Beverage World - April 2009

1. World Fair for Beverage and Liquid Food Technology
14–19 September 2009
New Munich Trade Fair Centre
See It Now Access an exclusive e-book that puts you inside the drinktec experience.
Go to www.beverageworld.com/go/drinktec
USA:
Ms. Anika Niebuhr . Tel. 646-437-1014 . Fax 212-262-6519 . aniebuhr@munich-tradefairs.com

2. »Global Edition
INTELLIGENCE FOR THE GLOBAL DRINKS BUSINESS APRIL 15, 2009
BEVERAGEWORLD
» UpClose With:
Boisset Family Estates
Jarboe Sales Co.
Gusto Brands Inc.
Primo Water Corp.
»State of’09
Industry
the
Shot »
JACK OWOC, CEO, CSO of
VPX Sports/Redline Energy
in the Arm
All signs are pointing to a potential success
story for energy shots.

3. *When combined with increased exercise and a low calorie diet. Use only as a dietary supplement. These statements have not been evaluated by the FDA. This product is not intended to diagnose, treat, cure or prevent any disease.

5. WORLDBEAT news and analysis from a global perspective
NEW ZEALAND/AUSTRALIA
A Whole New Market
One of the world’s largest dairy companies branches out into new territory with an
innovative protein and fiber-enhanced water.
by heather landi
A
s weight management becomes an increasingly impor-
tant consumer need on a global scale, New Zealand-
based Fonterra, the world’s largest dairy exporter,
found a way to leverage its greatest asset—dairy-
based ingredients—to launch a new product in the ever-growing
functional water market. WH2OLE, a functional water fortified
with fiber and protein, hit the New Zealand market last month
marketed as a beverage product to help bridge the hunger gap »
FONTERRA’S WH2OLE, fortified with fiber and protein,
is designed to promote satiety.
between meals.
“Consumers are demanding a solution that allows them to Fahrenheit 212, an innovation consultancy, to uncover hid-
manage their ‘hollow’ and often unhealthy snacking in the den assets, in this case, an underleveraged technology in the
afternoon while maintaining the great fresh tasting product form of a clear, taste-neutral whey protein isolate part of the
profile of mainstream beverages,” Karl Gradon, vice president company’s existing ingredients portfolio. When added to
of product innovation for Fonterra USA, says. “They want to water, the ingredient could offer satiety benefits. Fonterra
stay full until their next meal without reaching for the candy then had to develop a brand around that benefit and so was
bar. Consumers are not willing to compromise on taste just born WH2OLE. The company eventually plans to launch the
because of the amazing benefits that this can deliver.” product globally.
The satiety water beverage comes in flavors Lemon & The whey protein isolate ingredient, branded as Clear
Lime, Tangerine and Berry. Sweetened with sucralose and Protein, allows WH2OLE to provide five grams of protein
acesulfame potassium (Ace-K), WH2OLE only has 30 calories (or 10 percent of the recommended daily intake) and 1.5
per serving, and has as much protein as a banana, almost as grams of fiber (or 5 percent of the RDI) per 500 ml serving.
much fiber and one-fourth the calories of a banana. Gradon notes that Clear Protein is the culmination of a
Fonterra has a brand portfolio of New Zealand, Australian decade of research as Fonterra is a pioneer in dairy and
and international household names and annual revenue of dairy flavor technology.
NZ$1.4 billion, yet with global demand for dairy declining, “Clear Protein delivers a shot of hunger-satisfying protein
the company was seeking ways to develop new brands and with an amazingly clean flavor profile without the milky or
take advantage of its existing functional ingredients. ‘cardboard’ overtones of protein alternatives,” says Gradon.
The company enlisted the help of New York, N.Y.-based “Cutting edge patented and protected » CONTINUED ON PAGE 6
4_BEVERAGE WORLD_ APRIL 2009 BEVERAGEWORLD.COM

6. SMOOTHIES
Fruit Sensations far
beyond 100 % Fruit
Benefit from
our natural
approach:
pure fruit
indulgence
superfruit
choices
natural
healthiness
puree for
fullest fruitiness
convenient fruit
portions
Smoothies are healthy fruit and vegetable between-meals or on-the-go snacks. They deliver an enjoyable
natural taste with superb convenience. DöhlerGroup’s range of Smoothies made from high-quality fruit
juice concentrates, vegetables, purees and fruit pieces offers you the very best that nature provides.
DöhlerGroup: Leading in Integrated Food & Beverage Solutions
DÖHLERGROUP · Riedstrasse · 64295 Darmstadt · Germany · Phone +49 6151 306-0 · Fax +49 6151 306-278 · mailbox@doehler.com · www.doehler.com
DÖHLER (UK) LIMITED · 1a Opal Court · Opal Drive · Fox Milne · Milton Keynes · MK15 0DF · United Kingdom · Phone +44 (0)870 870 97 37 · Fax +44 (0)870 870 9738

7. [WORLDBEAT]
A Whole New Market
» CONTINUED FROM PAGE 4
technology, unique to Fonterra, has been applied to the pro-
cessing of the product in not only the manufacturing
process, but also the bottling plant to make it clear and sta-
ble for the entire shelf life and to remove the poor flavor
notes.”
The company is now in the interesting position of being
a dairy exporter and producer as well as a marketer of the
dairy ingredient Clear Protein and a player in the growing
functional water category.
“As the leading global dairy ingredients solution
provider, Fonterra is already working with a number of
companies globally to take the ingredient solution to mar-
ket. Our focus has largely been on Japan, Korea, the US and
Europe as these countries have high awareness for such a
great-tasting weight management product,” Gradon says.
2009 Wine Grape Harvest
Expected to Fall
The 2009 Australian wine grape harvest is estimated to fall 11
percent from last year, although not
as badly as predicted given heat
waves across southeastern
Australia, the Victorian bushfires
and Queensland’s floods.
The estimated 11 percent drop
would make the 2009 harvest,
which is now half complete, well
below the record 2005 harvest of
1.93 metric tons, but well above
the drought and frost-affected
2007 harvest of 1.34 metric tons,
the Australian Wine and Brandy
Corp. (AWBC) reports.
Seasonal conditions are mainly
responsible for lower yields. The
relatively cooler conditions in November hampered flowering
and fruit set, while a heat event in late January resulted in
lower yields in heat-affected regions.
The AWBC says the full impact of the recent Victorian bush-
fires is not yet known. Media reports indicate wildfire damage
to Australia’s Yarra Valley region affected more than 350 acres
of vineyards, with 29 wineries suffering damage.
“The current prospects of a below-average-yielding season
will be viewed with some relief at a whole-of-industry level
because of current high stock levels. While a low season may
imply some shortening in the availability of some varieties on a
region-by-region basis, current high stock levels mean that
Australian wine supply is not threatened.” BW
BEVERAGEWORLD.COM

8. MELTDOWN® RTD and 2-Ounce Shot
What supplement burns fat faster than an ice cube melts in the Sahara? Meltdown® Liquid Capsules! In a study presented at the June 2008
International Society of Sports Nutrition Conference in the beautiful Red Rock Hotel, researchers discovered that this fat-blasting supplement
jacked up metabolic rate so much so that it left scientists scratching their heads as to how it compared to other popular thermogenics. And
in fact, what they’ve found is that Meltdown is over 273% better than the infamous caffeine plus ephedrine stack! VPX now introduces this
fat-blasting matrix in a 8 ounce drink and as a 2-ounce shot!
VPXSPORTS.COM
*Use only as a dietary supplement. These statements have not been evaluated by the FDA. This product is not intended to diagnose, treat, cure or prevent any disease.

