Looks like it will be Evolution Fresh juice brand that Starbucks rides into more prominent Whole Foods presence: tho Seattle roaster has yet to get its coffee products placed there, natural-food giant is picking up its Evolution Harvest drinks and snacks nationally. "We are excited to offer not only 12 of our most popular juices to Whole Foods Market customers across the country, but also two exclusive juices and an entirely new line of wholesome snacks with the launch of Evolution Harvest," said Chris Bruzzo, svp for channel brand mgmt and gm of Evolution Fresh. The 2 Whole Foods exclusives are Organic Ruby Roots and Organic Sweet Burn. Evolution Harvest snack line, consisting of bar, dried fruit item and trail mix, hits Starbucks' own stores this fall. The deal offers SBUX more significant presence in retailer whose shopper demographics line up closely with its own. Deal puts Evolution Fresh further on path to hitting 8K retail locations - both SBUX and grocery - by year-end. Evolution Fresh, which employs high-pressure pasteurization, is priced from $2.99-6.99 for its various items, in 15.2-oz bottles.

Move also highlights complex relationship with Pepsi, long its ally on hugely successful Starbucks Frappuccino RTD line, as well as other drinks like Doubleshot energy/coffee blend and Refreshers natural-energy line, which can be found in Whole Foods. But SBUX acquisition of Evolution Fresh in 2011 offered more premium rival to PEP's Naked pasteurized juice line, and there also have been signs SBUX is downplaying Tazo tea brand - on which it teams with PEP for RTD segment - in favor of newly acquired Teavana tea chain, which will be launching its own RTD versions. It's not been publicly disclosed yet whether Pepsi will be partner on that one.

Noting it's now #5 coconut water player in $$ sales in US grocery - and fastest-growing, per scanner data - Zola is launching its own coffee-tinged entry to play in thriving sub-segment populated by Vita Coco's Coco Café and Zico's Latte. Zola Coconut Water with Espresso employs real espresso and contains 125-mg of caffeine per 17.5-oz can - about same as in 2-oz shot of espresso, co said. It has 75 calories. Choice of big can keeps latest entry in synch with Original and pulp-infused offerings but departs from usual move to smaller size for coffee bevs, but founder Chris Cuvelier said intent is to position item as easy-drinking coconut water with bit of extra lift. Thus, along with such coffee cues as brown upper barrel and trio of coffee beans, can sports slogan: Hydration with Motivation. It's branded under co's new rubric "Zola - Fruits of the World." SRP is $2.49 and brand initially is available at Safeway, Vons, Dominick's, Stop N Shop, Gelson's and Cost Plus World Market, as well as on Amazon.com.

Launch comes as Zola continues to grow on both acai and coconut water fronts, adding such East Coast retailers as Shop N Shop, Shop Rite and Gristedes and West Coast retailers like Raley's and Lucky Save Mart. Acai line recently went into Winn-Dixie down in Southeast. Co has been adding merchandisers and other staff, to point where it employs just shy of 25 now. But it's been operating profitability for 7 months now, Chris added.

As a Kraft brand, Fruit2O enhanced water once vied with Vitaminwater as the top enhanced water in the market. With Talking Rain's Sparkling Ice seemingly taking a big bite out of Vitaminwater sales lately, what brand better to enter the fray against Ice then? Now a unit of Sunny Delight Beverage, Fruit2O is about to launch Sparkling Fruit2O, joining a broadening realm that includes Coke's response, Fruit2O, Pepsi's response, Aquafina Sparkling, and array of private-label entries. It will launch in half-liter bottles in 4 flavors initially, priced vs Sparkling Ice, and Cincinnati-based co is out prospecting for DSD distributors now.

