As a beverage distributor, I constantly look for opportunities to partner with established suppliers that bring extensive knowledge and expertise to my market, as well as terrific products. Many new beverages are from start-up companies that, either, don't have incremental dollars to invest in my market or don't have the manpower to help drive the business. Many of these companies have trouble getting chain authorizations in national accounts and suffer out of stocks due to the contract production of their beverages. To my surprise I have recently found that Cott Beverages is agressively pursuing independent distributors to partner with and carry their exisitng lines, as well as new product introductions.
To those who may not know, Cott Beverages is the fourth largest soft drink beverage company in the world and the world’s largest private label soft drink producer. Cott has 17 manufacturing facilities and one concentrate house in North America. Cott Beverages manufactures private label product for the world’s largest retailers, such as Wal-Mart, Loblaws, SuperValu, and Safeway. Cott has recently launched Throwdown Energy and Emerge Water, and is diversifying their portfolio as we speak.
For more information you can visit Cott.com or send an email to Cott. Type WHOLESALE BEVERAGE DISTRIBUTOR as the subject.
Sunday, November 25, 2007
Distributor Opportunities with Cott Beverages
Saturday, October 06, 2007
New Products That Enhance Your Beer Portfolio
Have you seen this scenario before? A new product bursts onto the beverage scene. Wholesalers rush to get the distribution rights. Everyone makes obscene amounts of money. This happens everyday...except the getting rich overnight part, of course. It takes time, hard work, patience, and a little luck to grow rich. Nowadays, we beer wholesalers are looking for different products to enhance or profitably grow our large and ever-changing portfolios. And you know what? We love products that will help increase our drop size in all accounts. A constant increase in drop size is how you maximize profits in the wholesale business.
Beer wholesalers have sold non-beverage items for years. Matches, napkins, equipment, straws, beverage cups, etc. In fact, during the sixties when Falstaff was having major declines, our salesmen became the "cup man" instead of the "Falstaff man". There was the Bud man, the Schlitz man, and the cup man. We sold a lot of beverage cups and survived a difficult time in our company's history. So, beverage cups have a special place in my heart. I think cups are overlooked by beverage distributors. I don't think they will be overlooked anymore:
Etch-It Cups.....Have you seen them?
Etch-It has been praised by "The Big Idea" on CNBC and Rachel Ray from Food Network. Etch-It is currently offering distributors a margin of up to 30% and retailers a margin of up to 42%. The product is unique and offers consumers many benefits. Freight is included in FOB and the minimum drop is only 84 cases. The tubes of cups are also packaged in a nice shelf display piece for easy merchandising. The cups are already a top ranked item in many Liquor Store chain accounts. But, this scenario is what sold me:
On premise accounts go through many, many cups in a single night, why not switch to an Etch-It and cut down on waste. Also, there is another added benefit in the on premise...Etch-It Cups will aid shy men and women everywhere: I can here it now, "I was checking out your Etch-It cup and......". Just think, Etch-It will change the course of human history.
Wednesday, October 03, 2007
My Takeaways from the 2007 NBWA Convention
This is the beer business in a nutshell:
Anheuser-Busch knows what to do, Miller talks about what to do, Coors does what everyone else is doing, and Pabst wonders what happened.
Tuesday, September 04, 2007
The Pros and Cons of being a Red Bull Energy Drink Distributor
Many people recognize Red Bull Energy Drink as a phenomenon in the beverage industry. Retailers are in awe of the power of Red Bull Energy Drink. I find that these same retailers that will not budge an inch during beer cooler resets, will give Red Bull two to three shelves and a display piece for nothing (usually the Red Bull Full Bull contracts are for one case, one shelf per quarter, like I said, nothing).
