As several up-and-coming beverage alcohol categories gain steam and consumer preferences shift, major players are adapting their portfolios through mergers and acquisitions. In this video, Ryan Lake, Principal, Arlington Capital Services, LLC member FINRA/SIPC, discusses the current trends driving M&A in 2022. Lake discusses the categories that are on the rise, the latest trends in packaging, and new technologies like e-commerce. He also discusses the mechanisms behind these investments and what all of this means for independent brands.
Lake advises, “You need to have an idea of where the consumer is today, where they’re going to be in a year, five years, etc. Because if you’re not building your brand or your company for where the consumer is going you’re already getting left behind. So make sure you’re watching the trends, trends that go beyond spirits, trends that go beyond spirit RTDs, and trends that go beyond beverage alcohol. See where the consumer is going in non-alcohol and food, see where they’re going in other parts of their life and try to figure out what that means for a spirit or spirits-based brand.”
Spirits continued to lead the way in product introductions in the month of August. The month was highlighted by a few new whiskies and a couple of tequila products, including a new tequila soda from Casa Azul. Of course, celebrities continued to enter the game as well, with Joe Jonas launching a canned sangria in partnership with Ohza. Below is Park Street’s full product release recap for August 2022.
Breckenridge Distillery to Drop Two New Denver Broncos Bourbons
Colorado-based Breckenridge Distillery has revamped its official partnership with the Denver Broncos in the form of two new limited-edition Mile High Bourbon Blends. To make the new offerings, Breckenridge Head Distiller Hans Stafsholt and Founder Bryan Nolt teamed up with Broncos’ alumni to see who could blend the better bourbon. The bottles pay homage to the Broncos’ Mile High Era, bottled in blue or orange formats that feature the football team’s 1962 logo. The new offerings are bottled at 86 proof and contain 43% ABV.
“Last year we released our first collaboration with the Denver Broncos and the Broncos Bourbon blends were not only a hit with our Colorado fans, but the whiskey industry as a whole,” noted Nolt. “We’re so excited to continue our partnership with the Broncos and bring Broncos and whiskey fans across the country our latest release of the Mile High Blends to enjoy this season.” (Source)
Joe Jonas Adds Some Sparkle to Sangria Season
Popstar Joe Jonas has teamed up with ready-to-drink brand Ohza for the release of two new Fizzy Sangria’s. The latest celebrity partnership in this space brings with it two sangria-based SKUs: red and white. The new canned beverages will feature in 4-pack formats containing 12-ounce cans and will retail for $10.
Reflecting on the partnership Jonas said, “I am so pumped to bring Fizzy Sangria to life alongside the team at Ohza. Sangria is my favorite beverage and I’ve been perfecting my recipes for years, serving to friends and family poolside and at any gatherings. I look forward to having a lot of fun supporting and building the brand.” (Source)
Angry Orchard Launches High-ABV ‘Hardcore’ Dark Cherry Cider
As summer begins to slip away, hard cider maker Angry Orchard is getting ready for fall with the unveiling of Hard Core Dark Cherry Apple Imperial Hard Cider. In what is the booziest product the brand has rolled out to date, Hard Core Dark Cherry Apple arrives in 100z cans containing 8% ABV. With a full variety pack coming later this year, the new cider currently features flavors like sweet, crisp apple, and tart cherry. The new offering will hit retail locations nationwide this month in 6-pack formats.
“Through the years, Angry Orchard has been synonymous with offering deliciously bold ciders that feature real fruit. As drinkers shop in the increasingly crowded alcohol space, they’re looking for offerings that deliver on flavor, ingredients, and ABV to provide more value,” noted Kelli McCusker Head of Marketing for Angry Orchard. (Source)
Old Overholt Releases 4-Year-Old Straight Rye Whiskey
Beam Suntory’s Old Overholt, a brand featured in at-home bars and on-premise locations throughout the country, announced the release of a 4-Year Old Straight Rye Whiskey. The rollout extends the current age statement of its signature rye from three years to four, a return to the brand’s 1942 original age statement, and marks the discontinuation of the three-year SKU. The offering contains notes of rye spices and pepper and tastes of coffee, char, and dark fruits on the palette. Old Overholt 4-Year Old Straight Rye Whiskey is currently in stores nationwide at $19.99 per 750mL bottle.
