As the crossover between alcoholic and non-alcoholic beverage distribution and product development heats up, BD caught up with longtime beverage entrepreneur Larry Trachtenbroit to see what lessons he’s learned after making the transition. Trachtenbroit sold a ready-to-drink coffee business to Coke for more than $5 million 20 years ago before going on to create a beverage innovation shop called Brain Twist that counted Coca-Cola as an investor. More than five years ago, he switched fully to alcohol beverages. He co-founded his current venture FS Beverages with former global ocean shipping industry executive Greg Howard, who is president. FS Beverages is building sales and distribution for a line of alcohol-infused cherries, teas, lemonades, and coffees under a brand called Howie’s Spiked. The flagship product, Howie’s Spiked Cherries, is distributed in 15 Midwestern, Southern, and East Coast markets. The distribution network includes at least 30 independent Anheuser Busch-aligned distributors, as well as other independent wholesale distributors. The company generated revenue of $1.5 million in 2020 after growth of +28%, according to Howard. With the introduction of a spiked coffee called Alc-A-Chino later this year, revenue is expected to approach $2 million in 2021...

Iris Nova made a name for itself selling ready-to-drink functional lemon water by text message in a process founder Zak Normandin called “conversational commerce.” The company attracted the attention of Coca-Cola, which made a minority investment two and a half years ago. Normandin later added other owned and outside non-alcoholic brands to Iris Nova’s direct-to-consumer platform, which had begun with Dirty Lemon. Now he has his sights set on the alcohol beverage business, Normandin told BD in a recent interview.

Mushrooms have been used medicinally in Asia for centuries. In the US, mushroom extracts have become a go-to functional ingredient within the wellness community. Often referred to as adaptogenic, functional, or medicinal mushrooms, the ingredient now is...  To better understand functional mushrooms as an RTD beverage ingredient, BD turned to Zoe Sakoutis and Erica Huss. Last year, they launched Earth & Star, a line of canned mushroom-infused oat milks and coffees.