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Features
6 Beverage Beat 50 Beverage R&D
8 Industry Issues The latest in new product development trends.
4 | Beverage Industry | JANUARY 2019 | bevindustry.com Cover image courtesy of The Coca-Cola Co.
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WITH THE JANUARY CHILL IN THE AIR, REACHING FOR A HOT EDITORIAL
Editor
beverage becomes almost a necessity for those braving the colder
JESSICA JACOBSEN
climates. Given this chilly weather, it’s no wonder that January [email protected]
Managing Editor
also is Hot Tea Month, giving consumer publications and bloggers BARBARA HARFMANN
a plethora of tea-centric topics and celebration guides. [email protected]
Associate Editor
Although tea’s history dates back centuries, beverage manufacturers are finding new TAYLOR KARG
ways to keep this established category a “hot” topic for consumers. For example, Lipton [email protected]
introduced its Wellness line back in 2017. The wellness range was made with carefully
ART
selected botanicals and blended with essential oils to support daily well-being, the
Art Director
company says. DANA KNAPP
Roughly a year later, the brand expanded the line to include Terrific Turmeric, [email protected]
an herbal tea that features an amalgamation of turmeric, ginger and orange. Citing CONTRIBUTORS
Ayurvedic tradition, the blend is designed for aiding digestion and supporting joint
JEFF CIOLETTI
movement, the company says. Additionally, Miracle Moringa, an herbal supplement
JOHN PETER KOSS
that combines moringa, green tea and pomegranate, joined the lineup.
ADVERTISING
Analysts also have been tracking the ways in which tea manufacturers are East Coast, Canada
reinvigorating the hot tea category. In a September 2018 blog post titled “5 tea trends to BRUCE KLION
look for in 2019,” Amrin Walji, a senior innovation analyst for Mintel, pinpoints trends [email protected]
248-786-1716
from around globe. Utilizing the Mintel Global New Products Database, she selected
Midwest
five products that supports 2019 trends.
CHRISTOPHER CASEY
In addition to power teas like Lipton Daily Boost Green Tea with Ginger, Lemon [email protected]
Verbena and Turmeric from Germany, Walji highlights bold flavors (Green Hills Rum 847-894-8761
and Honey Flavored Herbal Tea from Poland), a veggie revolution (Pompadour Veggie Pacific Northwest
Mix Infusión de Verduras Relax from Spain), relaxation (Fabindia Organics Organic WAYNE WIGGINS JR.
[email protected]
India Certified Organic Tulsi Honey Chamomile Tea from India), and digestive health
Inside Sales
(Cofco Chinatea Pro Tea from Malaysia). MARIANNE MAJERUS
Analysts also note how country of origin is coming into play for the tea market. In a [email protected]
248-786-1262
June 2018 Euromonitor International blog post titled “Trendspotting at World Tea Expo
Senior Classified Sales Manager
2018,” Matthew Barry detailed how exhibitors at the expo were trying to educate tea
CATHERINE WYNN
drinkers about how unique characteristics can be found in tea types based on specific [email protected]
origins, similar to wines and grape-growing regions. 847-405-4010
“Producers were thus trying to highlight how their tea’s natural origins made it Advertising/Production Manager
unique,” he wrote. “Kenyan producers, for example, were displaying purple tea, a BRIAN BIDDLE
[email protected]
unique strain noted for its purplish tint and high flavonoid content. This was especially Corporate Reprint Manager
true of countries not traditionally known for their tea production. Producers from JILL DEVRIES
Colombia, for example, were highlighting the unique flavors of their tea and trying to [email protected]
show people who instinctively associate Colombia with coffee that it is a tea producer AUDIENCE DEVELOPMENT
as well.” Audience Marketing Project Manager
As consumers kick-off the new year, perhaps they will be warming themselves with SHERRI GRONLI
Toll Free: 800-952-6643
some hot teas that extend beyond the traditional set. 847-559-7399
CATHERINE NEAL
Audience Audit/Postal Specialist
EMAIL CONTACT:
Michael Costantino at 402-836-6266
Visit us online
[email protected]
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Go to BEVINDUSTRY.COM for archived articles, to conduct keyword searches, Human Resources & Information Technology RITA M. FOUMIA
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and to print or download articles. For high-quality reprints of articles or advertisements, PEOPLE SUCCEED Finance LISA L. PAULUS
contact JILL DEVRIES: TEL.: 248/244-1726, EMAIL: [email protected]. IN BUSINESS WITH Creative MICHAEL T. POWELL
SUPERIOR INFORMATION Events SCOTT WOLTERS
Clear Seas Research BETH A. SUROWIEC
AL CAREY,
CEO, DAWN of a
NEW DECADE
PepsiCo North America
As the sun sets on the teenage years of the 21st century, the dawn of the
new roaring twenties is upon us. For the beverage market, this new decade
will see how the emerging trends from the previous time
period will mark their place in history. Whether it’s better-for-you solutions,
MIKE REPOLE, eCommerce, cannabis-infusions or much more,
Founder & Chairman, beverages are sure to see the impact these trends will have on the
BODYARMOR future of the North American market.
PRODUCED BY:
O.C., O.B.C.,
T
he Coffee Bean & Tea Leaf brand, Los coffee and tea lovers in Central California. We’re appointment of Constantine Constandis to its Advisory
Angeles, announced that it will expand its thrilled to become part of The Coffee Bean & Tea Board. Constandis brings more than 34 years of
presence into Central California through Leaf family.” experience in the wine and spirits industry in the United
its new franchisee, Golden State Coffee & Tea Inc. To date, the Los Angeles-based chain has 312 States, Canada, Europe and Asia, and formerly was a
This news comes on the heels of the company’s stores across 14 states, and more than 1,200 senior executive at Pernod Ricard SA. As a result of
recent expansion and return to New York City locations across 30 countries worldwide. the board currently being at its maximum capacity,
with the announcement to open up 100 locations “The Coffee Bean & Tea Leaf carefully and Constandis initially will be appointed to the Advisory
during the next several years. personally selects new opportunities that will Board until the company’s next Annual General
Golden State Coffee & Tea Inc. will open 20 strengthen our customers’ deep-rooted loyalty Meeting, at which time the board intends to nominate a
The Coffee Bean & Tea Leaf stores throughout the that exists across the globe,” said John Fuller, larger Board of Directors, it says.
following six Central California counties: Kern, chief executive officer, The Coffee Bean & Tea
San Luis Obispo, Tulare, Kings, Monterey and Leaf. “We know our partner Golden State Coffee Whitestone, N.Y.-based BODYARMOR hired Brent Hastie as
Fresno. The area boasts a long coastline and parts & Tea Inc. will introduce The Coffee Bean & Tea its new president, effective in March. He will directly
of the central valley and presents an untapped Leaf’s high-quality coffee and tea to Central report to Co-Founder and Chairman, Mike Repole. Hastie
growth opportunity for The Coffee Bean & Tea California and provide new guests with the brand will oversee all aspects of the business as the brand
Leaf brand, the company says. experience they expect.” continues to expand retail distribution, kicks off its
“The Coffee Bean & Tea Leaf brand provides an As a part of the development agreement, first full year being distributed by Coca-Cola bottlers
inviting and enriching coffee and tea experience,” Golden State Coffee & Tea Inc. acquired the and looks to expand globally, the company says.
said Simranjit Sandhu, partner of Golden State corporate-owned The Coffee Bean & Tea Leaf Hastie is a 10-year veteran of the beverage industry,
Coffee & Tea Inc., in a statement. “We want to store located at 354 5 Cities Drive in Pismo Beach, most recently serving as chief financial and supply
bring that experience and high-quality product to Calif. BI chain officer of Coca-Cola North America, it adds.
Brewers Associat ion The Alkaline Water Company Inc. (A88 Infused), Scottsdale,
Ariz., announced that its wholly owned subsidiary,
notes 2018 milestones A88 Infused Beverage Division Inc., has entered into a
binding letter of agreement with Infusion Biosciences
A
s craft brewers continue to make waves being compiled, there will potentially be 1,000 Inc. (IBS), that provides a non-exclusive license to
in an evolving market, the Brewers brewery openings in 2018. utilize its proprietary Aqueous Phytorecovery Process
Association, Boulder, Colo., looked back technology, the company says. Under the agreement,
on the craft brewing community’s contributions, ■ #SeektheSeal: More than 4,000 craft brewing IBS agreed to provide A88 Infused with ready-to-
highlights and defining beer moments of the past companies have adopted the independent craft drink natural hemp-extract formulations, it adds.
year. brewer seal since its inception in June 2017,
“The brewing landscape is shifting, yet small representing 85 percent of the volume of craft Kalaheo, Kauai-based Kauai Coffee Co. announced that
and independent breweries continue to find beer brewed. Beer lovers are encouraged to hash its new Red Typica brand now is Non-GMO Project
market success,” said Julia Herz, craft beer tag #SeektheSeal via the Brewers Association’s Verified. Red Typica is available at Costco locations
program director for the Brewers Association, first-ever national advertising campaign That’s through Hawaii and online.
in a statement. “Brewers are finding ways to Independence You’re Tasting.
differentiate themselves in a competitive market, Joe Doss, president and chief executive officer of the
become pillars of communities, and embrace new ■ Community hubs: 85 percent of 21+ adults live International Bottled Water Association (IBWA) Alexandra, Va.,
experiences and occasions to connect with beer within 10 miles of a brewery. The continued has been nominated by the Berkeley Springs International
lovers.” growth in breweries means that more Water Tasting committee (BSIWT), Berkeley Springs,
The following are highlights from 2018: communities have a local brewery and it is easier W.Va., to receive its Lifetime Achievement Award.
than ever to tour or visit one. Doss has led the IBWA since 1999 and has extensive
■ Stable and steady: The craft brewing industry experience in association management, food and drug
continues to grow. The Brewers Association’s ■ Investing in the future: Craft brewers are putting matters, government affairs and public relations, the
mid-year survey measured 5 percent growth by their savings from a recalibrated federal excise association says. The award will be presented at the
volume, and although there have been signs of tax to work through economic development, new annual seminar and tasting event, taking place Feb.
slightly slower growth in the second half of the hires, increased employee benefits and pay, and 21-24 in Berkeley Springs, Calif. In other news, the
year, it is clear that craft beer sales will once again increased charitable contributions. IBWA announced its 2018-2019 officers and board of
reach a new high in 2018. directors. Lynn Wachtmann, of Maumee Valley Bottlers,
■ The haze craze: The Brewers Association added Inc., was re-elected as chairman of the IBWA Board of
■ Big impact from small breweries: As craft’s three juicy or hazy styles to its Beer Style Guidelines Directors for 2018-2019. He is a member of IBWA’s
market share has grown, so has its economic and Great American Beer Festival competition executive committee and Board of Directors. He
impact, which totals more than $76 billion. The in 2018, resulting in a record number of entries. previously served as 2017-2018 chairman. In addition
craft brewing community is responsible for Additionally, brewers continue to innovate and to Wachtmann, the following IBWA members approved
500,000 jobs, with more than 135,000 of those create emerging styles that offer new opportunities the following slate of officers for 2018-2019: Robert
directly at breweries and brewpubs. to connect with a diverse audience of beer lovers. Smith as vice chairman, Brian Hess as treasurer and
Shayron Barnes-Selby as immediate past chairwoman.
