Food & Beverage

by David Klemt David Klemt No Comments

E-Commerce Alters Drinking Occasion

E-Commerce Alters Drinking Occasion

by David Klemt

According to estimates, beverage alcohol e-commerce grew by 40 percent in 2020.

Per data from the IWSR, ten “core countries” are driving that growth: Australia, Brazil, China, France, Germany, Italy, Japan, Spain, United Kingdom, and the United States. China, the reigning campion of beverage alcohol e-commerce, is expected to be toppled by the US by the end of this year.

Of particular note: growth in the above markets more than doubled from 2019, when online alcohol retail grew by 11 percent.

What this Means for Brick-and-Mortar Operations

We all know what drove the growth in online alcohol sales.

In their quest to find comfort in the midst of the global 2020 pandemic, they became comfortable with purchasing alcohol online as a long-term behavior. Alcohol brands were forced to pivot to online sales channels due to restaurants, bars, lounges, nightclubs and other brick-and-mortar F&B operations facing constantly shifting restrictions and closures. (See also: Los Angeles County restaurant restrictions.)

To compete, operators must continue to do what they’ve had to even before a pandemic absolutely ravaged the hospitality industry and millions of people’s livelihoods: adapt.

For at least several more months, drinking at home will be its own occasion, for obvious reasons. The IWSR expects brands to invest more into online alcohol retail. If that proves to be the case, operators can expect–as a worst-case scenario–fewer dollars spent on their brick-and-mortar operations.

Getting creative with alcohol delivery, takeout and pickup is crucial to give operators the best chance to be included in the at-home drinking occasion.

The Trends to Watch

In terms of delivery trends, you can click here for food trends so you can consider complimentary beverages. Click here for 2021 drink trends, which certainly include alcohol-free beer.

Athletic Brewing Co. alcohol-free craft beers.

Athletic Brewing Co. alcohol-free craft beers. Image: Athletic Brewing Co.

Speaking of delivery, the growth in alcohol e-commerce makes owning the guest journey by offering direct delivery even more important.

The IWSR has identified their own set of trends tied to the growth of alcohol e-commerce:

  1. As touched on above, at-home drinking becoming its own occasion outright.
  2. Premiumization will change. Some consumers will experiment less and focus on their favorite brands, and others will turn to brick-and-mortar channels for premium experiences.
  3. Politics will play a noticeable role on beverage alcohol, not just in the US but across the globe. Tariffs could change and strict e-commerce regulations could loosen.
  4. RTDs will remain strong or get stronger. Per the IWSR, “innovation in alcohol bases, exploration of new and increasingly local flavors, and premium product offerings” will ensure RTDs remain a crucial beverage category in 2021.
  5. Low- and zero-alcohol drink options will continue their evolution. Once stigmatized, these drinks exploded in popularity in 2020. For 2021, the IWSR expects them to become aspirational.

Last year changed the industry. Comfort, convenience, and a heightened awareness of health and wellness are altering how people consume and engage with brands, restaurants and bars. Operators, already facing challenges from all sides, must take the time to develop strategies to compete for e-commerce dollars.

Image: mentatdgt from Pexels

by David Klemt David Klemt No Comments

Finalizing Your Big Game Menu? Google is Here to Help

Finalizing Your Big Game Menu? Google is Here to Help

by David Klemt

Operators putting the final touches on their delivery, takeout, meal kit and Big Game menus for February 7 could probably use some help.

None of us have a crystal ball but we do all have access to Google Trends intel, which is often just as good.

Google’s latest data-driven infographic is just in time for this coming weekend: Uniquely searched Super Bowl foods, by state.”

The information, neatly categorized by food item type, provides insight into what people in each state are interested in ordering from restaurants or featuring at their at-home gathering. Such data can help operators dial in their menus and create Big Game packages, offering customers a convenient way to enjoy their favorite foods while they watch the Big Game.

Unique Super Bowl Food Searches

Google color-coded their infographic. Red represents main dishes, green is for side dishes, appetizers are blue, dip is yellow, and grey denotes dessert. As the Google map shows, several states are more into snacks than entrees.

