BevNET Magazine March/April 2023

By Jeffrey Klineman

Not All Sequels Are Equal

It’s always interesting to me when there’s a big rush into a category after the big deals get done: I’m always forced to wonder if it’s a fight over scraps or if there’s still meat on the bone.

Take, for example, energy drinks and sports drinks, two of the fastest-growing product types in the beverage industry. You’d think that after a brand like Body Armor was picked up by Coke that there might not be much of an appetite for entrepreneurs to go after the hydration space, knowing that one of the biggest beverage companies on the planet had already picked its horse. But in fact electrolyte drinks continue to inspire entrepreneurs across the country, with products like Biolyte, BioSteel and Electrolit continuing to grow, alongside revamped companies like Hoist; meanwhile athletes and entertainers have also launched drinks like Logan Paul and KSI’s PRIME and the new Ready Nutrition platform from NFL player Aaron Donald and former basketball star Pat Cavanaugh.

And while Body Armor is continuing to make its way inside the Coke system, there have been clear signs of a slowdown in growth alongside the usual concerns around whether the company overpaid for a brand when it hadn’t fully figured out how to maintain its momentum. That’s Coke’s problem now, of course, and not necessarily anything inherent in the strategy that made Body Armor such a hotly pursued acquisition, but it does kind of make one rethink the old attitude that there are only two or possibly three real takeover targets in any particular category.

Then there’s the energy drink space – where Red Bull is ensconced as a strong, independent brand leading the category, Monster is aligned with Coke and Rockstar is owned by PepsiCo – there’s been plenty of jockeying among the rest of the beverage world to get ahold of a growing generation of new companies.

First Bang opened retailers’ eyes to the possibility of the “fitness energy” adjacency, and now a cadre of brands like Celsius, Nutrabolt, Ghost, and Zoa have found partnerships with their own beverage giants, while once again there’s share and buzz coming into the category from “creator brands” like Alani Nu and even newcomer Gorgie.

What about water? It would seem to have finally exhausted itself with the sale of premium brands like Core and Essentia, but those companies being taken off the table has just brought on a whole new cohort intent on subdividing the category even

more. A bunch of the Essentia team migrated quickly to the funky bottles of Eternal Water, while other startups are pushing aluminum and paper-based alternatives to the traditional PET. Meanwhile, no sooner do LaCroix and Sparkling Ice right their ships and Spindrift and Topo Chico establish the high end of the sparkling range, than a whole new crop of carbonated upstarts enter the fray.

So is this kind of proliferation okay? For years, I’ve been wary when an entrepreneur approaches BevNET attempting to sell us on the potential of a “me-too” brand, one that largely knocks off an existing product while offering a tiny slice of difference. Often, they seem to be aimed at a group that’s too small or esoteric to create a major marketplace or else the founders seem to interpret the business as just another fashion statement, and are just trying to make the same green juice that the rest of the cool kids are drinking. But this is different – these are companies that are taking the energy of categories that are still largely mainstream and offering, well, more.

In the case of sports drinks, formulas are advancing – many of these brands are offering heavier doses of their rehydrating formulas (Biolyte and Hoist both market themselves as IV bags in a bottle). The energy products are also adding a host of gymready ingredients and ramping up the caffeine past what the established brands offer, while water brands continue to find different vehicles to soak up the share of stomach that might have once gone to soda. There’s still variety and differentiation to be found – although there’s also the possibility that the sheer volume of that variety might overwhelm consumers.

Still, taken together, they’re more likely to impress than bewilder. In a recent Beverage Market Buzz report, Rabobank analyst Jim Watson applauded the energy that has gone into these categories, singling out sports and energy drinks as “a story of big innovation and vibrant startups,” and are categories that “have benefited from an aggressive update to core products, driven by the success of newer category entrants.”

Entrepreneurs should be applauded when they can look at a category that might appear played out, and still find a new approach that stirs the imagination. Some of us might see the wall, but we can all admire those who, every once in a while, see the cracks, and push on through.

Photo by Samara

By Barry Nathanson

Being Held to Account

First the good news. We just returned from a stellar and overwhelming Expo West. The excitement and energy were something to behold. Over 70,000 attendees packed the halls over the 4 -day trade show. It was hard to make your way through the North Hall the first day, though someone pointed out to me that the reason was that the other halls weren’t open so many exhibitors from there came over to browse. The logic of it made sense to me. For whatever reason, it was packed. I visited dozens of friends, some new but most relationships accumulated from over 30 years running around in this business. It was a great way to benchmark my career in beverages. Catching up was my favorite part of the show. For the BevNET team, the show was an incredible success. The editorial team covered the width and depth of Expo West in stride, and the reporting was second to none. I always marvel how they can cover such a vast event with substance, and insights.

In the lead up to Anaheim, I was reaching out to the exhibitors to take their pulse of their expectations, and to a brand, it was high. Yet, I also heard some dark clouds in many conversations. These talks continued in Anaheim with many brands. While the general drift was that business was going strong,

there were cautionary tales to consider. Over the past few years, funding, before, during and after the pandemic, was difficult. Then the floodgates opened and raising capital was not an issue. Investment dollars poured in. Just going to our BevNET site, you saw article upon article of rounds of funding coming in. Yet, there is always a price to pay and in my conversations, paying the piper was just around the corner. I heard from dozens of companies that investors were becoming impatient, wondering where the returns were for the money they’ve put in. The push was for profitability –investors are tired of their portfolios being in the red, and wanted some green. Many of the marketers said they had to curtail some of their marketing dollars, hold back on new product launches and sales pushes into new markets to satisfy a restless quest for accountability for their investments.

While, as a whole, business is strong and growing, the murmurs I heard could be just the tip of the iceberg. I hope I’m wrong and that business as usual will continue, but investors have a different agenda. I hope we can maintain a balance, to support the brands, but it’s incumbent that the brands do their part and maximize their brands’ value and balance sheet.

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Gerry’s Insights

By Gerry Khermouch

Influencers’ Brave New World

There are some readers of my newsletter who must think I’m pretty wired into this new world of social media influencers. After all, no sooner does some mega-influencer sign on as an investor and endorser of some new beverage brand than I weigh in with my authoritative take on the transaction. What’s their personal history? How big is their following, and on what platforms? Do they seem to be a good fit with the brand? Does that unfortunate incident at the Oscars after-party (or was it the dry cleaners on Melrose?) pose a risk to the brand? But I’ll fess up: As often as not, I’ve come by this insight only by Googling that same person an hour earlier. Until that moment, I’d only had the vaguest notion, if any, of who they were.

In short, this emerging world of so-called creator brands still is new and mysterious to me. These brands that the creators don’t merely endorse but themselves create, sometimes entirely out of left field, just because they have a yen for, I don’t know – coffee? – are a mind-boggling phenomenon and I’m sure many MBAs in glass towers are frantically trying to decipher where it goes. Did I mention coffee? That was an area of interest to the then teen-aged YouTube star Emma Chamberlain, who’d charmed millions of followers with her “haul” videos showing how she put together a killer look for, like, $18 at the thrift shop. Chamberlain created a quite delicious bagged coffee brand under her name that took off as a DTC item and has been edging into retail. Her hold on her followers came through to me a few months ago when I swung by a popup event the brand was doing at the flagship Brooklyn store of Blank Street Coffee. It was packed with exuberant young women who, to my eyes, looked exactly like Emma Chamberlain. Right, I reminded myself. She’s taught them all how to dress.

At the recent Expo West, Chamberlain debuted a canned coffee extension that’s going straight into 4,000 Walmart stores. So much for the proverbial slow build. That makes it clear that something is happening and we don’t quite know what it is. I should note that these creator brands are distinct from brands created by celebrities who’ve established themselves in conventional activities like movies, music or sports, as when rock star Sammy Hagar created his Cabo Wabo tequila brand. And both are different from when celebrities sign on as investors and endorsers to existing brands.

Creator brands have been exploding in categories like food, personal care and pet care. In beverages, the creator brand that’s had bloodshot eyes popping out of heads like in an R. Crumb comic has been Prime Hydration. That’s the sports drink launched by the social influencer cum fighter Logan Paul and his ring adversary and buddy KSI, the UK rapper. By their own account, the brand sold 100 million bottles in its first year, and that was with production seriously lagging demand. That in turn led to online videos of shoppers fighting in grocery aisles for scarce bottles – which I’m sure discouraged consumers and caused them to completely lose interest in the brand. Kidding! The majority owner and day-to-day partner in this enterprise has been Congo Brands, the company founded by the youthful entrepreneurs Trey Steiger and Max Clemons. They’ve made a specialty out of harnessing influencers to brands: first, gym rat Christian Guzman for 3D Energy, which has enjoyed some success, and then fitness icon Katy Hearn behind Alani Nutrition, which has ignited at Target and served as the first true vindication of their concept. In annual scanned sales, Alani Nu is well beyond $300 million. The partners seemed to have their sights set next on an RTD tea brand via a partnership with country crooner Mor-

gan Wallen before something unraveled that deal. But you get the point. Alani has done well in an incredibly competitive energy category. Then there’s Prime. In its first year, Prime has handily eclipsed Alani’s performance. It’s really extraordinary, and that’s before one takes into account that there’s nothing at all breakthrough about the formula, maybe less so even than Body Armor (which put the first scare in memory into Gatorade and enjoyed an $8 billion exit to Coca-Cola). It just seems that their followers will follow Paul and KSI to the ends of the earth, or at least to a Tesco grocery. This has got to be making the CPG giants nervous. It might be another great leveler, where brand incumbency and boundless resources don’t confer as much of an advantage as they used to. Already, social media is an alternative to paid TV and DTC is an alternative to retail, though there has been a sharply escalating cost to those tools. But what’s the cost of marketing creator brands? Their consumers are coming to them, with great eagerness, pleading to be sold. One example of how this plays out? Prime apparently was able to cadge a steep discount on a Super Bowl ad just before kickoff by promising Fox that it would be bringing to the big broadcast a legion of young sports fans who do not currently have football on their agenda. So Prime seems to have paid less than Coke, Pepsi or Bud for its presence on the must-watch event.

It’s still early days, but this creator segment seems to have its own ecology. Recently, gigantic Westrock Coffee bought tiny Bixby Coffee Roasters. Hunh? Bixby’s great, but I wondered, what does Westrock need them for? Creators. Bixby’s founders, Miles Fisher and Remington Hotchkis, seem to have a knack for engaging with creator types, like Emma Chamberlain, with whom it worked to develop her line. Westrock has been reaching out to the creator economy on its own but, as its founder/CEO Scott Ford told investors, it couldn’t hurt to harness Fisher and Hotchkis in what he views as “really a sales force and a selling site acquisition for us.” Westrock is a behind-the-scenes player in beverages, but might we be approaching a point at which the branded CPG giants will be establishing their own departments to try to woo creators?

But will the creators even need them? Even if they don’t need them to navigate their growth phases, what about an exit? From the creators’ perspective, is there even a need for an exit? After all, creators gonna create, maybe through the ebbs and flows of individual brands and categories, and there’s not necessarily a time limit on how long they’ll stay at it. Hey, Mick Jagger and Bob Dylan are still rockin’ and rollin’ into their late 70s and 80s.

From the strategics’ perspective, if the brand embodies the founder, what’s the value of acquiring a creator brand whose founder is unlikely to stay engaged? Even with more conventional brands, the road forward seems hard enough when the founder exits. Congo seems to be enduring some stresses with Alani’s creator, Hearn, and it’s an open question whether the brand has progressed to a point where her direct involvement no longer is crucial to its success. There’s also the risk factor. The big CPGs have periodically suffered their share of unpleasant surprises with celebrity endorsers whom they had presumably vetted. Creators are even more of a black box. With Paul, for instance, any would-be Prime acquirer would have to wonder, what are the odds that he kills either himself or somebody else in one of his stunts? Less luridly, what if he just loses interest? I certainly don’t know the answers to these questions. I’d barely heard of Paul before wholesalers were heralding Prime as the second coming. But it’s a brave new world and some of these quirky personalities on your iPhone screen may turn out to be the next kings of commerce.

Longtime beverage-watcher Gerry Khermouch is executive editor of Beverage Business Insights, a twice-weekly e-newsletter covering the nonalcoholic beverage sector.

Tru Inc. Raises $6.5M Series A to Support Footprint, Team Expansion

In February, functional beverage maker Tru Inc. raised $6.5 million in a Series A funding round led by BTomorrow Ventures, an existing investor and the corporate venturing arm of British American Tobacco.

Founded in 2015 by CEO Jack McNamara, a former pro hockey player, and tech entrepreneur Yashwardhan Banthia, Tru initially went to market with a line of 1.69 oz. shots. However, the business was slow to grow, and in December 2020 it shifted focus to a full-sized functional sparkling water line. That pivot proved to be a game changer for the Massachusetts-based startup – earlier that year Tru had received a critical $1.5 million cash infusion necessary to “save” the struggling company.

Since then, Tru has now reported two consecutive years where revenue grew about 120% annually and this new financing is poised to help the brand reach new markets and grow headcount.

“I continue to be impressed by the stellar growth the Tru team have achieved over the past year,” said Lexy Prosszer, founder & investment principal of Btomorrow Ventures, in a press release. “We are excited to continue our great partnership, supporting the brand in this next expansion phase as they look to strengthen their position in the market across the USA.”

BTomorrow had previously participated in Tru’s $3.6 million financing round in 2021, which also included investment from (and a DSD distribution partnership with) Bay State powerhouse Polar Beverages. According to the company, that relationship has now helped Tru to expand its footprint to around 2,000 stores within the

grocery and convenience channels, including Market Basket, Harris Teeter, Wegmans, and regional Walmart locations.

Positioning itself as a “carbonated complement to Vitamin Water,” Tru’s portfolio of 12 oz. canned drinks includes Power, Energy, Defend, Focus, Dream, Rescue and Beauty varieties, each made with different vitamin and ingredient blends.

Answering questions via email, McNamara said Tru has recently added retail partners like Tops and Discount Drug Mart. The brand has launched in ShopRite and Stop & Shop stores and an expansion into the New York City market “is imminent.”

Positioning Tru’s full-sized offerings as an enhanced water, McNamara added, has allowed the brand to stand out more within its retail locations.

“Rather than swim against the current, we are following the flow of data which suggests that customers are looking for more bene-

fits in beverages, aluminum packaging in the water set, and less sugar,” McNamara said. “Having executed this with great flavor, we will continue to drive trial inperson via samplings while adding online awareness through social media.”

Since BTomorrow first invested in Tru in 2020, McNamara said the relationship with the venture group has been significant in aiding the company’s strategy across nearly all aspects of the business, providing insight and guidance in manufacturing, sales and marketing. He credited BTomorrow with helping Tru to mature as a business “by transitioning to a data centric approach that maximizes for growth and efficiency.”

Tru is now working to expand its team and intends to bring on a fulltime CFO and double its sales force this year, McNamara said. Although growing its store count is part of its strategy going forward, the top priority will be on going deeper in existing accounts and increasing individual store velocities.

“We have always taken a balanced approach to allocating capital so that we can continue to elevate every discipline of the business…. [O]ur key to winning this game will be controlled growth with a premium level of customer service that touches every level,” he said.

Snoop Dogg Enters Cold Brew Coffee With Indo

Get this Dogg a drink.

Rap legend and prolific entrepreneur/marketeer Snoop Dogg has stepped into the ready-to-drink coffee space with Indo, which launched its line of unflavored cold brew, packaged in 12 oz. cans, online in March.

The brand is the brainchild of Michael Riady, a former real estate investor in Southeast Asia who pivoted into the specialty coffee business in 2017 as a partner in Los Angeles-based, Indonesian-focused roaster and cafe Tentara Surf & Coffee Roasters. After the company’s two physical stores shuttered during COVID, Riady continued to import and roast Indonesian coffee and sell it online while mulling his next move. Citing The Honest Company as an example, he set his sights on securing an “A-list” celebrity partner with whom to grow a revamped version of the brand.

In the midst of that search, Riady reconnected with an old friend from Los Angeles with connections to the entertainment industry, which led to an introduction to Snoop Dogg. The hip hop icon joined Indo as an equal equity business partner shortly thereafter and his impact was immediately felt; it was his idea to change the name.

In an email to BevNET, the rap legend explained “Michael Riady came to see me with the best cup of coffee that I’ve ever had and from there we came together to create a company that embodies my belief in hard work and ownership.”

Over his career as a businessman, Snoop Dogg has occasionally dabbled in the beverage industry, mostly as an alcohol marketer. Longtime fans will recall his memorable ads for St. Ides malt liquor in the early 90s, but his track record stretches well into the 2000s (as a pitchman for Blast by Colt 45) to the present day, where he’s currently seen in commercials for Corona. He’s been particularly active in wine as of late, having worked a multi-year partnership with Australian label 19 Crimes (alongside frequent pal Mar-

tha Stewart) and releasing a limited edition Death Row Records red wine. In a nod to his breakout single “Gin & Juice,” in 2020 Snoop collaborated with celebrity spirits seller Trusted Spirits on Indoggo, a gin infused with natural strawberry flavor.

Better known for his love of cannabis, Snoop said his personal relationship with coffee goes “way back,” having helped fuel himself and collaborators during long nights in the recording studio. Getting involved in a coffee brand felt “like full circle for me as an owner and creator,” Snoop said in an email.

“My first record was Gin and Juice, you know the lyrics,” wrote the hip-hop icon, who is credited as a co-founder. “I was ‘rolling down street smoking indo, now I’m drinking Indo.’ It’s always been my 1-2 punch.”

With Snoop on board, Indo’s aim is to “make coffee cool and fun” and serve as a contrast to existing specialty brands in the RTD space, Riady explained, sprinkling in references to inspirational names like Red Bull and Liquid Death. The rapper himself is not featured or mentioned on the can; Snoop will promote the brand “in ways that he wants to,” Riady said, while he focuses on executing on the business. On its website, the brand is teasing the tagline “Sip It Like It’s Hot,” as well as forthcoming episodes of “The Owners Series” that spotlight creators and entrepreneurs such as artist Esther Anaya and CocoTaps founder Coco Vinny. Indo also had a marketing presence at Shaq’s Fun House, a music festival created by NBA legend Shaquille O’Neal that took place over Super Bowl Weekend.

When asked how he planned to promote the company, Snoop mentioned targeting specific consumer audiences including “college kids that need to fuel the dream, the nurses putting in long hours, or the engineers putting in the long hours in the studio.”

The coffee itself is a low-acid, organic Indonesian single origin with 250mg of caffeine per can, and is now available online at the brand’s website and via Gopuff, Bevmo and in all hotel rooms at Resorts World Las Vegas, a $4.3 billion resort, mall and casino complex that opened in 2021. The suggested retail price for one 12 oz. slim can is $5.99, and distribution is set to continue through authorized retailers like Erehwon, Albertsons and Safeway in the months ahead.

As Indo ramps up, Riady emphasized that the core of its business is still roasting whole bean coffee, which it continues to sell online. The company is also working on another RTD product: a 10% ABV espresso martini, priced at $24.99 per 4-pack, currently available for waitlist. Even with a big name partner, Indo remains a small operation: the team is less than 10 people, and just closed a pre-seed funding round from friends and family last year.

Jack Owoc Out At VPX/Bang

Jack Owoc, the controversial CEO and founder of Bang Energy maker Vital Pharmaceuticals, was dismissed in March as the company’s chief executive and chief science officer, and from its board of directors, where he had served as chairman. John C. DiDonato, Vital’s chief transformation officer, has been appointed interim CEO in addition to his existing role.

The company announced the move in a brief press release issued close to midnight on Thursday.

“On behalf of the Board of Directors, we acknowledge Jack’s vision in founding this leading brand and creating a world-class product in the energy drink category. As the Company continues to pursue value maximization, we are grateful to Mr. DiDonato and the executive leadership team for their stewardship and to the talented and hard-working members of the Bang Energy team for their unyielding commitment to the brand,” said Steve Panagos, Chairman of the Board.

The release did not specify what potential role, if any, Owoc may play in the company’s future, but specified that he will “no longer serve in his current role.”

DiDonato is the National Practice Leader and Managing Director at Huron Consulting Company and brings “more than 35 years of experience leading companies through complex financial and operational transformations.”

As part of the restructuring, Gene Bukovi has also been elevated to the position of Chief Operating Officer.

Though his career in CPG and supplements precedes Bang,

Owoc’s brash personality and management style have been a core element of the brand’s identity during its prodigious rise over the past decade, eventually becoming the third-largest energy drink behind Red Bull and Monster, as well as inspiring a new wave of workout-oriented, high-caffeine beverages. His approach has also snared VPX in multiple litigation cases, including ones in which he has been accused of misleading consumers about the ingredients and functional benefits in Bang drinks.

The company’s future was put into doubt after it declared bankruptcy shortly after a jury sided with Monster Energy Co. in its false advertising lawsuit against VPX in California federal court in September, awarding the company nearly $293 million in damages. Monster is currently seeking a further $167 million in punitive damages, lawyer fees and unjust profits.

In the months since, Owoc has touted Bang as being on track to complete “the greatest comeback in beverage history” by rallying around new products, formats and independent distribution partners. However, CPG veteran Kathy Cole, who joined Bang as COO in October to oversee the “integration of a new high-performance operations model,” departed the company within months. Meanwhile, several large chain retailers have reportedly stopped carrying Bang.

FDA Says CBD Is Not A Dietary Supplement, Tasks Congress With New Oversight Plan

The U.S. Food and Drug Administration (FDA) is looking for Congress to take charge in regulating cannabinoid (CBD) products after concluding the agency’s existing authority over food additives and supplements does not provide all the necessary tools for managing the risks of CBD. The news arrived nearly five years after the FDA announced it would begin looking into developing guidance on cannabinoid use.

Additionally, the FDA denied three citizen petitions that requested CBD be regulated as a dietary supplement. That decision came from findings of the FDA’s CBD working group which examined studies on Epidiolex, a CBD-based drug, and concluded that the risks of CBD do not align with the existing safety parameters for dietary supplements or food additives. The agency is asking for additional data and more studies.

In lieu of taking the lead itself, the FDA is asking for Congress’ help to develop a new regulatory body that can serve as a gatekeeper for legal CBD. Whether that body resides within the existing structure of the FDA remains to be seen, but the agency was clear on its position that these products need to be regulated so that consumer demands can be met and the emerging industry can grow within a federally-set framework.

The agency believes the new body will need to have the authority to effectively regulate labeling of CBD products, prevent contaminants, institute CBD content limits and wield the power to put minimum purchase age limits in place. Access and oversight plans for CBD products and for how consumption of CBD by animals could potentially impact and infiltrate the human food system will also be developed through this proposed regulatory path.

The news came days after the federal agency released industry guidance for the development of cannabis-based drugs, including specific processes and

factors for scientists to consider when working with hemp and marijuana ingredients. As CBD products continue to be sold in the market, the FDA said it will continue monitoring how those products are marketed, sold and take appropriate action when necessary in accordance with state regulators.

“We will remain diligent in monitoring the marketplace, identifying products that pose risks and acting within our authorities,” the agency said in a statement. “The FDA looks forward to working with Congress to develop a cross-agency strategy for the regulation of these products to protect the public’s health and safety.”

Looking forward, Congress has quite a regulatory task in front of them. While the legislative branch could grant the FDA the ability to generate a new CBD regulatory body on its own, the agency’s broader human food regulatory functions have also come under recent scrutiny.

The release of the Reagan Udall Foundation report analyzed the function of the FDA’s human food program and recommended that an internal structural overhaul may be necessary for the agency to be able to effectively regulate the food, a change that would likely require congressional approval. This means that while the FDA may need congressional help to create a body for CBD oversight, it may at the same time be seeking permission to adapt its own structure.