■ 7,000 strong and growing: The number of ■ Just brew it: It’s estimated that 1.1 million
breweries in the United States hit yet another homebrewers in the United States brewed Denver-based New Age Beverage Corp. announced the
all-time high in 2018, eclipsing 7,000 at the end 1.4 million barrels of beer, equal to 1 percent of acquisition of Morinda Holdings, Inc., American Fork,
of October. Although the final numbers are still U.S. beer production. BI Utah, which will expand its strategic push into
cannabis-infused beverages globally, and strengthen
its healthy-beverage portfolio, the company says.
8 | Beverage Industry | JANUARY 2019 | bevindustry.com New Age acquired Morinda for $85 million.
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“This place is like a brewer’s
creative playground,” said Nate
Armbrust, Riff co-founder and
TRUSTED
Fully traceable, fresh brewed flavor
INNOVATIVE
Slow brewed tea rooted in nature
Extensive development options
SUSTAINABLE
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T
he Coca-Cola Co.,
Atlanta, announced a new
agreement extending a
loan to The Netherlands-based
Ioniqa Technologies to facilitate
the development of Ioniqa’s
proprietary technology to produce
high-grade, recycled PET content
from hard-to-recycle PET waste.
The agreement is designed to
accelerate the development and
deployment of high-grade recycled
content PET for use in bottles used
by The Coca-Cola Co.
This investment supports the
company’s global vision to work
toward a World Without Waste,
which includes a goal to create
packaging made of at least
50 percent recycled material by
2030. The new technology supports
the circular economy for plastics
by allowing packages such as
colored PET bottles that could
have been excluded from certain
recycling streams to be recycled
into food-grade quality packaging.
The agreement is intended to
accelerate scale-up of Ioniqa’s
recycling technology for PET.
Ioniqa has developed a proprietary
recycling technology that is able
to convert hard-to-recycle PET-
containing waste like colored
bottles into purified polymer
building blocks that can be later
reformed into high quality PET. The
technology has been validated at
the demonstration scale
with value chain partners, and
a 10-kMT industrial plant is under
construction in The Netherlands
for commissioning in 2019.
“Our investment in new and
pioneering recycling technologies
is an opportunity for significant
movement toward closing the loop
and creating a circular economy
for PET,” said Robert Long, chief
innovation officer for The Coca-
Cola Co., in a statement. “We
plan to continue investment in
developing the right partnerships
and initiatives — like with Ioniqa
— to support our vision of a World
Without Waste.” BI
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Category Focus By Jessica Jacobsen
Innovation key to
juice’s future
Super-premium ALTHOUGH A STAPLE WITHIN THE NORTH AMERICAN BEVERAGE MARKET, THE
juice and juice drinks category has been challenged as other beverage categories
juices outperform have emerged as go-to options for consumers in terms of hydration and
category refreshment. Chicago-based Mintel highlights the obstacles that the juice market
has faced against these other categories in its June 2018 report titled “Juice and
Juice Drinks – US.”
“Competition from other drinks is hurting juice juice drinks market, Gary Hemphill, managing director
sales,” the report states. “Consumers do not have as of research for New York-based Beverage Marketing
strong associations with juice as they do with other Corporation (BMC), adds that some sub-segments are
beverages. For example, if a consumer wants hydration, adding value to the category.
he’ll likely choose water over juice. “Sales of juices and juice drinks continue to be soft,”
“Consumers don’t necessarily have negative he says. “While there are some bright spots particularly
associations with juice but juice does not adequately in the high end of the market, the category has
satisfy enough key occasions/need states,” the report experienced weak performance for a number of years.”
continues. “Juice brands need to focus on capturing
specific SUGAR COMPLEX
Shelf-stable bottled juices occasions.” Noting that the juice and juice drinks market is
In its report, experiencing combatants on numerous fronts, Mintel’s
(Categories)
the market report points to sugar concern from consumers as one
% CHANGE VS. % CHANGE VS. research firm of the culprits.
DOLLAR SALES UNIT SALES
PRIOR YEAR PRIOR YEAR estimates that “Consumer concerns over the amount of sugar in
Fruit drinks $2,363,735,002 0.3 1,382,043,869 0.2 total juice sales juice is perhaps the largest issue impacting the juice
Cranberry cocktail/
will reach an market,” the report states. “Forty-one percent of
$1,004,590,445 -0.6 385,650,539 -0.8 estimated consumers who don’t buy 100 percent fruit juice say the
juice drinks
Apple juice $905,225,116 -0.6 383,630,035 1.4 $19.5 billion, high amount of sugar in the juice prevents them from
which making a purchase. Unfortunately, because the sugar in
Tomato/vegetable $449,616,649 -1.9 156,365,518 -1.7 represents a 100 percent fruit juice is natural, 100 percent fruit juice
juice/cocktail
Lemonade $383,222,677 0.9 245,855,631 -1.1 1.2 percent brands can’t just lower the total amount of sugar in the
decline from drinks. Instead, juice brands need to diversify product
Fruit juice blends $319,248,467 6.9 111,818,705 7.1
five years ago. offerings and identify new opportunities through
Cranberry juice/ “Most of the product innovation.”
$279,190,220 2.3 77,157,549 2.8
cranberry juice blends
declines within Chicago-based Euromonitor International also
Orange juice $246,307,807 -4.3 104,628,163 -3.4
the market highlights the obstacle that sugar content has posed
Grape juice $225,330,127 -2.9 64,639,883 -5 are due to the to the juice industry in its February 2018 report titled
Lemon/lime juice $197,362,853 3 101,782,318 2.6 falling sales “Juice in the US.”
Sparkling juice $155,075,050 -6.4 59,133,766 -11.1 of 100 percent “Like many other soft drink areas in recent years,
juice,” the juice has struggled to overcome challenges associated
Cider $114,931,501 -2.8 37,663,452 -1
report states. with high sugar content,” the market research firm
Other fruit juice $103,401,235 -2.6 36,891,979 -0.3
“Sales of bottled states. “While consumers remain consciously aware
Prune/fig juice $101,676,959 -8.5 21,632,797 -8.2 smoothies are of the health benefits juice and its fruit parts can offer,
Cherry juice $61,575,889 -1.1 13,443,303 0.2 now also falling consumers increasingly realize that not all juices are
Grapefruit cocktail $48,547,025 -12.8 19,583,592 -16 after years of created equal.”
growth, and Noting that sugar content is a top product attribute
Pineapple juice $42,371,335 5.8 12,035,583 6.3
while juice impacting the juice and juice drinks category’s
Grapefruit juice $35,464,550 -6.3 12,367,775 -6.6
drink sales are narrative, BMC’s Hemphill highlights that the industry
Juice and drink increasing, total is seeking to address these concerns.
$28,464,796 15.5 13,837,128 4.7
smoothies
growth, will be For example, the Washington, D.C.-based Juice
Fruit nectar $14,651,404 -11.7 7,733,832 0.3 minimal.” Products Association launched sipsmarter.org, a
Apricot juice $142,546 20.4 57,903 20.2 Also website dedicated to educating consumers about
Total $7,089,102,240 -0.3 3,251,113,854 -0.2 recognizing the the science-backed health and nutritional benefits of
Source: Information Resources Inc. (IRI), Chicago. Total U.S. supermarkets, drug stores, mass merchandisers, gas and challenges of 100 percent juice.
convenience stores, military commissaries, and select club and dollar retail chains for the 52 weeks ending Nov. 4, 2018. the juice and “More than 80 percent of Americans do not eat the
continued on page 18
>>
Simply Beverages launched a new Simply Light line in four
details that following a decline in 2009, the sub-segment — each 8-ounce glass contains the equivalent
flavors: Simply Light Orange Pulp Free, Simply Light Orange with
grew in the eight subsequent years. of one cup of fruit with 100 to 130 calories, Calcium & Vitamin D, Simply Light Lemonade, and Simply Light
“In 2009, no doubt due to the weak economy, super- depending on the flavor, the company says. Lemonade with Raspberry. (Image courtesy of The Coca-Cola Co.)
continued on page 20
Used in 100% Juice Blends lSSTranslucent Color lS Neutral Flavor Sl Minimal Texture l No Added Sugars
Perrier Sparkling Mineral Water launched Perrier & beverages, the company says. are consumed by 25.5 percent of the adult population
Juice Drink, a line extension that combines Perrier’s
original carbonated mineral water with splashes of “We know a growing number of people are looking and based on a population-neutral basis, women are
natural fruit juices, the company says. (Images courtesy for more from their juice,” said Ryan Ziegelmann, more likely than men to be fruit drink consumers.
of Nestlé Waters North America) president of Evolution Fresh, in a statement at the “Fruit drink consumers tend to be young, but
12oz Sleek
Welch’s also sees potential in are drinking. But some parents limit
targeting one of the quieter generations: kids’ juice intake due to sugar.”
Generation X. With the launch of its Given the mixed bag of variables
marketing campaign Tough as Grapes, impacting the juice and juice
the juice manufacturer is focusing on drinks market, BMC is predicting Carbonated Sodas
Gen X men through a “tough and gritty” the juice and juice drinks market
look at how Welch's Grape Juice is made will contract during the next five Functional Beverages
with one of the world's “toughest” years with a CAGR of -1.3 percent.
antioxidants, the company says. “While not a cause for celebration, Sparkling Waters
The brand strategy is backed by this would represent the category’s
[email protected]
research on Gen X males where best performance since 2001-2006’s
Welch's uncovered: compound annual growth rate
■ 59 percent of Gen X men report they
are the primary grocery shopper
(CAGR) of -0.9 percent,” the report
states. BI (973) 601-8484
bevindustry.com | JANUARY 2019 | Beverage Industry | 21
ROOT OUT ROOT BEER FLAVORED WHISKY
Sure Shots Spirits LLC, Southbury, Conn.
Telephone: 908/353-1234
VANILLA OAK KOMBUCHA Internet: rootoutwhisky.com
Townshend’s Tea Co., Portland, Ore. Distribution: Select markets and online
Telephone: 503/235-3656
Internet: brewdrkombucha.com
Distribution: National
ADULT ROOT BEER FLOAT
Sure Shots Spirits LLC launched Root Out, a root
A WINTER FAVORITE beer flavored whisky. Root Out is a blend of
Back by popular demand, Brew Dr., a brand root beer flavoring with a Canadian blended
of Townshend’s Tea Co., released its Vanilla whisky that is aged for four years in American
Oak Kombucha for the winter season, oak bourbon barrels, giving it a rich root beer
the company says. The limited-edition flavor with a hint of vanilla, the company says.
kombucha flavor features a combination The whisky is distributed by Dozortsev & Sons
of fresh-scraped organic vanilla bean and Enterprises, Elizabeth, N.J. and is available in
oak steeped in a kettle with black tea, it select markets including retailers in New York,
adds. Vanilla Oak is available in 14- and New Jersey and Florida, for a suggested retail
32-ounce bottles through March. price of $25.99 for a 750-ml bottle.
CARAMEL GOODNESS
Sebago Lake Distillery introduced its newest product:
Barrel Rested Portland Rum. The spirit features
oaky flavors similar to old bourbon, some spici-
ness from the rye that formerly inhabited the
barrels, as well as the full mouthfeel and caramel
notes similar to a 100 percent pot still rum, said
Dan Davis, head distiller at Sebago Lake Distillery.
Barrel Rested Portland Rum joins the company’s
lineup of three other rum flavors: Original, KOPI
Coffee and Spider Island. The rums are available
at select retailers in the New England area.
