EBOOST Surpasses 3,000 Doors Ahead of Expansion
Better-for-you energy drink maker EBOOST’s ready-to-drink line has surpassed 3,000 doors nationwide, including 1,000 accounts in New York alone, founder and CEO Josh Taekman told BevNET last month.
Speaking prior to the disruptions caused by the COVID-19 outbreak this month, Taekman said EBOOST had built out a network of DSD and food service distributors to expand the brand in grocery and convenience accounts as well as airports, offices, hotels and gyms. Among the new food service distributors the brand has partnered with are Corporate Essentials, Bluestar Vending, Champion Vending, CDC Coffee, CSS Coffee, Coremark and VISTAR.
As well, Taekman added, the brand received authorizations for a number of regional convenience store chains, including Sheetz & Rutters in the Mid Atlantic, RaceTrac in the SouthEast, ampm in the Pacific, and TimeWise in Texas. In the drug channel, the brand received authorization to enter CVS this month with a 25 store test in the Northeast and plans to expand to as many as 8,000 doors later this year.
While New York remains the brand’s largest market, Taekman said EBOOST has now targeted Florida as a key growth region and has been focusing on adding up and down the street accounts through its distribution partnership with AriZona Beverages.
In the grocery and natural and specialty channel, EBOOST has also expanded its presence in Sprouts with additional SKUs and has added Gelson’s and Fresh Thyme. However, Taekman said the brand has been cautious of expanding too rapidly in the grocery channel and has passed on potential activations, noting that in many cases the accounts would not be profitable.
“I’m running P&L’s on everything and what some of these grocers are asking for it just makes no business sense, between slotting fees and the promo schedule and all that other stuff,” he said.
In an email today, Taekman said that although the COVID-19 pandemic has had a negative impact on the brand’s on premise strategy, EBOOST has seen a surge in ecommerce sales during the outbreak and has not slowed its expansion.
“We are obviously disrupted with the corporate channels and gyms but our DTC & Amazon [business] has had a big surge and over the last two weeks we have won some major national distribution in key accounts,” he said. “Our up and down the street sales continue to grow and higher velocities. Ironically, consumers are looking for products that are healthy and support their immunity, which is part of our key attributes and plays in our favor.”
Sweet Reason Adds Big Geyser, L.A. Distributing
This month, CBD-infused beverage maker Sweet Reason announced it has partnered with DSD distributor Big Geyser in New York and has entered an incubation program with L.A. Distributing Company (LAD) in Southern California.
According to founder and CEO Hilary McCain, Sweet Reason entered LAD’s incubation program at the end of last year and said the partnership will help the New York-based brand to build a deep footprint on both coasts. In California, she noted, the company will seek to build on the state’s relatively broader market for CBD beverages and will emphasize health and wellness benefits to drive trial.
Although still a premium product — retailing for $5.99 per 12 oz. bottle — McCain noted that Sweet Reason is more competitively priced than many other CBD beverages, which can sometimes top $8 per unit.
Earlier this month, Sweet Reason was available in about 100 stores in Southern California and in about 400 additional locations in New York. McCain said that while 2019 “was about proving the concept” through limited distribution, the company’s 2020 goal is to rapidly increase its store count.
“We had previously been working with several different independent distributors, but we always had our sights on Big Geyser,” McCain said. “They’re clearly taking a leadership role in the CBD beverage space and so we’ve been in talks with them for a very long time, and we’re excited to finally launch with them.”
ALO Drink’s Jèn Collagen + Aloe Line Enters Sprouts
Aloe vera beverage maker ALO Drink announced in a press release last week that it has launched its Jèn (pronounced Zhen) line of collagen and aloe drinks in over 300 Sprouts Farmers Market stores nationwide. The line features 2,500 mg of marine collagen tripeptides per 15.5 oz. bottle.
“We value Sprouts Farmers Market’s commitment to providing healthy beverage products with special attributes such as collagen and aloe vera to meet the growing needs of today’s consumers,” said Henry Chen, CEO of ALO Drink’s parent company SPI West Port, in the release. “We’re thrilled that Sprouts customers will now have access to our drinks. Our goal is to bring more beauty into consumers’ lives by recognizing that what we consume can help us stay healthy and youthful.”
Natalie’s Expands in Whole Foods
Natalie’s Orchid Island Juice Company announced in a press release this month it has added Whole Foods Southeast region stores. The retailer, which currently carries Natalie’s in Florida, will stock the brand’s Orange and Grapefruit juices and its Natural Lemonade and Strawberry Lemonade drinks.
“Expanding our production and warehouse facilities has made it possible to not only keep up with production demands and further our distribution, it has also allowed us to offer new products,” said Natalie’s EVP John Martinelli in the release. “We’re committed to expanding our presence across the country and are excited about bringing our products to more and more people.”