Kurt Smith

Interesting take on the battle for consumers during months like Sober October and Dry January from Stephanie Cain 👇 Her commentary below with link in comments 🍻🥂🍹 The wine industry has launched an assault on #SoberOctober and non-alcoholic beverages as if the sole existence of the booze-less category is to put a hit against wine. With its new campaign, Come Over October, wine folks are declaring you should grab a glass instead of going sober, because wine brings people together. Instead, #wine should really be looking at their core messaging because that's why wine is declining. At the #ComeOverOctober kick-off party, I had a conversation with a salesperson of a wine distributor. He attempted to be ok with the evolution of wine by explaining that ready-to-drink, single-serve wine brand, BeatBox, marketed to the 21 to 25-year-old set, was crushing the market. He was all for it. While the brand has wacky flavors like blueberry lemonade wine, he felt that every wine consumer “starts somewhere.” It was promising to him because he said they would “continue their wine journey” and start “drinking real wine.” So many problems here but here is the big one: They don’t often continue the wine journey. News flash, wine people! Consumers don’t have time. We don’t desire it. We want to build connections, not spend the evening only discussing what we want to drink. We have jobs and travel and bills to pay and kids and dogs and aging parents and hell, we just want to buy a house. We have no job security. We have been hit with recession after recession. Right now, inflation is making our groceries cost some 40% more. You really think we are jumping at the time-consuming task of learning about wine? Get real. We’ll grab a #Martini. And start ranting. Which is exactly what I'm doing in today's The Mad Ones 👇 Link in comments. #health #wellness #marketing #alcohol #alcoholfree

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Shanken News Daily Impact Databank: RTDs And Tequila Resilient As Spirits Market Slows .........Tequila is another bright spot. While growth has slowed into the single-digits, agave-based spirits are expected to surpass vodka for the first time and become the industry’s largest category in dollar value terms by sometime next year. Tequila marketers are investing in innovation to keep the momentum going. Jose Cuervo, the nation’s largest-selling Tequila, recently released Devil’s Reserve, a spicy-flavored 30% abv offshoot, retailing at a suggested price of $21 a 750-ml.................... Passing Vodka????????? Thats impressive. If you arent in the tequila or mezcal game you should be. Beverage Solutions || Big Dog New York LLC can help. I think quality flavored tequilas and different expressions will be the next wave of growth within the agave category. Jose Cuervo Proximo Spirits

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A deep dive into CAVA... Everything from our full-service origins to our fast-casual founding, Zoes Kitchen acquisition, IPO, current strategic initiatives, and more... Thanks to Danny Klein, Sam Danley, and QSR for the coverage and telling our story. #restaurants #fastcasual #mediterranean #ipo #categorydefining Take a read here 👇 https://lnkd.in/euKkTdbi

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Constellation Brands Inc. saw its stock climb during premarket trading on Thursday following an upward revision of its adjusted fiscal 2025 profit forecast, surpassing analyst predictions. The company also reported a robust fourth-quarter profit, driven by the stronger-than-anticipated performance of its beer division. CEO Bill Newlands highlighted the beer business's consistent volume growth over 56 quarters, coupled with impressive margins, although wine and spirits sales experienced a decline. https://lnkd.in/ggNU_G9r Constellation Brands Bill Newlands Branded Hospitality Ventures #Technology #Business #Innovation #AI #investing #venturecapital MarketWatch