Red Bull is defined by its mystique, its originality, and its significance as the de facto creator of a category. This carries over from the ranks of the supplier, Red Bull North America, and spills over into the retailer side. It kind of skips the hard working people that really built the brand into the powerhouse it is today…the distributors. I see Red Bull NA terminating beer distributors very frequently these days. Red Bull is fortifying its ranks with Red Bull only wholesalers that sell Red Bull Energy Drinks exclusive. These terminated distributors are left with nothing to show of the brand because of the biased distributor agreements from Red Bull NA. That being said, Red Bull is still a cash cow for the remaining wholesalers. Now, a look at the good and the bad of being a Red Bull Energy Drink wholesale distributor:
The Pros of being a Red Bull Energy Drink Distributor
1. Exceptional product awareness and quality.
2. Two-year shelf stability.
3. Ordering process. Freight is included in the price and the turnaround time from ordering to delivery is always less than two weeks.
4. Excellent margin.
5. POS designed for any retail establishment.
6. CMA programs for retailers.
7. Huge allowances for sponsorship opportunities.
The Cons of being a Red Bull Energy Drink Distributor
1. Red Bull Distributors are buried in a glut of paperwork. Full Bull on and off premise programs, daily sales number requests from Red Bull chain departments, and incentive programs for distributors sales forces.
2. The contract between Red Bull NA and the distributor is worthless, unless the distributor was given some sort of special, perpetual rights of the brand.
3. Red Bull Distributors received a general price increase in January and were advised not to raise the price to retailers.
4. Red Bull chain department sells different programs to different chains and retailers. Some retailers get more than others. It’s hard to keep up with who is getting what and retailers get extremely angry when they find a competitor is getting a better deal.
5. Red Bull NA wants Red Bull only van teams. In other words, separate sales forces that sell Red Bull only.
6. Coolers and display racks that were once free to the distributors now have to be paid for by distributors.
7. We used to have one representative from Red Bull NA, now we have seven different people to deal with.
We have found that our profit margin from Red Bull has been cut nearly in half by these cons, but the huge volume increases have more than made up for it in dollars. I’ll take the bad with the good any day because when its all said and done, Red Bull Energy Drink is a proven winner on the shelf.
Saturday, September 01, 2007
Online Beer Distributor Locator and Contact Information
Trying to find a beer or beverage that is sold near you? I have compiled a list of distributor locators for a few popular breweries. If there is not a distributor for a certain brand in your area, you can request the distribution rights for that brand in your area. I will include a contact form for each brand also.
Abita Brewing - Turbodog, Amber, Purple Haze
Online Distributor Locator
Contact for Distribution Rights
Anchor Brewing - Anchor Steam
Online Distributor Locator
Contact for Distribution Rights
Anheuser-Busch - Budweiser
Online Distributor Locator
Contact for Distribution Rights
August Schell - Schell Original, FireBrick
Online Distributor Locator
Contact for Distribution Rights
Boston Beer - Sam Adams
Online Distributor Locator
Contact for Distribution Rights
Breckenridge Brewing - Proper, Avalanche
Online Distributor Locator
Contact for Distribution Rights
Brewery Ommegang - Hennepin, Rare Vos
Online Distributor Locator
Contact for Distribution Rights
Deschutes Brewery - Black Butte, Obsidian Stout
Online Distributor Locator
Contact for Distribution Rights
Flying Dog Brewery - Tire Bite
Online Distributor Locator
Contact for Distribution Rights
High Falls Brewing - J.W. Dundees Honey Brown
Online Distributor Locator
Contact for Distribution Rights
Lazy Magnolia Brewing - Southern Pecan
Online Distributor Locator
Contact for Distribution Rights
Matt Brewing - Saranac
Online Distributor Locator
Contact for Distribution Rights
New Belgium Brewing - Fat Tire
Online Distributor Locator
Contact for Distribution Rights
Pittsburg Brewing - Iron City
Online Distributor Locator
Contact for Distribution Rights
Pyramid Brewing - Hefeweizen
Online Distributor Locator
Contact for Distribution Rights
Sierra Nevada Brewing - Pale Ale
Online Distributor Locator
Contact for Distribution Rights
Spoetzl Brewery - Shiner Bock
Online Distributor Locator
Contact for Distribution Rights
Stoudts Brewing - Stoudts American Ale
Online Distributor Locator
Contact for Distribution Rights
The Lion Brewery - Stegmaier
Online Distributor Locator
Contact for Distribution Rights
Yuengling Brewery - Yuengling Traditional
Online Distributor Locator
Contact for Distribution Rights
I will keep adding to this list in the future. Also, I will add links to soft drinks, teas, juices, and energy drinks.