“Bringing the age statement back to 4 Years allows us to provide a more tried-and-true version of Overholt we know and love. Neat or in a classic cocktail, the 4 Year really shines, and we’re excited to give our friends and fans something ‘new’ to enjoy,” said Tim Heuisler, American Whiskey Ambassador for Beam Suntory. (Source)
High Noon Adds New Hard Seltzers to Lineup
E&J Gallo’s High Noon has launched two new flavors into its existing lineup of hard seltzers. High Noon Pear and High Noon Cranberry will join the brand’s 11 other varieties of vodka-based seltzers currently available. In a press release, the brand described the Pear SKU as crisp and tangy-sweet while the Cranberry offers bright fruit flavors with real cranberry juice. The offerings are now available nationwide in new ‘Tailgate’ eight-pack formats, retailing at $19.99 a piece.
“High Noon is focused on elevating the hard seltzer category and encouraging fans to trade up their hard seltzer options and experiences. The debut of the Tailgate Pack, along with the High Noon Solar-Powered Cooler, is the perfect way to kick off one of the best parts of fall, and give our fans the most premium tailgate experience,” stated Gallo’s VP of spirits Brandon Leib. (Source)
Bacardi Unveils New Limited-Edition Premium Variant
To close out national rum month, global supplier Bacardi has added a second installment in its limited-edition cask finish series with the release of Bacardi Reserva Ocho Rye Cask Finish. The new offering is the second of five unique variants that will be released every August through 2025. The Bacardi Reserva Ocho Rye Cask Finish contains notes of caramelized brown sugar and vanilla and is aged in American oak barrels for 12 years before it’s finished in rye barrels for two months. The new premium rum is available for purchase nationwide in 750mL formats at an SRP of $32.99 per bottle.
“Rum is in a unique position because it has a natural warmth that invites conviviality and connection, unlike other dark spirits on the market. Whether you’re an experienced drinker or someone new to rum and dark spirits in general, you can easily celebrate that special occasion with BACARDÍ Reserva Ocho Rye Cask” noted Lisa Pfenning, Vice President of Bacardi North America. (Source)
The Debut of Fiero Habanero Tequila
In a push to capitalize on the popularity of both agave spirits and infusions, San Francisco-based Hotaling & Co. has introduced Fiero Habanero Tequila. The all-new artisanal agave spirit is infused with habanero peppers sourced locally from Jalisco farmers’ markets to yield one of the spiciest tequilas on the market. The new offering is available across the U.S via major retailers and ReserveBar in 750mL formats for an SRP of $29.99.
“Spicy foods continue to rise in popularity, as is a thirst for high-quality tequila. With its authentic Mexican heritage and groundbreaking heat, Fiero Habanero Tequila speaks to two popular trends in U.S. dining and bar culture – the hunt for heat and the thirst for top-quality agave spirits,” said Brian Radics, Chief Marketing Officer at Hotaling & Co. (Source)
Four Roses Unveils Limited Edition Small Batch Bourbon
The Kentucky-based distiller has launched its annual version of the limited edition expression: Four Roses 2022 Limited Edition Small Batch. This blend is bottled at 109 proof and features four different Four Roses recipes aged between 14 and 20 years being produced via a no-chill filtering process. The new iteration features aromas of brown sugar and dark cherries with notes of apricot and light cinnamon on the palate. The premium offering will roll out 14,100 hand-numbed bottles nationally for an SRP of $179.99 per 750mL bottle.
“From the beginning of crafting this year’s limited edition small batch bourbon, two particular batches stood out to me as potential candidates to go into the blend: a 14-year-old recipe batch that is remarkably smooth and rich on the palate, and a 20-year-old recipe batch that exhibits the best fruit barrel and spice qualities of extra aged bourbon. The test blends revolved around those two batches until we landed on a liquid with a perfect balance that is unique, layered, mellow, and elegant,” noted Brent Elliott, Four Roses Master Distiller. (Source)
Modelo Rolls Out Chelada Variety Pack
Anheuser-Busch InBev’s Group Modelo is building off the momentum of cerveza-style beers by rolling out a new Chelada Variety Pack. The format will feature four fruit-flavored ready-to-drink cans that include varieties like Mango and Chillie Peppers, Orange and Chillie Peppers, Lime and Salt, and Pineapple and Chillie Peppers. The brand’s first variety pack contains 12oz cans that each hold 150 calories and 3.5% ABV. The lineup will be available for an SRP of $17.99 nationwide. (Source)
Casa Azul Launches New Tequila Soda
Tequila brand Casa Azul is the latest brand looking to disrupt the ready-to-drink space with the release of its Casa Azul Tequila Soda. The new offering looks to set itself apart from malt-based beverages by using real spirits. Looking to align with the better for you movement, the canned beverage contains 100 calories per can, less than 1g of carbs, and has 5% ABV. The RTDs will be available in Watermelon, Peach Mango, Strawberry Margarita, and Lime Margarita offerings. Sold in single flavor 4-pack formats, the new line will be sold in select markets for an SRP of $12.99.