9. [ APRIL2009 ]
Volume 128 • Number 4 • Issue 1797
FEATURES
20 Cover Story: Pure Performance
They’re petite, portable, powerful and pricey: energy
shots are the next wave of energy consumption.
S1 State of the Industry Report 2009
S2 Carbonated Soft Drinks S18 Functional Drinks
S8 Bottled Water S20 Beer
S10 Energy Drinks S23 Spirits
S14 RTD Tea S24 Wine
54 New and Expanded Truck Trend Survey
Part 1 of our newly enhanced 26th Annual Truck Trends
Survey shows an evolution in fleet buying plans.
DEPARTMENTS
WORLDBEAT BEVSOLUTIONS
4 Fonterra’s Production
Functional Water
69 Aseptic Filling
BEVBEAT
12 Eco-Friendly Distribution
Launches 82 Fleet of the Month: Biagi Bros.
16 New Beverage
Roundup
UPCLOSE WITH... R&D
PLUS
10 Editor’s Note
61 Jarboe Sales Co. 72 Antioxidant Update 71 Operations Observations
63 Boisset Family Packaging 84 Road Ways
Estates
76 Bioplastics Update 85 BevSource
66 Gusto Brands Inc. 88 Classifieds
68 Primo Water Corp. Supply Chain
89 Event Calendar
78 Learning the Lingo 90 Ad Index
Beverage World Vol. 128, No. 4 (ISSN 0098-2318, USPS 526-550) is published monthly by Ideal Media LLC., 303 East Wacker Drive, 21st Floor, Chicago, IL 60601. Tel: 312-456-2822. Subscription rates for US: $89.00/one year, $139.00/two
years, $189.00/three years. Single copies: $10.00; Canada: $99.00/one year, $159.00/two years, $209.00/three years, Single copies: $15.00; All other countries: $159.00/one year, $229.00/two years, $279.00/three years. Single copies $15.00.
Periodicals postage for Beverage World paid at Chicago, IL, and additional mailing offices. Canada Post Publications Mail Agreement No. 40031729. Return undeliverable Canadian addresses to:
Deutsche Post Global Mail, 4960-1 Walker Road, Windsor, ON N91 6J3. POSTMASTER: Please send address changes to Beverage World, Subscription Services, P.O. Box 2054, Skokie, IL 60076.
8_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

10. Bringing
natural flavors
into focus.
Robertet is a closely-held multinational company whose vision is long-term and
whose technologies are focused on the flavors and aromas that nature always
intended. For all of your flavor needs, call Robertet at 732-981-8300, or send
an email to Solutions@RobertetUSA.com.
TECHNOLOGY • CREATIVITY • INNOVATION

11. [EDITOR’SNOTE] BEVERAGEWORLD
Kevin Francella, Group Publisher Beverage World
+1.646.708.7327 kfrancella@beverageworld.com
EDITORIAL
Jeff Cioletti, Editor-In-Chief
+1.646.708.7303 jcioletti@beverageworld.com
Andrew Kaplan, Managing Editor
+1.646.708.7301 akaplan@beverageworld.com
Heather Landi, Senior Editor
Springing Forward +1.646.708.7302 hlandi@beverageworld.com
Jennifer Cirillo, Associate Editor
+1.646.708.7307 jcirillo@beverageworld.com
April has become a bit like Super Bowl season around here at Beverage World.
Those of you who read my column last month know, of course, that ART
Rosanna Bulian, Art Director
BevOps/Beverage Fleet Summit happens this month. Besides that, it’s also time for +1.646.708.7312 rbulian@beverageworld.com
that other official Beverage World rite of spring, the State of the Industry Report
(props to the BW edit staff for turning in another fine report). CONTRIBUTING EDITORS
As one likely would surmise, good performance in the current economic climate Michael Bellas, Tom Kelley
John Koss
(if I had a nickel for every time I’ve read or written that three-word phrase…) is
not so much “good” as it is “less bad.” So in that regard, overall liquid refreshment EDITORIAL RESEARCH
beverages (LRBs) really held their own. Still, it’s hard to sugar-coat the fact that Joy Francesconi
LRB volume was down about 2 percent, according to Beverage Marketing +1.978.299.3499 jfrancesconi@beverageworld.com
Corporation, the first volume decline for overall LRBs. PRODUCTION
Even once-juggernaut bottled water was down 1 percent. The single-serve PET Jeff Carlson, Production Manager
+1.312.447.5112 jcarlson@idealmediallc.com
segment, which had been the big growth driver of the category, posting double-
digit gains in previous years, was essentially flat in 2008 with a gain of only 0.3 E-MEDIA
Amanda Westbrooks, Website Manager
percent. Bottled water certainly is a category that’s had a number of factors work-
+1.312.447.5107 awestbrooks@idealmediallc.com
ing against it. First, of course is the economic issue. Consumers might be substi-
tuting tap for bottled when they’re trying to trim daily costs. Then there’s the GROUP DIRECTORS
Barbara Killeen, Director of Operations and Research
environmental issue. When people are trying to tighten their belts, they might be +1.646.708.7325 bkilleen@idealmediallc.com
more willing to believe negative environmental claims put forth by certain groups Erin Fiden, Group Marketing Director
and city officials (I’ve written about that issue in this space on numerous occa- +1.312.447.5103 efiden@idealmediallc.com
sions and you pretty much know Beverage Delane David, Director of E-Media
+1.312.447.5106 ddavid@idealmediallc.com
World’s take on this issue).
But enough about the bad and the ugly, let’s SALES DEPARTMENT
Jeff Blanch, Northeast/Mid-Atlantic Sales Director
talk about the good. And there’s plenty of it. +1.203.739.0775 jblanch@beverageworld.com
There was an 8.3 percent volume boost for fla- Lisa Adams, Midwest/West Sales Director
vored and enhanced waters. There was an even +1.773.871.0757 llark@aol.com
higher gain for energy drinks, 9 percent, continu- Gabriele Fahlbusch, Europe
+49.202.271.6915 fahlbusch@intermediapartners.de
ing to prove that category’s viability. Granted, Nadine Buccieri, Classifieds/Tele-Sales
both categories are only a relatively small portion +1.818.920.3185 nbuccieri@beverageworld.com
of the whole LRB picture, but when you consider Antoinette Cantwell, Advertising Sales Coordinator
the premium that consumers usually pay for +1.646.708.7315 acantwell@beverageworld.com
those beverages, above and beyond what they’d
pay for, say, CSDs, it shows that there is quite a bit
of resilience in the US beverage market. Jeff Cioletti, editor-in-chief
And if that’s not convincing enough, let’s look jcioletti@beverageworld.com
beyond liquid refreshment toward the alcohol
categories. Overall beer volume, according to BMC, was up 0.5 percent (craft vol- 200 East Randolph Street, 70th Floor, Chicago, IL 60601
ume up mid-single digits, dollars up low double-digits). Sure, it’s down a bit from Kevin Francella, Chief Operating Officer
last year’s 1.5 percent gain, but positive is positive. +1.646.708.7327 kfrancella@idealmediallc.com
Spirits posted better numbers, with a volume gain of 1.6 percent for 2008, based
EDITORIAL OFFICES 90 Broad St., Suite 402, New York,
on numbers reported by the Distilled Spirits Council of the US. Again, it’s a small- NY 10004 +1.646.708.7300 Fax: +1.646.708.7399
er bump than the past few years have yielded, but an increase is still an increase. beverageworld.com REPRINT INQUIRIES Lisa Abelson
Of course, most of those alcohol gains are coming from off-premise sales, as on- +1.516.379.7097 labelson@optonline.net SUBSCRIPTION
INQUIRIES +1.847.763.9627 bw@halldata.com LIST
premise channels have been hit pretty hard by the economic downturn. But we’re RENTALS Postal, Julius Single, +1.845.731.2731; Shawn
focusing on the positive here—and the bottom line is when times are tough, it’s Kingston, +1.845.731.3828 COPYRIGHT CLEARANCE
not a bad thing to be a part of the beverage business. BW CENTER +1.978.750.8400 copyright.com
10_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