This move means that CBD food and beverage brands essentially will keep on doing what they have been: waiting a bit longer before they can begin selling products at major retail chains. Many retailers have stated they will not merchandise ingestible CBD products until federal guidance is published since the ingredient remains unregulated and illegal to include in food and beverage products. For now, most brands are limited to online directto-consumer platforms and independent retail outlets but are optimistic about the impact of today’s announcement.

According to John Simmons, co-founder of CBD/THC beverage brand Weller, his team has been incorporating the suggested risk management tools relative to CBD labeling, contaminants and content limits for several years to ensure the products

are ready to go into major retailers when federal regulatory guidance is released. He explained many of these measures are table stakes for early-CBD adopting retailers like Wegmans and Sprouts.

Relaxation beverage brand Recess also believes the overall industry is steadily progressing along its path to retail. The company, which recently expanded its CBD-free Mood line due to increasing consumer demand, has previously said that line has helped the company secure and maintain key retail placements as it awaits federal CBD guidance.

“We are encouraged by FDA’s announcement to work with Congress to establish a workable regulatory framework for CBD at the federal level,” said Ben Witte, founder and CEO of Recess. “We look forward to maintaining a constructive dialogue with policymakers to ensure that regulations are established that protect consumers and establish clear rules for suppliers, brands and retailers to operate within.”

Jonathan Eppers, founder of CBD beverage brand Vybes, said he doesn’t believe much will change for the CBD industry in the short term following the announcement. He said VYBES continues to see strong demand, highlighting that the category is likely growing slower due to the lack of federal regulation preventing it from entering major retailers, but believes overall, CBD is on an upward track.

“I’m encouraged that FDA is asking Congress, who has been pro-CBD for years, to write laws that regulate CBD,” said Eppers in an email. “CBD regulations are one of the only bipartisan issues both Republicans and Democrats agree on, so maybe we’ll get something sooner than we all think.”

Simmons believes regulation could come as early as mid-summer and expects that CBD regulation will be added to the 2023 Farm Bill.

“The timing of this statement from the FDA gives legislators the opportunity to ensure the missing pieces from the 2018 Farm Bill can be properly added to the new version,” said Simmons. “That’s probably the smoothest legislative pathway, since Congress has been unable to pass independently introduced CBD legislation in years past.

Hot Stuff: Fly By Jing Brings in $12M to Scale Brand & Retail Presence

After moving from online into retail last year modern Chinese food brand Fly By Jing announced in March it raised an additional $12 million in funding to fuel continued expansion primarily in conventional grocery stores.

Existing investor Prelude Growth Partners and Pendulum, an investment and advisory firm for leaders and founders of color, were the two largest investors, with entrepreneur Dave Gruntman, Palm Tree Crew and numerous other angel investors also taking part.

“As a founder, and someone who did everything myself in the early days, it’s a constant evolution of thinking bigger,” founder and CEO Jing Gao said. “Bringing on private equity investors is an example of allowing others to help me propel my vision forward.”

The capital, Gao said, will be used to drive further expansion mainly in conventional retailers. After launching in stores last year, the company has achieved a 50/50 split in revenues between retail and D2C; this year, Gao expects that ratio to rise even further, closer to 70/30.

“The next period is really about figuring out the transition to a true omnichannel brand,” Gao said. “Our next phase is about really establishing a brand for everyone, and not just to coastal cities, not just for the foodies, but really an everyday item, like sriracha and Heinz ketchup.”

Since its $5 million raise in 2021, the company has grown its door count to 4,000 retailers including distribution in Whole Foods, Sprouts, Target, Costco and Wegmans.

Gao said she originally wanted to focus on the natural retailers to start; Target however, offered to collaborate with the brand on how it could address the “problem” of the “ethnic” aisle, which segregates certain items away from their conventional counterparts. The chain agreed to test Fly By Jing’s Chili Crisp in the hot sauce aisle, though sales data later showed that it performed better in its original placement in the Asian food set.

“It’s not just us, there’s a rising tide of founder identity and mission driven brands that are now starting to pop up in the

ethnic aisle. It’s no longer the stale aisle that people didn’t really go down -- it’s actually a destination,” Gao said. “That was actually a big unlock for us. There’s been a reclamation of the ethnic aisle that we’ve been a key part of.”

Gao has a cookbook, The Book of Chili Crisp, coming out in 2023, which she believes will also help drive awareness and understanding of the company’s signature product.

The plan, Gao said, is to eventually build out a larger platform of products, likely more condiments. Online, the company will continue to offer a larger “pantry” of products, such as a wider array of spices, hot pot bases, black vinegar and dumplings, which Gao says serve as a vessel for its sauces. In retail, Fly By Jing wants to focus on shelf stable products that can be merchandised in the same set. Earlier this year, it introduced an extra spicy version of its chili crisp in Whole Foods. Another D2C product, Chili Crisp Vinaigrette, could also make the jump into retail.

To support the growth across product types and retailers, the company has also grown its c-suite, recently bringing on former Follow Your Heart CFO Matt Dunaj as its COO/CFO and former Sovos Foods VP of sales Jason Parasco as its chief commercial officer. Fly By Jing also recently earned B Corp certification.

Gao herself is dedicated to continuing to push the CPG industry on its acceptance of new products and brands created by female, BIPOC and AAPI founders. As an example of the hurdles Fly By Jing has had to overcome, Gao said the reason why the brand went D2C initially was simply because retailers would not give the product a chance.

“As we have proven ourselves again and again, there’s finally more and more people giving us a shot, and giving others a shot as well, which is kind of this idea of the rising tide. I think that all we can hope for is progress -- and we are making progress in the right direction,” Gao said. “There’s excitement, which really, I would say, we, along with other brands like us, created ourselves. We really had to exert ourselves in order to make this happen.”

Ace in the Hole: Oats Overnight Raises $21M

There are many ways to fund a startup, but using the winnings from a career as a successful, high-stakes professional poker player is certainly not the norm. However, Oats Overnight CEO Brian Tate is ready to go all-in, announcing in March a $21 million investment.

The oversubscribed round included participation by Singh Capital Partners, BFG Partners, Impatient Ventures, Watchfire Ventures, Morrison Seger Venture Capital Partners, Vanterra Ventures, Access Capital, and Pure Ventures. Prior to this, the company had been self- funded by Tate, and then raised $9 million in funding, mainly via several SAFES.

Tate formerly was one of the top poker players in the world, prior to that career playing Magic the Gathering professionally. The inspiration for the company came from his preferred meal while on tour playing poker; several members of his executive team are also former professional poker players.

Founded in 2015, the Arizona-based company has a run rate of over $100 million, with $55 average order volumes, and profitability expected by April, according to Tate.

The new capital will mainly hit the balance sheet, Tate said, and go towards acquiring more inventory and upgrad-

ing its manufacturing processes via new equipment purchases. Oats Overnight is a vertically integrated company, handling the manufacturing, packaging and fulfillment of its protein-enhanced, lowsugar, creatively flavored oats. To support these efforts, the company has 250 employees, largely on the manufacturing side.

“We feel really excited to have this capital for the balance sheet to invest in machinery, invest in this new facility and get efficiencies up. Automation, of course, is always a big win from a margin perspective, and really helps us reach that profitability faster,” Tate said.

“We took just what we needed to be both comfortable going into whatever this next year will bring at a macro level...we want[ed] to make sure we can be solid, but also maybe [go on the] offensive.”

Currently the business’ sales are 80% direct-to-consumer, 10% on Amazon and 10% in retail, but the company hopes to bring that online to retail ratio closer to 50/50 by 2026.

In brick and mortar, which Oats Overnight entered two years ago, the company sells shelf-stable bottles, filled with 2.2 oz. of oat milk powder and its flavored oat/protein mix, requiring consumers only to add water. The packaging was selected because the end product is more like a shake than a bowl of oatmeal and is easier for on-the-go consumption. Though the bottle format is unusual in the oatmeal set, Tate says the product competes with single serve heat-andeat oatmeal bowls. The brand is in over 2,000 stores including Walmart, Whole Foods SoPac region, HEB, Meijer, Safeway Albertsons, and Wegmans.

However, it’s online where the brand

has really taken off, selling 2.8 oz. sachets which retail for $60 for 16 meals, or $84 for 24 meals and are far more efficient to ship. Customers add their own liquid and then, ideally, shake the mix in a blender bottle or blend.

In addition to one-time purchases, the company also maintains an active subscription business, currently with 130,000 subscribers. First-time subscribers are offered $21 off their order as well as a free blender bottle, and then subsequently receive $6 off every future order. Subscribers typically order 16 packs per month, Tate said, and the company “overindexes on retention” with most shoppers who pause their subscriptions returning in six months, spurred to rejoin by the release of a new flavor.

“We’ve seen LTV expand at a 25% CAGR over the last five years and those LTV expansions allowed us to pay incrementally higher CACs while still maintaining a really, really healthy payback period,” Tate said. “We have a very strong brand LTV which allows us to be much more nimble.”

This emphasis on flavor variety and

limited time offerings has been another key to the company’s growth. Every subscriber’s order includes a packet of a flavor currently in testing, with customers encouraged (and incentivized) to provide feedback. These real-time focus groups then help Oats Overnight determine which products should be offered on the wider ecommerce platform as well as what may eventually make it to retail.

Subscribers not only have a private Facebook group, which currently has 21,000 members and an average of 1,000 comments per day, but access to exclusive flavors. Currently that subscriberonly storefront, for example, has 35 flavors while one-off customers have access to only 21 options.

“We always give feedback to our customers. We say ‘this is what we heard from you. This is how we changed the formula,’ or ‘this is why it was not released,’” said Nina McKinney, chief strategy officer. “There’s this actual incentive to be involved in our product development process because their voice is truly being heard and listened to.”

A-B Ceases Operations at Platform and Dishes Out Layoffs at Other Craft Breweries

Anheuser-Busch InBev (A-B)-owned Platform Beer Co. ceased operations in February, less than four years after the Cleveland-based brewery was acquired and joined the beer giant’s craft unit, the Brewers Collective.

The brand will live on as three IPAs – Haze Jude IPA, Odd Future Imperial IPA, and the new Canalway IPA – according to an A-B spokesperson.

Brewbound spoke with leaders from A-B’s High End division – which includes the Brewers Collective – in December. They said the division’s priorities for 2023 were “maximizing” Stella Artois, growing its premium lagers and continuing to lead craft growth with its Brewers Collective brands.

Brewers Collective VP of marketing Carrie Shafir noted the craft division consists of 20 brands, and “if we’re not focused, it can get messy very quickly.” She said the division would continue to focus on “leading with style” and gaining share in “top performing craft styles.”

One day after the news of Platform’s shutdown, reports began to roll in of layoffs at some of A-B’s other craft breweries. Employees have been let go from Houston, Texas-based Karbach Brewing and Patchogue, New York-based Blue Point Brewing, according to LinkedIn posts from workers. Layoffs have also been reported at Lexington, Virginia-based Devils Backbone, Asheville, North Carolina-based Wicked Weed, and Chicago-

based Goose Island Brewery, A-B’s largest craft brewery.

It is unclear how many employees or breweries were affected. In a statement to Brewbound on February 23, A-B High End division president Andy Thomas said:

“Winning in craft remains a key pillar of our strategy to lead and develop the Premium segment, but winning means something different in today’s marketplace than it did a few years ago. This week, several of our craft brewery partners announced local team updates that will allow them to better address evolving consumer needs and trends in their home markets and beyond. As the craft industry continues to transform, we’re staying laser focused on continuing to lead growth in the segment.”

A-B has long had ties to craft beer, beginning with investment in Widmer Brothers and Redhook nearly 30 years ago, which evolved into the Craft Brew Alliance (CBA) in 2008, the platform of eight craft brands A-B acquired in totality in 2020 after owning a 31.2% share.

The world’s largest beer manufacturer began acquiring craft breweries in its own right early in the last decade, beginning with its purchase of Goose Island in 2011. Since then, the Brewers Collective has expanded to include 20 brands nationwide.

House Beer Racing Back on the Scene Under New Ownership

Premium craft lager brand House Beer is revving things up in 2023 with new ownership. The decade-old company is set to be acquired by motocross athlete Carey Hart, who will “restart production and bring the brand back to its former glory,” House Beer announced in February.

The Venice Beach, California-based craft brewery was founded in 2013 with a focus on on-premise sales, As a result, the brewery struggled to fi nd footing when shutdowns from the COVID-19 pandemic “diminished” its business, and House Beer halted production in early 2022 with little fanfare.

Hints that House Beer may be returning began in September, when the brand returned to its Instagram page after a more than six-month hiatus. In response to comments asking if the beer was returning, the company said “our beer is heading out to more bars and restaurants very soon.”

Financial details of the deal were not disclosed.

“I am thrilled to have the opportunity to return House Beer to the market,” Hart said in the release. “The beer has always been a favorite of mine, and I knew I wanted to be a part of letting it come back to life. House Beer has a diehard fan base and a rock-solid flavor profi le, and I am excited to help it reach new heights.”

Hart, who is married to singer-songwriter Pink, plans to “bring a new level of energy and innovation” to House Beer, while “still maintaining the brand’s traditional brewing methods and commitment to quality,” according to the release. The fi rst batches of House Beer’s flagship House Premium Craft Lager (4.5% ABV) will be available in Southern California beginning in March, in 12 oz. can 6-packs and 12-packs, 12 oz. stubby bottles, and on draft . The beer is being produced by “a contract facility on the Central Coast,” a spokesperson told Brewbound.

Hart plans to “refocus” on his home market of Southern California, as well as introduce House Beer to grocery stores, and increase the brand’s share in the off-premise, according to the release. Scout Distributing will be House Beer’s “primary distributor,” but the company “may have announcements soon about other distributors,” the spokesperson said.

“We’re delighted to have found a new steward of the House Brand in Carey,” former CEO Chris Barrow said in the release. “We can’t think of anyone better suited to carry forward the legacy of the brand into the coming years, and we’re excited to share a House with him as soon as the cans start rolling off the line.”

Sierra Nevada Makes Minority Investment in Riot Energy; Will Package and Produce

Sierra Nevada Brewing Co. has made a minority investment in Riot Energy, a Venice, California-based energy drink company. The California brewery will “initially serve as an investor,” but will “eventually produce and package Riot Energy products” once its CanDo Innovation Center is up and running.

Sierra Nevada announced construction of the 85,000 sq. ft. CanDo facility in September. The Chico, California-based production facility will have a 500,000-barrel annual capacity and will be dedicated to beyond beer offerings, including Strainge Beast hard kombucha and non-alcoholic versions of Sierra Nevada’s existing beer offerings.

The investment in Riot may help the more than 40-year-old brewery connect with younger consumers who are “seeking better-for-you recipes,” according to the release. Founded in 2016, Riot is a “100% plant-powered,” certified organic energy drink company. Its products contain “no added sugar, no artificial sweeteners and no unrecognizable ingredients.”

“Consumers are underserved by the big beverage brands,” Riot founder Laura Jakobsen said in the release. “We are creating a different, more crafted choice to be energized with the simpler, cleaner ingredients consumers are demanding, yet current category brand leaders aren’t trusted to deliver.”

Sierra Nevada was the third-largest craft brewery by volume in 2021, according to the BA. The company produced more than 1.1 million barrels of beer in 2021, a -1% decline year-over-year (YoY). 2022 was “relatively flat and down just slightly from a volume perspective,” Sierra Nevada VP of sales Ellie Preslar told Brewbound in September.

Riot marks Sierra Nevada’s second foray into M&A, albeit a minority stake. In February 2019, the company acquired San Francisco-based Sufferfest Beer Company, a craft brewery whose gluten-reduced offerings were marketed toward athletes and made with ingredients such as bee pollen and sodium. However, by the end of 2020, Sierra Nevada discontinued the Sufferfest brand.

Braxton Brewing Spins Off Garage Beer into New Company

Braxton Brewing Co. has formed a partnership with brand investment marketer Andrew Sauer to spin off its Garage Beer light lager into a new company: Garage Beer Co.

Sauer, who will serve as president of Garage Beer Co., will focus “on growing distribution, sales and notoriety” of Garage Beer, while Covington, Kentuckybased Braxton will handle production of the 4%-ABV, 95-calorie beer. In addition to producing the lager, Braxton will continue selling the beer in its taprooms and promoting it throughout the Cincinnati area.

Speaking to Brewbound in February, Braxton co-founder and CEO Jake Rouse described the creation of Garage Beer Co. as “a true partnership” with Sauer. Braxton will maintain an equity ownership stake in the newly formed business along with Sauer.

“The newly formed Garage Beer Company has the ability to bring more resources to growing Garage Beer to a much larger footprint than Braxton can,” Rouse said. “It just basically allows us to level up focus and an ability to scale in a much larger way.”

Sauer will bring a national brand perspective to Garage Beer and “truly focus on growth,” with a dedicated sales and marketing team for the brand, Rouse said.

As president of Garage Beer Company, he will also have the autonomy to lead the organization, including raising capital. A CPG marketing professional who previously worked for Jim Beam and J.M. Smucker Company and most recently served as CEO of Hilo Nutrition, Sauer will be tasked with “fueling stronger, more strategic growth, including attracting new consumers, shelf space and celebrity talent,” according to a press release.

“This team expansion, to us, will allow the Braxton team to do what they love the best, and to get back to their roots as beer makers,” Sauer said in the release. “While we get to focus on bringing the best light beer on the market to more people, we’ll focus on our Midwest roots first, and expand into new corners of the world who are thirsty for something authentic, innovative and different. We’re all really excited about the growth and expansion potential of this amazing brand.”

Garage Beer launched in August 2018 as a 15-pack priced at $15.99. The brand maintained that $15.99 price point until last year, when retailers increased it by about $1, Rouse said.

The spin off comes as Braxton has reformulated Garage Beer’s recipe to make the beer “lighter.”

Garage Beer also received a packag-

ing refresh and will begin hitting retail shelves in 16 oz. 6-pack cans, 12 oz. 15pack cans, and 19.2 oz. single-serve cans over the next couple of weeks, Rouse said.

In 2021, Braxton Brewing’s production was flat at an estimated 20,000 barrels, according to the most recent data available from the Brewers Association. Braxton ranked as the largest taproom brewery by volume in the south region as designated by the trade group.

With Sauer taking the lead on marketing and selling Garage Beer, Rouse told Brewbound that Braxton will be able to focus on launching new brands and opening new brewery locations in the Cincinnati/Northern Kentucky International Airport and in Union, Kentucky.

“I’m excited overall about what Braxton has in store and super excited as we continue to use most of our capacity for Garage Beer while we grow together,” Rouse said.

Montauk Begins Distribution Expansion Following Acquisition by Tilray Brands

Montauk Brewing Co. has begun the distribution expansion leadership promised following its acquisition by global cannabis firm Tilray Brands. The New York-based craft brewery has begun distributing in Connecticut and Rhode Island, in addition to filling out its presence in New York and New Jersey.

Montauk’s existing network includes Boening Brothers on Long Island, SKI Beer in New York City and Kohler Distributing in northern New Jersey. Over March and April, the brewery has filled out the remainder of New Jersey with Shore Point Distributing and Kramer Beverage, as well as upstate and western New York with Oak Beverage, A.L. George, Saratoga Eagle, Lake Beverage and Dutchess Beverage.

For its new states, the brewery has partnered with Northeast Beverage and F&F Distributors in Connecticut, and C&C Distributors in Rhode Island. The company is also eyeing “even more areas for distribution over the next few months,” according to a press release.

“Over the past 10 years, our fans have been asking for Montauk on tap in their favorite bars outside of Long Island and NYC, and we are so excited to finally deliver,” Montauk co-founder Vaughan Cutillo said in a press release.

Montauk’s flagship Wave Chaser IPA (6.4% ABV), which accounts for about 50% of Montauk’s business, will “lead the charge” with the expansion, along with the brewery’s seasonals Montauk Summer Ale (5.6% ABV) and Watermelon Session Ale (4.9% ABV).

Tilray acquired 100% ownership of Montauk in November for an initial purchase price of $35.11 million, made up of $28.688 million

in cash and $6.422 million in stock, according to a 10-Q filing. Tilray was still in the process of assessing the final fair value of Montauk’s net assets as of Tilray’s Q2 2023 earnings report in January, but preliminary estimates value the brewery’s total assets to be worth $53.403 million, with $8.048 million in liabilities, for a net asset value of $45.355 million.

Montauk joins a bev-alc portfolio Tilray has been building since 2020, including Atlanta, Georgia-based SweetWater Brewing, Breckenridge, Colorado-based Breckenridge Distillery and San Diego, California-based Green Flash and Alpine Brewing. At the time of the Montauk acquisition, Tilray chairman and CEO Irwin Simon expressed the company’s intent to “leverage SweetWater’s existing nationwide infrastructure and Montauk Brewing’s northeast influence” to “significantly expand” Tilray’s overall distribution network and grow all its bev-alc brands.

“Our meetings with distributors in these new footprints have been exciting and productive,” Tara Hanley, Northeast area sales manager for Sweetwater and Montauk, said in the release. “They see the momentum and impressive scan data in Metro NY, so the time is perfect for Montauk to expand. The fans are ready, the brand is ready, and we are ready to work closely with all of our new partners.”

Montauk’s production volume declined -4%, to 46,935 barrels, in 2021, the majority of which was contract brewed, Montauk general manager Terry Hopper told Brewbound in November. The combined annual output for all four of Tilray’s craft brands would be more than 309,000 barrels of beer, according to the BA’s 2021 estimates.

For more stories, check out brewbound.com

ALT DAIRY

Willa’s has unveiled a revamped formula for its shelf-stable Barista Oat Milk, which features whole grain oats, fi ltered water, vanilla extract, maple sugar and salt. Each 8 oz serving contains two grams of fiber and four grams of protein. Willa’s Barista Oat Milk is available online for $39.99 per 6-pack of 32 oz. boxes. For more information, visit willaskitchen.com.

Plant-based nutrition company PlantBaby unveiled the newest innovation under its Kiki Milk brand, Mac Nut Kiki Milk. Available in shelf-stable 32 oz. cartons, the product is crafted with organic macadamia nuts, organic Brazil nuts, organic cashews and organic sprouted pumpkin seeds. Mac Nut Kiki Milk is available online for $52 per 6-pack. For more information, visit kikimilk.com.

Treehouse Milk relaunched with a new line of canned pecan milks under its Treehouse Naturals sub brand. Offered in two flavors – Original and Chocolate – the nut milk comes in 7.5 oz. cans and is currently available online for $39.99 per 8-pack. For more information, visit treehousenaturals.com.

Elmhurst has expanded its plant-based milk and creamer lineup with Maple Walnut Barista Edition. The new offering combines walnuts, oats and maple syrup to create a creamy consistency that “steams and froths flawlessly,” the brand claims. Elmhurst Maple Walnut Barista is available at Sprouts Farmers Market nationwide for a suggested retail price of $6.99. For more information, visit elmhurst1925.com.

CSDs

Pepsi celebrated spring early with the relaunch of its limited edition Peeps-flavored soda. The marshmallow treat-inspired flavor debuted in spring 2021 as an LTO given away to a few thousand lucky consumers through a contest. This time around, Pepsi x Peeps will be available at retailers nationwide in 7.5 oz. cans and 20 oz. bottles. For more information, visit pepsi.com.

