Pressurized margins. Competition from all sides. A scary high failure rate. Breaking into RTD coffee is not for the faint of heart. 

But with the backing of a seasoned team of brand builders and well-connected operators, Beekeeper thinks it has a shot. The new brand is hoping its four-SKU line of 8 oz. canned cold brews launched online in late September -- available in Double Black (dairy-free), Vanilla, Mocha and Caramel, all of which are sweetened with a "drop of honey," though aren't honey-flavored -- can disrupt a tight category, if not necessarily overnight. 

Speaking with BevNET last week, co-founders Paul Rivera, co-creator of Max’s show “The Shop” and the Chief Brand Officer of Springhill Co., and David Creech, co-founder of wellness brand builder Adopt and a former design lead at Nike, said they were tackling this new challenge in CPG with the same principles that have served them well thus far: finding white space in a category and attacking. 

Why cold brew? Part of the inspiration came from coffee’s heightened profile within NBA circles, having taken off while players were isolated in the quarantine "bubble" in 2020 thanks to outspoken advocates like Jimmy Butler. Amidst the multitude of coffee options now available in locker rooms, the Beekeeper team saw athletes looking for more choices to satisfy their pre- and post-game caffeine cravings. 

Beekeeper isn't the only coffee maker to have made the connection to sports: Super Coffee -- itself founded by college ballers the DiCicco brothers -- offers low-sugar cold brews boosted with protein, as do Slate, OWYN and Alani NU.

But the brand's NBA connections, and specifically Los Angeles Lakers superstar LeBron James, run deep. James helped to bring "The Shop" to HBO as a producer, and Rivera later became an investor in his James' premium tequila label, Los Lobos 1707. That extends to Beekeeper's other co-founders: Fara Leff is also Chief Operating Officer of James' management firm, Klutch Sports Group, while Andrew and Nate Forbes are the former minority owners of the Cleveland Cavaliers, the team that drafted James and where he played for 11 seasons. 

Leveraging its connections to sports and entertainment is on the agenda: after seeding on D2C, Creech said the next step is to "actually take it to where we see our core consumer" by stepping into hospitality accounts, specifically sports arenas.

"We won't sit here and say we were geniuses enough in the beginning," said Rivera. "I think the more research we did, the more excited we got about the opportunity. That excitement came from realizing how really interconnected it all was, from the Beekeeper name to how we feel about community."

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Nearly five years since its launch as a cannabis cocktail company, Calexo believes it has finally found the right recipe to succeed in the THC drinks space. The critical step? Dropping cannabis.

🪴 Influenced by the boom of Minnesota’s hemp-derived THC beverage market over the past year, Calexo has relaunched with two totally new products: a hemp-derived THC infused sparkling cocktail and an un-infused sparkling line with the same flavor profiles as its inebriating counterpart.

😁 Shifting its status from a cannabis company to a hemp beverage maker removed regulatory challenges that previously limited the company’s ability to scale manufacturing, distribution, sales and marketing operations. Calexo now has a clear path to “grow into the robustness of a traditional CPG” company.

Read the full story on BevNET.

Thomas Ashbourne Craft Spirits, the ready-to-drink brand crafted with the help of celebrities like Sarah Jessica Parker has found a new backer.

 🤑 After announcing a $1 million investment in Ten to One Rum last week, spirits-focused private equity firm InvestBev has poured an undisclosed amount into the RTD brand. We’re a little surprised after founder Brian Rosen said betting on a celebrity brand was too risky last year. 

🧠 But Rosen praised CEO Cara Kamenev as a “marketing genius” who has built lasting talent partnerships that stand out, and said the firm bets on leadership. Now, Rosen sees the next growth opportunity in retail chain accounts. The brand landed at 800 Korger locations earlier this year and brought on Neil Patrick Harris for its Espresso Martini addition, what (or who) is next?

🪷 Also, could the Cosmo be making a comeback? After Cointreau’s MargaRight campaign featuring Aubrey Plaza, the White Lotus star is back, and this time she’s selling the cosmo. The spot will air across social channels and TV, and aims to replicate the success of the first go-round.

Read the full story on BevNET

Compared to some of the short-lived flavor experiments attempted by Coca-Cola over the years, perhaps going spiced isn't so crazy. This week at the NACS trade show in Atlanta, the soda giant is unveiling Coca-Cola Spiced, a new subline set to launch in February 2024 with its inaugural flavor: Coca-Cola Raspberry Spiced. 

🌶️ Per the company: "Playing into increased consumer curiosity around spice in beverages and the popularity of Coca-Cola with raspberry on Freestyle machines, the new formula will delight fans with a bolder-than-ever taste profile."

🧊 Also at the show: Is "the coldest Sprite ever" the recipe to ignite innovation at the lemon-lime soda staple? We'll see next year when Sprite introduces Sprite Chill, which features a cooling agent that "amplifies Sprite's signature cut-through refreshment to provide an elevated refreshment experience."

🤖 At NACS we’re also set to get our first taste of the previously announced Coca-Cola Y3000 Zero Sugar, the latest in the ongoing series of LTO flavor "drops" in the Coca-Cola Creations series. This one’s "a new futuristic flavored drink and experience co-created with human and artificial intelligence."

Expect more news on Coke’s new innovations and RTD strategy this week as part of our NACS coverage.

Tip Top Proper Cocktails is expanding its collection of 100ml canned cocktails with the addition of The Boulevardier. Canned at 29% ABV, the new drink utilizes whiskey, vermouth and red bitters and features tasting notes of dried cherry, tobacco, orange and grapefruit zest.

🍸 The Boulevardier joins the brand’s existing lineup of canned cocktails, including a Stirred Line (Gin Martini, Manhattan, Negroni, Old Fashioned) and a Shaken Line (Bee’s Knees, Daiquiri, Espresso Martini, Margarita, Jungle Bird). 

🥂 Four-packs and individual cans of The Boulevardier will be available in retail stores and bars beginning this month. Additionally, online orders for shipping to 40 states can be placed via Tip Top’s website. 

Earlier this year, Delta Airlines expanded its partnership with the Atlanta-based brand, which was established in 2021. The partnership launched with the brand’s Margarita and Old Fashioned and later added the Negroni as a LTO during breast cancer awareness month last October. In February 2023, the airline introduced a rotational cocktail program that rolled out the brand’s Espresso Martini.

Former Health-Ade CFO Gary Cooperman is joining functional beverage maker Nirvana Water Sciences, the company announced this week. Nirvana Water Sciences produces a variety of supplements, waters, seltzers and shots made with water-soluble HMB, an ingredient reported to support muscle health.

🧐 Cooperman served as CFO at Health-Ade from 2018 until 2022 and is credited with helping to secure financing from The Coca-Cola Company and navigating its acquisition by private equity group First Bev in 2021.

✨ Since 2022 he had worked at men’s apparel brand True Classic in the same role. He previously served as CFO across numerous industries at companies such as wine marketing platform DRINKS, retail ecommerce service Onestop Internet and Meteor Games. 

🫰 This has been a busy year for Nirvana. The company announced it had raised $2.6 million as part of a new joint venture with healthcare services network Inspire Health Alliance. In February, the brand acquired New York-based bottled water manufacturer Alder Creek Beverages.

Aura Bora co-founder and CEO Paul Voge spoke about how the botanical-centric sparkling water brand has cultivated a loyal community by focusing on flavor, why he believes that “the best marketing is sales and vice versa,” the reason Aura Bora discontinued its viral “Secret Menu,” how DTC success translates to brick-and-mortar sales and why his personal phone number is on every can.

Listen to the full episode on BevNET