HAVE A FUNCTIONAL DAY
Tesla Nootropics Inc. launched Nubrain California Cannabis, a functional
feel-good beverage, the company says. Nubrain contains 10 mg of raw
organic cannabis extract and the Neurocellin-patented plant stem cell
technology, it adds. The cannabidiol beverage is available in select
TO SUBMIT A NEW PRODUCT FOR CONSIDERATION,
markets in 12-ounce PET bottles and 330-ml cans for suggested retail
VISIT BEVINDUSTRY.COM/NEWBEVERAGEPRODUCTSUBMISSION prices of $2.50 and $2.19, respectively.
A BOOM OF ENERGY
Tempire Group, manufactured under a license
BOOM BOOM ENERGY DRINK
from Argo Food & Beverage International, introduced
Tempire Group, Fort Worth, Texas
its new beverage, Boom Boom Energy Drink.
Telephone: 817/808-2129
Boom Boom is designed to provide a boost of
Internet: tempiregroup.com
energy within a few minutes of ingestion for
Distribution: National
athletes, college students, businessmen and
other professionals, the company says. The
functional beverage is available nationwide in
250- and 355-ml slim cans.
MOTHER MATCHA
Mother Matcha LLC, Berkeley Calif.
Telephone: 914/584-6788
Internet: mothermatcha.com
Distribution: Select markets
Ingredients: Original Matcha:
SPARKLING ICE CRANBERRY FROST Coconut crème, water, matcha tea,
Talking Rain Beverage Co., Preston, Wash. honey and monkfruit extract.
Telephone: 800/734-0748
Internet: sparklingice.com
Distribution: National
CARBONATED CRANBERRY
Sparkling Ice, a brand of Talking Rain Beverage Co.,
introduced its latest flavor: Cranberry Frost. Cranberry MOTHER MAY I?
Frost features flavors of sweet cranberries and ginger, Mother Matcha LLC released its self-titled ready-to-drink (RTD) matcha
the company says, The limited-edition flavor comes lattes with coconut milk. Packaged in a 295-ml glass bottle, Mother
bottled in a clear, frosted label and features a mix of Matcha is available in three flavors: Original Matcha, Yosemite
cranberries and ginger inside the brand’s signature Chocolate and Berkeley Chai. The RTD beverages are available in
3-D ice cube on the packaging. select markets for a suggested retail price of $4.99 for a bottle.
FLAVORED HYDRATION
QKC LLC is launching Hoist Electrolyte Water in four
HOIST ELECTROLYTE WATER
flavors: Watermelon, Strawberry Lemonade, Dragon
QKC LLC, Cincinnati
Fruit and Orange. Available starting Feb. 1, Hoist is
Telephone: 513/207-8855
a blend of electrolytes, carbohydrates and water. The
Internet: drinkhoist.com
16-ounce bottles will be available in select markets
Distribution: Select markets
for a suggested retail price range of $1.99-$2.49.
MATURING SPIRIT
Knappogue Castle, a brand of
Castle Brands Inc., launched a 12 Year Old
Single Malt Irish Whiskey, the first of its
new Cask Finish Series. The whiskey is
matured in bourbon barrels for a minimum
of 12 years, then further aged in casks
from the Bordeaux winery, the company
says. Knappogue Castle Irish Whiskey
is made from malted barley, distilled in
copper pot stills and bottled at 46 percent
alcohol by volume. The whiskey is available OATMILK INSPIRATION
for a limited-time in select markets for a Planet Oat, a brand of HP Hood LLC, launched Plant Oat Oatmilk in four flavors:
suggested retail price of $80. Original, Extra Creamy, Vanilla and Dark Chocolate. Plant Oat is a full-bodied
milk alternative that is naturally sweet and boasts nutritional benefits from the
oats, the company says. The dairy alternative also is soy free, gluten free, nut
free and non-GMO, it says. Available in 52-ounce cartons, Plant Oat is available
TO SUBMIT A NEW PRODUCT FOR CONSIDERATION, nationwide in select retailers including Kroger, Shaw’s and Amazon Fresh, for a
VISIT BEVINDUSTRY.COM/NEWBEVERAGEPRODUCTSUBMISSION suggested retail price of $3.99.
A TOUCH OF SWEETNESS
Knob Creek Distillery, a brand of Beam Suntory Inc., LICK-YOUR-LIPS GOOD
released a new whiskey offering: Knob Creek Suerte Tequila released its annual, limited-edition
Twice Barreled Rye. Knob Creek Twice Barreled extra añejo tequila: Lucky Lips. Lucky Lips
Rye features Knob Creek Straight Rye Whiskey, features a strong oak presence with hints of vanilla,
secondarily finished in new, level four charred cinnamon, honey and date, the company says. It
oak barrels, the company says. The expression also features a golden hue that is a result of the
presents rich and savory notes of the company’s premium tequila aging in charred American white
straight rye whiskey, mingled with robust oak oak whiskey barrels for eight years, it adds. The
and a touch of sweetness from the double barrel- limited-edition tequila is packaged in a 750-ml
ing process, it adds. Available nationwide, Knob bottle and is available in select markets for a
Creek Twice Barreled Rye has a suggested retail suggested retail price of $109.99.
price of $44.99 for a 750-ml bottle.
FARM-FRESH FRUIT
Maggie’s Farm Distillery introduced its newest spirit:
Pineapple Rum, which is infused with fresh, whole
pineapples. Maggie’s Farm Pineapple Rum uses a
white rum that is vapor-infused with pineapple bark CERTIFIED HEALTHY
using a gin basket, and a dark rum component that Rye Fresh Inc. introduced its line of cold-pressed beverages: Grow Raw Organic
is macerated with fresh pineapple meat for four Lacto Fermented Juices. Packaged in 200-ml glass bottles, Grow Raw juices are
weeks, the company says. The batches are then 100 pure juice, and contain no sugar, preservatives or additives, the company
blended together and mellowed before bottling, says. The beverages also are USDA certified Organic, Non-GMO Project Verified
it adds. The 750-ml bottle features a 40 percent and BPA free. Available in select markets, Grow Raw Organic Lacto Fermented
alcohol-by-volume content and is available in Juices come in six flavor varietals: Beet, Beet & Celery, Carrot, Pickle, Broccoli,
select markets for a suggested retail price of $40. and Apple & Beet.
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The
to success
Coca-Cola completes
historic bottling initiative
AT A GLANCE
North American refranchised
bottling network finalized EMBLAZONED ON A BEVERAGE DELIVERY TRUCK OR IN-STORE, THE ICONIC
Oct. 30, 2017
Coca-Cola logo, originally invented by bookkeeper Frank Robinson in 1886,
No. of independently owned
local bottling partners has evolved into one of the most recognizable symbols in the world. Today,
68 The Coca-Cola Co., Atlanta, offers much more than carbonated soft drinks (CSDs)
Renew our Products to consumers. Distributed in more than 200 countries, the beverage giant’s
800+, including 250 low-
portfolio contains more than 500 brands that are owned by The Coca-Cola Co.
and no-calorie options
like Dasani waters, Gold Peak teas and coffees, Minute Maid and Fanta, or are
Renew Community
Donated more than 1.9 million part of investment and distribution agreements like Monster energy drinks and
beverages to hurricane and wildlife BodyArmor sports drinks.
relief efforts and $2.4 million to
veterans’ organizations since 2012. As one might expect, bottling and delivering billions 350 distribution centers, more than 50 production
of bottles of refreshment to consumers worldwide facilities, more than 55,000 employees and more than
Renew Jobs requires an agile system that not only delivers value 1.3 billion physical cases of volume.
Employs 90,000 team members to customers across the supply chain but works In a statement when the final U.S. transaction
across the United States.
seamlessly with IT, national and local partners and closed in October 2017, J. Alexander “Sandy”
Renew Understanding retailers, to enable consumers to “Taste the Feeling.” Douglas Jr., then president of Coca-Cola North
One-third of the new local To keep operations streamlined and humming America, said: “We are reshaping our business and
business system is minority owned. along, the Coca-Cola system in North America accelerating our transformation to become a total
Renew Empowerment embarked on a milestone commitment nearly a beverage company. Our system is built to respond
Global commitment to empower decade ago to reshape its North American bottling to consumers’ needs in a fast-moving and highly
5 million women entrepreneurs by operations by returning ownership to local partners. competitive environment. Returning the local part of
2020; more than 140,000 women All told, during the span of 10 years, the Coca- our business to where it really belongs and will best
entrepreneurs trained in the U.S. Cola Co. and its U.S. bottling partners worked perform — in the hands of local companies — is a
in business skills since 2013. together to execute 60 transitions, which included key enabler of the exciting transformation and growth
continued on page 30
Follow Cognizin®
*These statements have not been evaluated by the Food and Drug Administration. Cognizin® is a registered trademark of KYOWA HAKKO BIO CO., LTD.
This product is not intended to diagnose, treat, cure, or prevent any disease. Copyright ©2019 KYOWA HAKKO U.S.A., INC. All Rights Reserved.
>>
Employees at Heartland Coca-Cola Bottling
the company says. Coke Florida sells, manufactures replace bottling lines and increase capacity.
wear uniforms made of approximately 30
and distributes more than 600 Coca-Cola products in “We have 14 lines running cans as fast as 1,550 cans plastic bottles, Rick Frazier says. (Image
nearly 70 percent of the Sunshine State. a minute, and are running PET as fast as 900 bottles a courtesy of Heartland Coca-Cola Bottling)
continued on page 32
A Cutting-Edge Beverage
Bottling Company that Has It All!
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SOUTHEAST
bottling & beverage
For More Info
contact us: (352) 567-2200
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LIQUID
minute,” Taylor says. “… The Jacksonville Frazier notes the importance of
facility has enabled additional flexibility “team” within the Coca-Cola system,
in the Coke Florida system by adding the stating: “We consider every employee
capability to produce 7.5-ounce sleek cans. of our company as a member of the
“Overall, we are projected to invest family. When you are on a team, you
NITROGEN
close to $300 million back into the pull together, you win together and
company by 2020,” he continues. “Coke you lose together. When we make a
Florida’s success in the competitive decision, it is not just affecting one
beverage business is built on our ability person, it impacts a family.”
DOSING
to leverage the growth and expansion
opportunities that exist in the Florida LIBERTY COCA-COLA
market. It’s our job to figure out what BEVERAGES, PHILADELPHIA
consumers want and to deliver that to During the past year, the 4,100
them on a consistent basis.” employees of Liberty Coca-Cola
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Coca-Cola bottling partners are actively involved in the communities where they live and
work. Liberty Coca-Cola Beverages sponsors several multicultural initiatives, including the 7KH\GHYHORSHGKLJKEXVKEOXHEHUULHV
New York City Puerto Rican Day Parade. (Image courtesy of Liberty Coca-Cola Beverages)
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A clean reformulation
Blossom Water THE NEW YEAR IS A TIME WHEN MANY LOOK TO START ANEW. BUT BLOSSOM
Water LLC couldn’t wait that long, and that eagerness has paid dividends for the
adds function
Westwood, Mass.-based company when it announced in mid-2018 that it was
to lineup rolling out a reformulated version of its fruit- and f lower-infused spring water.
By way of background, the brand’s line of essence this technology.
water is the only one using a different flower “We think that is where the market is headed
botanical in each of its SKUs, bringing to the U.S. and that we have a great first-mover advantage
market aromatic flavors long appreciated by many in this area, so we couldn’t be more excited about
cultures around the world, the company says. where this will lead the brand over the next
Building on that differentiated platform, Blossom 12-18 months,” he says.