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Here’s yet another shrink-to-grow portfolio move (speculated) in the food space.  If it wasn’t clear before, it is now: big food companies are VERY focused on improving growth and apparently shedding slow-growth anchors is a preferred lever in this environment. This strategy is understandable, because they can control a divestiture more than trying to make an acquisition, or a series of acquisitions.  Of course, they still need a counter-party to do a deal, but this specific business and others that have been announced, discussed or completed (e.g., Kellogg and cereal, Unilever and Ice Cream, General Mills and Yogurt) is big enough that the public markets are always a viable transaction partner. If you needed any more convincing (which you probably don't), the divestiture bandwagon suggests some conviction about future growth levers in the big food c-suite: 1. The pricing window is truly closed.  Pricing has driven topline in the recent past but now organic growth will have to come from other sources – and the only foreseeable catalysts for unit growth are lower pricing (no thank you, apparently) or innovation (see point 2). 2. Innovation confidence is low.  Small food companies are the innovators and growth-makers in this industry.  They are taking share and have been for over a decade.  Apparently the big guys do not expected this to change anytime soon. 3. Portfolio growth exposure = growth reality.  Big food companies are growth-takers.  They grow at the underlying growth rate of their combined geographies and categories – faster growth will come if they can improve this underlying growth exposure. https://lnkd.in/gaNBYeKS

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In recent years the beverage industry has witnessed a remarkable shift driven by the preferences of younger consumers. Two emerging trends, non-alcoholic spirits, and boba, have captured the attention of younger folks and are experiencing significant growth as a result. According to the article, one-third of consumers ages 18 to 24 abstain from alcohol altogether. This shift in drinking habits has paved the way for the emergence of non-alcoholic drinking options, providing consumers with sophisticated and flavorful alternatives to traditional alcoholic beverages. #DrinkingTrends #YoungConsumers #Boba #NonAlcoholicSpirits

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Diageo doubles down on non-alcoholic spirits with the acquisition of Ritual Zero Proof & now owns three of the five world's largest non-alcoholic spirit brands Ritual Zero Proof was founded in 2019, and became the #1 non-alcoholic spirits player in the US after joining Diageo’s accelerator program in 2020. Five reasons why this deal makes sense: 1) Fast growing: The US non-alcoholic spirits has been the fastest growing category with +31% L5Y CAGR. 2) Incremental: 94% of non-alc buyers in the US also purchase alcoholic beverages, spending on avg $292 more than households exclusively purchasing alcohol demonstrating the incrementality of the category to beverage alcohol. 3) High Right-to-Win: Ritual is already a #1 non-alcoholic spirits player in the US, with a strong market position and tailwinds 4) Synergistic: being a #1 player globally in both alcoholic and non-alc spirits Diageo is well positioned to build on Ritual’s current success and scale it up further leveraging its GTM muscle and category expertise 5) Close to the Core: being a part of Diageo’s accelerator (Distill Ventures) since 2020, Ritual already knows what it takes to make cooperation with a spirits giant successful, limiting risks of integration challenges Exciting times for Diageo 𝗔𝗯𝗼𝘂𝘁 𝘂𝘀: FF&A solves the most complex strategic problems of the world's largest FMCG companies across Corporate Strategy, Organic Growth, Digital RTM (eCommerce, DTC, and eB2B) and M&A. 14 out of the world's 20 largest FMCG companies are repeat Clients 𝗧𝗼 𝗸𝗻𝗼𝘄 𝗺𝗼𝗿𝗲, 𝗰𝗳. 𝗼𝘂𝗿 𝗹𝗮𝘀𝘁 𝗙𝗠𝗖𝗚 𝗠&𝗔 𝗽𝘂𝗯𝗹𝗶𝗰𝗮𝘁𝗶𝗼𝗻 𝗯𝗲𝗹𝗼𝘄: https://lnkd.in/efD5RNWX 𝗧𝗼 𝗴𝗲𝘁 𝗮𝗹𝗹 𝗼𝘂𝗿 𝗶𝗻𝘀𝗶𝗴𝗵𝘁𝘀, 𝗳𝗼𝗹𝗹𝗼𝘄 𝘂𝘀 & 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲 𝘁𝗼 𝗼𝘂𝗿 𝗙𝗠𝗖𝗚 𝗖𝗘𝗢 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿: https://lnkd.in/ea4gy65y #fmcg #cpg #mergersandacquisitions https://lnkd.in/dXAZQ242 Pernod Ricard The HEINEKEN Company AB InBev Carlsberg Group Campari Group William Grant & Sons The Coca-Cola Company PepsiCo