12. ENERGY SHOT
*AC NIELSEN DATA - JUNE 2008
NEW SUPER POTENT 2-OUNCE SIZE

13. BEVBEAT
MARKET UPDATE
news and analysis on a changing market
Going Greener
The beverage marketplace continues its commitment to the
environment with several new eco-friendly product launches.
by heather landi
B
everage companies are stepping up their green initiatives
with the launch of several new eco-friendly products. Last
month, Purchase, N.Y., USA-based PepsiCo debuted the
Aquafina Eco-Fina Bottle, touted as the lightest half-liter bottle of
any nationally distributed bottled water brand. Available this month,
the Eco-Fina Bottle weighs 10.9 grams as it’s made with 50 percent
less plastic than the previous half-liter Aquafina bottle. »
PEPSICO’S Aquafina Eco-Fina
Bottle is made with 50 percent
The company estimates that the new bottle will eliminate about less plastic. The company also
is testing climate-friendly
75 million pounds of plastic annually. The Eco-Fina Bottle also is vending machines.
produced at the Aquafina purification center where filling the first companies in the US to offer natural spring water in
occurs, eliminating cardboard base pads from the 24-packs, which a recyclable carton.
contributes to saving 20 million pounds of corrugate by 2010. “By putting our spring water in a Tetra Pak carton, we
“The new design leverages structural engineering, which offer a ‘greener’ alternative without compromising portabili-
allows the Eco-Fina Bottle to support 50 times its weight while ty, convenience and delicious taste,” Jane Goldberg, Plant It
offering consumers a contemporary, attractive package that Water CEO, says.
meets their needs,” Robert Le Bras-Brown, vice president of Outside the bottle, Pepsi also is testing climate-friendly
packaging innovation and development at PepsiCo, says. vending machines in the Washington, D.C. area. The “green”
Oakland, Calif., USA-based Plant It Water also launched a machines are cooled by carbon dioxide rather than hydroflu-
new “green” package in the form of a Tetra Pak recyclable orocarbons (HFCs), use less energy and generate 12 percent
carton made from 60 percent renewable material from less greenhouse gas emissions than current vending
sources such as plant fibers. The company says it is one of machines, according to the company. BW
INSIDE BEVBEAT
MARKET UPDATE NEW BEVERAGES
Relaxation beverage drank Fruit2O offers the
signs deals with nine nutrition and refreshment
distributors across the US. of real fruit to water.
PAGE 15 PAGE 16
12_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

14. with DOWFROST™ Inhibited Propylene
Glycol-based Heat Transfer Fluid
Nothing Cools Your Process Like DOWFROST™ Fluid:
To Learn More...
www.dowfrost.com

15. 24th-28th November 2009
[BEVBEAT]
fieramilano Rho
opening time 9.00-18.00 All Sport Goes Natural
Capitalizing on the availability of an all-natural sweet-
ener from stevia, All Sport, Inc. and Dr Pepper Snapple
23rd Group, Inc. launched All Sport Naturally Zero, a zero-
calorie sports drink sweetened with rebiana. Formulated
with electrolytes and B vitamins, All Sport Naturally Zero
20-ounce bottles will be
available this month in con-
venience and gas, grocery
and specialty retail channels
in three flavors: Dragon-
fruit, Strawberry Star Fruit
and Mandarin Orange.
Rebiana is an all-natural
zero calorie sweetener
derived from the stevia
plant and was recently approved by the United States
Food and Drug Administration for use in a variety of
foods and beverages.
“We have been working diligently in our R&D center to
incorporate stevia in our products and in our allied
brands such as All Sport,” Larry Young, chief executive
officer of Dr Pepper Snapple Group, says. “Taste is king
in the beverage industry, but for today’s consumers,
INTERNATIONAL ENOLOGICAL AND health is becoming increasingly important. All Sport
Naturally Zero delivers a unique proposition for the mil-
BOTTLING EQUIPMENT EXHIBITION lions of Americans who exercise regularly and are looking
to get the most out of their workouts.”
SIMEI
is the world leader in the exhibition of
machinery, equipment and products for NWNA Makes a Sweet Deal
the production bottling Nestlé Waters North America, Inc. has made
a US$15.6 million investment in Austin,
and packaging of drinks Texas, USA-based Sweet Leaf Tea Co. Dan
Costello, a Nestlé Waters North America
executive, will relocate to Austin, to become
visit our website www.simei.it
president of Sweet Leaf Tea, reporting to
company founder and chief executive offi-
cer Clayton Christopher. Nestlé Waters also
will add two directors to Sweet Leaf Tea’s
for further information
board of directors.
SIMEI
According to Christopher, the partnership
via San Vittore al Teatro, 3 will transform the company from a regional
20123 Milan - Italy brand to one with full national distribution with-
Hotel and Travel in 24 months.
tel. +39 02 7222281
www.expohotels.eu “This investment speaks volumes about our enthusiasm
fax +39 02 866575
www.simei.it for the exceptional company Sweet Leaf has built, based on
info@simei.it the principles of quality and all-natural goodness,” Tim
Brown, executive vice president of retail operations, Nestlé
Waters North America, says.
14_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

