Companion, The Great Beers of Belgium, and The Pocket Guide to Beer amongst others.

For many years Jackson also wrote a beer column for London’s The Independent. He contributed regularly to major newspapers and magazines around the world. In the USA his newspaper contributions ranged from The Washington Post to Esquire. Whether in the spontaneity of a Fuller’s Pub in Chiswick,

S

or as part of his acclaimed “Beer Hunter” series on PBS, Michael spoke easily and often of his passion and advocacy for great beer.

ENERGY MALTERNATIVES SCRUTINIZED Although Anheuser Busch has pulled its ill-fated Spykes mixers from store shelves, controversy continues to build regarding energy-laced malt beverages.

Some parental responsibility groups are concerned that the products, while governed by normal restrictions concerning the sale of alcohol to minors, may nonetheless be marketed toward underage youth.

The Marin Institute recently released a report concerning the promotion of products like Bud Extra, Tilt, Sparks, and Rockstar 21. According to the report, underage purchasers are familiar with the effects of energy drinks, but the addition of alcohol might increase the potential for “misjudging one’s level of intoxication.”

“Alcohol producers are taking advantage of the popularity of nonalcoholic energy drinks to sell their products to youth,” said James Mosher of the Pacific Institute for Research and Evaluation. “They package their products to be indistinguishable from nonalcoholic energy drinks, con-

10

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

TAKEAWAY: If you’ve got someone buying the stuff, card ‘em. Don’t be dumb, the attorneys general are getting fired up again.

Y

PB

U IGN

8

5/0

1 01/

FATHER OF “PEPSI GENERATION” DIES; SO DOES KING OF BEER WRITING

Higher Milk Sales.

No Sweat.

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Qmvt-!uif!dibodf!up!xjo!gvmm!nfncfstijqt!cz!foufsjoh!njml!VQDt! pomjof/!Uif!qspnpujpo!svot!Nbsdi0Bqsjm!3119/!Bmm!zpv!offe!up! ep!jt!qptu!uif!jo.tupsf!nbufsjbmt/+ Dbmm!zpvs!qspdfttps!ps!BEB!sfqsftfoubujwf!opx-!ps!dbmm!uif!!

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fusing consumers, retailers, parents, law enforcement officials, and others who can’t tell which drinks contain alcohol and which do not.”

Meanwhile, it appears that A-B wasn’t necessarily barking up the wrong tree when it came up with Spykes. While the product might have been a bad idea, the name wasn’t: the branding consultancy TippingSprung conducted a brand name survey along with the marketing newsweekly Brandweek and determined that, yes, the best new spirits or cocktail mix name was – you guessed it! – Spykes. The now-pulled product came up with 33 percent of the votes, even after its withdrawal. The vanilla liquor Kajmir came in second.

The 2007 survey, was sent to branding and marketing professionals.

The 1,331 senior marketing and branding professional respondents came from a cross-section of companies including CitiGroup, Disney, Toyota, Unilever, General Mills, Clorox, Accenture, Kraft, and PepsiCo. ©Curves International Inc. Curves is a registered trademark of Curves International, Inc. *Final offer is subject to change.

©2007 America’s Milk Processors. got milk? ® is a registered trademark of the California Milk Processor Board.

Channel Check

september – october 2007

Flavored Milk/Eggnog/Buttermilk

SPOTLIGHT CATEGORY

MILK/MILKSHAKES 52 Weeks ending 6/17/2007 A look at the flavored milk segment reveals one of the great unsung power brands: Nesquik. With north of $100 million in supermarket sales – and many more in convenience – the brand adds as much to the Nestle bottom line as Ozarka. It does pretty well in milkshakes, too, leading the category – except look out for Odwalla, one of the new-age companies that has figured out dairy can be as much of a functional food as juice. For pure enjoyment, Ben & Jerry’s milkshakes, branded via PepsiCo, had a good first year; how much more upside can there be, though?

Dollar Sales

Change vs. year earlier

Private Label

$222,489,800

-0.8%

Nestle Nesquik

$105,988,900

4.1%

Deans

$26,240,100

-6.3%

Kemps

$20,548,520

13.4%

Prairie Farms

$16,938,130

15.7%

Borden Milk Products

$14,983,240

-5.0%

Mayfield

$11,991,750

-5.3%

Garelick Farms

$11,755,580

0.7%

Hiland

$11,403,530

-1.7%

Hood

$11,325,320

2.5%

$

Heading Up: Prairie Farms

52 Weeks through 7/15/07 SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

Milkshakes/Non-Dairy Drinks

Dollar Sales

Change vs. year earlier

Nestle Nesquik

$18,610,180

-2.1%

Hersheys

$11,884,620

-29.7%

Rice Dream

$9,924,097

13.8%

Odwalla Super Protein

$6,764,477

50.1%

Kerns Aguas Frescas

$4,016,321

32.1%

Ben & Jerrys

$3,525,237

40,597.8%

Private Label

$2,417,990

-3.0%

Shamrock Farms

$2,156,515

24.7%

YooHoo

$1,823,511

3.9%

Don Jose

$1,809,492

14.0%

FIJI WATER SKEWS PROFITS

Heading Up: Odwalla

52 Weeks through 7/15/07 SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

TOPLINE CATEGORY

VOLUME

52 Weeks ending 7/15/2007

CSD’s

ENERGY DRINKS

$13,523,680,000 -2.5%

$761,457,200 34.4%

BOTTLED WATER

SPORTS DRINKS

$5,000,168,000 11.2%

$1,644,615,000 4.8%

Thirsting for profits? Every size of FIJI Water is enjoying double-digit growth.* Behind every bottle

BEER

TEA/COFFEE

is an equally exceptional consumer; not only do they purchase gourmet items when they shop, but

$6,033,512,424 2.0%

$1,386,132,000 26.2%

they’re so loyal that they’ll go out of their way to find FIJI Water.** All of which is exceptionally

BOTTLED JUICES SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

$4,313,367,000 4.5%

12

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

refreshing for your business.

Natural Artesian Water 888.426.3454 www.fijiwater.com *IRI 5/28/06

2007

**Synovate 4/03 ©2007 FIJI Water Company LLC. All rights reserved.

Channel Check

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888-33-SHOCK OM SHOCKCOFFEE.C

september – october 2007 ENERGY

Dollar Sales

14.1%

Red Bull

$312,695,500

20.3%

$119,434,300

63.4%

$89,972,540

46.6%

RFG TEAS

Dollar Sales

Change vs. year earlier

Turkey Hill

$65,225,400

Red Diamond

$31,545,340

31.9%

Monster

Pom Tea

$29,754,030

303.1%

Rockstar

Private Label

$25,974,190

18.9%

Full Throttle

$47,658,780

29.7%

Bolthouse

$17,620,020

-3.6%

SoBe No Fear

$33,342,170

13.0%

Nestea

$15,286,020

37.7%

Amp

$26,769,980

17.0%

$17,225,470

-16.8%

$13,175,860

72.0%

Milos

$12,218,340

15.0%

SoBe Adrenaline Rush

Swiss Premium

$10,379,540

39.9%

Tab

AriZona

$8,354,942

-9.7%

Monster XXL

$9,297,631

177.7%

Arnold Palmer Tee

$4,668,473

91.0%

Rockstar Juiced

$8,342,798

2,430.2%

52 Weeks through 7/15/07 SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

Heading Up: Rockstar Juiced

IMPORT BEER

Dollar Sales

CONVENIENCE/PET STILL WATER

Dollar Sales

Corona Extra

$491,829,568

2.0%

Private Label

$598,263,600

Heineken

$309,527,968

3.5%

Aquafina

$516,836,800

5.9%

$453,333,000

11.1%

Heading Up: Pom Tea

Change vs. year earlier

23.0%

$130,526,112

8.6%

Tecate

$90,118,368

7.9%

Glaceau Vitaminwater

$268,367,800

122.8%

Heineken Light

$65,212,500

179.6%

Poland Spring

$265,215,800

12.8%

$196,356,500

-1.8%

Modelo Especial

$57,991,360

19.5%

Propel

Newcastle Brown Ale

$51,055,408

15.0%

Arrowhead

$183,089,400

9.6%

Labatt Blue

$49,900,944

-1.7%

Deer Park

$149,929,900

18.4%

Guinness Draught

$49,845,708

7.8%

Nestle Pure Life

$110,382,000

53.9%

-2.4%

Crystal Geyser

$108,340,400

32.0%

$47,409,696

52 Weeks through 7/15/07 SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

Heading Up: Glaceau Vitaminwater

DOMESTIC BEER

SPORTS DRINKS

Dollar Sales

Dollar Sales

Change vs. year earlier

52 Weeks through 7/15/07 SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

Change vs. year earlier

Bud Light

$1,426,511,360

2.9%

Gatorade

$667,630,600

-4.6%

Budweiser

$755,135,104

-4.8%

Powerade

$212,513,500

7.0%

Miller Lite

$731,365,568

0.8%

Gatorade Rain

$144,316,200

116.0%

Gatorade Frost

$143,189,200

0.6%

Gatorade All Stars

$123,274,800

20.7%

Gatorade Fierce

$93,260,540

-9.7%

$89,389,180

10.2%

Coors Light

$636,312,704

2.4%

Miller Genuine Draft

$167,483,744

-7.6%

Budweiser Select

$113,373,256

-17.4%

Coors

$62,001,736

-7.1%

Gatorade X Factor

Icehouse

$58,237,604

-1.5%

Gatorade AM

$36,552,210

N/A

Yuengling Lager

$39,196,464

18.6%

Powerade Option

$19,098,400

38.7%

Bud Ice

$23,706,340

-3.7%

Gatorade Xtremo

$14,604,880

-30.3%

52 Weeks through 7/15/07 Heading Up:Yuengling Lager SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

2007

Change vs. year earlier

Corona Light

Heading Up: Heineken Light

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

52 Weeks through 7/15/07 SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

Dasani

Becks

14

Change vs. year earlier

Heading Up: Gatorade Rain

52 Weeks through 7/15/07 SOURCE: Information Resources Inc.Total food/drug/mass excluding Wal-Mart

SEPTEMBER – OCTOBER

2007

\\ BEVERAGE SPECTRUM

15

NEW PRODUCTS Coffee

by honoring the creator of Old Forester with this year’s expression of Birthday Bourbon. Brown was not only the founder of Old Forester, but the first distiller to bottle whisky to ensure flavor and quality. The 2007 edition of Birthday Bourbon is bottled at 94 proof and was barreled in the Spring of 1994. Depending on the market, Birthday Bourbon, a Brown-Forman product, retails between $35 - $40, and is sold at most liquor stores. For more information, call Brown Forman at (502) 7746949.

Coca-Cola North America (CCNA) and Caribou Coffee have announced a national launch of a new line of premium ready-to-drink iced coffees.

Caribou Iced Coffee will be available in three flavors: Regular, Espresso, and Vanilla, and will be packaged in a unique 12 oz. reclosable Alumi-Tek aluminum bottle from Ball Corporation. The suggested retail price will be at parity with the category in leading convenience stores and other retail outlets initially in Minneapolis, Chicago, Atlanta, Cincinnati, Columbus, Detroit and Kansas City, and will be available in Caribou Coffee retail outlets in coming months. The Caribou Iced Coffee launch will be supported with sampling, in-store merchandising and print and radio marketing. For more information, contact the Coca-Cola Co. at (770) 565-5440.

Energy Drinks The Healthy Beverage Company has introduced three new crisp and refreshing flavors of Steaz Energy. Lime, Orange and Diet Berry will give health conscious consumers fun new flavor options Introduced in January 2007, Steaz Energy is the world’s first and only Organic and Fair Trade Certified energy drink. The natural boost in Steaz Energy comes from four quality ingredients: organic Fair Trade Certified Ceylon green tea from Sri Lanka, organic Guayaki yerba mate, organic Sambazon Acai, and organic Guarana. This product will be line priced with original Steaz Energy.

For more information, contact Healthy Beverage Company at (215) 321-8330.

The Liquid Experience Group has launched Voodoo Vibe, an effervescent drink in its Jimi Hendrix line. Labeled with the charge of peace, love, purpose, is now available in stores nationwide.

The mixed-berry flavored energy drink invites people to “taste life” and is also aimed at promoting and encouraging consumers to live charitably as a portion of all sales is donated to MusiCares, a program that aids musicians as well as other philanthropic programs through The Liquid Experience Partnership Program. The price range for the regular 16 oz. can is $2.49 to $2.69 per can.

Voodoo Vibe will also be promoted within various concert tours throughout the next 12 months.

WildLife Energy Drink, new from the Stevens Point Brewery, delivers “Energy for the Great Outdoors.” Dedicated to outdoorsmen everywhere, WildLife Energy Drink is the result of a unique partnership between the Stevens Point Brewery and Mike Keyes of the “Keyes Outdoors” television show, seen every Saturday on Fox Sports Net.

Spirits The German spirits house Underberg has released XUXU, a fresh strawberry puree with vodka. Currently available in key US markets, XUXU retails at $20 per 1 L bottle. Fore more information, call Underberg at (415) 567-6988.

Dos Lunas Tequila is launching Dos Lunas Anejo in September 2007 and Dos Lunas Grand Reserve, a limited edition "Extra Anejo," in November. The Anejo will continue the premium quality Dos Lunas Tequila has come to embody. Dos Lunas Anejo, like its predecessors, will be chemical-free and all-natural. MSRP’s are $49 and $54. Dos Lunas is available through Republic National Distributing Company. For more information, call Dos Lunas at (915) 533-2000.

Hiram Walker is stepping up its long tradition of innovation by introducing the seasonally influenced liqueur Hiram Walker Pumpkin Spice. This product will hit retail stores on Oct.1, just as the autumn leaves start to turn and will be available through the end of November. Available in both a 750 mL and 1 L size for the October/November period only, the suggested retail price will be $8.9911.99 for the 750 mL. For more information, call (203) 254-8225.

Old Forester is blowing out the candles on founder George Garvin Brown’s 161st birthday

16

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

©2007 Anheuser-Busch, Inc., Michelob® Lager (Beer in TX) and Michelob Light® Beer, St. Louis, MO

Dedicated to the American outdoor sportsman in every way, from its distinctive outdoor-themed packaging to its support of wildlife conservation projects and outdoor programs, this product is sold in cases and 4-packs of 16 oz. cans. For more information call the Stevens Point Brewery at 715344-9310.

bines 20 grams of whey protein with an energy formula in a sugar-free, non-carbonated beverage.

WheyUP Citrus will be sold in ready-to-drink 16 oz. plastic bottles and will be available in September.

Pricing is $2.99 per bottle. For more information, contact WheyUP at (480) 628-1611.

ELATIONS, a new joint health drink endorsed

by Jerry Rice, promises to nourish your joints and keep you moving. This once-a-day refreshing fruit-flavored drink helps reduce joint pain and improve mobility through a unique 4-in-1 formula: Glucosamine and Chondroitin (naturally found in

Sports Drinks WheyUP LLC has introduced a new flavor to the U.S. sports drink market. WheyUP Citrus com-

NEW DRINK REVIEWS Mix 1

Function House Call

Hansen’s Natural Sparkling Water

JuicedUp! Energy

Ayala’s Herbal Water

Burn Sugar Free

VidaTea

Monster M-80

Gus Dry Cola

Accelerade

V&V Energy, Sugar Free

Boo-Koo Energy Punch

Naked Juice Probiotic

Aqua-T Energy

Jones 24C

Luvli Mega Beet

Syzmo Energy

PJ Purple Label

Hunid Racks Mac Dre Edition

Adina Organic Coffees and Chai

Turn Left Energy

Sweet Leaf Diet Mint and Honey

Adina Organic Juice Coolers

O.N.E.

Jimi Hendrix Liquid Experience

essn Pomegranate & Montmorency Cherry

EQ Thirst Equalizer

OC Energy

Steaz Energy

New Leaf Peach Blue Tea

Go Appetit

Yacht Club Soda

Sun Shower Nectarine Juice

Vital Lifestyle Water

Crunk!!! Sugar Free

SENCE Rare European Rose Nectar

Cafe Sepia Teas

Rudy Revolution

Who’s Your Daddy Sugar-Free Green Tea

Teany Teas

Malava Relax

White Rock Raspberry Cream Soda

Harney & Sons RTD Teas

From July 25 to press time.

To see reviews, visit www.BevNET.com

18

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

the body, but at decreasing levels over time) at the same levels as triple-strength joint supplements; a patented, more absorbable form of Calcium; and 100% of daily Vitamin C. The product will launch nationally in September in two flavors: Raspberry White Grape and Cranberry Apple, in 6-packs or individual 8 oz. recyclable bottles. Suggested retail price for the 6-packs will be in the range of $7.49-$8.49, and $1.39-1.49 for the individual 8 oz. bottles. For more information, call (206) 270-4635.

as the limited-edition packages hit store shelves in select markets throughout the United States.

Proceeds from the sale of the hunting-themed packaging, available in 24 and 30-pack cans, will contribute to Miller High Life’s continued support of Whitetails Unlimited, Pheasants Forever and the National Wild Turkey Federation. The High Life hunting packaging is scheduled to remain on store shelves through October, but supplies may vary from market to market. This product will be line-priced with other Miller offerings. For more information, call Miller Brewing at (414) 931-3377.

Heineken USA has rolled out its new, cuttingedge Heineken Premium Light Draughtkeg. This latest innovation from Heineken features specially-designed, patented pour technology to keep Heineken Premium Light fresh for up to 30 days after tapping while providing consumers more opportunities to enjoy and share the ultimate premium-quality draught beer experience anywhere.

