Beer Marketer's Insights

Beer Marketer's Insights

SodaStream today touted as "the most significant innovation of recent years in the global water industry" a new item that doesn't even go into one of its machines. Rather, it was heralding Infusions line of sachets that are to be suspended inside bottle of sparkling water created by SodaStream countertop unit, allowing herb and fruit essences to permeate liquid. "Inspired by the world of tea, consumers are now empowered to bring the goodness of nature's garden into their sparkling water creations," as ceo Daniel Birnbaum put it. Line launches in Q3 in Citrus Fruits; Lemongrass & Verbena; Wild Rose, Hibiscus & Berries, and Wild Orchid & Spices flavors, priced at $6.99 for 8 sachets (each good for 1 bottle deemed to offer 4 servings). It continues SODA's pivot away from soda toward flavored and essence waters, in synch with where affluent consumers seem to be going these days.

Target, which has been in search for grocery chief since Anne Davent stepped down in Nov less than 18 mos into job, has gone to 30-year Kroger vet: Jeff Burt. Jeff comes aboard Apr 10 as svp grocery, fresh food and beverage, reporting to evp and chief merchandising officer Mark Tritton. He'll relocate to Twin Cities area. At Kroger, Burt most recently ran Fred Meyer div, including its DCs and mfg plants. Target's troubled grocery biz accounts for 20% of total and new chief is being tasked with "defining a differentiated guest experience through a curated assortment, quality products and competitive prices."

Ito En joined the rush into cold-brewed tea by retreating to style that's been around its home Japanese market for a decade now under "mizudashi" ("ice brew") moniker. Result is a new set of single-serve, shelf-stable Organic Cold Brew entries seeded within brand's two key platforms, Teas' Tea and Matcha Love. Under Teas' Tea banner it's intro'ing unsweetened Pure Green Tea using sencha tea base as well as slightly sweet Raspberry Black Tea. (Raspberry both mates well with black tea and is available in organically certified form.) Ito En's Matcha Love line based on ceremonial-grade powdered green tea is offering Organic Cold Brew entries melding matcha powder and whole leaf green tea in Unsweetened Matcha + Green Tea version as well as slightly sweet Lemon Matcha + Green Tea version. The new products come in at about 60 calories per serving, and are line-priced with core entries under the core platforms. They're due around May, said prexy Jim Hoagland.

Here's another clear plastic "can" that's headed to c-store and grocery shelves: 12-oz unit employed for extended release version of Avitae caffeinated water called AvitaeXR. The line uses licensed beading technology to offer mellower caffeine lift than spike-and-crash of most energy drinks, promising "up to 4 energizing hours with no crash!" on-pack. It's launching in Orange, Mixed Berry and Lemon Lime flavors. Avitae ceo Norm Snyder, a beer vet who also boasts time on brands like SoBe, has availed himself of beer infrastructure to get launch moving, retaining mobile canning line for production on-site and purchasing a Brite tank with which to experiment with carbonation levels. He said he's willing to proceed deliberately tho ideal retail target for XR is energy set in convenience and drug. Meanwhile, AvitaeXR will continue popularizing new style of can - already familiar in Europe - that features conventional can crown but see-thru plastic body; Monster's using half-liter size for its Hydro hydration line, and kids-oriented Tickle Water brand uses 8-oz size.

"Pay raises are back in style in the corner office," wrote Wall Street Journal after analysis of compensation for top execs in 2016. "Median pay for the chief executives of 104 of the biggest American companies rose 6.8% for fiscal 2016 to $11.5 million," per WSJ analysis. Pay for Coca-Cola's Muhtar Kent rose 20.5% while PepsiCo's Indra Nooyi scored 17.3% increase last year. Muhtar's pay was up $3 mil to $17.6 mil in 2016. That's down from $25.2 mil in 2014. Indra's total compensation increased nearly $4 mil to $26.4 mil in 2016, per WSJ analysis. Dr Pepper Snapple's Larry Young had more modest 2% increase to $9.9 mil last year. Monster Energy CEO Rodney Sacks' pay soared 35%, $3 mil, to $10.4 mil in 2016. Starbucks' CEO Howard Schultz pay increased 8.5% to $21.8 mil. His compensation has been over $20 mil each of the past 3 years.

