| | | | | | In today’s issue | 🍊🍋 Firestone Walker to Focus on Core Brands • 🐻 Anderson Valley Listed for Sale at $7.9 Million • 🍻 BA President & CEO Job Listing • 🚫 CA Closing Door On Hemp-Derived THC • 📊 NIQ: Beer Category Losses Accelerated in Aug. • 🚨 Details on Brewbound Live Keynote Speaker • 🧚 Parting Shot: Boont Amber and Fairy Ales |
|  | | | Sponsored message | The popularity of flavored beers is on the rise. From fruity sour beers to barrel-aged stouts, the flavor choices are wide-ranging. And, if you have questions about creating a successful and delicious new brewery product, the Product Development team at Allen Flavors has the answers you need.
Learn More
|
| Today's Top Story | | | Duvel Moortgat-owned Firestone Walker is staying in the beer category in 2025, and believes beer can still speak to consumer needs – even the consumers who “don’t know they like beer yet.”
The California craft brewery’s leadership team shared their 2025 plans Monday in a virtual presentation for wholesaler partners. What was decidedly missing from Monday’s presentation was the introduction of new-to-world brands, or beyond beer innovations. Brand director Hannah Barnett said: “We're committed to developing these brands year over year. Gone with the rotation nation of the past. Good brands require commitment to build.” CMO Dustin Hinz told Brewbound: “It's easy to sell new, it's exciting, but I think to be disciplined and to create multi-generational brands, they take time” “Every ounce of energy that's spent chasing a new idea, if you're not fully committed to it, it's going to erode the energy that you can put into the brands,” Hinz continued. Firestone Walker is instead planning to bring in non-beer drinkers with beer products, spearheaded by Cali Squeeze, the 5% ABV flavor-forward wheat ale brand it acquired from SLO Brewing in 2023. Firestone Walker prioritized Cali Squeeze Blood Orange in 2023, the top offering under the brand name, and were rewarded with the offering’s third consecutive year of more than +30% dollar sales growth, Barnett said. Cali Squeeze is now a 30,000 barrel brand and “could be its own brewery,” Nick Firestone told Brewbound. The brand could also be a top 20 brewery on its own in California, and has grown +46% year-to-date (YTD) in California, Arizona and Nevada, Firestone Walker’s top three markets, Barnett said, citing NIQ data through mid-July. And Cali Squeeze still has room to grow, available in 45% of the accounts that carry Firestone Walker’s leading 805 brand. One of the brewery's goals for 2025 will be closing the gap in distribution between Cali Squeeze Blood Orange and 805 Blonde, Barnett said. Additionally, Firestone Walker plans to bring in younger legal-drinking-age (LDA) consumers with the brand, emphasizing “flavor” in its marketing and branding efforts. Barnett said: “Beyond price, flavor is the single most important factor driving purchasing decisions for younger drinkers. The flavors of their parents' craft beers aren't appealing to them. These drinkers are looking for products that are packed with flavor to fit their needs.” Firestone Walker also has Cali Squeeze Variety Pack featuring four flavors: Passion Fruit, Peach Pomegranate, Tangerine Daze and Blood Orange. The offering is the No. 8 assorted pack in California, Arizona and Nevada and is up +17% YTD, with 56% the distribution of its largest competitor, Golden Road California Classics, the company shared. Firestone Walker is adjusting the variety 12-pack by replacing Tangerine Daze with a new flavor, Raspberry Lime. Insiders can read more, including a new line extension for Mind Haze that speaks to flavored malt beverage trends, Firestone Walker’s plans in the on-premise, and what brands have been deprioritized to make way for the company’s core offerings. |
| | From the Wire | | | Anderson Valley Brewing Company (AVBC) could change hands again for the second time in nearly five years, according to a BizQuest listing that offers the Boonville, California-based craft brewery for sale.