The Heineken Premium Light Draughtkeg reached national availability in August; Heineken suggests a retail price of $19.99. For more information, call Heineken USA at (914) 681-4153.

From Anheuser Busch comes Jack's Pumpkin Spice Ale, a limited edition autumn beer brewed with select seasonal spices and real Oregongrown Golden Delicious pumpkins. Available nationwide through November, this popular robust ale has aromas of pumpkin, nutmeg, ginger, cinnamon and clove. Brewed at the Anheuser-Busch Fort Collins, Colo. brewery, Jack's Pumpkin Spice Ale has 5.5 percent alcohol by volume (ABV) and is available on draught at bars, clubs and restaurants, as well as in 12 oz. bottles in six-packs at grocery and convenience stores. Jack's Pumpkin Spice Ale is the first in Anheuser-Busch's series of seasonal beers, which also includes Winter's Bourbon Cask Ale, Spring Heat Spiced Wheat and Beach Bum Blonde Ale. For more information, contact Anheuser-Busch at (314) 577-7530.

Water Both Ozarka and Arrowhead have new a new Ecoshape bottle in their half-liter size, with about 30 percent less plastic than the average half liter plastic beverage container. The new bottle is billed as the lightest half liter plastic beverage container on the market today. Ozarka Eco-shape is currently available throughout the Southwestern region of the United States at local grocers including H.E.B., Albertsons and CVS as well as through mass merchandisers such as Target and Wal-Mart and Club stores, while Arrowhead is available in the Western region of the U.S. In grocery stores, the Ecoshape is sold in a 6-pack with a suggested retail price of $2.49 or in a 24-pack with a SRP of $4.99.

In some markets it is also available in a 12-pack, 28-pack, or 35-pack. For more information, contact Nestle Waters NA at (617) 939-8388.

CSDs Gamers anxiously awaiting the September 25 launch of Halo 3 will now have the perfect drink to get them ready for play – Mountain Dew Game Fuel. Created in conjunction with Microsoft's Xbox 360 exclusive title, Halo 3, Game Fuel has the same Mountain Dew flavor with a blast of citrus cherry and 30 percent more caffeine for a unique and invigorating taste. Game Fuel will be available in 20 oz. bottles, 2 L bottles and 12-packs of 12 oz. cans through November. For more information, call PepsiCo at (914) 253-2964.

Tea Ferolito Vultaggio & Sons, makers of AriZona Beverages, have introduced a new 20 oz. single– serve, wide-mouth plastic bottle for their AriZona products. Seven AriZona products are being packaged in the new plastic 20 oz. bottle. Lemon Tea, Green Tea, Diet Green Tea, Pomegranate Green Tea, Sweet Tea, Raspberry Tea and Arnold Palmer Half & Half will be available in the new package.

Beer This fall, frequent hunters’ friend Miller High Life is donning its own blaze orange attire and hunting-themed packaging to make sure consumers are properly equipped for their post-hunt celebrations. The hunt for the High Life begins Sept. 1,

20

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

Taking the Lead in Lightening Our Environmental Footprint Energy Reduction is a Major Step More and more consumers are looking for ways to be environmentally responsible.

Nestlé Waters North America has made it easier. We’re the first and only beverage manufacturer with five LEED certified plants in the U.S. and over the last five years we’ve managed to save 1.5 million kWh of energy from these plants, as well as reduce by 30% the total CO2 emissions produced per liter of finished product water from plant energy sources. Changing the world doesn’t happen overnight, but Nestlé Waters is making strides, one step at a time.

Make a difference in your store today with leading bottled water brands from Nestlé Waters North America.

©2007 Nestlé Waters North America Inc.

The 20 oz. bottle is made with amber plastic to help preserve and protect the products and keep them fresher longer. The new package is making its way to store shelves this month in AriZona test markets in New York, Florida and Chicago. The package has a suggested retail of $1.29/bottle. For more information, contact AriZona at (513) 3574750.

tors nationwide. For more information contact Stirrings at (212) 754-1400.

Malternatives Geloso’s O’Sullivans is a malt-based product that comes in two flavors, B-52 and Irish Cream. They have the cream flavor of the traditional sprit-based product with 12.5 percent alcohol by volume. The B-52 is sold in 4-packs of 250 mL glass bottles, while the Irish Cream is in 750 mL glass bottles.

MSRP is forthcoming. For more information, call Geloso Beverage Group at (585) 359-3658.

Mixers Stirrings, the innovative cocktailing brand, has introduces limited edition Sugar Plum and Egg Nog Mixers to their growing holiday product selection.

These products retail for $10.95 and are available through liquor, foodservice and gourmet distribu-

INTRODUCING THE NEXT BIG LEADER IN ASSISTS

TWO-TIME MVP STEVE NASH

AVAILABLE IN:

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!

NL I NEEW -UP

Clearly Canadian’s NEW line-up of premium, non-carbonated daily beverages will assist your body by delivering the vitamins, minerals and nutrients needed to get you through your day. Witness a boost in sales from the next big leader in assists. Add this diverse new family of health-conscious products to your shelf set today.

Available in a variety of great tasting natural fruit flavors with low to zero calories per bottle.

For more information contact Clearly Canadian at 1-800-735-7180 or visit us online at www.clearlyenhanced.ca

22

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

GERRY’S INSIGHTS

Exotic Fruits, Traditional Nutrition few weeks ago, The New York Times accorded three columns to an obituary of Bill Whitman, mainly for his achievement of having popularized the mangosteen fruit.

Until just a few years ago, I would have guessed that mangosteen was just Dutch street slang for mango, so the magnitude of the obit brought me up sharply on how much interest and profit potential there can be in exotic fruits.

Judging by recent trends in the beverage business, Whitman truly deserved all the ink he got, because marketers seeking new concepts have begun to ransack exotic fruits with dizzying frequency. Just as I write this, Frutzzo is claiming to have introduced the first beverage based on the yumberry. (Seriously? This is not just some small spherical globule created by a breakfast cereal company out of sugar, xanthan gum and artificial coloring to throw in among the sugar-coated flakes?)

If you think about it, though, the trend seems almost inevitable. With consumers turning to items they would like to believe are natural and authentic, it stands to reason that hitherto unheard-of fruits, in the right hands, can be presented as compelling new news. Throw in the elevated nutrient levels that many of these contain, and they also play right into the push to offer “functional” products to consumers looking for psychological cover for their BigMac-and-fries habits.

If you’ve read Michael Pollan’s very rich The Omnivore’s Dilemma, you’ll understand why, as a nation of assimilated immigrants unmoored from their traditional cultures, the United States is particularly susceptible to food fads, swapping one ingredient or nutrient for an-

24

other as we veer from regimen to regimen. By contrast, traditional food cultures have evolved over centuries to blend locally available food ingredients into just the right recipes to provide a balanced nutritional blend – say, via the protein complements of the rice-and-beans diet seen in many Latino cultures.

Viewed through that lens, exotic fruits can be seen as a fad, yes, but one that at the same time manages to tap into this sense that we are missing out on traditional wisdom. So if that longtime mainstay of caring moms, orange juice, has been demonized out of our diets and some consumers have been educated to steer clear of “junk” components like pear and white grape juice in the “100% juice” beverages they used to feel so good about, replacements have been abundant as previously annoying fruits (pomegranate, anyone?) and unheard-of fruits (mangosteen, açai, acerola, wolfberry, yumberry) suddenly take their place as nutritionally correct.

If their exoticism adds a mystique that makes consumers want to drink them even more, well, that’s all for the good, right?

Since many of these fruits really are rich in nutrients, I would say, guardedly, yes. The whole setup can be a win-win situation offering better nutrition for consumers and higher margins for producers in a segment that has always suffered from punishing economics. But there are a few caveats. For one, consumers should not delude themselves about the calorie content of many of these drinks. They may be “better” calories but they’re still calories. More ominously, we seem already to have reached the point where bigger companies are beginning to use these ingredients as flavor notes in otherwise conventionally

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

Wolfberry; Not just another pretty fruit.

formulated drinks. Take açai. In my newsletter, I’ve been championing this Brazilian rainforest berry for quite a few years, and I think products made with integrity, like Sambazon’s refrigerated smoothies-in-a-bottle, are a potential boon to consumers. (It’s frustrating that Sambazon doesn’t have a shelf-stable version yet, but the delay stems from the best of reasons: the company so far is unwilling to put up with the nutritional tradeoffs that devising one would entail.) Now think of all the other items – from soft drinks to energy drinks to iced teas – that have popped up in the market over the past year with “açai” in the flavor name but the fruit’s ranking in the ingredient list many slots down from water and sugar. Let’s hope those machinations, as inevitable as they are, don’t end up souring consumers on the promise of these very intriguing fruits.

Longtime beverage-watcher Gerry Khermouch is executive editor of Beverage Business Insights, a twice-weekly e-newsletter covering the nonalcoholic beverage sector.

strange fruit

The more

I

’ve just had my first taste of Wolfberry, and before I’ve even had the opportunity to drop my sample cup in the trash, the selling has begun.

An ingredient company rep is running through a litany of advantages owned by this burgeoning “superfood,” including its antioxidant properties and its link to Tibetan monks, who, in the process of living a long, blissful life, apparently eat these things by the fistful. She doesn’t mention that it’s also known as Goji berry, but it is.

Skeptic that I am, of course, I think it’s a bit farfetched, although I’m always willing to be convinced. But before I even have a chance to hear her argue for the consumer appeal of a product whose main selling point appears to be a tenuous link to the Dalai Lama – not a real licensing wizard, the Lama – I’ve got another sample in my hand, for a ginger/mango extract that’s supposed to clear up my face. And then a green tea and mangosteen blend that’s supposed to “help with stress.” What do they mean by that? It increases stress? What happens if I drink it with Wolfberry? Will I be cranked up but not cranky?

And what about these other products, all of which are bubbling away down the aisle at this gathering of food technologists? These various mixtures of juices and extracts designed to create the next functional beverage craze? How many of them will be adopted from their obscure origins to become another mainstream juice, then launch a set of juice coolers,

exotic, the better for juicemakers. by: Jeffrey Klineman

followed by a dozen or two purple- or yellow-looking enhanced waters fortified with that fruit, in what has become an established pattern of dissemination: high-end, glass-bottled juice to enhanced water flavoring and gourmet soda, to sports drink and energy drink flavor, followed by an excursion into the cocktail world, either as a mixer or a flavoring, and then finally the arrival of the fruit as either a high-end vodka or a DeKuyper flavor. That was certainly the path followed by both pomegranate and Acai, the most popular exotic, antioxidant-laden superfruits of recent vintage.

At a time when natural foods and functional foods are colliding in the supermarket and smoothie bars of the world, the search for the next great fruit is one of global proportions. The idea that a massive Indonesian mangosteen from South America, or a stinky durian from Thailand, or even a handful of tiny Maine blueberries might be the main ingredient in the next great American juice craze is one that has beverage companies scouring the planet for odd patches of saleable cellulose.

“This guru group of people, these ‘early adopters,’ are all over the globe,” says Barr Hogen, a former chef who now provides flavor and nutrition advice for companies that include the Coca-Cola Co.-owned Odwalla. “It’s all about keeping the palate intrigued with new flavors and fruits.”

Fortunately, as a retailer, you’re not going to have to hack and slash your way across the five continents. But you’re still going to have to find your way through the miracle juice jungle, where Wolfberries and Dragonfruit lurk to sink their fangs into your shelf space – or maybe to provide an exotic boost to your bottom line. That’s because the right kind of juice can indeed becoming a raging beast at the register. Again, look at pomegranate, which, over a two-year period, launched a fresh juice-based incursion into the produce aisle almost entirely by itself. Or the cranberry, that once inedible bogfruit that became the source of all juice cocktails, as well as a

26

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

remedy for all manner of physical problems. Or the once-unknown Acai berry, a jungle product whose popularity has soared so much in the past five years that it has caused price spikes that have reportedly made it hard to acquire for the Brazilian villagers who have lived off it for years.

We can’t predict the future completely, but our discussions with various beverage marketers and flavor houses have left us convinced that the highend juice market will indeed be one that continues to expand geographically to include a wide variety of what are now considered exotic fruits.

The reason for this expansion is the ongoing influence of functionality on the beverage market overall, combined with the potential for naturallyoccurring functionality within the fruits themselves. As customers “shop the perimeter” of groceries with increased frequency, and as packaging and shipping improvements allow more of the nutritional qualities of juices to remain intact on their journeys to various sales channels, juices will become more closely associated with functionality than ever before.

A study from the Hartman Group, food market research firm in Bellevue, Wash. recently indicated that 100 percent juice is considered the 2nd most popular “healthy beverage” consumers seek out, behind plain water, and is a more popular source for vitamin and mineral fortification than fast-growing products like enhanced waters. And that fortification often happens through the proper blending of various juices.

But it goes beyond a simple “Extra C” notation these days. One of the hottest label parts for fruit juices in the coming years will be Oxygen Radical Absorbance Capacity – ORAC – a measure of the strength of the mix of antioxidants present in the fruit juice. Absorbing “free radicals” – those rogue sources of cell decay that are tied to all manner of awful disease, particularly cancer.

The idea that a juice might provide a secret source of longevity or bone health or fight heart disease is one that’s not overly modern – it’s just that the search for the science behind what might once have been considered folk remedy has dovetailed with a society that is increasingly interested in the gourmet.

“In addition to health, people are looking for anything new, as well,” says Paul Riker, the manager of manager of beverage applications for the ingredient company Mastertaste. “There’s always a new story behind a new superfruit. Some of them aren’t necessarily the best-tasting on their own, but in a combination they are very acceptable – particularly as part of a beverage.”

And these superfruits are also potentially healthy for the bottom line – one need look no further than at the growing success of cold premium juices in the produce aisle to understand that consumers will pay up for exotics. Of course, if you’re planning to stock up, you should know what you’re stocking – and what to request from your marketer or distributor.

That’s what happened with wonder-fruit Acai, for example, which shot up in popularity after its initial importation by Sambazon only after retailers began demanding it on behalf of their consumers.

“The retailer kept going back and saying ‘hey, how come you don’t have Acai?” Hogen said.

So here’s a list of some of the superfruits of the future. They’re the ones

SEPTEMBER – OCTOBER

2007

\\ BEVERAGE SPECTRUM

27

you should be looking for down the line, along with some information on their origin and purpose. Note that upon hearing about these products, you should be prepared to strike, because you might be able to be the only retailer carrying it for a long time to come.

“I met Jeremy and Ryan Black (the founders of Sambazon) seven or eight years ago, and they were basically sneaking into shows,” she says.

“Their work is really starting to pay off, but it took a while.”

According to Hogen, there’s still a wide horizon for Acai, which has just broken into mainstream products as both a flavoring and additive. But she’s also very interested in the Lucuma Fruit. “It’s the #1 flavor for ice cream in Peru,” she said. “It’s ground up into a powder for import, and it’s high in potassium, beta carotene and Niacin.”

Another adventurous company is Adina, whose founder, Greg Steltenpohl has looked far and wide for products that will fit into his “miracle fruits” line. While he, too, uses pomegranate, he’s also interested in the Tamarind – a high antioxidant, vitamin C-enhancing product popular in Mexico and India – and has incorporated products like Mangosteen (sweet and creamy, with a high antioxidant count), and even Purple Maize, a nutrient rich corn from South America that is high in anthocyanins, another antioxidant compound.

The reason behind all this interest in antioxidants? “There was an old study that the greatest source of antioxidant in the US diet is ketchup on French fries,” says Steltenpohl. “From an on-the-road, on-the-go standpoint, beverages are the best delivery system for high amounts of antioxidants, and that’s not going to change. The food technologists have to keep working on serious products that can deliver.”

From that food technologist side comes the opinion of Riker and his Mastertaste beverage compadre Steve Fowler.

Both have very high opinions with regard to the Goji berry (there’s that Wolfberry again!), noting it has already made it into products like Anheuser-Busch’s 180 energy drink, in addition to other juices.

“Goji is really an up-and-coming one,” Fowler said. “It’s astringent, almost cranberryish in taste, and in addition to its antioxidant properties, it might enhance the immune system, and help offer insulin resistance.”

For a less astringent high-antioxidant fruit, Fowler has another, more domestic idea: the wild blueberry. “It’s hard to beat – they’re right at the top,” he says.

“Acerola is another one that’s finding some use,” Riker said. “It’s also very sour, but it’s high in vitamin C.” With all of these juices, excepting mangosteen, blending is the key, the technologists agree. But that might not be the worst thing in the world, Steltenpohl says, both from the standpoint of bringing a variety of potentially salubrious effects to the same drink, and from a straight flavor aspect, as well.

“That’s one of the things I love – people really enjoy exploring new flavors,” says Roland Smart, the marketing director for Adina. “Tasting these beverages is a more complex experience than the others that are on the market. You really get the beginning, middle, and end to the flavor.”

28

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

brand news:

Juice

Uncle Matts – Uncle Matt’s Organic has introduced two new organic orange juice blends: Orange, Pineapple, Banana and Orange, Peach, Mango, made only from 100 percent juice using the freshest blends of USDA certified organic fruit. The blends are available in convenient 32 oz. ounce bottles and delivered to stores in 6-pack cases, a “smarter” pack for faster turns.