Eighteen states are red. Interestingly, a specific item is the top search in three states. Nevada, Idaho and Mississippi are dominated by birria tacos. Cuban sandwich was the top search in two states: New Mexico and Pennsylvania. The other 13 states each have top searches unique to them:

  • Oregon: Pasta fagioli
  • Alaska: Beef stew
  • Hawaii: Hawaiian BBQ chicken
  • Illinois: Cajun boil
  • Arkansas: Wagyu beef
  • Kentucky: Jambalaya
  • Alabama: Tri-tip
  • Georgia: Korean BBQ
  • South Carolina: Meatball
  • West Virginia: Grilled cheese
  • Rhode Island: Short ribs
  • Vermont: Pork chow mein
  • New Hampshire: Lasagna

Just four states are green, and chili is the top search in 75 percent of those: Colorado, Tennessee and Massachusetts. North Dakota is the outlier with stuffed peppers.

There are 13 states colored blue. The top football food search in three of those—Oklahoma, Virginia and Indiana—is charcuterie board. Surprisingly, chicken wings are the top search in just two states, and neither is their state of origin: Michigan and Florida. The most unique appetizer, at least in our view, is Montana’s interest in keto egg bites. Although, Maryland’s search for deep fried wingettes is very specific and Delaware’s search for prawn toast is rather distinct. What’s commonly assumed to be a sports bar and Super Bowl staple, nachos, was only the top search in one state: Maine. California searched for cheeseburger sliders, Minnesota looked up Chex Mix, Ohio is most interested in cheese ball, and North Carolina is all about pigs in a blanket.

Another 13 states are most interested, per Google data, in dip (yellow states). In particular, Buffalo chicken dip reigns supreme. It’s the top search in six states: Kansas, Missouri, Wisconsin, New Jersey, Connecticut and, somewhat predictably, New York. However, 7-layer dip is a close second, dominating four states: Washington, Arizona, Utah and Louisiana. Nebraska may lay claim to Most Unique Dip Search with labneh. South Dakota looked up white queso the most, and Iowa prefers crab rangoon dip.

Only two states and Washington, DC, searched for dessert items the most. Wyoming’s top search was incredibly specific: chia seed coconut milk dessert. Texas wants chocolate chip cookies, and our nation’s capital searched for mochi.

Unfortunately, this Google Trends data doesn’t include Puerto Rico. You can view the infographic by scrolling down.

Takeaways

Top main dish: Birria tacos

Top side dish: Chili

Top appetizer: Charcuterie board

Top dip: Buffalo chicken

Google Trends most unique Super Bowl LV food search

Super Bowl LV: Uniquely searched Super Bowl Foods, by state. Google Trends.

Map image: Google

Featured image: Jeswin Thomas on Unsplash

by David Klemt David Klemt No Comments

Rise of the ‘Not’ Delivery Platforms

Rise of the ‘Not’ Delivery Platforms

by David Klemt

The big third-party delivery services are facing pushback in the form of community-based competition.

We’ve kept our eye on this burgeoning trend and the push for operators to implement first-party delivery, also known as direct delivery.

It isn’t directly related to hospitality but the first of the “not” sites that grabbed our attention was Not Amazon. As the name suggests, Not Amazon is…well…not Amazon.

The founder highlights businesses owned and operated by women and BIPOC and LGBTQA+ people. However, Not Amazon goes even further, as illustrated in their mission statement:

“Providing the most we can, while taking as little as possible, in order to build a new kind of community.”

Community and neighborhood support is at the core of Not Amazon. The digital era has been marked by local, mom-and-pop brick-and-mortar businesses suffering in the wake of online shopping. Convenience has outweighed community. More often than not, women-, BIPOC- and LGBTQA+-owned businesses have been disproportionately affected by “convenience.”

Of course, it makes sense with a global pandemic to shop online. Not Amazon, which currently serves Calgary, Halifax, Toronto and Vancouver, provides a viable alternative to its behemoth of an online retail counterpart.

That brings us to two compelling hospitality industry-specific platforms.

It’s not a secret that KRG Hospitality supports first-party and last-mile delivery. In fact, we’ve very clearly explained that operators lose guest data and control over the guest journey when they sign with a third-party delivery company.

That’s to say nothing of the fees third-party services charge their F&B “partners.” Is it convenient that DoorDash, UberEats, Postmates and other companies provide a semblance of infrastructure, the lure of reaching a larger pool of customers, and drivers (including the associated liability)? Sure.

But are the costs associated with doing business with a third-party delivery company worth it? Most likely not.

Studies have also shown that when a delivery goes wrong on the third-party’s end–cold food, for instance–it’s the restaurant that tends to get the blame.