16. Innovative Beverage’s “Slow Your Roll”
IN MEMORIAM Movement Gains Momentum
James Coleman Lee, Jr., a
beverage industry leader who Marketed with the tagline “Slow Your are reaching out
turned Buffalo Rock Co. into a Roll,” drank relaxation beverage is tak- because they recognize
force in the bottling industry, ing the beverage market by storm as it that drank is not only
passed away Feb. 28. Lee took inks new distribution deals across the the inventor, but indus-
the reigns as president of United States. Houston, Texas, USA- try leader, in this new
Birmingham, Ala., USA­based based Innovative Beverage, the makers category of functional
Buffalo Rock in 1951 and of drank, recently announced that, as of beverages,” says Peter
steered the family­run compa­ press time, the company has signed Bianchi, creator of
ny for decades, helping it to deals with Anheuser-Busch distributors drank and CEO of
grow into a US$500 million Arkansas Distributing Co., Griffin Innovative Beverage.
operation. After stepping down Beverage Co., Mississippi Distributors, “For drank, these
as chief executive, Lee served Inc., Mitchell Distributing Co. and Wil strategic alliances are
as Chairman Emeritus. He also Fischer Companies, along with long- an integral part of our
was an active business and time Pabst Brewing Company supplier aggressive growth plan, allowing us to
civic leader in the Birmingham Arrow Beer Distributing as well as bolster our national distribution net-
area and won numerous indus­ Clayton Distributing, MBC-United work. For distributors, drank is a high-
try and civic awards. Wholesale and Select Drink. margin revenue stream in a new mar-
“Distributors from across the country ket segment.” BW
De
Designing OPTIMUM
esigning OPTIMUM
Beverage Distribution Systems
Beverage Distribution Systems
is ib i n ms
s
Blue Horseshoe is the only authorized retailer of
Blue Horseshoe is the only authorized retailer of Optimized cus tomer
Optimized customer J. J. Taylor Companies
J. J. Taylor Companies
ILS.Net Warehouse Management System.
ILS.Net Warehouse Management System. “We
“We chose to partner with Manhattan and
W partner
Blue Horseshoe to su
support our market growth
upport market
Blue Horseshoe helps customers balance supply with demand
Blue Horseshoe helps customers balance supply with demand as well as the onset of rapid SKU proliferation.
and meet on-time delivery expectations.
and meet on-time delivery expectations. Manhattan’s proven track record combined with
Blue Horseshoe’s exp
experience and commitment
p
perience
Services include:
Services include:
to our industry made them the clear choice for
made
Warehouse M
Warehouse Management Systems
Management Systems Implementation Consultation
Implementation Consultation J. J. Taylor as we continue to optimize our entire
Taylor continue
Labor Management
Labor Management Integrate to Current Systems
Integrate to Current Systems supply chain.”
Inventory Management
Inventory Management Material
Material Handling
Bruce Whitely
Order Manage
Order Management
ement Facility
Facility Design & Setup
Setup Chief Information Officer
Offi
ficer
J. J. Taylor Companies
Taylor
System Solution
System Solut Design
tion Windows & AS400 Solutions
Solutions
Join the ever growing list of customers who are benefiting from
Join the ever growing list of customers who are benefiting from
seamless, optimized supply chain management solutions!
seamless, optimized supply chain management solutions!
Contact Us
Contact Us 317-573-2583
317-573-2583
b ev e ra ge @ b h s o l u t i o n s . co m
beverage@bhsolutions.com w w w. b h s o l u t i o n s . c o m
www.bhsolutions.com

17. [BEVBEAT]
NEW BEVERAGES
Fruit2O Introduces Essentials Line
F
ruit2O was introduced in 1999 as strong demand among women for a efits, or, worse yet, are loaded with
bottled water with real fruit fla- fortified water with little or no extra sugar and calories,” says Zellen.
vors added. This calories and easy-to-understand Fruit2O Essentials has no sugars or
year, the same benefits. carbohydrates and zero calories and is
company is bringing its “The creation of the Fruit2O available in six flavors: Cranberry
bottled water to new Essentials line was really in Raspberry, Strawberry Kiwi, Peach
heights with Fruit2O response to a lack of better, Mango, Citrus, Blueberry Pomegranate
Essentials, a fortified more nutritious fortified and Cherry Açai. Each flavor is fortified
water that offers water options out there with the nutrients in the amount equal
the nutrients and for women,” says David to two servings of fruit.
refreshment of real Zellen, brand manager for Fruit2O Essentials will be available in
fruit to clear water. Fruit2O. many US markets beginning this
The concept for “Many fortified waters month. Single 18-ounce bottles will be
Fruit2O Essentials claim to provide important sold in grocery stores for a recommend-
began when its brand health benefits, such as ed retail price of US$1.29-US$1.49, and
team studied the cur- immunity enhancing nutri- in 15- and 20-packs at club stores for a
rent landscape of the ents and enriched vitamins. recommended retail price of US$9.99-
fortified water market The problem is that many US$12.99.
and conducted con- of them either don’t pro- A new Fruit2O website is slated to
sumer research that vide meaningful, under- launch in May to support the launch of
revealed there was a standable nutritional ben- Essentials. fruit2o.com
Tasting Red
ZT is a red tea made from
An Unexpected Liqueur the spiny leaves of the
Xanté, a spirit that has been avail- rooibos bush that grows in
able in Europe for more than 10 the Cederberg Mountains
years, became available in the of South Africa. Tea made
US in February. Xanté is the from rooibos has been
combination of pears with a prized for centuries for its
touch of French cognac complex flavor and good-
matured for four years in for-you properties.
French Limousine Oak barrels Founders of ZredT, pro-
with hints of vanilla. Pro- ducers of ZT, were turned
duced by Swedish distiller- on by red tea and set out
ies, Xanté can be experienced to make their own organ-
as an ultra premium shot ic, ready-to-drink version.
chilled, served neat, on the The Baton Rouge, La.,
rocks or in a chilled martini USA-based company
glass. Distributed by Kindred launched ZT in four fla-
Spirits of North America, Inc., vors—Unsweetened, Lemon, Vanilla and Ginseng & Honey. The
Xanté retails at approximately product is sold for a suggested retail price of US$1.79-US$1.99 in
US$40 for a 750 ml bottle. select grocery and natural food stores nationwide. zredt.com
KindredSpiritsUSA.com
16_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