In confirming launch "very soon," strategic channels dir Russ Mills termed Fruit2O brand a "perfect fit" for burgeoning category, tho it requires some tweaks to co's strategy behind brand. When Sunny D had acquired Fruit2O from Kraft it had hoped to develop DSD component to distribution, but like other players in enhanced waters found itself swamped by scorched-earth pricing of Vitaminwater under Coke's stewardship as well as distraction of Coke's flavored Dasani entrants. So that effort was abandoned in favor of warehouse-delivered strategy. (Recall that Sunny D has succeeded in developing DSD net for its core brand's shelf-stable RTD bottles.). Today, tho, with Ice's success adding new luster to carbonated side, fizzy version of Fruit2O is viewed as "terrific way to extend" brand at price a tad closer to premium, Mills noted, positioned vs mildly premium Sparkling Ice. He promised further details shortly down the line, once launch formally occurs.

Sunny D Adds Blue Raspberry in 2014 Sunny D's DSD-oriented shelf-stable RTD line continues to plug away, with this year's flavor additions, Grape and Cherry Limeade, stimulating sampling by consumers and performing well, Mills indicated. For next year, brand will add Blue Raspberry flavor.

Vitaminwater Watch: 49 Cents in Safeway Under assault by Sparking Ice and facing publicity challenges as some consumers sue brand over allegedly misleading marketing, Vitaminwater seems to be scrambling to move cases, going even beyond aggressive pricing we'd already seen. BBI reader sent us image of Safeway flier showing Vitaminwater 20-oz bottles priced at 89 cents for club members, discounted to 49 cents with double-coupon offer. That's close to lowest price we've seen for nominally premium item. Still, offer limits each customer to single bottle, so it falls short of being pantry-loading opportunity for shoppers.

Wat-aah cofounder and ceo Rose Cameron apologizes to visitor this week that co can't seem to offer much in way of innovation, the buzzword in bevs. Five years into project, former ad agency exec has stuck with initial, not very high-tech premise: barely adorned water (say, electrolytes in sku dubbed "Brain") with branding that might coax kids into actually drinking the stuff. Most distinctive, aside from the brand name (which sports an exclamation point), is the down-the-gullet view of screaming kid on packaging and collateral. But liquid has no color, no flavor, no sweetener.

It may not sound like much, but by now brand has proved surprisingly durable, cracking such retailers as Kroger, which gives as many as 16 facings at brand's approachable $1.29 price per half-liter bottle. (She said brand tries to limit promo activities to key periods like back-to-school.) Over past two and a half years it's garnered broadening presence within country's school systems, unencumbered by regs governing sugar-sweetened bevs that vary from district to district. And key lift was provided last year when brand was approached about participating in first lady Michelle Obama's Let's Move campaign, which brought it visibility of association with participating celebs like Beyonce, all without writing a check, Cameron noted. Program pulls together 600K school kids each year to commit to Let's Move exercise program and this year included celeb-filled PSA for campaign from Wat-aah that garnered 120 mil impressions, Cameron said, who gives prominent spot in her NY office to enlarged thank-you letter from first lady dated Apr 20.

That association just ratcheted up another notch yesterday when Wat-aah took on role of presenting sponsor of new initiative, Songs for a Healthier America, produced by Hip Hop Public Health and Partnership for a Healthier America, whose honorary chair is first lady. In effort to use music to encourage healthy eating and exercise, initiative is releasing multi-genre, 19-song compilation album, "Songs for a Healthier America," accompanied by series of 10-minute videos called "Instant Recess" that aim to get kids involved in physical activity. Among artists featured on the album are Jordin Sparks, Ashanti, Travis Barker, Matisyahu, Doug E Fresh and RunDMC's DMC. "We identified Wat-aah as a preferred partner for this initiative because of their emphasis on health and creative approach to encouraging kids to preferentially drink water," said Dr Olajide Williams, Columbia Univ neurologist and founder of HHPH. "Their experience working within the school systems, wealth of influence and core mission of fighting childhood obesity are all things that make them an ideal organization to collaborate with."

