Coca-Cola Refreshments has agreed to begin distributing Core Power, a milk-based protein drink manufactured with the product of two large dairy co-ops based in West Texas, New Mexico, and the Midwest.Core Power — owned by parent company Fair Oaks Farms Brands, Inc., which operates out of a 30-person office in Chicago — is run by former Coca-Cola Co. CMO Steve Jones, best known as the man who helped tie Coke to the hit television phenomenon “American Idol.”Core Power, which is lactose-free and boasts between 20 and 26 grams of whey protein in 11.5 oz. bottles, is shelf-stable, giving it the potential to sit for up to nine months without going bad. The 5-SKU product employs monkfruit and stevia in a 150-calorie version that has 20 grams of protein, while the full-calorie version can hit 240 calories and 25 g of protein.Long range plans are to take Core Power national, according to the company. The initial plan, beginning in July, is for CCR to take over the bulk of the distribution of Core Power in Texas and Colorado, as well as Ohio, Indiana, Michigan, and Chicago. CCR will also run the product into chain grocery and other large-format stores in Arizona and Central California all the way to San Diego.
Beyond that, however, two well-placed sources within Coke indicate that Core Power is a likely target as the next outside investment from the company’s Venturing and Emerging Brands Group, which is charged with helping develop entrepreneurial companies into potential “billion dollar brands.”
Publicly, the group doesn’t discuss its investment strategy, but Jones has strong boosters within the organization; VEB President Deryck van Rensburg even went so far as to comment on the distribution arrangement in the press release that announced it, calling the brand “part of an exciting category for consumers and retailers that is still in the early stage of its growth potential.”
The release even goes so far as to say that van Rensburg views the arrangement as a great example of how Coke joins in helping to develop new, next-generation beverage brands.
The plan for the product is to go with supermarket and large-format chains through the end of the year, at which point the brand will start to look to convenience and other potential retail channels, according to Anders Porter, who is the spokesman for Fair Oaks Farms Brands.
The brand grew out of an opportunity fostered by the capacity of the 87 family-owned farms in the two co-ops, Select Milk Producers and Continental Dairy Products. Jones was working as head of a product development role at Select Milk Producers until last year, when he suggested rearranging the corporate structure to create a new product line based around the growing awareness of whey protein.
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