Beer Marketer's Insights
The advent of summer means it's time for bev brands to jump on their longboards - billboards, that is. Here's some of the action we've spotted . . . Soylent is seeking to drive shoppers to retail partner Target with outdoor campaign that touts meal replacements as "the world's most perfect food," per current brand tagline. Ad carries Target bull's-eye logo in corner. Santa Monica, Calif-based Starco Brands gets nod as agency . . . Chamberlain Coffee is assuring consumers that it's "Coffee snob approved . . ." per billboard we spotted in Brooklyn's Williamsburg nabe the other day that features beauty shot of cup of coffee but not founder Emma Chamberlain, the popular young podcaster. Chamberlain ceo Chris Gallant tells us test effort also is taking flight in Tampa, Houston, Dallas and Phoenix but not yet in markets like LA. Agency is Quan Media Group . . . Organic foodservice brand Tractor Beverage, lately allied with KDP, is testing its first out-of-home ads with effort in markets like Chicago that points consumers to its pouring partners via slogans like "Certified Organic. Verified Delicious" and "A Taste of Earth's Family Recipe," set against lush background of fruits & veggies. 
Jim Mulhern, prexy/ceo of Natl Milk Producers Federation, said he plans to retire at year-end after a decade of leading org and 45 years all told in ag/dairy sector. After starting his career working for Midwest dairy co-op, he'd come to Capitol Hill in 1982 and began first stint with NMPF in 1985, directing org's government affairs activities and shaping NMPF strategy, NMPF said in announcement this morning. Among other career stops, he'd served as chief of staff to Wis Sen Herb Kohl. NMPF praised Mulhern for leaving it "in a commanding position, with the organization spearheading a once-a-generation update of federal milk marketing orders and advancing both a fairer economic and regulatory environment for dairy farmers and a more transparent marketplace for consumers amid the proliferation of plant-based dairy imposters." NMPF board will take up issue of successor at a meeting this week . . . Vitamin Energy ceo Rise Meguiar, a longtime 5-Hour Energy exec who'd come out of retirement to helm the insurgent shot maker, has gone back into retirement as of last month, her LinkedIn profile indicates. After 18 years at 5-Hour culminating in role of sales prexy, Rise had retired for coupla years before being lured back into the game by Vitamin Energy ownership team in sales role that quickly escalated to ceo role (BBI, Feb 12 and Jun 29 2021) but co seems to have experienced considerable turnover lately . . . Hannah Steiner, who over past 3 years had played influential role establishing NA portfolio at Glazer's Beer & Beverage, has segued to supplier side, accepting job as natl acct mgr at Uptime Energy, calling on military and foodservice accts. Hannah had started her bev career at Red Bull after repping brand on campus and also had a stint at High Brew Coffee. At Glazer's, she managed NA and wine/spirits brands across all Glazer's territories spanning Texas and 2 other states before heading to its acquired Jumbo non-alc operation in Dallas/Ft Worth brand mgr for key accts . . . Smoothie King has recruited the former Starbucks exec and 20-year foodservice vet Camille Hymes as coo, joining a revamped leadership team that last Nov added Marianne Radley as cmo, Juan Salas as chief info officer and Laura Scavone as chief people officer. Chain has 1,350 locations worldwide . . . Count the energetic former Rockstar exec Joey Cannata as on the board of Goat Fuel, the energy drink launched by NFL icon Jerry Rice, judging by photo Joey posted. Joey, whose main role these days is co-helming Daytrip CBD co, said he's been on the board about 6 months after earlier fling on consulting side whetted his appetite to return to sector. He'd spent 18 years in #2 role at Rockstar to founder Russ Weiner, who ultimately sold to PepsiCo.
Jeff White will step down this summer as ceo of Sierra Nevada Brewing after exploratory moves beyond beer that included M&A (Sufferfest), kombucha (Strainge Beast), hard tea (Tea West) and minority investment in Riot Energy. His role is being picked up on interim basis by brewery founder Ken Grossman, who remains committed to another innovation initiative undertaken on Jeff's watch, CanDo Innovation Center, with capacity for 250-500K bbls of beyond-beer products, including Sierra's own and Riot Energy. That's due to open this summer, a bit beyond initially anticipated spring target (BBI, Aug 31).
