Sam McBride

CPG Friends, I have discovered a platform that is on a mission to offer a more fair distribution method to help build your brand while also having merchandising and re-order built in and handled by their team. They are focusing as of now on convenience stores, liquor stores, gas stations, and other independents. And so far from my vetting process and speaking for hours with the CEO, they are the real deal and offer really great solutions for small, emerging brands and even large brands that are doing massive sales. We’ve all heard the pain points on here from countless brands when dealing with distribution in general in this business from chargebacks, freight billbacks(sometimes putting brands out of business) If I could help link your brand with a better solution to grow your company and retain all the sales dollars in your pocket, this could be potentially groundbreaking and flip the traditional model as we know it ON ITS HEAD. Please DM me and happy to share more information about it.

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A simple quote from Mike Tyson and one of my favorites of all time: "Everybody has a plan 'till they get punched in the mouth." It rings true in the day to day battles of business, especially in CPG. Here are some examples many CPG founders go through or ones I've personally battled: 🥴 You launch a product, did all the research for R&D, focus group testing, and reviewed the packaging thousands of times before launching, but still something went wrong either with shelf life, negative consumer/retailer feedback, or weak sales on shelf 💰 You had cash flow projections in place and expected that with X amount raised, it would last you for Y Months, but ran short of runway and were scrambling to raise more cash to keep the company going in difficult times 🤝 Formed partnerships, only disappointed to find out the partner backed out, or it wasn't the partnership you envisioned and now you are doing damage control and it's causing emotional pain to be with this person 🚛 Brought on a distributor thinking they would push the brand and it would be an estimated cost, but they didn't do their job, and the costs ended up sky-rocketing from chargebacks, thus losing money on every unit 😲You release a great product, and then a competitor comes up with a version of yours that is a lower price point and they have all the marketing dollars in the world to out-compete you. I can go on and on, but in this business, like any business, you have intentions when you go into it, and many times, it doesn't turn out the way you envisioned. What's your story of getting punched in the mouth?

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The non-alcoholic drinks market continues to grow and grow (and mature). Check out recent insights + stats from our friends at Grüvi: March Off Premise Retail Sales: → $48.6M > Identical to February, up 23% YoY → You can see subcategory performance in the chart below. Gruvi predicts: → 30-35% of YoY NA category growth. → 25%+ in off-prem and 50%+ in on-prem. → Premium, high quality craft or import NA beers will capture most of the growth of the NA beer market. → Big bet on NA RTDs to surpass NA wines by end of year. Gruvi has some more great stats in their blog post (link in comments). I’m hearing this same type of growth from members of the Adult Non-Alcoholic Beverage Association (ANBA). There's been some questioning about the growth of the category because of the recent Chapter 11 bankruptcy by non-alc beverage retailer Boisson and the closing of their retail locations. I was going to share some thoughts on this but the Gruvi team summed it up well: “Having served as a supply partner for Boisson, and being intimately familiar with their retail locations, it became apparent that they faced challenges across their retail and e-commerce channels. Boisson positioned itself as the upscale destination for NA beverages, boasting premium locations and a curated assortment. However, despite the overall growth in the NA market, it remains predominantly composed of NA beer (80%) and NA wines/RTDs under $12 (10%). As larger retailers expanded their NA offerings to target the mainstream consumer—the 90% of the market as seen above - Boisson was left with a small addressable market. Unfortunately, the demand proved insufficient for Boisson to sustain its operations.” Andrea Hernández also has a great take on it in her most recent Snaxshot (link in the comments). The adult NA category is maturing. Brands that do not have good business models, have bad product-market, or average quality products will need to adapt or close their doors. And this is not a bad thing. Because what rises out of this are business and products that better serve the consumer. I’m always impressed by the continued release of higher and higher quality NA products, with each raising the bar for the category. And this is great for people looking to moderate or not drink alcohol for whatever reason, and in whatever situation that best suits them. The adult NA category is getting bigger and better each day. And ANBA, our members, and I are here to continue to create a world where everyone has access to great tasting adult non-alcoholic beverages to enjoy in every social situation. And that is something we can all celebrate! 🍾 🥂 🍻 You can join us in growing the category and this movement by visiting ANBA's website and signing up for a soon to launch newsletter (link in comments). And you can follow me, Marcos Salazar 🍺🍷🥃, (& click the bell under my profile banner) to get regular insights and news about NA drinks. ♻️ #Repost if you like this post :-)