There are two websites that, like Not Amazon, have popped up to put supporting local restaurants front and center: Not UberEats and NotGrubhub.

The former serves Toronto and operates as a non-profit, according to their FAQ page. The latter is mainly focused on the United States, offers the option to purchase gift cards, and is powered by Lunchbox. NotGubhub also boasts more than 100,000 direct ordering links.

Both operate in similar fashion: Restaurants submit their information to be added to the respective platforms, provide an ordering link, and obtain a listing. From there, people can search by location for restaurants in their area to place a delivery order.

In the case of NotUberEats, deliveries are fulfilled by Ritual or DoorDash. As noted on their FAQ page, Ritual is offering Toronto restaurants free delivery through 2021. Restaurants can also DoorDash because, as NotUberEats explains in their FAQs, the service is charging a flat rate and not collecting any commissions.

People can also send restaurant information to NotUberEats to help grow their listings. Anyone who wishes to do so is asked to provide at least 50 businesses in their city and submit them here.

Operators ready to make the move to first-party/direct delivery and own their guest journey should consider the following platforms:

With delivery here to stay, the sooner operators transition to direct delivery, the better. There’s no longer a reason to lose control of guests, a profitable operational element, or costs.

Image: Nathan Dumlao on Unsplash

by David Klemt David Klemt No Comments

Recently Awarded Michelin Star Shines Spotlight on Vegan Menus and Operations

Recently Awarded Michelin Star Shines Spotlight on Vegan Menus and Operations

by David Klemt

If there was any question that vegan restaurant concepts are viable, a recently awarded Michelin star has provided a firm and affirmative answer.

Michelin Guide France awarded ONA (Origine Non Animale or “Non-Animal Origin” in English) a Michelin star earlier this week. This marks the first time in the award’s history that a restaurant in France that uses no animal products received a star.

Chef and owner Claire Vallée opened ONA in the city of Arès in the southwest of France in 2016 leveraging a combination of crowdfunding a loan from La Nef, an ethical bank. It has been reported that volunteers helped to finish the project when funds ran out before construction had been completed.

The vegan diet has endured mockery for decades in the United States and Canada. It’s only in recent years that veganism has flourished, bolstered by a belief that the diet is healthier, more sustainable, and more ethical. Growing interest in plant-based diets have also no doubt boosted veganism.

In France, however, the vegan diet hasn’t been embraced as widely as it has throughout North America. Sifting through online searches, travel blogs and posts shows that, generally speaking, vegan options aren’t widely available throughout France’s rich and storied restaurant scene.

For ONA to win a Michelin star shows that attitudes toward the vegan diet in one of the gastronomy and culinary capitals of the world is undergoing a possibly seismic shift.

A number of chefs have returned their Michelin stars or requested their restaurants not be considered for the accolade. For now, however, Michelin stars still recognize outstanding food and operations.

The awarding of a star to ONA is a significant achievement for Chef Vallée and her team.

Image: Jo Sonn on Unsplash

by David Klemt David Klemt No Comments

Delivery and Takeout Food Trends for 2021: United States

Delivery and Takeout Food Trends for 2021: United States

by David Klemt

Yesterday we reviewed food delivery data and 2021 food trend predictions for Canada. Now it’s the United States’ turn.

Before we jump into the data and predictions, a word on succeeding with delivery in 2021 and beyond.

As I pointed out yesterday, when an operator signs up with a third-party delivery service, their guest data becomes the delivery company’s data.

That means that company and not the restaurant or bar owns the guest journey and guest engagement, and therefore owns the guest for all intents and purposes.

When a restaurant, bar or other F&B business enters into a contract with a third-party delivery company—unless otherwise explicitly stated—they give up control of targeted marketing efforts. In other words, third-party delivery platforms disrupt the guest journey.

Delivery became a way for many businesses to generate revenue during 2020, for obvious reasons. Operators who can afford to implement first-part and last-mile delivery should do so to maximize their revenue and control the guest journey and marketing.

To help operators own delivery, we’ve reviewed end-of-year reports from three delivery titans—UberEats, Grubhub and DoorDash—to share their 2020 findings. When it comes to the most ordered items, cuisines and categories, some third-party platforms are willing to share data.