Coca-Cola teamed up with Grammy-awardwinning artist Rosalia to launch its self-pro-

claimed “edgiest” Coca-Cola Creations product yet, Move. The “transformation”-flavored beverage trades out the brand’s iconic red can for pink and black packaging and is slated to hit store shelves across the United States, Canada and 20 other markets later this month in regular and zero-sugar varieties. For more information, visit coca-colacompany.com.

OLIPOP expanded its lineup of prebiotic sodas with the addition of a new Lemon Lime flavor. According to the brand, the new offering tastes like “sweet key lime pie with a squeeze of lemon” and contains just 4 grams of sugar per 12 oz. can. OLIPOP Lemon Lime will soon be available online and at retailers nationwide such as Target, Wegmans and Whole Foods for $35.99 per 12-pack. For more information, visit drinkolipop.com.

COFFEE

TikTok star Chris Olsen has entered the CPG world with the release of his new sustainable coffee brand, Flight Fuel. Inspired by Olsen’s “Flying for Coffee” series – where he hand delivers coffee to the likes of Kamala Harris, Ashley Tisdale and Megan Trainor – each Flight Fuel product is named after one of the world’s major airports. At launch, the line includes LAX Vanilla and JFK Caramel coffee concentrates, which contain 94.5 mg of caffeine per serving. Both concentrates are available online for $20 per 8 oz. bottle. For more information, visit fl ightfuelcoffee.com.

STOK expanded its lineup of cold brew products with the addition of Espresso Blend. The new offering features tasting notes of chocolate, brown sugar and dried fruit and is available at retailers nationwide for a suggested retail price of $5.99 per 48 oz. bottle. For more information, visit stokbrew.com.

Philadelphia-based specialty coffee roaster La Colombe announced the launch of a new 42 oz. multi-serve cold brew product. Available in four flavors – Little Bit Sweet, Mocha, Caramel and Vanilla Oatmilk – the multi-serve cold brews will be available at select retailers for a suggested retail price of $6.29 each. For more information, visit lacolombe.com.

ENERGY

Monster’s performance energy drink brand Reign announced the launch of a new line extension, Storm. Available in four flavors – Kiwi Blend, Harvest Grape, Valencia Orange and Peach Nectarine – the sugar-free functional beverages are slated to roll out in slim 12 oz. cans later this year. Storm marks the third product in the Reign portfolio, joining Reign Total Body Fuel and Reign Inferno. For more information, visit reignbodyfuel.com/en-us.

RTD COCKTAILS

Tequila seltzer maker Casatera unveiled its latest innovation, a Tropical Collection Variety Pack. Slated to roll out in March, the collection features four flavors: Mango, Pineapple, Passionfruit and Coconut. Each 12 oz. can (7% ABV) contains zero sugar and zero carbs. Casatera Tropical Collection Variety Pack will be distributed across eight U.S. markets including Florida, Massachusetts and New York. For more information, visit drinkcasatera.com.

Tip Top Proper Cocktails rolled out a new RTD 100ml canned cocktail: The Jungle Bird. Available online for a limited time via Tip Top’s website, the cocktail features just four ingredients: rum, lime, pineapple and red bitters. Bottled at 50 proof, The Jungle Bird (25% ABV) is available for $39.99 per 8-pack. For more information, visit tiptopcocktails.com.

SPIRITS

Known for designing custom luxury game tables, from billiards to poker and more, 11 Ravens is now looking to offer players a premium spirit to sip at their next game night as well. The company launched Ravella, a tequila brand debuting nationwide with an Extra Añejo expression. The cask strength spirit is produced in small batches in Jalisco, Mexico and will retail for $279.99 per 750 mL bottle. For more information, visit ravellatequila.com.

Stranahan’s Colorado Whiskey announced its second annual Diamond Peak release: Diamond Peak Batch #2: Extra Añejo Tequila Cask. The single malt whiskey is aged 5-8 years in Stranahan’s whiskey barrels and

then spends another two years in Extra Añejo aged casks that previously held Jose Cuervo’s premium Reserva de Familia tequila.

Maryland-based Old Line Spirits is introducing two new American single malt whiskeys: Flagship (95 proof) and Navy Strength (114 proof). Flagship is aged between 4-6 years and, carrying an SRP of $44.99 per 750 mL bottle, will replace the distillery’s previous 86 proof American single malt offering. Navy Strength will retail for $54.99 per 750 mL bottle. For more information, visit oldlinespirits.com.

Honoring its Pacific Northwest home, James Bay Distillers has launched a Seattle Dry Gin, bottled at 90 proof (45% ABV), featuring a prominent coriander flavor to provide “a true on-the-rocks dry gin to sip and enjoy with food.” The distillery recommends pairing the spirit with roast lamb, pork or beef and roast vegetables.

TEA

BevNET’s 2022 Brand of the Year, Liquid Death, used Expo West to formally launch its previously announced first non-water product, a 3-SKU line of flavored iced teas in 19.2 oz cans: Armless Palmer, Rest in Peach and Grim Leafer. Similar to the brand’s flavored sparkling waters launched last year, the teas are sweetened with agave, while packing 30 calories, 30mg caffeine, B vitamins and 6 grams of sugar per can. The release is part of the company’s ambitious growth plans for this year, which also include a shift to U.S. production for its waters.

Formerly known as Chatty Matcha, The BAD Tea Co. made its Expo West debut with an expanded product line, including nitro chai and Yuzu + Tea flavors, the latter intended as a unique riff on a classic Arnold Palmer. Each 7.5 oz. can contains 35 calories and 80 mg of caffeine. The company’s original nitro matcha drink remains, too.

Known for developing unique flavors without deploying sweeteners, Rishi Tea’s family of sparkling botanical drinks continues to expand with the introduction of Blue Tea Jasmine. For more information, visit sparkling-botanicals.com.

Channel Check

SPOTLIGHT CATEGORY

PREMIXED COCKTAILS

There have been so many interesting new brands that have joined the premixed cocktail market, but here in the MULOtracked categories it’s hard to find many breaking through. That doesn’t mean that entrepreneurial brands aren’t on the rise: look at Buzzballs and Beatbox as independent brands that are growing in mainstream retail. But the rising tide is also benefitting newly acquired companies like On the Rocks and Cutwater, both of which are tied to big organizations. Look for a lot of mixing of the old and new as little brands like Long Drink and big ones like Jack and Coke start getting tracked more closely.

PREMIXED COCKTAILS

TOPLINE CATEGORY VOLUME

CAPPUCCINO/ICED COFFEE

CANNED

FLAVORED SELTZER/SPARKLING/MINERAL

SOURCE: Circana OmniMarket™️ Shared BWS - 52 Weeks Ending 02-26-23

RFG KOMBUCHA

NONFLAVORED CONVENIENCE/BOTTLED STILL WATER

SPORTS DRINKS

TOP BEER VENDORS

Expo West 2023 Recap: Exits and Expansions Abound

Despite economic clouds looming ahead, Natural Products Expo West was back in full force this March, as brands, entrepreneurs and industry members brought energy and innovation worthy of the year’s biggest natural trade show.

As the doors opened on day one of Expo West, several brands used the occasion to announce exits, starting with renewable drinking water technology company SOURCE Global’s acquisition of sustainable packaged water brand Proud Source.

Speaking at Proud Source Water’s booth in Expo’s North Hall, Neil Grimmer, Global CPG President for SOURCE Global, described the acquisition as a natural decision as the two companies aligned on multiple points: Both businesses are certified B Corps, both emphasize sustainability and access to water as key values, and – yes – they both have “Source” in their names.

“You’ll walk around the show, and you’ll see brands with a cool graphic design on the pack and edgy marketing campaigns; Proud Source is different,” Grimmer told BevNET.

SOURCE Global is the manufacturer of the SOURCE Hydropanel, a renewable technology that sources water from vapors in the air and converts it into drinking water. To date, the company has placed its panels around the world to help provide easier access to water to dry and impoverished regions, as well as selling its own line of bottled waters under the SOURCE name.

Based in Idaho, Proud Source Water produces a line of aluminum-packaged bottled waters in bottles and cans. Its water comes from naturally alkaline springs in Mackay, Idaho and Marianna, Florida, and SOURCE Global has acquired the company’s two manufacturing facilities at those sites as part of the deal. The brand is distributed nationwide, including

a partnership with PepsiCo Beverages North America it entered in 2021.

Also at the show, Arkansas-based GEN Z Water announced its acquisition by family owned beverage company Langers Juice for an undisclosed amount.

One of several non-PET packaged water startups to emerge in the wake of Liquid Death’s rise, GEN Z has made its tonguein-cheek approach to marketing “flavorless transparent liquid” its calling card. The company launched online in August 2021 with in reusable 20 oz. aluminum bottles (available individually and in 12-packs), and has since entered brick-and-mortar retailers in the Midwest, as well as moving into Target.

For California-based Langers, adding GEN Z gives the beverage maker a stake outside of fruit-based categories, as represented by its Langer Farms juices and No Worries cocktail mixer brands. The company markets an organic flavored sparkling water and a caffeinated sports drink called LyteAde.

Catching up with BevNET at the show, GEN Z co-founder Doug Batie said he was “not shocked” that his company achieved such an early exit, as the company’s trajectory since launch has put it on track to “skip” scaling and go right to a sale. A former executive at Welch’s, Batie noted his familiarity and connections with Langers helped create the relationship, and that the pitch wasn’t difficult once Langer understood how the brand is positioned around “aspirational” marketing rather than emphasis on the liquid itself.

As for the product itself, Batie said GEN Z will continue to utilize its network of co-packers as it transitions fully into its new parent company. The Arkansas-based brand will also maintain its geographic focus on growing accounts in the

Midwest, where it is carried at chains like Target and OnCue. Elsewhere, Asian-inspired seltzer Sanzo’s brand new SKU, Pomelo, along with a revamped packaging design, were the main highlights at its booth. But the introduction of 6-count and 12-count multipacks – the format which drives over 90% of flavored sparkling water sales, according to Sanzo – may represent an even more significant step.

According to founder and CEO Sando Roco, the new 6-packs are entering a “high percentage of our existing retail partners” in March at $9.99, but the format is also opening new doors.

“We are excited that over 1,000 new doors have already been signed on in key regions such as the Northeast, California and the Pacific Northwest, and we expect to onboard more strategic partners in key regions coming out of Expo West and heading into peak season,” Roco said.

Sanzo’s launch of the Multipack reflects a deeper purpose. Sanzo’s mission from launch has been centered on bridging Eastern and Western cultures, as it “reflects a trust that the product will be loved and shared with family and friends.”

Amidst much discussion of topics like functional ingredients and sustainable agriculture on the trade show floor, there was a noticeable lack of concern amongst brands we spoke with regarding erythritol.

To recap, a study published in February in the scientific journal Nature Medicine reported that erythritol appeared to be causing blood platelets to clot more easily in patients. Research also indicated that people with existing risk factors for heart disease were twice as likely to experience a heart attack or stroke if they had higher levels of erythritol in their blood compared to lower levels.

That bit may have made a good headline, but the beverage entrepreneurs we spoke with at the show who are actively working with the sweetener didn’t view the study as a makeor-break moment for erythritol.

One natural energy drink brand leader noted that the ingredient has been recognized as GRAS by the FDA for several decades, while also questioning the dosages administered to subjects in the study. Another noted that, across the range of sugar alternatives currently available, erythritol has established itself as superior to others, despite what this new study may suggest.

Most notably, none of the people we spoke to who actively use erythritol had any plans to stop doing so – at least for the moment.

Winter Fancy Foods Show Recap

The Specialty Food Association’s Winter Fancy Food Show returned to the Las Vegas Convention Center in February with plenty of new product innovations in the beverage set, including updated positioning for kombucha brands and growing prominence for outer space aesthetics.

Clocking in at over 1,100 booths and approximately 13,000 registered attendees, the show saw a rise of new ingredient trends and emerging brands, particularly in the non-alcoholic beverage space.

Hibisbloom, which produces a portfolio of African Hibiscus Flower-based beverages, recently moved into the mocktail space after switching manufacturers. Currently available in two flavors – White Hibiscus Citrus Peach and Hibiscus Passion Fruit Mango – the line is slated to expand with limitededition drops, with founder and owner Affouet Price teasing a seasonal “Love Potion” set to drop in February.

Newton-based sparkling water maker Spindrift also made its first foray into the mocktail set with the launch of its Nojito. The brand was inspired to create the new product while experimenting with the addition of mint, an ingredient that is also featured in its new Mint Green Tea variety.

South African non-alcoholic spirits and aperitifs brand Abstinence splashed into the U.S. with its six-SKU lineup. The line, which is available to consumers nationwide through the brand’s website, includes Cape Citrus, Cape Floral and Cape Spice spirits, Blood Orange and Lemon Aperitifs and an Epilogue X product. Founded in 2020, the brand has expanded into 13 international markets, which also includes the UK and Australia.

Elsewhere, functional beverage makers switched up positioning and moved beyond kombucha. Californiabased brand Marin Kombucha highlighted its eight-SKU line of refrigerated kombucha products. According to CEO Mike Stern, the brand has seen recent success in the foodservice channel, positioning the drinks as alcohol alternatives. In fact, the brand has been picked up by multiple beer and

wine distributors and made available on-tap at several foodservice outlets. Currently, products are also available direct-to-consumer, but Marin is hoping to expand into natural retailers in the near future.

Canadian kombucha brand Gutsy unveiled its new line extension, Adapt2. The sparkling probiotic beverage was crafted to appeal to a broader demographic than the brand’s kombucha products, as co-founder Pierrich Picard noted the fermented beverage can often be polarizing. Available in two flavors at launch – Orange & Turmeric and Passion Fruit & Hibiscus – the probiotic drink features three adaptogenic plants: ashwagandha, holy basil and maca. A new Mango flavor, which made its debut at the show, will soon be available online for nationwide shipping across Canada.

Cosmic themes have captured food and beverage brands exhibiting at the show. Oregon-based nut butter, seed, dried berry and trail mix company Wilderness Poets has extended into the beverage category with the launch of a new space-themed brand, dubbed SPIN.

After learning some customers were attempting to make nut milk with its nut butters, the company began working on a ready-made product and landed on nut milk concentrates, which were revealed for the first time at the show. Packed in 8 oz. squeeze pouches for retail, the product comes in four almond milk varieties – Original, Unsweetened, Chocolate and Vanilla – as well as in Macadamia Milk and Cashew Milk & Cream. Each pouch makes up to the equivalent of three, 32 oz. cartons of nut milk by simple blending or mixing with water.

SPIN is also targeting foodservice where it sells large formats of the concentrate. According to Wilderness Poets co-founder John Bannerman, the product can be used to make anything from smoothies to plant-based sauces and baked goods. The team also exhibited its new miso-based nutritional yeast “nooch” product, branded under its parent company.

Lafayette, Indiana-based family roastery Copper Moon Coffee currently

markets a line of space-themed coffee products including Artemis 1 Reserve, Bean Me Up, Stargazer and Dark Sky roasts following a rebrand in 2020. Most recently, the brand expanded its foodservice presence through a partnership with Purdue University’s Maurice J. Zucrow Laboratories, a propulsion testing facility that has received grant funding from NASA.

Beyond outer space and back on the show floor, drinkable konjac jelly brand Tastelli showcased its squeeze pouches in four flavors – Mango Pineapple, Peach, Green Apple Grape and Double Berry – while emphasizing the product’s low calories, flavor-forward attributes. Konjac, a regenerative root vegetable native to Asia, is used in a range of products from food and beverages to personal care.

According to Tastelli’s co-founders, one of whom is from South Korea, the product is a popular snack in the country. In January 2020, the U.S. Food and Drug Administration added konjac to the soluble dietary fibers list for food and beverage and the brand’s co-founders claim the ingredient has steadily gained traction in the United States ever since. Tastelli products also contain added collagen, vitamins A, C, and E as well as erythritol.

The brand currently sells through its direct-to-consumer website and on Amazon and is looking to expand into retail.

Yves Potvin, founder of plant-based brands Gardein and Yves Veggie Gourmet, used this year’s Fancy Food Show to debut his next CPG venture, Konscious Foods, a line of konjac-based seafood products.

The Canadian brand showcased 12 SKUs of plant-based seafood items including sushi rolls, poke bowls and kits and onigiri, a grab-and-go style sushi that’s popular in Japanese c-stores, said a spokesperson for the brand. Backed by a team of CPG experts and chefs working on R&D for nearly two years, the brand recently began rolling out products for soft launch at select Whole Foods and Choice Market locations in the Vancouver area, with U.S. expansion being the next target.

Craft Brewers Conference Returns to Nashville

The Brewers Association’s (BA) is returning to Music City for the trade group’s annual Craft Brewers Conference (CBC). CBC, America’s largest craft brewing conference, will take place May 7-10 at Music City Center in Nashville, Tennessee. More than 11,000 people are expected to attend the event, along with BrewExpo America, the coinciding trade show featuring nearly 600 exhibitors.

The expected attendance is still below the 14,000 who attended in 2019, prior to the COVID-19 pandemic, as U.S. craft breweries continue to battle inflationary pressures, supply chain constraints and increased competition from spirits producers and traditionally non-alcoholic beverage companies – such as Pepsi and Coca-Cola – entering the category.

Highlights of the BA’s program include:

• BA chief economist Bart Watson will give a state of the industry talk, sharing insights from the BA’s annual craft brewery survey, as well as national trends and predictions for what’s on the horizon for craft . In the BA’s 2022 Year in Beer report, Watson labeled 2023 as a “reset” year for craft breweries, predicting that brewery openings will be “the lowest in over a decade” and that distributed craft volume will not grow.

• After Watson’s keynote address, CBC’s general session will conclude with a panel of beer’s trade group leaders, including BA president and CEO Bob Pease, Beer Institute (BI) president and CEO Brian Crawford and National Beer Wholesalers Association (NBWA) president and CEO Craig Purser. The trio will discuss the challenges and opportunities for beer with increased competition and changing consumer habits. The panel will be moderated by Leah Cheston, co-owner of Washington, D.C.-based Right Proper Brewing Co. and Vice Chair of the BA’s board of directors.

• The BA will once again host a day-long THRIVE workshop on May 7, which will encourage attendees to “take a deep and integrated dive” into diversity, equity and inclusion (DEI), human resources and wellness topics. Keynote speaker Scottie Carter, J.D., executive VP of DEI for the Greater Twin Cities United Way, will speak on the “power of community engagement” and how small businesses can help make positive change.

• For this year’s CBC Community Engagement Project, the BA is partnering with the Community Resource Center to combat housing insecurity. Event attendees can help assemble personal and household hygiene kits, which will be given to communities in middle Tennessee. Attendees at CBC in 2022 helped assemble nearly 3,000 pantry packs, in partnership with the Greater Twin Cities United Way, which were fi lled with different cultural food staples and given to households dealing with food insecurity.

Brewbound will also be at CBC for the first Brew Talks meetup of 2023. Brew Talks, presented by Dogfish Head, will be held Sunday, May 7 at Nashville Underground (105 Broadway, Nashville, TN 37201) from 2 p.m. to 5 p.m. CT. The event will feature networking, beers and several panel discussions, including an introduction to the National Black Brewers Association. Other confirmed speakers so far include Dogfish Head’s Sam Calagione, Athletic Brewing’s Bill Shufelt and Greater Good Imperial Brewery’s Colleen Quinn.

A portion of the proceeds from Brew Talks will be donated to the Tennessee Craft Brewers Guild. Industry members can register to attend the event at https://www.brewbound.com/events.

HEADS METAL

LIQUID DEATH STARTED A CANNED WATER REVOLUTION, NOW THE CAVALRY HAS ARRIVED

BY BRAD AVERY

When Liquid Death declared “Death to Plastic” at its launch in January 2019 consumers had already long been asking for more sustainable options from their grocery purchases, but few could have predicted just how far that one brand’s succinct marketing tagline would go. Today, the canned water maker has raised over $195 million with a valuation of $700 million, achieving 94% national distribution coverage through its DSD and broadline network, with the potential to service 346,000 doors nationwide.

Liquid Death, however, is far from alone in its mission to bury the PET bottled water format alive, and in the years since its launch helped to disrupt entrenched perceptions around water marketing and packaging, numerous canned water competitors have emerged. Liquid Death, of course, wasn’t the first to put still water in a can or make sustainability core to its message, but it no doubt has helped lead the changing face of the bottled water category as brands that predate it (like Proud Source Water and Richard’s Rainwater) have launched their own canned lines. Newer startups, like the NFT-themed Ape Water, Path Water, Yesly, and aluminum

bottled brand GEN Z, among others, have also brought their own irreverent, brand-first approaches to the category.

According to market research firm Circana (formerly IRI), retail dollar sales of bottled water rose 11.3% to over $24.2 billion in the 52-weeks ending February 26. However, of the top brands tracked by Circana, all primarily sell plastic-packaged products, although one – Waiakea (up 44.4% to over $50.1 million) – has introduced a refillable aluminum bottle.

Although plastic may still be alive and kicking, aluminum bottled and canned water offerings are nevertheless gaining traction, and there’s plenty of evidence that larger companies are paying attention to the trend. In March, both Proud Source and GEN Z were acquired by corporations looking to add sustainable brands to their CPG portfolios.

Kaumil Gajrawala, managing director in equity research at Credit Suisse, told BevNET that he views the aluminumpackaged water trend as part of a broader premiumization of the bottled water category. While demand for sustainability is driving much of the innovation, there’s also been a shift towards branding-forward plays and higher quality water (such as alkaline, for example) in recent years that is further bringing attention from retailers and investors to metal packaging.

Those qualities are certainly reflected in Liquid Death, which also makes its Mountain Water sourcing a key selling point. However, that marriage of premium traits is also now being mirrored by canned brands like Ape Water, Badass Water Company, and most recently Monster Energy’s Tour Water.

“There's no doubt that the consumer will pay more money for some version of an added benefit in the category,” Gajrawala said. “And that's a nice transition – for many years, it was about having the right package and the right place at the lowest possible price, and it was a price war for a while. It's not that those businesses disappear, it's that there's an emerging of an entirely new segment of beverage, or a segment of water that is premium, and seems to be working.”

In particular, Monster’s Tour Water shows a large company quickly jumping onto an emerging trend. Launched in retail in February, Tour Water is a line of unflavored still and sparkling waters sold in 19.2 oz. and 16 oz. cans. The drinks are nothing new for the company – Monster has been producing canned still water under that name since 2003, but until now it was only available backstage at event activations such as sports tournaments and music festivals. While the can design varied over the years, Tour Water’s old look was very similar to a standard Monster can – featuring the brand’s iconic green ‘M’ logo on a black background – doubling as marketing for the core line as consumers often got the impression that extreme athletes and musicians on stage were pounding back can after can of highcaffeine energy drinks.

With Tour Water’s retail rollout, the drinks now have unique can designs featuring colorful drawings with co-branding from Vans Warped Tour. The liquid itself is sourced from deep well water and the company has highlighted the aluminum packaging as being “infinitely recyclable.” There is also, perhaps, a tinge of Liquid Death’s irreverent “Hydrate or Die” ethos in the ad copy as the brand website declares: “It doesn’t give you energy but WTF you gotta drink water sometimes or else you’re gonna die.”

In Monster’s annual investors meeting webcast in January, co-CEO Rodney Sacks said Tour Water will primarily target the convenience, grocery and mass channels in both single and 12-pack formats. As well, Sacks was optimistic that the line could eventually move into the Coca-Cola distribution network, noting the company had given Monster its “blessing” to compete in the bottled water set.

Gajrawala suggested Tour Water could also compete in the on-premise channel, noting that branded can waters have a long runway in accounts such as bars and nightclubs where consumers may want something more experiential than a glass of tap water.