For distribution, co relies on broadliners like Kehe, while adding DSD for key up-and-down-the-street markets like NY (via Preferred) and Boston (via Great State) or where DSD house is effective at working schools (as with Central in Chicago), with Cascadia Managing Brands helping navigate choices. Often it's schools presence that ignites retail, in streets surrounding schools where kids spill out, tho staffing constraints mean that in markets like Calif where brand has made inroads into schools it's still not offered at retail. By now, foodservice cos like Sysco are getting more interested in bringing brand to schools, meaning # of schools served could soar this fall, Rose said. Schools currently comprise about 25% of overall biz. As summer moves to fall, marketing emphasis is shifting from sports toward indoorsy activities like fashion and music.

"We just focus on the key benefits of water - nobody else has done that," noted Cameron, whose husband also is ad pro, who worked on Vitaminwater ads during brand's heyday last decade. Rose noted that co's research has confirmed that kids have limited repertoire of bevs and won't be fooled by concessions like bit of flavor. So maybe "people get too excited about innovation," she surmised. Indeed, she allows that names like "Energy" for oxygen-infused water or Brain for electrolyte-infused water are somewhat arbitrary, and notes that recent launch of pH+ sku was driven less by sense of building momentum in alkaline segment than "because the kids want purple!" So it was given a purple-themed label and will get support from glittery ad called Purple Love that features collage of fashion accessories and runs fashion titles this fall. Co is also adding 1-liter pack to mix this fall.

Energy drink sales increased 7.4% for 4 wks thru Aug 3, per Nielsen data reported by Goldman Sachs' Judy Hong. That was "acceleration" for category from gain of 5.8% previous 4-wk period, she noted. It was also better than Jun trend of +5.7%, tho that still left growth at half the pace of a yr ago (+14.4%). Monster had best sales increase (+13.1% vs 19% gain a yr ago) with avg price down 2.6%. Red Bull picked up 9% (vs 18% gain a yr ago) with avg price edging up 0.7%. Rockstar slipped 6.4% in c-stores vs 2.4% gain last yr even with price dip of 0.5% last 4 wks. Coke's energy brands (Full Throttle, NOS) were up 11.7% on 3% price drop.

After better than 2-year run as Honest Tea's marketing vp, Peter Kaye will be easing out of Bethesda, Md-based co as co-founder Seth Goldman moves to take more direct role in marketing mix, at time that bigger part of sales burden is migrating to owner Coca-Cola. Seth's greatest ambition on marketing front? To make it more vibrant and approachable to broader audience, avoiding any preachiness that can come of having a brand name like Honest, he says.

Seth confirmed pending transition this morning, saying that org in Bethesda is evolving to one that's primarily marketing-focused as sales org "morphs" into that of Coke's Venturing & Emerging Brands incubation unit, which oversees earlier-stage cos like Honest Tea and Zico Coconut Water. So Seth will be taking a more direct role in marketing, with transition concluding by end of year. He will have 4 directors reporting to him: brand mgr Lauren Freundlich, pr chief Dan Forman, field marketing chief Patrick Jammet and creative dir Michael Kravit. Kaye, former Dannon exec who relocated from NY area to Bethesda for job, will be focused on several key projects in interim, Goldman said. Recall that, on sales and distribution side, Honest Tea has adopted neat distinction between glass-bottle items that continue to move thru natural distributors like UNFI and plastic-bottle items that go right on Coke trucks and represent biggest opportunity to democratize organics, as Goldman sometimes has put it.

No change is anticipated for role of sales chief Chuck Muth, an old red-system hand who "works the building," Seth joked. "He's killing it," added ceo, who was speaking the day after co scored a record sales day, with gross sales for month likely to come in at $12 mil.

Even as Seth steps up involvement in marketing day-to-day, he and co-founder Barry Nalebuff, a Yale prof, are embarking on tour to support their graphic-novel-style biz memoir, Message in a Bottle, due for release Sep 3.