“Many traditional tequila drinks in cans today, like margaritas or ranch waters, don’t even have actual tequila in them. Even more confusing, they call out “agave” but they’re talking about agave syrup. With the launch of Casa Azul tequila sodas, we’re showcasing an unwavering desire to bring a superior product to the RTD space,” noted Lance Collins, Founder of Casa Azul. (Source)
There is no shortage of ink spilled covering the popularity of tequila, hard seltzer, and RTD products, but to only focus on the splashiest categories is to ignore the opportunity within smaller alcoholic beverage categories that are growing in the U.S. market. We’ve put together some of the sub-categories that are experiencing exciting momentum and development in 2022.
Hard Teas Align with Consumer Preferences
Previously dominated by malt-based products, the hard tea category is getting a fresh boost from spirit-based products. The popularity of hard tea products coincides with a few consumer-based trends in the wider alcoholic beverage market, including increased interest in canned drinks that capture better-for-you elements and lower alcohol content.
The market value of hard iced tea is expected to reach $2.47 billion this year and the segment is expected to reach a value of $14.5 billion by 2030 with a compound annual growth rate (CAGR) of 24.7% in that timeframe, according to Grand View Research. That forecast is supported by Nielsen’s 2022 Mid-Year Review which indicated that hard iced tea products are highly sought-after, with 55% of those surveyed saying that they have tried or would try the category. This interest outperformed other popular emerging categories like non-alcoholic and CBD-infused drinks. Of the categories surveyed, hard teas also generated the smallest portion of people who said they wouldn’t try the category at only 35%.
2022 has brought with it new heights for the sparkling wine category. Traditionally a product for celebratory occasions, sparkling wines have transitioned into a staple of many regular drinking occasions, as well as a key ingredient in many cocktails.
According to Drizly’s Bev-Alc Insights, sparkling wine has been the fastest growing sub-category in the wine segment over the last two years. Champagne and prosecco in particular are driving growth for the category. Champagne growth slowed significantly during 2020 but the category is back to pre-pandemic growth. While Champagne is a mainstay in sparkling wine, prosecco is a hot commodity as volumes grew 25.4% in 2021 and the dollar value for the average bottle exported rose by 4%, according to Wine Industry Network.
One of the most promising avenues in beverage alcohol lies within the low & no beverage movement, as the U.S. picks up on this category that has long been popular in Europe. In a 2022 survey conducted by Nielsen, 50% of consumers said they either have tried or would try non-alcoholic drinks on-premise. Further, 56% of respondents noted that they have or want to try low-calorie drinks, with CBD drinks generating interest from 45%.
This space is providing opportunities for big and small beverage companies alike. Large-scale brewers like Anheuser Busch have introduced non-alcoholic versions of existing SKUs, while independent alternative brands are taking off as well, particularly within emerging segments like CBD, functional beverages, and non-alcoholic spirits. Significant opportunities exist for small brands to become market leaders in these underdeveloped categories.
The global market for low and no is currently valued at $10 billion, according to IWSR. Volumes are projected to grow at a CAGR of 8% between now and 2025.
The proliferation of super premium spirits has been a trend for years driving the growth of the overall spirits category, due in part to the rise in at-home consumption and more premium products on the market.
While the growth of fine and rare has slowed this year with off-premise super-premium spirits shares returning to their 2021 levels, long-term projections for this segment are bright. Moving forward, volumes for premium and above spirits are projected to grow by 25.6% from 2021 to 2025 according to IWSR.
Premium wine in particular has increased its value by 6% in the 52 weeks ending in June 2022, according to data from IRI’s mid-year report. Similarly, premium spirits have upped their value by 2% in that same timeframe. Growth in super-premium spirits has been driven by tequila and whiskey, with these categories showing the most growth in their share of premium products since 2019.
Although Soju is one of the most widely consumed spirits in the world, the Korean spirit has only recently made headlines in the U.S. for the first time as interest in Korean culture has been piqued. With a lower ABV than most spirits, the spirit is appealing to consumers looking for options with lower alcohol content. Gen-Z is the demographic which has gravitated most towards this up-and-coming spirit that is poised to continue growing. According to Drizly’s Bev-Alc Insights, the spirit takes up a 0.2% share of the spirits category and is expected to grow at a CAGR of 0.4% between now and 2025.