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Thinking About Launching in the U.S.? Here’s Something to Consider… Southern Glazer's Wine & Spirits (SGWS), the biggest distributor in the U.S., has just laid off a huge chunk of its team, 40% of their staff. This highlights something crucial: breaking into the U.S. market isn’t a simple plug-and-play; it takes thoughtful planning. SGWS has been scaling back in areas like fine wine and craft divisions, which means less support for specialised imported brands. For small and emerging brands, it’s a reminder that distribution alone won’t cut it. Without enough sales reps focused on niche products, new brands need people who know how to tell their story in a way that clicks with U.S. consumers. But, here’s the tricky part—building those resources is expensive. That’s why we launched our incubator program. By focusing on a direct-to-consumer (DTC) approach, we help brands connect directly with consumers, building awareness, telling the story, and driving sales—all in one. DTC lets you refine your brand voice and make sure it resonates in the US, which is crucial before taking the big leap into retail. The U.S. market has big potential, but it’s competitive, too. The goal isn’t just getting in; it’s about setting up for long-term, sustainable success. #USMarketEntry #BrandBuilding #EuropeanBrands #DTC #SustainableGrowth

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16 sentences of wisdom from bond trader turned restaurateur, Sean Feeney, that will make you a better person, friend, and leader. 1. The most important ingredient is the one that’s left out. 2. The greatest gift is courage. Give someone the courage to be themselves. 3. Success is doing something every day for the rest of your life, happy to do it. 4. Everyone has genius inside them. 5. Truly showing belief in others will buy them a ticket to someplace they never knew. 6. Hospitality is creativity plus compassion. 7. “That’s just the way it is,” tells you there’s money to be made. 8. It is tempting to have something for everyone but there is preciousness in not filling demand. 9. Create a brand that people chase, don’t chase people with your brand. 10. Make others feel a part of something. 11. You are one of us, whether you work with us or you're dining with us. 12. Treating others well is good for business. 13. Finish the day, asking, “How did I impact someone in a positive way?” 14. Know what works and be honest with what doesn't and don't do that. 15. Block out all the noise and keep it simple. 16. Believe every day is a good day. But don’t think it’ll be easy.

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The fastest-growing emerging restaurant chains are showing growth in non-obvious categories. We are often working with multi-national multi-brand groups helping with portfolio optimization, answering questions like: Where is growth going to come from? What brands in our portfolio should we grow and which ones should we divest? Should we invest in a new concept or franchise brands in any new growth concepts? Which are those? Companies across the globe are working on portfolio rationalization to improve their enterprise value in the mid- and long-term. #restaurants #emergingbrands #growth https://lnkd.in/euGyNFvS

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My conversation with Gary Shapiro of Consumer Technology Association highlights one of the most important factors that enable companies and leaders to succeed: the ability to adapt (or pivot). Charles Darwin said it best: "It is not the strongest of the species that survives, nor the most intelligent. It is the one that is most adaptable to change." When I took over The Food Institute in January 2020, I had to reimagine what a traditional food and beverage trade publication could look like in a #pandemic era. What transpired over the next 5 years was one of the most transformative periods in the company's 90+ year history. Today The Food Institute is one of the fastest growing #foodandbeverage digital media companies in the world. Take a listen to my conversation with Gary Shapiro. The full link to the interview is here => https://lnkd.in/dhkzgFeQ Please share your thoughts :) #businesstransformation #innovation #pivotordie #foodandbeverage #leadership #strategy #food #beverage

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We get asked a lot about bars Jumping Kegs (aka: daisy chain) and the impact on quality. Here's a short video that explains the antiquated concept and an alternative system.

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Performance has been particularly challenging in the U.S. wine and spirits industry since the post-pandemic “normalization.” But the headwinds impacting distillers and winemakers are not transitory; rather, they are grounded in structural shifts in consumer attitudes and behaviors that are here to stay. The financial challenges across the industry are real, and the time to act is now. In this article, my colleagues Bernardo Silva, Randy Burt, and I discuss why wine and spirits companies should embrace (or enhance existing) financial fitness programs. We also discuss how to do it, in an effective way, while being sensitive to the company’s culture, heritage, image, and market position.

