Beer Marketer's Insights
After shooting down a first request for a preliminary injunction to block new game-changing interpretation of laws on hemp THC bev potency levels in Iowa, a federal judge there sought additional filings to help decide whether or not to grant 2nd request. Last week, Climbing Kites (owned by Big Grove Brewing) and Field Day Brewing (Day Dreamer) came out swinging, arguing that the state dept of health and human services (DHHS) severely mishandled the implementation of the new law. The state sees it differently, natch, responding that some of what the producers perceived never happened and that no ambiguity remains. Early this wk, Field Day fired back, once more trying to assert gaps between the state's interpretation of the law and its implementation. (This article adapts and combines coverage from sibling pub INSIGHTS Express.)
Cigar City Jai Alai Family Refresh Dials Up Jai Alai Name (to Eleven); Jai Low to Jai Alai Light
Monster's top craft brand family, Cigar City's Jai Alai, is getting a refresh that dials "Jai Alai" name way, way up in big bold letters on packaging while also rebranding its low-ABV session IPA. The Cigar City logo with a cigar across the middle is put off to the side and kept small amid the refresh that puts the Jai Alai name "front-and-center, focusing on its earned reputation as a widely recognized IPA-category leader," wrote co. New look will be featured on 6pk and 12pk cans plus 16oz and 19.2oz single-serve cans.
In the first half of 2024, indie craft brewer volumes trended roughly similar to 2023, down about 2%, Brewers Assn chief economist and strategy veep Bart Watson estimates. He sees "no major change in trend," working to "triangulate" small brewer performance by looking at limited survey results alongside data from NIQ, TTB, POS systems and more. Further, he found "openings and closings relatively in balance," leaving the total brewery count also "fairly static." Total breweries in BA system at end of June ticked up to 9,528, 72 greater than this time last yr. But once closely combed, that slight change could go the other way, Bart suggested.
Molson Coors is covering its Olympic angles in both Canada and in US, co shared on its Beer & Beyond blog. "As Molson partners with Team Canada, it's also sponsoring the people who helped athletes achieve so much: their parents," co announced. "Parents put in countless hours to help their kids get to the podium, from driving back and forth for practices to spending the time and money for travel for competitions," said Kristin Lucente, mktg mgr for Molson family of brands. "Sponsor the Parents" video will air in Canada during games, showcasing how 9 parents of 5 athletes "willingly sacrificed their time and energy to help their kids achieve their dreams." In the US, a new ad for Miller Lite's "Great Taste, Less Filling" campaign features soccer star Mia Hamm, who joined Lite's cast of All Stars this yr.
More Ultra Olympic and Paralympic Moves
With Olympic opening ceremony just days away, Michelob Ultra, the Exclusive Sponsor of Team USA for the Olympic and Paralympic Games, is rolling out 2 new TV ads and sharing plans for social media and in-person events for fans. Mich Ultra will partner with select Team USA athletes "to bring fans a unique, inside look" at Olympic and Paralympic games. Team members including basketball star Sabrina Ionescu will share social content and make special appearances live from Paris, co announced. Soccer, Track and Field and Cycling team members will be included in that. Two new TV ads will run to bolster Ultra's connection to teams, including "Brewed Here," and "Home Team," a 30-second spot featuring "Team ULTRA athletes that will debut during the Opening Ceremony." Ultra has new pkging with Team USA Olympic emblem on neck of bottles. It will also be first brand "to participate in the Order of Ikkos Ceremony," where team medalists have an opportunity to honor their coaches. Plus Ultra will also host watch parties at Rockefeller Plaza, "and a footprint at Team USA House in Paris."
Hemp Bev Registrations Not Revoked, Iowa Responds After Approving Products, Finalizing Rules
The rules are clear and their enforcement hasn't been arbitrary, Iowa contends in additional briefing late last wk, taking matter of fact tone trying to swat away allegation after allegation leveled against it by pair of hemp bev producers. Subsequent to most recent filings by Field Day Brewing and Climbing Kites, the state issued slews of product approvals and denials, it pointed out. Product approvals the cos complained the state wasn't issuing mostly showed up on July 18th or 19th, well within the 30-day period the state has to approve applications, according to brief on behalf of Iowa's Dept of Health & Human Services (HHS).
How Long Could Boston Beer "Keep It Twisted"? Nadine Still Sees Another ~5 Yrs of 9% Growth
Even as Twisted Tea growth decelerates and velocity declines, Bernstein's Nadine Sarwat remains bullish on the brand's prospects. She projects it can grow at a roughly 9% CAGR over the next ~5 yrs, nearly in line with its current 1-yr growth rate, presuming Boston Beer prioritizes long-term brand health. Yet that wouldn't necessarily translate to broader success for SAM. Twisted is already its "only meaningful source of growth" and co's volume is currently declining mid-single digits in scans. Also remains to be seen if Boston's new ceo will be willing to forego short-term gains such as "excessive flavor and pack innovation over a short period." But revisiting her 2022 question of how long Boston can "Keep It Twisted," Nadine's answer seems to be: quite some time.
Another qtr and another Coca-Cola report with virtually no word on alc bev endeavors. That's as the biggest brands in its portfolio of licensed alc bev brands continue to struggle against initially solid launches. Top brand Simply Spiked is now down YTD thru Jul 14 in Circana data following latest 4-wk period down 19%. Topo Chico hard seltzer has been consistently down 25%-plus in recent periods. Jack & Coke and Fresca Mixed RTDs are still up a bit for the year, but down double-digits since spring 2024. Other new partnership brands like Peace hard tea remain small, Absolut and Sprite RTDs launched this yr outside of the US and Minute Maid Spiked wine cocktails launched this yr tho sold in larger format 1.5-liter bottles.
The Finnish Long Drink became the latest RTD to enter the top-50 spirits brand fams by $$ yr-to-date in Circana multi-outlet + convenience data. It jumped to #36 for 4 wks thru Jul 14 as Long Drink grew nearly 40% to $6.3 mil. That's larger than Monaco and Johnnie Walker among others in these channels, and nearly as big as On the Rocks (+22% to $6.6 mil).
In the first half of 2024, indie craft brewer volumes trended roughly similar to 2023, down about 2%, Brewers Assn chief economist and strategy veep Bart Watson estimates. He sees "no major change in trend," working to "triangulate" small brewer performance by looking at limited survey results alongside data from NIQ, TTB, POS systems and more. Further, he found "openings and closings relatively in balance," leaving the total brewery count also "fairly static." Total breweries in BA system at end of June ticked up to 9,528, 72 greater than this time last yr. But once closely combed, that slight change could go the other way, Bart suggested. Altogether existing data suggests that craft is "not a collapsing market," he stressed, showing "more of that equilibrium" in supply and demand "than any huge collapse." (For more details on Bart's presentation and analysis, see sibling pub Craft Brew News.)

