Beverage Companies Reportedly Ramping Up R&D And Incubators In Pursuit Of Launching The Next Big Drink

If you keep a close eye on the beverage industry, it appears everyone has a new product they’re developing or launching. 

There’s arguably a good reason for that. The production, distribution, and sale of alcoholic and nonalcoholic beverages are worth billions of dollars globally each year. In the U.S., the beverage industry is valued at $146 billion. 

Market intelligence platform PipeCandy backed the beverage rush by saying, "It is an exciting time to be in the beverage industry. Products such as cold brew coffee and hard seltzer, largely considered nonexistent, are now filling the front and center of grocery display cases. Changes in lifestyle and consumption habits of the new-age consumers are two major reasons driving this change. The global beverage market is driven by consumer demand for premium/super-premium products.”

As a result, there are a lot of products residing in incubators and accelerators, typically targeted at companies at an early stage of development. The accelerators are used by existing companies with research and development (R&D) to help develop new brands.  

One beverage company that says it is focusing on new development is Splash Beverage Group Inc. SBEV. The company reports developing and acquiring new products and expanding its existing agreement with Anheuser-Busch’s AB ONE to now include AB ONE SoCal. As one of its largest markets, Southern California covers an area with a population of more than 20 million through national chains, including Walmart Inc. WMT, Albertsons Cos. Inc. ACI, Kroger Co. KR and Winco Foods.

What is an incubator?

Incubators are more common in newly launched companies and offer business mentoring on topics ranging from branding and marketing to raising money. While startups don’t always fulfill early promises or get returns for their investors, incubators can allow companies to give trial and error time to potential winners and losers.

The global beverage market is reportedly fueled by consumer demand for premium products driven by the tastes of the young-adult demographic and their associated purchasing power. Companies saying that they are now prioritizing the development of new products include Anheuser-Busch InBev SA/NV BUD, The Coca-Cola Co. KO, Celsius Holdings Inc. CELH and Constellation Brands Inc. STZ.

"Splash’s strategy is to rapidly develop early-stage brands already in its portfolio as well as acquire and then accelerate brands that have high visibility or are innovators in their categories,” Splash CEO and Chairman Robert Nistico said. 

Splash owns and markets a growing portfolio of alcoholic and nonalcoholic beverage products through organic development and merger and acquisition. The company produces and sells four beverages brands:

The company states that it continues to advance its product portfolio while adapting to the changing characteristics and demographics of the beverage industry, including the growing consumer preference for more natural products.
 

For more information on Splash Beverages, visit splashbeveragegroup.com

This post contains sponsored advertising content. This content is for informational purposes only and is not intended to be investing advice.

Image by Vlad Vasnetsov from Pixabay 

Posted In: Partner ContentSplash BeverageNewsPenny StocksEmerging MarketsMarkets

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.