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Performance has been particularly challenging in the U.S. wine and spirits industry since the post-pandemic “normalization.” But the headwinds impacting distillers and winemakers are not transitory; rather, they are grounded in structural shifts in consumer attitudes and behaviors that are here to stay. The financial challenges across the industry are real, and the time to act is now. In this article, our AlixPartners beverage sector experts discuss why wine and spirits companies should embrace (or enhance existing) financial fitness programs. We also discuss how to do it, in an effective way, while being sensitive to the company’s culture, heritage, image, and market position.

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Taste the Evolution: Cajun Steamer’s Fresh Take on Deep South Flavors Cajun Steamer’s new menu update is a perfect example of how even iconic cuisines like Cajun/Creole need to evolve to stay relevant. 🍤 While deeply rooted in tradition, this subtle revamp shows how paying attention to trends can keep a brand fresh and engaging for today’s consumers. It's not about abandoning heritage, but about finding the right balance between authenticity and innovation. And in case you were not aware, the 2025 World Soccer Championships are being held in the USA. There are 12 host cities and 6 of them are in the South.🎣🔥 #CulinaryTides #SuzyBadaracco #FlavorInnovation #CajunCuisine #TrendSpotting #DeepSouthDelights Read the full article here: https://lnkd.in/ecFncMTD

Why QSRs in GCC have to strategize with large brands to drive menu innovation In the backdrop of the GCC's food industry lie QSR operators, ceaselessly aspiring toward leveraging points of differentiation. And one of the most potent ways? Partnering with giants to build unique menu items that connect with today's discerning consumers. Established brands have numerous benefits when it comes to partnering: 🍔 Instant Brand Recognition: Customers will easily trust and go for the known brands they come across. Combining these well-known brands into your menu will make existing brand loyalty work in your favor to drive in more foot traffic and in turn, increase sales. 🍕 Elevated Customer Experience: This partnership allows for the creation of exclusivity within the menu. Customers are attracted to this interest in seeking a unique dining experience that can set your QSR apart from competitors and keep customers coming back for more. 🍟 Marketing Synergy: The reach multiplies through the joint marketing efforts, generally big brands have huge marketing resources, and a very broad audience, hence this can be leveraged in promoting the collaboration while doing benefit to the smaller brand's visibility. 🌮 Increased Menu Variety: Strategic partnerships make new flavors and products possible in general, going beyond the offerings of QSRs. This keeps the menu lively and interesting, reflecting changing customer preferences. For QSRs in the GCC, where the market is dynamic and diverse, alignment with big brands does not mean merely adding a logo to your menu; it's all about creating those memories that enable your brand to then link and engage with them for optimal success in the long run. Now it's time to think big, strategize smart, and cook up something extraordinary. #QSR #GCC #BrandCollaboration #MenuInnovation

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Great article. Partnership is really key with suppliers Highlight from article 3 Leveraging Suppliers The relationship between foodservice operators and suppliers has changed, or at least it should have. There may still be some transactional relationships, but overall operators and suppliers have truly become partners. It benefits both parties. Great communication and total transparency are a must. The consumer will not support inconsistency in the quality of a product or coming to get product and it is not available. Products must be kept in stock and if there is an issue, suppliers must communicate the issue and have a suitable back-up in place. Suppliers must also support product innovation and supply current data to support operators as they grow.

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We discussed this on our latest episode of CPG Vibes, BIG BIG news from KeHE Distributors on 11/22, a new program dubbed 'AAP' (administrative allowance program). A flat 2 % off-invoice allowance for specific fees including New item intros, extra performance fees, MCBs, new item set up fees, and lumping fees. My quick thoughts: This is a step in the right direction for sure. UNFI implemented SSI which is a similar program to help brands budget for costs and fees associated with doing business with large national distributors. With all that said, these categories are pretty large and encompassing, so for all the other fees associated with Kehe that can chop down a brand's margin, will this program truly cover it? Likely not, but at least it covers some. What are your thoughts?

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