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Sprouts Farmers Market just reported Q3 comp store growth +8.4%, a significant acceleration on top of 3.9% in the prior year. Further they guided the street to +8% to 10% in Q4. Those are crazy comps for such a big established chain. Premium food & beverage CPG consumer demand is ripping right now for #wellness and better-for-you positioned brands and products, same theme shown in underlying UNFI earnings last Q. The trends are showing up everywhere, consistent, and accelerating, especially over the last 18 months. Sector outlook remains incredibly strong IMO. If your brand is struggling right now, it's not the consumer, it's something else.

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When you are building a new brand in retail in 2024, it’s important to be scrappy and patient. Those are slightly opposing ideas typically. I believe it has always been important to walk before you run, but it's especially important as investors are looking more closely at customer validation than they were before. Investors are considering capital efficiency now, and so should you. Today, it's still possible to buy your top line. It's not the move. Don't get suckered into deals that drive you into more distribution but force you into an EDLP too early, or that require outsized trade/marketing spend. It's not sexy, it's stupid. SCRAPPY - Do the hard work, build real partnerships, learn about what your customer cares about, who they are, and whether or not they organically convert with your current offering before you consider scaling. Iterate, and make adjustments if it's not working, don't just assume they are wrong and will get it later. Look in the mirror and answer tough questions about what you have created and if it's truly resonating beyond your own aspirations. Go to the markets who appreciate what you have created and genuinely want to support you, not just take your money. Do this if you can while not paying yourself. You really won't be able to pay yourself in this game for a couple years sustainably, so don't have an illusion of transitioning before you're ready. This scrappy phase is all about the customer, not YOU. Make sure they see what you see, and want it as much as you want it. If you aren't outselling the category leaders in the best markets that matter more to you than to them, it will be even harder to do as you grow. Crack the code before you have the pressure, because it's way harder to fix later. You have to work harder than you ever have in this phase, and you will get nothing for it in the near term. If you make this investment, it does have a chance of a handsome reward in the end but that is far from gauranteed. It's important to know what you are signing up for. PATIENCE - This is the hardest thing to do, and getting harder as the world is moving so quickly now. Trust me, this is one of the best things you can do as a brand for many reasons. You will build a resilient base of core customers, and there are many ways you can unlock this value. Your customers are your foundation though. You will generate a pull position, and in this business it's imperative to be in a position of strength. Brands rarely have the ability to negotiate, be one of those brands. Generate FOMO. If you are out selling the category, people will want to be a part of it, it's that simple. Investors, retailers, influencers, collaborators, they will want you if you're winning, and they will not if you're not. If you try to fool them, you will only be fooling yourself. So bring it, we need it, but do it the right way. No short cuts. #emergingbrands #cpginnovation #brandbuilding #retailstrategy #angelinvesting #earlystage Adam Spriggs

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In 2024, energy drink sales in convenience stores are expected to remain robust despite anticipated price hikes. Sales surged 10.8% in the past year, with smaller brands like CELSIUS Holdings, Inc. and GHOST leading growth. These brands are forecasted to continue expanding shelf space significantly. C-store operators are preparing for higher prices by focusing on variety, promotional deals, and flexible sizing to maintain customer interest. Brands emphasizing functional and low-sugar claims are particularly popular, catering to consumer demand for health-focused beverages. Overall, while inflation poses challenges, the energy drink market in c-stores is poised for continued growth through strategic marketing and product innovation. Read More Here: https://lnkd.in/e84H9Bbn C-Store Dive Branded Hospitality Ventures Sally Lyons Wyatt #hospitality #beverage #foodandbeverage #technology #innovation Joe Sobolewski Paul Storey John Fieldly Giancarlo Morena Jarrod Langhans Toby David Mark Magnesen Ryan Hughes

