Unity Wellness Doubles Distribution
Since closing a $1.25 million Series A round last year, CBD beverage maker Unity Wellness has doubled its nationwide distribution, partnering with several new DSD distributors including Legacy Distribution Group in Colorado and Lipman Brothers in Tennessee.
The expansion comes on the heels of a brand refresh, which CEO Alex Valley said was aimed at clarifying Unity’s brand identity for consumers. The previous packaging, he noted, did not clearly communicate the brand name, leading customers to ask for “the Big Red ‘U’ beverage.” As well, the new labels have a stronger call out for the product’s hemp content and add the new slogan “Calm the F* Down.”
“We’re just trying to get a little bit more young with our branding and a little more fun on our socials,” Valley said.
In November 2020, Unity closed its Series A round led by an unnamed South American venture capital firm. At the time, the brand was sold in about 500 stores across 16 states. The company has since expanded its distribution to over 1,000 stores in 30 states. According to Valley, Unity has hired 10 new employees since the fall, largely sales reps and regional managers, and will continue to expand its team throughout the year.
Unity has also partnered with several new DSD distributors, including Legacy Distribution Group in Colorado, a subsidiary of CBD Global Sciences that opened earlier this year. According to the company, Legacy exclusively distributes CBD-infused products, including beverage brands like Mad Tasty, across CPG categories and services roughly 1,000 points of distribution in Colorado and the surrounding area.
Elsewhere, Unity has added Sunshine State Distributing in Florida, Norman Distribution in Chicago, and Lipman Brothers in Tennessee as the latter distributor’s first CBD brand. Valley said he is also in discussions with several other regional distributors that will likely come online over the next several months.
Though government regulations around CBD food and beverages have remained largely unchanged since the passage of the Farm Bill in 2018, leaving major retailers still on the sidelines of the category, Valley said interest in CBD beverages from distributors is growing. He sees the entrance of Lipman Brothers and other major regional distributors as indicators that the category has a strong future.
“Lipman Brothers taking us on, or some of these other distributors that that I’m having conversations with that are quite large, them taking a leap of faith in the CBD industry will be a really good sign for some of the huge stores that they distribute to and it will at least move the needle forward,” he said.
According to Valley, the brand is also developing new flavor innovations to launch later this year.
Looking ahead, Valley said Unity will focus on expanding its footprint in the Pacific Northwest as well as the San Francisco Bay Area. While coastal markets have seen an influx of CBD beverage entrants over the past few years, Valley said he believes Unity also has an opportunity to grow in the Midwest where the category is sparsely distributed.
“It’s an unconventional approach,” Valley said. “Most people just focus on L.A. and New York, and rightfully so for a lot of reasons. But with CBD, because you might have 100 stores in each state, the Midwest is just such an appealing option. We’d be one of one instead of walking into Erewhon and there’s like 40 CBD beverages. You know, it’s nice to be different.”
Reed’s Debuts Resealable Format
Reed’s Inc, maker of Reed’s Ginger Brew and Virgil’s Craft Soda, recently launched the company’s first resealable bottle. Previously offered in glass bottles and cans, the product will now be available in 100% recyclable and resealable 20 oz. PET bottles while the company expands into the convenience and drug store channels.
“As short as five years ago, convenience stores were for beer, soda, lottery tickets, cigarettes and coffee. Those were the only things people bought and they were obviously merchandised that way,” said Reed’s CEO Norman Snyder. “You go into a convenience store today and you can buy fresh fruit, salads, and frequently, there’s at least one door with healthier beverage options.”
The new format will debut at Kroger, select CVS locations and various convenience and drug stores nationwide. The product will be primarily available in the refrigerated and single-serve aisles for consumers.
Waterloo Continues to Drive Growth with 3,000 New Retail Locations
Waterloo recently announced new distribution across retail channels including grocery, mass, club, and drug stores, as well as e-commerce.
The brand is now on the shelf at Meijer, Stop & Shop and three divisions of Albertsons/Safeway stores, while it has also doubled its shelf presence at Target and two new Costco divisions and a rotation through Costco stores nationwide. In addition, Waterloo is entering Walgreens and CVS, marking its entry into the drug store channel. The brand is also making its ecommerce debut via Imperfect Foods.
“The momentum behind Waterloo, with sales growth three times the category rate over the past year, and our continued distribution expansion are proof of consumers demanding sparkling waters that deliver a unique, more sensorial experience and of retailers seeking products like ours that differentiate their category assortments,” said Waterloo CEO Jason Shiver in a press release.
NERD Focus Partners with L.J. Zucca Inc.
“Smart energy” drink maker NERD Focus, which was recently acquired by BevUSA, has announced a partnership with mid-Atlantic C-store wholesaler, L.J. Zucca Inc to expand distribution throughout New Jersey, Delaware, Maryland, and Pennsylvania.