Monday, August 27, 2007
The Beer Distributor is the Vehicle of Choice for New Beverages
After a long summer, I like to start looking for new, exciting brands to add to my portfolio. Usually, I take two to three months to decide which new beverage brand I’m going to add. The decision process starts in early fall and lasts to the end of the year. I make my mind up in December and make contact with the different companies. At the first of the year, we start setting goals and objectives, training our sales team, and adding infrastructure around these brands. Once Spring gets here, we can concentrate on sales leading into the Summer months. Then we start all over again. This process has been very successful for our company in the past with brands like Snapple, Sobe, Red Bull, Fuze, and Vitaminwater. In fact, our non-alcohol division was on track to pass our beer division in gross profits by mid-2008. Now the bomb has dropped, everyday Red Bull wants me to spend, spend, spend. Fuze and Vitaminwater will be going to Coke by the middle of next year. Snapple is giving away the ship. What in the world am I going to do? The first thing is not worry too much. I understand that this is the beverage business and these things happen everyday. Brands come and go. One thing I’ve learned is that you have to remember where you came from. I think many companies forget that and get to big to fast. The brands I mentioned above were built by hard working distributors case by case, not by corporate sales executives. When I lose a brand I always know there will be another company that is hungry. There are literally hundreds of beverage companies that will offer my beer distributorship a nice margin, a good beverage brand, and an incentive to sell their brand. After all, my company is just a vehicle to get their brand on the shelf. Some brands I am looking to add are as follows:
·Irn-Bru - A mixed fruit flavored soda made with 32 flavors. Can be used as a mixer.
·Metromint - Purified water flavored with natural mint.
·Hint - Pure water, nature's original refreshment, accented with a hint of natural flavor.
·Essn - One hundred percent natural sparkling juice beverage.
·Luvli Juice - All natural, low sodium juices.
·Function - Make your drink work for you.
·Bawls - Guarana-based soft drink has been out for a while, but the new cherry flavor is terrific.
I will keep you informed of my decisions on these beverages and how they are doing in my market.
Sunday, August 19, 2007
I'm Taking My Suitcase on Vacation
I have been in the beer business for a long time. As you may or may not know, a beer distributor will not take a vacation. He is forced to take a vacation by the wife and kids. Sometimes this happens amicably. Sometimes it is done at gunpoint. The whole time we are gone, we think about the trucks going out, or someone not showing up for work, or the route deposits getting to the bank, or the warehouse catching on fire. When I was growing up, the only vacations we took were to beer conventions or meetings. That was the only vacation I ever knew, and they were wonderful. Nowadays my kids want to go to the beach. I can't stand the beach. I want to go on a beer distributor vacation that is chock full of beer drinking experiences and nostalgia. I love history, travel by car, beer, sports, and taverns (read “any hole in the wall tavern”). Please be aware that I am not a beer connoisseur, I really don't care about beer styles or flavors or trying to talk about beer as one talks about wine. I love the imagery of brands, the historical significance of the beers, breweries, and beer distributors, and the emotions that I have during beer drinking occasions. My memories of different beers started when the truckloads arrived at the warehouse and with the beer came the differing strategies of the sales call for each brand. Thoughts of the white-collar brewery representative with his new ideas, in and out attitude, and worthless business plans don’t enter my mind. I only think about what I would be doing and where I would be if I could enjoy the brand in any setting.
So, I am going to drink twenty four beers on my beer distributor vacation, my so-called “Suitcase Vacation Special”, one beer for each lovely memory I have of special brands and the locations that my mind correlates with these brands. If an itinerary for a beer distributor vacation existed, I think it would look somewhat like this:
Number 1. I pop the first one at the oldest brewery in the United States, the rathskellar at the Yuengling Brewery in Pottsville, Pennsylvania. Of course I would have a Traditional Lager in a longneck bottle.
Number 2. Then I’ll head over to Clairton, Pennsylvania and find John Welch’s bar from “The Deer Hunter”. Did you know that was me shooting pool, singing Frankie Valli’s “Can’t Take My Eyes Off You”, and drinking Rolling Rock twelve ounce cans. I was there.