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I love the protein bar category. We've seen significant consolidation over the past few years, but it's still as competitive as ever (see the timeline below). While we often talk about the challenges of going up against the big players, the data tells a different story. Shout out to the privately-owned protein bar brands, Robert Irvine, Barebells, IQBAR, Clio Snacks, Power Crunch, GoMacro who continue to grow the category and drive innovation. Also kudos to the financial wizards Bain Capital and 1440 Foods Lets go! 🔥 It's been a challenging time for Mondelēz International , Mars and Kellogg Company Below is a quick timeline for the sake of posterity. Also I took the liberty to add Mars as the owner of RXBAR and Special K due to the Mars purchase of Kellenova (please be easy on me on in the comments) October 2017: RxBar acquired by Kellogg’s for $600 million. July 2019: Perfect Bar acquired by Mondelez International for $340 million. August 2019: Quest Nutrition acquired by Simply Good Foods Co. for $1 billion. November 2020: Kind Bar fully acquired by Mars, Inc. for an estimated $5 billion. August 2022: Clif Bar acquired by Mondelez International for $2.9 billion. August 2024: Kellanova (Kellogg's Snack Division) acquired by Mars, Inc. for an estimated $36 billion. #SnackWars #ProteinPowerPlays #BarFight #SnackAttack #BigSnackEnergy

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We all saw what happened when Wendy's announced the potential for a dynamic pricing model. People were not pleased. I'm not sure that will entirely kill the possibility of dynamic pricing eventually rolling out in the industry, but it did put the brakes on it for the short term. What about surveillance pricing? As this article from Reuters covers (https://lnkd.in/e_JdG5rB), there is the possibility that surveillance pricing will allow companies to charge individuals more based on past searches, purchases, and any other number of data points. Now, there's an economic basis for some of this. If demand increases at certain times or for certain products, prices can go up...welcome to supply and demand. We see this playing out all the time without all of the surveillance or high-tech traffic tracking. Dynamic pricing is, essentially, the high-tech and real time version of this principle, whether we really like it or not. Surveillance pricing, however, is something else entirely. But, is it surprising this is happening. In the industry, we're talking about the possibility of creating hyper-customized products based on a person's DNA or other bio-data. Wouldn't it also follow that pricing would become that individualized as well? But that makes more sense for products that are distinctly different rather than individualized prices for the same product. Either way, I think we can expect more of this type of activity as technology allows for this level of individual behavior surveillance and analysis. #innovation #trends2024 #pricingstrategy #foodservice #retail #cpg #foodandbeverageindustry #restaurants #technology #economy #menumattersllc

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There's a subtle but HUGELY important trend playing out in CPG that may have ripple effects across the entire industry: Modern consumers are starting to care less about legacy brands. This article was specifically about Kraft Mac & Cheese, but I think it's indicative of a wider trend happening across the CPG landscape, and in alcohol in particular. Many multi-national, household name brands don't carry the same weight with consumers that they did even five or ten years ago. So, what does this mean & what are the implications? Well, it has lots of implications but two things I feel strongly are true: 1. This is a particularly interesting time to be launching and scaling challenger CPG brands 2. Big CPG conglomerates will need to get aggressive in shaking up their portfolios Going to be an exciting and interesting few years in the space!

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 Exposing the Dark Side of CPG Brokers: Time for Accountability I’ve seen too many small and emerging brands in the Consumer Packaged Goods (CPG) space fall prey to unscrupulous brokers. These self-proclaimed “connectors” promise vast retail distribution, big buyers, and exponential growth—yet, all too often, they deliver nothing but broken promises What Goes Wrong? Lack of Transparency: They withhold critical market insights, limiting your ability to make informed decisions. Limited Effort Post-Contract: After signing, their enthusiasm and support often evaporate, leaving small businesses stranded. No Long-Term Strategy: Instead of building sustainable relationships, these brokers opt for quick wins that rarely benefit the brand. Why It Matters For startups and small businesses, every dollar counts. Wasted resources on poor brokerage services can make or break a fledgling CPG brand. On top of that, unethical practices hurt the broader industry by eroding trust and creating barriers to entry. A Call for Accountability Ask for References: Don’t just rely on a broker’s flashy pitch. Reach out to brands they’ve represented for honest feedback. Require Transparency: Make sure every fee, deliverable, and timeline is spelled out in writing. Build a Support Network: Whether it’s through LinkedIn groups, industry forums, or fellow entrepreneurs, lean on your community to stay informed. Speak Up: If you’ve had a bad experience, share your story. Accountability starts with visibility. Join the Conversation Have you or someone you know dealt with a “bad broker” experience? What red flags do you look out for before signing a deal? Drop your insights below and let’s help each other navigate the CPG landscape more responsibly. Let’s raise our collective voice to ensure that integrity wins out and that deserving small businesses get the representation—and respect—they merit. Share this in your network: Adam Siskin Scott Glassman Russell KohnAlex Bayer Stephen Gaither Scott Lerner Eric Skae Wade Yenny Bert Cohen Chris RobbAlan Murray Maya French Shibani BalujaAdam ButlerKim Oster-HolsteinPete Maldonado