According to UberEats, comfort foods were the most popular category:

  • Burgers and fries
  • Burritos
  • Pad Thai
  • Mac and cheese
  • California rolls
  • Chicken Tikka Masala
  • Miso soup
  • Mozzarella sticks

Per the platform, the following cuisines proved most popular:

  • American
  • Italian
  • Mexican
  • Chinese
  • Japanese
  • Thai
  • Indian
  • French
  • Caribbean
  • Greek

As UberEats stated in their report, it appears that customers found a way to travel after all—they just did it through food.

Pizza, bagels, wings, tacos, burgers and dumplings led the way for Grubhub in 2020. The most popular pizza order was Hawaiian (because some people are monsters and put pineapple on their pies), while the most popular burger was garlic mushroom. Grubhub revealed that their top French fry was the loaded curly fry, and the most popular plant-based item was the eggplant burger.

In descending order, the top F&B Grubhub orders overall from 2020 were:

  • Spicy chicken sandwich
  • Chicken burrito bowl
  • Chicken wings
  • Waffle fries
  • Cold brew coffee
  • Steak quesadilla
  • Iced latte
  • Fish and chips
  • Strawberry shake
  • Roast beef sandwich

Per Grubhub, the top breakfast item was the acai bowl, the top side dish was French fries, the number-one late-night order was strawberry cheesecake, and the most ordered dessert was apple pie.

Moving on to DoorDash, the platform identified their top ten 2020 items back in November:

  • Chicken fingers and French fries
  • Fried chicken sandwich
  • Mac and cheese
  • Chips and guacamole
  • Apple pie
  • Pad Thai
  • Chicken quesadilla
  • Iced coffee
  • California roll
  • Chicken Tikka Masala

The UberEats, Grubhub and DoorDash revelations align with data collected by the National Restaurant Association between November and December of 2020. Per the NRA, the following were the top items sold by full-service casual, family and fine-dining restaurants:

  • Burgers
  • Seafood
  • Pizza
  • Steak
  • Chicken (excluding chicken wings)
  • Breakfast items
  • Pasta
  • Mexican food
  • Sandwiches, subs and wraps
  • Chicken wings

According to the NRA, the items below were the most popular for limited-service restaurants (fast casual, quick-service, coffee and snack):

  • Sandwiches, subs and wraps
  • Pizza
  • Burgers
  • Chicken (excluding chicken wings)
  • Ice cream, cookies and cakes
  • Baked goods
  • Breakfast items
  • Mexican food
  • BBQ items
  • Seafood

For 2021, DoorDash predicted the following items to see a lift:

  • Sausage, egg and cheese on a biscuit
  • Create your own omelettes
  • Carrot cake
  • Cinnamon roll
  • Caramel latte
  • Chocolate brownies
  • Black coffee
  • Donuts
  • Blueberry muffin
  • Biscuits

DoorDash revealed that Mexican, Chinese and Tex-Mex were the top cuisines ordered via the platform. The company also predicted five cuisines would be popular in 2021:

  • Taiwanese
  • French
  • Filipino
  • Australian
  • Moroccan

When it comes to 2021, multiple sources have named vegetarian, vegan, plant-based, and health and wellness items as the foods to watch. Even this early into the year it’s not exactly a controversial statement to say that all of those categories are going to perform well in 2021.

According to DoorDash, nearly half of Americans (47 percent) plan to consume more plant-based items. Whether it’s truly healthier than its traditional counterparts, plant-based is perceived that way. In total, per DoorDash, 72 percent of Americans plan to make a concerted effort to eat healthier in 2021. This is likely due to an increased interest in boosting immune systems due to Covid-19.

Put another way, operators will likely struggle if they don’t add vegan, vegetarian, and plant-based foods to their streamlined menus, another trend expected to continue through 2021.

Predictions from the Specialty Food Association in particular caught our attention. For 2021, the association has predicted spices and herbs native to West Africa (Senegal, for example) will be in demand. Scandinavian and Cambodian flavors are also expected to perform well, as are Latin American and Southeast Asian items.

Due to interest in tahini sauce and black sesame, the SFA expects halva, which is a Middle Eastern confection, to get plenty of attention. The SFA and Datassential both named fermented honey as an item to watch in 2021.

Along with vegan and plant-based items, creative meal kits are expected to perform well. Restaurants and bars will continue to face restrictions and indoor dining bans over the course of at least the next few months. Creative meal kits will get the attention of customers who have grown tired of preparing the same meals over and over.

Whether an operator chooses to stick with their current menu or embrace one or more food trends, they should look into first-party or last-mile delivery. It’s imperative that operators own their guest journey and marketing efforts.

