Beer Marketer's Insights
CVS, which has been working strenuously to carve out an identity as trusted source of innovative, better-for-you food/bev brands, has created private label line of snacks, bevs and grocery items called Well Market. Initial batch of 40+ items is dominated by snacks like Turmeric Curry Trail Mix and Sea Salt Rustic Plantain Chips but includes on bev side Purified Alkaline Water, Raspberry Lemonade Hydrate & Glow Drink Mix and Cocoa Cinnamon Focus Drink Mix. Well Market offerings will expand thru year and "over time" will incorporate drug chain's Gold Emblem, Gold Emblem Abound and Big Chill product lines, Woonsocket, RI-based co said. Chief merchandising officer Musab Balbale termed it a "repositioning and expansion" of food/bev portfolio in effort to forego no-no's like artificial preservatives, sweeteners and colors, or trans fats.
Zen WTR launched unusual double-decker campaign with key endorser Travis Kelce, pairing conventional aspirational video with nearly 6-minute video with unusually reflective bent. The video, which aired exclusively on E! this morning and drew coverage from cultural monitors like Rolling Stone, aims to convey the message that greatness lies within everyone with Kelce's message to "Find yours." A good vehicle with which to do that: "Pure. Elevated. Water," as voiceover intones about Lance Collins-created brand.
Clearly, the launch of soccer icon Leo Messi's new bev brand is going to be an extended tease. Latest chapter occurred late last week when his Instagram acct posted to his half-bil global followers, "I'm excited to finally reveal the name of my new drink: Mas+ by Messi," "mas" meaning "more" in Argentine's native Spanish, of course. Recall, Messi and Mark Anthony Brands are partnering on a sports hydration drink in which Messi owns a stake (BBI, Mar 27). "This name captures what my life and career have always been about: mas means more," he continued. "I believe we can always give a bit more, and I've achieved more than I thought was possible by thinking positively. Mas+ is positive hydration." Mas+ by Messi will reportedly debut next month in South Florida, where Messi plays for FC Miami, and be tied to Copa America soccer tournament in Miami. It will be part of a whole separate unit at Mike's Hard and White Claw marketer called Liquid Refreshment Beverage (LRB).
"They called it puppy love," went the old Paul Anka pop tune. At recent Beverage Forum, it was more about Poppi love, with gut-pop garnering shoutouts from speakers across the 2 days of conference. While cofounder and TikTok icon Allison Ellsworth insisted in interview to Retail Dive that co isn't engaged in talks with strategic bevco, the endless adulation seemed likely to further stoke FOMO among strategics looking to capture the next big thing - or at least to neutralize a new segment that makes no bones about its efforts to replace conventional CSDs.
BEV FORUM: Helming New Fund, Giannuzzi Opens Up on Changed Climate, Entrepreneurs He Admires
To our experience, food/bev superlawyer Nick Giannuzzi has always done less talking than doing, at least on public stage. But at Beverage Forum a coupla weeks ago in Manhattan Beach, Calif, he was coaxed onto dealmakers' panel after having recently unveiled ambitious Humble Growth Fund with all-star group of successful entrepreneurs and investors. Panel offered unusual opportunity to hear from wired-in standby who made his mark back in Vitaminwater days, helping negotiate influential tie to rapper 50 Cent whose outsize reward in sale to Coca-Cola seemed to open floodgates to other celebs wanting in on lucrative bev biz. Nick was sharing panel with former Vitaminwater marketing exec Rohan Oza - his client 22 years ago - who himself has gone on to numerous high-profile investments, including Bai and Poppi, and Noah Bremen, who operates PLTFRM sales & marketing co and invests profusely himself. Session was moderated by LA Libations' Danny Stepper, who was running this year's conference with Beverage Marketing's Michael Bellas.
Lots of folks are making plans for Memorial Day weekend and putting beer on their shopping list. "Nearly three in five US consumers (57%) plan to celebrate," and 95% of those plan to make purchases, per Numerator's survey of over 5,500 consumers. Food tops that list with 83% planning to make purchases followed by alcoholic beverages (44%) and non-alc bevs (33%). Beer "remains the most popular" alc bev choice with 76% planning on purchases, well ahead of wine (42%), spirits or spirits-based drinks (36%) and hard seltzers or canned cocktails (35%).
S&P Upgrades City Brewing from "Selective Default" to "B-" After Restructuring; Outlook Still Shaky
City Brewing recently completed its debt restructuring, improving liquidity in transaction that included a new $115-mil loan (see Apr 19 issue). But while S&P raised its issuer credit rating on City to a "B-," the contract brewer was previously tagged as "SD," indicating selective default. Upgrade reflects "City's improved, but still elevated leverage and weak cash generation," as the ratings co estimates City's adjusted leverage exceeded 10x after restructuring. "Negative outlook" remains due to City's "track record of underperformance," S&P wrote, with "potential for a lower rating if City's operating performance does not improve as expected, causing its capital structure to become unsustainable."
AB's next round of new Bud Light ads features the Bud Light Genie alongside UFC lightweight star Dustin Poirier, and co's "first Bud Light Genie UFC giveaway," co announced. New 30-second spot will begin airing on natl TV plus digital/streaming starting tomorrow (May 21). Ad showcases Bud Light Genie granting wishes like "make me tall," "I wish aliens were real," and "hang with Dustin Poirier," before they all end up making an in-arena walkout to the stands for a live UFC fight. Via Bud Light's "Easy Wishes" program, established during big Super Bowl giveaway earlier this yr, fans have a chance to win "front row seats at UFC 302 alongside the Bud Light Genie," while "joining Poirier's entourage for his pre-fight entrance" and "post-fight celebrations in the Octagon," per release. Can further tie-ins with UFC help Bud Light trends improve further? So far, Bud Light declines continue to pile up lapping last yr's big fallout, albeit at a less steep rate.
While Gallo did not disclose terms of its deal for Montucky Cold Snacks, co "agreed to sell ownership rights to the Montucky Cold Snacks brands of alcoholic beverages, as well as related inventory" to Gallo effective May 14, co-founders Chad Zeitner and Jeremy Gregory shared with their distrib network. As of May 14, "all rights to the Montucky Cold Snacks brands and existing inventory have transferred to Gallo, and neither MCS nor its management company Associated Brewing Company...is able to accept orders or supply the Montucky Cold Snacks brand to distributors." So Gallo seemingly owns significant majority stake, if not 100%, of Montucky beer brand rights, tho Montucky Cold Snacks entity still exists separately, letter suggests. Note asked distribs to "bill MCS as promptly as possible" and "no later" than June 13, 2024, and for distribs to "continue to sell your current inventory at your normal wholesale prices."
"I'm excited to finally reveal the name of my new drink: Mas+ by Messi," world's most famous soccer player posted on Instagram late last week. (Messi has 500 mil followers globally.) Recall, Messi and Mark Anthony Brands are partnering on a sports hydration drink in which Messi owns a stake. "This name captures what my life and career have always been about: mas means more," he continued. "I believe we can always give a bit more, and I've achieved more than I thought was possible by thinking positively. Mas+ is positive hydration," he added. Mas+ by Messi will reportedly debut in South Florida next mo and launch will be tied to Copa America soccer tournament in Miami. It will be part of a whole separate MAB unit called Liquid Refreshment Beverage (LRB).