Water launched Version 2.0 of the line in June 2018
for the purpose of enhancing three product features: TAKING IT MAINSTREAM
functionality, sweetener system and packaging, says Although function was one of the first steps
Founder and Chief Executive Officer Steve Fortuna. undertaken by Blossom Water’s reformulation, the
“Version 2.0, at its very core, was designed to be a brand also revisited its sweetener composition.
mainstream functional botanical water,” he explains. “The sweetener system was completely re-
When looking to add function to its product line, engineered to one which eliminated the agave and
Fortuna notes the increasing consumer demand erythritol, and brought in a very high-grade stevia
for products that support preventive health goals as well as raw organic cane sugar,” Fortuna says.
influenced the beverage-maker. “Not much cane sugar, because we took the calories
“What we’re seeing in the marketplace is that way down.”
people are moving toward things to help prevent an He noted that the new system allowed for a
adverse health situation from occurring in the first 55 percent drop in calories and carbohydrates
place,” he says. compared with the previous version; Blossom Water
Citing a Datamonitor survey that questioned now boasts a Nutrtion Facts label of only 10 calories
28,000 consumers around the globe, Fortuna says in each serving, or 20 calories in each 16.9-ounce
that immune health was the No. 2 most-desired PET bottle.
benefit in food or beverage, second only to general “It’s all part of the clean label,” Fortuna says.
health and wellness. “What we have now with high-grade stevia and
Blossom Water is addressing immune health a little bit of raw organic cane sugar is certainly a
by adding Staimune, a shelf-stable probiotic much cleaner, healthier blend than the prior agave
manufactured by Cleveland-based Ganeden, now and erythritol.”
part of Kerry Group. “We are using … a shelf- As to its impact on flavor, Fortuna enthuses that
stable probiotic, which is an inactivated culture the sweetener refresh actually has elevated Blossom
that provides all the immune health benefit of live Water’s flavor profile. “Our flavors are brighter,” he
culture,” Fortuna says. explains. “There’s now even more fullness of flavor
Fortuna explains that the decision to in the bottle than there was before. So we think we
add Staimune came as more consumers hit a home run because, typically, when you want to
have expressed an interest in probiotics. add function and reduce sugar, it’s almost a given
“There has been an increasing that you’re going to have to compromise on taste.
awareness over the past years of the But, in fact, most of our customers prefer the taste of
benefits of probiotics,” he says. Version 2.0 to that of Version 1.0.”
Because consumers traditionally have In addition to function and flavor, Blossom Water
been limited to kombucha or other knew that if it wanted its ready-to-drink beverage to
sour-tasting fermented products when be mainstream, it would need to shift its packaging
seeking probiotics in a food or beverage, from glass to PET. “We wanted everybody to be able
Fortuna explains that the market was to drink this,” Fortuna says. “PET is good for those
ripe for a light and refreshing water that on the go because it’s lightweight with no breakage
could offer the same immune health risk. Good for an active lifestyle is what we’re
benefits. saying.”
Noting that the functional ingredient The new packaging format also has allowed
does not impact the water’s flavor, the water brand to penetrate channels previously
Fortuna expects Blossom Water is at an inaccessible, such as educational and hospitality
(Image courtesy of Blossom Water LLC) advantage by being an early adopter of settings. For instance, it is currently rolling out at
an elite Cambridge, Mass.-based university and is was partly driven by discussions with category
in testing with two luxury Las Vegas hotel chains, buyers across various retail channels.
Fortuna explains. “Mango is definitely trending strongly,” Fortuna
Beyond the primary packaging, Blossom Water says. “And so is hibiscus. It’s a flower that is well
also updated its label. “What we found was the recognized and used extensively throughout Latin
original label didn’t really give the shelf pop that America and many other parts of the world. …
we needed, so we moved to a white matte finish,” We wanted to take fruits and flowers that are
Fortuna says. recognizable, on-trend and, of course, that make for
All these tweaks have begun to pay off. “We a delicious combination.”
have re-engaged in-store sampling activities now “The mango has a sweet, ripe taste and aroma
that Version 2.0 is out, and our sales at such events that is complemented by the tart, cranberry-like
have more than doubled,” Fortuna says. “We’re hibiscus,” he continues. “The flavor’s only [been]
extraordinarily encouraged that we can be in any out a few months and so far it’s 100 percent thumbs
given grocery store … and be moving two or more up on feedback.”
times the amount of Version 2.0 than we did at the Introducing Mango Hibiscus and its other flavors
very same store with Version 1.0 just six months to the U.S. marketplace is not unlike what happened
earlier. with coconut water several years ago, Fortuna
“People are really digging the probiotics, they’re suggested. “Coconut water was a staple drink in
digging the package,” he continues. “They like the South America long before it was marketed and
lower calories, and they love the flavor.” became a success story in this country.”
That’s a model of how to bring something with a
SWEET INNOVATION proven multicultural appeal to the American palate,
In conjunction with the release of Version 2.0 was he added. “We’re doing much the same with flower
development of Blossom Water’s newest flavor: botanicals, taking what’s been appreciated in other
Mango Hibiscus. parts of the globe, and making it available here in
Noting that the company tests a lot of fruit and a flower-plus-fruit combination that’s both novel
flower botanical essences, Fortuna explains that the and familiar at the same time and, above all, tastes
decision to formulate a mango-flavored product great,” Fortuna concluded. BI
WWW. ZAHMNAGEL.COM
e-mail: [email protected] / phone: 716.537.2110
Maintaining a
steady course
Beverage sector THE AESOP’S FABLE “THE TORTOISE AND THE HARE” PITS THE SPEEDY HARE
bright spot in against the plodding tortoise in a race of the “Davids versus the Goliaths.” With a
slow-and-steady approach, the tortoise emerges as the race’s victor. Although not
supermarkets a children’s story, competition in the supermarket channel has become a “race” as
competition for shoppers heats up between brick-and-mortar stores and online
options.
Changes in the entire consumer packaged goods consumer interest in top-performing non-alcohol
(CPG) landscape, particularly with eCommerce beverages are adding key health benefits and
and even cashless options, is rocking the landscape. excitement to the channel.
Beginning in 2012, supermarkets began losing “Benefits include excitement (fizzy), unique flavor
leadership share to other multi-outlet (MULO) retailer combination, electrolytes, vitamins and energy,” she
channels, including supercenters, dollar stores and says. “Key products introductions include Nestlé
drug stores, according to Chicago-based Mintel’s Splash, LIFEWTR, CORE, glacéau smartwater, Red Bull
July 2018 “Grocery Retailing – US” report. The Green Edition and Powerade X Ion 4.”
In 2018, supermarket sales were an estimated At 9.8 percent growth, energy drinks are the top
$319.6 billion, a 1 percent increase over the previous category growth leader in terms of dollar sales while
year. In 2019, the market research firm forecasts unit sales are up 9.7 percent. Bottled water continues to
supermarket sales of $323.1 billion and MULO sales of perform well, with dollar sales increasing 7.5 percent
$351.3 billion, an increase of 1.1 percent and 1.9 percent, and unit sales up 4.9 percent. Sports drinks dollar and
respectively, the report states. unit sales saw increases of 3.9 percent and 2.1 percent,
“While supermarkets continue to grow and comprise respectively.
nearly half of total sales, other MULO is collectively Not to be outdone, sales of alcohol beverages also
growing at a faster pace,” the report states. “Walmart is are faring well in supermarkets. For instance, premixed
the primary ‘other’ MULO retailer, pulling sales away cocktails/coolers saw double-digit dollar sales growth
from supermarkets, with 56 percent of its sales coming of 48.8 percent and increased unit sales of 29.8 percent.
from grocery, up from 14 percent 20 years ago in 1998.” Yet, the industry average in multi-outlets plus the
Winston-Salem, N.C.-based Inmar Analytics’ 2018 convenience sector is comparable, with dollars of 52
“Future of Food Retailing” report also points to the percent and units of 31.7 percent, Viamari notes.
changing times and the fact that the traditional grocery Although growth in this sub-segment is occurring
channel is losing dollar share to the non-traditional within a small base, Viamari thinks it is an up-
grocery channel including supercenters and wholesale and-coming trending area. “We have seen a lot of
club stores such as Walmart, Costco and Sam’s Club. innovation in this area, as consumers seek exciting,
In 2017, a recorded 25,243 traditional supermarkets lower-carb, lower-calories, on-the-go adult beverage
were in operation, a slight 0.5 percent decrease versus options,” she says. “Key product launches include
2016. However, the report states that traditional White Claw Hard Seltzer, Truly Spiked and Sparkling
supermarkets increased dollar sales by 1.3 percent to and Barefoot Refresh.”
$445.7 billion. “Traditional supermarkets ended 2017
with a 35.9 percent dollar share,” the report states. PERSONALIZING PROMOTIONS
Susan Viamari, vice president of Thought Leadership To keep pace with consumer spending being divvied
at Chicago-based Information Resources Inc. (IRI), up between a variety of non-traditional formats, Jon
elaborates that the grocery channel saw unit sales slide Hauptman, senior director at Inmar Analytics, Winston-
1.1 percent, while dollar sales ticked up 1.3 percent. Salem, N.C., suggests that traditional supermarkets
Although the channel has lost dollar and unit share should refocus on trying to better understand shoppers’
to club, convenience and dollar stores during the past needs, and meeting and exceeding their expectations
year, the beverage sector has been “a bright spot” through personalization.
during that time, Viamari says. “For example, they’re personalizing promotions
“Dollar sales [of beverages] were up 2.4 percent via digital offers to ensure they’re relevant to each
>>
increase as more retailers accelerate their digital at an annualized rate of 1.6 percent to $686.1 billion The rise in sparking and still waters is increasing
penetration in traditional supermarkets, experts say.
strategies and expand their omnichannel capabilities. over the five years to 2023,” it states. BI
(Image courtesy of Nestlé Waters North America)
<<
Baby, it’s
cold outside
Even though it’s cold
<<
outside, this doesn’t Driving iindustry
d t di diversity
it
stop consumers from S&D Coffee & Tea and Specialty Coffee
partaking in the Association (SCA) announced that five coffee
consumption of their professionals will be participating in a new
favorite frozen cocktails. two-year Leadership Equity and Diversity
This month, Rabbit (LEAD) Scholarship program. The scholarship
launched a freezable is aimed at increasing leadership diversity
cocktail maker that within the global coffee community by
allows consumers to allowing access to professional development
make Margaritas, frosé, piña coladas and resources to people from underrepresented
other frozen cocktails using their own or marginalized communities. The group
freezers. The set includes a silicone will attend an SCA origin trip, a community
cocktail carafe, neoprene sleeve, lid, professional event and complete their choice
muddler, stir spoon and recipe of a Coffee Skills Program course or AST
booklet. The bar accessories are Certification. Chosen from 60 applicants,
designed for the at-home mixologist the 2018-2020 LEAD Scholars are Karla Ly
who loves to throw parties anytime Quinones, Lisette Barbera, Smayah Uwajeneza,
of the year, the company says. Stephanie Alcala and Taya Brown.
CARPE
DIEM
BY BARBARA HARFMANN
MANAGING EDITOR
DID YOU KNOW? 8.1%
I
n the film “Dead Poets Society,” actor Robin Williams
famously encourages his students to embrace “carpe With more consumers seeking protein in
diem” or “seize the day.” For me, this ubiquitous phrase
is resonating even more now that the new year is here. Yes, it’s
powders and ready-to-drink beverages, the
time for “wiping the slate clean” and starting anew with plans global sports nutrition market accounted for
to eat better, exercise more, etc.