Natural-food entrepreneur Eric Schnell launched his ambitious MetaBrand venture last fall amid considerable skepticism that full-service consultancy would be able to find enough early-stage clients able and willing to pay for premium service offering. Tho first year has not quite concluded, some of what's going on at MetaBrand is fairly eye-opening, judging by visit and tour BBI undertook yesterday to co's Edison, NJ, space, which it shares with Reliance Vitamin supplement mfr, with which it's affiliated. Also in mix is Teawolf, extract and essence mfr located elsewhere in NJ (BBI, Sep 21). MetaBrand has reeled in as clients not just food and bev startups but also established retailers like Pret a Manger and Organic Avenue, as well as Martha Stewart, with project due this winter. (Aside from confirming they're under way, Eric said he couldn't offer details on any of them yet.) All told MetaBrand has 20 active projects going in lab, all of them natural or organic, per "driving criterion" of co, in Schnell's phrase. These include 4 involving high-pressure processing. He said MetaBrand is close to acquiring not-yet-identified private-equity shop as means of accelerating its ability to invest in ventures it finds intriguing under name MetaFund. With 2 investments under belt already, it will make minority investments in small- to mid-size food, bev and supplement marketers that it believes have potential to hit $100 mil in sales. MetaBrand is even embarking on its own non-GMO certification initiative, as potentially quicker, less expensive alternative to Non GMO Project.

Full-time staff currently comes to 12, ensconced in offices at Reliance's 90K-square-foot plant. Flower of life symbol pops up frequently in décor just as it does on packaging of brands Schnell's been associated with, from prior venture Steaz to his shot line I Am. Schnell, of course, is colorful presence in natural world, born of hippies (his mom was pregnant with him at Woodstock, he notes) and evolving into go-to guy for many entrepreneurs looking to crack natural space, offering unusual combo of mystical idealism and slick operating style. He readily admits to having pulled lotta learning out of missteps at Steaz, which drew big Inventages investment and overspent, fostering idea of co like MetaBrand as virtual provider of essential services to startups. With cofounder Steve Kessler still in mix, Steaz seems to have found footing as natural-channel stalwart, with Schnell still an investor.

Among clients that Schnell is free to discuss, fastest growing is guayusa marketer Runa, offering both bottled teas and canned energy drinks employing rainforest ingredient. It's outsourcing to Meta such activities as formulation, ingredients and production oversight. Meta is handling formulation and production of Milky! line that resulted from Style network's Tia & Tamera reality show on which Schnell appeared 3X (BBI, Sep 21). Milk-based protein line FitPro (BBI, Oct 5) entered GNC chain on Jul 1 and moved 100K cases its first month, Eric said. On financing side, Meta advised ginger-based JinJa and aloe-based Sabila with their fundraises, Eric said. Meta helped with launch of Blue Buddha ayurvedic line and steered it to Natural Sales Associates, which has gotten it into Wegmans, he reported. Healthy kids bev Green Mustache, which turned heads at BevNet's latest Beverage Showdown (BBI, Jun 6), is about to commence first production run. Other clients have included natural cucumber drink Hycu (pronounced "haiku"), Tumeric Alive, coffee brand Grady's Cold Brew, Plan Tea and forthcoming high-pH bottled water, Green2O, offered in biodegradable bottle. Gr3en Energy, energy drink powered by kale, is coming from Hawaiian installer of rooftop farms and due to hit market in Dec. Among more unusual formats is Lyft Stick, elegantly configured "energy stir stick" resembling cocktail mixing stick: consumer pulls off thin plastic covering from surface to allow 100 mg of caffeine to be diluted in drink, with slight citrus taste. "Adult alternative to Red Bull," as Schnell styled it, is in 30 NY locations now, including Kimpton Hotels, and gets broader launch in city this fall. Price is $3. As noted, these are among 20 active projects under way at MetaBrand.

