As a supplier for all Foxtrot locations since the launch of the innovative convenience store concept, this week’s announcement of the chain’s abrupt closure was no small thing for Pod Foods. 

According to Peter Gialantzis, Pod’s chief merchandising officer, the distributor made deliveries to all of those locations as recently as last Friday and had inbound orders en route this week. But with Foxtrot’s closure Tuesday morning, Pod Foods' quickly shifted focus to protecting its suppliers, Gialantzis emphasized. 

“I've learned to be surprised by nothing in the Grocery business, but our first reaction was to do everything we can to protect our brands,” he said. “We called each of our warehouses immediately, and put together an action plan for how to sell the ex-Foxtrot products into new accounts”

We caught up with Gialantzis to hear how he believes this abrupt closure will impact the industry and gather insight on the path ahead both for emerging brands and the retail landscape as a whole. 

What opportunities exist for former Foxtrot brands: do you believe they’ll be able to forge new, long-term supplier relationships in nearby regions? 

I do think there will be [long-term] opportunities that grow out of this. The consumer demand for these products did not disappear overnight...only the retail medium for that demand.   Particularly in the markets of Chicago, Dallas, Austin, and Washington, D.C., there is an immediate opportunity for other retailers to take market share and win new repeat customers by carrying these brands. 

Insiders can access the full interview on Nosh. Check it out here to learn how Gialantzis and the Pod Foods team are helping brands find a way to forge ahead.

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From ketone-infused energy drinks to non-alcoholic revitalizing tea elixirs, the latest edition of BevNET’s weekly New Products Gallery features innovations spanning all sides of the beverage industry. Here’s a sneak peek at what’s inside: 

🫖 Non-alcoholic cocktail maker Parch teamed up with sober dance party community Daybreaker to launch its first ever co-branded product. The new beverage features ingredients like golden turmeric, yaupon tea, orange juice, vanilla, and organic agave.

⚡ KEY – founded by two former Coca-Cola and PepsiCo execs – hopes to shake up the energy drink market with the launch of its ketone-infused energy drinks, available in Pineapple Passionfruit, Grapefruit Peach, and Ginger Lime varieties.

In a surprising but fitting portfolio expansion, high-protein milkshake brand Slate Milk has released gluten-free, mini chocolate chip cookies. Why is a fitness-focused, drink brand dipping into indulgent snacks? “We were hungry,” said Slate Milk co-founder Manny Lubin.

🥛 The brand had gotten many requests from its customers in the last year for a treat with the same zero-sugar, high protein attributes as its canned coffees, milkshakes and powders.

💪🏾 Exclusively available online, the cookies are sold in 6-packs of 1.6 oz. bags and pack 10 grams of protein, 160 calories and 3 net carbs.

U.S. woes are still weighing on Pernod Ricard’s sales as the spirit group reported a -2% dip in sales in the first nine months of FY 2024. 

• With record-high inventories in the U.S. still impacting spirits suppliers at the wholesale level, the French spirits group is among others struggling with a soft sales year.  
• Overall, reported sales dipped -6% to $9.5 billion (€8.93 billion) with growth in global travel retail channels and India offset by declines in the Americas and China. In the U.S. sales fell -11% in Q3. 
• The group still aims to reach the upper end of 4% to 7% sales growth through FY 2025, and is betting on "dynamic" fourth quarter sales to help meet its forecast.

After years of a fearless bull outlook, is Wall Street afraid of Monsters? At least two firms are, as J.P. Morgan and Truist Securities downgrade their ratings on Monster Beverage stock in recent reports, expressing skepticism about the energy drink giant’s future growth prospects.

▶️ According to Seeking Alpha, J.P. Morgan lowered its rating on Monster’s stock from “Overweight” to “Neutral,” claiming that although the company has been “one of the best growth stories” among its covered businesses, it faces “a more challenging outlook with softer U.S. performance.”

💱 Truist, meanwhile, shifted its position from “Buy” to “Sell,” stating that although it still sees Monster “as a strong company,” it’s past its “high-growth story” days. 

🏭 Both firms expressed skepticism that Monster would achieve significant margin recovery from increased aluminum costs, contributing to the decisions.

Campari Group has inaugurated a new Aperol bottling line as part of a $80.1 million investment to double production capacity. 

• Aperol has seen steady demand – growing by 500% in the last decade – and leads Campari’s portfolio, contributing nearly a quarter of the company’s sales in 2023. 
• The new line at Campari’s Novi Ligure plant in Italy will bring the number of bottling lines to seven, increasing the overall plant’s annual capacity by 100 million bottles. 

Bear Maple has entered the beverage landscape with a 4-SKU line of “sparkling ginger elixirs,” positioned as a healthier alternative to CSDs. As the brand’s name suggests, all four flavors – Yuzu Citrus, Ginseng, Lemongrass Mint and Ginger – feature a base of maple water concentrate.

In this episode of CPG Week, the team attempts to unpack the fallout from the sudden closure of Outfox Hospitality which operates the Foxtrot and Dom’s Kitchen & Market grocery chains. The group digs into the developing story with insight into what has happened so far, how brands and industry stakeholders have reacted, and how this is a blow to what many regarded as an influential part of the next generation of grocery. Later in the show, reporter Adrianne DeLuca explains the latest development in the Kroger-Albertsons merger plan and how all this grocery news relates to an uncertain future for retail.

Listen now on https://www.nosh.com/news/2024/cpg-week-inside-the-closure-of-outfox-hospitality-and-the-future-of-retailNosh.com and subscribe to get a fresh episode every week.