“It offers a lot to the retailer to have something branded, that people are happy to walk around with at a bar, or a club or a festival,” Gajrawala said. “It's just an entirely new offering within the context of something where the liquid might not be that different.”

“IT DOESN’T GIVE YOU ENERGY BUT WTF YOU GOTTA DRINK WATER SOMETIMES OR ELSE YOU’RE GONNA DIE.”

That strategy, of course, has already been embraced by Liquid Death, which is the exclusive water of over 120 Live Nation concert venues nationwide. Gajrawala suggested there is plenty of opportunity for multiple brands to compete in that channel, however, as the core concept behind canned waters is embraced by consumers.

CATEGORY PIONEERS MEET THEIR MOMENT

When University of Miami grads Jess Page and Nicole Doucet co-founded aluminum-packaged brand Open Water in 2014, the market for sustainably packaged water was still in its infancy. Though carton-packaged brands like Boxed Water Is Better had been founded years prior, the options for refi llable and single-use aluminum products were few and far between, and the startup (originally called Green Sheep Water) put sustainability and plastic reduction at the center of its messaging.

“When we were first starting out, I think people thought we were a little bit crazy,” said Page, who serves as the company’s Chief Brand Officer. Today attitudes have changed and –

particularly within the past three years –Page said the brand has seen significant growth and has begun moving beyond its core business in the foodservice, hospitality and travel channels and into retail, including accounts like Central Market, Erewhon, Fred Meyer, Fry’s, King Soopers and Whole Foods. Most recently, Open Water expanded its product portfolio with the launch of 16 oz. “Tallgirl” cans in still and sparkling varieties, complementing its 12 oz. cans of still water (which debuted in 2018) and its flagship resealable bottle line.

While it may have been a niche proposition when it first launched, Page said that putting sustainability front and center of the brand has now paid dividends as consumers prioritize environmentally friendly products. The focus on cans may also help push consumers to recycle more, according to the U.S. Environmental Protection Agency, in 2018 50.4% of aluminum cans were recycled, compared to just 29.1% of PET bottles.

In July 2022, Coefficient Capital reported that 64% of millennials and 58% of Gen Z consumers said they prioritize sustainability when making purchasing decisions, while 44% of Gen Xers and 34% of baby boomers placed similar value. A February 2022 report by the IBM Institute for Business Value, surveying over 16,000 people in 10 countries, including the U.S., found that 93% of respondents reported that the COVID-19 pandemic had influenced their views on sustainability and 51% said sustainability was more important to them than it was a year before. As well, 49% reported paying an average premium of 59% for “products branded as sustainable or socially responsible.”

“If you look historically back at the bottled water industry [and] at some of these legacy brands like Fiji and evian and VOSS, they all kind of had the same messaging,” Page said. “They're all talking about the source, but the message itself is very similar: They're talking about 1,000 year volcanic fi ltration and glaciers or water coming from the clouds. It's very romanticized, and I think that the consumer has changed a lot. They're not necessarily looking for that messaging anymore.”

But although consumers have shown a willingness to pay more for environmentally clean drinks, Open Water has deliberately sought to keep its price point on the lower end – 12 oz. cans retail for under a dollar and the Tallgirls are about $1.50-$1.59 – in order to make sustainable options more widely available to consumers from all income brackets.

And more recent entrants into the space are also feeling the lift. Mananalu, the canned and bottled water brand founded by actor Jason Momoa in 2019, in partnership with can manufacturer Ball Corporation, is now expanding its retail business with accounts like Whole Foods, Sprouts, Albertsons and Ralph’s. It’s also making headway behind the scenes in Hollywood by working with fi lm and TV studios, including HBO Max and Warner Bros. According to CEO David Cuthbert, Mananalu has similarly made sustainability the core ethos behind the brand, in particular focusing on ocean clean-up campaigns.

While Momoa’s star power has been significant in raising brand awareness and opening doors for the brand, Cuthbert noted that retailers have been proactive in expanding their aluminumpackaged water offerings in the years since the brand has launched. It currently markets a line of aluminum bottles online and in retail, but the company also produces cans which Cuthbert said may become a bigger focus next year.

“We started with zero shelf space [for sustainable waters] two or three years ago in some of these outlets – literally zero,” Cuthbert said. “And now you look out and there's all these brands and there's all this space, like linear feet dedicated to metal packaging for water products.”

For Mananalu, building the brand around the entertainment industry will continue to be a major pillar for growth, Cuthbert said, noting that Liquid Death’s Live Nation deal is helping lead the way for other brands to pursue similar spaces. “It's an enormous market, and there are niches where we'll be successful, and there's niches where our competitors will be successful,” he said, highlighting the “dozens upon dozens upon dozens of brands” in the plastic-packaged bottled water set that are able to succeed despite tight competition.

Talking Rain AQA, the innovative new alkaline pH water from Talking Rain Beverage Company, is proud to announce an expanded partnership with Waterboys, an organization founded by the Chris Long Foundation with a mission to bring life-sustaining drinking water to 1 million people worldwide. The new partnership will encompass both domestic and international community work with a focus on clean water projects impacting communities around the globe.

Through continued flavor innovations, including its recent launch of Fruit Punch in the bottle format, ShineWater is making Vitamin D support easily accessible to consumers through a variety of fruit-forward flavor profiles. To expand its reach and be easily accessible to consumers, ShineWater has also recently launched in several new distributors: Lippman Brothers, Nashville TN, MWB, Mid Wisconsin Beverage, Bernick's (Minnesota and Wisconsin), and Gillette Pepsi Cola (Wisconsin, Minnesota and Iowa).

Alkakine88 is launching a sports drink with FreshCap technology that instantly infuses its alkaline water with fresh ingredients and vitamins, including B Vitamins, Vitamin C, Guarana and Ginseng. Available in three mouth-watering flavors: Fruit Punch, Very Berry and Watermelon.

Susosu Water has recently launched in Giant Foods and signed with one of the largest natural distributors in the nation. The brand plans to increase its distribution footprint with over 200 stores in the Mid-Atlantic and California regions by the end of the year with the support of its first outside investor.

The Mindful Proteins mission is to create a family of high-protein, functional foods and beverages made from healthy and simple ingredients. Its first product, TATU Protein Water, comes in two flavors, Orange Mango and Lemon Ginger. Each 12 ounce aluminum can has 15 grams of protein, zero sugar and only 60 calories. TATU is now available on Amazon and can be delivered anywhere in the United States.

PATH unveiled a brand new bottle design for its core lineup of still, alkaline and sparkling water, featuring a fully aluminum cap for still and alkaline. PATH also launched flavored sparkling water available in three delicious flavors: Lemon Lime, Mango Grapefruit, and Raspberry Orange, which will begin rolling out nationally this spring alongside an all-new 3-pack offering for retailers.

Evamor’s new label design is focused on the brand’s key point of differentiation – its artesian aquifer. The topographical shapes are a symbolic visual reference to the physical source of evamor water, a nod to layers of earth and depth from which our water is naturally sourced – a rare protected artesian aquifer. The brand name was enlarged 400% and made bolder to enhance recognition at greater distances. The new blue color cap creates a unique identifier and stands out on the store shelf or in the cooler.

Sparkling Ice has added a new flavor to its Sparkling Ice + Caffeine line: Tropical Punch. The citrus and pineapple flavored drink contains 70mg of caffeine, antioxidants and vitamins. Each 16-ounce can is available in select retailers nationwide.

Propel Fitness Water has partnered with actor, director and producer Michael B. Jordan to help the brand drive access and equity in fitness. The electrolyte water brand will feature Jordan as his “Creed III” character, boxer Adonis Creed, on its Berry flavored one-liter bottles for a limited time. The exclusive packaging marks Jordan’s multiyear sponsorship of the brand including an HBCU college basketball showcase.

Boxed Water is taking a bite out of plastic pollution with its newest rollout – “Jurassic World”inspired cartons – to grocery retailers across the U.S. Starting in April, the new packaging will stomp into the family-owned grocery chain Meijer. Consumers can purchase cases of the sustainably packaged water that will consist of six fanfavorite dinosaurs from the blockbuster “Jurassic World” franchise, including T. rex, Stegosaurus, Mosasaurus, Carnotaurus and, of course, Blue –the famous Velociraptor.

Mananalu and Whole Foods Market have partnered up: The Austin-based retailer and world’s leader in natural and organic foods launched Mananalu water at 409 of its stores across the U.S. in March.

Icelandic Glacial, the world’s leading Carbon Neutral-certified bottled water, announced that it has signed an exclusive deal as the official in-flight water partner with Iceland’s national airline, Icelandair. Icelandair will carry Icelandic Glacial’s naturally alkaline spring water from Iceland on all flights spanning 50 cities in Europe and North America delivering sustainably sourced spring water of exceptional purity to all passengers.

A category once dominated by waterflavoring brands like Crystal Light and Kool Aid and the earliest versions of Gatorade is evolving by bringing not only advanced functional ingredients into the mix but a retail approach that moves these mix-todrink products beyond the beverage aisle and onto shelves throughout the store.

From coffee alternatives and wellness-focused drinks to new takes on hydration mixes, powdered beverage brands are making the jump to omni-channel distribution by not just offering a more convenient way to consume beverages but also by fi nding ways to adapt retail strategies, formats and marketing to reach customers in-store.

Drink mix revenue generation shot up during the COVID-19 pandemic as health-conscious consumers looked for powdered beverages promoting immunity. A recent report from market research firm Grand View Research estimates that the

powdered beverage category will reach $94.8 billion by 2030. Supermarkets dominated the sales mix with 40% of retail channel sales in 2021. Between 2022 and 2030, the coffee-based segment of powdered beverages is expected to grow at the second fastest rate – 2.5% CAGR, the report suggests.

Hydration stick maker Liquid I.V. has risen to the top of the sports drink mix category by capitalizing on Unilever’s management and reach into mainstream channels. According to Circana (formerly IRI) research data, the brand brought in $258.6 million in sales in the 52-week period ending February 26, a 94.3% increase year-over-year.

Even smaller brands in the powdered category like Trulabs, which produces fitness-oriented drink mixes that aid in hydration, energy, pre-workout and sleep, have made big

jumps in sales. Trulabs grew 2266.3% in dollar sales in the 52-week period ending February 26, after moving into Walmart

6 months earlier. The brand’s sales represent a small portion of the larger sports drink mix category but a significant milestone for an upand-coming brand.

New powdered brands tend to favor ecommerce and DTC channels because margins can be higher online. Some functional drink mixes, like Athletic Greens, which pulled in $115 million in January, have even leaned further into DTC with seemingly few plans to go into traditional retail. Yet, most digital-first powdered brands are looking towards retail as the best way to increase market share and bring functional drink mixes into the mainstream.

Retail Execution Is More Than Getting Powdered Products On Shelf

Max Baumann, CEO of retail food and beverage sales consulting company Basemakers, has been impressed with the variety of new brands using powdered formats. Drinkable oatmeal brand Oats Overnight has broken in both a new category but also has shown how a brand can rethink its DTC packaging to fit a retail distribution model, Baumann said.

“How do they [Oats Overnight] have packaging that stands out and doesn’t just get confused for oatmeal and have consumers use it the wrong way? They develop this powder and a ready-to-drink bottle and place it next to the other oat products [on shelf],” Baumann said. “They’ve seen tremendous success with that. Being in the bottle, they’re able to showcase that this is a drinkable oat shake.”

Developing unique retail-ready packaging might bring more production costs to a DTC brand but if it stands out enough on the shelf, the payoff could be new customers.

For Oats Overnight this decision took the brand out of the juice mixes and hydration supplements sections of the store and into the cereal aisle next to other breakfast items. It opens the brand up to a unique format of a familiar product – in this case a drinkable oatmeal.

MUD\WTR is another powdered beverage that has had a successful run as a digitally-native brand that launched in 2018. The company built itself as a lower-caffeine, coffee alternative powder that utilizes the functional benefits of cacao, rooibos tea, matcha and adaptogenic mushrooms.

In the last 12 months the brand reported that it had 442,508 active customers and about 1.4 million units sold during 2022. As the brand gears up this year to expand its in-store footprint beyond the several hundred accounts it currently has in the specialty channel, it is looking to distribute MUD\ WTR products in a way that really tells the story of the brand.

A good partner would be willing to create a MUD\WTR set within the coffee section competing with coffee, tea and other hot beverages, said MUD\WTR CMO Mike Fox. He is confident that the brand equity built in the digital world will translate to success on grocery store shelves as long as it is placed in the right part of the store.

“The plan isn’t to suddenly explode into retail, with a huge sales team and massive distribution,” he added. “Us digital brands like to crawl, walk, run, test and iterate our way into much more effective ways to do things.”

That most especially relates to pack size. A typical 30-serving tin of MUD\WTR online runs $30, a much higher price than many conventional grocery shoppers are willing to spend on a new product in-store. Fox said MUD\WTR is currently testing how it can repackage its products from the 30-serving tin into a smaller format so retail customers can familiarize themselves with the product on a trial basis.

For MUD\WTR, DTC remains the “core of the business”, Fox said. “I don’t think we found the ceiling in DTC yet. We’re still growing and we’re still expanding…Retail is a nice complement.”

It’s also looking to expand its consumer base a bit. Recently the company reframed its marketing for a broader swath of consumers, launching a new campaign to “create healthy minds through healthy habits” with targeted ads online. The question is how to translate that campaign and its existing branding onto store shelves.

DTC As The Testing Ground For Mainstream Distribution

Some brands look at DTC as a jumping off point for larger growth in retail. Functional tonic and powder brand Sunwink has found that it could build a good following for its superfood, gut-health products in DTC but that it could then amplify sales in physical retail.

The brand launched with bottled tonics in 2019, but found a following online during COVID as consumers were looking for more functional powdered beverages to use at home.

“We got very close to the consumer and the consumer said: I love this whole superfoods base, can you give me something I can put in my smoothie or drink in water,” CEO and co-founder Eliza Ganesh said.

The powder line initially launched online in 2021, but in order to scale properly, needed retail distribution to achieve its full potential, Ganesh said. By 2022, the powders were available nationwide in Target and are continuing to expand this year with more national partnerships slated for the summer.

“The problem with DTC is you always have to push people to your website,” Ganesh said. “Whereas in retail, if you launch nationally in a retailer and you’re on-shelf then people can also discover you that way.”

Ecommerce and DTC provided a way for consumers to learn more about the product, post and read reviews, and familiarize themselves with the format, but the bulk of the business now comes from retail, Ganesh said.

Between its tonics and powders, Sunwink has entered around 5,000 doors nationwide. Ganesh attributes its success to having a “consumer-led” business model that tries to find ways to meet

its customers where they need the brand to be.

“It’s one of the reasons we’re talking about stick packs now,” she said. “If people are going to take the full tin in their suitcase while they’re traveling, that’s telling you something, they want the travel opportunity, they want the stick packs.”

Innovating A Familiar Segment of Powders

Austria-based waterdrop has used that same approach of learning from its online consumers to figure out its next stage of growth strategy.

“We’re a community-loved brand, meaning we have 100,000 people in social media groups, exchanging with the brand every day. Circulating ideas and circulating feedback,” waterdrop co-founder Henry Murray said.

Many of the products, like a hot beverage mix and an app built to track a consumer’s hydration were launched from community-led feedback, Murray said.

The brand recently closed a $70 million Series B funding round led by private equity firm Temasek to help build out its network of distribution in the U.S. Waterdrop recently announced it was now available in over 3,000 stores in the U.S. including 2,051 Walmart And 130 Target locations. Yet, the brand sees opportunity in not only traditional retail channels but branded waterdrop stores.

The stores as well as the waterdrop app allow the company to communicate directly with customers getting “one-to-one feedback” that fuels innovation, Murray said.

Innovation might not only relate to distribution strategy, product type or format, but also manifests in being flexible and letting a product naturally evolve. Stephen Colvin conceptual-

ized the idea for a business-to-business sparkling hydration stick while working as a retail and channel strategy manager at Talking Rain’s Sparkling Ice brand between 2016 and 2018.

The initial strategy for his brand, Bobelo, was to influence buying habits by familiarizing customers with the product in tech company office settings so “when we did go (Business-toConsumer), we would already have a built-in network of consumers,” he said.

Unfortunately, timing was not on the brand’s side. Bobelo launched in January 2021 and within the next three months, COVID’s impact on office culture had driven Colvin to pivot to reaching consumers at home.

“It was kind of a slow slog to adapt from BTB to BTC because we had to rebuild everything,” he said. “We had to build everything from scratch in the middle of the pandemic. It was not the funnest experience.”

It meant building out variety packs, multi-pack boxes and trial sizes that would fit a DTC and ecommerce model; a far cry from the BTB strategy of single Bobelo sticks housed on bamboo shelves intended for office break rooms. In the end, the experience allowed the brand to learn what consumers were looking for in powdered beverages. It has since expanded its line from immunity and stress-relief to a clean energy powder that is about to expand with four new flavors.

That category is on the rise. According to Circana’s data, the single-serve, energy drink mix category brought in nearly $193 million in sales in the 52-week period ending February 26, showing a 28.6% growth year-over-year. Rapidly growing energy drink brand Celsius, known for its RTD cans, sold $43.5 million in energy stick mixes, a 156.1% rise from the previous year.

Revamped Bobelo is starting its move into retail with commitments to roll out into about 300 conventional grocery stores in

its home market of Utah, Arizona and the Mountain region. Colvine hopes to reach 500 stores by the end of the summer by eyeing club and discount dollar stores, where he believes the brand has an opportunity as a functional alternative to other powders sold in those channels.

The relationship between DTC and in-store retail works both ways as well. Existing digital customers might buy more when they see a familiar product on a shelf, or new customers might try a product and then search for it online, creating a feedback loop in both directions. Baumann used digital-first eyeglasses company Warby Parker as an example of how powdered functional beverages could utilize DTC to impact retail and vice-versa.

“When they [Warby Parker] started opening up their own retail shops, they not only saw sales for the shop go up but their sales online went up,” he said. “It’s kind of that billboard effect in the community; people discovering it in-person and then when they want to reorder a pair, instead of going into the store, they buy it online.”

The powder version of ITO EN’s popular green tea is now available online. Made from meticulously sourced and expertly prepared tea leaves, the Oi Ocha Green Tea Powder boasts a rich, bold taste with delicate finish. Instantly dissolves in hot or cold water with no added sweeteners, preservatives, or colors. Each pack makes 40 cups of green tea (4 liters).

Plants by People superfood and adaptogen beverage blends nourishes your body with nature’s best! Crafted from organic fruits and botanicals to deliver whole food nutrition. They are available at fine retailers in Oregon and in Arizona and California through UNFI.

Plink! The first tablet winner of BevNET’s New Beverage Showdown just launched a single-serve retail pack. Three fruity flavors are available in the ‘Bodega Box’, a compact yet delightful addition to any checkout counter.

waterdrop launched its new collection of Microlytes, which are dissolvable, rapid hydration cubes with a functional blend of 5 electrolytes and 9 vitamins to support endurance and recovery. The key difference from traditional sports drinks? waterdrop’s naturally flavored Microlytes have zero sugar or caffeine, and are a sustainable solution to endless cans through its signature dissolvable cube form.

All of Hydrant’s product formulas have been reformulated to pack more flavor punch, leveraging enhanced flavor systems and light usage of monkfruit extract for more sweetness. There is no change to the sugar content or functional components of its formulas.

Goldmine Adaptogens is excited to offer retailers an early preview of two exciting new SKUs that will be introduced in March. Goldmine’s adaptogen blends fi ll a void in the market, by delivering more of the body and mind-supporting Beta-glucans, per gram, than other products. Goldmine’s blends are 100% USDA-certified organic and sustainably sourced ingredients.

Since launching their first product line, instant Aguas Frescas powdered drink mixes, in February 2022, TUYYO Foods has expanded to over 50 independent retailers across California, Texas, Louisiana, Oklahoma, Arkansas and Hawaii.

In an effort to be more environmentally friendly, Ladybird changed its packaging from a box with 10 stick packs to a 20 serving bulk pouch made from recycled plastic. Dry Bombs are a dairy-free collagen creamer with 7-9g of protein from collagen peptides per serving, and 100mg of L-tryptophan, an essential amino acid that is missing in collagen, making each serving a complete protein.

NeoTEIN, the go-to protein + electrolyte stick pack brand, is excited to be the Title Expo Sponsor for the Gate River Run, the USATF 15k Championship Race in Jacksonville, FL. To give the racers a special treat, NeoTEIN partnered with Florida’s premier gourmet popsicle company, The Hyppo, to create a NeoTEIN + Fresh Florida Strawberries pop, giving racers all the benefits of our stick pack in a delicious and refreshing popsicle, because protein doesn’t have to be boring.

A new Lemonade flavor was added to Cure’s lineup due to customer demand, as the brand’s loyalists were looking for the juiciest, sweetest, and most refreshing citrus taste possible. The new flavor is sweeter, juicier and less tart than the brand’s previous Lemon flavor (which it’s replacing), and genuinely tastes like a refreshing glass of fresh-squeezed lemonade!

Sunwink, the female-founded plant-powered beverage company, announced the launch of two new digestion powder flavors at Target: the fan-favorite Detox Greens, and newly launched Citrus Lime Prebiotic flavor, making its debut in the powder aisles this year. Sunwink continues its rapid growth with national expansion of its Superfood Powders at Albertsons and Safeway stores across the country.

Hydration beverage maker ROAR announced the launch of a new line extension, ROAR Plus Powders. Available in two flavors at launch –Berry Lemonade and Strawberry Watermelon – the flavored powders boast 1,000 mg of Vitamin C per stick and contain just 20 calories.

the WILD WEST of WEED DRINKS :

Minnesota Makes a Case for Easy Access Cannabis

By Adrianne DeLuca

The legalization of cannabis-infused food and beverage products has, historically, spawned from state-level legislation that builds off existing infrastructure from medical marijuana programs, and introduces new divisions that cater to recreational cannabis consumers over the age of 21. That was the only playbook – until representatives in Minnesota’s state legislature kicked down a back door to make THC-infused edible and beverage sales legal in their state.

In late spring 2022, Minnesota’s state house passed an end-of-session omnibus bill that included a provision to remove industrial hemp from the state’s list of controlled substances. That move, in effect, opened up the market for legal sales of edible and drinkable products infused with hemp-derived delta-9 THC as of July 1, 2022.

“Let’s be brutally honest and call this what it is – intentional bad law to force an issue,” stated Chris Parrington, partner at Minneapolis-based law fi rm Zu-

“Let’s be brutally honest and call this

Photo Credit: Trail Magic

ber Lawler, where he represents businesses in the cannabis industry. “Call it accidental, call it whatever you want – this model was specifically designed to force [cannabis] legalization in Minnesota. That’s it. If anybody tells you otherwise they are probably lying.”

Similar to the federal 2018 Farm Bill loophole that opened up the legal sale of delta-8 THC products nationwide, the provision effectively made delta-9 THC-infused products available for sale in the state so long as the cannabinoid is derived from a hemp plant containing no more than 0.3% THC on a dry weight basis. The resulting infused food or beverage cannot contain more than 5 mg of THC per serving, must undergo independent laboratory testing and use child-proof packaging, per the state’s provision, but it’s for sale in traditional, age-restricted legal locations, not the dispensaries that are the marketplaces for most legal cannabis.

According to Diana Eberlien, president and chair of the Cannabis Beverage Association (CBA), hemp-derived delta-9 THC products still offer the same experience as “true weed,” though they are typically less potent. Now that the cannabis beverage market is active and growing in Minnesota, those same state legislators have been challenged to find a way to regulate the space without stunting the growth of the small businesses that have supported its development thus far, all while ensuring that the products making it to market are safe and reliable.