In the same launch, the company will also be introducing an organic Homestyle Lemonade made from organic sun-kissed lemons that de-

SkylarHaley – Essn is the first 100 percent all-

liver a delicious, fresh-squeezed taste. Both the

natural juice line made with exotic varietal

fruit juice blends and the lemonade are offered

fruits. Each specialized fruit blend packs the in-

in plastic bottles made from clear PET plastic

tense flavor of vine-ripened fruit and contains

#1, an important feature for easy recycling.

no preservatives, additives, or artificial sweeteners. Essn Sparkling Juices are available in

Sweet Leaf – Sweet Leaf Tea, a Texas-born and

fuji apple - meyer lemon, blood orange & cran-

brewed bottled tea company and one of the na-

berry, mineola tangerine, and the most recently

tion's leading all natural tea brands, launched

launched pomegranate & montmorency cherry.

an organic lemonade line in Spring 2007. The

They are packaged in a sleek 8.4 oz. bullet can,

“lemonade stand” line features three, fresh-

which was featured in the front page of Pack-

squeezed, granny-inspired flavors, including

age Design Magazine.

Organic Original Lemonade, Organic Peach Lemonade and Organic Cherry Limeade, all

Leading Brands – This summer, Leading Brands,

available in keepsake, 16 oz. glass mason jars.

announced that its TrueBlue Blueberry Juice

Each bottle of freshly-made lemonade features

brand had been recommended by 7-Eleven,

real, organic lemon and lime juice, not made

Inc., America’s largest convenience store chain,

from concentrates.

to its stores throughout the United States. More

NBI Juiceworks – Adding to its selection of

than 5,300 7-Eleven store locations are now

pure-pressed nectarine juices, Sun Shower has

able to purchase two flavors of the fast grow-

rolled out two new flavors to its line of 100 per-

ing blueberry juice brand in its single serve 16

cent nectarine juices. Sun Shower Nectarine

oz. version.

Acai and Sun Shower Nectarine Pomegranate became available for mid-August distribution.

Nevada Rose LLC – Nevada Rose’s Sence Rare

Sun Shower Nectarine Juices are also a terrific

European Rose Nectar is now available in retail

source of vitamins, minerals and antioxidants.

outlets in more than twenty-five states and it is

Currently available in two sizes, convenient 12

served in restaurants, lounges, nightclubs, re-

oz. and 28 oz. containers, Sun Shower’s original

sorts and spas across the country. Sence can be

three flavors are Nectarine, Nectarine Berry and

served alone as a refreshing alternative to soft

Nectarine Mango.

drinks and juice or it can be mixed with them.

It can also be used as a cocktail ingredient. It

Cadbury Schweppes – Last year, Cadbury

is made from the petals of the centuries-old Ka-

Schweppes-owned Nantucket Nectars rolled

zanlak Rose, transplanted to Bulgaria from Syr-

out a 100 percent juice Pomegranate Cherry

ia and Egypt in 1256 A.D. As the Kazanlak Rose

line extension to capitalize on the burgeoning

is known to contain high levels of antioxidants,

antioxidant craze. Additionally, the company

Nevada Rose, LLC has assembled a medical /

recently finished a “phrase that pays” promo-

health advisory team to appraise the potential

tion featuring prizewinning phrases on the bot-

health benefits of Sence.

tom of its bottlecaps.

30

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

Sambazon – Sambazon has created a new

mL aluminum cans come in 24 count trays in

organic antioxidant juice to extend their

flavors that are tested for the ethnic consumer

award winning line of organic açaí juices and

and are sold in independent chain stores.

smoothies.

Antioxidant Trinity is an exotic

Honest Tea – The makers of Honest Tea are of-

berry blend that brings together three antioxi-

fering a healthy solution to childhood obesity.

dant-rich berry powerhouses for a light and re-

Honest Kids, like all Honest Tea products, are

freshing juice with tremendous health benefits.

USDA Certified Organic and all-natural. They

Antioxidant Trinity features organic açaí – a

come packaged in portable pouches and are

purple berry that grows in the Amazon Rainfor-

available in three flavors: Berry Berry Good

est. Rounding out the Trinity are organic blueberries and organic pomegranates.

Lemonade, Goodness Grapeness and Tropical

Lightly

Tango Punch. Honest Kids contain 100 percent

sweetened with organic blue agave, Antioxidant Trinity also has more than 1200 percent of

of the daily recommended value of Vitamin C,

the RDA of Vitamin C per bottle, making it one

just 40 calories and only 10 grams of sugar. They

of the most powerful antioxidant beverages on

are available at Whole Foods and Target stores

the market. This product is available as a fresh

and are sold in packages of eight pouches.

juice found in the produce section, in a single

Sundia – Sundia Corporation, the only mass-

10.5 oz. serving size.

producer of watermelon juice, has reformulat-

Old Orchard – Old Orchard Brands has expand-

ed its line of 100 percent juices to better cap-

ed its winning Healthy Balance line of low-sugar

ture the essence of summer’s most popular and

fruit juice cocktails with the addition of Healthy

most nutritious fruit. The new and improved

Balance Pomegranate juice cocktail, the first

juices have begun making their way onto re-

reduced-sugar pomegranate juice product for

frigerated shelves in the produce sections of

the U.S. market. The beverage features 75 per-

grocery stores nationwide. With three flavors,

cent less sugar than the leading pomegranate

Original Watermelon, Watermelon Pomegran-

juice and is available at major grocery stores

ate, Watermelon Limeade, and Watermelon

nationwide in 64 oz. bottles. From an environ-

Blackberry, Sundia juices contain no added

mental and efficiency standpoint, the company

sugar, preservatives, or artificial coloring. Wa-

dropped the weight of its 64 oz. PET bottles

termelon is loaded with many of nature’s most

from 81 grams to 66.5 grams three years ago.

important antioxidants. It’s an excellent source

This has eliminated nearly 2,000,000 lbs. of PET

of vitamins A, B6, and C. It is also an excellent

resin and continues to reduce annual PET con-

source of potassium and magnesium. Less

sumption. The category average weight for 64

commonly known is that watermelon, among

oz PET bottle remains at 75 - 85 grams.

all fruits and vegetables, is the best source of natural lycopene, the most powerful scavenger

Fruttzo – Newly introduced to the United States,

of free radicals -- beating even an equal amount

Frutzzo presents yumberry juice, a fruit unusual-

of uncooked tomatoes.

ly rich in Oligomeric Proanthocyanidins (OPCs).

A free-radical-scavenging antioxidant with po-

Campbell’s – Campbell’s V8 and V8 V.Fusion

tent, endless health benefits. OPCs found in

juices are now being distributed under a joint

yumberry juice may help protect against the

agreement with Coca-Cola Enterprises. Addi-

effects of internal and environmental stresses.

tionally, the Fusion line has added Pomegran-

A purely natural beverage rich in nutrients

ate Blueberry to its Strawberry Banana, Peach

effective for anti-aging, yumberry juice also

Mango and Tropical Orange varieties.

contains various vitamins, minerals and fruit

Pomesmart – Pomesmart Organic Pomegran-

fibers that are crucial to the human body.

ate Juice, rich in antioxidants, is now available in stores throughout the Northeast. In the com-

Frutzzo’s yumberry and pomegranate juices and blends are available nationwide at grocery

ing months, Pomesmart will also be available

stores, natural supermarkets, specialty stores and big box stores.

to supermarkets and food stores from coast to

Sunhing Foods – Sun Hing Foods, Inc. has

with organic tart cherry or with organic black

announce a new drink line under the Parrot

carrot, the next log on America’s culinary an-

Brand. The company will be distributing these

tioxidant fire. It is squeezed from 100% premi-

products throughout North America. The 310

um, organically grown, tree ripened and hand-

32

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

coast. This product is also available blended

2007

picked pomegranates. Naturally sweet and

Illinois, Michigan, Minnesota, Missouri, Ne-

slightly tart, no sugar is ever added. Pomesmart

braska, Oregon, Washington and Wisconsin.

is available in 1 L and 200 mL bottles.

First Blush will continue to roll out nationwide over the next several months under an exclu-

Knudson – The newest R.W. Knudsen Family

sive grocer distribution agreement recently

organic juice, Organic Açaí Berry, will be intro-

forged between the two companies. First Blush

duced late this month. The berries in Organic

juice is made from the world's finest collection

Açaí Berry juice — a blend of organic straw-

of varietal grapes including Cabernet, Merlot,

berries, cranberries, raspberries and blackber-

Chardonnay and Rosé with no added sugar, no

ries — add natural sweetness, color and a fresh

preservatives, no alcohol and no caffeine. Each

taste to this product. R.W. Knudsen Organic

juice is flash pasteurized to retain its unique

Açaí Berry juice contains no added sugar, ar-

concentration of flavors and nutrients.

tificial colors, flavors or preservatives, it is 100 percent juice and certified organic by Quality

Adina World Beat Beverages – Adina has intro-

Assurance International and the U.S. Depart-

duced a new premium juice line, Adina Miracle

ment of Agriculture.

Fruits. The line debuts with three products in 14 oz. glass bottles: Super Acai with Purple Maize,

Naked – Naked Juice Probiotic will hit store

Super Goji with Mango, and Pomegranate with

shelves early this month. In their ongoing quest

Mangosteen. All are fruit-sweetened, with no

to provide juices and juice smoothies people

added sugar. The healthiest antioxidant fruits

love with added health benefits, Naked Juice is

known to humankind, blend with Adina’s deft

introducing Naked Juice Probiotic in “Tropical

touch for creating complex, enticing taste, a

Mango,” a sweet tropical blend that is all-nat-

sure recipe for a healthier world.

ural, 100 percent juice blend including mango, orange, and pineapple, with no added sugar or

Odwalla, Inc. – Starting in April, Odwalla boost-

preservatives. The truly innovative ingredients

ed its Omega-3-enriched portfolio with the new

in Naked Juice Probiotic are probiotics and pre-

Soy Smart soymilk drink line available in Chai,

bioticss - friendly microscopic cultures that aid

Vanilla and Chocolate varieties. Boasting a

in digestive and immune health.

good source of soy protein, 32mg Omega-3 fatty acid DHA and an excellent source of calcium,

Guayaki – Guayakí has introduced three new

Odwalla Soy Smart is brimming with nutrients

Organic Yerba Mate Fusions: Pure Endurance;

essential to daily well-being.

Pure Passion; and Pure Mind. Pure Endurance provides a boost of sustained energy due to

Lakewood – Lakewood Juices has announced

an infusion of Yerba Mate, Ginseng and elec-

the launch of their new line of fresh-Pressed

trolytes from Himalayan Crystal Salt blended

and Organic Pomegranate Juices targeted for

with delicious tangerine juice and acerola juice.

distribution in its top thirty major markets. As

Pure Passion awakens the heart and libido with

the nutritional/medical community continues

an infusion of Yerba Mate, Damiana and Cat-

to research and recognize the long-term health

uaba blended with intense passion fruit juice.

benefits of Anti-oxidants found in natural fruits

Pure Mind encourages clear brain function with

and berries, Lakewood’s research, product and

Yerba Mate, Gingko Biloba and Tulsi blended

brand managers continually seek new resourc-

with antioxidant-rich pomegranate juice. Guay-

es from around the globe. Their most recent

akí Organic Yerba Mate Fusions are made with

product blend is titled Organic Heart Healthy

organic, fairly traded and shade-grown yerba

Pomegranate with Açai.

mate, organic cane juice, organic fruit juices and whole organic herbs. Offered in 16 oz.

Organic Juice USA – Organic Juice USA con-

bottles, Guayakí Organic Yerba Mate Fusions

tinues to sell Elite Naturel, a high quality line of

can be purchased at thousands of natural foods

USDA approved, 100 percent certified-organic

stores, supermarkets, cafes and gyms through-

and natural juice. The juice is 100 percent pure,

out North America.

not from concentrate, with no added sugar and available in 11 unique flavors. All Elite Naturel

First Blush – First Blush, the first 100 percent

flavors, except grape, are OU kosher certified.

all natural premium varietal grape juice, has launched nationally in select Whole Foods

Dream Foods – Dream Foods International,

Markets including California, Arizona, Nevada,

LLC , a specialized importer of Sicilian not-

34

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

We’re White Hat Brands™ and we’re here to change the game. Introducing Dog On It!™ fortified juice beverages for kids – loaded with Calcium, Vitamins A,B,C,D,E and Minerals – packed in portion-controlled 8oz servings.

The time has come for a new, premium approach to youth wellness that’ll juice the category and give four-legged consumers (moms and their kids) the healthier alternatives they’re looking for.

We’re here to make the calories count. That means tons of nutrients and gulps of great taste without all the excess stuff – no high fructose corn syrup, no artificial sweeteners, no preservatives and no artificial flavors or colors – no kidding!

There’s no sugar buzz…just brand buzz among Tweens ever-eager to tap into their inner-dog at GetYourDogOn.com …and in life.

In stores now! Contact us today to find out how we at White Hat can help you unleash award-winning Dog On It!™ to differentiate your set and give you a leg-up on profits.

White Hat Brands, LLC

• 2675 Paces Ferry Road, Suite 100 • Atlanta, GA 30339 • Sales@WhiteHatBrands.com

800.747.0912

White Hat Brands™ and Dog On It!™ are trademarks of White Hat Brands, LLC. © 2007 White Hat Brands, LLC. All rights reserved.

from-concentrate citrus varietal juices, has an-

are made using crushed apple juice which is then blended with exotic fruit purees and pulps to create unique flavors. The range is packaged in attractive 375 mL glass bottles with attractive fruit photographs on the labels which depict the blends. Mountain Maid juice contains no added sugar or preservatives.

nounced the debut of a refrigerated line of Italian Volcano brand of organic blood orange and tangerine juices. The 100 percent USDA organic juices, which are available in 750 mL glass bottles, will be available in supermarket produce departments and at select natural food specialty stores. The Italian Volcano brand of juices is

Simply Orange – The Coca-Cola Co.’s Simply Orange juice company has added two new products to its Simply line: Simply Apple, a pure-pressed, 100 percent not-from-concentrate premium apple juice; and Simply Grapefruit, a 100 percent not-from-concentrate premium grapefruit juice. Both juices will begin shipping to retailers in mid-September. The Simply portfolio has flourished – in just over three years, its chilled juices and ades have grown more than 40 percent. Simply Apple and Simply Grapefruit are packaged in the unique 59 fl. oz. clear Simply carafe.

bottled in an artisan factory, right near Sicily's famed Mount Etna volcano and are made with kosher, not-from-concentrate organic juices.

King Juice – Calypso Organics are produced in King Juice’s state-of-the-art Organic Certified facility. Using the most unique blends of natural flavors, fresh and frozen juices and Organic cane sugar. King Juice Company, Inc. manufacturers of Calypso Organics prides itself in keeping within the true guidelines in producing an authentic organic product. Released in early Spring of 2007, The Organics line is available in Organic Lemonade, Organic Limeade, Organic

Cherrish – This summer, Cherrish re-launched its product with a new look and a new taste, including flavors like Sweet Cherry, Tart Cherry and Blue Cherry.

Guava/Lime and Organic Mango/Lemon. All are available in 12 oz. glass bottles.

Bolthouse Farms – Bolthouse Farms has launched a new line of antioxidant rich juice un-

Adam’s 100 % Inc. – Adam's 100% Inc. is the only U.S.-based producer and retail distributor of 100 percent pure mangosteen juice and nectar. The company has announced a new and improved juice that has a lighter, more delicious flavor and recently tested better than competing juices for having the highest level of antioxidants. The new juice consists of a fresh fruit puree of the white meat, pit and a portion of the inner rind of mangosteens; the fruit’s outer rind is dried and crushed into a powder and added.

Adam’s 100% Mangosteen Juice is made only from mangosteens. There are no additives. No water or sugar is added.

der the brand name, Bom Dia. Bom Dia is made with the premium quality acai juice produced by its local Brazilian company, Bolthouse Do Brasil. Located in Belem, Brazil, Bolthouse Do Brasil built a state-of-the-art processing facility for açai and other exotic fruits from the rainforest. The açai juice from Bolthouse Do Brasil is currently used to make three Bom Dia flavors; Açai Berry with Pomegranate, Açai Berry with Mangosteen and Açai Berry with Cacao. Additional flavors are planned for the future. The 11.5 oz. bottles are available nationwide in the produce section. In-store point-of-sale materials and product sampling programs are available to retailers.

The Ginger People – Revved up with powerful antioxidants and 12 constituents superior to vitamin E, The Ginger People have announced the launch of their newest ginger beverage, Ginger ‘Gizer. This product is a ginger powerhouse containing three ginger ingredients, including the imaginative addition of freeze-dried ginger, prized Chinese yellow ginger juice and ginger syrup. Balanced with a splash of apple, a hint of lemon and sweetened with honey, the new drink promises to deliver energy and the most vivid ginger flavor and heat.

Pom Wonderful – Pom Wonderful Pomegranate Juice is now available in a convenient 48 oz. size. This convenient, multi-serving size will be available in the refrigerated section of the produce department in stores nationwide starting in August 2007. The bottle design mirrors the unique, iconic packaging of the other sizes of POM Wonderful Pomegranate Juice and has a handle for easy holding and pouring.

D’licious Drinks – Mountain Maid Premium Fruit Juices are long life juices of exceptional quality in 6 different flavors. Its apple variants

36

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

DRYING DON’T BET OUT? ON IT!

Forget the kids. Don’t worry about calorie counters. The real way to sell gourmet soda has always been at the bar.

But that’s changing.

BUT SOME BOUTIQUE SODA MAKERS ARE STEERING AWAY FROM MIXOLOGY.

PHOTO COURTESY OF: POPS 66

While the ordinary rollout for an upscale CSD involved a heavy round of cocktail experimentation, the upscaling of the American taste bud – even among its children – appears to have brought the market out of the bar and onto the family table. And that means there are increasingly clear divisions in the ways some of these products should be sold.