“It’s been a delight working closely with NERD to bring its product to the Northeast region,” said Tom Zucca, Executive Vice President of L.J. Zucca Inc. in a press release. “Its unique formula and taste fill a gap within the beverage retailing industry and this immediately drew us to NERD.”
The partnership is aimed at expanding NERD Focus’ availability in both grocery chains and convenience stores. Intended to offer consumers an alternative to highly caffeinated energy drinks, the “think drink” beverage is available in Green Original and Blue Zero Calorie flavors for $29.99 for a 12-pack of 12 oz. cans.
BIOLYTE Now Available in Southeast Circle K Stores
Hydration drink brand, BIOLYTE, recently announced a significant retail expansion into the Southeast and southern Atlantic region of Circle K stores.
“It’s humbling to continue to reach new customers & communities through partnerships with major global brands like Circle K as we continue on our mission to help people feel better through the benefits of BIOLYTE,” said Jason Miller, Vice President of Sales for BIOLYTE in a press release.
Created by Atlanta-based anesthesiologist, Dr. Trey Rollins, BIOLYTE’s three flavors – Citrus, Berry and Tropical – are now available at Circle K locations throughout Alabama, Mississippi, Louisiana, Florida and Georgia, in addition to new QuikTrip retail locations and on Amazon.
Milkadamia Launches E-Comm Site, Growing D2C Strategy
Plant-based milk brand milkadamia has launched on e-commerce via shopmilkadamia.com.
Consumers will be able to purchase the 32 oz. milk or 16 oz. macadamia nut-based products on a singular or subscription basis. The products are delivered in 6-packs and subscription plans are available in three-month, six-month and 12-month options.
DEFY Debuts Non-CBD Beverage Exclusively at Sprouts
Performance CBD beverage brand DEFY has launched its non-CBD high-performance alkaline water exclusively at Sprouts Farmers Market stores and online. The water is produced in a solar-powered facility and contains electrolytes, calcium and magnesium with an alkaline pH of 9.5+.
“DEFY understands that its customer not only wants a premium performance beverage, they want it from a company that embodies a real commitment to social equity and responsibility,” said Sprouts SVO of Non Perishables in a press release. “We’re proud to carry brands that directly engage in making a better world by leading with values, and are owned and operated by a diverse team of forward-thinking folks.”
DEFY is black, woman, and veteran-owned and follows a “donation-per-purchase” model to support the Center for African American Health, the National Association of Women Business Owners, and Disabled American Veterans.
Simplicity Juice Adds 35 New Stores And Expands To Three New States
Indiana-based cold-press juice brand SIMPLICITY is now on the shelf at an additional 19 Whole Foods locations and 16 Market District stores throughout Indiana, Ohio, Kentucky and Pennsylvania.
The company said in a press release that the expansion is due to increased consumer demand for the healthy and immune-supporting benefits of juice due to the pandemic. SIMPLICITY cold-pressed juice and cocktails contain no added sugar, flavorings, or preservatives and have a 135 day-shelf life.
Pivot Cold Brew Expands On-Premise Distribution in SoCal Regions
Mental-boosting coffee brand Pivot Coldbrew, made with a blend of nootropics and adaptogenics, is now available at select Tocaya Organica restaurants in southern California.
Pivot founder, David Stroud said in a press release that the partnership between the two Los Angeles-based companies was a “no-brainer” considering their shared roots in better-for-you products with clean ingredients. Tocaya Organica will carry Pivot’s two latest flavors – Laid-Back Black, a medium roast, and Perfectly Sweet which is sweetened with organic sugar cane.
Casmara Club Now Available Nationwide
Casamara Club alcohol-free amaro club sodas are now available nationwide. The line contains 15 calories and four grams of sugar per bottle. Additionally, the brand’s “Alta” flavor will now be offered in cans for $36 per 12-pack.
Bomani Cold brew
Bomani’s alcohol infused cold brew is expanding across southern California adding select Ralph’s and Whole Foods stores to their existing distribution chain. The brand launched in March 2020 only weeks before the pandemic hit and is now on the shelf in nearly 1,000 stores across six states. Bomani is offered at the new locations near the ready-to-drink cocktails and hard seltzer aisle in both original and vanilla flavors for a suggested retail price of $13.99 per four-pack.
Costa Brava Cocktails Expands to East Coast For Summer 2021
California-based Costa Brava Cocktails has announced a distribution deal with Atlantic Beverage Distributors to bring the brands three SKUs – Lemon Drop, Vodka Cranberry and Tequila Margarita – to specialty retailers, independent accounts and on-premise locations throughout Massachusetts and Rhode Island.