“The state’s gonna want to make some money off this, they’re gonna want to be able to tax it, [but] they’re also going to want to be able to regulate it to make sure that consumers are getting safe products,” said Eberlien. “I don’t think at the end of the day they’re going to want to hurt the existing businesses that have made this what it is.”

The Bud Beverage Boom Begins

The North Star State’s new market sprang up virtually overnight, as businesses with food and beverage manufacturing capabilities almost instantly began selling infused products. Approximately one quarter of Minnesota’s 180 craft breweries are currently producing or are interested in producing THC beverages, according to a report from the state’s Craft Brewery Guild.

“We found out about [the new provision] basically the same way everybody else did – a news article,” explained Jason Dayton, co-founder of The Minneapolis Cider Company. He said the team began crafting a delta-9 THC beverage brand right after the news

broke, and before even deciding on a name, handed off instructions to its design partner to start creating a brand that embodied the question: “What if REI made a beer?”

Dayton’s team then dove into its cooler, which happened to be stocked with strawberries, blueberries and basil that week, shifted the position of its planned Hop Water innovation to become THCinfused, and created Trail Magic – a hemp-derived delta-9 THC beverage with two SKUs. Trail Magic launched last July with Hop Water and Berry Basil as its inaugural flavors, thus becoming the first legal THC-infused beverage to be sold in the state.

Since Trail Magic’s launch, craft brewers, beverage manufacturers and food makers have followed suit with a broad swath of hempderived delta-9 THC products. In late December, craft brewing co-op Fair State activated a new business venture, named after its THC beverage product Chill State, and began co-packing for other delta-9 THC beverage brands operating within state lines.

“What has made this so valuable for us and so many other brewers throughout the state is, we’re still recovering from the pandemic,” said Evan Sallee, co-founder and CEO of Fair State. “It’s really, really challenging out there. It’s hard to find growth. It’s hard to find profitability with supply chain constraints and everything else going on in the economy right now. Being able to have as many tools in our toolkit to meet the market where it is at and get more volume out of our equipment has been an important tool.”

Chill State’s model will also help develop the cannabis beverage market broadly, Eberlien believes, stating that co-packing options for THC products are still extremely limited and present one of the largest barriers to the market’s growth. The legalization of delta-9 THC products has also given Minnesota hemp farmers another way to diversify their businesses.

For example, Dayton explained that many Minnesota hemp farmers that grow the crop for CBD products had been retaining the raw inputs for THC, and were able to quickly begin manufacturing water soluble delta-9 THC when the provision passed. Trail Magic uses Minnesota grown and processed THC in all of its beverages.

But with all of this growth, oversight must come as well. Legislators are working against the clock to pass a bill that legalizes adult-use cannabis and provides a regulatory framework for the products already available, without destroying the economic opportunity it created.

Photo Credit: Trail Magic

Photo Credit: Chill State

Cutting Through The Haze

The work toward legalization of all adult-use, recreational cannabis products began almost as soon as the provision passed in June. Since Minnesota had an extremely restricted medical cannabis market – with only six dispensaries, operated by two corporations, within state lines – the traditional route of leaning on medical-only dispensaries to open up the adult-use market was completely tossed aside, with the rapid emergence of the market making it even more complex to regulate. According to Eberlien, those working on cannabis regulation in Minnesota are still unsure “if we can put the toothpaste back in the tube.”

Parrington said he has told clients operating in the state’s cannabis space that they can do virtually whatever they want when creating these types of products since there is no official regulatory body, but he advises them to plan to operate in a highly restricted environment soon. He said many are “overly cautious” and follow best practices from other established markets. However, the distribution aspect, and lack of regulatory authority, leads into a gray zone when it comes to selling products both now and in the future.

In the state of Minnesota, beer and wine sales are restricted to the liquor store channel and in certain counties, alcohol is only sold through municipality-run outlets. However, at the time of publication, hemp-derived delta-9 THC edibles and beverages are legally being sold at retail outlets ranging from grocery and convenience stores to farmers markets.

Legislators have yet to determine the appropriate channels for cannabis drinks though, if recreational cannabis use is legalized, many will likely be relegated to privately-run dispensaries, a less-than-ideal venue for driving broad acceptance.

“What’s so exciting is all these people who are cannabis curious are able to find these products in an approachable place and figure out whether it’s for them or not,” said Sallee. “My 90-year-old grandmother has grown to enjoy some of these and I don’t know if that would have happened if they weren’t broadly available, but it’s certainly helped improve her life. There’s just a lot of opportunity for us to figure out how to build these into our communities in a healthy way.”

THC beverages are also available on-premise. Eberlien believes that consumption at bars and taprooms, alongside alcoholic beverages, is a great “case study for the cannabis space.” Eberlien, Sallees and Dayton all believe that having low-dose products available tangentially to alcohol will help mainstream the cannabis beverage market broadly, particularly in “drinking states” like Minnesota.

Parrington believes that while the channel might be good for business, regulatory enforcement of on-premise consumption

is going to be a major challenge. He believes the final bill will continue to allow THC beverage sales on-premise, but in its current version, mandates that these products cannot be consumed within four hours of an alcoholic beverage. That places an unreasonable burden on bar owners who have no clear method of enforcement, especially for consumers who may be bar hopping or simply want to switch over to a THC drink toward the end of their evening, Parrington said.

The law also currently states that a consumer needs to be 21 or older to purchase a THC drink, but it does not specify a minimum age for possession. He believes this could lead to widespread, illicit consumption of THC products by minors who are able to find an adult purchaser.

“Not only do you have a law in place that has no regulation really built into it, but you don’t have anybody that wants to regulate it,” added Parrington. He said that Minnesota’s Department of Agriculture, Department of Health and Board of Pharmacy have also said cannabis does not fall into their jurisdiction. “The longer it goes on, the more difficult it becomes to bring it back and that’s what we’re seeing with the legislation right now.”

Revisions to the bill are ongoing. As of mid-March, the current version had just been amended to allow hemp-derived THC businesses to be licensed separately from marijuana companies, a controversial provision in the original bill that would have deemed many of the craft brewers operating in the space federally-illegal businesses. A provision that requires producers to use separate equipment for THC beverages has also been removed.

Photo Credit: Chill State

Photo Credit: Chill State

The Case for Common Cannabis Could Spill Into New and Existing Markets

The widespread availability of cannabis beverages could generate significant growth for the category, even more than in more mature weed markets. In 2022, beverage sales only accounted for 6.5% of the total regulated cannabis market nationwide, according to data from cannabis market research firm BDSA. If low-dose drinkable products remain widely available to everyday consumers, Eberlien, Dayton, Sallee and Parrington believe the industry will be better positioned to drive new consumers to cannabis.

“We’ve got a consumer base here [in Minnesota] that would definitely not see flower succeed,” Parrington said. “The edible industry and the beverage industry will absolutely thrive here…I used to jokingly tell people that the Northern California flower market today is where the rest of the country’s craft beer market is now, [but now], I think in all these less cannabis-friendly states, we’re going to see the beverage market just explode.”

However, Parrington argues that no state should follow in Minnesota’s footsteps toward cannabis legalization. He said this approach put the state at a “bad starting point” and while it has allowed legislators to force an adult-use cannabis bill onto the agenda, they now have to write legislation with many “nuances and twists” that he believes will always be difficult to navigate.

With the growing push for federal cannabis legalization, the CBA, Parrington and others are working to develop what it calls “template regulations,” intended to help guide states to set up appropriate frameworks and open up recreational cannabis-use in stages, based on learnings from other markets as well as what has, and hasn’t, worked in Minnesota.

Delta-9 THC beverages have already become a focal point for growth for marijuana companies looking to build brand equity in regions where cannabis is still not legal for recreational use. Drippy recently launched in California but intends to launch a hempderived THC beverage in Texas where the unregulated market presents an even larger growth opportunity. Brands like Cann, Happi and Cantrip have executed similar strategies as well, Eberlien explained.

“I think what would make a really great bill is one that recognizes that low-dose hemp products should be really broadly available, while also providing a solid path and route to market for traditional marijuana and take some of the steps that we need to take to build a more just legal system around cannabis,” Dayton stated.

From a national perspective, the Northeast is on track to become a top regional player in the cannabis industry: the majority of states already have established adult-use channels or are in the process of doing so. However, brands operating in the region often have slower routes to market, restricted growth and are siloed to the dispensary channel due to the strict regulatory environment.

“I feel like in 20 years, we’re all gonna look back and go ‘remember when Minnesota did that,” said Eberlien. “No one would have ever guessed that market and the way it rolled [cannabis products] out, but it has been surprisingly delightful. This is exactly what the cannabis space has always said it would look like and seeing it happening in a relatively unregulated space and working well – it’s just a great case study.”

Brand News

Cannabis/Hemp Drinks

Natural CBD sparkling water and wellness brand Day One Beverages has announced an exciting refresh to the design of their classic CBD Sparkling Waters. The sparkling waters are now available in a slim can to heighten consumer experience and make the benefits of RTD CBD increasingly more accessible.

Flora, maker of alcohol-free cannabis cocktails, released its newest flavor, Blueberry “Moscow Mule,” which contains 10mg CBD and 5mg THC and is available on the company’s website for $23.99 per 4-pack.

Le Jolie Medi Spa splashed into the CPG beverage world with the launch of its CBDinfused beauty waters, Pick Me Up Potions. Available in three flavors – Mango Turmeric, Dragon Fruit Rose and Watermelon Cucumber – each 16 oz. bottle contains 25 mg of CBD and 100% daily value of Vitamin C. Le Jolie Medi Spa Pick Me Up Potions are available online for $59.99 each.

Portland, Oregon-based CBD-infused sparkling water brand Aprch introduced the first edition of the Aprch Partner Project, Mint+Cucumber, made in collaboration with snow goggle and helmet maker SMITH. According to the brand, the #WeRunCold cans are a tribute to SMITH’s #WeRunCold Winter campaign features a mountainscape designed by Ryan Schmies. The limited-edition offering is available online for $12.99 per 12 oz. can.

Just in time for spring, Los Angeles-based Cann rolled out the newest LTO in its lineup of THC and CBD-infused social tonics: Ginger Lemongrass. Each 8 oz. can features 2 mg of THC and 4 mg of CBD and has just 35 calories. The new offering is available online for $24.95 per 6-pack or $49.95 per 12-pack.

Rhythm Relax, the newest beverage by Rhythm Sparkling Hemp Beverages, was crafted to turn every day into a tranquil spa day. The functional wellness beverage brand is targeting a primary CBD use case, relaxation, in this new variety that delivers calm vibes to quiet the anxious mind. The Cucumber Honeydew flavors are matched with 25mg of broad spectrum hemp extract and 100mg of L-Theanine. Rhythm Relax is available online for $29.99 per 6-pack of 12 oz. cans.

Cann-Ade Corporation announced that it has received certification as a USDA Certified Organic Hemp-Infused Beverage. Available in three flavors – Positively Peach, Zen Lemon and Strawberry-Lime Sublime – each bottle is infused with 20mg of adaptogenic hemp extract sustainably grown in North Carolina. The beverages are available online for $59.99 per 12-pack.

Jones Soda Co., the original craft soda known for its unconventional flavors and user-submitted photo labels, announced the expansion of its new Mary Jones cannabis-infused beverage brand to the state of Washington following a June launch in California. Mary Jones 10mg and 100mg THC-infused sodas will launch with fan-favorites Root Beer, Berry Lemonade, Green Apple and Orange & Cream that taste just like the mainline Jones craft sodas that have been top sellers for over 25 years.

Massachusetts-based startup HighTide announced it is rolling out its flagship line of Cannabis Margaritas to licensed dispensaries. Available in three flavors –including Classic and Diablo Spicy – each 12 oz. can is infused with adaptogens and 5mg of THC.

Burning Brothers Brewing teamed up with Solid Gold Hemp to create Minnesota’s first THC-infused soda: Kite Soda. The launch follows a change of state law back in July, which ruled that Minnesotans who are 21 and older are permitted to consume edible and drinkable THC products. Offered in three flavors – Citrus, Ginger Ale and Root Beer – the soda is now available at Burning Brothers Taproom. According to the brand, wholesale and retail placements for the product are in progress.

As New York’s first recreational marijuana shops begin to open up across the state, Seattle-based Cycling Frog has announced the launch of its federally legal hemp-based products in The Empire State. Cycling Frog’s THC Seltzers are a wildly drinkable hard seltzer alternative. With 5mg delta-9 THC and 10mg CBD per 12oz can, the beverages are designed to help people unwind, let loose, laugh, and dance, and above all else, have fun.

Craft Beer Overview: A ‘CULLING’ of CRAFT is COMING

by Zoe Licata

With nearly 16,000 craft brands in existence, gone are the days when distributors were asking for more craft breweries and craft products. Now the problem is there’s too much: crowded shelves, supply chain constraints, inflationary pressures and increased competition – both from spirits brands and from giant, traditionally non-alcoholic beverage producers like PepsiCo and CocaCola. Under these internal and external forces, craft is reaching a breaking point. The cracks are already starting to show. Craft beer recorded both dollar and case sales declines in 2022, and 2023 is not expected to be much better. Craft breweries are also expected to post “very, very slight” volume growth for 2022, according to early analysis of the Brewers Association’s (BA) annual production survey by BA chief economist Bart Watson.

Watson shared preliminary data during a keynote speech at the New England Craft

Brew Summit in March. At the time, about half of the nearly 9,500 brewery entries had been analyzed, with Watson calculating a +0.6% increase in volume – significantly below his +5% prediction shared at the end of 2021. If non-alcoholic (NA) beer producers were taken out of that data, volume would be negative, Watson added.

Off-premise has lagged even more: Craft beer dollar sales in multi-outlet plus convenience channels reached $4.74 billion in 2022, a -4.7% decline versus 2021, according to market research firm Circana (formerly IRI). The segment’s volume – determined by case sales – declined -8.6%, a loss of more than 10.8 million cases. Both results lagged behind the total beer category’s performance (dollar sales +0.8%, case sales -4.8%).

2023 is not looking much better so far. Craft dollar sales at multi-outlet plus convenience channels declined -4.2% in Circana-tracked channels in the 52

weeks ending February 26. Comparatively, total domestic beer increased dollar sales +1.8% in the period, led by NA beer (+19.5%), flavored malt beverages or FMBs (+17.4%), imports (+7.6%) and domestic super premium (+6.1%).

Volume is an even tougher pill to swallow, with dollar sales emboldened by the multiple price increases most beer producers implemented in 2022. Craft beer volume declined -8.2% in Circana-tracked off-premise retailers in the 52-week period, while total domestic beer volume declined -4%.

As craft struggles to perform, wholesalers have started to feel the weight of overloaded inventories, which is only exacerbated by retailers cutting shelf space in favor of growing segments, such as ready-to-drink cocktails (RTDs), FMBs and imports.

“The pressure for wholesalers to reduce us [craft beer] to get that inventory down is only going to increase until they can bring that back down to pre-COVID levels,”

Watson said during his summit keynote. “Distributors are going to lean into other categories, retailers are going to cut shelf space. And this cycle, unfortunately for the short term, is probably going to self perpetuate to a certain extent.”

Bump Williams, president and CEO of Bump Williams Consulting, shared similar sentiments when it was his turn to present to the New England brewers. Spring resets were beginning to roll in, and Williams warned craft breweries in attendance not to be surprised if orders were smaller than last year.

Wholesalers are expected to order 1520% less in 2023 than they did in 2022, according to Williams. Any individual craft brewery’s gain in points of distribution (PODs) now likely comes at the expense of another craft producer, making flat PODs a “big, big win” for breweries, Williams said.

The on-premise isn’t much easier for craft, with draft volume still below pre-COVID-19 levels. Draft sales were already declining prior to the pandemic, but draft sales were still more than 2.5 million barrels below where they should have been in 2022 when adjusted for trend. For craft, which makes up between 30-40% of the draft market, this is a major concern, Watson said.

“There’s still strong craft demand; people still love our products, our consumer numbers still look pretty good,” Watson said. “But in the short term, there’s a lot of brands out there. It’s a competitive market. And so we’re gonna see some culling, for lack of a better word, until we hit a point where we can start to grow back on that smaller base.”

The glimmer of hope for craft breweries has been at-the-brewery sales. Taprooms and brewpubs are expected to record an increase in volume in 2022, according to preliminary BA survey data. However, Watson said the collective craft beer industry should be thinking about “how long they can continue.”

The Winners and Losers of 2022 Scan Data

Of the top 10 craft brands in Circanatracked off-premise channels, only two posted a year-over-year (YoY) dollar sales increase in 2022: New Belgium Brewing’s

Voodoo Ranger Imperial IPA (+16.7%, to nearly $152.5 million) and Sierra Nevada’s Hazy Little Thing (+3.1%, to nearly $106.3 million).

The rest of the list posted YoY declines, with the exception of New Belgium’s Voodoo Ranger Juice Force, which launched in early 2022 and does not have 2021 comps. Of course, scan data isn’t everything, but with many breweries still relying primarily on package sales, it does give some indication of the overall health of some of craft’s biggest brands.

Molson Coors’ Blue Moon Belgian White remained the top-selling craft beer brand in 2022, despite declining dollar sales of -1.3% to $276.8 million. The list was rounded out by Boston Beer Company’s Samuel Adams Seasonal (-2.1%, to nearly $104.4 million); Sierra Nevada Pale Ale (-9%, to nearly $89.5 million); Shiner Bock (-7.7%, to nearly

corded double-digit dollar sales gains in convenience stores (+20.1%, to nearly $83.7 million), making it the No. 2 craft brand in the channel after Blue Moon Belgian White (-2.6%, to nearly $97.7 million). New Belgium has made a heavy play at the c-store market with the higher ABV offering, capitalizing consumer desires for convenience and value with 19.2 oz. single-serve cans.

After New Belgium’s Voodoo Ranger variety pack, Sierra Nevada’s Big Little Thing imperial IPA posted the largest increase in dollar sales YOY (+30.9%), with nearly $26.4 million in off-premise sales, ranking No. 27. Six total Sierra Nevada brands made the top 30 list, despite some large declines, including No. 24 Torpedo Extra IPA (-20.8%, to nearly $29.4 million) and No. 30 Sierra Nevada seasonal (-13.8%, to $19 million).

The only other top 30 craft brands to post dollar sales gains in 2022 include A-B’s Kona Big Wave golden ale (+4%, to nearly 47.4 million) and Wicked Weed Pernicious IPA (+24.4%, to nearly $23.7 million). Anheuser Busch InBev’s (A-B) Goose Island IPA (-18.5%, to $28.1 million) and Shock Top Belgian White (-23.8%, to $27.5 million) posted the two largest dollar sales declines of the top 10 craft brands.

$87.1 million); Molson Coors’ Leinenkugel’s Shandy (-5.4%, to $83.2 million); Heineken’s Lagunitas IPA (-13.3%, to nearly $80.4 million); and Anheuser-Busch InBev’s Elysian Space Dust IPA (-4.2%, to $74.6 million).

New Belgium was a (juice) force in 2022. The Fort Collins, Colorado-based brewery launched Voodoo Ranger Juice Force hazy imperial IPA in early 2022 as a “bold and juicy” extension to the Voodoo Ranger brand, and it became the most successful craft beer launch of all time, posting nearly $73.3 million in off-premise sales.

Four other New Belgium brands made IRI’s top 30 craft brands list: Fat Tire Amber Ale (-15.4%, to nearly $47 million), which just received a makeover and recipe refresh; Voodoo Ranger Juicy Haze IPA (+5.9%, to nearly $47 million); Voodoo Ranger Hoppy Pack variety pack (+33%, to nearly $34.8 million); and Voodoo Ranger IPA (-15.5%, to $33.3 million).

Voodoo Ranger Imperial IPA also re-

IPAs remained king among craft beer styles, despite a -2% decline in dollar sales to $2.1 billion. The No. 1 craft style gained 1.24 share points to claim a 44.37% share of craft.

Seasonals remained No. 2, despite a -6.9% decline in dollar sales, to $461 million, and the loss of 0.23 share points, to 9.72% share. Similarly, Belgian Wit remained No. 3, despite a -6.6% decline in dollar sales, to 383.1 million, and the loss of 0.17 share points, to a 8.08% share of craft.

Variety recorded the largest increase in dollar sales (+5.7%), to nearly $345.1 million, gaining 0.71 share points to claim 7.28% share of craft off-premise dollar sales. All the other top 10 craft styles recorded declines in dollar sales.

What to Expect in 2023

1. Distributed Craft Will Not Grow

Retailer shelves look very different than they did even just five years ago. Shelves are now stocked with offerings from major

non-alcoholic beverage producers entering the bev-alc game, as well as craft producers' attempts at beyond beer offerings such as hard seltzer, hard tea and RTDs. As a result, distributed craft has been steadily declining, and “still has further to fall before it hits its base,” according to Watson.

The pressures of inflation are also starting to be reflected in consumers’ buying habits. Beer has long had a reputation for being “recession resistant,” with total sales not significantly impacted by major economic struggles. But with breweries implementing multiple price increases in 2022, consumers are weighing price more in their buying decisions.

To counteract beer losses, Williams predicts three things will happen. One, retailers are going to reduce the price of beer “on their own” and “eat margin for the first time.” Two, big brewers will ask distributors to “eat margin and reduce prices back,” to “get their beer back on the floor and back on display.” And three, big brewers are going to take prices down themselves.

Williams’ warning to craft breweries: “Don’t get caught up in that price reduction war.”

“You won’t ever beat them on package efficiency, production efficiency or pricing; you can’t win that war,” Williams said. “You build brand equity, that’s what you’ve got to focus on.”

The average price per case of craft beer increased +$1.68, to $41.10 per case in 2022. The segment was the third most expensive beer segment per case, after non-alcoholic (NA) beer (+2.58, to $32.29) and assorted beer (+$.17, to $44.88). The increase was also above total beer, which raised price by an average of +$1.57, to $18.60 per case.

While distributed craft is not expected to grow overall, there are still opportunities for individual breweries to grow, but those breweries will have to either create incremental growth by targeting new consumers and occasions, or take volume away from another craft brewery, Watson said.

“When you’re thinking about your growth plan and distribution, it either has to be, ‘here’s the share we’re going to take from somebody else,’ or ‘here’s the share we’re going to add to the collective pie by finding incremental opportunities,’” Watson said.

Some of the opportunity areas for craft include the convenience store channel,

particularly with single-serve offerings and the non-alc segment. Watson also noted the opportunity for craft with women consumers, as well as Black, Indigenous and People of Color (BIPOC), which are all growing consumers within bev-alc, but are consumers craft has failed to attract in the past.

Attracting female drinkers may be even more important with the next generation of consumers, as the American beverage alcohol consumers is “increasingly diverse and female,” with female drinkers younger than 25 now outnumbering male drinkers younger than 25, according to the BA.

2. Brewery Growth Will Slow and Hit Equilibrium

Even before the pandemic, the growth of new breweries entering the market was beginning to slow, with the gap between openings and closings narrowing. That trend will continue over the next couple years until breweries eventually hit equilibrium, Watson said. However, he emphasized “that’s normal.”

“Nobody expects the restaurant industry to add 20% restaurants year-over-yearover-year-over-year with no closing,” Watson said. “Welcome to a normal industry.”

That equilibrium will likely fall somewhere between 9,500 and 10,000 breweries, Watson predicted, as the industry has already started to move “more toward normal industry averages.”

More than 9,500 breweries operated in the U.S. at some point in 2022, with more than 550 openings and 200 closings, according to preliminary numbers shared in the BA’s Year in Beer report. Watson predicts brewery growth could be “totally static” by early 2024.