This growth of Sotol marks the increasing diversification of the agave sector, with adjacent spirit varietals like it receiving continual investment and fueling consumer curiosity. Although it is riding the wave of popularity from tequila and mezcal categories, Sotol is not made from agave but a desert shrub known as Dasylirion Wheeleri. Areas in Texas, New Mexico, and Arizona are becoming hotspots for this up-and-coming category, serving as viable areas of production as the U.S. has not formalized a denomination of origin for the product.
July was a busy month for new whiskies, led by Jack Daniel’s highest-proof whiskey ever and a new series from Bob Dylan’s Heaven’s Door brand. Overall, the ready-to-drink market still saw several name brands jump into the game, with Hard Rock introducing its own spirit-based RTDs and Dos Equis unveiling a new offering. Below is Park Street’s full product release recap for July 2022.
Copper & Kings Releases First-Ever Bourbon
Louisville-located Copper & Kings distillery, known for its brandy and gins, has released its first-ever bourbon. In a move to help drive on-premise traffic, the new Copper & Kings Bourbon is only available through a tasting room experience at the distilleries brick and mortar location. The bourbon is aged for five to six years and finished in brandy barrels, opening with notes of dried fruit and caramel on the nose and tastes of dried apricots and honeysuckle.
Guests attending the “Bottle-Your-Own-Bourbon” experience will get to choose between grape and apple brandy cask finishes, filling their selection straight from the barrel. The bottles are presented in cask-strength 750mL formats for $65 a bottle and $35 for the tour itself. (Source)
Chopin Brings USDA Organic Rye Vodka to the U.S
Polish-based Chopin Vodka has released its first organic vodka into the U.S. market: Chopin Rye Organic. The single ingredient vodka is made from a fully organic heritage rye variety called Dankowskie Ruben that is locally sourced. The product follows strict ecological production requirements and is distilled for 6 months. The vodka will be available for purchase at select retailers in Florida, California, Washington, Texas, and Colorado in 750mL formats for $34.99 a bottle.
“We have taken this mission a step further with Chopin Rye Organic Vodka. We feel the timing is right for Chopin Rye Organic as it is a natural continuation of our commitment to only using the highest quality ingredients for our customers and the environment, at a moment when consumers are increasingly awakened to what they eat and drink” noted Tad Dorda, CEO of Chopin Vodka. (Source)
Jack Daniel’s Unveils Its Highest Proof Whiskey Ever
Brown Forman-owned Jack Daniels has released its Small Batch Special Release Coy Hill High Proof, its highest proof whiskey to date. The new offering is batched at five different proof points in around 55 barrels that were matured at the highest levels of elevation of the Coy Hill warehouses. Tasting notes for the new product include burnt sugar, cooked fruit, and oak flavors. The exclusive whiskey will be available for purchase at the distillery and Tennessee retailers in 375mL formats for $55 a bottle.
“We batched the barrels to craft unique profiles at five proof points highlighting the characteristics of this special liquid and developed a new higher compression cork specifically designed for this expression,” said Jack Daniels master distiller Chris Fletcher. “It’s an exciting time at Jack Daniel’s as we continue to push innovation and experimentation in our whiskey-making while showcasing everything the Jack Daniel Distillery has to offer.” (Source)
Sonic to Release Hard Southern Sweet Tea & Hard Slush
Following the success of its hard seltzer launch earlier this year, Sonic, in partnership with COOP Ale Works, has released two new SKUs: SONIC Hard Southern Sweet Tea and SONIC Hard Slush. The Hard Southern Sweet Tea will contain an ABV of 5% and retail in 12oz can 12-packs as well as single can 24oz formats. The 6% ABV Hard Slush will appear in Cherry Limeade, Watermelon, and Blue Rasberry varieties. The new offerings will be available at retail locations across 38 U.S. states.