So, what will 2019 hold for the beverage industry? Several $28.3 billion in 2016 in the United States and is expected to
market research firms and experts revealed their upcoming top reach $45.2 billion by 2022, growing at a compound annual
trends and predictions.
In a statement, Will Bernat, co-chair of Nutter, McClennen & growth rate of around 8.1 percent between 2017 and 2022.
Fish’s food and beverage group, suggests that the hunger for
innovation will continue with larger beverage brands continuing — Research from Zion Market Research in a report titled
to acquire smaller, niche brands. “Sports Nutrition Market: Global Industry Perspective,
Given the fact that coffee is no longer a morning-only Comprehensive Analysis and Forecast, 2016–2022.”
beverage, Bernat predicts that cold brew will continue to be
“hot.” “Like craft beer, cold brew is a vast category and ripe
TRENDS
in the alcohol
the key to success in the beverage industry.
Boston-based Crimson Hexagon, a data
analytics firm, pulled consumers’ insights
about alcohol consumption trends from
social media posts, reddit, online forums
44% WHITE WINE CONVERSATION Craft beer isn’t new on the scene, but
data suggests that the interest in
craft beer is changing. More women
male are becoming craft beer
Designed for the craft beer industry, Krones Inc. offers the Craftmate,
an affordable can filler that features a smaller footprint and a filling
SEALING THE SOLUTION The Craftmate offers innovative technology
capacity of between 80 and 250 cans a minute, it says. (Image courtesy As the demand for canned including electropneumatically controlled filling
of Krones Inc.) beverages increasingly becomes valves, a compact design, easy machine clean-up
Cap it up
Consumer trends TO CREATE REPEAT CUSTOMERS, BRANDS MUST CONSISTENTLY DELIVER ON
their product promises. As beverage SKU proliferation continues, manufacturers
inf luence caps,
and their caps and closures suppliers must stay up-to-date with the latest
closures market market and consumer trends in order to do so. According to Cleveland-based The
Freedonia Group’s 2017 “Global Plastic Caps & Closures by Product, Market and
Region” report, beverage caps and closures accounted for 66 percent of the overall
global caps and closures market in 2016, and will continue to account for a majority
of the demand in the future.
However, the market research firm notes that several or reducing material from our plastic closures, Silgan
major caps and closures applications for beer and Closures has designed a metal closure that will hold a
carbonated soft drinks will lag, while bottled water seal on a plastic jar,” Miller says.
applications will continue to grow. Augustin de Tilly, global business development
Global demand for caps and closures is projected to development for beverages at Aptar Food + Beverage,
increase 3.6 percent a year to nearly 2.4 trillion units, Crystal Lake, Ill., notes the consumer demand for
valued at $63 billion, by 2021, the report states. Value convenience and functionality from packaging as a
gains will be driven by growing consumer preferences prominent trend in the caps and closures market. “We
for closures that offer convenience and ease-of-use have seen a continued acceleration in the conversion of
advantages, as well as safety features, it adds. non-functional packaging into functional formats such
The healthy-hydration trend specifically is driving as dispensing spouts on pouches, dispensing closures
the caps and closures market, experts say. “There is and sports closures,” he says.
a substantial market emerging that is best described “As a result, the demand for convenience is
as healthy hydration,” says C.J. Rapp, chief executive increasing,” he continues. “When designing new
officer at Karma Culture LLC, Pittsford, N.Y. “It is products, our aim is to make the life ‘easier’ for the
bigger than a fitness beverage or low-calorie offering. consumer when they are experiencing the product.”
Consumers want low-to-no calories. They want the Conversely, caps and closures manufacturers also
beverage to support a healthy lifestyle; and water by must tend to their own trend needs. “The caps and
itself falls short on functional attributes. So what the closures market is not only influenced by consumer
consumer really wants is water with benefits.” trends, but also by the needs of bottlers and brand
A.J. Miller, marketing manager for Downers Grove, owners,” says Clint Rush, director of marketing and
Ill.-based Silgan Closures, echoes similar thoughts on business development for Indianapolis-based Closure
the wellness trends that are impacting the caps and Systems International (CSI).
closures market. “Consumers’ desire for healthy/ “CSI continues to have six overarching trend
wellness products has increased the use of certain categories against which most of our innovation
processes, which has increased the use of certain initiatives are aligned to satisfy consumers, bottlers and
materials,” he says. brand owners alike,” he says.
Miller points to the high-pressure processing (HPP) The following are trends recognized by CSI:
trend as one of those processes. “Products like fresh- ■ Wellness: closure suppliers should deliver packaging
pressed juice use HPP,” he says. “HPP keeps a lot of sealing solutions for healthy beverages and closures
the nutrients intact that would not survive a hot-fill that enhance package safety and security.
process. By using HPP, the consumer receives more ■ Consumer convenience and functionality: a trend
nutrients in their beverage. that warrants package development focus in order to
“HPP puts products under very high pressure, which increase brand marketability and to deliver consumer
requires packaging that will give under pressure then value.
return to its original shape,” he continues. “As a result, ■ Brand promotion and decoration: helps brand
plastic bottles with plastic closures or film with plastic owners communicate relevance, drives sales and brand
closures are broadly used with HPP.” loyalty, and generates shelf differentiation.
Another trend impacting beverage closures is ■ Product integrity and preservation: it is critical
eCommerce, Miller says. Lightweight packaging that consumers’ beverages taste fresh, authentic and
for eCommerce is preferred because of less costly consistently live up to expectations.
shipping, and the package still is able to hold up ■ Cost reduction: one of the most critical components
against the abuse a package endures during the facing consumer packaged goods companies.
shipping process, he adds. ■ Environmental stewardship: requires companies
>>
CSI manufactures custom Carafe Closures, a double-wall cap friendly materials, including bio-based operational efficiency.”
that offers aesthetics that are ideal for differentiating dairy, juice
and other non-carbonated beverages, Clint Rush says. (Image resins and recycled content. CSI has made As Karma Culture’s Rapp puts it, “This is only the
courtesy of Closure Systems International) it our mission to combine closure/bottle beginning.” BI
Barry Fenske
Krones, Inc.
(414) 409-4300
[email protected]
Packaging
seweurodrive.com | 864-439-7537
Beverage
altogether. For example, CBD conversations resonate main interest point for beverage marketers should
most highly with 30-34 year olds and peak between be its strong perception of delivering mental energy,
9-10 a.m. Will CBD infused smoothies and juices be the focus, memory and alertness with an extremely high
new healthy pick-me-up for Gen X? sentiment and therefore trust (L-theanine overall net
However, CBD is hardly new news to innovators. sentiment is 78 percent compared with CBD at 48
Several products already have launched, and as a percent).
trend it’s showing signs of moving into maturity. This, This net sentiment is particularly interesting in
coupled with the ongoing uncertainty surrounding comparison to said ingredients when you consider
legislation restrictions, means that if you’re a food some of the negative associations and hang-ups
and drink innovator looking to gain a first-mover consumers still perceive CBD and kava to have. Could
advantage, you should perhaps turn your attention L-Theanine be a safer ingredient that can be added to
elsewhere. beverage products to deliver on the plant-based and
This is where Trendscope can help by giving you nootropics macro-trends we see growing?
an overview of all the category themes, benefits and GABA – the outside bet?
ingredients — allowing you to determine between
what’s a short-term fad and a long-term trend. Your
Maturity
business can then prioritize the fast growing trends that #197 phase:
will sustain growth into the future. TPV rank* Growing
Kava – risk and reward?
Maturity 4,850 +7%
#3 phase: conversations YoY
TPV rank* Growing *Of 1,400 category ingredients
CREATOR’S BRIEFS
COMAX TASTEPOINT BY IFF ultimate decision-maker. The
FLAVORS OPENS HOST FIRSTASTE EVENT 20 percent juice sweetened
INNOVATION CENTER Tastepoint by IFF recently hosted a taste innovation drink served up 7 grams of
Comax Flavors announced event called FirsTaste geared toward inspiring, pea protein and 1 gram of
the completion of the Dr. providing insights, know-how and depth of watermelon seed protein in a
Peter J. Calabretta Center for information to customers, it says. RTD format containing 8 grams
Innovation in Marlton, N.J., One of the main highlights, the Innovation of protein in each 8-ounce
which soft opened July 25, Showcase, took the theme, “A Fresh Take on Taste,” serving.
2018. The new Center for and included more than 20 new product designs, The following were
Innovation comprises 3,600 flavors and technologies. The showcase featured additional beverage industry
square feet and features innovative concepts produced by the company’s concepts and creations
state-of-the-art application creative and applications team. available:
and flavor labs as well as Playing off of the plant-based trend, Tastepoint Oat relaxation beverage: Relaxation beverages are
customer conference and shared a plant-based tahini beverage. Made from on the rise and this honey lavender oat dairy drink
tasting rooms. sesame paste, this beverage boasts a 60 percent is derived from oat straw. Modulation tools help to
“Our new center is an area for creative inspiration sugar reduction as compared with traditional reduce the sugar without compromising taste, it adds.
designed to assist our customers with the proactive sweetened plant-based milk alternatives, and the Cascara-flavored beverage: Sustainability and
development of innovative ideas, flavors and products overall perception is improved with natural mouthfeel waste-reduction trends have turned the outer skin of
and help grow their success in an ever-changing and and sweetness modulation flavors in tandem with the coffee cherry into a thriving product whose high
competitive market,” said Michael E. Crain, senior vanilla flavor. Together, the modulation tools and antioxidant levels make it desirable for functional
flavor chemist for Comax Flavors, in a statement. vanilla round out the sweetness profile and contribute beverages, the company says. The cascara flavor
The new facility will allow Comax to work more to the full-body mouthfeel that you’d expect from was showcased in a flavored energy seltzer, boasting
closely with the company’s customer base to provide milk, according to the company. 45 milligrams of caffeine in each 12-ounce serving.
new and innovative product concepts and flavors, With ready-to-drink (RTD) protein beverages Candied cantina: Plays off of the ginger and fennel
enable ideation, creation and rapid prototyping, aid maintaining their popularity, Tastepoint utilized trend and is showcased in vodka and bourbon spritzers.
in customer problem-solving and proactively support masking technology, in addition to creative flavor and French 75-Inspired beverages: These sparkling
Comax’s creative flavor and application capabilities modulation technology, to bring this trend to life, it cocktail combinations featured nostalgia with a twist,
with the R&D teams, it says. explains. Utilizing a natural honeysuckle and nectarine the company says.
■ Comax Flavors, 130 Baylis Road, Melville, N.Y. 11747; flavor, a protein and matcha tea beverage delivers to ■ Tastepoint by IFF, 7800 Holstein Ave., Philadelphia, Pa. 19153;
800/992-0629; comaxflavors.com. those looking for protein but for whom taste is the 800/523-0767; tastepoint.com.
Used in 100% Juice Blends lSSTranslucent Color lS Neutral Flavor Sl Minimal Texture l No Added Sugars
No need to be blue
Berry f lavonoids, IN THE 1997 ROCK SONG “A CHANGE WILL DO YOU GOOD,” MULTI-GRAMMY
award-winning artist Sheryl Crow sings about the importance of change. With
antioxidants
an increased emphasis on health and wellness, the vibe in the beverage industry
boost immunity also speaks to the importance of “changing it up” by manufacturing products with
functional ingredients, including the immune-boosting power of antioxidants.
