• AB InBev Sells NYC Distribution
• Bai Founder Returns to Hard Tea
• New ANA Entries Challenging Top Brands
• Amcor Mulls North America Moves After Tough Q2
• Sports Scores From Naked to Coke
• Nombase: Sunnie Turned Setbacks Into $1M

The heat of summer and increased vacation travel usually means big bumps for beverage sales from thirsty and active shoppers. But instead, early August showed signs of a mild slump in dollar growth and a concerning drop in volume, according to an analysis of NielsenIQ by Goldman Sachs Equity Research.

• Sales growth was still elevated at a healthy +4.6% for the two-week period ending August 9, but it was a deceleration from a stronger 5.1% increase in the four-week period. 

Which, okay, so maybe more people took trips in July before back-to-school season gets underway? But the growth rate was also flat during the broader 52-week period. What’s more, the bump came entirely from pricing, which was up 4.6% in the two-week period as volume sales were flat, slowing down from +0.9% in the four-week range.

Energy drinks (+16.3%) and sparkling water (+8.9%) bucked the trend and accelerated, but CSDs (+3.2%) slowed and thirst quenchers like bottled water (-0.7%) and sports drinks (-0.1%) declined.

What we know:

• Conventional wisdom has long dictated that summer beverage sales benefit greatly from holidays and travel, but tourism is struggling and air travel has become “unpredictable” per some reports.
• Unpredictable can also translate as inconsistent: luxury travel is up while international tourism is down big time.
• Deloitte’s ConsumerSignals found that while more Americans planned to travel this summer – 53% versus 48% in 2024 – the amount of money consumers budgeted has dropped significantly.

Brands making up for weak volume sales with pricing is nothing new to see in these NielsenIQ reports, but it does remind us of the specter of inflation from a few years ago that pinched wallets.

While it may not be comparable to the intensity of 2022’s inflation wave, the rate is still elevated and food and drink in particular have been susceptible to its pains.

Want all the numbers and category breakdowns? Read the full report on BevNET.

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In a tectonic shift in the distribution landscape, Anheuser-Busch InBev (A-B) announced plans to sell its wholly owned network of distributors (WOD) in New York to Southern Glazer’s Wine & Spirits (SGWS).

SGWS will launch Southern Glazer’s Beverage Company of New York after the transaction closes later this year, with a footprint covering all New York City boroughs except Brooklyn.

In the NYC area, Southern Glazer’s will offer A-B’s full product lineup, ranging from beer brands Michelob Ultra, Busch Light, Bud Light and Budweiser to spirits-based ready-to-drink (RTD) offerings Cutwater Spirits and Nütrl Vodka Seltzer, as well as newly launched energy drink brand Phorm Energy.

Brewbound can access the full story.

Ben Weiss is back in the beverage game with Crooked Tea, a 4% ABV, zero-sugar iced tea. 

If that sounds familiar, you’re right: Weiss, who founded then sold antioxidant tea brand Bai to Dr. Pepper Snapple for $1.7 billion in November 2016, has played in the hard tea space before.

This iteration builds on the same formulation – an “organic, super grain alcohol” – but brings a “fun-forward” approach and celeb-backers.  

It may also be better timing for a hard tea venture: Crooked Tea is entering the market amidst a surge in demand for hard teas. Single flavor UPC sales of spirits-based tea RTDs are now ranked third overall in flavor, making it one of the largest flavor trends in the RTD category. 

Read the full story on BevNET.

The adult non-alc (ANA) category is on its way to hitting $1 billion, but what styles are emerging as the winners and what pressures are mounting?

Of the billion-dollar pie, NA beer still makes up the largest slice of dollar share followed by NA wine and NA spirits, but spirits is seeing the largest growth. 

There are 203 new ANA UPCs since last year with NA beer and NA spirits driving those numbers, which means competition to get on the shelf is heating up.

We’re also beginning to see an attempt to create some volume in ANA and less expensive products driving prices down. 

Get the full update here.

When the boss says they’re “not happy,” it may be time to worry. 

Those were the exact words from Amcor CEO Peter Konieczny when describing the performance of the Swiss packaging giant’s North American Beverage (NAB) division in Q2. 

Might that mean a sell-off is coming? Possibly. Konieczny didn’t rule it out, but is keeping various options open to “maximize value,” including restructuring, partnership or joint venture. 

In the meantime, the division cut its headcount by over 200 positions, shuttered one production plant and marked another four manufacturing sites for closure, per Plastics Today.

It’s Hump Day! Here’s a taste of the new drops and activations from the first half of the week.

⚽ Coca-Cola scored big with Manchester United, becoming the football (read: soccer) club’s official carbonated soft drinks partner in the U.K. and Europe as part of a three-year partnership. 

💀 Ahead of the upcoming film release, Liquid Death is promoting “The Toxic Avenger Unrated” with a new campaign starring Toxie himself. The new ad promotes the brand’s soda-inspired sparkling water flavors while warning about the dangers of high-sugar soda. 

👀 Boutique soda brand ROCKAWAY Soda introduced its newest flavor, Lime Mint. Each 12 oz. can features 7 grams of organic cane sugar and a “kiss” of sea salt. 

🍍 Tennis pro and Naked Chief Smoothie Officer Coco Gauff is launching her first signature fruit smoothie – Protein Pineapple Orange – featuring 20 grams of plant-based protein. 

🥤 The modern soda category has gained another entrant: Strive. Available in two flavors – Perfect Peach and Tropical Recharge – the hydration soda is set to debut at Newtopia Now. 

🆓 Check out the latest new product gallery on BevNET.

Sunnie co-founders Katy Tucker and Lisette Howard recount their path from self-funding to securing a million-dollar raise, navigating manufacturing hurdles, investor rejections, and strategic pivots along the way. They discuss knowing when an investor is the right fit, structuring raises to protect equity, and using customer relationships to unlock capital.

Tune into the episode here. Also available on Spotify and Apple Podcasts.