Is yerba mate finally ready for prime

time? PepsiCo is about to find out with launch of entry under its mass-appeal Brisk trademark, using flamboyant

tropical-themed graphics to draw attention on-shelf. New brand is launching in handful of western US markets in

16-oz cans in Mango, Dragonfruit and Cherry flavors, each carrying 90 calories per can. Callout on can instructs

uninitiated that South American ingredient is pronounced “mah-tay.” “Yerba Mate has been enjoyed in South

America for hundreds of years because of its energizing qualities,” said marketing mgr Mandy Mazzeo. “Brisk

Mate gives Brisk fans what they’ve been asking for, a smooth energizing iced tea with the great-tasting, bold

flavors they expect from Brisk.” Tho indie player Guayaki has carved out durable franchise in yerba mate over

the years, ingredient has been a challenge for broader tea players. Recall that Honest Tea tried yerba mate

offering some years back that proved short-lived. The markets getting brand are Houston, Dallas, San Antonio,

Phoenix, Portland (Ore), Las Vegas and Denver. PEP said launch will be stoked via online campaign that seeks

to motivate users and their friends to pursue their passions together, thereby igniting the “Power of the Tribe.”

Among interesting factors in launch is that PEP chose Brisk banner rather than more refined (but rigorously tea-

based) Pure Leaf banner, which reaches more sophisticated consumer base.

Big Food’s hopes of heading off patchwork of anti-GMO laws at

state and local level suffered setback in Senate yesterday as procedural vote failed to produce 60 votes needed to

keep it moving forward. Supporters harvested only 48 votes vs 49 opposed. “Unfortunately, the impact of these

decisions will be felt across the country,” sponsor Pat Roberts, a Kansas Republican, said after vote. “Those

decisions impact the farmers in fields who would be pressured to grow less efficient crops so manufacturers could

avoid these demonizing labels.” Push by congressional Republicans led by Roberts was heavily backed by

Grocery Mfrs Assn and its allies, who’re spooked by law effective Jul 1 in Vermont that requires disclosure.

Compliance in Vt will be enough of a pain, but fear is that broader array of states will move to adopt GMO

disclosure regs, imposing big labeling and other burdens on national brands. Conn and Maine also have passed

GMO labeling laws, tho those won’t take effect until bordering states adopt similar laws, moves intended to

prevent flight by marketers over border. Senate vote “was a defeat for the Grocery Manufacturers Association

and the major food and biotech companies that are its members, which have spent hundreds of millions of dollars

fighting labeling requirements,” NY Times noted today. Opponents of bill, who derided it as “DARK Act” (for

“Deny Americans the Right to Know”), breathed sigh of relief, after arguing that bill’s voluntary labeling

standard amounts to no standard at all. “What happens next? We can’t be sure, but we hope that the Senate will

do the right thing and move toward passing legislation to ensure federally mandated GMO labeling,”

Environmental Working Group prexy Ken Cook wrote in email to labeling supporters that was cited by

MediaPost. “This vote is a HUGE win for our grassroots movement. We went up against millions of dollars

from Monsanto and Big Food and stopped them in their tracks.” Other efforts in the wings include alternative

bill, still in committee, that calls for mandatory labeling but offers 4 options on how to situate the label, none of

them on front of packs, MediaPost noted.

UK Tax Steepens for Higher-Sugar Bevs Soft drinker marketers and ingredient suppliers saw shares ebb after

UK imposed tax on sugary drinks in effort to combat childhood obesity. New tax, effective in 2018, affects all

drinks with sugar content over 5 g per 100 ml; steeper rate will hit bevs with more than 8 g. Tax is anticipated to

raise about 500 mil pounds annually. Following announcement of enactment, shares of soda marketers Britvic

and AG Barr slipped 3-5%, while sweetener maker Tate & Lyle suffered 2% drop, CNN reported. Tax follows in

footsteps of France, Belgium, Hungary and Mexico, which have all imposed taxes.