For more information about first-party and last-mile delivery, please listen to Bar Hacks episode 13 with “Rev” Ciancio, an advocate of keeping delivery and data in-house.

Image: Robert Anasch on Unsplash

by David Klemt David Klemt No Comments

Delivery and Takeout Food Trends for 2021: Canada

Delivery and Takeout Food Trends for 2021: Canada

by David Klemt

Patrons, analysts and experts have spoken: delivery and takeout will remain standards in the new era of hospitality.

Analysts and experts have spoken with data, and consumers have spoken with their dollars.

But there’s another consequential voice that matters when it comes to delivery: that of the operator.

There’s no denying that the operator is shoved aside in the third-party delivery relationship. At the very least, that’s the overwhelming perception. Once an operator signs on with such a service, their guest data becomes the delivery company’s data.

Whatever company owns the data owns the guest, their journey and engagement, and the targeted marketing efforts. That means a restaurant or bar’s guests receive offers and promotions for their competitors.

In short, third-party delivery platforms disrupt the guest journey.

However, there are some data the third-party delivery services do share. As we saw midway through 2020, for example, Uber Eats and Grubhub released the top orders and other useful information in publicly available reports. Some of the services also release end-of-year or year-in-review reports, as SkipTheDishes did for Canada.

Most of these reports are laser-focused on the United States. That’s logical given the number of bars, restaurants and other hospitality businesses to which Grubhub, Uber Eats, Postmates, Instacart, Seamless and other services have access.

SkipTheDishes, for the Americans reading this, is the Grubhub of Canada. For the Canadians reading, below are SkipTheDishes’ data regarding top orders, cuisine, and demographics in 2020:

  • Top Cuisines: Chinese, Italian, American/Canadian
  • Top Orders (General): Asian dishes, pizza, burgers
  • Top Orders by Item: Chicken sandwiches (also the top item in 2020 in the US), burgers, and French fries (mid-year data)
  • Top Vegan Provinces: Manitoba, Saskatchewan, British Columbia
  • Top Organic Provinces: British Columbia, Ontario, Alberta
  • Top Gluten-free Provinces: Manitoba, Alberta, The Maritimes
  • Top Dairy-free Provinces: British Columbia, Alberta, The Maritimes
  • Top Kosher Provinces: Alberta, Ontario, Saskatchewan
  • Top Dayparts: 5:00 PM was the most popular order time, and late afternoon (3:00-4:00 PM) and weekdays saw lifts. Late-night ordering (9:00 PM and beyond) slowed. (Mid-year data.)
  • Top Pre-order Daypart: 5:00 PM. More Canadians got into the habit of pre-ordering their dinners. (Mid-year data.)
  • Fastest-growing Segment by Age Group: 65+
  • Most Revealing Datum: 81% of customers ordered from restaurants they’d never visited in person.

That was last year. What’s in store for Canada this year? A scan of a few sources—Food Network Canada, Restaurants Canada, and Chatelaine—offers some valuable insights.

Plant-based items and foods recognized for boosting a person’s immune system are expected to be popular. The pandemic has given many consumers a reason to reevaluate what they’re putting into their bodies. All three sources predict people will be interested in and order plant-based foods and focus on health and wellness.

Both Food Network Canada and Chatelaine predicted chickpeas—an inexpensive, versatile and plant-based protein source—will be among the top food items sought out by restaurant guests (in-person) and customers (takeout, delivery). Most operators should be able to adapt and get creative to add chickpea-based items to their menus. The two sources also predicted that snacking will replace meals (at least occasionally), so snackable items and sides may take off this year.

Food Network Canada pointed to sauerkraut as an example of a health and wellness food item that may see a boost in popularity and demand due to its probiotic and gut health properties. The source also predicted that coffee and coffee-based F&B items will get a lift in 2021.

Restaurants Canada predicted that comfort food, popular throughout 2020, will remain in high demand. However, 2021 will bring in an interest in elevated riffs on comfort food classics. Citing specific examples, Restaurants Canada suggested Pad Thai French fries and Pulled Pork Mac and Cheese. The Canadian food industry association predicted that interest in and support of Black, Indigenous, and People of Color (BIPOC) cuisine, flavors and businesses will continue through 2021.

All three sources listed plant jerky as food item to watch in 2021.