“After tremendous support and response from across the country for SONIC Hard Seltzer, it became clear that the SONIC fan is enjoying the experience of their favorite SONIC beverages in adult form. Adult Hard Tea and Adult Hard Slush are natural brand extensions, and we are all excited for our fans to be able to try these amazing flavors,” noted Sean Mossman, President of COOP Beverage Works. (Source)
Hard Rock Unveils Spirits-Based RTDs
The internationally recognized hospitality brand, Hard Rock International, has launched its new line of ready-to-drink canned cocktails. The new rollout includes three varieties: Mojito, Moscow Mule, and Margarita: all of which were inspired by the on-premise cocktails at the brand’s brick-and-mortar locations. The new line will appear in single flavor 4-pack formats as well as mixed flavor 6-pack formats which will retail at $12.99 and $19.99 respectively. Each 12oz can contains 8% ABV.
“We’re excited to further extend the brand into the fastest growing spirits category of RTD cocktails offering our international fan base the chance to bring Hard Rock home,” said Kimberly Manna, senior vice president of retail and licensing for Hard Rock International. (Source)
TRUE Believers is Bringing its Sustainable Craft Spirits Portfolio to the US
In partnership with ecoSPIRITS, True Believers have launched its craft spirits brands in the U.S. market. The company has brought in Chris Hopkins and his group Drinx+ to lead U.S. growth and connect the True Believers portfolio to national distributors and retailers. Park Street has also signed on as the exclusive import partner for True Believers and will help bring the companies Tried & True Vodka, Widges Gin, Mackintosh Blended Malt Whisky, and Arquitecto Tequila brands into the California, New York, and Flordia markets.
“We created these brands to be quality craft spirits for industry professionals. True Believers will be some of the first brands to launch using the ecoSPIRITS technology in the USA which is scheduled to kick off in September. This will allow us to bring true craft products to the house pour market and we can’t wait to see how bartenders react,” noted Zdenek Kastanek, Managing Director USA for ecoSPIRITS. (Source)
Barefoot Wine Unveil Lower-Calorie Wines
Major wine player Barefoot Wines added three new low-calorie SKUs to its existing lineup. The release will feature three varieties: Bright & Breezy Pinot Grigio, Chardonnay, and Rose. Catering to a consumer base more concerned with health-oriented products than ever, the new offerings are meant to be fruit forwards and light-bodied with a clean finish. Each wine in the rollout contains 70 calories, and two grams of sugar, and comes in at 6% ABV.
“Barefoot Bright and Breezy is a great example of us widening our offerings, as these additions are delicious, light-bodied, and lower-calorie. Similar to our other varietals, Barefoot Bright and Breezy wines are crafted to be fruit-forward, food-friendly wines that consumers can enjoy at home or together with family and friends” noted Barefoot winemaker Jen Wall. (Source)
Dos Equis Cans Margarita Classic Lime RTD
Heineken-owned Dos Equis has joined the RTD party with the launch of Dos Equis Margarita Classic Lime. The new ready-to-drink canned cocktail is part of a recent push by the Dos Equis brand to expand its portfolio of agave spirit products. Made with Blanco tequila, the new offering contains 10% ABV in each 12oz can. The new RTD will be available in 4-pack formats in 8 U.S. states, expanding to 10 by September.
“We are excited to bring our first ever spirits product, Dos Equis Margarita Classic Lime, to the U.S. market which spotlights our commitment to innovation at Heineken USA and Dos Equis. Dos Equis is a credible quality brand born in Mexico, and we wanted to bring the excitement that consumers have for a traditional margarita to a can to save them the time and hassle of having to make it themselves” said Hannah Dray, Dos Equis brand director. (Source)
Bob Dylan Launches Heaven’s Door Decade Series
Heaven’s Door, the American whiskey brand of Bob Dylan, has launched a limited edition lineup: the Decade Series. The Heaven’s Door Decade Series has been in the works for some time with its founders’ hand-selecting barrels from small producers across the country 10 years ago. The Decade Series Release #01 is the first of this rollout and comes in the form of a high-rye 10-year straight bourbon whiskey. On the nose, the whiskey gives hints of maple and butterscotch while one tastes toffee and bitter chocolate on their palate. The 50% ABV offering will be available to purchase nationwide through ReserveBar at SRP of $99 per bottle.
“We’ve been patiently waiting on our barrels of aged liquid to mature to the optimal flavor profile for many years, and we are thrilled to release them for our fans to enjoy. When we sourced these barrels from our industry partners years ago, the product was phenomenal, but we purposely let some of them sit for several additional years to get even better” noted Heaven’s Door Master Blender Ryan Perry. (Source)
Constellation Debuts Woodbridge Wine Soda, Aiming To Attract New Drinkers
In a move aimed at introducing U.S. consumers to a new category, Constellation Brands is rolling out a line of wine sodas: Woodbridge Wine Soda. The new offerings will initially appear in three varieties: Grapefruit, Lemon Lime and Orange Soda. According to Impact Databank, Woodbridge is the fifth largest wine brand in the U.S. and is looking to replace its wine seltzer line which was discontinued last year. The 250mL cans will appear in 6-pack variety formats, retailing nationwide for between $11-13.