CSD volume slipped further, dropping 2.2% last 4 wks (vs 1.8% for 12 wks) in Nielsen all-channel data thru Mar 11 reported by Morgan Stanley's Dara Mohsenian. CSD prices rose an avg 1.5% last 4 wks as Coca-Cola and Dr Pepper Snapple pricing on rise while PepsiCo prices dropped. Coca-Cola volume slipped 1.4% (vs +0.3% for 12 wks) as avg prices went from +0.7% avg for 12 wks to +2.3% last 4 wks. PepsiCo slowed its volume decline to -3.2% (vs -4.9% for 12 wks) on avg 0.5% price decrease (down from +1.7% avg for 12 wks) last 4 wks. DPS volume was off 0.8% as its avg prices went from slight decline to avg increase of 1.4% last 4 wks. Private-label volume was off 6.7% on avg price increase of 1.1% for 4 wks.

Tom Hicks, who ran Monster Beverage's non-energy brands before seguing to Coca-Cola with those brands, has landed as chief operations officer at national food brokerage Impact Group Sales & Marketing. Adventurous Hicks had famously closed out his brief Coke career with internal presentation on "Top 10 Reasons to Work/Join VEB" (BBI, Sep 23) before embarking on 6-month cross-country motorcycle cruise with his wife Cathy and their dog. He's been back in a suit now, say those who saw him making rounds at Expo West. Earlier in his career he'd worked at Fantasia Juice, which merged into Naked Juice and, with acquisition by PepsiCo, made Tom a Pepsi hand for a while . . . Veteran bev analyst Caroline Levy appears to have been among those affected by abrupt decision by China's CLSA to shutter much of its Americas operations, including research function to which she lent distinctive, South African-accented voice . . . Soda lobbyist American Beverage Assn has combined its Government and Public A

Tapping range of trends from Bulletproof Coffee to calorie-burning, Cave Shake offers what in essence are drinkable coconut milks to offer sustaining bev that it can claim to check the keto, paleo and vegan boxes. USDA Organic-certified line uses organic coconut milk base as source of medium-chain tryglycerides (MCTs), and goes out at $7.99 per screw-top canister, in Chocolate, Vanilla, Strawberry and Coffee flavors. (They're also available in Cave Fat Packs of fat supplement powder at $4.99.) Tho the shakes must be kept refrigerated now, a booth staffer told BBI that they should have migrated to shelf-stable format within next 3-4 weeks. Launched in Oct 2015, to date they've only been available in core Southern Calif market, including Whole Foods, Erewhon, Lassens Natural Food and Clover Juice locations, as co established premise and worked out refinements. Info at CaveShake.com.

With hydrogen a $500 mil consumer category in Japan via range of sticks, generating machines and other formats, a NY-based brand called HFactor has been carefully testing out aluminum-pouch-based approach of offering hydrogen-enhanced water, with promise of fueling muscle recovery, activating peak performance and combating jetlag. The hermetically sealed pouches, sporting 52-week shelf life and priced at $2.99, must be consumed within 30 minutes of opening, said Steve Torres, longtime bev fixture in NY who's running sales effort.

NY-based entrepreneur who's new to bevs named Royce Pinkerton used Expo West to debut new plant-based RTD brand called Bonta Hydration that seeks to employ ingredients associated with Mediterranean Diet to offer anti-inflammation, immunity, longevity and radiance benefits. Packed in full-wrap half-liter bottles sporting olive tree image at top and priced at $2.99, line is offered in Blood Orange (anti-inflammation), Blueberry (immunity), Cherry (longevity) and Lemon Ginger (radiance) flavors. They're lightly sweetened with cane sugar and come in at just 30-35 calories per bottle. Operating as Pinkwater Holdings LLC, Royce told BBI that 80% of the line's ingredients are sourced from Meditarranean region, with exceptions made for key items like turmeric needed for anti-inflammation sku. She said she's focusing on East and West Coasts initially, moving now to her first friends-&-family capital round after handling seed round herself. Name Bonta simply is Italian for "goodness."