What else should be in store for this year? Operators embracing first-party or so-called “last-mile” delivery to grab their share of the orders of this year’s trendy food items. Platforms such as Lunchbox, Olo, ChowNow can provide operators with the ability to own delivery and therefore the entire guest journey in the new era of hospitality. It’s likely an operator’s current POS can be updated to “unlock” in-house delivery, which would then need to be supported by a delivery menu, delivery supplies, and staff training.

For more information about first-party and last-mile delivery, please listen to Bar Hacks episode 13 with “Rev” Ciancio, an advocate of keeping delivery and data in-house.

Image: Norma Mortenson from Pexels

by David Klemt David Klemt No Comments

Tobin Ellis and Barmagic’s Relief Dashboard Contains Hundreds of Restaurant and Bar Resources

Tobin Ellis and Barmagic’s Relief Dashboard Contains Hundreds of Restaurant and Bar Resources

by David Klemt

In keeping with this week’s focus on good news, KRG Hospitality would like to shine a light on Barmagic’s Bar & Restaurant Revival Guide.

First, some background.

Tobin Ellis founded Barmagic of Las Vegas in 1997. He’s done so much for the hospitality industry that it feels almost criminal to just attach a few labels to describe him, but here we are.

Ellis is a hospitality industry innovator, advocate, designer, marketer and consultant. Anyone who has ever attended an hospitality trade show and sat in on a presentation, panel or Q&A session featuring him knows he’s passionate, quick-witted, real-world solution-oriented, and doesn’t suffer pretenders lightly.

He’s also more than put in the work to for the recognition he deserves as an industry icon. Ellis has been in the trenches for decades, beginning his hospitality journey washing dishes in upstate New York. He has worked around the world in essentially every type of venue, from sleepy dives to hyperkinetic high-volume cocktail bars, and everything in between.

A few years back, Perlick partnered with Ellis to create the Tobin Ellis Signature Cocktail Station. This innovative hardware was designed with ergonomics in mind, focusing on improving bar team member’s physical comfort and safety.

Since restaurants and bars found themselves fully in the devastating and nearly inescapable grip of the pandemic, Ellis has focused on the health and longevity of the industry as a whole.

To help operators navigate the pandemic and the myriad challenges (again, a criminal label for what operators and workers have been facing for almost 12 months) it continues to present, Ellis added a Hospitality Relief dashboard to the Barmagic website.

Visitors will find hundreds of links for US- and Canada-based resources, including a relief map for those who need aid or who want to donate to relief efforts. There’s also a link to the Barmagic Bar & Restaurant Revival Guide, a 96-page download loaded with information and ideas that Ellis hopes “might just spark a thought or two” in the minds of restaurant and bar owners, operators, leaders and workers.

We’re not going to get through this if we don’t come together, save as many businesses as possible, and help new venues open and flourish. We applaud the Barmagic relief resources—more like this, please.

Image:

by David Klemt David Klemt No Comments

Athletic Brewing Co. Proves Viability of Alcohol-free Beer

Athletic Brewing Co. Proves Viability of Alcohol-free Beer

by David Klemt

Doubters and detractors of non-alcoholic beer have only to look at Athletic Brewing Co. to understand the category has a long, bright future ahead of it.

Athletic Brewing opened its first taproom in Stratford, CT, back in May of 2018. A month later, the non-alcoholic brewer signed on with a distributor to launch two of their flagship beers statewide. Two years after that milestone was reached, Athletic took over a 100,000-barrel capacity facility in San Diego once owned by Ballast Point.

That would be impressive growth for any brewer, traditional or non-alcoholic. But there’s another element that really highlights the explosive growth and potential of Athletic: investment rounds.

In August of 2017, Athletic raised $250,000 in seed funding. One year later, in September, the brewer raised $500,000 in another seed funding round. A third funding round resulted in $3,122,221 in December 2019. And then came March 2020: Athletic raised $17,500,000 in Series B funding.

According to a report written by Kate Krader and published earlier this week by Bloomberg, some of Athletic’s investors are celebrities, something that had remained quiet for a few years now.

David Chang, the founder of Momofuku, NFL players Justin Tuck and JJ Watt, and Lance Armstrong are some of the celebrity backers identified by Krader as Athletic Brewing Co. backers. According to Crunchbase, Blake Mycoskie, founder of TOMS Shoes, participated in the 2020 Series B funding round.

That these investments remained under the radar shows that celebrities and other investors believe Athletic and the non-alcoholic beer category is here to stay.

