PRESS RELEASE: Beverage Biz Insights | Dec. 12, 2018
LIFEAID Beverage Co. has a full slate of activities on tap for 2019, including overt push into energy drink occasions via tweak to FocusAid!
The entry will dial up (natural) caffeine and buildout of DSD network in western part of the U.S.
Co-founded by Aaron Hinde and Orion Melehan in Santa Cruz, California, started with FitAid—entry that was keyed to then-burgeoning CrossFit channel, challenging incumbent brand Kill Cliff and successively adding range of other carefully targeted entries under monikers like FocusAid, TravelAid, PartyAid and even GolferAid, moving from natural/specialty into grocers and then mass/drug channels. Unusually, what might be viewed as its core brand, LifeAid, did not emerge until the company was making transition from specialty channels to general grocers and c-stores. By now, SPINS data indicates that LIFEAID various brands collectively rank #3 in natural energy/functional set, behind Hiball and Rockstar; in conventional grocery, they’re #23 with just 7% ACV. The company has been adept at moving product online, 2018 will mark the first year that brick & mortars outperform the still-growing online biz, which has been stepping up Amazon/Prime activities, Aaron said in discussion Mon. But FitAid remains the horse, absorbing 90% of the company's marketing spend, followed by FocusAid (generating 80% of volume of FitAid), with PartyAid and LifeAid vying for #3. The company recently transitioned TravelAid, with highly polarizing ginger bite, to ImmunityAid, in time for winter flu season, and anticipates it will move into #3 sales slot. Revamped item has quickly won 5K retail authorizations, Aaron said, and sold more in 1 month than TravelAid had in 12 months. As for FocusAid, that entry has performed well, ranked as #2-selling item, but LIFEAID thinks it can do better. In effort to exploit energy occasion, co next month will dial up caffeine content from 45 mg currently to 90-100 mg range, with enhanced caffeine punch flagged prominently on package. Caffeine sources will remain Yerba Mate and Green Tea Extract. That will allow FocusAid to go head to head vs. energy drinks, Hinde indicated. By now, the LIFEAID brand is ready to make big DSD push, in part to do better in immediate-consumption channels, and it’s been recruiting western houses like Hensley in Arizona, New Age in Denver, Golden in Utah and Bonanza in Las Vegas, with California soon to be inked in. On retail front, a 400+ store test in CVS is being expanded to 1,500 stores, while a 440-store test in Walmart will expand to all 3,500 stores with new functional sets. Brand’s c-store presence remains slight, including Terrible’s chain in Las Vegas and some 7-Elevens in Hawaii, and boosting that will be priority for 2019.
