April 2008

Sparkling Juices

By Jeffrey Klineman


$78 million and counting. That’s where IRI put the total count for the sparkling juice category, a number that has to be discouraging for marketers in the once-hot set of alternative sodas, not counting Wal-Mart or convenience stores -- not exactly the intended channels to begin with.

Or is it discouraging? Beyond those numbers sit a variety of uncounted distribution channels for the products, which continue to garner converts behind the bar, at the sandwich shop and in any number of high-end alternative channels.

Still, it’s hard to tell how much traction a traditional retailer can squeeze from sparkling juices. The category has felt lifeless since the purchase of its top brand, Izze, by PepsiCo in late 2006. As product quality improves – Fizzy Lizzy and Orangina just rebranded, for example, while Apple & Eve has launched a product aimed directly at the schools market – the bright lights seem to shine elsewhere, toward functional waters and teas.

Nevertheless, in the right product mix, sparklers are the way to go: a natural food chain in Seattle, PCC, cut all High-Fructose Corn Syrup-enhanced products – opening the door for juice-based altsodas. Cocktail culture shows no sign of abating. And the entrepreneurial vacuum left by the Izze purchase should keep the market bubbly before it withers on the vine.



THE SWITCH

In 2007, The Switch rebranded with vibrant new graphics, juicy reformulations, and two new flavors: Kiwi Berry and Very Berry. The company signed with 20 new distributors and 1,500 new schools. In December the Switch unveiled it’s brand new web site, showcasing it’s bold consumer promise of “100% OF WHAT YOU WANT” and “0% OF WHAT YOU DON’T”, and inviting the ever growing number of passionate Switch fans to have a little fun with the brand. There are lots of great things to win, including hats, t-shirts, itunes and iphones. One on-line contest asks Switch fans to answer one of their most frequently asked questions “Why is the ‘The’ upside down”?, and the responses pouring in have ranged from weird to outright hilarious.





SANPELLEGRINO

SanPellegrino has relaunched its sparkling fruit beverages Aranciata and Limonata. They were reinvented, reformulated and repackaged to present consumers a refreshingly all-natural beverage option. The product now contains all-natural ingredients and a refreshed brand image.



APPLE & EVE

Apple & Eve recently announced the launch of Fizz Ed – an all-natural fruit juice and sparkling water beverage – offering an alternative to traditional sodas. Available in four great tasting varieties – Red Raspberry, Orange Mango, Pomegranate Cherry and Green Apple – Fizz Ed contains none of the high fructose corn syrup or artificial ingredients found in carbonated soft drinks. Each single-serving 8-ounce can contains a refreshing blend of 70% pure fruit juice and 30% sparkling water.





Fizzy Lizzy

Fizzy Lizzy, a line of all-natural beverages consisting of fruit juice and sparkling water with no added sugar or corn syrup, recently re-launched its products with new packaging, new flavor names, a new website and two new flavors, Gulf Coast Tangerine and Red Hill Pomegranate. Fizzy Lizzy boasts an average of 65 percent juice. Fizzy Lizzy comes in a total of eight flavors (the others are Costa Rican Pineapple, Mount Fuji Apple, Lone Star Grapefruit, Yakima Valley Grape, Pacific Raspberry Lemon, and Northern Lights Cranberry) and is available in select supermarkets, gourmet food stores, and cafés across the country. The products entered several new regional markets recently, including Fresh Market, Whole Foods Rocky Mountain Region, UNFI Rocky Mountain Region, Stop & Shop Supermarkets, Giant Supermarkets, Bradley Distributing, Palo Alto Egg Distributing, Performance Beverage Distributors and Crown Pacific Specialty Foods.



IZZE

In March, Izze Beverage Company added Sparkling Peach to its line of sparkling juice flavors. It is an all-natural blend of pure fruit juice and sparkling water with nothing artificial. It is best served chilled. Because of its simple, true-to-the-fruit flavor, Izze Sparkling Peach complements a variety of foods and, with its stylish packaging, is also great for entertaining. With the introduction of Izze Sparkling Peach, Izze also debuted new graphics on its 12 oz. four-pack carrier. The packaging is brighter for greater impact on shelf.



SKYLARHALEY

SkylarHaley has released a new flavor in its award winning line of Essn beverages: sparkling mango and passion fruit juice. A 100 percent juice drink, Essn is packed with natural flavor and contains no preservatives, additives, or artificial sweeteners. Packaged in 8.4 oz. bullet cans, Essn juices are also offered in five other distinctive varieties: fuji apple, meyer lemon, blood orange & cranberry, minneola tangerine, and sparkling pomegranate and montmorency cherry. These products are available at select Safeway, Albertson’s, and Jamba Juice stores and Kroger’s Southwest.