That doesn’t mean you have to be a straight on-or-off premise retailer to make some cash off the gourmet CSD boom. But it does mean that you have to be savvy enough about your customers to walk the line between those who are looking for a product made for health and the ones searching for just the right taste for sin.

It turns out that if they’re looking for the latter, high-end sodas are the universal solvent – and they just might juice your sales. Between the cocktail recipe page at Grown up Sodas (GuS) and the unbelievable mixability of Essn, some of these products are definitely geared toward the adult sensibility. So are a variety of Ginger Beers – from Regatta to Virgil’s to Maine Root – all of which have a place in that most cloying of summer cocktails, the Dark and Stormy. And Airforce Nutrisoda, which still has a decidedly spa-like aura despite some attempts to move it into schools, has page after page of recipes for the no-calorie functional.

On the other hand, for many products – particularly juice sparklers – going top shelf no longer seems to be the top choice – the Switch, for example, has been revived as a product with a goodfor-you vibe, and not one that’s necessarily good with vodka. While one can still find “Dizzy Lizzy” recipes on the Web, you aren’t going to see them on the Fizzy Lizzy Web site; both seem to embrace the New Wholesomeness. And Izze, last year’s PepsiCo pickup, is now pretty strictly for kids and their moms, via the lower-calorie “Izze Esque” line introduced earlier this year. Despite an early marketing push involving the drink’s mixability – still a strong point on-premise – Izze seems intent on fitting onto the wagon.

Dry, Boylan’s, Vignette and Cricket Cola seem to be walking their own path, meanwhile, relying on bold flavors – aiming either for sophisticated palates or nostalgia seekers -- to give them a place at the table during mealtimes. Sticking with the gourmet palate keeps these products strictly in the soda section, along with a variety of high-end root beer products. Meanwhile, Jones, which seems intent on establishing itself as an alternative to Coke and Pepsi more than an alternative to wine or beer, is staying the course as a youth-oriented treat product, albeit one with greatly expanded distribution.

With the buyout of Izze last year, there was a terrific amount of buzz about the altsoda category.

While it doesn’t appear that any have been ground under by a massive PepsiCo distribution push, the question remains whether any will gain momentum off that purchase. What else is one to do, then, but mix up a few cocktails, hand a soda to the kids, and sit down to dinner?

38

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

SEPTEMBER – OCTOBER

2007

\\ BEVERAGE SPECTRUM

39

BRAND NEWS:

BOUTIQUE SODA JONES SODA – Jones Soda Co. has launched its latest limited-edition Halloween flavors - Lemon Drop Dead, Strawberry Slime, Candy Corn, Gruesome Grape and Monster Mojito - packaged in themed cans and bottles, which are now available nationally at select locations.

Jones also continues to sell its personalized myJones 12-pack as the perfect gift to give this holiday season.

including DPI Mid-Atlantic and Great State Beverages.

REED’S INC. – Reed’s, Inc. went public in December 2006 and has since seen expanded distribution and growing consumer interest. Reed’s Ginger Brew is now being sold at mainstream grocery stores nationwide and their Virgil’s brand has also seen expanded distribution with their 5 L mini Virgil’s Root Beer Keg hitting grocery aisles at stores like World Market and Festival Foods. Reed’s, Inc. has also announced an exclusive distribution agreement with D.B. Miller, Inc. dba Austin Beverage Co. for increased distribution of Reed’s brands throughout Central Texas., with Heidelberg Distributing for increased distribution in Ohio, and with Manhattan Beer Distributors to significantly expand Reed’s presence into Metro New York City area, including Long Island.

SNOW – In March of 2007 Snow Beverages evolved from a one-sku natural mint soda company to purveyors of a line of natural sparkling mint beverages by combining their blend of proprietary mint extracts with three popular flavors. The new drinks are called Cranberry-Lime Chill, Whiteout Peach, and Icy Green Tea - Light.

New distribution includes the Whole Foods Mid-Atlantic Division, Sheetz, and Super Target nationwide, with others on tap.

MAINE ROOT – Maine Root, a hand-crafted, organically-sweetened soft drink company, is now available at more than 600 Valero convenience stores in Colorado and Texas. HEB Central Market and Whole Foods also carry bottles of Maine Root’s root beer, sarsaparilla and ginger beer. Maine Root also announced this summer that its new 22 oz. root beer BigBoy bottle is fair trade certified.

FIZZY LIZZY – Fizzy Lizzy has announced a complete rebranding of its sparkling juice line, featuring new packaging, novel flavor names, a revamped website and two new flavors (Gulf Coast Tangerine and Red Hill Pomegranate).

The changes mark a radical departure from the company’s previous packaging. The redesign was conceived of and executed by awardwinnning graphic artist Haley Johnson. Fizzy Lizzy.s flavors now include Red Hill Pomegranate, Gulf Coast Tangerine, Mount Fuji Apple, Lone Star Grapefruit, Yakima Valley Grape, Pacific Raspberry Lemon, Costa Rican Pineapple and Northern Lights Cranberry. Fizzy Lizzy is available in select supermarket chains, gourmet food stores, restaurants and cafes across the country.

SMUCKERS QUALITY BEVERAGES – Smuckers has revamped its Natural Brew Organic Concord Grape and Lemon Lime sodas. The small-batch, organic-certified CSD is available at natural foods stores and is seeking expanded distribution.

CRICKET COLA – Cricket Cola is now available in an all-natural version complete with a refreshed label. September will see the first of Cricket Beverage’s new all-natural line extensions, Sparkling Pomegranate Raspberry Green Tea and Sparkling Mandarin Green Tea. Some of Cricket’s newest national accounts include Whole Foods and Valero Convenience Stores.

The company’s distribution focus has turned to East Coast with a line-up of new distributors

40

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

CELSIUS, INC. – According to its manufacturers, Celsius has been shown in its most recent and third clinical study to burn an average of more than 100 calories per single serving, boost metabolism and in the most recent study, to have a prolonged effect that lasts all month long with no significant impact on critical health markers.

The most recent study was conducted at the Applied Biochemistry and Molecular Physiol-

2007

ogy Laboratory in the Department of Health and Exercise Science at the University of Oklahoma and announced at the 2007 Sports Symposium.

mostly in Northern California, are offering Vignette as an upscale alternative to traditional soft drinks. Outside of California, Vignette has been a hit with upscale retail chains Central Market in Texas and Lunds & Byerly's in Minnesota. The super-premium CSD from California Wine Country is just beginning its 2007 crush; the brand expects to grow the product line with additional varietals and set the stage for significant expansion in 2008.

DOUBLE COLA – Double Cola’s Ski is regionally distributed in the Midwest and Southeast United States, but Double Cola is actively seeking new distribution opportunities to introduce Ski as a new product in new markets. Ski is a naturally flavored citrus soda. Made from only premium ingredients, Ski has remained true to its original formulation for over 50 years since1956. Ski contains real lemon and orange juice concentrates providing a unique citrus taste with full flavor. The Ski product line includes Ski, Diet Ski, Cherry Ski, and CaffeineFree Ski. In the United States, it is distributed primarily east of the Mississippi River, available in 15 states, although the company is currently looking to expand into new markets in Texas and in the Northeast.

BOYLAN – Boylan Bottling Co., founded in 1891, has always been “Best in Class” and a benchmark for others to achieve, but it has faced industry-wide distribution issues recently. Over the last 18 months Boylan has taken a new approach to the market, hiring a SVP of Sales and expanding its team of Regional Sales Managers on the street which has had a major impact toward developing strong Retail and DSD partnerships. Boylan has established 70 new DSD partnerships and has received authorizations from retailers such as Publix, Wegmans, Fresh Market, Bristol Farms, BevMo and many more.

WET PLANET – More than 20 years since it was first introduced, Jolt, America’s original energy drink, will launch its first-ever advertising campaign as part of a comeback designed to re-launch the cultural icon. The campaign is intended to fervently appeal to consumers’ light-hearted, humorous side with “over-thetop” visuals, asserting the potency or effectiveness of Jolt, as well as its unique, great taste, in an amusing way. “Powered by Jolt?” takes implausible ownership of fun, indescribable types of energy – such as fueling the strength of a grocery cart racer and empowering a manmade lawn mower -- enticing consumers to ask if “they too, can be Powered by Jolt?”

AFFINITY BEVERAGES – Affinity Beverages, Inc. licenser of Regatta Bermuda Stone Ginger Beer has announced the release of Regatta Ginger Beer in 8 oz. aluminum cans. This new item utilizes the stone brewed ginger as used in its 12 oz. all-natural bottled product. Regatta is a full flavored ginger beer with secondary notes of citrus, apple and banana. The finish has a ginger bite without the burn. Regatta is the only natural ginger product created to be used as a mixer with premium spirits. Separately, the brand will be cross promoted with the spirits group Absolut V&S in a limited number of markets.

FLAVH2O– The makers of FlavH2O, who first introduced Apple, Peach, Orange and Pineapple flavors in the company’s innovative plastic-can, have came out with two new flavors for the summer. Watermelon-Kiwi FlavH2O is a delicious twist of summer-ripe watermelons with the tropical tartness of fresh kiwis, while Wild Cherry FlavH2O is not only eye-catching, but is bursting with the flavors which come only from cherries picked at their peak of greatness.

ARDEA – Airforce Nutrisoda hit the shelves of Wal Mart Supercenters just in time for back to school, and will arrive at Target Stores in midSeptember. The air rally continues with Nutrisoda's Magic Can promotion in mid-October with major retailers, to celebrate the theatrical release of Walt Disney Pictures’ Enchanted on November 21st. In the cyber world, consumers across the country are being engaged through Nutrisoda's T-Shirt Design and Sodalicious Recipe Contests.

VIGNETTE – Since debuting at the January Fancy Food Show, Vignette Wine Country Soda (available in Chardonnay and Pinot Noir varietals) has had a terrific 2007. Top-tier restaurants, resort hotels, wineries, and specialty retailers,

42

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

TSR IMPORTS, LLC – In an effort to increase awareness of the brand, BibiCaffè was presented at the NASFT Summer Fancy Food Show and

2007

was well received by thousands of attendees at the three day event. Separately, distribution of BibiCaffè continues to expand in the northwest with Alaska Distributors and their affiliates now distributing BibiCaffè throughout Western Washington. TSR Imports, LLC is excited about the change in its distribution and believes that Alaska Distributors will increase BibiCaffè’s distribution reach to licensed food service establishments.

“0% of What You Don’t,” with support copy detailing The Switch’s “better for you” attributes. The Switch team has also launched an 8.3 oz. trim can, which has already caught the attention of schools and Food Service Directors across the country. Since the beginning of the year, The Switch has also blanketed the Northeast via top tier independent distributors, and launched a new flavor, Kiwi Berry.

JAVA POP – Java Pop has expanded its availability with new distribution partners. Starting immediately, Crescent Beverages will be the sales broker for New Jersey, and Main Street Marketing will be the broker for eight states in the Southeast. Additionally, UNFI has expanded their distribution agreement to include international distribution of Java Pop.

DRY SODA – Its been a very busy time for DRY Soda. The Seattle-based brand launched this summer in Colorado, Texas and Arizona, and it is now available on luxury airline EOS Airlines. Additionally, DRY Soda recently signed an agreement with Neiman Marcus stores to be available in all of their restaurants nation-wide.

THE SWITCH – The new Switch management team has been making needed changes in 2007 in order to fully leverage the potential of the brand. The Switch team has wasted no time completely overhauling the packaging. Dynamic new graphics give the brand a much needed update and increase appetite appeal, but most importantly they feature the consumer-centric communication “100% of What You Want” and

44

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

HEALTHY BEVERAGE CO. – The manufacturer of Steaz green tea sodas has announced it will be marketing three new flavors of diet Steaz, Orange, Raspberry, and Blueberry Pomegranate.

All are Fair Trade-certified and will be available in Whole Foods, Wild Oats, Wegmans and finer natural and gourmet supermarkets nationwide this fall.

2007

Malt

finds its muse Struggling for inspiration, flavored malt beverages raid the liquor cabinet

F

By Andrew Murray

lavored malt beverages need a father figure.

Malternatives – the citrusy, fruit-driven spin on low-alcohol, fermented malt – spent much of the 1990s rockin’ out. There was ice this and twisted that.

Then 2002 came and something changed. Interest faded, sales stalled, and flavored malt beverages started to look a lot like everything else in the brewing category: awkward, ungainly and eclipsed by a growing a wave of craft brew, imports and super-premium spirits.

“The category definitely is not what it was,” counseled Pat McGauley, Anheuser-Busch’s vice president for innovation.

So where does brew’s one-time enfant terrible turn to recapture his mojo?

Flavored malt beverages (FMB’s) seems to have sought out distilled spirits in every home liquor cabinet and upscale bar it can find. Led by Anheuser-Busch, which has teamed up with Bacardi Beverage to roll out a mojito-inspired flavored malt beverage, brewers have come up with a casino’s worth of cocktail-inspired malternatives. Clearly hoping to capitalize on the public’s uncertainty behind the bar, flavored malt beverage makers have thrown on an apron and begun muddling up a storm.

“Consumers want to create the bar experience at home, but prefer the convenience of simply opening a bottle to mixing a series of ingredients,” said Roman Shuster, analyst at Euromonitor, a Chicago-based research firm.

Hard Times

T

he last five years have been an awkward adolescence for FMB’s. Stoli Citrus, Skyy Blue and several other fresh faces have debuted and dried up.

According to Information Resources Inc., which tracks food and beverage purchases at supermarkets, convenience stores and mass merchandisers, excluding Wal-Mart, total case sales for flavored malt beverage brands fell 9 percent to 7.2 million cases during the first eight months of the year. Price resiliency helped float revenue somewhat: total dollar sales, according to IRI, are off by only 5 percent to $213 million during the same period.

“They’re just not as popular as they were,” conceded Brian Ksiazek, manager of the Beverage Superstore in Suwanee, Ga., just north of Atlanta. Like many package stores, Beverage Superstore still dedicates a significant amount of its 10,000 square feet to malt-based coolers such as Smirnoff Twisted V and Mike’s Hard Lemonade, but Kziazek said sales are much more cyclical and impulse driven than they were five years ago.

“Whatever is popular in the bar, it definitely helps if you have a flavor to match it,” Ksiazek said.

“If I don’t have something, inevitably that’s the one consumers want, that’s pretty much the way it works, so I try to carry everything,” he added.

SEPTEMBER – OCTOBER

2007

\\ BEVERAGE SPECTRUM

49

The sophomore slump isn’t just a problem for brewers, many of which have complex agreements and hedges in spirits or import beer. With their fashionable flavors and lower alcohol content than distilled spirits, flavored malt beverages sell for a higher price and occupy an important niche between super-premium spirits and the cutthroat world of mass domestic brew. A six-pack of 12 oz. Bacardi Silver Mojito generally retails for $7.99, several dollars more than your average domestic brew, generating higher profit and requiring fewer turns for the same amount of work.

“There absolutely is a margin play,” McGauley said.

Zsoka McDonald, media director at Diageo North America, owner of Smirnoff Ice, the category’s leader, notes another thing is happening as well. Because flavored malt beverages are generally between 4 percent and 5 percent alcohol by volume, with a much different flavor profile than either spirits or beer, they are appealing to a different consumer and not cannibalizing sales elsewhere in a store’s beer cooler.

“Space is a big concern for our retailers,” McDonald said. “Our research shows that at least two-thirds of (these) progressive adult beverage sales are incremental to beer. People are buying beer, but they are picking this up as well,” she added.

Where Cocktails Come to Play

T

he influence of spirits on flavored malt beverages goes back as far as Zima. The first malternatives, and category stalwarts like Smirnoff Ice, are still sweeter spins on a vodka tonic or a G and T. But as demand for super premium spirits and ultrachic cocktails has shot up, the number and variety of flavored malt beverages options has exploded.

Diageo’s portfolio alone includes Smirnoff Twisted Watermelon, Twisted Raspberry, Wild Grape, Green Apple; Captain Morgan Parrot Bay Wave Runner; Smirnoff Ice Arctic Berry; and this year the company began testing Smirnoff Source, a malt based beverage combining pure spring water and roughly the same amount of calories as light beer.

Not to be outdone, Bacardi offers Bacardi Silver Raz, Silver Strawberry, Silver Mojito, Silver Peach and Silver 03, an orange and citrus flavored malt beverage.

“We try to keep the category refreshed and keep it updated with not just new flavors, but the flavors everybody is talking about. This category really thirsts for what’s new and what’s next,

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BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

that’s why you see so many new flavor launches and so many flavor extensions,” McGauley said.

All the refreshment can lead to a fair amount of copying. Earlier this year Diageo launched Smirnoff Raw Tea following Boston Beer Co.’s success with its line of fruit tea-flavored malternatives. This month, Anheuser-Busch will launch Bacardi Silver Pomegranate Mojito, its own spin on pomegranate following Diageo’s April launch of Smirnoff Ice Pomegranate Fusion.

Although the field can become crowded at times, Diageo’s McDonald said it is important to build bridges to audiences now, while their preferences and loyalties are still up in the air. In many cases, those markets are important or underserved markets who aren’t having their expectations met by either mainstream beer or spirits labels.

“We have found that the Progressive Adult Beverages appeal to some of the fastest growing segments of the population: hispanics, African Americans, and 25- to 29-year-olds. These populations are growing, so establishing market share now can mean significantly more sales down the road,” McDonald said.

