Beer Marketer's Insights

Beer Marketer's Insights

LA-based co operating as Silly Beverages under ceo Keith Davis has teamed with Langer Juice and YouTube sensation the ACE family to offer line of Silly juices in flavors like Cool Blue Freeze and Red Apple Cherry Blossom. "Since starting our social channel 4 years ago, my husband Austin and I have always dreamed of creating a feel-good product for our fans that is uniquely ACE," said matriarch Catherine McBroom. They worked closely with principals Bruce Langer (prexy) and David Langer (ceo) at copacker Langer Juice to create line, going out on SillyJuice.com for $15.95 per 12-pk. Other 4 flavors are Orange Cream, Pink Strawberry Swirl, Watermelon Fruit Punch and White Grape Burst, all using real sugar, containing low sodium levels. Co claims to have sold out initial run within 4 hours of going live online. Langers have been experimenting on other fronts too lately, say, via collaboration with LA Libations and principal of major Latino food chain on Arriba line of cheladas and Fresquita Mexican-style sodas (BBI, Jun 19) . . . Australia-based Noosa is latest yogurt maker to enter bottled smoothie biz with 7-oz resealable line that's breaking in retailers like Safeway, Shaw's, Ingles, Meijer and HyVee, Deli Market News reported. Initial flavor lineup is Strawberry, Mango, Mixed Berry and Strawberry Banana. Package identifies them as containing 5 g of protein. "Since some in-person dining experiences such as restaurants and smoothie bars are limited due to Covid, consumers can still enjoy a tasty smoothie with their favorite Noosa Yoghurt flavors at home, without having to sacrifice on taste or texture," svp/gm Jason Veith explained . . . Barfresh Food Group, undertaking energetic pivot to hedge its heavy reliance on foodservice sector, has augmented its schools-targeted offerings with 100%-juice-based shelf-stable concentrate called Whirlz aimed at elementary and secondary schools. The 5:1 concentrates offer more affordably priced alternative to co's 1:1 bulk Easy Pour items and are USDA-reimbursable and Smart Snack-compliant, the LA-based co said. They're being offered in Mango, Fruit Punch, Pink Lemonade, Cherry Limeade, Coco Breeze, Blue Raspberry, Green Watermelon, Cherry, Sour Apple and Strawberry Kiwi flavors. Timing of launch depends on when schools begin to reopen. New entry follows in wake of RTD offering called Twist & Go that's gotten seeded in some Florida school districts, as co balances heavy reliance on restaurant and other on-premise customers (BBI, Apr 9).

It hasn't exactly been a joyride for Joyride Coffee as pandemic locked down its painstakingly erected base of corporate and other foodservice accounts for its "craft on draft" offerings just after it undertook big expansion. NY-based co responded by developing direct-to-consumer bag-in-box offering (BBI, Apr 17) but that hasn't been enough as timeline for return of corporate worker bees to their hives continues to stretch out to next year and beyond. So co is pursuing restructuring that may hive off some activities to outside partner while maintaining core of activities, including new plant in Bakersfield, Calif, that's been established to service western US customers, as cofounder David Belanich confirmed today. "We are close to a deal that will keep Joyride alive, our breweries running, and our customers and suppliers supported," he said after being approached by BBI in response to recent weeks' rumors that co's survival may be in jeopardy. David said he wasn't surprised that rumors developed as co initially considered range of options but expects to be able to offer more definitive details in coming weeks. Joyride, recall, started as coffee truck operated in NY by 3 youthful Belanich brothers who gravitated to corporate foodservice biz as their regular customers lamented the dreck available in the office upstairs. In a few years they built out respected craft-on-draft biz that included coffee, tea, kombucha and other products to customer base in NY, Boston, Bay Area and Southern Calif, including likes of Starbucks and WeWork. Along way co won backing from arm of Continental Grains that helped fund Bakersfield cold-brewery, which was operating by late last year (BBI, Oct 25 2018 and Dec 19). Then Covid-19 arrived.

Monster Beverage weathered its pandemic-infected 2d qtr by managing to keep sales flat at $1.09 bil and boosting operating income by 7.5%. And even as Covid-delayed innovation starts to move forward again at retail, current qtr is looking to have gotten off to brisk start, with gross sales in Jul estimated to have surged by 15.8%, 17.1% excluding foreign exchange issues. Considering that core channel for energy drinks, convenience & gas, had suffered dramatic slowdown in customer traffic, results were enough to send shares up 6% in trading as of mid-afternoon.

Our story yesterday about tentative movement on CBD bev front indicated that legislation anticipated to emerge from the House in coming weeks would likely address the use of CBD in bevs, but Hemp Roundtable evp and Recess founder/ceo Ben Witte said he doesn't anticipate that to be the case, with food/bevs to be addressed later in legislative process as compromise is hammered out with separate bill expected in Senate. "We expect bipartisan legislation soon, but the sponsorship has not been committed yet," he added.

With its core brand a boutique soda packed in longneck glass bottles, Boylan Bottling in past didn't see much immediate promise in c-store channel where 20-oz PET and inexpensive fountain offerings are order of the day. Suddenly, tho, dynamics have changed: Boylan owner Emigrant Capital has consolidated its Detour Bar biz into Boylan org, giving Boylan compelling door opener in those chains. Move also unleashed bout of innovation that's resulted in creation of Overnight Oats Bar extension that so far seems to have struck a chord in channel. Throw in restaging of Mash sparkling juice refreshers from chubby 20-oz PET bottle to glide-rack-friendly 16-oz and Boylan now has got game in profitable impulse channel that's lately emerging from pandemic-induced slowdown. In sign of how seriously it now takes channel, Boylan recently elevated 3-year vet Ricky Huston to c-store-specific role, matching execs managing foodservice and grocery/traditional retail channels, sales vp Chase Slepak told us last Fri. He noted that timing is good for Boylan's intensified foray into c-stores, not just as channel emerges from virus-related lockdowns but because chains like Circle K and Speedway (now being acquired by 7-Eleven) have upped their game in bevs.

