Convergence is all the rage as big beverage companies (Pepsi, Coca-Cola, Monster) dive into bev-alc and lean into becoming “total beverage” producers.
Nik Modi, managing director for RBC Capital, and Marty Caballero, editor for BevNet (Brewbound’s sister publication), join the Brewbound podcast to discuss the latest beverage partnerships, what has caused the trend, and if a “complete collapse” of the lines between bev-alc and non-alc is ahead.
RBC Capital has been writing about beverage convergence since 2016, and Modi noted he was surprised the large partnerships that are occurring didn’t happen sooner. He credits part of the reason why it’s happening now to companies with large market share in their core beverage categories needing to look elsewhere for growth.
“It’s about increasing your use occasions and being more dynamic,” Caballero added.
And the blurring lines between beverage categories is just the beginning.
“If you were going to ask me what is going to happen in 2032, do I think that we’re going to see combinations of beverage and food companies? Absolutely, no question,” Modi said. “And I think cannabis potentially could bind them.”
In this episode, the Brewbound team discusses some of this year’s Super Bowl ads, their fear of robots, and Twisted Tea’s new year-round marketing strategy.
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