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🚀 Excited to share Part Two of our Deductions Mastery Framework Series! In this session, I dive into the Insights portion, providing actionable strategies to help brands manage their deductions and trade spend effectively. 🔍 We'll cover: - Quick recap of Part One - Four keys to success with insights (download our worksheet to take notes - link in the comments!) - Real-life examples and actionable tips Don't miss out on how top brands 10x their results! 👉 Watch the full video now and look in the comments for a link to download our DMF worksheet. #DeductionsMastery #TradeSpend #CPG #BusinessGrowth

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-- Podcast Teaser Alert -- "If you want to lead the consumer, you need to be the consumer." - Eric Ryan At one point, Eric Ryan and I were "frienemies". Friends personally, competitors professionally. He was the co-founder and CEO of Method Products PBC, while I led Mrs. Meyer's Clean Day. ................ But in the real world, we were always on the same team. Our collective efforts, along with the team at 7th Generation, were revolutionizing the cleaning category. At Mrs. Meyer's, our mission was clear: 'Together, we dream of a world where the better way becomes THE way.' ................ Eric Ryan shares his insights on creating method products pbc, OLLY PBC, and Welly Bandages, along with his go-to-market approach. Stay tuned for the next drop of the CEO podcast. 🎙 You won't regret it. #cultureFIRSTleadership #ceoPodcast #ChiefEternalOptimist

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CAVA (~$35M/restaurant) and Chipotle Mexican Grill (~$20M/restaurant) far outperform other industry comps for valuation per location. What's their secret? A recent conversation with investor Andy Giacone from Roark Capital summed it up brilliantly: "I've done due diligence on a LOT of public and private restaurants. One of the assets that consistently leads to the highest valuations is the robustness of a brand's loyalty program. For B2C businesses, a scale and high-performing loyalty program is almost as important as recurring revenue in B2B." Why? Performant loyalty programs offers predictability and therefore downside protection while also making it far easier to achieve robust future growth. McKinsey & Company concurs: "While growth is difficult to sustain, it is generously rewarded. In examining 15 major publicly traded restaurant companies... there was a more than 80 percent correlation between annualized same-store sales growth and annualized total shareholder returns.... Successful loyalty programs translate directly into financial results, often encouraging both larger order sizes and greater order frequency from program members. These programs can funnel customers into brands’ first-party delivery businesses, which offer the brand higher margins than it receives from orders conducted through third-party delivery services."

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Raising capital right now is extremely difficult, but blaming investors or the current landscape won't push us forward. We as CPG companies need to get creative and accept that the strategy may not look the same as a few years ago. We are in the middle of raising, but it has been slow, so we had to get creative to free up cash. We are refinancing $550K of debt at a rate of 4.5%, which will save us over $7K per month. We are intentionally controlling our growth as we build our distribution arm so we are perfectly positioned for accelerated growth once we close the round. This environment is difficult, but it is also making us better. #cpg #beverageindustry #raisingcapital #funding #startup

