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Saint James Iced Tea is well along in its transition to DSD as it readies summer sampling blitz that should dispense over 1 mil of its distinctive aluminum bottles to consumers around US. This of course is organically certified brand launched by estranged AriZona cofounder John Ferolito that earlier transitioned from Tetra Pak format to Ball's Alumi-Tek resealable aluminum bottle, all backed by robust level of spending from brand's inception in 2021. It's named for a childhood mentor of founder's. Among its most popular flavors are Red Raspberry, Classic Mango, Pineapple & Mango, Blood Orange & Hibiscus and Passion Fruit & Peach. Word of heavy activation ahead comes as co has just launched a Half & Half extension that had been in development over a year, thru 30+ renditions, as cofounder/CEO Brad Neumann told us yesterday. Key launch had been teased ahead of its May 14 official launch, with 25K+ bottles dispensed at Stagecoach Fest in late Apr, as brand now heads into national sets at Kroger, Safeway/Albertsons, Target and Walmart as "our hero sku of summer," as Brad styled it. All told new entry has landed 7,500-8K doors via resets and new biz. At time lotsa brands are tapping into consumers' nostalgia for simpler, less contested times, entry seeks to establish early-1990s "summer-at-the-lake" vibe, Neumann noted. It was crafted - with Ferolito's heavy involvement - from organic black tea from Assam, India, along with fruit flavors and organic lemonade with sweetening via organic cane sugar and stevia, for 4 g sugar (20 calories) per 16-oz bottle. Front label sports a glass pitcher of tea to stoke that nostalgic vibe. It's centerpiece of ambitious marketing campaign dubbed "Summer as It Should Be," that will have branded ice cream trucks playing Southern Calif, NY and Chicago, the latter proving an unexpectedly strong market for brand. Effort starts this weekend with blitz on Windy City's popular North Avenue Beach that will feature summer-y activities, merch giveaways and of course heavy sampling. The campaign will tap into brand's broader premise of "Iced Tea as It Should Be," referring to simple list of ingredients and moderate sugar content. In contrast to AriZona thru most of its 3-decade history, Ferolito hasn't hesitated to spend on marketing and ads, cooking up partnerships with trendy brands like Juicy Couture (for Juicy Peach LTO last fall). Recall also how a series of marketing stunts with White Lotus franchise lit it up last year (BBI, Mar 6 2025). All told, Neumann said co will hand out over 1 mil bottles during summer season. Among other key innovations, Saint James just launched its first 4-pks last month. It's also prepping its first line extension, tho Brad wasn't ready to offer any hints yet. One thing seems likely: it won't be a functional entry along lines of some of its stablemates in retailers' proliferating "modern tea" collections. "I'm wary of jumping into unnecessary functionality" via adaptogens like ashwagandha or similar ingredients, said Neumann, a Red Bull and Roar Organic vet who shares CEO duties with Brenden Cohen, who until last fall also ran Ferolito's D'Angelica Guitar and Supro amp businesses. Saint James brand's core premise is that tea on its own is good for you and functional. As noted earlier, brand finally has made decisive commitment to DSD after partnering with just a handful of houses in key markets, including Manhattan Beer in NY, Classic (now Sunset) in LA and Columbia in Pac NW. Under leadership of Tom Kurtz (whose brother Ken has established extensive DSD network for rival Ryl Tea brand), co has spent past 8 mos going coast to coast, adding 85 partners via a mix of Anheuser-Busch, Molson Coors, NA-only and wine & spirits operator Southern. Kurtz is aiming for over 100 by end of Jul. Broadliners UNFI and KeHe remain in mix. On beer side, houses include Sunset sibling Lakeshore in Chicago, both members of Hand Family Cos, along with likes of Westside and Ajax-Turner. The DSD buildout in turn is making C&G channel a real opportunity - something it never could have been with Tetra Pak as packaging format, Neumann noted. That's now regarded as the biggest oppty for this year and next, with Dr Pepper Snapple Group vet Larry Anderson just recruited as sr dir of sales for c-stores, after 6-yr run at KDP-aligned Nutrabolt. As Saint James continues to refine its channel strategy, it's evaluating whether some diversification of packaging mix may be useful, whether a smaller Alumi-Tek bottle or perhaps a can. Still, as Brad reminded, that bottle is regarded as key differentiator for brand as only resealable option that's not in glass or plastic. By contrast, Tetra wouldn't have brought any economies of scale and production of 500-ml size was continually constrained. Among Alumi-Tek's other advantages, it keeps the liquid cold 5X longer than Tetra and is 100% recyclable. The packaging pivot has paid off, he noted, with the aluminum bottle generating 3.5X the velocity of the Tetras. Tho C&G channel is big oppty, there's still plenty of upside in grocery and other channels. Its ACV is still a miniscule 28-29% range in MULO. Even so, brand expanded from 3 Kroger banners to all banners as of May and it's launching its first natl program at Costco this summer. Full portfolio is carried by Walmart, CVS, HEB and HyVee. One elusive target remains Whole Foods, which CEO acknowledged has been a frustration. Last year, he noted, natural grocer didn't even review the category for 2026. But Saint James remains a close fit with that retailer's ethos, he believes. "Modern tea"? Almost every retailer is talking to Saint James about establishing a tea equivalent to modern soda, he said. Tho other tea upstarts generate more coverage than Saint James, which is content to operate under the radar, there has not been a faster-growing iced tea in 4-wk SPINS scans in past 18 months, whether measured in $$ or units, Neumann asserted. As founder of Ryl Tea noted to us on Tues, by now those modern teas collectively have begun to offset the continued declines of legacy brands (BBI, Jun 2).

STRATEGY: Saint James Preps 1M-Bottle Sampling Blitz as Half & Half Opens More Doors; DSD Transition Well Along with 100 Partners Targeted by Jul

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