Expo West drew

array of cold-brewed coffee brands and formats, more than we could cover, including entry into RTD realm by

Chicago’s Intelligentsia high-end chain (BBI, Mar 14). Here’s rundown on some of other action:

Cold-brew pioneer Blue Bottle, identified so far on RTD side with New Orleans-style entry in 10.7-oz gabletop

box, offered short 8-oz can that eschews sugar and dairy to highlight coffee itself – its sourcing, blending and

roasting, booth staffer said. Like first item, it was 4-5 years in development, as co doesn’t add sku’s until it

deems them ready. It’s being picked up off bat by Whole Foods’ NY div. Squat can carries austere look of

gabletop, with co’s distinctive blue bottle silhouette the sole visual highlight. Both use organic coffee steeped 12-

16 hours and don’t contain carrageenan, xanthan gum or citric acid. Canned entry is anticipated to have 60-day

shelf life vs 33 days for boxed item. The 2 entries are line-priced at $3.99.

Austin-based High Brew headed into more indulgent realm by showcasing trio of canned non-dairy latte entries,

soliciting show-goers’ votes on which to launch. Packed in 8-oz slim cans, the entries are Creamy Vanilla (using

almondmilk base, at 70 calories), Caramel Pecan (using coconut milk base, at 120 calories) and Toasted Coconut

(using coconut milk base, at 100 calories). (As of Sun afternoon, the sweetest entry, Caramel Pecan, was leading

the pack, booth staffers said.) They’re only shelf-stable lattes using milk alternatives, they noted, and tho

indulgent, far less caloric than Starbucks Frappuccino. Meanwhile, 5 flavors in core line all have added 4-packs

priced at $7.99-8.99 vs single-can price of $2.49-2.69.

Austin rival Chameleon Cold-Brew, which plays only on refrigerated side, is adding no-sugar Caramel flavor to

its 32-oz glass-bottle concentrate line, breaking as Target exclusive thru Jul priced at $8.99. Meanwhile, its

iconic packaging got upgrade, moving to iridescent rendering of chameleon figure and pushing USDA organic

certification disk higher up barrel of bottle. And with draft cold-brew becoming increasingly familiar fixture in

cafes and restaurants, it’s adopted KeyKeg bag-in- box format more familiar to wine segment that boasts benefit

of being one-way package that’s fully recyclable. Format’s use of CO2 to squeeze bag externally to push out

coffee means the coffee never mixes with gas, either. Co is pushing draft item not only for serving neatly over

ice but as floater over stout or other draft beer. Kegs initially are hitting Northeast, Calif and Tex markets.

Philadelphia roaster La Colombe debuted much-anticipated RTD entry, draft latte that adds some deft packaging

touches to elevate experience of drinking out of can. Entry melds frothed rBST-free milk with cold-brewed

coffee and touch of sugar (120 calories per 9-oz can), dispensed via nitrous oxide dose released from valve (not

traditional Guinness-style widget) in Innovalve can. Custom-molded lip guard is intended to shield lips from

naked metal of can top and duplicate experience of drinking out of takeout cup top. Like Blue Bottle, co goes for

dramatic simplicity in can graphics, in this case via black silhouette of dove icon against stark white background.

It will go out at $2.79-2.99 per can. Four-packs are available via brand’s Web site at $9.99.

Bai

Brands is proceeding with aggressive media plan in 2016 after preliminary evidence showed that 3-market Super

Bowl buy yielded huge bump in awareness. Speaking at Bai booth at Natural Products Expo West, cmo Michael

Simon said that after moving from just 7% aided awareness a year ago to 24% last summer, brand has surged

beyond 50% in some markets, following airing in NY, LA and Chicago of Super Bowl ad that teased out in

ludicrous way the theme that Bai’s mix of great taste, low calories and health bennies “doesn’t make any sense.”

Given general 4- to 8-week lag in awareness build, awareness figure is likely to move even higher as co tracks

efforts using Google analytics and other tools.

So with that encouragement in hand, co is proceeding with national TV buy that broke in early Feb, as part of

overall media plan that is committing nearly $20 mil to TV, $15 mil to digital and $5-6 mil to out-of- home.

