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Coke Agrees to Share Profit From Alcohol Extensions With U.S. Bottlers

Deal Provides Compensation Levels Based on Extent of Bottler Brand Building
November 22, 2022

Deal Provides Compensation Levels Based on Extent of Bottler Brand Building.

Comes as Jack and Coke Launches in Mexico, Heads to U.S. Next Year.

 

Coca-Cola has agreed to compensate US bottlers for the extension of the company’s brands into the alcoholic beverage sector, BD has learned. The bottlers began signing agreements...


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Blue Cloud Distribution GM Says, ‘We’re in This for the Long Haul.’

Unit Now Holds Permits in 31 States
September 22, 2022

BD spoke with Blue Cloud General Manager Emiliano Di Vincenzo to seek additional clarity and to update progress with both Hard Mtn Dew and Blue Cloud. Hard Mtn Dew distributor Blue Cloud Distribution, set up last year by PepsiCo, is currently delivering products in nine states, according to the company. Blue Cloud Distribution also has secured federal alcohol wholesale permits in...


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Opening Thoughts: August 18, 2022

August 18, 2022

The liquor store sure has changed. I popped into one last week to grab some Finnish Long Drink for our dog sitter. I left having seen the very embodiment of a trend.

A massive display of Svedka vodka sodas and teas greeted me at the door. Other floor displays throughout the store pitched bright-colored cans of premixed cocktails, like a gin and tonic from Bombay Sapphire. Newer canned spirits brands such as High Noon and Cutwater stacked the cases high and sold them – at a premium.

An entire section of shelves was permanently labeled “Ready-to-Drink.” An endcap display, big enough to incorporate a full-sized bicycle, marketed a product from craft beer trailblazer Dogfish Head (eventually acquired by Boston Beer). The display wasn’t for beer, however. It was for canned cocktails by Dogfish’s distilling unit. Even Dos Equis offered a blanco tequila ready-to-drink margarita.

I asked an alcohol distributor stocking a display about the transformation (spurred in part by consumers’ boredom with beer)...

    


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Boston Beer Sees Dew Alcohol Extension as Growth Rising Star

Still, Regulatory Hurdles for PepsiCo’s Blue Cloud Unit Slow Expansion
August 2, 2022

Hard Mtn Dew was a bright spot in an otherwise challenging second quarter for Boston Beer. Founder and Chairman Jim Koch said the flavored malt beverage (FMB) product, produced under a license from...


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Coca-Cola Considers Bottler Payments as Jack & Coke Joins Canned Cocktail Trend

Solutions Sought as Booze Market Taps Non-Alcoholic Brands
June 23, 2022

Coca-Cola is considering compensating its franchise bottlers in the US for company- sanctioned ready-to-drink alcohol beverages sold in bottlers’ exclusive territories, BD has learned from bottling executives. Just last week, Jack Daniel’s whiskey maker Brown-Forman and Coca-Cola announced a “global relationship” for a Jack & Coke canned cocktail to be launched in Mexico later this year. While other...


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U.S. Coke Bottlers Grapple With Alcohol Question and What it Means for Them

Two Camps Emerge: One Welcomes New Investment. Other Wants Direct Upside
February 23, 2022

Coca-Cola’s foray into the US alcohol beverage market has spurred mixed feelings from Coke bottlers without alcohol operations as they evaluate what the development means for their businesses. Coke and Molson Coors have steadily expanded distribution and added line extensions for Topo Chico Hard Seltzer, first introduced early last year. Coca-Cola has since licensed...


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