3. Consumers Will Continue to Change; Embrace It

While Watson admitted that “demographics always change” and changing consumers is a bit of a “gimme” prediction, he noted that there are some changes that could work in craft ’s favor.

Millennials, who are some of craft beer’s core consumers, are now in their late 30s and 40s, which is typically when consumers start to trade up to higher priced items – like craft beer.

“This is good for craft,” Watson said. “We just saw a generation that drinks a ton of craft, the millennials, move to a place where they generally spend about the same amount and they generally trade

CRAFT BEER FAMILIES

What is a potential future concern for craft is the next generation, Generation Z, with the bev-alc spending of under-25 consumers “dropping pretty dramatically” compared to millennials. Younger consumers are also drinking less, although data surrounding the drinking habits of Gen. Z should be taken “with a grain of salt” as the generation may “be more wary of answering questions about alcohol in a social media age when they’re worried it might get plastered everywhere,’ Watson said.

To attract these younger legal-drinkingage consumers, Watson warned craft producers not to “denigrate where consumers are entering craft.” The trope of craft brewers sticking their noses up to certain bev-alc offerings threatens to turn new consumers away from the segment before they’ve even tried it. Watson encouraged producers to be more open to a variety of beer styles and possibly beyond beer offerings.

Being open to alternative offerings will also keep consumers in the fold. About one-in-10 craft consumers every year say they are drinking less craft beer in favor of another bev-alc segment, becoming what Watson termed “omnibibulous.”

“People when they walk into a bar often are not thinking what beer am I going to drink, but what beverage alcohol am I gonna drink, and then what product,” Watson said. “Other people are do- ing a good job taking our [beer] occasions –people drink canned cocktails with baseball now – we need to do a better job of taking their occasions.”

FUNCTIONAL BEVERAGE GUIDE • 2023

Acid Rain Water

Acid Rain Water is challenging the notion that you can only have a good time with booze, soda or energy drinks. Our ultrafiltered water packs a crisp, refreshing taste and 500mcg of vitamin B-12 to combat fatigue and support cellular function.

Better Booch Kombucha

Better Booch

Better Booch is better tasting and better for you kombucha. Our authentically fermented, unpasteurized booch has live enzymes and probiotics to support a healthy gut. Our Ginger Boost has bold notes of ginger, lemongrass and mint with green tea.

Sparkling

All Phenoms

All Phenoms crafts delicious, clean & healthy sparkling beverages with whole body benefits to help make every day phenomenal. Each elevated blend is made with organics, vegan, kosher, gluten free, & no citrates, artificial flavors, sugars, or colors.

Bitter Love®

Bitter Love® founded in 2018, and remastered in 2023 is a blend of 6 functional digestive herbs and roots blended with juice and bubbles to create a perfect bitter, refreshing, balanced beverage. Learn more at: BitterLove.com

Sparkling Beverages. Elevated Functional Blends. Made Phenomenal

Bitters Are Back!

New! Plant-based goodness..now sparkling! From the #1 aloe vera drink! ALO Drink | SPI West Port

Energy Sparkling Water with L-Theanine Ardor Organic, Inc.

The Original Chef Crafted Kombucha Bambucha Kombucha

The first ready-todrink melatonin nighttime tea is here. Made with natural and organic ingredients, Blue Bear Sleep supports rest and relaxation with a zero-sugar, lightly sweetened, peachflavored white tea. Get ready for a new nightly routine.

Essence pH10 is sodium free pH10 alkaline water with added vitamin D and Zinc. We achieve our high pH by added our custom Cal / Mag mineral blend, Essence pH10 is Not ionized and will never lose its pH level. Essence pH10 perfect alkaline hydration.

Made from 92% renewable materials (trees), Boxed Water™ brand now has a plant-based cap and the highest renewable content. Our water won a prestigious International Taste award and the Good Housekeeping award this year. Consumers ask for it by name

C4 Smart Energy is clinically studied to elevate focus, recall, and performance. Made with 200mg of natural caffeine*, C4 Smart Energy is designed to fuel your goals, mentally and physically. *Natural caffeine from green coffee bean.

BLUE BEAR

Your day begins at night with Blue Bear Sleep

Boxed Water Is Better

Award Winning Taste in the Most Sustainable Package

C&B Beverage LLC

pH10 Nutritional Alkaline Water

C4 Energy

C4 Smart Energy - Stay Focused

Functional libido drinks made with natural ingredients - for him & her Bido Brands

All Natural Clinically Proven Patented Focus Drink BIOLIFT- InnoBev USA

Meet water’s bubblier and more energetic best friend! BUBBL’R

The Best-Tasting CBD Sparkling Water - Now in Tropical Mango Guava!

Organic Tea, Cane Sugar, & Live Cultures — That’s It!

Camellia Grove Kombucha

Camellia Grove brews Kombucha for tea lovers! Without adding flavorings, we highlight the natural flavors present in different organic teas. Meadow, our newest flavor, uses Smith Teamaker’s herbal blend with notes of chamomile and rose petals.

Cann: Microdosed social tonics

Cann

Cann’s social tonics are microdosed with cannabis to provide a light buzz without the hangover. Less than 35 calories, crafted with allnatural ingredients, and award winning flavors. Enjoy the social tonic that has sold over 10 million Canns!

The Hangout Without the Hangover

Cantrip

Cantrip drinks are transforming the next generation of social and functional drinking. One of the leaders in regulated THC beverages nationwide, Cantrip is an innovator offers low-dose seltzers, high-dose sodas, and adaptogenic energy drinks with THC

NEXTY Best New Functional Food or Beverage Finalist

CENTR Brands

CENTR Enhanced is a refreshing, ZERO calorie, nootropic & adaptogen functional sparkling water that meets the growing demands of heathconscious consumers seeking great tasting functional alternatives to sugary drinks and alcohol.

CBD Living

Ideal for hydration and muscle recovery post workout.

Drink TATU

TATU Protein Water comes in two flavors: Orange Mango and Lemon Ginger. Each 12-ounce can has 15 grams of the best whey protein isolate on Earth, 0 grams of sugar, has only 60 calories, and is keto friendly. Enjoy a can of TATU today!

Ferm Fatale wildly fermented zero proof cocktails, elevated.

Ferm Fatale

Reformulated & repackaged, Ferm Fatale's revolutionary zero sugar, shelf stable yet still raw, live and organic nonalcoholic probiotic cocktails just got a makeover with more FUNctionality sans booze right in time when the category just capped $11B.

Greatest of All Time

G.O.A.T.

Electrolit

The preferred, premium hydration beverage made from pharmaceutical quality grade ingredients –announces the launch of Blue Raspberry. This exciting new flavor is the 14th addition to the global brand's expansive line of hydration beverages.

Flow

FHIRST

The zero-sugar drink with an immunity smack. The first all-natural, zerosugar beverage that combines the benefits of gut-friendly probiotic cultures & prebiotic plant fibre. A great tasting guilt-free drink that promotes gut, immune & brain health.

Glow Beverages Inc.

Offered in six unique flavors, GLOW Sparkling Hydration is packed with vitamins, antioxidants, electrolytes, and amino acids to support immune function. Stay hydrated and enjoy the delicious flavor of this all-natural premium functional beverage

Vitamin C Booster: Organic Ginger & Turmeric Shot with Acerola Cherry.

GNGR Labs, Inc.

The Vitamin C Booster is the latest addition to GNGR Labs' signature ginger shots line. This new shot is crafted with ginger, turmeric, acerola, orange, lemon, and cayenne, which is designed to boost immunity and provide a daily dose of Vitamin C.

GORGIE

GORGIE

Energy your way. Meet the TikTok loved energy drink that’s better for you and looks good with you!

GORGIE combines the right amount of flavor, fizz, benefits & fun. With Green Tea, Biotin, B Vitamins & L-Theanine and no nasty sugar replacements.

Harmless Harvest

Enjoy the refreshingly crisp taste and natural hydration benefits of coconut water with soft and tender pieces of aloe vera pulp. A good source of potassium that provides next level hydration with a bite.

Electrolit Announces Launch of New Blue Raspberry Flavor

FHIRST - Living Soda

All Natural Functional Sparkling Beverage

Energy Drink

Organic Coconut Water with Aloe Pulp

Vitamin-Infused Spring Water Flow Beverages Inc

Fuel, Inc.

Organic Radiant Greens Smoothie

Harmless Harvest

Tropical island tang from mango + pineapple pairs harmoniously with our lush greens blend for a smoothie that radiates goodness from the inside out.

Coconut Water & Meat are blended to perfection for a creamy smooth texture with no added sugar.

Naturally Alkaline, Sustainably Sourced, Spring Water from Iceland

Icelandic Glacial

Icelandic Glacial is exceptionally pure and naturally alkaline (pH 8.4) spring water from Iceland. Sourced from the naturally replenishing, certified sustainable Ölfus Spring, both product and company are certified carbon neutral.

Koe is Kombucha, Only Better!

Koe Organic Kombucha

Koe’s unique formula combines the flavor of fresh fruit with billions of live probiotics and 250% or more of the recommended daily value of vitamin C for a super powerful combination that supports happy taste buds, gut health and immunity.

Formulated to help your mind + body find balance

LEVL

LEVL is formulated with 25mg of Hemp-Derived CBD, a proprietary Terpene blend, a powerful blend of adaptogens, electrolytes, and organic fruit juice. It's non-carbonated, has No THC, 2g of sugar, and only 10 calories.

Green Soda: Cola & Four Delicious Flavor Varieties Green Cola North America LLC

Functional, delicious plant-based recovery beverages! Drink Hangobi Hangobi

Naturally Alkaline • Lava Filtered Water with Minerals & Electrolytes

Hawai‘i Volcanic Beverages

BRAND LISTINGS

Health Ade Kombucha - Now Available in Cans! Health Ade

Hawaii’s Prebiotic Sparkling Juice Beverage - 40% Juice No Added Sugar Hawaiian Soda Co

Made to meet the demands of modern life. heywell

Deep Hydration® for Skin & Cellular Health Jove Wellness

HOP WTR, a non-alcoholic sparkling hop water crafted with crisp, bold hops and mood-boosting ingredients, is leading the charge in the non-alcoholic beverage category. The brand’s Classic, Blood Orange, Mango, Lime, Peach and Ginger Limeade flavors feature a proprietary blend of stress-busting hops, adaptogens and nootropics that burst with mood-boosting benefits while tasting light, crisp and satisfying. Citra, Amarillo, Mosaic and Azacca hops, deliver a citrusy, piney flavor that evokes a tasty IPA. The stress-busting stack of adaptogens and nootropics, including ashwagandha and L-Theanine, is specifically formulated to help you unwind and destress, providing guilt-free, hop-filled relaxation without the alcohol, calories, carbs, sugar, or gluten. HOP WTR is available nationwide at hopwtr.com, goPuff, Amazon and Thrive Market. HOP WTR can also be found at Target, Wegmans, H-E-B, Harris Teeter, Total Wine & More, BevMo!, and many more retail locations across the country. For more information, please visit hopwtr.com and follow on Instagram @hopwtr.

Dopamine Enhancing Functional Beverages Made With Real Fruit and Fizz Illicit Elixirs

Fuel Your Purpose. Rtd Beverages Enriched with Functional Ingredients. KUMU® Beverage Company, LLC

Organic RTD Wheatgrass Beverages: Winner NEXTY Best New Beverage 2023

LIVING MAKA PBC

USDA Organic Sparkling Yerba Mate Blend with Benefits - New Flavor! Marquis

Meet your future savory soulmate. She’s instant, versatile and rich. mala girl

New Gut-Healthy Soda, Mighty POP, Features Pre, Pro & Postbiotics

Mighty POP

Beliv officially unveiled its newest brand, a first-to-market gut-healthy soda featuring ‘the Mighty 3’ for digestive & immune health, with pre, pro, and postbiotics in 4 delicious flavors. Gently sweetened by agave, Mighty Pop is just 30 calories and 3g of sugar with 3g of fiber and 1B live probiotic cultures.

Botanical beverages made with adaptogens and nootropics

Moment

Moment supports mental wellness through beverages made with fruits, adaptogens, nootropics & mushrooms. With 0 added sugar, no caffeine, and low carb/calories, it's perfect for a morning boost, afternoon reset, or evening unwind without the hangover.

Drink for Life

Motto Beverage Co.

Imagine a drink so fresh it could have come from your local farmer’s market. Look no further. Each Motto is packed with plant nutrients, lightly sweetened with honey, and balanced with a healthy dose of apple cider vinegar and lemon juice.

The First Bottled Moringa Iced Tea

Mori Leaf

OLIPOP

OLIPOP combines the classic soda flavor you know and love with prebiotics, plant fiber, and botanicals to support your microbiome and digestive health. Finally, a refreshing soda that's actually good for you.

Charge Your Taste Buds Faster Than A Tesla.

Once Upon A Coconut

Our Sparkling Coconut Water with Clean Energy will motivate you and your taste buds in more ways than one. Made with refreshing coconut water and 120mg of natural caffeine, it’s an energizing story you’re destined to love. The end.

Brewing better booch since ‘08

Truly Functional Beverages Made with Top Quality Ingredients Neuro

NessAlla Kombucha

BRAND

Refresh Your Energy Section with Odyssey Sparkling Mushroom Elixirs Odyssey Wellness LLC

New Nirvana Super™ Beverage Lineup Nirvana Water Sciences Corp

the future of bottled water PATH

Refreshing 9.5+ pH Alkaline Water in Sustainable Packaging

Perfect Hydration

Perfect Hydration gives athletes and active people a more sustainable single-serve water option. Its crisp 9.5+ pH alkaline water is always sourced in the USA and available in 100% post-consumer recycled rPET bottles and recyclable aluminum cans.

Soda, but better

poppi

poppi is breaking all the soda rules and putting the fun in functional with its gut healthy prebiotic soda that's 25 calories and 5 grams of sugar... or less. Yep, it's the flavor you've known and loved, but better.

Rambler Yaupon Energy

BRAND LISTINGS

Fizzing Delicious, No Sugar Kombucha & Drinks Remedy Drinks

Rambler Sparkling Water

Yaupon, North America’s only native caffeinated plant, is known for its mood-lifting and focusing properties. Get all-natural, plant-based energy in four delicious flavors, all under 50 calories. #GetRamblin #RamblersDoItBetter

Low Cal, Low Sugar Complete Hydration™ Beverages

ROAR Organic

A line of organic Complete Hydration™ beverages with replenishing electrolytes, antioxidants, 100% of your daily value of vitamins C, B5, B6 and B12, and only 20 calories & 3g of sugar or less per bottle. Untwist a cap and experience ROAR®.

Meet Petal’s Functional Ginger Ale Line with Prebiotics and Adaptogens Petal Sparkling Botanicals

100% Plant Powered. Radically real ingredients. Addictively Refreshing RIOT Energy

We provide good energy for good people to do good things. RISE Brewing Co.

BRAND LISTINGS

Good Mood Soda - made with 200mg Ashwagandha Rowdy Mermaid

Sap’s was created by Trey Marler and Jordan Wilson in late 2022 to offer consumers a more functional, healthy, and effective sports drink. Featuring 1900 mg of electrolytes, 35 calories, no added sugar, and 20 different functional ingredients, Sap’s is truly the only sports drink in the market you would be better off drinking every day.

Currently, the sports drink market is full of unhealthy, ineffective formulas and bulky plastic bottles that are all marketing the same exact message around super athletes. Sap’s is a drink made for those who live an active lifestyle (work or play), want to be healthier, or just like to have a good time. As our slogan says, “A drink for sports & everything else”.

Sap’s is based out of Austin, TX, one of the premier CPG cities in the US, with a focus of growing distribution through alcohol distributors in Texas and other strategic geographies. Sap’s will primarily be sold through convenience stores and grocery stores; supplemented by online sales both at sapsoriginal.com and Amazon.

Sati Soda, The Healthy Soda Company

Chai Cherry with Chaga and CBD

Shimmerwood Beverages

Back in stock due to popular demand! A smooth fusion of warm, woodsy and dry tastes that feel like a walk in a forest on a sunny winter day. Combines chaga mushroom, chai, cherry bitters and Full-Spectrum CBD for a mix of earthy and deep sensations.

SHINEWATER. All Natural. Vibrant Flavor. Zero sugar. Vitamin D.

ShineWater

Sunshine In A Bottle®! 100% of the daily recommended value of Vitamin D in every bottle.

ShineWater is naturally sweetened with ZERO added sugar. Our formulas are full of key electrolytes including Potassium, Magnesium, and Zinc. No artificial color

Organic Farm to Can Functional Beverage in a Category of its Own

Shrubbly -Hinesburg, Vermont

Shrubbly is a lightly sparkling, ready-todrink beverage with crisp flavor from an old-fashioned mixer called a "Shrub", made modern with wellness shot ingredients like organic fruit + herbs/ spices + ACV. Low Calorie, Low/No Sugar, & Whole30 Approved

Regenerative Oat Water for Hydration + Sustained Energy

Smootch

Smootch is a hydrating regenerative oat water - a new functional drink that combines electrolytes with sustained energy from regeneratively grown whole grain oats, in 4 delicious flavors for a refreshing caffeinefree option to fuel active lifestyles

Mushroom Soda: New Classics by SONDER

SONDER®

Sonder® is the Perfect marriage of flavor and functionality with Chaga, Reishi, or Lion’s Mane to create a new adventure in beverage. Take a journey with Spiced Kola and Orange Vanilla Sodas. Learn more at: DrinkSonder. com

The World's 1st Mushroom Iced Tea and Iced Tea + Lemonade.

Space Tea

The World's 1st mushroom iced tea and iced tea + lemonade, brewed with non-psychoactive functional Reishi + Lion's Mane mushrooms for uplifting energy, calm focus, mood boosting + mental clarity. Amazing tastecertified organic and 100% natural.

Upcycled Wellness With Just 4 Real Food Ingredients

Spare Tonic

New Flavor. NEXTY Finalist AGAIN!

The sweet and tart flavors balance perfectly to transport you to your happy place. Fresh whey provides probiotics, electrolytes, protein and B-vitamins to keep you healthy, hydrated and fueled throughout your day.

Flavor your coffee and other beverages naturally.

Spice n Nice

Our all-natural flavoring is made of premium and potent spices, flowers, and herbs. No added sugars. Naturally 0-calories. No preservatives. Works for all beverages. Available D2C in 1.8oz bottles in 4 flavors, and custom formulas for your bev lines.

Sati Soda

Complete Nutrition in a Bottle Soylent

BRAND LISTINGS

NEW All-Natural Liver Detox Drink with Electrolytes NON-GMO Approved The Plug Drink

Natural Taste. Natural Wellness. Plant-Based Functional Drinks.

- The Bubbles Without The Buzz

BOUGIE

The3rdBevCo Inc

The Naked Collective

UPTIME ENERGY

Sweet Prairie Haskap is a 100% haskap berry extract that focuses on noticeable reduction of inflammation while increasing natural energy and focus.

SPH is Amazon's Choice; also available on its website and California retailers such as Erewhon.

Low Sugar, Vitamin Packed, Flavored Electrolyte Water

Victory Beverages

No caffeine, no carbonation, no added color, and only 6g of sugar. Packed with electrolytes and daily vitamins its a great way for the whole family to rehydrate.

XL Energy Drink Corp

Lightly carbonated and refreshing, XL Energy Drinks give a classic taste and a boost of energy containing caffeine and taurine. XL helps you to achieve your best every single day and is a perfect alternative to coffee at an everyday low price.

True Nopal is the original prickly pear cactus water. 100% all natural with no added sugar or sweeteners. Contains less than 1/2 the calories & sugar of coconut water while supplying electrolytes, potassium & magnesium. Now NonGMO project verified!

Volay

Volay takes clean energy to a whole new level. We stripped out all the chemicals, ditched the populated ingredient panels, and left nothing but hydration and invigoration. Just three simple ingredients - nothing we put in our cans you can't pronounce

Sweet Prairie Haskap

All Natural Anti Inflammatory Haskap Berry Extract

True Nopal Ventures LLC

True Nopal Cactus Water - The Original Cactus Water

Volay ~ Caffeinated Sparkling Water

Thoughtfully Formulated Energy Drinks

For over 48 years, we've traveled the world to connect people with the finest products. At A. Holliday & Company, we source, test, and ship every product we carry. We supply bulk tea varieties (extracts & leaf), coffees (extracts), antioxidants, herbal & superfruit extracts, natural caffeine, polyphenols, EGCG, Rooibos, coconut water powder, and our newest product, oil soluble tea polyphenols.

Flavor House

Abelei Flavors

AIBMR Life Sciences, Inc.

Phytonutrient-Rich Berry Ingredients For Functional Beverages

Artemis International, Inc.

As a flavor manufacturer abelei creates delicious, application-specific flavors assisting our clients in getting to market faster with flavorings that fit their product requirements. abelei specializes in creating great-tasting sweet brown, citrus fruit, soft fruit and other top-note flavors perfect for the beverage, food, dairy, confectionery, health & nutrition, and pet industries.

AIBMR is an industry-leading scientific and regulatory consulting firm, founded in 1978. AIBMR offers key services specifically tailored to the natural products marketplace, including GRAS Independent Conclusions, FDA GRAS & NDI Notifications, toxicology studies, exposure estimates, label reviews, claims substantiation, FDA & FTC compliance, and manuscript preparation & publication.

Great tasting natural ingredie

Almendra Americas, LLC

Your partner for innovation, reliability and quality. Almendra has been delivering consistently superior natural clean label ingredients to reduce sugar and improve taste of high potency sweeteners for more than 10 years. Proprietary Taste Technology A portfolio of patented and licensed taste modulation solutions. Global Service Stevia expert sales and support in the Americas, Europe and Asia

Extend Your Product’s Shelf-Life with aTULC Can Packaging

American Canning

In 2022, American Canning, an Austin-based can packaging company, introduced aluminum Toyo Ultimate Can (aTULC) packaging to the United States for the first time in a brand-new, compactconcept can manufacturing line designed specifically for craft.

Developed by Toyo Seikan Group Holdings in Tokyo, Japan, aTULC is an award-winning and trusted technology that promotes an innovative alternative to traditionally manufactured aluminum cans. Rather than applying internal coatings by spray application post production, aTULC cans are made from BPA-free, pre-coated aluminum sheet. This creates a more consistent and robust barrier between the raw aluminum and the can contents, which is particularly beneficial for storing higher-acidity products. Pre-coating also eliminates the need for water and/or any lubricating and washing chemicals within the manufacturing plant. Added benefits of the aTULC liner include minimal flavor absorption and drastically increased shelf-stability for hard-to-hold products.

To discover the complete benefits of aTULC and learn more about how this packaging solution not only protects your brand, but the environment as well, contact American Canning. Low minimum order quantities, quick lead times, and volume and bundling discounts available. Brite cans, shrink-sleeve and printed decorations options, all from Austin, TX, USA.

Finally! Clear Pland-based

Proteins For Low pH & High Acid Beverages! Axiom Foods

You read that right! For the 1st time you have a choice between 100% soluble, =85% concentrated, neutral Vegotein™ CLEAR Pea Protein & Oryzatein® CLEAR Rice Protein. Finally it’s possible to create 100% plant-based, allergen-free, low pH, high acid beverages with protein claims! Featuring 80% peptides and a truly grit-free experience, Axiom’s food science team has added these to a long list of innovations including new Mung & Fava proteins, for a creamier beverage experience.