19. [BEVBEAT]
AriZona’s Electrolyte Enhanced Water
AriZona Beverage Co. ventures into a new area
of hydration with Vapor Water. AriZona has cre-
ated a vapor-distilled water that infuses a blend
of electrolytes, calcium, magnesium and potassi-
um, the company says. This proprietary formula
is designed to help increase a person’s rate of
hydration and enhance performance during phys-
ical activity, without adding calories and sodium.
AriZona’s Vapor Water will begin distribution
nationally this winter for a suggested retail price
of US$1.59 per 33.8-ounce PET and US$1.29 per
25.3-ounce PET. drinkarizona.com
Hint for Kids
Hint Essence Water is re-launching Hint
Kids with new packaging and a new ingredi-
ent—fluoride. Available in 11-ounce Tetra
Pak containers, Hint Kids is available in Not Just for Friday
strawberry-kiwi, tropical and watermelon. Friday Monkey wines from Australia
“We are thrilled to re-launch HINT Kids and are made for any occasion. The newest
give younger ones a chance to enjoy a bev- release from the company is Friday
erage that contains no calories, sugar or Monkey Cabernet/Shiraz, which is set
sweeteners,” says Kara Goldin, founder and for national distribution this year.
CEO of Hint Inc. drinkhint.com The Friday Monkey line includes
Chardonnay, Shiraz, Merlot, Rosé,
Cabernet/Merlot, Cabernet/Shiraz
and Cabernet Sauvignon. All the
wines are available in 750 ml bot-
Sparkling Pink tles with prices ranging from
Martini & Rossi has added Martini US$8.99 to US$10.99. Chardonnay,
& Rossi Sparkling Rosé to its portfo- Shiraz, Merlot and Cabernet
lio of fine wines completing its Sauvignon wines also are available
“sparkling trio,” which includes a in 1.5-liter bottles with prices
naturally sweet Asti and an extra ranging from US$13.99 to
dry Prosecco. The sparkling Rosé is US$15.99. fridaymonkeywine.com
cultivated in the areas of the
Piedmont and Veneto regions in
Italy and made with handpicked
Moscato Bianco, Malvasia and
Brachetto grapes. Soft pink in
color, the Rosé is characterized
Asahi Offers A Dark Beer
Asahi Breweries, Ltd. re-introduced its
by aromas that blend hints of
Asahi Kuronama, meaning unpasteur-
citrus, elderflower and
ized black beer. The brew, which orig-
peach with notes of wild
inally launched in Japan in 1995, is
rose, according to the com-
available at select retailers in the fol-
pany. It can be paired with
lowing states: California, Nevada,
an assortment of foods,
Texas, New York, New Jersey,
especially lighter flavors of
Pennsylvania, Georgia, Arizona and
fruits, cheeses and fish.
Colorado. Brewed at the Suita Brewery
Martini & Rossi Sparkling
in Osaka Prefecture, the oldest brewery
Rosé will be available in a
among Asahi’s nine breweries in Japan,
750 ml bottle and 187 ml
Asahi Kuronama is described as having a
four-packs at fine wine
smoky and honey-like flavor with a dis-
retailers this spring. It has
tinct aroma. The beer is 5.3 percent
a suggested retail price of
alcohol by volume. asahibeerusa.com
US$12.99. martini.com
18_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

20. *When combined with strength training & a low calorie diet. Use only as a dietary supplement. These statements have not been evaluated by the FDA. This product is not intended to diagnose, treat, cure or prevent any disease.

21. [COVERSTORY]
Pure
Performance They’re petite, portable, powerful and pricey: energy shots
are the next wave of energy consumption.
By Jennifer Cirillo
»
SOME OF THE LEADING energy shot brands are resonating with con-
sumers craving an alternative way to obtain energy. These small, con-
venient and potent formulations are delivering on their performance
promise resulting in a demand for them at retail. From a distribution
standpoint, energy shots create an added opportunity as they can be
incorporated into a distribution operation with ease.
20_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

22. E
ver heard of energy sunflower seeds? How about bulky and has a fast effect.” A much different consumption
energy cookies? Or what about energy spray? experience from the 8- or 16-ounce carbonated energy drink.
Tabs, maybe? Well, they’re out there. Energy shots, in the format the beverage audience is famil-
Energy is a need state that is being sourced iar with today, came to the forefront in 2004/2005 when the
from everywhere—wherever you can get it and current leading brand, 5-Hour Energy, began marketing itself
wherever you can put it. With beverages, “the as an alternative way to get energy, one that takes less time
next better thing,” as Walter Orcutt, executive to consume and provides long-lasting energy without the
vice president of NVE Pharmaceuticals, Inc., makers of 6 sugar and only four calories.
Hour Power, refers to them, are these miniature bottles of “5-Hour Energy actually launched on a marketing platform
liquid tagged “energy shots.” that competed with energy drinks—that you have all of the
“People are always looking for the next better thing and energy without the crash,” says Garima Goel Lal, senior con-
this might be it,” Orcutt says. sumer analyst for Mintel International Group, a market
These 2- to 3-ounce bottles that are primarily sold at the research firm. “When energy drinks appeared in the US, peo-
front counter of convenience stores for a premium price— ple were aware of the functional benefits, but there were
around US$2.99-US$3.49—have proven to resonate with some people who were also aware that energy drinks con-
consumers, despite their cost. Orcutt explains, “It’s a primary tained X amount of caffeine and X amount of sugar. So,
sale,” meaning regardless of economic climate, the product energy shots have built up on that shortcoming.”
will still be purchased. According to Scott Henderson, president of Living
“They’re truly a phenomenon; everyone is coming out Essentials, makers of 5-Hour Energy, the company has grown
with one,” says Michael Bellas, chairman and CEO of from less than US$10 million in sales in 2005 to more than
Beverage Marketing Corporation. (Red Bull even plans to US$250 million for 2009 thus far. Henderson
launch Red Bull Energy Shot and Red explains why: “The first thing is that it works.
Bull Sugarfree Shot this month in the You can put anything in a nice package and sell
United States.) Bellas continues, “There’s it once, but after that, it actually has do what it
a rationale that it’s easy to consume, not promises to do for the consumer in order for
BEVERAGEWORLD.COM APRIL 2009_BEVERAGE WORLD_21

