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Beverage Innovation

Tracking The Drinks Marketplace


Coca-Cola Bottling Partner In India Opens New Production Plant In Uttar Pradesh

SLMG Beverages, has opened a new production facility near Amethi in the state of Uttar Pradesh. SLMG Beverages is a flagship company of Ladhani Group, a major franchise bottling partner of Coca-Cola in the country and the new facility will manufacture Coca-Cola beverages. The company plans investment of some Rs 700 crore in the plant, leading to many additional direct and in-direct jobs. 


Goldman Sachs Highlights How Monster Might Optimize Its Bang Acquisition

In a note to investors, Goldman Sachs weighed in on Monster Beverage’s $362 million Bang acquisition, which could add some $1 billion of annual revenues to Monster’s top line in a few years, if it increases its energy category share from 2 percent now to 6 percent, although that would likely replace some sales of other Monster brands. Goldman sachs outlines five ways Monster could benefit from the Bang deal: repositioning and repackaging Bang within Monster’s existing energy drink portfolio, but with clear marketing separation between the brands; leveraging Bang’s retail shelf space; positioning Monster, Bang and Reign in different price tiers and targeting different demographics, something Monster co-CEO Rodney Sacks said it would be doing; expanding Bang’s distribution via Monster partner Coca-Cola’s global network; and using Bang’s 400,000-square-foot production and distribution center in Phoenix to also make Monster products, which could improve Monster’s gross margins by moving at least some of Monster’s production in-house. 


Big Beverage Faces Consumer Group Action In Europe Over 100% Recyclable And Recycled Claims

Consumer rights group Bureau Européen des Unions de Consommateurs claims large beverage producers like Danone, Coca-Cola and Nestlé are using misleading claims when stating their bottles are “100% recyclable” or “100% recycled”, and green imagery on the bottles give consumers a “false idea” of how sustainable the bottles are. The BEUC says that the extent to which plastic bottles are made into new ones depends on many factors beyond the control of brands or customers, such as collection, sorting and recycling systems, as well as technical constraints on the materials that can be used for food and drink packaging. Lodging a complaint with the European Commission, the BEUC argues that a consumer cannot assume the water bottle will be recycled. In the EU, around half of PET bottles are recycled, according to Zero Waste Europe estimates. Although the EC does not have the right to fine companies breaching advertising rules, individual EU member state authorities can decide to do so. The companies have responded, asserting that they have made progress in reducing plastic packaging, and especially single-use and virgin plastic, and have invested heavily in packaging collection and recycling. 

Other Companies

Yerbaé Brands Co-Founder, CEO To Present Webinar On The Brand’s Strategy

Yerbaé Brands Corp., which manufactures plant-based energy beverages, has announced a webinar to be presented by co-founder and Todd Gibson on how the company will continue to disrupt the US energy drinks category. Gibson was involved in the early stages of brands including Monster Energy, SoBe and Fuze. Scheduled for November 15 on FORCE Family Office, he will talk about the brand’s strategy and its celebrity investors, including 49ers quarterback Brock Purdy, baseball’s Nolan Arenado and Giancarlo Stanton, soccer Star Kellyn Acosta, Lincoln Riley from the USC Trojans and Kyle Shanahan from the 49ers. Yerbaé Brands was founded in 2017 by Todd and Karrie Gibson and offers zero sugar, zero calorie drinks using plant-based ingredients, with yerba mate the key ingredient. 

Botanical Boost From Fentimans To Be Unveiled

Fentimans, a soft drinks and mixer brand, is introducing a new line of still vitamin- and mineral-enriched beverages. It applied to register the phrase “Fentimans Botanical Boost” with the Intellectual Property Office and the submission covers several categories, such as soft drinks containing herbs and fruit, and energy drinks and non-alcoholic drinks enriched with vitamins and mineral salts. A brand spokesperson said: “Fentimans has launched a functional still soft drink that uses a combination of vitamins and minerals to support your body’s metabolism and digestion.” Available in Cherry, Lemon and Apple flavors, the products are targeting the health drink aisle, but the brand has not disclosed specific distribution plans. 

Primo Water To Exit A Large Proportion Of Its International Business

A significant share of Primo Water’s international business, mostly centered on Europe, is being acquired by Culligan International in a deal worth $575 million. Primo’s sustainable water solutions will focus on North America and the company hopes the move will provide the flexibility to deliver organic growth and engage in “strategic opportunities complementary and adjacent to its core North American water business”. The company has a diversified operation that includes Water Dispensers, Water Direct, Water Exchange, Water Refill, and Water Filtration. It has a mix of residential and commercial customers. Completion is expected by the end of the year, subject to normal regulatory approvals.  

Scooter’s Replaces Red Bull Infusions With Its Own SCOOOT! Energy Drink

Scooter’s Coffee, which owns a chain of coffee houses, is launching its own brand of energy beverages called SCOOOT! Energy drinks. They aren’t yet being sold through retail at the moment, but the cans are used in their custom drink blends. It has previously used Red Bull as a caffeinated mixer, but now SCOOOT! Energy will be an "exclusive ingredient" in its vertigo smoothies and infusion drinks. There has been some initial fallout among customers unhappy with the replacement of Red Bull infusions, mainly on the grounds of taste and sugar content rather than the amount of caffeine. 
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