(Driving around LA basin during Expo West, BBI editor frequently encountered Bai’s sassy billboards,

particularly one dictating, “Flavor that goes all the way on the first date.”) Tho Bowl buy was controversial in

some bev circles, coming so early in brand’s development, Michael said it was way to intro brand to world and

convey its flavor, now that it’s broadly available thanks to national tie to Dr Pepper Snapple Group distribution

system. Co is “forward-investing” in marketing, he said, but is putting emphasis on greater profitability this year,

too. Asked if high spending level wasn’t a bit of a gamble, Simon said he prefers to view it as “smart bet.”

Ongoing TV buy includes some major “tentpole” properties like Biggest Loser, Modern Family and Big Bang

Theory and lotsa cable programming for frequency, while digital push leans heavily on programmatic buys. Co

had earlier disseminated word of $40 mil budget to trade partners (BBI, Jan 26).

At time he came aboard last year, Simon had confessed he wasn’t completely sold on cheeky tone of out-of- home

ads. “Still figuring out where to draw the line,” he acknowledged at show. But irreverent tone is apt reflection of

founder/ceo Ben Weiss’ personality and should help brand break thru among millennial consumers, Simon

figures. So overall tone seems worth maintaining.

To augment marketing, co has brought aboard coupla new-media vets to stoke TV/digital push, is prepping major

back-to- school push, seeking right partnerships along lines of Zac Brown tour sponsorship last year and amping

up field marketing in 7 priority markets. Another marketing priority for 2016 is to tighten positioning on canned

Bubbles line of stevia-sweetened CSDs, which co is seeking to merchandise in sparkling water rather than soda

shelf set to capture health-oriented consumers who’d like a bit more flavor impact in their choices.

Is yerba mate finally ready for prime

time? PepsiCo is about to find out with launch of entry under its mass-appeal Brisk trademark, using flamboyant

tropical-themed graphics to draw attention on-shelf. New brand is launching in handful of western US markets in

16-oz cans in Mango, Dragonfruit and Cherry flavors, each carrying 90 calories per can. Callout on can instructs

uninitiated that South American ingredient is pronounced “mah-tay.” “Yerba Mate has been enjoyed in South

America for hundreds of years because of its energizing qualities,” said marketing mgr Mandy Mazzeo. “Brisk

Mate gives Brisk fans what they’ve been asking for, a smooth energizing iced tea with the great-tasting, bold

flavors they expect from Brisk.” Tho indie player Guayaki has carved out durable franchise in yerba mate over

the years, ingredient has been a challenge for broader tea players. Recall that Honest Tea tried yerba mate

offering some years back that proved short-lived. The markets getting brand are Houston, Dallas, San Antonio,

Phoenix, Portland (Ore), Las Vegas and Denver. PEP said launch will be stoked via online campaign that seeks

to motivate users and their friends to pursue their passions together, thereby igniting the “Power of the Tribe.”

Among interesting factors in launch is that PEP chose Brisk banner rather than more refined (but rigorously tea-

based) Pure Leaf banner, which reaches more sophisticated consumer base.

That’s one of

conclusions to be drawn from last Wed’s DealBook column in NY Times biz section, which took a look back at

how charitably driven Make a Stand Lemonade is doing lately. Recall, that’s brand created by Vivienne Harr,

then 8 years old, to raise funds to end childhood slavery; when idea drew broad attention and she quickly brought

in $100K, her “equally irrepressible” dad Eric Harr decided to run with it, raising $1 mil in seed financing to see

how far it could go, Times recalled. Turns out, lemonade biz ain’t so easy, they found out, prompting tilt toward

charity-crowdfunding app. That’s also proved a slog. Still, “If you think starting a social network business is

hard, try selling lemonade,” as Times story opened. (Columnist is UC Berkeley prof Steven Davidoff Solomon.)

In interview, Eric Harr said co has raised $3 mil by now and employs 12, but confessed to having endured some

“really dark times” and “deep challenges” as app was slow to ignite in cluttered space. Still, “the lemonade

business appeared to be doing much worse,” article states. It’s “on hiatus, seeking funds.” The way Harr told it,

he’d “handed off the business to ‘folks we trusted’ with ‘experience’ but ‘hired guns may not have been the best

thing’ over a founder.” To Harr, “the thick neck beverage folks feel like bullies” while Web developers were the