AVBC president, CEO and co-owner Kevin McGee told Brewbound: “We have some ongoing conversations with a few interested parties. But it's still very early stage and there's nothing definitive yet." The 36-year-old brewery is listed for sale at $7.9 million, which includes AVBC’s $5.4 million in real estate. Also included in the sale price are $5.4 million in furniture, fixings and equipment and $200,000 in inventory. The company generates $4.2 million in gross revenue, according to the listing. AVBC’s cash flow and earnings before interest, taxes, depreciation, and amortization (EBITDA) were not disclosed. McGee’s family acquired the brewery in December 2019 without debt or outside investors as a “long-term, multi-generational” play, he told Brewbound at the time. McGee’s parents and siblings co-invested with him to purchase the company in a cash deal from former owner Trey White. Insiders can read more about AVBC’s capacity, facility and off-premise sales data. |
| | | | The firm hired to run the search for the next president and CEO of the Brewers Association (BA) posted the ad for the role last week.
The listing follows the July announcement that BA president and CEO Bob Pease would retire in summer 2025. Pease told the Brewbound Podcast that he’ll help the incoming CEO with the transition until the end of his tenure on June 30, 2025. Kittleman & Associates wrote: “The Brewers Association seeks a leader who is passionate about the organization's purpose, mission, core values, and beliefs. This individual wants to be a leader in a robust, entrepreneurial community where collaboration, innovation, and reinvention are highly valued. “This dynamic individual will inspire and motivate members, the board, staff, and stakeholders to embrace change and seek new opportunities for members and the association, in an evolving business environment.” The role’s salary range is $300,000 to $350,000, based on experience, with eligibility for an annual performance bonus of up to 20%, per the listing. Benefits listed include: “medical, dental, vision and life insurance coverage programs, flexible spending plans, and a retirement plan matching up to 7% of salary upon meeting eligibility requirements” and “generous paid personal leave, bereavement leave, and paid holidays.” The deadline for applications is Wednesday, October 9, with the listing stating: “this role will be filled as soon as possible.” |
| | | | | Citing concerns over public health, California Gov. Gavin Newsom proposed heavy restrictions Friday on “intoxicating hemp products.” Through an emergency regulation, Newsom proposed removing food and beverage products containing hemp extract from stores within the Golden State. Newsom said in a press release: “We will not sit on our hands as drug peddlers target our children with dangerous and unregulated hemp products containing THC at our retail stores. We’re taking action to close loopholes and increase enforcement to prevent children from accessing these dangerous hemp and cannabis products.” The executive order puts very stringent regulations on hemp-derived THC products, including Delta-8 and Delta-9 tetrahydrocannabinol along with 30 new cannabinoids added to the state’s list. The new regulations ban any detectable quantity of THC from industrial hemp products meant for human consumption — which includes food, food additives, beverages and dietary supplements. This means that the new milligram limit for hemp-derived THC products is zero, relegating all THC product sales to the recreational adult-use and medicinal dispensary channels. The regulations also age-gate hemp extract products at 21 years or older with packages restricted to 5 servings. The move is intended to place harsher restrictions on the hemp extract industry as the incidence of children unknowingly buying and consuming THC-containing products has risen with the explosive growth of intoxicating hemp-derived cannabinoids like Delta-8 and Delta-9 THC, according to Newsom. Newsom lobbied for California’s Proposition 64, or the Adult Use Of Marijuana Act that legalized cannabis in the state, as lieutenant governor in November 2016. As governor he went on to help pass the state’s Assembly Bill 45 in November 2021, which addressed the use of industrial hemp as an adulterant in food and beverage. In a Friday afternoon press conference, Newsom said: “None of us expected the kind of exploitation that we’ve experienced in the hemp industry since. What we’re doing today, as relates to emergency regulations, is because of that exploitation – because of the greed of many folks in the industry.” Insiders can read more, including the response from the U.S. Hemp Roundtable and see which states are also instituting restrictions. |
| | Data Dive | | | The beer category’s off-premise dollar sales declines accelerated in the four-week period ending August 31, down -2.5% compared to -1.3% in the last 52 weeks (L52W) and -1.5% year-to-date (YTD), according to market research firm NIQ.