23. [COVERSTORY]
them to come back and buy it over and over again.” Rahman, brand manager of energy drinks for Fuze Beverage,
One of the brand’s commercials claims that 2.5 million makers of NOS PowerShot and PowerShot X, line extensions
bottles of 5-Hour Energy are purchased a week. Henderson of NOS Energy Drink. “They tend to be a little bit older …
comments that particular TV ad is already out-dated as sales even a white-collar audience.”
of 5-Hour Energy have now surpassed that figure. The com- One of the handful of reasons for this, according to Goel
pany also is now offering Extra Strength and decaffeinated Lal, is the distinction between some energy shots that are
versions, which are likely to boost sales. labeled as dietary supplements—for example, 5-Hour Energy,
Some analysts and industry leaders believe the platform 6 Hour Power, and Redline Power Rush and Meltdown fat-
energy shots are marketed on will help grow the overall burning shot from VPX/Redline—which might appeal more
energy category by expanding its demographics. to an older consumer.
“From what we’ve seen, the energy shot user is definitely Citing Nielsen data, Orcutt says that 6 Hour Power is the
slightly different from an energy drink user,” says Tutal second best-selling energy shot brand in C-stores. VPX saw a
What a Rush
VPX Sports/Redline Energy was founded
in 1993 with the goal of creating bever-
ages and supplements that worked as
pharmaceuticals without the side
effects, notes Jack Owoc, CEO and CSO.
With offices in Davie and Weston, Fla.,
USA, comprising a total of 220,000 square
feet of manufacturing, R&D, sales, ship-
ping and production space, the company
formulates beverages that are gaining
momentum—the company expects to
»
reach US$250 million in sales this year. BY USING high-tech equipment to test and produce its supplements, VPX scientists are able to remain
on the cutting edge.
“VPX just puts out a super premium
product that retailers out here are very spent compared with what other leading the scientific research behind
receptive to,” says Bob Groux, president brands in the segment invest, the com- VPX/Redline products, visit
of Coast Beverage Group, the master dis- pany’s beverages have gained a con- vpxsports.com.) The company works with
tributor of VPX/Redline products in sumer following through viral marketing. a handful of trained flavor experts as
California. “What really separates Redline Power well as half a dozen flavor companies to
As part of the company’s line of Rush from the other shots is that it con- come up its formulations, Owoc notes.
sports nutrition supplements, VPX offers tains a specialized beta amino acid Before getting into beverages, VPX
Redline Power Rush and Meltdown fat- called beta-Alanine. Beta-Alanine specialized in liquid capsules of what
burning shots, line extensions of their 8- increases ATP, which is your body’s natu- became Redline and Meltdown. So,
ounce counterparts. ral energy currency,” explains Owoc. “It when the time came to formulate the
“Redline (the company’s 8-ounce also buffers the acid within muscle so three-capsule delivery system (or a 5 ml
energy drink) and all of our other you can play hard and longer with more oral dispenser) into 75 mls of liquid, the
drinks have entirely different super intensity no matter what you are task was “simple,” says Owoc, allowing
cutting-edge ingredient profiles doing.” Redline Power Rush contains two the company to include more active
and consumers know Redline servings per 2.5-ounce bottle claiming ingredients than its competitors.
and our other beverages are dif- seven hours of energy with 326 mg or “We do some really radical stuff and
ferent when they drink them,” 350 mg of caffeine, depending on the our facility is always open for somebody
says Owoc. “It is the experi- flavor, zero sugar and zero carbs. to come and visit ... We have four facil-
ence that the consumer gets The Meltdown shot has a similar ities where we produce Redline and all
that make VPX beverages ingredient profile and claims fat-burning of our products 20 hours a day in two
worth remarking about.” ability for more than six hours. 10-hour shifts,” Owoc says. “We are try-
In fact, Owoc says that The company prides itself on creating ing to raise the bar and take everything
with little advertising dollars its formulations in-house. (To read about to the next level.” —J.C.
22_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

25. [COVERSTORY]
more than 25 percent increase in revenue from 2007 to 2008, Hansen’s Monster
notes Jack Owoc, CEO and CSO of VPX Sports/Redline Energy. Energy, which launched
And Henderson, also citing Nielsen data, says that 5-Hour Hitman in November
Energy holds a 70 percent share of the 2-ounce energy shot 2008 is working with its
market adding that distribution of the product has expanded distribution partners,
to include stores like The Home Depot, OfficeMax, auto repair Anheuser-Busch and
shops and sporting goods stores. The Coca-Cola
“Pretty much anywhere there is a cash register you can sell Company, to come up with
5-Hour Energy,” says Henderson. marketing strategies.
“I think you’ll see a whole merchandizing
Demonstrating Value evolution up there that the retailer will embrace
Counter space at the register is prime real estate that because there are good margins for the product … and proba-
brand owners are battling over. Aside from commonly used bly that register space is going to evolve to accommodate the
12-pack pop-up display boxes, there are additional efforts merchandizing strategies that the large companies develop,”
being made to come up with new merchandizing strategies. says Mark Hall, president of Monster Energy. For Hitman,
“That’s valuable space,” says Jeff Lenard, vice president of that involves hanging fixtures, standing fixtures and mini-
communications for NACS (National Association of refrigeration, notes Hall.
Convenience Stores) of the counter at the register. “That’s the “This is going to become the same battle that the cooler is,”
space where you make your business off of. It would be Hall says. “And you just never know who is going to win,
impulse [purchases] and everybody wants that space, but who that’s why they play the Super Bowl.”
gets it? You have to demonstrate your value to the retailer.” But the game is about to change with the introduction of
Doug Stuart, president of Power Trip Beverages, Inc., Red Bull’s energy shots, which will be available nationwide
believes that some brand owners are going to have to give up by June. “Consumer research and trade feedback confirm
their egos in order to succeed in a limited retail space. “What that the energy shots category has been waiting for a trusted
the retailer wants to see is … who is going to offer up a rack premium brand like Red Bull to enter,” says Patrice Radden,
that competition can go on … because they are not afraid to director of corporate communications for Red Bull North
carry five or six different brands, but they certainly don’t America, Inc. “Red Bull Energy Shot and Red
have space for five or six different 12-packs,” Stuart says. Bull Sugarfree Shot are a natural extension of
Within the next month or two, Power Trip the Red Bull product portfolio, offering Red Bull
Beverages plans to introduce a plexiglass rack for efficacy in a concentrated form.”
the front counter to display its Power Trip Although the energy shot consumer is con-
Vitamin Energy Shots, and other shots, that is sidered “different” from the energy drink con-
open through the back to help prevent theft—a sumer, as big energy drink brands continue to
concern among retailers. launch energy shot line extensions there is the
Bob Groux, president of risk of cannibalization.
Coast Beverage Group, the According to a Mintel survey, 11 percent of
distributor of VPX/Redline energy drink users have tried energy shots and
products in California, says believe it is a better way of getting energy,
that he’s found success using reports Goel Lal. However, she offers that for
suction cup racks inside companies like Monster or Full Throttle, for
cooler doors. “When you put example, that already have found acceptance
the suction cup rack in the among consumers, launching an energy shot is
door you can sell up to three a way for them to keep consumers purchasing
times more shots because their brands.
some people really like them “When a consumer needs energy they are
cold,” he says. going to choose at that point from a variety of
options, between coffee, traditional soft drinks,
»
TO HELP DRIVE sales, new packaging traditional energy drinks, pills and shots, and
and new merchandizing strategies are any other delivery mechanism we come up with
being introduced. Hitman is offered in
a two-pack, while tiered racks, like next,” says Hall. “We’ve got some ideas.”
the one displaying Full Throttle Quick Until then, energy shots seem to be the next
Shot and NOS PowerShot (top right),
are being provided to retailers. better thing. BW
24_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

26. *When combined with strength training & a low calorie diet. Use only as a dietary supplement. These statements have not been evaluated by the FDA. This product is not intended to diagnose, treat, cure or prevent any disease.