We’ve grown accustomed to celebrity-backed spirits and wines. At least three celebs have scored massive paydays in spirits. George Clooney and Rande Gerber sold Casamigos to Diageo for $1 billion in 2017. Last year, Aviation Gin, owned by Ryan Reynolds, sold to Diageo for a deal worth up to $610 million.

Athletic is one of the brewers we showcased in our January 1 article “0.0 to 0.5 Beers to Know for Dry January and Beyond.” We shared some of Athletic’s story and how founder Bill Shufelt was motivated to fill a void in the market. Namely, refreshing and flavorful non-alcoholic craft beers.

Shufelt, like so many people who have chosen to live an alcohol-free lifestyle or reduce their alcohol intake, still enjoys going out to bars and restaurants to socialize. Athletic and other non-alcoholic brewers offer guests a drinking and dining experience without a sacrifice in quality.

I can clearly see an opportunity for people to invest in Athletic Brewing Co., Partake Brewing, WellBeing Brewing, Surreal Brewing Company, and others moving forward. It’s obvious that craft non-alcoholic beers have a future beyond Dry January, and it’s likely more talented brewers and celebrities will enter the category. In fact, 2021 may be the Year of NA Beer.

Image: Athletic Brewing Co.

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Serve Up a Slice of Nostalgia: Viennetta Returns

Have a Slice of Nostalgia: The Return of Viennetta

by David Klemt

A British confection launched in the ’80s is headed back to the United States.

Wall’s brought what’s considered by some the first-ever branded ice cream dessert—Viennetta—to the world almost 40 years ago. The British frozen dessert and ice cream producer, owned by Unilever, launched the legendary treat in 1982.

Viennetta is said to be based on a multi-layered pastry known as mille-feuille. The original Wall’s product consists of layers of vanilla ice cream and compound chocolate that create the dessert’s signature wavy top.

Viennetta ice cream dessert

While Viennetta was a product of Wall’s in Europe, it came to America under Unilever’s Breyers label. At one point in the ’90s, the product disappeared from the United States, though it maintained a presence throughout Europe, Australia, New Zealand, and elsewhere.

As an ’80s kid, I remember seeing Viennetta commercials late in the decade,  or perhaps I saw them in the early ’90s. Either way, the images of what passed for elegance and sophistication back then informed me that Viennetta must be a “fancy” dessert. I mean, c’mon—it was served on a silver platter!

Alas, I never had the opportunity to taste what I could only assume back then was an opulent dessert before it was so cruelly whisked out of the country. But that will change this year.

Unilever is bringing at least the original vanilla flavor back to the States in 2021 under their Good Humor brand. Back in the ’80s, Viennetta wasn’t available solely at supermarkets—it was also sold at KFCs and Pizza Huts. I’ve found no announcements from Unilever or Good Humor that Viennetta will be available through a partnership at any restaurants this year, but it would make sense.

Can you experience nostalgia if you’ve never actually owned, enjoyed or consumed a product in the past personally? Apparently the answer is yes, because when I saw Viennetta was returning to America my first thought was, “Finally—I’ll have my chance,” followed by a flood of images from my childhood and early teen years.

Should I be ashamed? Maybe. But I’m not. And I know I’m not alone. And I know something else: Operators looking to leverage nostalgia, particularly if they’re ’80s- or ’90s-themed or feature programming around those decades, should be excited about this news.

Image: Wikimedia Commons

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These are the Drinking Trends to Watch in 2021

These are the Drinking Trends to Watch in 2021

by David Klemt

It was so much fun reviewing 2021 food trend predictions that we felt compelled to do the same for drinks.

We checked out Liquor.com, VinePair, Wine Enthusiast, SmartBrief and Forbes to see what they had to say about how and what people will be drinking in 2021. As we predicted, a number of the predictions were identical or at least similar, lending them even more weight.

Let’s get into the top trends for 2021!

To-Go Cocktails are Here to Stay

What was once a defining characteristic of partying in New Orleans and Las Vegas quickly became a necessity for operators throughout the United States. To-go drinks provided operators with a way to generate some revenue during the pandemic (to varying degrees of success, of course). VinePair and Wine Enthuisast have both predicted this trend will swing more toward a stand element of operations through at least 2021. Similarly, SmartBrief and VinePair predict that alcohol delivery also isn’t going anywhere anytime soon. Also here to stay? Contactless/touchless menus. Guests have gotten used to them, and that’s unlikely to change.