And while spirits growth is based on the young and the affluent consumers splurging on premium brands on-premise and at bars, brewers see another, different potential in ready-to-drink FMBs. Their growth is based on convenience and taste and isn’t locked in to a young, party-going demographic.

“We see trading up throughout all of our categories, but pre-made cocktails are all about satisfying a need,” A-B’s McGauley said. “Cocktails are what people are drinking in bars, they are what is trendy now, but not everyone wants to go to the bar. A lot of people have kids and have mortgages and they’re not going to stay out all night. What they really want is to recreate that experience they had when they were young and going to the bar, but with something that tastes good and tastes authentic.”

For that reason Bacardi’s Silver flavors, like the mojito, are aimed at a more broad population. The targeted audience is 21 to 49 years of age, more coed than one would expect and average to above average in household income, McGauley said.

“They may not be drinking these all of the time; they are going in and out of (the category), based on what the situation is,” McGauley said.

The Mojito has no Bacardi rum in it, but comes in 12 and 24 oz. bottles as well as 12 oz. slim cans. A six pack of 12 oz. bottles generally retails for $7.99, about the same as a premium brand import or microbrew.

The brand’s applied plastic label and transparent glass are important to showing off its milky white appearance and recreating that feeling of an freshly, muddled mojito, McGauley said.

“You can win consumers over with convenience, but there are a lot of hurdles to keeping them and sooner or later it comes down to delivering on taste and the taste definitely has to be there,” McGauley said.

“W

hatever is popular in the bar, it definitely helps if you have a flavor to match it,

”

Brian Ksiazek, manager of the Beverage Superstore, Suwanee, Ga.

Diageo also sees flavored malt beverages as a vehicle for fashionable new cocktails to reach a wider audience. The company, which saw double-digit growth in its Smirnoff Vodka brand for the year ending June 30, is expanding its flavored Smirnoff Twisted V and Captain Morgan Parrot Bay lines, modeled after the group’s flagship vodka and rum brands, but made from a clear malt base.

This summer, Diageo introduced three new flavors – Smirnoff Raw Tea, Smirnoff Ice Pomegranate Fusion and Captain Morgan Parrot Bay Pineapple Colada – to its already large stable of flavored malt beverages.

“Across the food industry people want choices. Take something like yogurt; walk into a supermarket and look at how many different flavors of yogurt there are. People want something new,” McDonald said.

At the Front

A

t Beverage Superstore, the link between trendy new cocktails and the beer cooler seems to be gaining some traction. Bacardi’s new Silver Mojito in particular has been a hit.

The store now orders five or more cases regularly, although Smirnoff ’s Twisted V flavors are still the store’s best-selling coolers.

“That Bacardi Mojito has been on fire,” Kziazek said.

Of course placement plays a big role. Over the summer a local distributor encouraged Beverage Superstore to place Bacardi’s Mojito on display close to a register. The move had the desired effect. In no time, sales of the Mojito more than doubled from one or two cases a week to five.

Euromonitor’s Shuster credits beverage makers and retailers with increasing sales of malt-based coolers. Together, distributors and retailers have become more saavy in marketing flavored malt beverages, relying more on brighter packaging and better placement, next to popular beer brands to encourage experimentation without cutting into overall beer sales.

Although overall numbers haven’t been as promising since 2002, many analysts, like retailers still see promise in the flavored malt beverage catego-

ry. Trends, like the continued shift from densely packed cities to suburbs, has created a favorable environment for ready-to-drink flavored alcoholic beverages.

“Although consumers are substituting a gathering at a friend’s house for a trip to a bar or nightclub, they still want the unique colors or flavors that come in a cocktail,” Shuster said.

Shuster sees the boom or bust growth of flavored malt beverages stabilizing somewhat and value increasing slightly even as volume declines.

Sacramento Slips a Mickey

O

ne fly in the ointment could be states like California. Last month, regulators in the country’s most populous state voted to raise the state’s tax on flavored malt beverages from 20 cents per gallon to $3.30 per gallon, to bring flavored malt beverages more in line with premium spirits.

Brewers say the move is based on a fundamental misunderstanding of how flavored malt beverages are made and how much alcohol they contain. Since they don’t contained distilled spirits, flavored malt beverages generally contain about 4 percent or 5 percent alcohol by volume, closer to a major domestic brew than a cocktail. But because they carry the brand names of distilled spirits, and a much sweeter flavor profile, flavored malt beverages have raised the ire of the anti-drunk driving and childhood production lobby, which has derided the malternatives as “cocktails with training wheels” and “alcopops.”

Lawyers for the industry have said it is too early to say whether the industry will sue to block California’s measure, which is scheduled to take effect in July 2008, but if the higher tax rate were to spread to other states, it would add a difficult hurdle to an already treacherous road back to growth for the category.

Spokespersons for both Anheuser-Busch and Diageo North America declined to comment on the California legislation, referring questions to previously published statements.

Brewers are not taking any time off, however. Diageo is testing its Smirnoff Source product in 15 northeastern states including Michigan, Ohio, West Virginia, New York, Pennsylvania, Maryland, Delaware, Washington, DC, Connecticut, Massachusetts, Rhode Island, Vermont, New Hampshire and Maine. After hearing about consumers mixing tomato juice with beer to make Red Eyes, Anheuser-Busch also is teaming up with Clamato to test Chelada, a spicy tomato-beer cocktail that combines Clamato with either Budweiser or Bud Light.

“There will always be a set of consumers looking for these products.

It may not be that they drink them 100 percent of the time, but I think there is always going to be a place for these drinks,” Anheuser’s McGauley said.

WHAT ARE YOUR GOALS FOR THIS FALL? Movement. It’s the key to a good offense in football, and the measure of success in consumer promotions. Last year’s RED ZONE Bloody Mary promotion helped drive sales for both Daily’s Ready to Drink, and Non-Alcoholic Bloody Mary lines. So this year, we have a plan that’s bigger than ever, with a national sweepstakes, on-pack announcement, dynamic point of sale, and online ads to make Daily’s the “Bloody Mary of choice” for tailgate parties (at home or at the game).

Make plans now to get into the RED ZONE, and start to practice your end zone dance.

WHERE GREAT COCKTAILS START.TM

©2007 American Beverage Corporation Verona, PA 15147 • 800-245-2929 x6113 • dailyscocktails.com • 5% alc/vol (10 proof) PLEASE DRINK RESPONSIBLY

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BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

GIVE YOUR SHELF SOME MUSCLE. Muscle Milk is the on-the-go shake that’s packed with protein, nutrients and essential fats to provide sustained energy for today’s active lifestyle.

Muscle Milk is arguably the best-tasting, fastest-growing nutritional drink in the category. ®

It’s no secret that poor diets and obesity are becoming national concerns. Muscle Milk products are made to satisfy the needs of today’s active lifestyles.

Whether your customers are looking for an exercise supplement, a nutritious meal replacement or a quick, healthy, great-tasting snack, we believe there’s no substitute for products that taste as good as they are good for you.

The products you want and need, for a healthier, happier tomorrow for all of us.

For more information on the Muscle Milk family of products, please contact your sales representative at ©2007 CytoSport Beverage Company, Benicia, CA 94510

888-298-6629.

ime was, if you wanted a diet energy drink, you had to raid Dietrich Mateschitz’s private stash. But no longer.

Although diet energy drinks are still considered something of a weak sister in the category – kind of amazing in and of itself, when one observes that they sold more than $250 million in product in convenience stores alone – the future is one in which the weak sister grows into a strong sibling in her own right.

Right now, they sit at only about 13 percent of the fastgrowing category – a ratio that’s appreciably less than diet versions of CSD’s. But energy drinks are still a fairly young

The category is continuing to catch up among women and older consumers... category, so it’s important for retailers to note that things are still changing, and there’s definitely reason to pay attention to new diet- and low-calorie options.

For example, in looking at leading diet energy brands, the West Coast is still a big indicator of where things are headed – and from that perspective, take a look at Diet Rock Star, the second-place brand. Rock Star has long been much more popular on the West Coast than out East – and its $65 million in sales in the convenience channel is about half of what its full-calorie line sold. Diet Rock Star grew by 63 percent last year, according to AC Nielsen, while the full-calorie version grew only 11 percent – lagging the category’s growth overall.

Rock Star has always had an advanced cachet with female consumers, which may explain the high uptake of its diet brand, as well. But that also speaks to the evolution of the category – as one of the first of the 16 oz. brands, it is more mature than much of its competition, and as it penetrates outside of its core demographic, it enters into even more demographic bands that are more likely to reach for a product with fewer calories.

Similarly, Sugar-Free Red Bull, which still only has 1/5 the sales of the full-calorie stuff, nevertheless grew faster than its parent brand – and 20 percent faster than the category overall. And SoBe, which has been sliding backwards in terms of sales and share – no mean trick in a category that grew by 1/3 again last year – continued to see forward progress from its diet brands.

As the category separates into a lead pack and its niche competitors, it’s going to be more important to look to diet energy as a way to keep building share, analysts say.

There are two main reasons for this: 1. The category is continuing to catch up among women and older consumers – many of whom are more calorieconscious than the category’s longtime core consumers, young men and 2. As they get older, those longtime young men/longtime core consumers are also becoming more calorie-conscious themselves.

So what is out there for retailers to consider? For people new to the category, it’s likely that the more established brands are going to be the ones that they turn to for diet drinks.

But there are also a few products that only have diet characteristics – one of them, Xyience, has a strong base among men, and has show rapid growth since its introduction last year. Another, Tab Energy, has been slow and steady, but its growth lags the category – it may be lost in the wide number of energy SKU’s recently taken on by the Coca-Cola Co. Still, as a sub-category it faces some challenges: the growth of teas and, even more so, yerba mate blends that may be more appealing to certain consumers because of their specific health properties; additionally, a growing number of functional waters contain caffeine and other “energy” ingredients.

Nevertheless, if you’re taking on an energy drink, chances are you’re also getting the opportunity to take on a diet brand, as well. Look at who is walking up to your cooler, look at who is shopping your aisles, and if you’re ready, expand – particularly if you’ve got the type of consumers who are trying not to.

SEPTEMBER – OCTOBER

2007

\\ BEVERAGE SPECTRUM

55

PIMP JUICE – Successfully launched in 2005,

ing fatigue, improving immunity, exciting libi-

PJ Tight is currently being promoted within

do, and improving mental performance, among

Nelly’s 3rd Annual P.I.M.P “Upgrade Your Life”

other health enhancements.

Scholarship Program and will be a major part

SOCKO – Socko Energy was developed by Bliss

of Nelly’s next tour to promote his upcoming

Beverage in an effort to create an energy drink

November release “Brass Knuckles.” PJ Tight

that appeals to a mass audience. With 2/3 fewer

has also been introduced in the Eastern Euro-

calories and sugar than most energy drinks on

pean Market with heavy promotion by local

the market, Socko offers a great tasting energy

deejays and artists and plans to continue its

boost for your busy lifestyle. Socko is currently

growth overseas.

available in 16 oz. cans in most U.S. markets,

NATIONAL BEVERAGE – Rip It Chic is an En-

convenience stores, nightclubs and supermar-

ergy Drink Created by Women for Women. Its

kets. Socko comes in two varieties, including a

specially-designed can is just the right size and

sugar-free version, and is made with a healthy

the foil cover helps prevent dust, germs and

combination of ingredients including B12, B6,

bacteria from reaching the can’s lid! The two

Ginseng, Yerbe Mate and Taurine.

new Rip It flavors combine sugar-free blends

FRAPPIO – Frappio Light Latte, with no sugar

of ingredients like grapefruit/cinnamon and

added, is the first beverage in the coffee cat-

berries. These products include the full energy

egory to deliver appetite suppression, jitter-free

component including 150 percent of the RDA of

energy and outstanding coffee taste. The con-

Vitamin C, B6,B12 and Folic Acid.

sumer benefits with only 4 carbohydrates and

FUZE – Growth for Fuze’s NOS line – which in-

60 calories per 8 oz. serving. The full bodied

cludes NOS sugar-free – has accelerated over

flavor incorporates caffeine and an all natural

180 percent within the last year. NOS is packed

herb which prevents the energy “crash” yet

with more caffeine and energizing ingredients

suppresses appetite and improves mental cog-

than any other category contender and is avail-

nition.

able in citrus, fruit punch, grape and sugar free

POWER TRIP – Power Trip “O” contains no

(diet).

sugar and no carbohydrates. It is made with the

AirForce Nutrisoda – With 10 mg of the nutri-

highest quality ingredients containing 100 per-

ent CoQ10 and the amino acids L-Tyrosine and

cent vitamin C, 100 percent of vitamins B3, B5,

L-Carnitine, herbs such as Ginseng, Rhodiola

B12 and 200 percent of vitamin B6. It quenches

Rosea and Gurana seed extract combined with

thirst with a crisp blue citrus flavor. This is for

B-Vitamins, Taurine, and Magnesium, Energize

the energy drinker who lives an active lifestyle.

gives drinkers a smooth effervescent energy

DARK DOG – Dark Dog Energy Drink bills itself

boost. With zero carbs and only 10 calories,

as the brand known as “the No. 1 alternative to

tantalizing mandarin and mint natural flavors

Red Bull worldwide.” Launched in Norway in

awaken the senses and reactivate the spirit.

1999, it is currently sold in over 25 countries.

Airforce Nutrisodas are available nationwide

Dark Dog prides itself on low price; premium

at select retail stores, Wal-Mart, select Target

products and an extensive product portfolio,

Superstores, fine grocers, national airports, ho-

which includes Dark Dog FREE. Available in a

tels, cruise lines, restaurants, clubs, spa loca-

250 mL slim line can with only 7 calories, Dark

tions, schools and colleges.

Dog FREE packs all the punch and taste of the

GO GIRL – Billed as “Beautiful Energy,” Go Girl

original version but without the sugar. Dark

is sugar free (3 calories) and has 1 gram of car-

Dog FREE has found tremendous success and

bohydrates. A portion of proceeds from the sale

was originally launched in France in 2004.

of Go Girl benefits breast cancer research.

HER ENERGY – Available in both Regular and No Carb/No Sugar (Diet) formulas, her is the

PISSED OFF ENERGY – Pissed Off Diet Energy

first energy drink that takes into consideration

is an all-natural, healthy-performance, high-

what a woman needs. Each pink and white can

energy drink. The adoptogens in Pissed Off are

contains 45 milligrams of caffeine, equivalent

legendary for enhancing endurance, decreas-

to a cup of strongly brewed black tea. Five per-

56

BEVERAGE SPECTRUM // SEPTEMBER - OCTOBER

2007

cent of all her Energy net proceeds are donated to woman’s charities, including combating domestic violence and funding breast cancer research and awareness.

more vitamins and more green tea polyphenols

ANHEUSER-BUSCH – Anheuser-Busch’s 180 Blue Low-Calorie has a subtly sweet berry and grape flavor obtained from the Acai berry, red grape and blueberry juices. It is an extension of the popular 180 Blue energy drink and contains only 15 calories. 180 Sugar-Free Orange Citrus Blast, an extension of the popular 180 energy drink line, contains only five calories and a refreshing citrus-orange taste.

Guru Lite Energy Supplement is the low calorie

STEAZ – Diet Berry Steaz Energy is the world’s first USDA Organic Certified Diet Energy Drink.

It features the same great taste as the original, but with only 40 percent of the sugar and calories – all without using any additives or artificial sweeteners. The drinks come in the 12 oz. sleek can and even though Steaz Energy provides 4 more ounces of product than the traditional energy drinks in the 8 oz. cans, the cost is about the same. The larger can means consumers get more healthy benefits – more antioxidants,

beneficial effects. In addition, just like its prede-

58

BEVERAGE SPECTRUM // SEPTEMBER - OCTOBER

in every can.

GURU – Developed for health-conscious lifestyles using the latest in beverage technologies, version of its original formula. It embraces the same high quality standards that earned GURU Energy Supplement its solid reputation. Each GURU Lite 8.3 oz. can contains an active botanical complex made with five standardized herbal extracts: guarana, panax ginseng, ginkgo biloba, echinacea and stevia. This proprietary formula is designed to maximize each ingredient’s cessor, GURU Lite contains no preservatives.

Xtreme Shock – Extreme Shock is an energy sensation drink with zero sugar, low carbohydrates, no aspartame and absolutely no crash.

The label recently launched its fourth flavor, Blue Raspberry.

PENNINGTON BEVERAGES – Pennington’s Hooters Lite is an energy drink designed to energize and improve mental concentration and physical endurance without the sugar, calories

2007

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or carbohydrates. Hooters Lite offers a light,

Sugar-Free is especially tailored for the health-

crisp full flavor taste without the aftertaste that

conscious consumers who don’t want to pass

one would expect from a zero calorie energy

on the energy boost of rhino energy drink,

drink.

made with pure Austrian spring water.

STOKED – Stoked Sugar Free is one of six for-

SOURCE BURN – BURN Sugar-Free was built

mulations in the Stoked “Dragon” Family. The

from the ground up to offer lo-carb consumers

‘diet’ Dragon has 0 g of carbohydrates per serv-

what they want. With EGCG (Green Tea Extract),

ing and 5 calories per serving. This drink was

Calcium and Caffeine, it helps boost the me-

inspired by the stellar constellation “Draco”; a

tabolism, giving a new meaning to “energy to

‘celestial’ dragon. The constellation, which in-

BURN!” Loaded with antioxidants, b-vitamins

cludes the North Star, has a tail that slithers be-

and ginseng, it’s billed as “the healthy way to

tween the Big and Little Dipper. The constella-

energize.”

tion is ‘hidden’ on the face of the Stoked Sugar

LIQUID LIGHTNING – Liquid Lightning Sugar

Free Can.