An acceleration in losses during the L4W indicates that beer sales lagged at the end of the crucial summer selling season, which unofficially concluded on Labor Day, September 2. In the L4W through August 31, the domestic super premium recorded the dollar sales strongest growth (+1.7%) and was the only segment to increase volume (+1.4%) in the L4W, followed by imports (+1.4% in dollars, flat in volume), and flavored malt beverages excluding hard seltzer (+0.3% in dollars, -1.4% in volume), according to NIQ. Constellation Brands (Modelo, Corona, Pacific) was the only major manufacturer to record growth in both dollar sales (+2.9%) and volume (+1.6%) in the L4W. Hard seltzer led the category in declines (-11.6% in dollar sales, -14.1% in volume) in the L4W, followed by premium lights (-6.7% dollars, -7.8% volume), malt liquor (-5.4% dollars, -8.2% volume), premium regular (-5.2% dollars, -6.7% volume), craft (-4.4% dollars, -5.3% volume), cider (-3.7% dollars, -5% volume) and below premium (-1.4% dollars, -3.5% volume), according to NIQ. |
| | Save the Date | | | How do you create a memorable event that will keep customers coming back? Russian River Brewing co-owner Natalie Cilurzo will share how the Sonoma County craft brewery created an annual event celebrating its Pliny the Younger triple IPA release in her opening keynote address to the 2024 Brewbound Live business conference on December 11. As creating meaningful experiences has become a bigger part of connecting to modern consumers, Cilurzo will explore what’s worked and what hasn’t for Russian River. She’ll share how the event has evolved throughout the years, how it’s connected Russian River’s fans in unexpected ways and what keeps their loyal customers coming back each year. The two-day conference will take place December 11 and 12 at the Marina del Rey Marriott and bring together leaders from all three tiers for business-focused conversations on driving the bev-alc industry forward, data presentations, networking and brand building. The speaker roster includes: - Rebecca Maisel, Gulf Distributing SVP legal and government affairs;
- Lauren Doll-Sheeder, Doll Distributing managing partner;
- Jennifer Grant, Markstein Sales general manager and VP;
- Zech Francis, BeatBox Beverages SVP of global marketing;
- Rebecca Dye Yonushonis, New Belgium Brewing CMO;
- Lindsay Kunkle, Foresight Factory director, head of U.S. Consultancy;
- Arthur Moye, owner and CEO of Full Circle Brewing;
- Kaleigh Theriault, director of thought leadership, beverage alcohol vertical, NIQ;
- Brian “BK” Krueger, VP of business development and portfolio strategies, Bump Williams Consulting;
- Peter Skrbek, CEO, Deschutes Brewery;
- Lester Jones, chief economist and VP of analytics, National Beer Wholesalers Association;
- Jennifer Hauke, founder and president, Draftline Technologies.
Additional speakers will be announced in the coming weeks. Interested in speaking? Follow this link to see our speaker guidelines. |
| | | | The Brewbound team is hosting a free beer industry happy hour on Sunday, September 29 from 4 to 6 p.m. PT at The Church by The Lost Abbey in San Diego! Kick off NBWA with us in downtown San Diego with industry networking, Lost Abbey beers and light appetizers. Industry professionals within the beer and beyond industries are invited to attend the free happy hour. Prior registration is required. Here are the details: Date: Sunday, September 29, 2024 Time: 4–6 p.m. PT Location: The Church by The Lost Abbey (1313 J St, San Diego, CA 92101) Learn More + Register for Free >> Headed to NBWA that week? The Brewbound Podcast hosts, Jess, Justin, and Zoe, will be recording podcast interviews on the show floor. Visit our Brewbound Podcast studio located in the Product Showcase area for a unique opportunity to connect with our Brewbound team in-person as they discuss the latest trends, industry insights, and interview key players in the world of brewing. Want to schedule some time to chat during the show? Email us at podcast@brewbound.com. |
| | Parting Shot | | | The next owner of Anderson Valley Brewing Company (AVBC) will also acquire “an unknown number of fairy doors hidden in tree trunks,” according to the brewery’s sale listing.
Spread across AVBC’s 30-acre campus and beer park are a sprinkling of tiny fairy doors, which president and CEO Kevin McGee called “one of my favorite things we’ve done here.” “I get to watch dads following their kids around the property from the window in my office,” he continued. McGee believes he’s one of the only people who knows where they are all located, aside from the artist who created them. |
| | Now Hiring | | | | | |
| Your BevNET CPG Media Subscriptions You're currently subscribed to newsletters from BevNET CPG Media. To change which newsletters you receive, update your preferences - don't miss out on topics you care about. | |
| |
|
| | | |
|