Number 3. Why not give me a Narragansett longneck on the dunes at Horseneck Beach, Massachusetts, just seconds across the Rhode Island state line.
Number 4. When I was young I thought of Mr. Boh as other kids think of Mickey Mouse. I never understood why he only had one eye, my grandfather told me it was from a barfight! Give me a twelve ounce can of National Bohemian at the O’s game in Baltimore, Maryland.
Number 5. I guess I’ll never know what it feels like to have a Rupperts Beer at Yankee Stadium in New York. Gives me an empty feeling inside.
Number 6. I want a Haffereffer Private Stock at Fenway Park. I sold those stubby sixteen ounce bottles for years. I sure did love that brand.
Number 7. Easing over to Rochester, New York I find myself enjoying a Genny Cream at the old Genesee Brewing facility while relaxing by the High Falls Gorge of the Genesee River.
Number 8. Why not have a fire brewed Stroh’s and play fetch with Alex in Detroit, Michigan.
Number 9. 10. and 11. Oh, beautiful Milwaukee, Wisconsin! I’ll have a Pabst, Schlitz, and a Blatz longneck at any corner pub in town. The smaller, darker, and smokier the place, the better.
Number 12. Give me a High Life Pony on any lake in America with a cane fishing pole and some crickets. Talk about Miller Time.
Number 13. No one remembers Harry Caray hawking Old Style at Cubs games. How about Harry singing “Take me out to the Ballgame” in the seventh and me enjoying an ice cold Old Style draft at Wrigley Field in Chicago, Illinois.
Number 14. Why don’t we take a quick trip out to Jackson Hole, Wyoming and I can have stubby Olympia while bar hopping with Clint and Clyde.
Number 15. Did you know that Busch Beer at Busch Stadium is terrific? Try drinking a Bartles and Jaymes Wine Cooler there. I did.
Number 16. I would love to sip on an ice cold Goldcrest 51 longneck while “jukeing” down Beale Street in Memphis, Tennessee.
Number 17. The fountain of youth is in New Orleans, Louisiana. Just the thought of a Dixie Beer Longneck and the French Quarter stirs up feelings I left behind when I was eighteen years old.
Number 18. Drink a Pearl Longneck at the Corral again. I was fourteen the first time I did.
Number 19. Out from San Antonio not quite to Luckenbach, on a ranch full of Mesquite trees and rabbits the size of, well, Texas, there are a bunch of guys that sit around and drink Lone Star twelve ounce cans all day long. I would like to partake with them one more time. Also, do you know who was driving the old Lone Star delivery truck in “Midnight Cowboy”? It was me!
Number 20. I could drink an eight ounce can of Country Club Malt Liquor and crush it just like the guy from the commercials. Bring them back Pabst. I know I could sell them.
Number 21. The best creative imagery in the beer business, Colorado and Coors Banquet Beer. Sitting by a Rocky Mountain stream in Golden and drinking a gooseneck Coors.
Number 22. My first finished beer was a Pabst at five years old at a beer convention. My second was a Golden Champale twelve ounce green classic bottle with an Apple Jolly Rancher at nine. I will get around to trying that again, just to see if it tastes as good as I remember.
Number 23. When the movie “Boyz n the Hood” came out in 1991 Olde English 800 was a dying brand in our house. Overnight we were selling it by the truckload. A quick trip to Compton, California and an Eight Ball forty to pay my respects to Ice Cube and Big Worm.
Number 24. St. Louis, Missouri gave the world Falstaff Beer and I know for a fact Falstaff Beer is responsible for bringing me into it. Just one more chance to drink a Falstaff longneck on the grounds of old Plant #1.
There you have it, we have gone through the best case of beer our country could ever produce. Don't worry my “Beer Distributor Vacation Suitcase Special” will be coming to a travel agent near you. I will set up the itinerary and no hangovers will be allowed.
For some very entertaining reading please visit John Smallshaw’s History of Falstaff Brewing Corporation, A History of Malt Liquor by Kihm Winship, and BreweryGems.com’s Illustrated History of Olympia Brewing Company.
