Beer Marketer's Insights

Beer Marketer's Insights

Tho participation reps a financial commitment, suppliers to NY house Big Geyser seemed happy to be back at first post-pandemic installment of its internal trade show, packed expo in Park Ave South event space at which orders were written in copious quantities, from what a couple of brand owners told us. Big Geyser, of course, is biggest unaligned house, NA-only specialist that's been key incubation ally for such successfully exited brands as Vitaminwater, Fuze, Essentia and Body Armor. Among brands exhibiting were Poppi, about which we recently offered update, and Lemon Perfect, about which comprehensive one is coming soon. Here are activities from some of others that we gleaned from stroll at show.

Major League Baseball, - "America's pastime" - is stepping beyond traditional non-alc and alcoholic bevs for first time as the Chicago Cubs announced they've stuck deal to make MYND Drinks official CBD partner. MLB gave green light for teams to work with CBD brands in Jun '22, and in Oct named Charlotte's Web the "official CBD of Major League Baseball," reminds Ganjapreneur (BBI, Oct 12). This is a local connection for Chicago-based MYND's plant-based hemp-infused drinks line to reach broad audience at Wrigley Field. "When MLB opened the CBD category for its clubs, it allowed us to explore new partnership opportunities and offerings," said Alex Seyferth, vp corporate partnerships for Cubs. "We're proud to be the first club to partner with a CBD company, but what was more important to us was making sure that the brand was the right fit. MYND DRINKS is a Chicago-based company that promotes overall wellness and helps ease the stressors of everyday life, just like a Friday 1:20 game at Wrigley Field."

The Bud Light/Dylan Mulvaney controversy carried on over the weekend with ongoing media coverage and social media activity. But "Bud Light has remained silent" on social media, as NY Post and others noted, since posts from transgender influencer Mulvaney sparked vehement and at times violent commentary. Lots went on in background, too, including an AB wholesaler panel discussion specifically devoted to this situation. One AB wholesaler, Wil Fischer in MO, canceled an appearance of the Clydesdales because of threats to employee safety.

New Mexico's tax rates on alcohol may not rise after all. Governor Michelle Lujan Grisham included the 20% hike to alcohol excise taxes among numerous line-item vetoes on wide-ranging tax bill passed by legislators the week prior, the Santa Fe New Mexican reported. Negotiations between legislators whittled down an initial proposal at the behest of public health advocates to jack up rates to "25 cents per drink," or an increase of 3.5-6.5x, depending on the beverage type, with even sharper increases for small suppliers that currently benefit from exemptions. The veto angered those advocates and their legislative supporters, already frustrated by what they viewed as a minor increase unlikely to put a dent in the state's high rates of alcohol-related harm. The New Mexican pointed to campaign donations from industry members, mostly to the governor and top legislative officials, totaling $750K over 10 yrs.

Tho Monster's The Beast Unleashed reached 1.7 share of FMB $$ across US in latest wk of Circana/IRI MULC scans ended Mar 26, brand averaged ~5 share of segment in the 8 states where it's now available, per Consumer Edge's Brett Cooper. The Beast boasted double-digit share of FMBs in IA (13.2) and OH (10.1). But more modest 3.2 share in CA, 3.0 in FL and 1.0 share in NC after just 2nd wk in mkt there. Tennessee (6.8 share), AZ (7.9) and CO (8.0) closer to middle of the pk.

Molson Coors chief legal and govt affairs officer Anne-Marie D'Angelo is leaving for personal reasons, according to a govt filing last Thursday. Anne-Marie "agreed to remain under contract for legal support" until yr end for $40K per mo. But she can terminate deal "at her discretion" as of Jun 15, SEC filing sez. Anne-Marie came to co from McDonald's, replacing longtime chief legal honcho Lee Reichert, noted Bloomberg Law. "She received more than $1.8 million in total compensation" from Molson Coors last yr, wrote Bloomberg, citing annual proxy statement. She got a salary of $575K and "roughly $882,000 in stock and option awards," noted Bloomberg.

High-end beer segments ended long-term growth run in 2022, but still managed to gain share of total US beer volume, INSIGHTS estimates. Total high-end beer volume slipped 0.9%, over 1 mil bbls last yr. Still near 113.1 mil bbls, by our count. But total US biz down more like 3.5%. So high-end tacked on another 1.4 share of the biz to 54.8. That's much smaller than 3-pt+ gain each of last 3 yrs. Since 2017, high-end gained 13.5 share, growing by almost 27 mil bbls.

After closing its San Diego production facility and quietly shutting down its San Francisco location late last yr, Danish brewer Mikkeller will shutter its final US outpost this weekend. Co will close its Little Italy, San Diego taproom on Saturday, SanDiegoVille reported last wk, marking the "end of an era for Mikkeller USA," co announced on Instagram.

Yet another craft-on-craft deal in early 2023, as Fresno-based Full Circle Brewing announced merger with vaunted SF craft brand Speakeasy Ales and Lagers. Deal comes about 7 yrs after owner of former AB distrib Horizon Bev, Ces Butner bought Speakeasy out of receivership in mid-2017. That was almost 2 yrs after selling Horizon to AB. Speakeasy had already fallen sharply from prior peak over 30K bbls and racked up debt opening large new facility. After a tougher period for the brand even before the pandemic, Speakeasy grew to about 5K bbls in 2021, Brewers Assn estimated.

Tilray's Sweetwater family of craft brands is now available across Nevada in partnership with Breakthru Bev, including Sweetwater, Green Flash and Alpine Beer. It marks 44th state in the portfolio's footprint, co announced yesterday, with over 50K points of distribution. Products will be available statewide in cans & kegs. And lineup will include 3 beers each from brand, including Sweetwater's 420 Pale Ale, H.A.Z.Y IPA and Blue Wheat Beer. "Nevada is a key market in our strategic expansion plan across the West," said Tilray's US beer Prexy Ty Gilmore. Recall that Tilray's also in process of expanding portfolio-mate Montauk's distribution (see Mar 22 issue), tho that's confined to the northeast for the time being.