For bev watchers, she's been familiar presence at the banks UBS, CLSA and Macquarie, not to mention on CNBC's "Mad Money with Jim Cramer." Now Caroline Levy has been appointed to vacant board seat at fitness-energy drink marketer Celsius Holdings, with term thru 2021 shareholder meeting. She's expected to serve on nominating and audit committees there. Levy started career on buy side in her native South Africa before heading to NY to analyze soft drinks, alc bevs, household products and cosmetics and cannabis. At her last posting, Macquarie, she also trained her lens on smaller-cap cos like Celsius. Announcement from Celsius noted that she also brings expertise on Asian markets from 8 years with leading Asian research firm, at time that CELH is pushing hard into that market. She joins board that includes Tony Lau, a rep of Hong Kong-based Horizons Ventures, a key investor in CELH, as well as ceo John Fieldly, "Shark Tank" alum Kevin Harrington and bev vet Hal Kravitz, who's had stints at Coca-Cola and emerging brands like Aquahydrate.

Former Fiji Water prexy John Cochran, who's also held leadership roles at Aquahydrate, Pabst Brewing and Ole Smoky Moonshine Distillery, has capitalized on his more recent immersion in cannabis biz with launch of his own glass-bottle CBD line, Sir Inkwell's Hemp Curiosities. For project he's teamed up with former marketing colleague at Pabst and Aquahydrate, Nate Puksta, to offer initial lineup of 5 tea- and coffee-based bevs, all containing 15 mg of nano-encapsulated, broad spectrum hemp and sweetened with cane sugar: Peach & Ginger Black Tea, Moroccan Mint Green Tea, Blood Orange & Mango Yerba Mate, Passion & Hibiscus Herbal Tea and Mocha Cold Brew Coffee. They're packed in 14-oz glass bottles with faux-antique labels that offer whimsical take on old apothecary tropes. They're listed at $60 per 12-pack online at SirInkwells.com and will go out at retail at $4.99, John told us this afternoon, a day after he dropped product off at his first 2 retail accounts, Grow stores in downtown LA and Manhattan Beach. With view to current regulatory uncertainty, packaging doesn't prominently herald CBD ingredient. Co is in hunt for the right DSD partners up and down West Coast and in Nev and Ariz. For now, Cochran and Puksta are self-financing the effort.

CSDs - and bevs in general - continued to benefit from increased at-home consumption, as each category posted solid growth thru heart of summer. CSD volume increased 8.4% with avg price gain of 4.8% last 4 wks thru Jul 25 in Nielsen all-channel data, reported by Goldman Sachs' Bonnie Herzog. Coca-Cola CSD volume rose 9.3% (vs +10.4% for 12 wks) with 3.3% avg price increase last 4 wks. KO's low-cal (+11%) and full-cal (+8.5%) sodas enjoyed healthy gains past 4 wks. PepsiCo CSD volume increased 6.6% (a bit off from +7.9% for 12 wks) with avg price gain of 3.8% last 4 wks. PEP diet brands surged 11% while full-cal offerings gained 5%. Keurig Dr Pepper once again outperformed. KDP volume soared 14.1% (vs +15.2% for 12 wks) while avg price increase was up a solid 5.3% last 4 wks. Private-label CSD volume decline doubled from -3% for 12 wks to -6% last 4 wks as avg price increase rose higher to +8.1% for 4 wks.

Join us for the 2022 Beer Insights Seminar taking place Nov 13-14 at Convene in NYC midtown, with a welcome reception on the evening of Nov 13 and an all-day meeting Nov 14. You'll hear from a wide array of key industry members, including execs at top suppliers like AB's chief commercial officer Kyle Norrington, Molson Coors' incoming sales veep Brian Feiro, Constellation Brands evp and Beer Division prexy Jim Sabia, and Boston Beer founder/chairman Jim Koch. A dis

Pabst Blue Ribbon "appears to have a supporting role," wrote Milwaukee Journal Sentinel, in new movie that recounts true tale of a guy from New York City who actually made a beer run to Vietnam to bring his buddies local brews while war was raging in 1967. Movie starring Zac Efron as beer hero John "Chickie" Donohue, debuts in limited theater release on Sep 30 and airs same day on Apple TV+. PBR is featured in poster and promos, with scenes showing "Efron tossing and tossing down, PBRs with soldiers behind the lines," noted MJB. This infamous feel-good tale has been around for while now. Pabst co-produced 12-min documentary that can be found on YouTube showing Donohue's reunion in NYC in 2015 with some of those soldiers to recount the story. Article notes too that in a 2020 book recounting this incredible beer run, Donohue recalled he dashed to a local bar and asked bartender to load him up with whatever he could take: "I asked him to include New York brands such as Pabst Blue Ribbon, Schaefer, Schlitz, Piels, Ballantine and Rheingold. I felt assured that I could replenish my supply with the bigger American brands like Budweiser and Miller once I got there. But I wanted to bring some hometown favorites."