27. » Hot... Innovative...Trendsetting
INTELLIGENCE FOR THE GLOBAL DRINKS BUSINESS
BEVERAGEWORLD
NOVEMBER 15, 2008
DECEMBER
Special Message from the Publisher—
» UpClose With:
Timing is Everything -
Innovative Beverage
Group Holdings, Inc.
Labrada Nutrition
Tradewinds Beverage Co.
High
Performance
The Patrón Spirits Co.
RENEW TODAY!
reveals its winning strategy
and leads our annual
HIT List.
»
THE PATRÓN SPIRITS CO.’S
CEO and president, Ed Brown
Just complete the form below and fax it to 847-763-9547
NOT YET A SUBSCRIBER? -use this form to begin a free
subscription of your own.
If renewing, provide Account #_____________________________________________________________
Signature (required)___________________________________________________________________________________Date_____________________________
Print Name____________________________________________________________________________________________________________________________
Title___________________________________________________________________________________________________________________________________
Company Name________________________________________________________________________________________________________________________
Street Address_________________________________________________________________________________________________________________________
City_____________________________________________________________________________________State_________________Zip Code________________
E-Mail_______________________________________________________________________Phone #_______________________Fax # _______________________
ALL QUESTIONS MUST BE COMPLETED
YES, I wish to receive/continue to receive a FREE subscription to Beverage World No, thank you
1. Please check what is the primary business activity at this location. (please 5. Please check the term that best describes your job function. (check ONE only)
check ONE only) 11 Corporate Management: Chairman, CEO, President, COO, CFO,
Executive VP Secretary, Treasurer
,
01 Beverage Franchise Company/Importer/Brand Owner
12 Division/Branch Management: President, VP General Manager,
,
(No Production)(Go to Question 3)
Purchasing Manager
02 Beverage Producer/Manufacturer/Bottler(Go to Question 2)
13 Production/Quality Control: VP of Production/Manufacturing/Operations,
03 Beverage Distributor/Wholesaler/Warehouse
Operations Manager, Production Manager, Plant Manager, Quality
(No Production)(Go to Question 2)
Control Manager, Chemist, Packaging Manager, R&D, Product
04 Full-Line Supermarket/Convenience Store Distributor
Development
(Go to Question 3)
14 Warehouse/Distribution/Fleet: VP Warehouse/Fleet/Distribution,
05 Foodservice Distributor (Go to Question 3)
Warehouse Manager, Fleet Manager, Distribution Manager, Traffic
06 Food Broker (Go to Question 3)
Manager, Transportation Dispatcher, Repair Shop Supervisor
07 Other (please specify)_____________________________________
15 Sales/Marketing: VP Marketing, VP Sales, Marketing Manager,
Sales Manager, Territory Manager. Route Manager, Vending
2. Please check primary product Produced/Manufactured/Bottled/Distributed/
Manager, District Manager
Wholesaled/Warehoused at this location (check ONE only)
16 Other (please specify):__________________________________________
A Carbonated Soft Drinks (CSDs)
B Beer
C Bottled Water 6. Please check ALL other product for which you have responsibility (please check
D Wine/Spirits/Distilled beverages all that apply)
G Ready to Drink Coffee/Tea A Carbonated Soft Drinks (CSDs) J Energy/Sports drinks
J Energy/Sports drinks B Beer E Juice/Fruit Drinks
E Juice/Fruit Drinks C Bottled Water F Fluid Dairy/Dairy drinks
F Fluid Dairy/Dairy drinks D Wine/Spirits/Distilled beverages H Other Beverages
H Other Beverages (please specify)________________________ G Ready to Drink Coffee/Tea
3. Please indicate your company’s annual sales volume (check ONE only)
A $50 Million or more D $10-$19.9 Million
FAX COMPLETED FORM TO:
B $25-$49.9 Million E $5-$9.9 Million 847-763-9547
C $20-$24.9 Million F Under $5 Million
or subscribe online at:
4. What is your fleet size? (check ONE only) www.beverageworld.com/go/HSE09D
21 20 or more Trucks 23 5-9 Trucks
Publisher reserves the right to limit the number of subscribers. Request
22 10-19 Trucks 24 4 or less Trucks
outside publisher qualification will be offered a paid subscription
Promo Code: HSE09D

28. Carbonated Bottled Energy
Soft Drinks Water Drinks
Page S2 Page S8 Page S10
BEVERAGEWORLD
State of
the
Industry
Report ’09
RTD Tea Functional
Page S14 SPONSORED BY
Drinks
Page S18
Beer Spirits Wine
Page S20 Page S23 Page S24

29. SPONSORED BY
State of the Industry ’09
CSD REPORT
Challenging Times
The US liquid refreshment beverage market had its share of hits and misses in 2008.
L ast year was marked by challenges for the United
States economy and most consumer product goods
industries, and the beverage market was not
immune. In an economic climate where consumers increas-
ingly tightened their wallets, fewer beverages were being
category, which has been struggling for several years, saw
its decline accelerate, charting a 3.1 percent drop in vol-
ume. Even bottled water, a category with a considerable
health halo, dropped by 1 percent, affected by the econo-
my and environmental concerns.
pulled off beverage aisle shelves or ordered at restaurants “The year started with high fuel prices and some of that
and fast food chains. The overall US liquid refreshment was passed on to the consumer in terms of higher prices
beverage (LRB) market, which includes all non-alcohol because the cost of distributing beverages was higher, but
beverages, shrank by 2 percent by volume, the first you also had higher packaging costs because of the cost of
volume decline on record. The health and wellness PET. And then the last half of the year is really when the
trend that began to take shape earlier this decade economy hit the wall. In effect, the economy would be the
continued to positively impact the market’s per- biggest overriding impact,” says Gary Hemphill, man-
formance as segments like enhanced and flavored aging director, information services, BMC.
waters were drivers of growth. Yet the double-digit However, there continues to be shining
increases witnessed in years past have stars in the LRB market as smaller, more
slowed considerably. “Generally, when niche beverage categories posted the
looking at growth trends, the decline strongest growth, despite being higher-
is slow and gradual. This past year priced, premium beverages. As con-
you saw growth rates cut in half for sumers continue to seek value and a
the premium LRBs and that was real functional benefit, it seems those
shocking,” Michael Bellas, chairman beverage companies most effectively
and CEO, Beverage Marketing responding to those needs are the
Corporation (BMC) says. And the ones who will continue to prosper in
beleaguered carbonated soft drink uncertain times. —Heather Landi
US LIQUID REFRESHMENT
BEVERAGE MARKET
VOLUME IN MILLIONS OF GALLONS, GROWTH AND SHARE
Brand
Million
Gallons
Market
Share Growth
Share Point
Change
US CSD CONSUMPTION
MILLIONS OF GALLONS
Carbonated Soft Drinks 14,232.6 47.5% -3.1% -0.5
Bottled Water* 8,672.9 28.9% -1.0% +0.3 20,000
Fruit Beverages 3,928.2 13.1% -2.0% 0.0
Sports Drinks 1,318.6 4.4% -3.1% -0.1
Ready-to-Drink Tea 859.3 2.9% -1.8% 0.0
Flavored and Enhanced Water 548.1 1.8% +8.3% +0.1
Energy Drinks 365.9 1.2% +9.0% +0.1
Ready-to-Drink Coffee 47.5 0.2% +1.6% 0.0 15,258.5 15,271.6
Total 29,973.2 100.0% -2.0% NA 14,688.0
15,000
15,367.2 15,083.3
*INCLUDES RETAIL PET, RETAIL BULK, HOME AND OFFICE DELIVERY, VENDING, DOMESTIC SPARKLING AND IMPORTS;
EXCLUDES FLAVORED AND ENHANCED WATER.; SOURCE: BEVERAGE MARKETING CORPORATION 14,232.6
Newer beverage categories, especially those with a health and wellness positioning, con-
tinue to steal market share from the larger categories, such as CSDs. CSDs continue to
be the largest category, with a commanding 47.5 percent of the LRB market. However, in
a tough economic climate, consumers are being conservative when it comes to beverage
consumption as once fast-growing categories have seen their growth rates decelerate. 10,000
Energy drinks and flavored and enhanced water, which enjoyed 24.7 percent and 30.6 per- ’03 ’04 ’05 ’06 ’07 ’08
cent growth, respectively, in 2007, saw only single-digit increases last year.
SOURCE: BEVERAGE MARKETING CORPORATION
S2_BEVERAGE WORLD_APRIL 2009 BEVERAGEWORLD.COM