When building out their cocktails-to-go menu sections, operators should consider another Wine Enthusiast trend prediction: the growth of low- and no-alcohol drinks. This trend has been growing for at least the past two years, so it’s worth noting and leveraging.

Cans, Hard Seltzer & RTDs Continue Their Rise

Canned wines, canned cocktails, hard lemonades, hard seltzers growing in the on-premise space… VinePair, Forbes, SmartBrief, and Wine Enthusiast all made similar predictions. Wine Enthusiast went a step further and more specifically suggested that the popularity of canned cocktails may be strongest in the first half of 2021. It stands to reason that what consumers make popular off-premise will be in demand on-premise sooner or later. Operators should probably assume they’ll be selling buckets of hard seltzers, hard lemonades and canned cocktails once people can resume dining and drinking in person like they did pre-pandemic.

Responsible, Ethical & Transparent Businesses are the Future

And the near future, at that. This shouldn’t come as a surprise—people vote with their dollars and today’s consumer wants to know they’re supporting restaurants, bars, hotels, resorts, and other businesses that align with their values. Wine Enthusiast and Forbes predict that consumers will seek out businesses that operate ethically and that brands, cognizant of this expectation, will work harder to be more sustainable and responsible.

Connection Becomes Even More Important

The statement that humans are social creatures by nature isn’t exactly a hot take—we all know this. Having been largely deprived of the ability to socialize, people are starving for interaction. SmartBrief predicts that consumers will look to connect more with the brands they support. This is largely down to people becoming accustomed to engaging with brands and people via Zoom and other platforms—they’re going to want to continue this engagement in person. Bars, restaurants and brands that have hosted tasting, cooking, home bartending and other events online should capitalize by hosting them in person when it becomes safe to do so.

Wine Enthusiast, in a similar fashion, predicts that people will be seeking out unique cocktail experiences, as does SmartBrief. Whereas VinePair predicts a return to classic cocktails, Wine Enthusiast thinks guests will seek out opportunities to try complex and esoteric drinks. Savvy operators may be able to save time and headaches by batching complex cocktails (at least in part), a trend Liquor.com predicts for 2021.

Operators can leverage the Liquor.com prediction that pop-up bars will grow in popularity this year. These types of experiences became more common in 2020 and bar and restaurant guests have spoken: they love them. Bar takeovers, partnerships with restaurants and food trucks… Operators have the chance to get creative with these events and attract guests craving new experiences.

Speaking of the importance of connection, Liquor.com fears the nation may lose a significant number of local distillers. The pandemic took a serious toll on distillers as tasting rooms were ordered to shutter or suffered from slow to no traffic due to the pandemic. This is an opportunity for operators and distillers: As consumers seek to connect with brands, operators can leverage the drive toward supporting local by featuring local distillers on their menus and back bars. It’s win-win-win.

Tiki is Out

This prediction speaks to responsible and ethical business practices and connection. Wine Enthusiast and Liquor.com, pointing to the colonialist roots of tiki culture and the appropriation Indigenous cultures. Liquor.com goes so far as to say tiki bars “are fast on their way to extinction,” using the example of Lost Lake in Chicago removing the word “tiki” from the bar’s lexicon. Instead, the words “tropical” and “nautical” are in favor, and the designs of such bars are eschewing the use of Indigenous images, symbols, stereotypes and language.

Honorable Mentions

Other predictions made by the publications and websites we reviewed ranged from the standard to the esoteric. For instance, Wine Enthusiast predicts that Cognac, tequila, mezcal and whiskey will continue their notable growth through 2021, with Irish whiskey in particular performing well while blended Scotch whiskey will be an exception. The publication also predicted, as at least on source does each year, that rum may finally have its moment in the United States.

Forbes thinks we’ll see rosé expressions of Champagne and Prosecco will have “a moment,” as will orange wines. Liquor.com predicts spirits will embrace and promote their individual terroir, and that “sophisticated” Jell-O shots will rise in popularity. The site, pointing to consumer concerns about health and safety, will reject shared cocktails like Scorpion Bowls for obvious reasons.

Two of the most unique predictions come from VinePair and SmartBrief. The former predicts more alcohol producers will make suspect health benefit claims, while the latter says we may see a demand for drinks infused with cannabis or psychedelic properties.

Image: Louis Hansel @shotsoflouis on Unsplash

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