John Sauve, vice present of marketing at Artemis more natural approach but it can present hurdles in
International, Fort Wayne, Ind., notes the widespread terms of flavor, with many popular superfruit juices
“antioxidant acceptance” permeating the market. presenting significant taste challenges. That’s before
“When a beverage brand like Bai brings the science- you even consider the high cost of most superfruit
based world of antioxidants and free radicals to the juices.”
retail and consumer forefront … and then gets Justin As a solution, Kicoyne suggests using a superfruit
Timberlake in the game, you know there is something juice that’s rich in polyphenol antioxidants, that tastes
going on. great, but won’t break the bank. He also points to
“The macro trend, one that makes the difference, science-backed research behind Concord grape juice.
is the consumer’s growing trust, understanding and “Research has shown that Concord grape juice
acceptance of the need for antioxidants in their daily delivers more healthy polyphenols per serving than
lives, led by a few really big marketers who continue most other popular superfruit juices,” he says. “In
to penetrate the market with ‘all things antioxidant,” one study, Concord grape juice was found to have a
he continues. “The connection of fruits (mostly berry polyphenolic concentration of 2.6 mg GAE/ml. By
flavonoids) and the ‘very active’ antioxidants story contrast, blueberry juice has 2.3 mg, acai and black
is now two decades old since the wild blueberry cherry juices each had 2.1 mg, which cranberry juice
industry introduced the USDA/ORAC assay results had 1.7 mg. Only pomegranate juice outperformed
on antioxidant capacity onto the scene in 1997 — a Concord grape juice with 3.8 mg.”
milestone marketing event for building the awareness
and interest in antioxidants.” DEFEND TO THE END
Thomas J. Payne, industry specialist to the U.S. According to Webster’s dictionary, antioxidants
Highbush Blueberry Council, San Mateo, Calif., notes are “substances that oppose oxidation or inhibit
the emphasis on natural, wholesome ingredients plus reactions promoted by oxygen or peroxides.” Simply
health and wellness, which has had a favorable impact put, antioxidants contained within beverages
on blueberry beverage development. or food defend the body against cell-damaging,
“Consumers equate blueberries with antioxidant unstable molecules known as free radicals and stop
power and consequently readily accept them as the destructive process of oxidation, says Randy
an ingredient in almost any product,” Payne says. Kreienbrink, vice president of marketing for BI,
“There is always a lot of interest in blueberries as the Rancho Dominguez, Calif.
antioxidant superfruit, especially since blueberries are “The ongoing clean-label evolution continues in
often referred to as the original superfruit. the beverage space,” he says. “Raw, fresh, natural,
“Not only do blueberries have an all-American organic and non GMO [are] all trends pushing for
association, [but] as a native American fruit, they are botanicals to be used in beverages.”
an excellent choice for product developers who want to Kreienbrink lists several ingredients containing
project a responsible carbon footprint,” he continues. phytochemicals, antioxidants and natural vitamins
Blueberries and fruit in general have a positive image and minerals that might help the body ward off the
among consumers who consider fruit an almost- common cold and aid in cancer prevention. These
guiltless “right choice,” Payne adds. “Blueberries include guayusa, green tea, guarana, kola nut,
appeal to the fastidiously health conscious as well as turmeric, yerba mate, tamarind, hibiscus, rose hips,
to unapologetic pleasure-seekers,” he says. “With their passion flower, acai, blueberry, cranberry, papaya,
fruity burst in the mouth flavor and healthy profile, faba bean, pumpkin seed, acerola, chi and quinoa.
blueberries give products lush taste, broad appeal and Due to consumer demand, beverage-makers are
clean labels.” adding these natural ingredients in a variety of
Kevin Kilcoyne, vice president and general manager ready-to-drink juices, teas, carbonated soft drinks,
of Welch’s Global Ingredients Group, Concord, Mass., waters and more.
suggests there are two ways to make an antioxidant- New products and ingredients continue to burst
rich beverage: add functional ingredients to a base onto the scene. For instance, GacLife LLC offers gấc,
formulation, or use a superfruit juice with polyphenols a line of health and beauty waters, which uses the
>>
Known as the “fruit from heaven,” gâc offers a self- as the base to provide health-related benefits. vibrantly-colored, orange-reddish superfruit found
titled line of health and beauty waters in 12-ounce “The first option might be cheaper, but can present in indigenous Southeast Asia, in 12-ounce slim cans
slim cans, which contain 20 mg of natural carotenoids
from pure gâc juice, the company says. (Images challenges in terms of maintaining a clean label,” in six flavors: Lemon, Pineapple, Peach, Sparkling
courtesy of GâcLife LLC) Kilcoyne explains. “The second option is usually the Mango, Sparkling Lemon and Sparkling Passionfruit.
Texan tenacity
Del Papa Distributing DEL PAPA DISTRIBUTING, VICTORIA, TEXAS, CAN TEACH OTHER WHOLESALERS
rises in face of a thing or two about weathering the storm — literally and figuratively — including
the challenges wrought by both Mother Nature and the nature of the rapidly
market challenges evolving beer distribution landscape.
It’s unfortunate that any operation has to become areas.” From a delivery standpoint, bulk trailers
adept at natural disaster preparedness, but lately are far more efficient, but they pose a problem in
it’s been a sign of the times. And Del Papa’s location those narrower locations. Even though Del Papa is
puts it in the middle of hurricane territory. The following the national trend of shifting toward end-
most recent one to strike was last year’s devastating loaders, it does keep a few side-loaders in its fleet for
Harvey and the Anheuser-Busch (AB InBev) those specific environments.
wholesaler had to ensure that its three distribution Then, there’s the perennial challenge of recruiting
centers in Texas City, Beaumont and Victoria, Texas, and retaining CDL drivers. As a work-around, Del
were all up and running in its aftermath. Papa has explored expanding its use of smaller
“It involves a lot of planning with our leadership trucks that don’t require CDLs to operate.
and trying to identify which areas that we could An added wrinkle is that Del Papa operates in the
actually deliver to immediately after the storm and heart of the petrochemical industry. “So, when the
keeping our guys out of harm’s way and out of areas oil business is booming, they tend to need a lot of
where they shouldn’t go,” says Eric Joseph, Del drivers and we tend to lose them to that industry,” he
Papa’s vice president of operations. “It’s basically us explains. “I’m not sure the rest of the country deals
DEL PAPA DISTRIBUTING having a war-room-like scenario where we identify, with that as much, but each area has its own issues.”
‘ok, what stores are open and can we go there?’” An issue that everyone faces, regardless of what
Beaumont, Texas City and Victoria, Texas Usually in such scenarios, Del Papa delivers a area they’re in, is figuring out new ways to reduce
Annual case volume: 10.6 million limited set of SKUs, mostly the high-volume brands, fuel consumption. Del Papa has had some success
just to ensure that it can get product on the shelf. reducing its drivers’ idle time. After five minutes of
Total employees: 385 total (62 drivers)
“Typically we’re working with a skeleton crew idling, the vehicles automatically shut off. “In the
Key suppliers/brands distributed: AB InBev, because, like in the instance of Harvey, some guys past, the guys would just leave the truck running
Constellation, St. Arnold’s, Karbach and couldn’t get to work because they were flooded in,” for however long they were in the account,” Joseph
Galveston Island Joseph says. recalls. “We don’t allow that.”
Delivery areas: 17 counties along the Additionally, many suppliers’ products can’t get Additionally, the tractors have been governed to
Gulf Coast of Texas with distribution centers to Del Papa’s warehouses and it’s a matter of what’s 65 miles an hour.
in Texas City, Beaumont and Victoria, Texas. already in stock, he explains. “Unfortunately, we’ve Route optimization is another key. Encompass
Fleet makeup: nine eight bay trucks, five16 kind of gotten good at this sort of thing, with some of Technologies supplies Del Papa’s route accounting
bay tractor/trailers, 42 rear-load tractor/ the stuff that’s happened around here lately.” system and a couple of times a year, the software
trailers. The tractors are International, Fortunately, though, most of the year Del Papa’s reps lead routing exercises to help ensure that the
rear-load trailers are Utility and side- load is not having to deal with natural disasters, just wholesaler is running as efficiently as possible.
trailers are Hackney. the usual, day-to-day challenges that pervade the “They’ll come down and help us map out all of
beverage distribution industry. Right-sizing the our accounts and just make sure they’re routed
vehicles in its fleet is efficiently, that we’re not double-tracking if we don’t
one of those ongoing have to, trying to keep everything in sequence where
issues. it makes sense,” Joseph says.
“There are a lot This past year, the company partnered with
of different market GeoTab for its GPS solution, which has provided
demands and trying valuable diagnostic information that Joseph and his
to right-size a vehicle team are able to see in real time.
to meet all of the “So, if the engine’s overheating or the driver’s
different demands we speeding, we get those alerts, generally in real time,
face is a challenge,” that we can act upon,” Joseph adds. “That has helped
Joseph notes. “And us control some behaviors with our drivers.”
what I mean by that As the new year has just begun, Del Papa has
is we typically have resolved to enhance its investment in driver safety.
rear-end-load trailers The distributor currently is in discussions to install
— we’re 90 percent in-cab cameras, facing in and out of the vehicle.
rear-end load — but The company also has been purchasing tractors
then trying to find the with blind spot warning systems to alert drivers
right-size trailer to to any vehicles in the lanes into which they’re
>>
Del Papa Distributing’s fleets are equipped with route optimization and use automatic vehicle
shut-off after five minutes of idle time. (Image courtesy of Del Papa Distributing/Jeff Cioletti)
fit some of the tight switching. BI
© Allied Electronics & Automation, 2018 Get your A&C fill at alliedelec.com 1.800.433.5700
Operations
systems improve of pollution produced grows with it. Research and policies regarding waste have
been prevalent for many years now and the consumables market is doing its part
manufacturers’ to lessen the environmental burden. Determination for creating a greener earth is
footprint driving beverage suppliers and consumers to reduce, reuse and definitely, recycle.
For instance, the Florence, Ky.-based National ■ Reduced waste management costs: less waste to
Association for PET Container Resources and the manage and less labor required to prepare waste
Washington, D.C.-based Association of Plastic materials
Recyclers announced a recycling rate of 29.2 percent ■ Environmental impacts: reduced greenhouse gas
for PET plastic bottles in 2017. This percentage is emissions and overall energy consumption
slightly higher than the 2016 rate of 28.4 percent,
reflecting a decrease in both total collection volumes ALL-AROUND ASSETS
and volume of PET bottles available for recycling in As beverage companies strive to improve their
the United States, the associations reported. environmental impact, new trends and packaging
However, primary packaging materials are not materials are meeting consumer preferences for
the only ways in which suppliers are furthering the sustainability.
sustainability movement. The requisite for consistent As a result, beverage companies are diversifying
return-on-investment (ROI), accurate reverse logistics their product offerings to meet emerging consumer
and standardized deliveries motivates beverage needs, according to ORBIS’ Zitzke. “More consumers
industry players to implement reusable packaging want authentic craft beverages, so small-scale
systems. manufacturers and distributors are focused on
“The reusable packaging market is embracing delivering specialty products,” she explains.
growing conversations and awareness around “Because specialty products are transported in
environmental sustainability,” says Alison fewer quantities, packaging — such as reusable
Zitzke, senior product manager for ORBIS Corp., handheld totes — that can accommodate smaller,
Oconomowoc, Wis. “Manufacturers continue more frequent shipments is required. Also, with
to produce innovations for new and evolving the increase in mindful consumption, consumers
sustainability trends and industry needs. The more are buying healthier alternatives. As a result, sleek
reusable solutions there are in the industry, the more 12-ounce cans are being used over traditional cans,
sustainable options supply chains have to improve which can impact the design of reusable packaging.”
their environmental impact.” Manufacturers also are introducing new ways to
Reusable packaging systems not only minimize reduce labor needs and the number of touchpoints
a company’s carbon footprint, but can provide during delivery, Zitzke says. “One packaging
monetary benefits, experts note. In Linden, Va.-based solution is mobile merchandising,” she says.