With broad market for green tea matcha not quite igniting in recent years, one might question how big is the addressable market for a matcha-making gadget. But there are enough believers to have ponied up $3.6 mil in Series A round of San Mateo, Calif, co called Cuzen Matcha that's been giving home users, and soon cafes, an opportunity to enjoy fresh-ground matcha that better retains aroma and nutritionals of high-antioxidant ingredient. Finsmes financial blog reported that raise was led by Digital Garage Group with participation from Joyance Partners and 20+ angel investors. Co was founded in 2020 by Eijiro Tsukada, a former Suntory exec who grew disillusioned with tradeoffs exacted by sterilization process for its shelf-stable tea lines and opened SF café called Stonemill Matcha where pre-ground matcha that was available had tendency to oxidize. So he worked with college friend and cofounder Oki Haatta and Silicon Valley engineer to create home device that employs ceramic grinding surface to insure small particle size and magnetic whisking mechanism. The gizmo is available as DTC item and on Amazon at $299 for a starter kit. In Apr Cuzen used Specialty Coffee Expo in Portland, Ore, as launch pad to intro foodservice-oriented device called Cuzen Matcha Maker for Business that's due for delivery next year. Tea is procured from grower in Kirishima, in Japan's Kagoshima prefecture.
“It Was a Very Good Year”
In their last full yrs as assn heads in 98, former Beer Inst prexy Ray McGrath had salary of $277,000, benefits of $49,000 (including expense allowances), while former NBWA prexy Ron Sarasin got $265,000 with benefits of $10,000, according to beltway mag National Journal survey. Compare that to also-departed DISCUS prexy Fred Meister, who made $453,000 with benefits of $27,000. New younger assn heads each reportedly making less. More details in Beer Marketer’s INSIGHTS.
“Dialing It Up”
That’s how Miller prexy John Bowlin characterized Miller in 2000 in interview with Mil Jnl Sentinel. “More of the same, with even a greater sense of urgency,” he added. Sales reorg takes effect Feb 1; will “put more field sales reps into contact with growing supermarkets, convenience stores and other retail chains,” wrote Jnl Sentinel. John added sales reps will spend less time auditing and “policing,” more time selling with distribs. “In the new sales organization, that’s what you’re going to be held accountable for.”
Number of small UK brewers filing for insolvency (similar to US bankruptcy) tripled from 15 to 45 in the yr ended Mar 31, according to Mazars analysis of official reporting. Agency blamed the heightened figures on fast-rising costs, "an oversaturated market" and a shift to "cheaper beers," the Guardian wrote (among other sources). "Discounted brands produced by large international brewers and supermarket own brands are increasingly the choice for consumers" in the UK, according to the report. Tho small brewers there faced limited routes to market too, the paper added. Also noted 3 separate small brewers that entered insolvency administration within last yr but were either acquired out of the process or aim to get back on their feet.
Signed into law in May, legislation raised the daily limit of beer sold directly to consumers at South Carolina's 140 breweries, local CBS affiliate WSPA reported. Cap upped from 1 case (288 oz) to 3 (864 oz), enough to cover a 1/6-bbl keg (but not a full half-bbl). New law also allows bonded transfers between facilities owned by the same co.
Top Wisconsin craft brewer New Glarus expects to push past 240K bbls and $60 mil in sales this yr, co-founder Deb Carey told Milwaukee Biz Journal after receiving accolades from state Tech Council and speaking at Wisc Entrepreneurs' Conference last wk. Projection suggests solid mid-single-digit gain from a bit over 230K bbls in 2022 (and rev per bbl around $250). Co continues to invest in its facility, planning for a new brewhouse and a new warehouse, plus upgrades to hospitality center and offices.
Yet another instance of craft-on-craft M&A as mid-sized cos look to navigate challenges thru economies of scale. Maryland-based DuClaw Brewing Co sold to Ewing, NJ's River Horse Brewing Co for an undisclosed amount, DuClaw announced late last wk. It's 2nd legacy craft seller out of MD in less than 2 wks and 2nd NJ buyer in about a month after Flying Dog's flight to FX Matt and Cape May reeled in Flying Fish. (Your editors request a brief pause before any of the dozen or so other flying beast breweries takes off for new owners.) Accelerated pace of craft M&A continues to draw deals of all shapes and sizes, including top suppliers selling back brands to original founders. But this is relatively rare instance in which a craft seller's volume is significantly bigger than the buyer's: DuClaw finished 2022 at a bit under 20K bbls, founder Dave Benfield shared with CBN, vs River Horse at roughly 9K bbls, Brewers Assn estimates.