Main working space includes large, high table where marketing brainstorming happens with clients. Off on one wall is wet lab installed 2 months ago, mainly with kitchen-type equipment tho hot-box and HPLC (high-performance liquid chromatography) are coming soon, Schnell said. (In meantime, co simply avails itself of Reliance's unit when it's available.) Characteristically, as throughout offices, décor sports numerous spiritual cues reflecting Schnell's own interests: murals, sculptures, Asian artifacts. Shelves built into main table and walls offer panoramic array of packaging options from Zuckerman Honickman and Berlin Packaging, 2 partners to whom Meta steers most of its clients. Individual staffers' offices are decorated with murals and other effects echoing their personalities - Myrtle Beach for Fla-based operations dir Michael Fougere.

Over on Reliance side, production rooms individually controlled for temperature and humidity were churning out broad range of supplements, from powder that offers both vegan- and whey-based protein to fundamental ingredients like vitamin C and milk thistle. Inventory area contains 2K ingredients, including 100+ branded, clinically tested ones and 200+ flavor combinations to which MetaBrand has direct access via inventory mgmt system. That means, Eric argued, that new brand planning limited run has access to vast library of ingredients mfd or procured at lowest prices, in whatever quantity is needed, rather than massive minimum order. (MetaBrand takes 10% markup.) Thus, client who'd been spot-buying 100-kilo batches of vitamin C to meet minimum order requirements was able, working with MetaBrand, to order just the 17 kilos it needed, at competitive price. Adjacent refrigerated area stores probiotics, extracts and purees. Note that Reliance doesn't have liquid capability, so that brands like Schnell's own I Am shot line must go out to NVE for production. Over at labeling dept, equipment is available for MetaBrand to use in producing sell sheets for clients. "In a sense, we're totally vertically integrated," he said.

GMO Certification Program in Development With genetically modified organisms a big issue for Schnell and many of his clients, his regulatory coordinator Lisa Dahl and science dir Jason Mitchell are working with Schnell to inaugurate co's own GMO certification program as rival to established GMO Project and another recent challenger GMO Guard.

I Am Restages, Adds Mist, Preps Move into Clothing, Music, Other Segments I Am brand, launched with partner Andy Jacobson as natural shot line with range of functions, is nominally separate venture from MetaBrand, tho it boasts same core investor, European-raised billionaire whose identity Schnell wishes to keep off-record. As shot line, I Am has performed well enough when given conspicuous placement at Whole Foods checkouts, but not so well when buried in Whole Body dry shelves. Overall, tho, Schnell said he's been pleased with brand's progress, saying it's become #1 shot in Sprouts chain and notched $400K sales in Whole Foods for past 52 weeks, up 30%, per SPINS data. Co now employs 5.

But brand is about to garner drastically higher profile with new look, dramatic expansion of product line and revamped Web site that goes live in 3 weeks, with co adopting name that takes it beyond just nutrition as I Am Enlightened Creations. Core line gets revamped graphics that add flower of life, more upscale look and lifestyle orientation to more directly woo yoga practitioners. Superfruit-based I Am Skinny shot, caffeine-free and all-natural, has launched in Sprouts chain and half Whole Foods regions. New Web site will work to build I Am community, enlisting likes of Kejiwa Creations' Illup & Juniper as bloggers and Schnell's sister Lauren Schnell, a motivational coach, to offer daily affirmations. Schnell said social media campaign budgeted at $50K goes live in Sep.

After new investment, it's launching line of "body chakras" intended to draw upon body's 7 energy centers, in functions like I Am Peace, I Am Bliss, I Am Love and I Am Enlightened. Pricey line will be offered in flower elixirs packaged in droplet bottles ($39 for 30-ml bottle that allows elixir to be dropped under tongue) and misters ($33 for 50-ml bottle). I Am Peace, for example, employs root chakra and Arctic lupine as core ingredients. Misters created by Illup & Juniper will kick off in venues like NY's upscale ABC Home chain, Eric said. Also coming are organic clothing under MetaWear moniker, area in which Schnell's wife Marci Zaroff has similarly prominent presence. She's opened sister plant in NC to produce organic t-shirts and the like. Also fitting under I Am brand umbrella will be items like aromatherapy candles and CDs.