“We know many drinkers want something other than traditional varietal wines, which inspired us to create Woodbridge Wine Sodas to provide consumers with a new way to experience and enjoy wine that is less formal and more fun,” noted Woodbridge brand vice president Serena Shrivastava. (Source)
Casa Lumbre Debuts ‘First’ Premium Cristalino Mezcal
Cristalino Mezcal, a category building serious momentum in the agave world, is getting its newest entrant with news that Casa Lumbre will roll out its Contraluz Cristalino. The premium artisanal mezcal is made using a novel filtration process that uses activated charcoal to process Espadin agave, that the brand ages for six months in American oak barrels. The result is a clear, smooth liquid that retains the true character of traditional mezcal. The new expression is currently available in 9 states across the U.S. for an SRP of $59.99 per bottle.
Casa Lumbre CEO and co-founder Moises Guindi said: “Contraluz exemplifies the standard we so proudly set out for ourselves since day one. This addition to our portfolio is deeply grounded in the cultural authenticity and artisanship that is emblematic of our company, and embodies our spirit of innovation.” (Source)
Old Forester’s Next Release in the 117 Series: Whiskey Row Fire
Heaven Hill-owned Old Forester is back with the newest edition in its The 117 Series: Whiskey Row Fire. The new offering pays homage to the 7th anniversary of the fire on Whiskey Row which nearly destroyed this historic section of Louisville. The limited edition lineup, which debuted last spring, uses barrels that were filled the day of the fire, hand-picked by men and women of the fire team which fought the blaze.
Whiskey Row Fire has notes of sweet honeycomb on the nose and tastes of brown sugar and vanilla. Bottled at 100 proof, the expression is available this July through the brand’s online store at an SRP of $59.99. (Source)
Ready-to-drink brands continue to innovate in order to serve consumer trends, which means category lines are constantly blurring and new practical considerations must be made. In the first presentation from our panel on Reclassifying Ready-To-Drink, Heather Boyd, Managing Director of U.S. RTD at Beam Suntory broke down the major players and innovations driving the RTD segment and how emerging brands can navigate new hot spots for litigation.
“Depending on the base, you can be regulated by the FDA or TTB and their regulations aren’t necessarily consistent,” said Boyd. “And it hasn’t necessarily caught up to what we’ve seen from a consumer litigation standpoint, where oftentimes you can be completely compliant within your regulatory realm, but consumers can be calling you out on transparency.”
Britt West, Vice President of Spirits at E&J Gallo, followed by projecting the aspects of RTDs that will influence the acceleration of the U.S. spirits market. West explained how the spirits category can catapult its anticipated growth into a dominant market share. West revealed that market and wholesaler access will be key to the category’s advancement and how RTDs are opening new doors for spirits.
“Don’t make the argument about taxes, make the argument about access,” suggested West. “Because when we get access right we do things that are good for brands, we do things that are good for state revenue, and we do things that are good for our consumers.”
In his presentation, Tony Gaines, CEO of Stewarts Enterprises, traced the RTD explosion from its roots into the present. He explained how the origins of this trend translate to innovating a popular RTD product in the modern market. Gaines covers the key statistics to know about the categories growth and trends driving the segment, while also providing a glimpse into how Stewart’s Enterprises leveraged Hard Rock Cafe’s brand identity into RTD products that perform well at retail.
“As you see, competitiveness is getting harder now,” noted Gaines. “You’ve got Coke, Pepsi getting into the business and other ‘non-traditionals’, if you will, getting into the business. So it’s going to get bigger and become more of a beverage category as opposed to just a spirits, wine, and beer category.”
Joey Mintz, Co-Founder of Siponey, closed out the panel by discussing how his RTD brand found success by mirroring consumer driven trends. Mintz explained how Siponey went about differentiating themselves in the early days of the RTD craze. He noted that the key was his brand’s special attention to quality ingredients and transparent advertising.
“We are just focusing on a small amount of SKUs because we think that’s what the consumer wants,” said Mintz. “We know it’s important to have unique recipes so the two SKUs we have right now are not something you can get in a can from anyone else. This is only that we have made and we think that’s most interesting to consumers, as well.