Reusable Packaging Association’s (RPA) 2016 report “Reusable packaging — such as pallets and totes that
titled “Think Outside the Box: Think Reusable,” have a mobile mechanism — makes transporting
the association outlines the monetary benefits of product from the truck to the store aisle, or storage
implementing reusable packaging systems: room, more seamless and less labor intensive.”
For example, the company manufacturers the
■ Improved ergonomics and worker safety: ORBIS Pally, which is a combination of a pallet and a
standardized package weights, sizes and materials dolly. “It can switch from static to mobile mode with
reduce risk of injury one press of its pedal,” Zitzke explains. “This saves
■ Reduced inventory time at delivery so more focus can be put toward
and just-in-time delivery: customer service.
standardized packaging and “Another solution is small-format packaging,”
ordering quantities improve she continues. “Reusable packaging with smaller
tracking, reduce errors and dimensions improves efficiencies during the delivery
the amount of time inventory process. As more retailers decrease brick-and-mortar
is idle and nonproductive footprints, they will need small-format pallets and
■ Quality improvements: totes that can easily fit through tighter doorways and
durable, uniform containers aisles.”
stabilize loads and prevent Zitzke also details how bulk loads and
product damage transportation demands are impacting the reusable
■ Packaging material cost packaging market. “Reusable bulk containers offer
reductions: longer useful many transportation efficiencies for bulk loads,”
>>
The ORBIS Pally is a combination of a pallet and a dolly that can switch from
static to mobile mode with one press of its petal, Alison Zitzke says. (Image life means less replacement she says. “Their durable, heavy-duty design
courtesy of ORBIS Corp.) materials allows maximum fill volume — such as the ORBIS
MAXCUBE — and maximum storage and return visibility, reduced manual shipment logging,
ratios – such as the ORBIS OpteBulk.” uncovering loop inefficiencies, improved packaging
“For maximum truck packout, manufacturers are utilization and reduced packaging loss,” ORBIS’
introducing right-sized bulk containers to fit more Zitzke says.
containers per truck and more pack designs than ORBIS offers a range of tracking solutions to
traditional bulk packaging,” she adds. help manage reusable packaging systems. “ORBIS
The ORBIS MAXCUBE, a 40-by-48 or 45-by-48-inch Reusable Packaging Management services include
reusable bulk container, and the OpteBulk, are used the use of its proprietary ORBIS SmartTrak software,
for primary packaging components such as beverage which integrates with customers’ systems and
preforms, caps and closures, Zitzke says. accepts data input from different technology
The company also designs inbound beverage solutions,” Zitzke says.
pallets, top frames and layer pads, typically used by “With ORBIS SmartTrak, companies can monitor
can and bottle manufacturers. their packaging and have visibility of inventories,
Before beverage-makers and distributors invest in-transit quantities and historic data.”
in reusable packaging, several factors should As experts have noted, companies that combine
considered, experts note. reusable packaging, like pallets, with management
“Beverage-makers and distributors should systems, can not only achieve a higher ROI, but can
consider their supply chain loop,” Zitzke says. significantly reduce their environmental impact.
“Reusable packaging systems are best managed For example, this past October, the RPA announced
in a closed-loop supply chain. Because reusable Anheuser-Busch InBev (AB InBev) as one of the two
packaging is meant to return to its original user, winners in the 2018 Excellence in Reusable Packaging
track and trace technology, such as barcodes and award program.
radio-frequency identification (RFID) or GPS, can “Anheuser-Busch InBev (AB InBev) won for their
help ensure packaging makes a complete loop design and implementation of a comprehensive
successfully. maintenance, reusable pallet, and logistics system
“This decreases packaging loss, regulates cleaning that significantly reduced waste, increased reusable
and maintenance, and further protects users’ packaging lifespan, and reduced CO2 impact by
investment to achieve their [return-on-investment] 30 percent,” the association said in a statement at the
ROI targets,” she continues. “Packaging management time of the announcement.
services such as ORBIS’ Reusable Packaging Although the benefits of using a reusable
Management, can help companies put a management packaging system likely outweigh the drawbacks,
system in place to track and maintain their reusable it does have its associated challenges, experts
packaging fleet.” say. “When not managed properly, supply chains
The RPA also touts the feasibility of closed-loop can skip crucial steps in the reusable packaging
systems. “Closed-loop systems are ideal for reusable ownership process, such as repairing damages,
transport packaging,” the report states. “Reusable tracking proper movement, and properly cleaning
containers and pallets flow through the system and and sanitizing the packaging,” ORBIS’ Zitzke says.
return empty to their original starting point (reverse “Improper management can create waste due to
logistics) to begin the entire process again.” lack of visibility, leading to unplanned downtown,
When it comes to reusable packaging systems, lower productivity and packaging loss,” she
the association also recognizes pallet and container continues. “It also could hinder ROI measurement if
pooling as an alternative option. “With pallet and the number of trips per year cannot be calculated due
container pooling, companies outsource the logistics to unreturned packaging.
of pallet and container management to a third-party “However, with the right education and service
pooling management service,” the report states. “The provider, a management system can be implemented,
pallets are delivered to the companies; palletized so savings and efficiencies are quickly realized,” she
products are shipped through the supply chain; then says.
a pallet rental service picks up the empty pallets and As consumers trend toward decreasing their
returns them to service centers for inspection and environmental footprint, beverage-makers and
repair. Pooling pallets are typically made of high- distributors work to do the same. The proliferation of
quality, durable wood, metal or plastic.” reusable packaging systems and materials likely will
Open-loop shipping systems also are an option, continue as sustainability stays top of mind.
according to the RPA. Open-loop systems require “The beverage industry can expect to see more
the assistance of a third-party company, who sets up mobile packaging options and bulk delivery
the pooling network to facilitate the return of empty systems,” Zitzke says. “Because of the increase in
reusable transport packaging (reserve logistics), it aluminum can production — a 20 percent increase
says. The pooling management company also might since 2011 — more bulk, lightweight solutions will
provide various services such as supply, collection, be needed to ship more product per trip. This, paired
cleaning and repair of reusable transport packaging, with mobile distribution solutions, results in a more
it adds. efficient retail supply chain, from warehouse to the
aisle, in less time and with less hassle.”
PUTTING IT ALL TOGETHER As SKUs constantly grow, beverage supply
Certain management systems like tracking systems, chains strive to maximize their ROI, by realizing the
>>
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Supplier’s Marketplace
NEWS
Milwaukee-based Universal Robots (UR)
is merging its Boston office with Rethink
Robotics’ Boston-based headquarters
and hiring more than 20 former Rethink
employees. The move will reinforce both
companies’ roles in collaborative robotics
and Rethink’s personnel will bring
valuable expertise in engineering, product
development and customer applications to
UR, the company says.
NEWS
United Kingdom-based Linx Printing
Technologies Inc. upgraded its 8900
series of Continuous Ink Jet (CIJ) printers
with new software that is producing 33
percent faster print speeds for one-line,
seven drop-high print at as fast as 440
meters a minute, the company says. The
combination enables higher production
output in high-speed bottling applications,
it adds.
LED illuminat ion
Dirk Berndt was elected to the Photonics21 Smart Vision Lights, a manufacturer of LED
Board of Stakeholders for the European illumination for machine vision applications,
Machine Vision Association (EMVA), introduced the DFLW-200 dark field washdown ring
Barcelona, Spain. With more than 2,500 light, the company says. Available in an anodized black
members, Photonics21 unites the leading aluminum housing, the IP68-rated, large-diameter light
features the multi-drive driver, which allows the light
photonics industries and relevant research
to work in continuous operation or OverDrive strobe
and development (R&D) stakeholders within
mode. Additionally, SafeStrobe technology applies
Europe’s economic value chain.
safe working parameters to ensure that high-current
Catch the wave LEDs are not damaged when driven beyond their
Honeywell Intelligrated, Mason, Ohio,
WaveGrip offers the WaveGrip G1 to help breweries limits. The DFLW-200 uses a microlens turning film.
highlighted a new collaboration with Fetch streamline their manufacturing processes while When combined with high-power LEDs, the microlens
Robotics, Fort Mill, S.C. The companies providing a sustainable, environmentally friendly turning film directs a beam of light at a 25-degree angle
will work together to provide distribution solution for the multi-packing of beer cans, the toward the object, resulting in a highly concentrated
centers with autonomous mobile robots to company says. The fully automatic applicator runs at and uniform field of illumination, the company says.
help them more effectively fulfill growing a top speed of 100 cans a minute and is designed to The technique gives large-diameter dark field ring
volumes of eCommerce orders. The initiative provide material and labor savings, the company says. lights an extended working distance with no loss of
enables the company to help its customers Weighing less than 4 grams for a standard six-pack light intensity or uniformity, the company says. Other
increase productivity and boost labor and using less material than comparable multi-packing features include an industry-standard 5-pin M12
efficiency by deploying the robots to safely solutions, WaveGrip is one of the lightest carriers on the connector that makes for simple wiring and a 1–10V
operate alongside workers without human market, it says. Additionally, all WaveGrip carriers are DC analog signal line that gives the user total control
guidance or fixed paths in the warehouse, 100 percent recyclable and meet current U.S. packaging over intensity in continuous operation mode.
the company says. regulations by being photodegradable. ■ Smart Vision Lights, 2359 Holton Road, Muskegon,
■ WaveGrip, 52585 Dequindre, Rochester Hills, Mich. Mich. 49445; 231/722-1199; smartvisionlights.com.
48307; 248/652-0557; wave-grip.com.