If that wasn’t enough, Axiom also makes nutrient-dense, functional plant-based dairy alternatives and rice protein in the U.S. Check out the ONLY FDA GRAS rice proteins, including our proprietary, smooth suspension-grade Oryzatein® SG-BN Rice Protein. Leading the charge in clinical study-based claims, Axiom’s line of Oryzatein® Rice Proteins are the only ones with patented sports nutrition claims that take on whey head-to-head, and wins. Or maybe check out one of our certified Whole Grain dairy alternatives that can provide you with better flavor, the same health claims as whole oats, and a potentially shorter ingredient list. That’s because we are the only ones who don’t strip out the good parts, just so you can add them back in.

Keep an eye out for more sustainable, up-cycled, cutting edge ingredients in the pipeline -- to make even better plant-based products for your customers.

We have served our clients over the past decade testing a wide variety of beverage products! Ranging from energy drinks to hard seltzer products, we have the grounds covered with our science. Our team is confident in operating and testing through our approved analytical methods to provide you the honest, and reliable results you can count on.

AZ Laboratories will help ensure the safety of your product so you can rest assured when consumers are stocking up their carts with your product. With our fast turnaround times, competitive pricing, and an open representative to help answer any questions at any time, we hope you think of us here at AZ Laboratories to be your trusted laboratory partner.

Contract Manufacturer

Azpack

Beverage Industry Navigators

BevSource

Fully automated canning for high-acid beverages with variety pack capabilities, state-of-the-art 350,000 sf facility, 2 million can daily capacity, tunnel pasteurized or cold fill preserved carbonated, still or alcoholic beverages, organic, kosher, halal and sqf level 3 certified. *AZPACK is a refresco beverage company.

Connecting Nutrition & Health

BENEO Inc.

Launching a functional beverage? Nothing slows down a beverage creator more than getting swallowed up by the details. BevSource has the innovation, procurement, and operational expertise to help you successfully usher your project from concept to shelf-ready product with custom solutions tailored to YOUR needs. Let us manage the operational details, while you focus on building your brand.

Real People. True Flavor.

Callisons

We’re re-imagining the possibilities for functional beverages. Great things can happen when you sharpen your competitive edge with Bioenergy Ribose and RiaGev because our ingredients do more, and they do it better.

With its ability to restore energy and accelerate exercise recovery, Bioenergy Ribose is a gamechanging ingredient for sports nutrition and performance functional beverages. Bioenergy Ribose is a healthy, functional sugar that increases cellular energy by enhancing the body’s ability to make ATP. This is THE go-to ingredient for noticeable sustained energy, without any unwanted side effects.

Bioenergy Ribose is more than the backbone for custom energy blends. It also boosts the performance of other energy ingredients. Bioenergy Ribose is easily incorporated into beverage formulations for it is fully soluble & slightly sweet with no aftertaste.

From energy drinks to protein and meal replacement beverages, low glycemic Palatinose™ (isomaltulose) opens the door to nutritionally optimised beverages. Its slow release of glucose…the main fuel for body and brain…supports blood sugar management while keeping you supplied with sustained energy, whether for exercising, training/competitions, or simply for those long, demanding days.

Since 1903, Callisons has created authentic flavors using the highest quality, natural extracts directly from nature. Known as the leader in mint, Callisons develops a diverse portfolio of flavors with a passion for the Beverage, Confection, Oral Care, and Bakery industries. As tastes change and the market expands, we evolve and innovate to remain on the forefront of the next flavor revolution.

RiaGev, now in a water-soluble format, uniquely increases NAD, ATP and glutathione production simultaneously. In addition to supporting healthy aging & improving energy, science shows beverages formulated with RiaGev may benefit cognition and concentration, both of which tend to diminish when we’re tired or stressed.

BLS is your Total Solution Provider. We partner with you to develop or refine your formulations and line extensions with our game-changing, branded ingredients. Let’s take your business to the next level.

Berlin Packaging

Game-changing, Branded Ingredients Bioenergy Life Science (BLS)

With a decade of experience, CanSource is your one-stop-shop for beverage cans. As a proud distributer of Ball beverage cans, we can support your needs across sleeved, printed & brite cans. We leverage a national footprint and service-obsessed team to dependably provide low MOQs, short lead times & high on-time delivery. Call us today and mention this ad for a special promotion.

Brand Identity and Packaging

Beverages with an Impact

Doehler North America

Our focus is to connect your consumer with your brand’s package and message by developing its visual communication, strategy, look and feel. As a full-service agency, we can take the project from an idea to final print. With 30+ years of experience, we know a thing or two about how to win at retail. Make your brand a winner!

At Doehler, we believe that health & taste should not be mutually exclusive. As your partner, we create value for functional beverage concepts with natural caffeine from tea & botanical ingredients. Our development expertise & comprehensive natural ingredient portfolio shape the future of nutrition. Döhler Multi-Sensory Experiences® combine flavor, color and health trends to bring ideas to life.

Drink Me Taste Solutions

Creating a beverage that delivers on taste and functionality, all while being cost effective is no easy feat. So, it is important to partner with a development firm that are experts in the natural, functional beverage space. Drink Me Taste Solutions can guide you from picking the right ingredients to creating and commercializing a great tasting beverage that consumers will be demanding more of.

Cornerstone Strategic Branding

Functional Beverage Creation

Beverage Flavors & Innovation Blue Pacific Flavors

Process Authority for Beverages Caporale Consulting Caporale Consulting

Clean Label Ingredients

Farbest Brands

Custom Flavor Development

Flavor Dynamics, Inc.

Custom Beverage Development

Coconut Ingredients

Our Ingredients. Your Sourcing Simplified. We can help you meet the demand for clean-label ingredients with a full range of high-quality dairy and plant proteins, gum acacia, vitamins, sweeteners, natural colors, as well as USDAcertified organic, and NON-GMO Project Verified ingredients No matter your budget, application, or label claim we can guide you to the ingredients that are right for you.

Beverages with Benefits

FFP

We are the perfect choice for your beverage flavors. Our experienced team is guided by a commitment to creating innovative, superior quality products. Our "AA" BRC audit grade represents our commitment to food safety and quality assurance. Ask us for your clean label requirements, including Organic, Non GMO, Natural, Gluten free and Vegan. Our team is up to the challenge. Call us today.

Natural & Organic Flavors

Flavor Producers

The Beverage Architects at Flavorman are ready to formulate your custom beverage. With over 30 years of technical expertise in beverage development, Flavorman can craft your beverage from the ground up and make it as flavorful as it is functional. Benefit from value-added services and resources designed for your success. Partner with the best in business. Change what the world is drinking.

Beverage Innovation Success

FlavorSum

Franklin Baker, Inc. is the largest processor of coconut ingredients in the Philippines as the premier supplier to the global beverage & food market. Franklin Baker offers an extensive portfolio of coconut products including Coconut Water, Coconut Milk/Cream, Coconut Concentrate, Creamed Coconut. Our extensive third-party certifications are unrivaled to the highest product standards.

Brite Cans Available

G3 Enterprises

FFP’s clean label beverage ingredient portfolio provides various functional benefits, all while providing great, refreshing taste. Our functional benefits include immunity support, energy, stress relief, improved cognitive function, and more. From Formula to Final Sip™, we have the ingredients, technology, and expertise to bring a healthy, unique approach to your functional beverages.

Crafting with a palette of nature’s ingredients, Flavor Producers has been artfully deconstructing natural and organic taste for over forty years. Driven by our creative spirit and a passion for discovering the flavors of nature, Flavor Producers has established one of the largest certified and certifiable organic portfolios in the industry.

Creating functional beverages that succeed in the market is collaborative. That's why our mission at FlavorSum is to become a valued member of your team. By partnering with FlavorSum, you gain access to experts with the speed and agility of a larger manufacturer. From ideation to commercialization, we will work closely with you on your new beverage innovation.

G3 is a leading packaging and logistics provider. G3 Packaging provides aluminum cans and can ends with a variety of brite cans sold by the pallet to full truckloads. We have fast turnaround times as cans are sourced domestically and in stock: 100ml, 12oz std & sleek, 250ml, 330ml, & 16oz std. G3 Logistics offers bulk and finished good transportation and 3PL warehousing nationally and regionally.

Welcome to FOODAROM. We are flavor designers. We are flavor tastemakers and trendsetters. Now a proud member of the global Glanbia family, we are experienced flavorists that create and manufacture the memorable flavors that will have your customers coming back for more. Partnering with food, beverage and nutritional product industries, we deliver turn-key flavors and formulation support. But not just any flavors, we create made-to-order solutions and profiles designed to perfectly meet the flavor expectations of your audience and beyond. In short, unforgettable taste sensations that will put your brand on the tip of everyone’s tongue.

Flavorman

Franklin Baker, Inc.

Custom Flavor Solutions Foodarom

Prickly Pear Cactus Ingredient

GAIA fruits

Gusmer Brewing Solutions

Gusmer Enterprises

Prickly Pear strengthens the Immune System. It is been attributed with healing properties since it is rich in Bioflavonoids that have strong antioxidant properties and give this fruit its distinctive bright red-violet color, and help the body detoxify and reduce inflammation. GAIA fruits is your trusted supplier of prickly pear puree and concentrate as a functional ingredient with an exotic flavor

Since 1924, Gusmer has taken a revolutionary approach to serving the brewer’s vision. It’s why Gusmer offers a full line of solutions for the brewing industry including fermentation and processing aids, filtration media and equipment, analytical products and instrumentation, processing equipment, and analytical laboratory services. Contact your local Gusmer Technical Sales Representative today!

hidell international

EXBERRY® by GNT is the leading brand of natural colors for the food and beverage industry. Our colors are non-GMO and derived solely from fruits, vegetables, and edible plants through a process of chopping, pressing, filtering and blending. Our team of technical specialists are available to guide customers through each stage of the formulation and upscaling process.

Hidell International is a 54 year old, global Bottled Water and Beverage Consultancy. The company specializes in identifying water resources, completing hydrogeological investigations and developing health and wellness formulas for clients.

Over the last two generations, our family-owned company has grown from a sugar supplier to a one-stop ingredient shop. We’ve built strong relationships with the top ingredient manufacturers around the world, making us the #1 distributor to work within the US. From the ingredients we distribute out of our warehouses across the country, to the custom ingredient systems we manufacture in our world-class Aviator facility, we always ensure the highest quality with every order. From bakery and snack to beverage and confectionery, we supply manufacturers across all industries with the ingredient solutions needed to create the best products.

GNT USA, LLC

EXBERRY® Plant-Based Colors

Natural Health and Wellness Pr

Coffeeberry® Energy Natural Caffeine FutureCeuticals

Ingredient Distributor & Custom Ingredient Systems Manufacturer IFPC

Hydrite offers expertise in manufacturing/ distribution, offering a variety of liquid and dry food/beverage ingredients, food/beverage plant sanitation, processing aids, commodities, foam control and water treatment chemistries. Hydrite provides creative solutions by offering an extensive product line coupled with technical support to address food safety and help maximize efficiency and quality.

Mobile Canning Solutions

Iron Heart Canning Co

Javo Beverage Company

Founded in 2001, Javo is an extraction company that uses a proprietary process to produce fresh, clean-labeled coffee, tea and botanical extracts for the food and beverage industry. We use clean ingredients to craft products for global and emerging brands. Our production facilities located in Vista, Calif. and Indianapolis, Ind. are Safe Quality Foods (SQF), QAI organic and kosher certified.

Cans: Printed, Sleeved & Brite

Lagersmith Can Supply Co.

IHC is your solution to guide you through the canning process! With over 250 MILLION cans filled to date, IHC offers unmatched Experience and Expertise. We service the Eastern US and deliver Quality you can count on – Guaranteed seams, All beverage types, All can sizes, Materials sourcing, & Co-Packaging Partners –whatever your situation we can get your product canned. IHC is your one stop shop!

Lagersmith provides the right canning supplies based on your needs. Whether it's a box of digitally printed cans for marketing, a pallet of shrink sleeved cans for a short run, or a truckload of printed cans after scoring your first national account; Lagersmith has been an advocate for beverage entrepreneurs and emerging brands since 2012 with our industry-leading low prices and topnotch service.

Functional Beverage and Supplements Experts

Kerry

Cognizin® Citicoline, A Leading Nootropic Ingredient Kyowa Hakko USA

An Award-Winning Nootropic That Enhances Cognitive Performance and Supports Long-Term Brain Health. Cognizin® has been clinically researched for its role in cognitive function. Cognizin increases an important substance in the brain called phosphatidylcholine that is critical for healthy brain performance. The beneficial effects of Cognizin® have been studied in a broad range of healthy subjects from adolescents to elderly adults. New research published in The Journal of Nutrition also showed that 500mg/day of Cognizin® can improve episodic memory and overall memory.

Supported by clinical trial data, Cognizin® is shown to support:

• Mental focus

• Attention

• Memory

• Supports mood

• Supports motor speed in adolescents

• Brain Energy

• Overall Cognitive Health

Manufacturers and formulators will love these practical benefits:

• Pure - Contains no food additives, artificial flavors or preservatives

• Water-soluble - Easy to use in beverages and liquids

• Neutral in taste

• Patent Protected

• Vegetarian

• Allergen-free

• Non-GMO

• Kosher

• Self-affirmed GRAS

Let us help innovate your next cognitive health formula. Learn more about Cognizin® www.cognizin.com

Postbiotic innovation for your next best-selling formula. Most immune products only partially activate the immune system. IMMUSE™, activates pDC cells (plasmacytoid dendritic cells), the master regulators of the immune system. Kyowa Hakko USA was named by Frost & Sullivan as the North American New Product Innovator in the immune health ingredient industry for its novel postbiotic, IMMUSE™ (LC-Plasma), and awarded Excellence in Best Practices for its commitment and investment toward clinically validating the ingredient’s efficacy and safety.

IMMUSE™ Scientific Advantage

The immune system is complex with many cell types and two primary systems—innate & adaptive. pDC cells activate critical immune cells across the innate and adaptive immune system, providing the most comprehensive immune support.

Manufacturers and formulators will love these practical benefits:

• Pure - Contains no food additives, artificial flavors or preservatives.

• Water-soluble - Easy to use in beverages and liquids.

• Neutral in taste

• Patent Protected

• Vegetarian

• Allergen-free

• Non-GMO

• Kosher

• Self-affirmed GRAS

In a crowded market, IMMUSE™ stands out as a science-based beverage, food and dietary ingredient with a novel mechanism of action for more comprehensive immune support. Meet IMMUSE™: immusehealth.com

Clean & Natural Protection

Lanxess Corporation

Looking to safeguard the quality and shelf-life of your beverage? LANXESS Corporation offers two unique and innovative technologies, Velcorin® and Nagardo®, which provide microbiological protection in a wide variety of beverages.

Velcorin® (Dimethyl Dicarbonate) is a cold sterilization agent that kills microorganisms during production, resulting in cleaner and more stable beverages.

Benefits of Velcorin® include:

• No impact on sensory profile

• Clean label solution

• Compatibility with all types of common packaging

• Cost-effective

• Application-specific advice and services from Velcorin® team Nagardo® (Dacryopinax Spathularia) is a natural guardian that protects against beverage spoilage to secure and prolong shelf life.

Benefits of Nagardo® include:

• Achieve natural & consumer friendly claims

• Efficient control of a broad range of spoilage organisms

• No impact on sensory profile

• Broad application in a variety of beverages

• Easy integration into production process

• Application-specific advice and services from Nagardo® team

LANXESS Corporation hopes to conveniently meet all of your microbiological protection needs with our widely applicable technologies and services. For more information on Velcorin®, please visit velcorin.com. For more information on Nagardo®, please visit nagardo.com.

LIX makes CBD and other active ingredients completely water soluble

LIX Brands LLC

Flavor & Taste Solutions

Flavor Manufacturer

Mother Murphy's Flavors

Consumers today want it all. You’re balancing the demands of great taste, regulatory hurdles, supply chain challenges and consumer acceptance. Don't let functional ingredient challenges stop you. The experts at McCormick FONA can help. From ideation to launch, we create a seamless, winning path for you. Design, develop & scale up using our Beverage Innovation Studios in Geneva, IL and Irvine, CA.

Trust the monk!

Monk Fruit Corp.

Mother Murphy's is a full service flavor manufacturer dedicated to supporting customer needs through quality and flavor innovation. At Mother Murphy's we specialize in flavor and prototype development for the beverage industry and have over 60,000 flavors in our portfolio. We have made the world taste better since 1946. We have refreshed our logo to reflect who we are, what we do & for how long.

Contract Manufacturer

NOR-CAL BEVERAGE CO

Monk fruit is an ingredient that allows you to create great tasting, innovative products with significantly less sugar and calories – all from the goodness of fruit! Monk Fruit Corp, the recognized global industry leader, offers the best quality and widest range of monk fruit products on the market. Looking for monk fruit? Trust the monk.™

Nor-Cal Beverage Company, Inc. is a full-service Contract Manufacturer with two production facilities in Northern and Southern California. Both locations offer a range of production capabilities and certifications. We also offer fulfillment services positioned to supply West Coast needs. Family-owned and operated since 1937, also a Women-Owned Business.

McCormick FONA

Why Switch to MATCHA.COM as your Bulk Matcha Supplier?

• Largest Organic Matcha Production Facility in Japan

• Guaranteed Best Price & Quality

• Advanced U.S. Market Expertise

• No order too big or small - No MOQ + we regularly fulfill orders 10,000KG+

• Japanese Matcha from our vertically integrated farms and production facilities

• Aggressive lead-times to meet any production timeline

• Refrigerated shipping and warehousing = Longest Shelf Life & Freshest Matcha

Our services are approved by all major manufacturers, distributors, certifying bodies, and retail outlets. Aggressive lead-times and can meet any production timeline. We are a verticallyintegrated Japanese provider of both USDA Organic matcha, and conventional matcha. Our independent network of multi-generational farm cooperatives allow us to hit ANY price and quality your project requires. No order too large or too small or too big. From 1.1lb (500g) bags all the way to FCL (Full Container Loads). As the authoritative U.S. experts in all things matcha we offer advice and education to help you understand matcha in the context of your application as well as the history, production practices, health benefits, and anything else you want to know to help you create the most popular SKU and market it effectively to your customers.

For inquiries contact bulk@matcha.com.

Beverage Processing Industry Excellence

Mojonnier

We have a full line up of Mix Processors to handle your RTD mixing needs. Our systems’ main operation mix ratio is 1/4 - 1/5 and can achieve outputs ranging from 6 gpm (70 cans per minute) to 265 gpm (2,800 cans per minute). Our processors can be developed for small and large production operation by introducing semi-automated vs fully automated machines. All our machines have the capability of holding quality expectation by means of electronic measurement. Some of the quality points we can monitor are Mix Ratio, CO2 dosing, Brix, Dissolved Oxygen, Product Flowrate Output, and Temperature to name a few.

MORRE-TEC Industries Inc., founded in 1987, has established a leading position as a global supplier of specialty vitamins and mineral supplements for the nutrition, beverage and personal care industries. With the acquisition of the Vitacyclix business and in 2016, the company gained a unique technology for the production of water-soluble formulations for fat soluble vitamins, which is especially useful for the fortification of dairy products, functional beverages as well as other food and nutritional applications.

A complete selection of vitamins, minerals, bioflavonoids and proteins as well both vegan and kosher options are available. We welcome the opportunity to develop custom formulations of blends for your specific needs.

Mybrandforce - Activate Your Brand

Custom Branded Marketing

Nugogo

Branding Solutions

Call Nugogo for custom branded trade marketing, field marketing, sales and promotional merchandise and supplies. We provide the tools you need to elevate brand awareness, engage with customers, and increase case sales. Printed POS, Custom Product Displays, Dealer Loaders, Tents & Table Covers, Cooler Barrels, Shelf Management, Sampling/Demo Supplies, Sales Kits, Apparel, SWAG and so much more!

The future of UGC is curated.

Palm

Filling and Closing Solutions

Since 1895, Pneumatic Scale Angelus has designed and manufactured packaging equipment for filling, seaming, capping, and labeling applications. Our solutions set the standard for bottling and canning machines, scaled for the needs of a wide range of Beverage, Craft Beverage, Dairy and Food applications, and are fully supported by a global Service and Aftermarket network.

Beverage & Food Development

PTM Food

Palm is opening the doors / handing the keys to a marketplace platform that changes the way brands hire creators for UGC, sponsored posts, seeding, and photoshoot castings. We do our homework, collect and organize first-party data to make sure your search for the perfect influencers runs smoothly. Team up with an inclusive rolodex of creators who represent everything you want your brand to be!

PTM Food is your premier product development & manufacturing support firm. Our wide range of expertise, development, and creativity achieves an exciting point of difference between your product and competitors. We work hard to uncover key industry insights, developing products that have a competitive edge. Whether your project is simple or a complex one, we’re your team!

Pneumatic Scale Angelus

Sustainable Packaging Handles PakTech

Rhode Island’s #1 Beverage Co-Packer Palate Pack

Partnership Makes all the Difference

Sensient Flavors & Extracts

Sensient Flavors and Extracts offers value-added flavors, systems and extracts that bring life to products. We inspire our customers to deliver products that offer multi-sensory experiences that are “just picked from nature.” Thanks to our wide-ranging product library, development teams and cutting-edge facilities, we’re able to implement thoughtful solutions for complex challenges. With industry-leading expertise in the savory, beverage and sweet markets, we provide comprehensive solutions that meet our customers’ flavor, color, and functionality requirements. At Sensient Flavors & Extracts, we use our advanced proprietary development technologies to create fresh, unique flavor systems. Additionally, we have a complete line of masking & flavor enhancing technologies. Particularly in beverage, we have a TrueBoost portfolio that enhances mouthfeel & creaminess, and a natural extract portfolio from named sources.

We are experts in the science, art and innovation of taste. We are market-savvy influencers, grounded in facts and driven by the needs & occasion of our consumers. We are problem solvers, and you are what makes us a collaborator, and a true partner. Together, we can solve the most challenging product puzzles and together, we can make products that are delicious, craveable and truly inspired.

Ska Fabricating: System Integration & Packaging Line Automation

The Key To Commercialization

Spirits Consulting Group

Fruit & Vegetable Ingredients

Stiebs

POS POP Purchasing

TAP PRODUCTIONS

Struggling to launch a new beverage product? From cost reduction strategies to packaging, and label approvals, we'll help navigate the complexities of formulation, production, and promotional channels. Don't let commercialization challenges get in your way -- Turnkey Bev can support your brand every step of the way. Contact us today for a free, noobligation consultation.

Insurance

Specialty Food Beverage-PCI

Our team brings our spirits industry expertise and understanding to your e-commerce and digital marketing needs. BevAlc e-commerce is unlike other e-commerce in that it is highly regulated, requires 3rd party checkout apps and is a very new channel . We leverage our unique knowledge to ensure you succeed in this rapidly evolving space. Contact us to learn more.

Blending and Process Experts

Statco-DSI Process Systems

Stiebs, since 2005, has been devoted to sourcing, processing & delivering the world's finest plant-based products. We offer a full line of fruit & vegetable based ingredients as Single Strength Juice, Juice Concentrates, Purees and IQF Cubes. From the beginning stages of product development to delivering an on-going supply of premium natural products, our team is here to help you succeed.

We Make Life Taste Better

T. Hasegawa

Need a quote? For over 20 years, we have produced a variety of custom decorated materials! When we say, we have you covered for branded merchandise, we mean it! We work closely with start-up companies to national brands, in a wide variety of Industries. We produce print, displays, wearables and premium goods. Give us a call, to see how we can help produce your next amazing projects.