Free energy drink has only 5 calories with no

XENERGY – The official energy drink of the Ulti-

fat or sodium. A low-carbohydrate drink, it pro-

mate Fighting Championship, Xenergy contains

vides individuals with an exciting new level

no calories, sugar or carbohydrates. Xenergy

of energy from a mix of great tasting juices,

was formulated to provide clean, sustainable

taurine and nutrients with a lightly carbon-

energy. Scientifically fortified with vitamins,

ated sensation. Liquid Lightning Sugar Free is

the proprietary blend is designed to prevent the

made with Splenda, and loaded with vitamins

crash ending often associated with other ener-

and amino acids, taurine, and caffeine. Liquid

gy drinks. New flavor additions Mango Guava,

Lightning is not heat pasteurized to preserve all

Pink Lemon and Blu Pom join the popular origi-

of the vitamins and minerals contained in the

nal flavors of Citrus Clear, Cran-Razz and Big

product.

Apple. Available in 8.4 oz. and 16 oz. cans, Xe-

THE BEAST – The Beast Zero delivers the big

nergy is distributed in major grocery and con-

kick and killer taste expected from the originals.

venience stores in every state across the coun-

Produced to the Austrian Energy Drink Law mi-

try through national retailers including Kroger,

nus the sugar, you enjoy a refreshing drink with

Albertsons, 7-Eleven, Wal-Mart and Speedway,

only 10 calories and lack of aftertaste.

along with numerous regional merchants.

BIONIC BOINK – Boink Energy is a zero-sugar,

INOV8 BEVERAGE CO. – This fall, Inov8’s Hy-

zero-calorie, zero-carbohydrate cayenne in-

drive is expanding beyond its line of low calo-

fused energy drink. It relies on the lasting pow-

rie, spring water energy drinks with the launch

er from its patent-pending formula of nature’s

of two new, nutritionally enhanced non-carbon-

herbs and cayenne pepper. Cayenne imme-

ated energy drinks: Hydrive V – Citrus Burst –

diately increases blood flow, providing clarity

containing 100 percent RDI of seven essential

of thought, heightened senses, and energy to

vitamins, and Hydrive X – Triple Berry, loaded

spare. Boink is lightly carbonated with a citrus/

with seven powerful antioxidants. All Hydrive

berry flavor.

energy drinks provide full power “Better En-

DRINKS THAT WORK – New UPSHOT Sugar-

ergy” because they have less sugar (5 grams),

Free Kola from Drinks That Work elevates one

low calories (25), amino acids, electrolytes, vi-

of the world’s best-loved flavors by blending

tamins, pure spring water and are specially for-

exotic botanicals like real Kola Nut and other

mulated to not give the jitters.

plants rich in Natural Caffeine. It is 2 ½ times

DNA – DNA produces and markets DNA Energy

stronger than canned energy sodas and has

Drink, a proprietary blend of quality ingredients

been scientifically engineered for the carb-con-

in three flavors. In addition to its great taste,

scious consumer looking for a perfect dose of

DNA’s action sport team consisting of top ath-

energy.

letes from Motocross, Surf, Wakeboard and

JETSET BEVERAGES INC. – Jetset Beverages

Skateboard has received tremendous TV and

Inc. will introduce Jetset Diet Original in the

media coverage.

Fall of 2007. The great tasting new diet energy

RHINO – Rhino’s sugar-free energy drink is the

drink from Jetset will be offered in a stylish 10.5

best-selling sugar-free energy drink in Europe

oz. Rexam Sleek can. Jetset Diet Original will be

and is now being launched in the U.S. Rhino

distributed by Southern Wine and Spirits and

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BEVERAGE SPECTRUM // SEPTEMBER - OCTOBER

2007

will be available in grocery stores as well as select bars and clubs.

It stands out against other diet energy drinks in the market for the simple reason that it can be consumed at room temperature, has only 10 calories, a pleasant, smooth aroma, and a cool feel when tasted.

KRONIK – Kronik Energy’s Low-Carb formulation is sweetened with sucralose. 16 oz. Kronik Low-Carb sales are 40 percent of the brand mix. Kronik Energy’s Low-Carb Big Shot, a 24 oz. version of the company’s flagship Low-Carb offering, is also available.

VIXEN – VIXEN Energy is a sugar-free line of premium energy supplements targeted to females whose personality doesn’t connect with those overly girly, pink energy drinks. The distinctive VIXEN Energy icon and graphics won the 2006 American Graphic Design Award for packaging design. VIXEN is available in 16 oz. cans in three sugar-free flavors: Foxberry, Foxcitrus and the new Foxpunch.

CRUNK!!! – CRUNK!!! Energy Drink has launched a 16 oz. size and a sugar-free product in both 8.3 and 16 oz. cans to meet a rapidly growing market of energy drink enthusiasts.

CRUNK!!! Sugar Free has only five calories in an 8.3 oz. can, and is an alternative for consumers seeking the benefits of an energy drink without added sugar and calories. The packaging reflects the sugar free product’s “lightness” with a silver, white and red can – making it readily recognizable on store shelves. CRUNK!!! Sugar Free also is available in the new 16 oz. size with only 10 calories.

TALONG – TALON Energy features two sugarfree flavors in its line-up; Talon Original and the new Talon Blood Punch. Due to the early success of the full calorie Blood Punch, the sugar free version was added just this summer. Talon Blood Punch features natural blood orange flavor, adding a unique bite to the traditional fruit punch flavor. Available in 16 oz. cans.

XO ENERGY – XO-2 Diet has zero sugar and is one of seven flavors of the hot-fill energy drink.

Take your beverage sales WheyUP is the first of its kind…a non-carbonated energy drink with protein! Drink WheyUP before or during your workout or throughout the day for added nutrition and energy. WheyUP is a great choice for weight loss programs, weight training programs, athletic activities or as part of a healthy active lifestyle.

20g Protein

Non-carbonated

1g Carbs

Energy Formula: a combination of taurine, B-complex vitamins and caffeine

Sugar Free Only 90 Calories

CALL 480.507.2800

The Original Protein Drink with ENERGY.™

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BEVERAGE SPECTRUM // SEPTEMBER - OCTOBER

2007

w w w. w h e yu p . c o m

pHenomenal

ON THE EDGE

Face Time With Consumers is Found at the Shelf-edge

64

society has come to view wine as more healthy, the beer industry has taken notice—and started following suit. The messaging efforts of major beer corporations are now focused on positioning products in a more healthy light. The beverage aisle has since seen an upswing of in-store communications informing shoppers of the ingredients in beer that are healthy in moderation, such as hops, brewer’s yeast, barley and malt.

Effectively promoting beverages in the store requires a definite strategy on the part of the retailer and the CPG. Here are a few suggestions to deliver immediate value:

cations that are SKU and product specific helps shoppers retain the promotional message. For example, if a boxed wine touts “all organic ingredients” in the circular, the same message should appear in all in-store promotions. This ensures better marketing for both the store and CPG brand and delivers a focused message that will influence customer behavior at the shelf-edge.

• Remember customer-centricity is key. Today’s customers have a broad range of tastes and preferences. Consumers are often left with little guidance on the myriad of beverage selections— far beyond just regular or diet. Helping shoppers make informed decisions by providing a platform to engage the brand will help get your message noticed amidst the noise.

As the beverage industry continues its rapid growth and new drinks are developed to meet shifting consumer tastes and preferences, getting your message heard will remain a challenge.

By employing in-store marketing tools, such as those suggested above, both retailers and CPGs have unique opportunities to reach a large and responsive consumer audience at the critical point of decision. Empowering shoppers to make informed purchasing decisions not only goes a long way toward enhancing customer relationships—it also plays a big role in building store and brand loyalty. And that’s great news for your bottom line.

• Explore tools that educate customers at the point of sale. Digital printing capabilities deliver full-color graphics and SKU-specific promotional messages that can be affixed to the shelf edge.

Creating messages that provide helpful product information—such as limited-time offers, nutritional data, cross-selling suggestions, even recipes and serving tips—not only grabs shoppers’ attention, but also supports retailers’ efforts toward creating and maintaining a consistent and uncluttered in-store environment.

• Implement cross-selling. Utilizing information vehicles that can be connected to a brand at the shelf enables retailers and CPGs to provide customers with more than just price information. Shelf-edge communications can suggest beverage or food pairings, such as a full-bodied, robust merlot, that perfectly complements a private label cheese. Or, referrals can be made to other, applicable, in-store promotions.

• Employing strategic coordination makes for a consistent brand message. Creating window banners, store signage and shelf-edge communi-

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

• Offer personal assistance. Provide shoppers with information on where they may go to ask a question, such as the pharmacy or cosmetic counter. The more support you give, the more trust you develop.

Tim McKenzie is president and COO of Vestcom International Inc., the leading provider of shelf-edge communications and specialized marketing services for retailers. His creative, problem-solving efforts have helped increase sales and decrease operational costs for industry-leading retailers such as Target, Walgreens, and Kroger. He can be reached at tmckenzie@vestcom.com.

TM

Refresh. Remember. Recycle.

ew research indicates that the average American is inundated with 5,000 marketing messages daily. So it’s no surprise that many suffer from message overload. And it’s not the usual suspects—television, radio and print—that are to blame. The retail industry has seen considerable growth over the past few years in the sheer number of promotional considerations. Posters, tags, signs, talkers, jumpers, wobblers, ceiling hangers, and colorful pop-ups in every shape and size on display in the beverage aisle and throughout the store vie for shoppers’ attention. Faced with a variety of options, and little clarity, it’s no wonder that consumers are beginning to choose how they receive these messages.

With a significant number of purchasing decisions being made in the store, the ability to establish rapport through education and information on specification within the brand mix is one way to cut through the clutter. For example, beer and wine manufacturers are appealing to target audiences through shelf-edge tags that educate shoppers on healthy product features—from organic, to low carbohydrate, to low calorie. This presents a huge opportunity, and in some cases a responsibility, for both retailers and CPGs to create all-important face time with consumers.

In the past, retailers and CPGs may have struggled in developing a cohesive, mutually beneficial relationship. Retailers had their own promotional demands; CPGs wanted their message to be prominent. However, with the onslaught of messaging on the rise, each has wisely taken strides to alleviate total marketing saturation in the store by employing synergistic campaigns that improve the shopping experience.

Beverages, in particular, have been part of this co-marketing trend. With a continually growing number of drink choices for consumers to choose from, differentiation is now imperative to reach buyers. The alcoholic beverage category is one of many taking a proactive approach to appeal to shoppers’ preferences more directly through shelf-edge messaging. For example, as

Winner of the best tasting water, Paris Aqua – Expo 2005

Your body’s pH and that of Jana are perfectly matched so that you and your world are in complete harmony. Sitting undisturbed for 3,000 years, 2,500 feet below the surface of St. Jana, the naturally infused calcium and magnesium give it a silky, smooth texture that makes it the best tasting water in the world. Today, it is brought directly from that source to you.

TM

the perfect

pH

WEDNESDAY, NOVEMBER 7

THURSDAY, NOVEMBER 8

FRIDAY, NOVEMBER 9

2:00 PM - 3:15 PM v Room: C105 Defining the Bidding Process for Suppliers of Non-resalable Products This in-depth workshop will give suppliers of non-resalable products a play-by-play instruction guide on how to break into the convenience store channel. Whether it is preparing RFIs, RFQs or RFPs, suppliers will walk away with the knowledge they need to effectively connect with retailers and increase sales.

7:45 AM - 9:00 AM v Room: B401-02 Fast, Fresh and Fabulous Foodservice: Are You Dishing Up the Right Mix? Fresh and healthy foods are what today's customer is looking for. Listen to industry expert Kevin Higer, Technomic on what consumer behavior is revealing across channels. Whether the approach is commissary-style or at-the-store, you will hear from retailers who have successfully made it "to the top of the food chain." Do you have what it takes for your customers to give their permission to dine with you?

8:15 AM - 9:15 AM Murphy Ballroom Industry Leaders Roundtable, Presented by NACS Magazine One of the most popular and unique components of NACS Magazine has been its monthly leadership interview with CEOs of leading industry supplier companies, conducted by retail CEOs. This session will feature several CEO's who have participated in the interviews along with CEO's of leading convenience store chains in a dialogue about the evolving retailing industry, challenges, opportunities and personal perspectives.

8:00 AM - 9:00 AM v Room: B308 Attention Independent Operators: Work Smarter, Not Harder Do you waste a lot of time, energy and money on a task your competitor completes with ease? This workshop is designed for independent operators (1 to 5 stores) and will teach you the basic "how-to's" to make you more business savvy. Learn simple methods to make tasks more manageable. In this highlyinteractive workshop, you will interact with retail experts who have tackled some of the most common issues.

11:00 AM - 12:00 PM v Room: B404 Brewing the New Coffee Customer Hot, iced, flavored, or mixed – serve it up however they please. Today’s caffeine-seeking customer is looking for a more sophisticated, fresh offering. While fresh is not always convenient for you to offer, there are other ways to catch your customer’s eye. You don’t have to have the color green in your sign to serve a “greener” product, either. The terms sustainability and Fair Trade Certified are daunting and somewhat overused buzz words these days, but developing strategies that address the triple bottom lines of social, economic, and environmental performance may actually lead to profitability. Hear from notable coffee experts and a retailer that have some simple solutions to make sure you keep your customers hooked.

9:30 AM - 10:45 AM Murphy Ballroom CEO Presentation on Retail Business Strategy Interested in knowing what a leading retail CEO has to say about strategy, competition, and growth? If so, you won't want to miss one minute of this general session.

v Room: C101 Healthy For Them: Good For Your Bottom Line?

Some reports say that Americans are eating and living healthier. They want snacks and drinks that are functional and fresh. Is this just a trend or is this the way its going to be? Do you need to change your merchandising mix?

Find out just what 'functional foods' are and if you should stock more of them. Hear what consumers are looking for and from companies that are striving to make them happy.

3:45 PM - 5:00 PM v Room: C102 Extreme Store Makeover – More Than a Facelift Keep your store portfolio fresh by fixing, remodeling, or demolishing stores. Customers, particularly women want updated looks and safe stores.

Hear the latest on how smart retailers evaluate when and how to modernize their store base and what actions they take when money is tight. v Room: C101 Measuring In-Store Customers Are you effectively reaching the customers that enter your store ? The Nielsen Company's In-Store Division and a consortium of retailers, manufacturers and marketers are making great advancements to develop a syndicated system to measure customer traffic within the store. By analyzing this information along with sales data, retailers and product marketers will ultimately be able to identify new advertising opportunities at retail and accurately evaluate the effectiveness of in-store marketing activity. This presentation will address the potential of syndicated audience measurement at convenience stores and its potential to have a profound impact on future marketing strategy. Retailers and manufacturers will also learn how to best capitalize on the changes ahead effective deployment of product displays and in-store signage.

66

v Room: B213 Global Store Design Innovations See the world's best convenience formats without ever leaving Atlanta!

This workshop will feature images and narratives from the most innovative store designs around the globe. v Room: B308 Gone Green? Cashing in on the Growing "Green" Movement Businesses across the country from retail giant Wal-Mart to the local familyoperated convenience store are making more money by going 'green.' Explore a variety of successful business strategies explained by a green marketing and sustainability strategy consultant with 14 years of green experience.

Learn how selling more 'environmentally friendly' products and services and improving back-room operations will simultaneously reduce costs and improve environmental performance.

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

v

v

11:00 AM - 12:00 PM Murphy Ballroom Ideas 2 Go General Session This fast-paced video presentation delivers the ultimate in store tours.

See and hear new ideas that are making a difference in retailers' operations across the country - and around the world. Make sure you bring your notepad to jot down ideas to take back to your business. v

NOVEMBER 6 – 9 GEORGIA WORLD CONGRESS CENTER ATLANTA, GEORGIA www.nacsonline.com

BEVERAGE RELATED EDUCATIONAL SESSIONS

TUESDAY, NOVEMBER 6

v Room: B407 Escucha! What You Need to Know about Selling to the Hispanic Consumer Hispanic immigrants – and their children – are changing the way that America does business. This observation is supported by the fact that since 2000, Hispanics have driven more than 50% of the total population growth in the United States. During this session you'll learn about various elements of the Hispanic market, attitudes and behaviors relative to shopping at convenience stores, and best practices when marketing to Hispanics. Walk away with practical insights that will help your stores more fully realize the potential of connecting with the Hispanic consumer.

3:15 PM - 4:15 PM v Room: B403 Managing Key Categories Learn how to manage your key sales and profit in four categories – cigarettes, soft drinks, beer and foodservice beverages. The NACS 2007 SOI reports that these four categories contribute 70% of sales and over 57% of the average c-store gross profits. This seminar will provide you information that you can take back to your store and immediately apply to increase your sales and gross profits.

4:30 PM - 5:30 PM v Room: B403 Managing Key Categories (repeat) Learn how to manage your key sales and profit in four categories – cigarettes, soft drinks, beer and foodservice beverages. The NACS 2007 SOI reports that these four categories contribute 70% of sales and over 57% of the average c-store gross profits. This seminar will provide you information that you can take back to your store and immediately apply to increase your sales and gross profits.