30. SPONSORED BY
State of the Industry ’09
CSD REPORT
THE COCA-COLA COMPANY CSD PORTFOLIO Although Coca-Cola remains
the largest CSD company,
Million Million Market Share of Share Point commanding a 43.4-per-
Brand Cases Gallons Share Coke Growth Change cent market share, it con-
Coca-Cola Classic 1,665.7 2,498.5 17.6% 40.5% -2.5% +0.2 tinues to struggle as it
Diet Coke 981.1 1,471.7 10.3% 23.8% -3.0% 0.0 saw negative growth in
Sprite 536.5 804.8 5.7% 13.0% -3.0% +0.1 almost all of its carbonat-
Fanta 154.1 231.2 1.6% 3.7% -1.0% 0.0 ed brands. Even its diet
Caffeine Free Diet Coke 124.5 186.8 1.3% 3.0% -8.0% -0.1 trademarks, which had
Barq’s 101.3 151.9 1.1% 2.5% -3.0% 0.0 been bright spots in the
Coke Zero 128.5 192.7 1.4% 3.1% +36.0% +0.4 portfolio, declined. Coke
Cherry Coca-Cola 71.8 107.7 0.8% 1.7% -4.0% 0.0 Zero continues to be the
Diet Sprite/Sprite Zero 58.9 88.4 0.6% 1.4% -4.0% 0.0 saving grace, recording double-digit
Mr. Pibb 57.5 86.3 0.6% 1.4% -5.0% 0.0 growth. Many companies are hoping
Other* 234.9 352.3 2.5% 5.7% -17.4% -0.4 sweetener innovations will help save
Total Coca-Cola CSD 4,114.8 6,172.3 43.4% 100.0% -3.0% +0.1 the CSD category. Coca-Cola launched
Sprite Green containing Truvia, a ste-
SOURCE: BEVERAGE MARKETING CORPORATION; *INCLUDES CITRA, INCA COLA, KINLEY, SMART AND SURGE via-based sweetener, in late 2008. “
“ One cola drink that did well was Coke Zero. It had a relatively big, strong performance.
MICHAEL BELLAS, CEO AND CHAIRMAN, BEVERAGE MARKETING CORPORATION
“ Big brands are
certainly part of the
industry, but where
LEADING US CSD COMPANIES
MILLIONS OF GALLONS
all the innovation is 4 +4.0%
coming from is the +2.7%
3 +2.4%
niche brands because
the need states have 2 6,172.3
been chopped up to 1
such a degree that in
0
order to be success- 4,451.2
-1.3%
ful you’ve got to do -1
something that’s going to
“ -2
target a specific consumer -3.0%
-3 2,207.0
benefit.
676.4
-4
GARY HEMPHILL, MANAGING DIRECTOR,
-4.2%
INFORMATION SERVICES, BEVERAGE -5
MARKETING CORPORATION 374.5
-6.0% 43.1 11.0
-6
The Coca-Cola PepsiCo, Dr Pepper Cott National Big Red Carolina
Company Inc. Snapple Group Corporation Beverage Beverage
*NATIONAL INCLUDES THE SHASTA AND FAYGO BRANDS; SOURCE: BEVERAGE MARKETING CORPORATION
BEVERAGEWORLD.COM APRIL 2009_BEVERAGE WORLD_S3

31. The taste
of aspartame
“Why do certain
foods and beverages
taste sweet?” “Why do we like
sweet-tasting
Certain foods such as honey
and fruit are naturally sweet, foods and drinks
while other foods need to be so much?”
sweetened by adding sugar.
When we eat sweet foods and drinks,
the sugars in them lock onto certain “Sweet” is one of
taste buds on the tongue. When the four basic
they are stimulated, these tastes that can be
taste buds send messages sensed by the
to our brain telling us we tongue. Almost everyone
are tasting something likes sweet-tasting foods and
sweet. Aspartame locks drinks. From our earliest days
on to the taste we enjoy the sweetness of our
buds in just mother’s milk from the natural
the same sugar called lactose that it
way as contains. Many of us like the
sugar, honey feeling of comfort that sweet
and fruit. foods provide.
“What does aspartame taste like?”
Aspartame has sweetened foods and beverages
for more than 25 years. During that time it has been
compared to other sweetening ingredients in numerous taste
tests. Time and time again, the people taking part in these
tests have preferred the natural-tasting sweetness of aspartame.
There is no bitter aftertaste, and most people cannot tell the taste
of aspartame from sugar.

32. www.aji-aspartame.com
The Sweet Spot
Hit it right, and the effect is amazing.
Combine HFCS or sugar and Ajinomoto Aspartame in regular foods and drinks and
you’ll be serving market-winning taste. With rising commodity prices meaning that
100% calories are slicing into your profits, Ajinomoto Aspartame will improve your
returns too.
Our global experience in formulating products sweetened with caloric sweeteners
and Ajinomoto Aspartame will ensure that you win game, set and match.
Improve Your Net Game
Ajinomoto Food Ingredients LLC,
8430 West Bryn Mawr Avenue, Suite 635, Chicago, Il 60631
Tel: 800-456-4666 Email: AFI_CSR@ajiusa.com