Beer Marketer's Insights

Beer Marketer's Insights

Iconic Protein, purveyor of shelf-stable RTD protein bevs using grass-fed milk from uncommonly pure dairies of New Zealand, is adding Golden Milk and Coconut Matcha extensions. Golden Milk entry blends turmeric, ginger, black pepper and cinnamon into wellness elixir, while Coconut Matcha adds another caffeine entry to lineup, to tune of 80 mg per bottle. The new entries are breaking in coming weeks in key retail partners like HEB, Sprout's, Wegmans and Fresh Market. They join existing roster of Chocolate Truffle, Vanilla Bean and Café au Lait flavors, all containing 20 mg of protein and 4 g of fiber. In addition, Santa Monica, Calif-based co founded by Billy Bosch has launched subscription service at DrinkIconic.com. Recall that co in past year relocated from founding city of New Orleans to bigger, more receptive LA market.

Food/bev brand representation service in New England called Northeast Beverage Group has segued to new strategy as full-service DSD distributor under name North Atlantic Naturals. As reported, former Abarta incubation exec Chuck Larsen had set up service to help fledgling food/bev brands get seeded in New England, modeling effort in some ways on successful co called Gotham Brands in NYC (BBI, Jun 10 2014). But with full-service DSD getting harder and harder to find, that proved a struggle even as abrupt exit a year and a half ago of Great State's Blue Coast house reinforced DSD void in key influencer market, Chuck told us Tues. So he began notifying clients this past summer that he's moving on and instead has transitioned to offering full DSD option for both ambient and refrigerated brands to key indie retailers in New England, approaching 600 accounts currently and aiming for over 800 as Q1 proceeds. Crucially, Larsen says he's happy to co-exist with broadliners like UNFI or Chex Finer Foods that brands may already have recruited to work the chains, via what he calls a hybrid model. "I'll live within the UNFI and KeHe systems," offering flexible contracts that only protect accounts that North Atlantic has opened and services itself. Unlike many DSD shops, this one doesn't demand that brand owners put feet on the street. The one chain he is serving is Hannaford Bros, some 58 stores so far reaching from south Maine to encompass all of NH and north shore of Mass bleeding into Boston market.

The year is ending with another domino falling in sugar-tax trend, with South Africa planning levy of 2.1 cents per gram of sugar on drinks where sugar content exceeds 4 g per 100 ml (excluding 100% fruit juices), Reuters and other news services are reporting. Tho gov't announced move on Dec 15, initiative has drawn broader attention after USDA warned yesterday that it's likely to affect a portion of the $5 mil of bevs exported each year from US to country. As elsewhere, move is being undertaken to curb what's widely viewed in country as epidemic of obesity, diabetes and other health issues. As Reuters noted, S Africa's move follows sugar initiative in Thailand in Sep, after earlier taxes were inaugurated in Mexico and UK, at time World Health Organization has been pushing for taxes as needed policy direction.

One of longest-serving key figures in energy drink biz is movin' on - tho to where he hasn't decided yet. Joe Cannata, 43, SF-based exec who's been key ally at side of Rockstar Energy creator Russ Weiner for 16 years as "hipster/entrepreneur" (as SFGate.com once dubbed him) built durable #3 brand in category, has quietly exited co with a view to taking a few months off to enjoy his family and relax at family ranch in Sonoma County before embarking on next venture. "My #1 priority is to hit the reset button and exhale," is all he told BBI this morning, confirming recent exit.

Reed's Inc said it closed on rights offering that yielded full anticipated amount of $14 mil in gross proceeds. LA-based co sold 9.3 mil units consisting of common share and half a warrant, at $1.50 per unit . . . Long Blockchain Corp, just renamed from Long Island Iced Tea, said it's entered $2 mil convertible debt facility with option for $2 mil more as its corporate focus shifts "towards the exploration of and investment in specific ventures relating to blockchain technology." The money for Farmingdale, NY-based co comes from UK-based investment firm called Court Cavendish Ltd that gets right to appoint 2 board members.