EVENT SCHEDULE

TUESDAY, NOVEMBER 6

WEDNESDAY, NOVEMBER 7

7:30 am â&#x20AC;&#x201C; 6:00 pm 7:30 am â&#x20AC;&#x201C;12:00pm Cool New Products Preview Cool New Products Preview Room (exclusive access for retail- Room (exclusive access for retailers, wholesalers and distributors) ers, wholesalers and distributors)

7:30 am â&#x20AC;&#x201C; 1:30 pm International Lounge

8:15 am â&#x20AC;&#x201C; 9:15 am Workshops

7:30 am â&#x20AC;&#x201C; 1:30 pm Registration

9:15 am â&#x20AC;&#x201C;10:45 am Opening General Session

9:30 am â&#x20AC;&#x201C;10:45am CEO Presentation on Retail Business Strategy General Session

8:00 am â&#x20AC;&#x201C; 9:15 am Workshops

11:00am â&#x20AC;&#x201C;12:00 pm Workshops

11:00am â&#x20AC;&#x201C;12:00pm Ideas 2 Go General Session

12:00pm â&#x20AC;&#x201C; 5:30 pm Expo

12:00pm â&#x20AC;&#x201C; 5:30 pm Expo

12:00pm â&#x20AC;&#x201C; 6:00 pm Cool New Products Preview Room (open to all attendees)

5:30 pm â&#x20AC;&#x201C; 6:30 pm International Reception

7:30 am â&#x20AC;&#x201C; 6:30 pm International Lounge

2:00 pm â&#x20AC;&#x201C; 5:00 pm Workshops 5:15 pm â&#x20AC;&#x201C; 6:00 pm New Member Welcome Reception

7:00 am â&#x20AC;&#x201C; 8:00 am Food For Thought

7:30 am â&#x20AC;&#x201C; 6:30 pm International Lounge

9:00 am â&#x20AC;&#x201C; 4:00 pm Global Forum (Separate registration fee)

12:30pm â&#x20AC;&#x201C; 5:00 pm Atlanta Sightseeing Tours

7:30 am â&#x20AC;&#x201C; 6:00 pm Cool New Products Preview Room (open to all attendees)

7:30 am â&#x20AC;&#x201C; 1:30 pm Cool New Products Preview Room (open to all attendees)

7:30 am â&#x20AC;&#x201C; 6:00 pm Registration

12:00pm â&#x20AC;&#x201C; 6:00 pm International Lounge

FRIDAY, NOVEMBER 9

7:30 am â&#x20AC;&#x201C; 6:00 pm Registration

7:30 am â&#x20AC;&#x201C; 6:00 pm Registration

9:30 am â&#x20AC;&#x201C;11:00am Supplier Board Meeting

THURSDAY, NOVEMBER 8

7:30 am â&#x20AC;&#x201C; 9:00 am Interfaith Prayer Breakfast

9:00 am â&#x20AC;&#x201C; 1:30 pm Expo 1:45 pm â&#x20AC;&#x201C; 3:00 pm Closing General Session 3:15 pm â&#x20AC;&#x201C; 4:45 pm NACS Board of Directors/Retail Member Meeting 6:30 pm â&#x20AC;&#x201C;10:00pm NACS Show 2007 Closing Party and NACSPAC Live Auction

6:00 pm â&#x20AC;&#x201C; 8:00 pm Welcome Reception

#

-

9

#-

-9

A NEW DAY HAS DAWNED BREAKING BEVERAGE INDUSTRY NEWS DELIVERED DIRECT TO YOUR E-MAIL INBOX FROM

BEVERAGE BUSINESS INSIGHTS s 0UBLISHED TIMES PER YEAR ABOUT TWICE A WEEK s )NSTANT EXCLUSIVE NEWS AND ANALYSIS ON THE MOST VIBRANT SEGMENTS OF THE BEVERAGE INDUSTRY INCLUDING q %NERGY $RINKS q %NHANCED 7ATERS q 4EAS #OFFEES q &UNCTIONAL $RINKS q (IGH %ND "OTTLED 7ATERS s .O HYPE AND REWRITTEN PRESS RELEASES

BUT INSIDE INFORMATION ON NEW PRODUCTS

CONSUMER TRENDS MERGER AND ACQUISITIONS DISTRIBUTION MOVES

AND OTHER ACTIONABLE INFORMATION s PER YEAR AT LEAST ISSUES

TRY 8 ISSUES FREE! WWW BEVINSIGHTS COM PH E BEVINSIGHTS AOL COM 68

BEVERAGE SPECTRUM // SEPTEMBER â&#x20AC;&#x201C; OCTOBER

2007

#9

#-9

+

EXHIBITOR LIST

BOOTH

EXHIBITOR NAME

BOOTH

EXHIBITOR NAME

BOOTH

EXHIBITOR NAME

4669 Absopure Water Company 6827 Dole Packaged Foods

5641 Kraft Foods Global, Inc.

4460 Alban Distributors Inc.

3931 Drinks That Work, Inc.

5063 Kronik Energy

7076 Alcohol Killer USA, Inc.

4072 DS Waters of America, Inc.

6378 Labrada Nutrition

1431 Shock Coffee

6272 American Beverage Corp.

5464 DZL Productions, LLC

7237 LifeForceV - Functional

6376 Stay Alert Energy

6862 Amerilab Technologies -

4433 E & J Gallo Wine Co.

Brands

5272 Scottish & Newcastle Importers

4866 Sunny Delight Beverages

Drinkin' Mate

4436 EPIC Nutrition

6868 Liquid Ice Energy Drink

5172 Superfly Energy Company

6553 Anheuser-Busch, Inc.

4436 EPIC Nutrition

3731 Liquid Lightning, Inc.

3543 TalkingRain Beverage Co.

3872 Apple & Eve LLC

4257 Extreme East Coast

7570 Mad Croc Brand, Inc.

5263 The Boston Beer Company

6875 B2 Brands, Inc.

7476 F&F Foods, Inc.

4765 Meridian Beverage Com-

5663 The Coca-Cola Company

3645 BAWLS Guarana

4325 Fiji Water

4269 Big Red, Inc.

6872 Fillmore Street Brewery -

4269 Big Red, Ltd 3640 Bond Laboratories/Got Fusion

pany, Inc

Pimp Juice

6073 Metromint 4227 Mike's Hard Lemonade

4235 Florida's Natural Growers a 5653 Miller Brewing Company div. of Citrus World, Inc.

5374 Monarch Custom Bever-

5735 The Jolt Company, Inc. dba Wet Planet Beverages 5252 The Organic Beverage Company 3925 Tradewinds Beverage Company

5024 BooKoo Beverages, Inc.

4872 Frappio, Inc.

4432 Brain-Twist, Inc.

3663 FRS Company

3439 BSN, Inc.

4552 Function Drinks

4959 Bug Juice Brands, Inc.

3546 Geloso Beverage Group

4333 Mud Coffee

5072 BYB Brands, Inc.

4935 Glaceau

6977 Najaro Group, Inc.

6366 Whitney Foods, Inc.

6567 Cadbury Schweppes

5466 Goya Foods Inc.

5163 Naked Juice

3735 Who's Your Daddy Inc. dba

3861 Hat Trick Beverages

4468 Nestle FoodServices North

Americas Beverages

ages 6462 Monster Beverage Company

America

4454 Vital Lifestyle Water 4876 Watermark Innovation, LLC

Who's Your Daddy Energy

5972 Campbell Soup Company

6243 Heineken USA

6377 Celsius, Inc.

3629 High Falls Brewery

7753 Nestle USA

4973 Wm. Bolthouse Farms, Inc.

6873 Chaser - Living Essentials

6163 Honest Tea, Inc.

4439 Nestle Waters North

3953 XL Energy Drink Corp.

4864 Cheerwine Beverage Corp. 3473 Hooters Energy Drink 6767 Clearly Canadian Brands 3544 CL-One Energy Drink

America, Inc.

6767 Hydrive Energy LLC, Inov8 4172 Nitro 2 Go Inc. Beverage Company 6865 Iceland Spring

3642 Novamex, Inc.

4275 Cott Beverages, Inc.

3725 Icelandic Glacial, Inc.

3959 NULAB Inc.

5927 Crown Imports

3453 Impulse One, LLC dba Red

4525 Ocean Spray Cranberries,

LLC

Devil USA

Drink

3559 XYIENCE, Inc.

Inc. 4255 On Go Energy Shot

4363 Inko's White Tea

4354 Pacific Blue Corporation

6266 Interex Corp.

5039 PepsiCo, Inc.

6173 Dairy Farmers of America

3854 Iron Horse Beverage LLC

6277 Premium Energy LLC

4142 Dean Foods, WhiteWave

240 Javo Beverage Company

6374 Pri-Pak Inc.

5363 Jones Soda Co.

4069 Pro Player Beverage, Inc.

4563 Kan-Pak, LLC

4025 Redline

3771 Kool-Bev/Beverages Un-

3637 Reed's Inc.

show planner

4834 Rockstar Energy Drink

with updated

pany

Foods 5173 Del Monte Foods/ Bloom Energy 6227 DIAGEO-Guinness USA

limited dba Crazy Horse

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

CRUNK!!! is one of the top 20 fastest growing Energy Drink Brands in the country.

CRUNK!!! is the #1 Independent Energy Drink in Atlanta. 1

Visit BevNET.com for your PDF copy of the trade

booth listings!

Energy Drink

CRUNK!!! is tearing up the category with its unique color, taste, appeal, and consumer demand!

The term ÑCrunkÒ has become so popular with young consumers, WebsterÔs just added it to the dictionary. 2

3553 In Zone Brands Inc.

4263 Cytosport Beverage Com-

ST E E T T O H E IT Ô S TH 69 4 5 # S C A AT N H T O O B V I S IT O U R

3843 Zipfizz

3753 Nor-Cal Beverage Co., Inc.

6853 Coors Brewing Company

5469 CRUNK Energy Drink,

70

EXHIBITOR NAME

BOOTH

T U P U O Y N E H E S A EVEN W C D L O C E H UND T O R A N K I N I IT NERGY DR

Welcome our newest distributors to the CRUNK!!! family, Summit Distributing, St. Louis, MO, Basso Distributing, Ventura, CA and GBL Distributing, Santa Barbara, CA. DonÔt miss out. GET CRUNK!!! by calling 678.578.5320 today!!!

CONVENTION SCRAPBOOK

Expo East ew beverage launches at Expo East, held from Sept. 26 to 28 in Baltimore, perhaps more than in recent memory, pushed the boundaries of innovation and novelty. Some came from overseas; others owe their roots to Yankee innovation.

Among the many new drinks, we discovered a new fruit juice, a beer-like carbonated drink, drinks with billions of bacteria in them , a smoothie made from a grain whose name begins with a “Q”, and soda made from a cactus.

Among the new products: Bionade – This popular non-alcoholic, organic, carbonated beverage from Germany is now available in the United States.

Frutzzo – Introduced its new line-up of Yumberry drinks.

Cell-Nique – Introduced a new line-up of nutritionally-fortified juice blends: Emerge (Pomegranate), Evolve (Tropical Fruits), Enlight (Apple), Embody (Citrus Vanilla) and Lau-Tzu (Kukicha Tea).

Apple & Eve – Rolled out Fizz Ed, 8.4 oz. canned 70 percent juices made specifically for the kids market.

Zola Açai – Introduced its new shrink-sleeve 12 oz. PET packaging.

Vita Coco – Provided a glimpse of its soonto-be-released tangerine flavor.

Flavor Brazil – Showed off a new acai juice blend in 10 oz. glass bottles.

Maine Root – Will soon be introducing soda made from wild-harvested prickly pear cactus juice.

Pro.bio.MAX – This is a new line of dairybased probiotic smoothies from LacPro Verb Good Belly – This shot-sized, juicebased probiotic product is from NextFoods.

Quinoa Gold – New line of quinoa-based, agave-sweetened drinks. Packaged in 16 oz. bottles, the drinks have a smoothie-like texture with the ground quinoa grain in suspension.

72

Hansen Naturals – Introduced a new lineup of flavored sparkling waters, sweetened with cane sugar and contain 90 calories per can.

Eldorado – This is a new line-up of vitamin-charged natural spring waters from Eldorado Springs, CO. Steaz – Had a new line-up of four diet green tea sodas in 12 oz. glass bottles.

Tradewinds – Presented its line-up of PET bottled teas and is also offering a gallon size organic black tea.

Nuture by Nature – These new, shrinkwrapped yerba mate teas come in 16 oz. bottles in four flavors.

Sweet Leaf – Introduced its Pomegranate Green tea in a 16 oz. glass bottle.

Cricket – Introduced two new sparkling green tea beverages: Mandarin Orange and Pomegranate Raspberry.

Ayala Herbal Water – A new herbal water

Keep smiling, Joey Steger. There' s three move days of this Expo.

All hail Appeltiser! We will crush

lineup, it’s available in six flavors.

Liz Creelman of

and bottle you!

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

Fuze's Christi

ne Pruscino,

2007

e Dintz, and Mik y c an N , on ns . aul Joh Len Ershaw, Pglin are LIVing NATURALly Moe

Hint.

keeping it po

sitive.

CONVENTION SCRAPBOOK

Expo East

Bionade's Eike, Peter and Ken. The guy in the white shirt runs the show.

Manning the Switch were Maura Mo Cindy Lane, and Ken Watts.ttolese,

Jack Goethel and Emili e Fritz cuckoo for coconutsVe.losa are, yes,

, much Essn energy so g in at di ra is a Michael Guerr it oughtta be illegal.

74

eno's Cathy Sho ad or D l E r! e Denv Straight outtafeld and Kate Jansen.

Honest Tea's Kate Nichols and Kelly Cardomone were there.

BEVERAGE SPECTRUM // SEPTEMBER â&#x20AC;&#x201C; OCTOBER

2007

The fun-loving Bombilla Gourd guys: Josh Sipper, Noah Krinik, Ariel Nelson and Thomas Wollman.

Robin Kinstle, selling Lightfull smo

othies.

Stacey Doubleday of Java

Pop.

CONVENTION SCRAPBOOK

NBWA he biennial tradeshow for the National Beer Wholesalers Association (NBWA) took place Sept. 30 to Oct. 2 in Las Vegas at the Bally’s & Paris casinos. The NBWA is made up of 2,750 licensed independent beer distributors throughout the US. Exhibitors at the show, including more than 20 non-alcoholic beverage companies, were eager to get in front of the more than 3,700 attendees. In recent years, beer distributors have become a vital link in the non-alcoholic beverage distribution system, but there was an extra motivation to put forth a good impression at the show: Following the recent sale of the functional water brand Vitaminwater to the Coca-Cola Co., many were eager to replace what had been a profitable brand. Additionally, beer distributors, with their access to on-premise locations such as nightclubs and bars, have become very important to energy drink companies hoping to grow their on-trade business.

On the show floor BevNET encountered beverage companies of all types. We spotted energy drinks such as Syzmo (the exclusive sponsor of our show coverage), Liquid Ice, Inko’s White Tea Energy, Mad Croc, & Banzai Energy Drink. Two new energy drinks were also at the show: Wildlife energy drink (for outdoorsmen!) and Skin energy. Bottled water brands, including Iceland Spring, Saratoga Springs, Mountain Valley and Vital Lifestyle were also at the show, along with tea and soda brands such as New Leaf, Jones Soda and Sweet Leaf.

Quoth Hamlet: 2B or B2 Beverage .

That is the question.

rink.

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emer an Banzai Bill Bod

A Syzmo-sized

new import.

Tona Beer is certainly an exciting

cas proves Iceland Springs' ChiphisLu product. he actually drinks

76

crew.

All kinds of beer at the NBWA show.

Even Root Beer.

ts Jones Soda presen Inkos Andy and Alex - looking like they battled Vegas to at least a push.

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

a united front.

CONVENTION SCRAPBOOK

NBWA

Look closely at Calypso. You can see the real lemon bits.

BOabS bVS 7<D7A70:3 ÂżPS` h. For all your The Baltika booter cravings.

Russian be

. e Diageo booth All smiles inveth got beer, too.

And they' Corona booth.

You g supposed toirhols forgot the beer. You're ld up the beer.

in splay the ultimate di s rl gi d ea H 's The Knight velty bottle openers. no

Pants? Check.

Heineken. Smile? ChecBek.er? Uhhhh...

Cooler? Check.

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BEVERAGE SPECTRUM // SEPTEMBER â&#x20AC;&#x201C; OCTOBER

2007

These girls look so alike! Freaky .

Like Freaky Ice.

New Leaf's Le ah D from the operaanielson, just back ting room.

SEPTEMBER â&#x20AC;&#x201C; OCTOBER

2007

\\ BEVERAGE SPECTRUM

79

PROMO PARADE Fat Bastard Fights Breast Cancer October is National Breast Cancer awareness month and for the fifth consecutive year consumers can purchase Fat bastard wines to help fight this devastating disease. Continuing its steadfast commitment to this important cause, Click Wine Group has announced that the company will donate a portion of the proceeds from each bottle of Fat bastard wines sold during September and October 2007 to aid in finding a cure.

Click Wine Group has already raised $225,000 for the cause and will add to that figure again this year by donating 25 cents for every bottle of Fat bastard sold in restaurants and retail locations, up to $75,000. During the donation period, Fat bastard wines will be easy to spot on the shelf wearing the special "Live large, live long" necker with an attached enamel pink ribbon pin for consumers to wear and display their support.

For more information on Fat bastard National Breast Cancer program or Click Wine Group visit www.clickwinegroup.com or call toll-free 800-859-0689.

St. Pauli Girl's Fall Retail Promotion

Nutrisoda Film Promotion is Pure Magic

St. Pauli Girl Beer invites consumers to “Get the Party Started” with its Oktobeerfest retail promotion. Scheduled to run in September and October, this jam-packed fall promotion features an array of P.O.S. items, consumer sweepstakes and chain grocery store program designed to increase sales and generate excitement for the brand at retail.

