Constellation Brands Sign up here for GlobalData's free bi-weekly Covid-19 report on the latest information your industry needs to know. The brand, a division of Mexican Coca-Cola bottler Arca Continental, has grown steadily thanks to promotions on social media, at music and food festivals and via word-of-mouth. But if Coke wants to roll the product out in its core market of Texas, the local bottler would need to get licensed or Coke would need to work through beer wholesalers, Schuhmacher said. In Great Britain and Ireland, the company’s bottling partners Coca-Cola European Partners (CCEP) and Coca-Cola HBC will distribute Topo Chico hard seltzer. News of Coke’s foray into the alcohol sector swept across social media yesterday afternoon after CNBC confirmed that the company planned to sell a boozy version of Topo Chico in the U.S. after an initial test run in Latin America over the coming months. You may opt-out by. All Rights Reserved, This is a BETA experience. If existing Coke distributors that do not already carry alcohol products want to sell Topo Chico hard seltzer, they’ll need to go through federal and state licensing processes. If you continue using our website, we'll assume that you are happy to receive all cookies on this website. Will it attempt to convince a nationwide network of DSD wholesalers to obtain alcohol distribution licenses, or does it plan to work through an already established three-tier system of beer distributors? Indeed, Coke’s entrance into the U.S. alcohol space will not be as simple as manufacturing a hard seltzer, slapping the Topo Chico logo on cans and sending them out to roughly 70 independent bottlers across the country for placement on retail shelves. (Truly) – that together own about 85% of the category. That’s something sports business reporter and beverage investor Darren Rovell believes could be a possibility. Moreover, does Coke’s push into the alcohol sector indicate an increased appetite to compete for additional occasions, perhaps through a ready-to-drink version of the classic “Jack and Coke?”. Global beverage company Coca-Cola has unveiled plans to foray into the European alcohol market by launching its Topo Chico hard seltzer next year. New technologies, news, new products, essential guides and more. We use them to give you the best experience. Ingredients: Ingredients: CARBONATED WATER (WATER, CARBON DIOXIDE), CITRIC ACID AND LIME ESSENTIAL OILS. Thrillist . Texas Monthly. Through this initiative, the beverage company aims to target millennial consumers. Imported From Monterrey Mexico.Topo Chico Sparkling Water Lime, 12 Fz. Topo Chico sales in the US rose 39% to nearly $130 million over the last year, according to IRI data, and Coca-Cola plans to grow distribution gradually in order to maintain the brand's charm. STZ “I've never seen a beverage brand with more equity around here than that brand, to the point where Coke distributes it in Texas on separate trucks,” Schuhmacher said. But at the national level, Topo Chico could have a much harder time stealing market share from White Claw and Truly. Show me. ", CCPA "Do Not Sell My Personal Information". On the heels of its acquisition by Coca-Cola's Venturing & Emerging Brands unit, Topo Chico will retain the brand attributes that made it a cult favorite, said Arturo Chavez, the firm's key accounts manager. “It is more complex than people think,” he said. SWEETHOUSE supports initiatives to replace and reduce sugar in food... SWEETHOUSE supports initiatives to replace and reduce sugar in food and drink products worldwide. Coca-Cola Great Britain and Ireland general manager Jon Woods said: “We are very excited about this launch and the possibilities for this brand in Great Britain and Ireland. “With the strength of our system behind it, we believe Topo Chico Hard Seltzer will flourish and, more importantly, offer the consumer something new and delicious.”. With 4.7% alcohol by volume (ABV), the hard seltzer will be available in three different flavours including Tangy Lemon Lime, Tropical Mango and Cherry Acai. Willamette Week. One thing that will change, however, is the craft drink's retail presence, which will significantly expand thanks to the use of Coca-Cola's distribution network, Chavez added. So what is the market price for Topo Chico? Mexican sparkling mineral water Topo Chico grew by more than 30% in the first quarter of 2018 after being bought out by Coca-Cola last year. The growth is credited to increased distribution and a commitment to staying true to the brand's Mexican roots. I previously spent nearly a decade as the driving force, I am a business writer covering emerging products, trends, and M&A in the U.S. beer and beverage industries. Topo Chico Hard Seltzer will be offered in select cities in Latin America later this year. SAM “It is one of those unique, regional brands that is everywhere.”. Here's why you may be noticing Topo Chico everywhere, and why you'll likely be seeing more Topo Chico got a shout-out in Coca-Cola's quarterly earnings call with investors. I also serve as the editor-in-chief of THCnet, a cannabis industry news site, and deliver insights to brewery owners across the country via my quarterly “Brewing Consult” report. Pop Rock and volcanic! Last month, Coca-Cola announced that it is launching Topo Chico hard seltzer in Mexico and Brazil. Learn more. According to data from Bump Williams Consulting reported by the Wall Street Journal, Americans spent about $3 billion on hard seltzer over the 52-week period ending July 11, 2020. Topo Chico Mineral Water Is The Ideal Companion For Any Celebration. If you continue to use this site we will assume that you are happy with it. Both Rovell and Schuhmacher believe Coke could have additional boozy line extensions in the offing, but the company could also just be trying to ride the wave of hard seltzer while it’s hot. | Privacy Policy | Terms of Use| CCPA "Do Not Sell My Personal Information", Coca-Cola acquires Topo Chico, praises its marketing, The Dallas Morning News (tiered subscription model), Coca-Cola aims to grow Topo Chico without losing its local vibe, Coca-Cola works to expand Topo Chico's distribution, Topo Chico to expand retail presence following Coca-Cola acquisition, Mexican sparkling water brand makes waves in the US, The New York Times (free-article access for SmartBrief readers), Your brand is probably missing out on the true value of influencers, 5 trends taking hold in the dairy industry, The only email marketing checklist you need, "If you're not moving forward and you're not evolving, you're devolving, and I don't want to go backwards. Every Bottle Contains One Serving Of Water With 2% Of The Daily Value Of Calcium And 1% Of The Daily ValueTopo Chico Topo Chico Mineral Water, 12 Fl Oz Mix With Your Favorite Ingredients And Create New And Refreshing Drinks. RECOMMENDED COMPANIES. TAP It’s been 37 years since Coca-Cola has sold an alcoholic beverage in the U. S., but that will change in 2021 when the soda giant enters a frothy hard seltzer market through its Topo Chico brand. I am a business writer covering emerging products, trends, and M&A in the U.S. beer and beverage industries.