In era when your product hasn't really arrived until it's gone viral on Instagram, London café called The Tea Terrace is offering customers a chance to have their selfies rendered as foam art on their cappuccino or hot chocolate orders. To order a so-called "Selfieccino," patrons send their headshots via online messaging app to barista, for uploading to "Cino" machine and rendering via flavorless food coloring, Reuters reported. "The process takes around 4 minutes before an image is presented on the froth, ready to be photographed and sent to all points via social media before drinking," at price of 5.75 pounds. ($7.50), wire service reported. It quoted Tea Terrace owner Ehab Salem Shouly as saying, "Due to social media, the dining experience has completely shifted. It's not enough any more to just deliver great food and great service - it's got to be Instagram worthy." Café sold 400+ of the personalized drinks since Sat launch, with hash tag "Selfieccino" going viral across various social media platforms, Reuters reported.

Longtime sales exec Eddie Pearson, who gets credit for holding things together during tumultuous times at both Boylan Bottling and Runa, has landed a new gig to start the new year: svp sales at acai and coconut water marketer Zola. Move comes as Zola, after period of uncertainty that sent some key execs scurrying away, was acquired by private-equity shop Karp Reilly and has regained momentum under founder/ceo Chris Cuvelier, sharpening marketing and cueing up innovation. "I'm excited about working with Chris and the team at Zola with their innovation slate for 2018 and building a world-class sales org," Eddie told us. He gave no reason for his departure earlier this fall from NY-based Runa, whose founders departed from day-to-day roles a while back, with co operating under new ceo.

CSD volume dropped 2.1% last 4 wks thru Dec 16 in Nielsen all-channel data reported by Morgan Stanley's Dara Mohsenian. That's improvement on 3.5% decline for 12 wks. CSD pricing still on positive side: + 1.7% for 4 wks; +1.6% for 12 wks. Coca-Cola CSD volume improved a bit with decline of 1.3% (vs -1.9% for 12 wks) during last 4 wks on solid avg price gain of 2.6%. PepsiCo CSD cut its dropoff rate to 3.4% (vs -5.7% for 12 wks) with small (+0.3%) avg price hike for 4 wks. Dr Pepper Snapple decline slowed to -0.7% (vs -2.2% for 12 wks) over last 4 wks as avg price increase was unchanged at +2.4%. Private-label CSD brands still lagging: down 5.4% for 4 wks even with avg price decrease of 2.5%.

Its self-created Hal's seltzer brand showing momentum in NY metro, big DSD house Big Geyser finally is ready to move beyond its own boundaries with move to recruit broadliners and specialty-food distribs for single-serve, all-natural line named for co's founder, Hal Irving. Move comes as exclusive summer seasonal line devised for local 7-Eleven stores, Watermelon, proved successful enough to become permanent part of lineup and spur creation of winter seasonal, Coffee entry that contains hefty 175 mg of caffeine per 20-oz PET bottle. Line is viewed by chief brand officer Hayley Diamond and her BG colleagues as working on occasions served either by seltzer or cold-brewed coffee. Limited-edition entry offers "great nose" with hint of French vanilla, coo Jerry Reda told BBI, referring to formulation work performed by Flavor Insights, 100K-sq-ft operation in Benicia, Calif, set up early this year by Muscle Milk creator Greg Pickett and his family. Big Geyser has long been Muscle Milk distributor, holding onto brand long after it segued to Pepsi network in rest of country and Picketts sold out to Hormel Food. So that's relationship that's endured.

Maker of market-dominant GT's Kombucha brand, now operating as GT's Living Foods, continues to expand its purview heading into 2018, adding sparkling probiotic cider called Alive as well as nearly sugar-free Veggie Kefir line made from fermented sauerkraut and kimchi. It's also buttressing its marketing ranks, recruiting Red Bull and Vita Coco vets for key posts.