For the off-premise, St. Pauli Girl will “Get The Party Started” with a consumer sweepstakes tie-in with Esquire magazine. The top prize is a trip for two to a one-of-a kind celebrity/charity fundraising event at The Esquire House in New York City, co-hosted by Bobbi Sue Luther, 2007 St. Pauli Girl spokes model. The promotion will be supported by two promotional ads appearing in the September and October issues of Esquire in addition to easel cards featured at St. Pauli Girl displays.

To increase customer draw and trigger impulse purchases, the new St. Pauli Girl corrugated Oktobeerfest display merchandiser will be available for key accounts during this prime selling season.

This impressive piece consists of two, easy-to-set up columns and a vibrant archway for maximum impact.

And in select chain grocery markets, St. Pauli Girl will cook-up the ultimate Oktobeerfest party via instant rebate coupons, mail-in rebates and recipes in take-one booklets.

Ardea Beverage Company, creators of airforce Nutrisoda, has entered into a promotional relationship with The Walt Disney Company that will be magic for movie lovers.

Marking the Nov. 21, 2007, release of Walt Disney Pictures live-action comedy fairy tale “Enchanted,” the Nutrisoda Find the Magic Can game is guaranteed to capture the imagination of anyone who has ever dreamed of winning a fabulous family vacation.

At the heart of the Oct. 15 – Dec. 31, 2007, promotion are eight magic cans, each possessed with the power to send a family of four on a European castle adventure or on another NWA WorldVacations family adventure anywhere Northwest Airlines flies in the contiguous United States.

Six-packs also feature a Magic Code that consumers can enter online starting in October, at www.nutrisoda/magic for a chance to win one of a thousand pairs of “Enchanted” movie tickets. And to make the magic real for everyone, every six-pack variety pack will feature two free cans – a six-for-the-price-of-four fairy tale offer.

The eight magic cans will be seeded within specially labeled Nutrisoda variety packs.

80

BEVERAGE SPECTRUM // SEPTEMBER – OCTOBER

2007

Who’s Your Daddy Inc. 5840 El Camino Real #108, Carlsbad CA. 92008 PH. 760.438.5470

PROMO PARADE “Get Some Sand In Your Shorts” with Corona Light’s Fall Promotion…

Corona Light’s fall promotion invites consumers to “Get Some Sand in Your Shorts.”

This all new Corona Light promotion will feature volleyball-themed materials for offpremise accounts that are sure to spike new sales.

This year’s line-up of point of sale materials for the 2007 Corona Light fall promotion consists of display/case cards, base wrap, four-sided criss-cross graphic towers, and a 10-case stacker.

…then, Put On A Mask!

Say it together – Miller Loves Football Miller Brewing Company has signed national and local sponsorship deals that will play key roles in Miller Lite's 2007 football promotion. Nationally, the brewer will team with ESPN for a powerful, season-long venture that will be activated through an integrated marketing program. At a local level, alliances with the Atlanta Falcons, Baltimore Ravens, Cincinnati Bengals, Kansas City Chiefs and Minnesota Vikings provide Miller with the opportunity to connect even more closely with football fans in these markets.

Miller Lite's 2007 football program, "Beer That's Made to Be Great Makes Gameday Better," kicked off earlier this month. The national deal with ESPN encompasses all of the various ESPN assets, including presenting sponsorship of the 6 p.m. (Eastern) SportsCenter Monday Kickoff; a Tuesday "Good Call, Bad Call" feature on SportsCenter; features during ESPN Radio's "Mike and Mike in the Morning"; the presenting sponsorship of Pigskin Pick 'em on ESPN.com; sponsorship of the 2 Minute Drill in the Friday 1 a.m. (Eastern) SportsCenter; and presence throughout NFL-related programming on the ESPN television networks, including ESPN Deportes.

ESPN logos will be featured on Miller Lite's fall point-of-sale and merchandising materials, as well as special promotional packaging.

Twelve-pack Fridge Packs and special 24 oz. cans will call out the ESPN association.

Miller will build on its ESPN football foundation with team alliances in several key markets. The company recently inked local sponsorships with five teams – the Atlanta Falcons, Baltimore Ravens, Cincinnati Bengals, Kansas City Chiefs and Minnesota Vikings. Other teams that Miller partners with are the Carolina Panthers, Chicago Bears, Dallas Cowboys, Green Bay Packers, Philadelphia Eagles and Tampa Bay Buccaneers.

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Corona Extra and Corona Light want consumers to treat themselves this Halloween by trading up to the number one selling import family in the U.S. When it’s time to dress up, send your witches, ghosts and goblins to accounts with an array of support materials from the “Treat Yourself” promotion. Off-premise accounts can decorate displays with colorful, Halloween-themed display/case cards and base wrap that is sure to separate the number one import family from the competition on the store floor and at the register.

Blackstone Winery Gears up for Autumn As the warm summer surrenders to fall, Blackstone Winery offers consumers savings off Blackstone red wines and fall produce. The “Blackstone Reds That Turn Heads” promotion focuses on rich, complex red wines that are perfectly paired to compliment the autumn weather. Presented in this promotion is a single 11x 19 case card displaying three bottles of Blackstone red wine. Also featured in this promotion is an IRC saving of $1 off and a MIR of $2 off of fall produce with the purchase of any Blackstone red wine. The “Blackstone Reds That Turn Heads” promotion will run September 2007 through November 2007.

Brand new and already

World renowned

Beam Global Wine & Spirits Beam Global wants consumers to “Join In” the holiday fun with multi-brand point-of-sale elements including pole toppers, holiday recipe books, tear pad offers, holiday ornaments and base wraps. In addition, several Beam Global brands are offering holiday merchandise and value-added packaging: Courvoisier Cognac, one of the world’s leading cognac brands, offers consumers value-added packaging to celebrate the holidays.

With purchase of a 750 mL bottle of Courvoisier VSOP, consumers will receive either a set of Courvoisier-branded cufflinks or a 50 mL sample of Courvoisier XO Imperial. Consumers can also purchase Courvoisier VS which comes with either two highball glasses or a 50 mL bottle of Courvoisier VSOP. Jim Beam Bourbon is utilizing pole toppers, ceiling danglers, shelf talkers, case cards and base wraps with its holiday tagline, “If they re-gift this, it better be back to you”. Additionally, Jim Beam is offering consumers a holiday gift carton with purchase of a 750 mL bottle.

A custom Knob Creek bourbon label will be available during special in-store promotions and also online at www.knobcreek.com.

Consumers can have a customized message printed onto this holidaythemed label, which makes the perfect holiday gift this season.

Maker’s Mark bourbon is commemorating the holidays by offering consumers the perfect gift to give, a bottle of Maker’s Mark in a holiday-themed gift box. Point-ofsale displays include pole toppers, ornaments and shelf talkers round out holiday programming for the brand.

The Sauza family of tequilas is offering a lime squeezer to accompany a 750 mL of Hornitos Reposado. In addition, Sauza is utilizing holiday case cards at point-of-sale.

Starbucks Liqueurs will help consumers warm up this winter with holiday coasters, gift tags, case cards and recipes. In addition, consumers can receive a Starbucks branded coffee mug as a value-add with a purchase of a 750 mL bottle of either Starbucks Coffee Liqueur or Starbucks Cream Liqueur. In addition, the brand is offering a co-pack of both flavors in 375 mL bottles.

Southern Comfort SoCo is ringing in the holiday season with a new look and feel for the iconic brand’s creative elements, including this season’s holiday gift packs. While staying true to the Southern Comfort brand, old and new elements have been introduced to present the spirit in reinvented ways. Several distinct key design elements are combined to form the overall new visual identity. These include: logo treatment, color palette, typography, background texture, label border, photography, treated photography, and bottle.

This season SoCo will be offering the following three holiday gift packs featuring the new creative. All of the packs will retail for a suggested retail price of $15.99: a 750 mL Holiday Gift Tin; a 750 mL Shaker Pack with a stainless steel bottle replica shaker and a 750 mL SoCo & Lime co-pack with 12 oz. bottle of Roses Lime Juice.

Newcastle Presents Holiday Advice Newcastle Brown Ale is running an original in-grocery promotion related to the impending holidays and all the food, entertainment and mayhem that goes along with them.

At grocery and beverage stores across the country beginning in November, Newcastle will offer its complimentary Holiday Survival Guide to shoppers. The Guide contains mouthwatering holiday recipes from Newcastle’s irreverent, hilarious chef partner, Sam the Cooking Guy, as well as Sam’s tips on what to do when the holiday travel, out-of-town guests, and too much family time take their toll.

Some of Sam’s advice? If the guests are annoying, listen to heavy metal on your headphones!

Red tea is on the rise in the U.S. and ZT Rooibos Red Teas are racing to the top. With its market introduction at the 2007 World Tea Expo, ZT earned nods from beverage vets as a runner-up for clean, naturally caffeine-free flavor.

2007

World tea exp o

ZT Rooibos Red Teas – brewed from only the top 8% of the South African rooibos harvest – are packed with 100 mg of antioxidants in each readyto-drink bottle. Shouldn’t ZT be the exotic herbal tea line you carry?

Try it for your health.

Drink it for the taste.

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Get rooibos red tea in seven flavors – peach, lemon, raspberry, vanilla, ginseng & honey, sweet and unsweet.

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For wholesale or distributor information, visit us at www.getredtea.com or call 1 (866) 5 red tea.

Heaven Hill Distilleries Heaven Hill Distilleries provides an array of holiday items for busy and bountiful holiday season. The newest offering of items is designed to give consumers high quality, unique options for their friends and family or just for themselves.

Hpnotiq In-home cocktails are made more sophisticated with two unique Martini glasses from Hpnotiq – the aqua blue sensation has become an industry phenomenon on the heels of the cocktail explosion. For this season, the two come together in a stylish gift set featuring a pair of victor martini glasses along with a 750 mL bottle. Outfitted in a silver box with a clear front, the gift set is certainly an eye-catching centerpiece for displays or a compelling gift purchase off the shelf.

Pama Pomegranate Liqueur Pama Pomegranate Liqueur, the world's first true pomegranate liqueur, is leading the way with a high value gift pack. For holiday, the industry’s hottest new product is packaged with an attractive champagne flute.

Evan Williams Single Barrel Vintage Bourbon Five-time “Whiskey of the Year” award winner Evan Williams Single Barrel Vintage Bourbon offers a Holiday Gift Package with appeal for aficionados of fine whiskey and cigars.

The Evan Williams Single Barrel etched flask/humidor is a traveling companion for those who share their love for cigars and Bourbon among friends or in special locations. The combined gift has a silver tube for cigars and another two ounce tube for one of the finest Bourbon offerings.

O’Mara’s Irish Country Cream Liqueur From the heart of dairy country, O’Mara’s Irish Country Cream, “the richest cream in all of Ireland”, offers a 750 ml and 1.5L gift set featuring two sturdy cut-glass logoed rocks glasses with the O’Mara’s crest. The O’Mara’s holiday gift set package includes a description of the product’s quality craftsmanship and recipes.

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360 Vodka McCormick Distilling’s 360 Vodka has been specially packaged for the holiday season and is sure to delight everyone on your list. This distinctive eco-friendly holiday gift set contains a 750 mL bottle of 360 Vodka, an energy saving 60 watt Philips CLF bulb and a detailed pocket guide containing simple everyday changes you can make to live a greener lifestyle.

Wm. Deutsch & Sons White Plains, NY, September 21, 2007 - Just in time for your Holiday Gift Guide, Yellowtail Reserve offers up holiday cheer with an on-pack necker containing a festive gold organza gift bag complete with purchase of any Yellowtail Reserve wine. There are 75,000 holiday packs available nationwide for the 2007 holiday season. They will be in-store from October – January 2007 with an SRP of $10.99.

Midori Midori has planned a co-promotion for the Midori Sparkle cocktail for holiday 2007. Midori and Freixenet, the imported sparkling wine, are partnering to deliver a highvalue consumer offer: $3 IRC on joint purchase of Midori and Freixenet. Displays will be featured with festive, eye catching POS materials including case cards, case tuckers and IRC/recipe bottleneckers.

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RETAILER EXCELLENCE AWARDS BALLOT

It’s time for the first annual BevNET Retailer Excellence Awards, and we want your input. Who puts up the best beverage variety? Who has made an art out of mixing new brand introductions in with the old standbys? Who knows their customers the best? We’ll all find out in the November/December issue of Beverage Spectrum.

For these awards, we’re keeping it simple. We’ve got four categories, and we’d be happy to receive your nominees – let us know who you like and why they’re outstanding.

Best Convenience Store (Independent or Chain) Best Grocery, Small Format (Independent) Best Grocery, Large Format (Chain) Best Box Store/Club Store

Keep your grocery business ahead of changing consumer trends.

*Also, we’ve got one more award, which will recognize the best merchandising display – you send us the photo, and we’ll be the judge!

Look for Beverage Spectrum’s interviews with award winning beverage category managers as we figure out how they’re able to turn beverage retailing into a highly profitable art form.

HOW TO ENTER Ballot nominations should be sent to jklineman@bevnet.com under the subject heading “Retailer Excellence,” along with a few sentences about why your nominee is deserving.

Photos of merchandising displays should be sent as attached .jpg or .tif files.

Shop the premier event in tea and tea related products for everything you need to increase category sales and maximize profits. Capitalize on the trends that are shaping the industry, including functional ingredient formulations, packaging innovations and RTDs made from real tea. Ensure your shelves are stocked with the newest products your customers will crave and stay ahead in an ever-changing marketplace.

MARK YOUR CALENDAR.

May 30– J une 1, 2008 Mandalay Bay Convention Center Las Vegas, Nevada USA

Visit www.worldteaexpo.com for additional information and to sign up to receive show updates via email.

www.worldteaexpo.com

2007 BEVNET’s BEST OF 2007 CALL FOR ENTRIES BevNET’s chance to reward 2007’s outstanding new products for their quality, innovation, and design. The ‘best of the best’ in each of twelve categories will be rewarded for their excellence with the title “BevNET Best of 2007”. This is your opportunity to receive one of the beverage industry’s most coveted honors!

BevNET’s Best of 2007 Categories: • Best Energy Drink

• Best Children’s Product

• Best Enhanced Water

• Best Packaging Innovation

• Best Functional Beverage

• Best Packaging Design

• Best Carbonated

• Best Marketing Campaign

• Best Non-Carbonated

• Beverage Executive of the Year

• Best Water

• Overall Best New Product

The BevNET Best of 2007 will be announced on January 4, 2008. Winners in product categories will exhibit excellence in flavor, quality, packaging, innovation, and reception by the market. Winners in other categories will stand out as leaders in their respective spaces.

Don’t miss the entry deadline and the chance to take home a prestigious “BevNET Best of 2007” award!

TO ENTER: Visit www.bevnet.com/bestof2007 to complete an online entry form.

SAMPLES Send Product Samples (shipping & duties prepaid) to: BevNET.com, Inc. 1 Mifflin Place, Suite 300 Cambridge, MA 02138 Attn: Best of 2007 Awards ENTRY FEE A fee of $295 is due per product, per category.

CLOSING DATE All entries, including product samples and payment, must be received no later than December 17, 2007.

ELIGIBILITY Products launched or re-launched in the North American market between December 1, 2006 and December 17, 2007 are eligible for entry.

Products may be entered in more than one category.

CATEGORY SPECIFICS BEST ENERGY DRINK Products will need to stand out from the torrent of new energy drinks in the areas of flavor, interesting and high-quality ingredients, and packaging.

BEST ENHANCED WATER This relatively new and rapidly evolving category favors innovation. Who will be the next market leader?

BEST FUNCTIONAL BEVERAGE From protein drinks to superfruit-enhanced teas, the buzz word is “function.”

Flavor, quality ingredients, and a focus on healthful living will be judged.

BEST CARBONATED BEVERAGE Carbonated soft drinks still lead all beverages in popularity. The market leaders may have the marketing dollars, but what counts here is a commitment to quality and flavor.

BEST NON-CARBONATED BEVERAGE Teas, juices, coffees, sports drinks, and all other non-carbonated beverages make up this category. In order to stand out among several different types of beverages, entries in this category must be interesting, high quality, and have great packaging.

BEST WATER This category celebrates packaging design and innovation, the quality of the water source, and the purity of the water. Entries can be still, flavored, or sparkling.

BEST CHILDREN’S PRODUCT Entries in this category should be intended solely for kids. Of special importance are healthy and nutritious ingredients, convenient packaging, and responsible marketing that appeals to the target consumer.

BEST PACKAGING INNOVATION This category specifically focuses on the beverage container and ways that it has been made more useful, convenient, and attractive. Entries should include packaging samples.

BEST PACKAGING DESIGN This category rewards beauty in design and best overall presentation. Entries should include samples and images of the product.

BEST MARKETING CAMPAIGN This category rewards campaigns in any consumer or trade-based medium that effectively highlight product features and increase brand awareness. Entries should include relevant documents, presentations, images, and videos.

BEVERAGE EXECUTIVE OF THE YEAR This new category will recognize an executive who has had a significant impact on the beverage industry in 2007, in either vision or execution. Entries should include a letter explaining the nominee’s accomplishments and relevant characteristics. A letter of recommendation from a colleague or associate is highly recommended.

OVERALL BEST NEW PRODUCT BevNET’s judges will review all the entries and award the coveted BEST NEW PRODUCT title to the beverage that exemplifies innovation, quality, great taste, beauty in design, and convenience.

For further information and to enter: www.bevnet.com/bestof2007

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