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When we asked CPG founders who they wanted at Founderland... Their answer was clear: People who can help them grow their business & achieve their goals. Specifically: - The top retailers - The most founder-friendly investors, and - Other founders they can learn from and share with This conversation that I'm hosting at Founderland is a perfect representation of this group, plus one BIG bonus. We're also including Joel Toledano and ChargeUp.ai which is one of my favorite tech companies that is supporting consumer brands today. They automate the retail deduction and chargeback process for brands, saving them an insane amount of time and money. Such a cool co. Excited to teach, share and connect...and get some deals done, while of course having lots of fun. Joel Toledano Jen Zeszut Kim Coffin Deb Conklin

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CPG HOT TAKE ‼️ BRAND will be the sole determining factor behind a company’s success We are seeing more retailers move more towards private labeled products. Why not? It’s higher margin and lower cost to the consumer. With most of the retailers getting hammered in the press for high prices. They will be able to lower the SRP and make more money Where does this leave CPG products? Why will a consumer pay more for a very similar product? We are seeing 7 Eleven pushing their Fusion energy($2.79) at BOGO vs Celcius ($2.89) at BTGO.. Brands like Celcius will really have to dive deep into marketing and brand spends to dig that moat. Keeping consumers loyal to their identity and brand community What will separate your PRODUCT as a BRAND consumers feel the need to spend a little bit more for the same (-ish?) product TBD!

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TECH RUINED US. You hear stories of companies doing Series after Series - it seems so glamorous to raise so much money!! But is it really? The same thing eventually happened in CPG. Easy access to money. Companies doing raise after raise after raise. Impressive... I learned the hard way that this in fact is not glamourous. Raising money is not something to really brag about no matter how great it feels. I know CPG brands that sell to MILLIONS of consumers. Yes MILLIONS. And yes its incredibly impressive to do so. But does anyone talk about what happens after? What could possibly happen when you are competing in a category where your price on shelf is $4 and under? You NEED to raise money and you NEED to have millions of customers. This is NOT tech. And those are the companies that reach that threshold. How about the ones that never get there? The story goes that you launch, raise money, spend EVERYTHING on marketing to attract customers and HOPE you get acquired. I too believed this. By the time founders get acquired they've almost completely diluted themselves anyways. I will share more on this in the weeks to come... #cpg #marketing #entrepreneurship

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🔍 Just dropped Issue 105 of Express Checkout! (Brought to you by Bags!) Here's what's cooking in the world of consumer goods this week: The FDA's first "healthy" label update since 1994 is reshaping the CPG landscape. The new focus? Food groups over isolated nutrients - a game-changer for product development and marketing. Also catching our eye: 💤 Eight Sleep's clever expansion into supplements with Sleep Elixir 👀 The GLP-1 wave hitting CPG (looking at you, Conagra Brands's "On Track" badge) 👕 True Classic's impressive Target expansion 🏪 Big Lots' closure of all 963 stores Want the full scoop on these stories and more consumer insights? Link to newsletter in bio 🔗 https://lnkd.in/e3K6G5BB

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As someone deeply immersed in the CPG industry for nearly two decades, I’ve seen firsthand the challenges that come with managing data and driving growth. We’ve taken those years of learning and closely observed the solutions currently in the market as we’ve been building out the subscription offering of Pitchable – our game-changing software tailor-made for CPG operators:  🔍 Data Synthesis: Pitchable seamlessly consolidates data from industry giants like UNFI, KeHE, Whole Foods, and SPINS, providing you with a unified platform for comprehensive insights.  📊 Actionable Dashboards: Developed by CPG operators, for CPG operators, our intuitive dashboards simplify complex data, empowering you to make informed decisions effortlessly.  🚀 Powerful Tracking Capabilities: From promo tracking to sales forecasting, Pitchable equips you with the tools needed to optimize every aspect of your business – all in one place. ✅  Optimized Inventory Management: Align purchase orders with actual sell-through to optimize inventory levels.  ✅ Seamless New Item Roll-outs: Monitor new item roll-outs to ensure flawless execution every time.  ✅ Unlock Volume Opportunities: Identify volume opportunities with independents and alternate channel customers effortlessly. Check out Pitchable – developed by CPG operators, for CPG operators. DM me to get a demo on the books. Here is the link for booking a demo with Kevin Mannering:  https://lnkd.in/gq4wMxhj Pitchable Demo

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