“bullied” and he preferred the “kind and gentle.” (For record, BBI has spoken in past to one of those thick-neck

bullies, who claimed Harr wasn’t so kind and gentle himself.) Story can be found here:

http://www.nytimes.com/2016/03/09/business/dealbook/a-charity- minded-lemonade- stand-meets- silicon-valley-

churn.html?_r=0

______________________________________________________________________________________________________________________________________________________________________________________

Count BBI among the many food-watchers

gulled into banana-bar maker Barnana’s gorilla-milk stunt. Santa Monica, Calif-based co created frisson of

interest with pre-announcement of Expo West unveiling of Fair Trade, grass-fed Gorilla Milk line, touted as

deriving from genetically close species (BBI, Mar 8). Big reveal on Fri at show and on GorillaMilk.org would

explain, “How do you milk a gorilla?” The reveal was that there was no reveal – no such product. “Just because

you can milk a gorilla . . . doesn’t mean you should,” co declared. “Just because it’s easy to waste food doesn’t

mean you should.” “Just because you can get cheap palm oil doesn’t mean you should.” You get point. In brief

chat with founder at booth, it wasn’t entirely clear to BBI where he was coming from (he allowed that his wife

thought it was a dumb stunt), but co apparently is coming thru on one part of fake announcement with promise to

steer some proceeds – tho not from Gorilla Milk, obviously – to World Wildlife Fund. Barnana is high-potassium

nutrition bar based on bananas.

It stands to reason: consumers are drinking

better coffee these days, so who not offer them natural creamers as upgrade over likes of WhiteWave Foods’ Int’l

Delight? That’s insight that spurred aggressive push into space a year ago by non-dairy player Califia Farms and

now Organic Valley co-op is entering – or more accurately re-entering – the space from the dairy side. At Expo

West, Wis-based co-op showed plastic-bottle line dubbed as “the one and only organic flavored half & half.”

USDA-certified organic entry, in 16-oz PET bottle with easy-pour cap, debuts in French Vanilla (with touch of

coconut) and Hazelnut (with touch of amaretto), both touted on-pack as “made with pasture-raised organic

cream.” SRP is $2.99. Booth staffers said launch represents return of creamers that co briefly offered 2 years ago

before withdrawal because of supply issue. Earlier launch was in box, so reprised version offers more stylish

upgrade to dairy cooler that’s rapidly becoming array of vibrantly colored, curvy PET packs.

One

clear theme that characterized this year’s Natural Products Expo West was # of established brands veering into

adjacent RTD categories, with protein and sparkling water among coveted areas drawing new entrants from other

realms. Count NextFoods of Boulder, Colo, at heart of trend with its GoodBelly probiotics line, which only in

past year debuted its first RTD version of core juice offering. Now it’s heading into both protein shakes and

sparkling waters with entries promising digestive health bennies. As co dials up its impulse-oriented RTD

presence, it’s ready to consider move to DSD for some channels, said cofounder/coo Todd Beckman.

GoodBelly Protein Shake, packed in 15.2-oz PET bottles, goes out aggressively at $3.49 as upgrade over Naked

and Odwalla, its 3 initial flavors doubling sku count of the 3 organic juices, which are priced at $2.99. Aim, Todd

said, is to grab space in high-velocity produce and grab-and- go coolers, extending reach of brand whose core

quart-size gabletop packs have been found mainly in refrigerated juice sections. Protein entries carry 15 g of

plant-based protein and 40 bil of co’s LP299V probiotics. They debut in Triple Berry, Tropical Coconut and

Green Power flavors.

The GoodBelly Sparkling Drink employs same technology used in co’s recently added gabletop-packed Lemon

Limeade and Tropical Orangeade, which lightened recipe to just 60 calories per serving, but knocks it down to 25

calories while still incorporating 20 bil probiotics. Sparkling is packed in 16-oz PET bottles priced at $2.99,

competitive with kombuchas.

Real Soda in Real Bottles’

Danny Ginsburg, a human quote machine, was in his element at show that presents ample array of glass-bottle

carbonated brands that he covets. He’s taking dim view of natural soda brands that, in efforts to garner access to

restaurant chains and other foodservice opportunities, are compromising recipes with use of preservatives for

their bag-in- box offerings. He thinks they’d be better advised to just resist temptation to enter segment. “Use a

gun, go to jail,” is his credo.