The Formulation Experts

Trisolutions

We work with specialty beverage manufacturers and importers covering a wide variety of beverage types to include, alcoholic, non-alcoholic, functional, energy drinks and supplements. Policy types include General Liability, Product Liability, Excess Liability, Property, Product Recall and Ocean Cargo. Very familiar with wholesale and retail insurance requirements for many major vendors.

Statco-DSI is a full-service equipment and integration service provider to the food and beverage industry, with specialties in dry powder mixing, continuous inline blending, as well as de-aeration and carbonation. Operating from 11 offices coast-to-coast, we are able to assist with all of your beverage processing requirements.

T. Hasegawa has been recognized around the world for flavor innovation that creates value for our customers and allows them to build their brand's flavor to unrivaled standards for more than a century. Our culinary passion uniquely positions new product development or enhancements for all of your food and beverage formulations.

Trisolutions is the top choice for your beverage development needs. In our applications laboratory our team develops all beverages including functional, nutraceutical and dietary supplement beverages. Your project will benefit from our 25+ years’ experience working with start-ups and multinationals, moving their beverages from initial concept to commercial reality including full scale production.

Mastering the Craft of Flavoring Sovereign Flavors Inc.

SKU Story

for Beverages

Ecom & Digital Mktg for Bevalc

Ska Fabricating

Beverage

Premium Beverage Manufacturer

USHydrations

USHydrations, located in Northeast PA, is within 500 miles of 100 million consumers. We have one million sq.ft. of production and warehouse space. Our (4) high-speed, blow & fill bottling lines are capable of producing premium, enhanced water and carbonated/flavored beverages, in multiple bottle size and pack size configurations. Certifications include SQF (Level 3), AIB, Military and Kosher.

Branding & Package Design

Watermark Design

Since 2007, Watermark has been designing award-winning designs for the beverage industry that convert to sales. We begin with your logo and brand since that needs to live separately and beyond your package, and then we create a package that is true to your story and also stands apart from the crowd.

SPECTRUM Hop Extract: All the hop flavor and aroma without the hassle!

Yakima Valley Hops

COMPANY

A. Holliday & Company Inc.

Abelei Flavors

Acid Rain Water

AIBMR Life Sciences, Inc.

All Phenoms

Almendra Americas, LLC

ALO Drink/SPI West Port Inc

American Canning

Ardor Organic, Inc.

Artemis International, Inc.

Axiom Foods

AZ Laboratories

CONTACT NAME CITY STATE PHONE NUMBER WEB SITE

Christine Renken Toronto - (416) 225-2217 teacoff.com

Mike Allegretti North Aurora IL (630) 859-1410 abelei.com

Jason Paulus Newport Beach CA (888) 399-0799 acidrainwater.com

Jared Brodin Seattle WA (253) 286-2888 aibmr.com

Christian Gerloff Redondo Beach CA (858) 361-1171 allphenoms.com

Eric Zabin Decatur GA (404) 395-0219 almendra.com

Brian Choi South San Francisco CA (650) 616-7777 alodrink.com

Tammy Duhaime Austin TX (512) 931-1226 americancanning.com

Allison Wilson Napa CA (503) 332-0456 ardororganic.com

Leslie Gallo Fort Wayne IN (260) 436-6899 artemis-nutraceuticals.com

Rick Ray Los Angeles CA (800) 711-3587 axiomfoods.com

Susan Vu Tempe AZ (480) 955-9870 azlaboratories.com

Azpack - Tempe AZ (480) 449-7770 azpack.com

Bambucha Kombucha

Beliv LLC

BENEO Inc.

Berlin Packaging

Better Booch

Jason Iuculano Vista CA - bambuchakombucha.com

Chris Han - - (646) 647-7112 belivcompany.com

Kyle Krause Parsippany NJ (003) 216-8013 beneo.com

Jason Loper Chicago IL (312) 607-6642 www.berlinpackaging.com

Ashleigh Lockerbie Los Angeles CA (323) 520-2121 betterbooch.com

BevSource - Saint Paul MN (866) 956-4608 bevsource.com

Bido Brands

Bioenergy Life Science (BLS)

BIOLIFT- InnoBev USA

Bitter Love®

BLUE BEAR

Blue Bite

Andreas Wikborg Miami FL (646) 413-4234 itsbido.com

Penny Portner Ham Lake MN (763) 746-3926 bioenergylifescience.com

Alicia Poole Sunny Isles Beach FL (816) 588-8402 drinkbiolift.com

Karen Farrell Portland ME (207) 200-5144 BitterLove.com

Alex Vialy Encino CA (818) 208-2622 bluebear.com

Andy Shartzer New York NY - bluebite.com

Blue Pacific Flavors Roya Sayyah, Lori Banks-Keller City of Industry CA (626) 934-0099 bluepacificflavors.com

Boxed Water Is Better

Robert Koenen Holland MI (616) 856-0558 boxedwaterisbetter.com

BUBBL’R Zach Lastrilla Windsor WI 6083544359 drinkbubblr.com

C & B Beverage

C4 Energy

Callisons

Camellia Grove Kombucha

Joel Gabriel Las Vegas NV (702) 591-3049 -

Ashley Alfaro Austin TX (800) 870-2070 c4energy.com

Kim Carson Cincinnati OH - callisons.com

Joe Mayol Portland OR (209) 613-6434 camelliagrove-kombucha.com

Cann Sabine van der Linden Los Angeles CA (718) 708-1087 drinkcann.com

CanSource

Robert Renfro Longmont CO (870) 329-4990 cansource.com

Cantrip Adam Terry Framingham MA (908) 868-7866 drinkcantrip.com

Caporale Consulting

CBD Living

Mark Caporale Middletown CA (707) 987-9703 caporaleconsulting.com

Sean McDonald Corona CA (800) 940-3660 cbdliving.com

CENTR Brands - - - - findyourcentr.com

Chemi Nutra

Cornerstone Strategic Branding

DEFY LLC

Chase Hagerman Austin TX (512) 823-2500 cheminutra.com

Jill Tapia New York NY (212) 686-6023 www.cornerstonebranding.com

Bennett Mark Denver CO (630) 200-9645 drinkdefy.com

Doehler North America Customer Service Cartersville GA (888) 367-8327 doehler.com

Drink Me Taste Solutions

Drink TATU

Electrolit

Farbest Brands

Rachel Dannemeyer - NV (949) 677-5369 drinkmetastesolutions.com

Jacoba Gundle Vancouver WA (503) 369-9644 drinktatu.com

Brenda De Anda Houston TX (713) 588-1635 electrolit.com

Tracey Jordan Park Ridge NJ (201) 573-4900 farbest.com

Ferm Fatale Julie Cielo Los Angeles CA (310) 713-8130 fermfatale.com

FFP Nina Hughes - - (224) 301-0790 floridafood.com

FHIRST Steven Van Middelem Gent - +3292771777_____ fhirst.com

Flavor Dynamics, Inc.

Colleen Roberts South Plainfield NJ (908) 822-8855 FlavorDynamics.com

Flavor Producers - Valencia CA (661) 257-3400 flavorproducers.com

Flavorman Spencer McGuire Louisville KY (502) 289-5549 flavorman.com

FlavorSum Brooke Hutton Kalamazoo MI (800) 525-2431 flavorsum.com

Flow Beverages Inc

Nicholas Reichenbach Verona VA (609) 206-6023 flowhydration.com

Foodarom Noémie Loiselle - - (801) 975-2604 foodarom.com

Franklin Baker, Inc.

John Slade Memphis TN (901) 881-6681 franklinbaker.com

Freemen Nutra Group Freemen Nutra Sales Edison NJ (732) 981-1288 freemennutra.com

FutureCeuticals

G.O.A.T. Fuel, Inc.

Ryan Wories Momence IL (888) 452-6853 futureceuticals.com

James Bruckner Plano TX (415) 680-8433 goatfuel.com

G3 Enterprises Catlyn Dzioba Modesto CA (209) 480-4124 g3enterprises.com

GAIA fruits

Glow Beverages Inc.

GNGR Labs, Inc.

GNT USA, LLC

Roberto Garfias San Luis Potosí - +524441595829___ gaiafruits.com

Katherine Edwards Los Angeles CA (480) 560-4802 thebrand-agency.com

Namik Soltan Brooklyn NY (347) 294-9193 gngrlabs.com

Jeannette O'Brien Dallas NC (704) 469-5555 exberry.com

Goldthread Tonics, LLC Lindsey Hurtt White Plains NY (310) 403-1425 drinkgoldthread.com

GORGIE Val Sylvester New York NY (754) 247-6515 getgorgie.com

Green Cola North America LLC

Manos Eleftheriou Hoboken NJ (201) 597-9300 greencola.com

Gusmer Enterprises - Mountainside NJ (866) 213-1131 GusmerBeer.com

Hangobi

Conrad Oberbeck New York NY (203) 249-2740 hangobi.com

Harmless Harvest Augie Watson Oakland CA (912) 414-7642 harmlessharvest.com

Hawai‘i Volcanic Beverages

Hawaiian Soda Co

Jason Donovan Princeville HI (808) 639-9394 hawaiivolcanic.com

Gina Ho Honolulu CA (808) 594-2104 hawaiiansodaco.com

Health Ade - Los Angeles CA (844) 337-6368 health-ade.com

heywell

Britt Dougherty Hinsdale IL (312) 218-7733 livingheywell.com

hidell international Henry Hidell Hingham MA (781) 749-8040 hidelleyster.com

HOP WTR - Los Angeles CA - hopwtr.com

HYDRITE

Jeff McShane Brookfield WI (262) 792-1450 hydrite.com

Icelandic Glacial Icelandic Glacial Sales Los Angeles CA (424) 201-6800 icelandicglacial.com

IFPC Mathew Brady Fenton MO (314) 422-2324 ifpc.com

Illicit Elixirs

Iron Heart Canning Co

Javo Beverage Company

Jove Wellness

Jon Valiton Excelsior MN (612) 839-3626 illicitelixirs.com

Roger Kissling - - (908) 619-5449 ironheartcanning.com

Joanne Sheean Vista IL (760) 330-1141 javobeverage.com

Tammy Hobbs Boca Raton FL (561) 706-4446 drinkjove.com

Kerry Shawn Gerstenkorn Beloit WI (608) 201-5470 kerry.com

Koe Organic Kombucha

Krier Foods

KUMU ® Beverage Company, LLC

Kyowa Hakko USA

Lagersmith Can Supply Co.

Lanxess Corporation

LEVL

LIVING MAKA PBC

LIX Brands LLC

mala girl

Bree Taylor Tacoma WA (253) 208-6309 drinkkoe.com

Nicole Depies Random Lake WI (920) 994-2469 krierfoods.com

Ryan Takabayashi Laguna Beach CA (949) 939-5281 kumudrinks.com

Maria Stanieich New York NY (155) 148-2996 cognizin.com

Nathan Smith St. Paul MN (612) 800-2169 lagersmith.com

Michael Turpin Pittsburgh PA (817) 357-5851 velcorin.com

Matthew Kemper Corona Del Mar CA (310) 987-7361 www.drinklevl.com

Brian Hill Arlington VA (202) 992-9269 livingmaka.com

Dan Margenau Sheridan CO (303) 668-0368 lixingredients.com

Raechel Barfield Orlando FL (407) 491-3334 malagirl.com

Marquis Cassandra Like Los Angeles CA (602) 418-0777 drinkmarquis.com

MATCHA.COM

McCormick FONA

Mighty POP

Matcha.com Bulk Team Tucson AZ (520) 273-2110 bulk.matcha.com

John Fishel Geneva IL (630) 578-8638 fona.com

Chris Han - - (646) 477-1126 belivcompany.com

Mojonnier Matt Brinn Streetsboro OH (844) 665-6664 mojonnier.com

Moment

Monk Fruit Corp.

Mori Leaf

MORRE-TEC Industries

Aisha Chottani New York NY (713) 504-2231 drinkmoment.com

Paul Paslaski Libertyville IL (847) 367-6665 monkfruitcorp.com

Julie Lee Los Angeles CA (917) 603-2177 morileaf.com

Maria Jewelyn Mendoza Union NJ (908) 688-9009 morretec.com

Mother Murphy's Flavors Michael Oden Greensboro NC (336) 273-1737 mothermurphys.com

Motto Beverage Co.

Tom Olcott Brooklyn NY (917) 966-6011 drinkmotto.com

MyBrandForce Chris Hughes Greenwood Village CO (312) 953-3012 mybrandforce.com

NessAlla Kombucha

Brook Hanson Madison WI (608) 358-6599 nessalla.com

Neuro Kaye Nagle-Wood Sherman Oaks CA (720) 400-0903 drinkneuro.com

New Brew

Justin Wolf Los Angeles CA (415) 309-9741 drinknewbrew.com

NEXIRA Franck Gillet Somerville NJ (908) 707-9400 nexira.com

Nirvana Super Leila Khoury Sarasota FL (310) 740-2853 feelsuper.com

NOR-CAL BEVERAGE CO

Nugogo Branding Solutions

Odyssey Wellness LLC

OLIPOP

Pete Grego West Sacramento CA (916) 372-0600 ncbev.com

Todd Gatzow Pasadena CA (626) 379-1700 nugogo.com

Margie Adelman Fort Lauderdale FL (916) 220-3500 odysseyelixir.com

Leah Dockstader Oakland CA (949) 525-3698 drinkolipop.com

Once Upon A Coconut Marc Sampogna New York NY (646) 767-6576 onceuponacoconut.com

PakTech - - OR (541) 461-5000 PakTech-opi.com

Palate Pack Sam Ronkin Lincoln RI - PalatePack.com

Palm Amanda Schulze Los Angeles CA - joinpalm.com

PATH

Gulshan Kumar Fremont CA - drinkpath.com

Perfect Hydration Bree Taylor Tacoma WA (253) 208-6309 perfect-hydration.com

Petal Sparkling Botanicals

Pizzey Ingredients

Pneumatic Scale Angelus

poppi

PTM Food

Rambler Sparkling Water

Remedy Drinks

RIOT Energy

RISE Brewing Co.

ROAR Organic

Rowdy Mermaid

Sap's

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Sensient Flavors & Extracts

Shimmerwood Beverages

ShineWater

Shrubbly

Ska Fabricating

SKU Story

SONDER ®

Sovereign Flavors Inc.

Soylent

Space Tea

Spare Tonic

Specialty Food Beverage-PCI

Spice n Nice

Spirits Consulting Group

Statco-DSI Process Systems

Stiebs

T. Hasegawa

TAP PRODUCTIONS

Candice Crane - - (847) 344-2858 drinkpetal.com

Mary Ekman Russell - (651) 797-3168 pizzeyingredients.com

Gigi Lorence Stow OH (800) 992-0491 www.psangelus.com

Sophia Sesto - - - drinkpoppi.com

Don Rodgers Wall Township NJ (888) 736-6339 ptmfood.com

Sinead Delargy Austin TX (516) 476-6055 ramblersparklingwater.com

Anne West Hermosa Beach CA (310) 408-5061 remedybrands.com

Laura Jakobsen Marina del Rey CA (206) 369-3228 riot.energy

Jessica Mahler Stamford CT (203) 561-8029 risebrewingco.com

Sofia Hexsel - FL - roarorganic.com

Arielle Madilian Boulder CO (303) 396-0498 rowdymermaid.com

Sean Curran Austin TX (908) 307-1373 sapsoriginal.com

David McLaughlin Boulder CO (303) 619-4100 satisoda.com

Rob Babikan Hoffman Estates IL (847) 558-0427 sensientflavorsandextracts.com

Josh Ahadian Boston MA (508) 662-8999 shimmerwood.com

Larry Long Bay City MI (898) 891-6513 www.shinewater.com

Matt Sayre Hinesburg VT (802) 343-6482 shrubbly.com

Elise Wright Durango CO (970) 403-8562 skafabricating.com

Joey Brennan - FL (239) 250-0663 TurnkeyBev.com

Karen Farrell Portland ME (207) 200-5144 DrinkSonder.com

David Ames Santa Ana CA (714) 437-1996 sovereignflavors.com

Chase Laws Los Angeles CA (111) 111-1111 soylent.com

Gabriel Heymann Los Angeles CA (303) 319-6853 spacetea.com

Jeremy Kaye Brooklyn NY (917) 970-0719 sparefood.com

Tom Wallace Ballston Spa NY (866) 461-0709 specialtyfoodbeverage.com

Mariya Cherk Washington, DC DC (347) 885-4737 spice-n-nice.com

Susan Mooney New York NY (212) 324-3029 spiritsconsulting.com

Randy Smith Huntington Beach CA (714) 375-6300 statco-dsi.com

Brian Nova Madera CA (559) 661-0031 stiebs.com

Mark Webster Cerritos CA (610) 400-4523 thasegawa.com

Terry Peterson New York NY (917) 880-8427 tapproductions.net

The Naked Collective Kelly Rourke - FL (813) 233-6278 drinkmude.com

The Plug Drink

The3rdBevCo Inc

Trisolutions

True Nopal Ventures LLC

Justin Kim Los Angeles CA (818) 271-9171 theplugdrink.com

Peter Scalise Ronkonkoma NY (516) 448-6009 the3rdbevcoipo.com

David Neely Vancouver - (778) 381-6060 trisolutions.ca

Tom Zummo Scottsdale AZ (480) 636-8044 truenopal.com

TWG Health and Nutrition - Lafayette LA (337) 783-3096 twghealthandnutrition.com

UPTIME ENERGY - Los Angeles CA (800) 441-5656 uptimeenergy.com

USHydrations

Victory Beverages

Volay

Watermark Design

XL Energy Drink Corp

Yakima Valley Hops

Joseph Lapchak Pittston PA (570) 655-7755 ushydrations.com

Kevin Swindell Alexander AR (901) 486-8656 DrinkVictory.com

Evan Smiga Lititz PA (717) 824-2440 volaywater.com

Darcey Lacy Charlottesville VA (434) 295-5625 watermark.design

Maja Leitner New York NY (212) 594-3080 xl-energy.com

Jeff Perkins Yakima WA (509) 245-6363 yakimavalleyhops.com

Powerade Enlists NBA Star

Ja Morant to Help “Re-Energize” Brand with New Ad Campaign

After spending years in the shadows of rival Gatorade, Powerade announced today a new 360-degree marketing campaign featuring NBA star Ja Morant that directly calls out its biggest competitor. The campaign, part of a broader effort to revamp and revitalize Coca-Cola’s isotonic sports drink as it integrates underneath the BODYARMOR business, marks its first athlete partnership in five years.

Titled “What 50% More Means,” the campaign is the largest in Powerade’s history and is centered around the theme of transformation. For Morant, this means going from an unranked high school basketball recruit to All-Star point guard for the Memphis Grizzlies.

For Powerade, it means “putting in the work to reformulate, bringing more functionality to the sports drink category,” according to a press release.

“I see a lot of myself in a brand like POWERADE,” said Morant in the release. “I know what it’s like to be underestimated and seeing the vision this team has for the future – and all the hard work they’re putting in to set themselves apart from the competition – it just feels really authentic for us to team up together and try to shake things up.”

The new $10 million marketing effort comes hot on the heels of Powerade’s unveiling of a new look and upgraded formula. Available in original and Zero Sugar the updated products contain twice as many electrolytes as Gatorade’s Thirst Quencher, with the new labels featuring a callout for “50% more electrolytes.”

The product line is available in 20 oz. and 28 oz. bottles in Mountain Berry, Fruit Punch, Grape, Orange, White Cherry, Lemon-Lime and Strawberry Lemonade flavors.

Created in 1988, Powerade was folded into The Coca-Cola Company’s BodyArmor business unit last summer. The sports drink currently ranks as the third largest sports drink in the

U.S. with an 11.8% market share, while Gatorade has a 66.8% share of the category, followed by BodyArmor with 15.2%, according to IRI 52-week data ending January 20, 2023.

Powerade isn’t the only sports drink brand ramping up its marketing efforts: last month, PepsiCo’s Propel tapped Michael B. Jordan “to introduce the brand’s next chapter,” announcing a multi-year partnership, during which Jordan will help provide resources, access and opportunities for fitness in more spaces across the country.

Powerade’s new TV spot features music from Memphis-born artist NLE Choppa and is slated to debut on Tuesday, March 14 in conjunction with NCAA’s March Madness. The brand has been a partner of the March Madness competition since 2010.

“POWERADE is a dynamic brand with a deep history, but it was time to evolve our game,” said BodyArmor CMO Matt Dzamba said in the release. “Partnering with a disruptive game-changer like Ja Morant, who truly embodies the spirit of the brand, will help re-energize POWERADE as we write the next chapter.”

C4 Energy Flips the Script on “New Year, New You” with Be You. But Better. Campaign

C4 Energy announced the launch of its “Be You. But Better.” campaign, flipping the script on the age-old “New Year, New You” ideology.

According to the brand, the year-long campaign “[leans] away from the past era of ‘in spiring’ and ‘hyping’ people up with nothing to back it up.” As part of the campaign, C4 initiated its No Sh!t No Quit training program created in partnership with Kevin Hart’s trainer, Ron “Boss” Everline.

The training program will invite 100 people “willing to give 100 percent dedication to their fitness routine for the entirety of 2023.

Led by Everline and supported by a squad of C4 trainers, including Kaisa Keranen, Thoren Bradley and George Bamfo Jr., the program will consist of regular training sessions, daily check-ins, 1:1 support from the talent team, early access to new launches and free product.

MALK Highlights Simple Ingredient

Roster in New Farmers Market Ad

MALK’s recent $9 million round was all about funding more distribution, but the alternative dairy brand’s first task for 2023 is driving awareness via a new commercial, Farmer’s Market.

Created in partnership with Austin, Texas-based creative agency Door No. 3, the 30-second ad was filmed at a farmer’s market and features real consumers.

In the video, shoppers are presented with two unlabeled cartons of almond milk, one from MALK and the other from one of the brand’s leading competitors.

The front of the cartons feature an ingredient list; MALK’s list containing three ingredients (filtered water, organic almonds and Himalayan pink salt) and the competitor’s list containing a multitude of ingredients (filtered water, almonds, calcium carbonate, ascorbic acid and more). All shoppers choose the milk with the shorter ingredient list, which is revealed to be MALK.

Additionally, the ad showcases that MALK products contain no gums, fillers, oils or carrageenan.

“As consumers continue to migrate to plant-based milks and clean ingredient panels, we want to increase awareness of what we offer with MALK,” a brand representative told BevNET in an email.

The new video comes as part of MALK’s greater #turnitaround campaign, which encourages consumers to turn around the products they are purchasing and pay closer attention to nutrition labels and ingredients. The brand launched the campaign in April, highlighting the backside of its packaging as its “best side.”

The Farmer’s Market ad is now airing on Amazon, Hulu, YouTube and TV with the longform spot slated to launch on MALK’s social media channels in the near future.

Pepsi Celebrates Super Bowl LVII With Locals-Only Party in Phoenix

When Super Bowl LVII touched down in Phoenix, Pepsi offered something special exclusively for Arizonians.

Dubbed the The Pepsi Big Game Bash, the brand’s first “locals only” party transformed Phoenix venue Walter Studios “into a southwestern football fan’s paradise” with special guests and artists, custom curated spaces created by Arizona muralists, southwestern-favorite dishes and a Pepsi Blue Bar with custom signature cocktails.

“When Super Bowl LVII arrives in Phoenix, so will thousands of football fans from all over the world,” said PepsiCo beverages North America west division president Johannes Evenblij in a press release. “As a member of the Phoenix community for more than 50 years with thousands of employees who live and work here, Pepsi knows how to create an authentic, unforgettable experience for locals better than anyone else.”

Fift y grand prize winners were selected to claim a spot on the guest list for themselves and three friends.