Hain Celestial beat analysts' earnings estimates in its 4th qtr, scoring 11% net income gain to $25.9 mil, on 32% rise in revenue to $463.5 mil. On conference call, ceo Irwin Simon expressed continued confidence that small BluePrint fresh-juice acquisition will pay big dividends, as hospitable retailers like Sprouts, Fairway and Wegmans continue their expansions even as brand completed its expansion thru Whole Foods with pickup of 3 remaining regions. Referring to purchase 3 years ago of Greek Gods Yogurt brand that's now approaching $100 mil in global sales, ceo noted: "We expect similar things coming from BluePrint," per SeekingAlpha transcript of conference call. Meanwhile, on cost side, Hain brass cited almonds, chia and dairy as ingredient categories seeing biggest increases, on order of 25-35% year over year, per chief supply chain officer James Meiers. Simon rates Hain among biggest chia buyers in US, and possibly in world . . . JM Smucker said net sales in its International, Foodservice & Natural Foods segment sank 6% to $300 mil in first qtr on comparable volume decline, mainly due to planned declines in its Santa Cruz Organic lemonades resulting from change in promo strategy, as well as impact of co's previously announced exiting of portions of its hot bev and Smucker's Uncrustables frozen sandwich businesses from foodservice accounts. But segment's profit still rose 7% to $43.4 mil thanks to lower raw materials costs and more favorable product mix.

Dairy industry continues to fight back vs consumers' expanding repertoire of breakfast protein choices with video campaign from milk producers' group and protein-augmented subline of popular kids' Go-Gurt squirtable yogurt.

Milk Processor Education Program, known as MilkPEP, has turned to lead agency Deutsch for new video campaign highlighting that 8 oz serving of milk brings 8 g of protein, at breakfast consumption occasion in which consumers chronically starve themselves of crucial nutrient. Dubbed "Protein Fight Club," new campaign depicts milk in series of whimsical breakfast battles vs the competition - variously an omelet, breakfast burrito, bagel with cream cheese, and OJ. Series from dir Eric Wareheim can be viewed at ProteinFightClub.com. Deutsch, of course, is agency that earlier created MilkPEP's durable "Got Milk?" effort. "While most Americans know milk is nutrient-packed, they tend to think of calcium and vitamin D, forgetting that milk is a great-tasting, versatile and natural source of protein as well," explained MilkPEP vp Julia Kadison. As part of effort, promo will award free gallon of milk every minute for 8 weeks while offering chance to win grand prize of free milk for a year.

Meanwhile, General Mills' Yoplait yogurt brand is launching protein-intense subline called Go-Gurt Protein. Each 2.25-oz tube of the item is touted as containing 5 g of protein - twice level of other kid-oriented yogurt brands. It debuts in 8-count packs priced at $2.99, each offering 2 flavors: Strawberry Superstar and Mighty Fruit Punch in one, Berry Extreme and Burstin' Berry Lemonade in other. It's out this month in North Atlantic, Northeast, Mid-Atlantic and Central Northeast parts of the country, with further regions coming aboard in Oct.

As ethnic staples with nutritional properties that may make them of broad appeal to the general market, aloe-based bevs have been touted by their backers as ready to embark on the same growth trajectory as coconut water. At a time that some mainstream-oriented entries seem to be making headway, the Center of Science in the Public Interest is throwing some cold water on the whole idea. Citing gov't research that "found clear-cut evidence that aloe vera extracts caused intestinal cancers in male and female laboratory rats," the advocacy group is urging consumers to avoid the drinks. "Save it for sunburns," said CSPI exec dir Michael Jacobson. "Used topically, aloe vera is safe. But the fanciful health claims manufacturers are slapping on various drinks and pills are unfounded, so people simply shouldn't expose themselves to the risks," which include the chance of cramps or diarrhea. It was those risks that led FDA to ban ingredient from over-the-counter laxatives in 02, but it's continuing to appear in bevs and supplements. CSPI just rated aloe vera as "avoid" in its Chemical Cuisine guide to food additives.