Milwaukee-based the OPC Foundation has
elected Juergen Weinhofer, vice president
of common architecture and technology at
Traceable
Milwaukee-based Rockwell Automation, to compliance
its Board of Directors. Weinhofer will help Cole-Parmer highlighted its
lead the OPC Foundation in its mission one button plug-and-play
to create standards that allow multi- Digi-Sense TraceableOne
vendor industrial internet of things (IoT) single-use USB temperature
technologies to securely and reliably work data logger with calibration.
together, the company says. Designed to ensure effective
cold-chain management,
Charles Ross & Son Co., Hauppauge, each single-use data logger is
N.Y., appointed Gregg Drames as a traceable to NIST standards
and comes with a traceable
regional sales manager. He will cover the
certificate. The compact
Mid-Atlantic region, including Delaware;
data loggers are ideal for
Maryland; Washington, D.C.; southern New
measuring temperature
Jersey; and parts of Pennsylvania. Drames
and/or humidity and
will be based in Newtown Square, Pa. remain at set parameters
Improved wearables during transport, storage or
Madison Chemical, Madison, Ind., Spartan Parts, a subsidiary of Fogg Filler Co., offers experiments, the company
unveiled a new website, MadChem.com. custom parts design and fabrication for commercial says. The pre-programmed
The site details the company’s lineup filling equipment. The parts were developed to support loggers measure typical temperature ranges and
of formulated chemicals for cleaning equipment upgrades and consumable parts in a feature alarm set-points that allow a quick check for
and sanitation within the craft brewing beverage plant. Among the range of wearable parts outliers. The data loggers auto generate PDFs when
and beverage industry. The site provides Spartan offers are hard to find stainless steel bearings; plugged into a computer and no software or driver
technical information on the company’s vent tubes featuring automated, sanitary welds inside is required to download data. Flashing red and green
products, safety data sheets, customer and out; new and improved diaphragms to prevent LEDs indicate device is recording data with interval
testimonials and more. Customers also can delamination and reduce cracking in areas of high updates every one, three, six or 10 minutes, the
search for MadBrew solutions, including stress; and lifter brushings, it says. company says.
clean-in-place (CIP) acid cleaners, CIP ■ Spartan Parts, 3455 John F. Donnelly Drive, Cole-Parmer, 625 East Bunker Court,
alkaline cleaners, lubricants and specialty Holland, Mich. 49424; 616/377-7150; spartanparts.com. Vernon Hills, Ill. 60061; 800/323-4340; coleparmer.com.
products like peroxide additives.
May 6 – 9
¨ 2019
Rosemont, Illinois
KEYNOTE PRESENTATION
What Will Drive Future Sponsored by
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Market Insights
printing sees more is the demand for direct printing to cans so high? They also might ask, why is it so
high right now?
opportunities
The following are key drivers of this packaging Craft brewers are producing relatively small batches
trend: of beer with frequent special runs and seasonal
■ Growth in short product runs driven by the craft variants a key part of their offering. They package their
beverage industry product in cans because they offer superior protection
■ Growth in mass packaging customization of against UV light and oxygen, the two biggest threats
mainstream products: special pack variants for to freshness. Beverage cans are lighter than bottles,
specific events or retail outlets thereby cheaper to transport and 100 percent recyclable.
■ Desire to avoid the high cost and recycling issues Because their entire surface can be decorated, they offer
associated with shrink sleeves marketers much greater retail shelf-presence to attract
■ Growth in use of fully recyclable metal packaging consumers.
generally, at the expense of plastic Large multi-national beverage companies need to
cost-effectively produce lower volumes of beverage
Beverage can decoration is beginning the familiar packaging for a variety of reasons including test
journey that many other print applications have taken. marketing, music festivals, sporting events, regional
The market demands larger and larger numbers promotions, competitions and export opportunities.
of short print runs that traditional flexo and offset Although the recent focus and demand has been beer
printing cannot fulfill at a reasonable cost, making a related, there are a growing number of other products
digital solution an enticing option. Three variables are that are packaged in cans. Besides carbonated soft
concurrently impacting this market: the increasing drinks and energy drinks, water now is often sold in
popularity of recyclable metal over non-recyclable cans as the move away from plastic packaging gains
plastic primary and secondary packaging; the craft momentum, and we are seeing wine and pre-mixed
beverage explosion; and the general trend for mass- cocktails in cans growing in popularity.
customization of packaging in traditional beverage
markets. BESPOKE OR TURNKEY?
Currently, a brewer wanting cans decorated using Given the popularity of aluminium cans, addressing
traditional analog processes will be looking at a printing solutions also is of concern for beverage
minimum order of 100,000 units before the cost of manufacturers. Tonejet’s Cyclone can printing system
printing plates and job setup is justified. A brewer is self-contained and designed for use by label printers
wanting a 10,000 can run could use pre-printed shrink or packaging converters that might previously not have
sleeves, which have to be assembled to the can by a dealt with this market, as well as by experienced can
specialist packaging converter. The same batch printed handling facilities.
digitally direct-to-can using Tonejet technology will Cans are shipped from manufacturing facilities on
save the brewer 2,000 British pounds and will avoid the pallets containing about 7,000 cans, which need to be
recycling headache created for the consumer by plastic unloaded ahead of printing, and re-loaded onto pallets
shrink sleeve labels. after printing. Customers from a printing or converting
The short-run craft beer market is exploding. In background typically will need a depalletizer, an
1980, there were fewer than 50 brewing companies in oven for curing the over-varnish that is applied, and a
the United States, and little product differentiation. By repalletizer.
2017, following a five-year surge in growth, there were Customers in the can manufacturing or filling
6,300 craft breweries in the United States representing business might only require the core Cyclone printing
23.4 percent of beer sales, providing consumers with a system.
diverse range of beer and hard cider styles, based on
data from the Brewers Association (BA), Boulder, Colo. PROCESS ADVANCEMENTS
>>
Digital direct-to-can printing can offer cost savings and technology like what Tonejet offers due to its ability
sustainability benefits. (Image courtesy of Tonejet Ltd.)
to directly print onto cans in lower volumes as a
allowing Tonejet-printed cans to run through the way to communicate with consumers. For example,
necking process with the decoration untouched. Tonejet printed cans in very low quantities for
Craft beer and small- to medium-sized filling the Tomorrowland music festival sponsored by
lines on the other hand, will buy undecorated Anheuser-Busch InBev. Ten thousand cans were
blank cans, which are pre-necked. These cans are printed using 15 different designs featuring national
immediately printed before filling and present flags in runs between 15 and 1,400. The ability to
different challenges, as the external surface will digitally print directly on the cans made the project
be contaminated with necking oil and PTFE anti- possible. Traditional printing would have been
slip materials used to prevent damage in transit. prohibitively time-consuming and expensive.
Tonejet has developed a can preparation process that Digital printing also is in strong demand from
removes the contaminants and leaves the surface of entrepreneurs and start-ups, offering mobile filling and
the can in perfect condition for printing, immediately packing to the craft sector, or creating new beverage can
before the image is laid down. converting service businesses. BI
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EXPERIENTIAL A new kind of offering
DRINKING
To showcase its new line of handcrafted espresso
drinks, Dunkin’ teamed up with BBDO NY to create
Premium
BY TAYLOR KARG
Associate Editor
a new campaign titled Sipping is Believing. The fully inspiration
integrated campaign includes TV, radio, social Earlier this year, Bacardí
A
midst the happy hours, an
media and on-premise displays. “With our new
activity my friends and I enjoy introduced its Premium
doing is trying out different espresso lineup, we’re now offering a terrific espresso
at a great value, delivered at the speed of Dunkin’,” Collection of rums; however,
local breweries. As we attempt to
expand our beer palates, the experience said Tony Weisman, chief marketing officer for most recently, the company
and feel of the establishment also is an Dunkin’ US, in a statement. “We believe the rich unveiled the first ad campaign
important factor. and smooth taste of our new handcrafted espresso
The craft beer for the collection. Titled The
creates a powerful new choice for America’s growing
industry has been
community of espresso drinkers.”
Angel’s Share, the campaign
booming since the
early 2000s and the
was co-directed by actor and
Boulder, Colo.-based filmmaker Michael B. Jordan,
Brewers Association and uses a short-film to tell the
reported a 5 percent- Show your spirit story of family, heritage and the
by-volume increase SVEDKA Vodka launched its first
of craft brewer sales national brand campaign in more than Bacardí premium rum-aging
in 2017. As more and more beer styles
appear in the market, consumers are
five years titled Bring Your Own Spirit, process, the company says.
finding new ways to enhance their which includes TV spots, creative digital
craft-drinking experience. marketing and social media content. The
A November 2018 Nielsen Insights brand’s new message channels its original and energizing
titled “How the Taproom Phenomena brand ethos through vibrant imagery, captivating content,
Sip a Coke,
is Helping Reinvigorate U.S. Craft
Beer Sales,” states that “taprooms
and declarative language, the company says. “SVEDKA has play some golf
stood out for years with its loyal fan base for its edgy and Sports entertainment venue Topgolf announced it
and tasting rooms are providing new
and creative experiences for craft beer provocative point of view,” said Jim Sabia, chief marketing recently added The Coca-Cola Co. as an official
drinkers to engage with their favorite officer for Constellation Brands, in a statement. “We beverage partner. Topgolf guests now can enjoy
brews.” believe that the brand’s new Bring Your Own Spirit platform more than a dozen Coca-Cola products in all of
Data from Nielsen and Nielsen CGA represents the consumer of today — one that is fearlessly its 46 United States venues, as well as at Topgolf
indicates that the popularity of original, has a distinct point of view, and makes no apologies Crush events and through special partnership
experiential drinking venues is on the
for who they are or what they do. This campaign showcases activations, the company says. In addition to
rise, particularly among younger craft
drinkers, the Insights states. “In fact, the dynamic energy and sense of place that connects the Coca-Cola, Topgolf will serve Coke Zero Sugar,
within the past year, 23 percent of consumer intimately with the SVEDKA brand, creating a Diet Coke, Sprite, Fanta Orange, Barq’s Root
millennials have visited a brewpub, tangible sense of good times in the immediate future.” Beer, Minute Maid Light and, vitaminwater zero.
13 percent of millennials have visited Guests also will be able to order Gold Peak Tea,
a groceraunt to grab a meal or a drink,
Dasani, smartwater, Topo Chico and Simply juices,
and 14 percent of millennials have
visited a game-based bar,” it says. it adds. “Few brands can put a smile on a person’s
However, millennials aren’t the only face like Coca-Cola beverages can. We’re proud
demographic that desire new places to those moments of happiness will now be created at
drink, the Insights states. Data from Topgolf,” said Brian Radics, chief marketing officer
Nielsen and Nielsen CGA found that at Topgolf, in a statement.
15 percent of all U.S. consumers of
legal drinking age say they have visited
a brewpub/taproom in the past three
months, with 42 percent saying they
had visited more than they did a year Super Bowl, super artists
ago, it says. Ahead of Super Bowl weekend, Bud Light announced it is
The increasing trend of experiential hosting the first-ever Bud Light Super Bowl Music Fest from
food and drink establishments can be
Jan. 31 to Feb. 2 at Atlanta’s State Farm Arena. The three-
attributed to the moderate growth of
the craft beer industry overall, it adds. night festival will give football fans and the city of Atlanta an
As craft beer works to hold its place opportunity to enjoy the artists they love and pay homage to
in the industry, it will be interesting to the city’s history of iconic artists, the company says. Artists
see what new experiences craft brewers include Bruno Mars, Cardi B, Ludacris, Migos and Aerosmith.
will bring to the table.
demanddetroit.com/engines/DD8
DDC-EMC-ADV-0032-0617. Specifications are subject to change without notice. Detroit Diesel Corporation is registered
to ISO 9001:2008. Copyright © 2018 Detroit Diesel Corporation. All rights reserved. Detroit™ is a brand of Detroit Diesel
Corporation, a subsidiary of Daimler Trucks North America LLC, a Daimler company.
THE FREIGHTLINER M2 106 WITH THE ULTRA-EFFICIENT DETROIT™ DD8™ ENGINE.
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on the road. The versatile Freightliner M2 106. Keeping businesses like yours on the move and profitable. The DD8
and DD5TM are equipped with Detroit Connect Virtual TechnicianSM remote diagnostic service for maximum uptime.
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With a legend under the hood you don’t just run the route—you conquer it.
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Competitive financing available through Daimler Truck Financial. For the Freightliner Trucks dealer nearest you, call 1-800-FTL-HELP. FTL/MC-A-1483. Specifications are subject to change without notice.
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