Dylan Alesio

Two major beer distribution deals are reshaping key markets in California and New York. 🍺📦 Anheuser-Busch InBev has agreed to purchase the distribution rights for its brands — along with certain craft and non-alcoholic labels — from Advance Beverage in Bakersfield, Calif., adding to its growing network of wholly owned distributors. The deal includes Advance’s facility and its 5+ million case annual business, spanning beer, RTDs and a slate of non-alcoholic brands from Liquid Death to Prime. Meanwhile, Southern Glazer’s Wine & Spirits is set to acquire Long Island-based A-B distributor Clare Rose, folding the operation into Southern Glazer’s Beverage Company of New York as it expands its footprint across Nassau and Suffolk counties. The move builds on SGWS’s 2025 entry into the state’s beer market and signals continued consolidation in one of the country’s largest beverage regions. 🗽 What do these back-to-back deals mean for the “big red” network and the broader distribution landscape? Link to the full story in the first comment below 👇 #BeerIndustry #BeverageDistribution #AnheuserBusch #SouthernGlazers #ThreeTierSystem #AlcoholIndustry #BeverageNews

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FORWARD CONSUMER PARTNERS ACQUIRES 51% OF JUSTIN'S FROM HORMEL FOODS, REINSTATES FOUNDERS The big CPG divestiture seems to add a new victim every day - Forward Consumer Partners has acquired 51% of Justin's from Hormel Foods (NYSE: $HRL, owner of Skippy PeanutButter, Planter's Nuts, and SPAM) that allows Justin's to become a standalone company. Founded in 2004 by Justin Gold in Boulder Colorado, Justin's raised just one growth equity round in 2013 from VMG Partners before ultimately being acquired by Hormel Foods in 2016 for $286m. Almost 10 years later, that partnership is being unwound. Financial terms of the deal were not disclosed, but we do know that Forward closed an inaugural fund of of $425m in early 2024. Forward is bringing founder Justin Gold back into the fold as strategic advisor, and restoring Peter Burns as CEO - who led the company at the time of the acquisition. Hormel Foods revenue last quarter was $3.0B, the exact same figure it was 2 years ago.

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The real magic of making money in CPG 💰 👉 Repeat purchases and making salaries & marketing a smaller percentage of total revenue as you scale I’ve witnessed this firsthand, albeit on a small scale, but have seen it with much larger brands as well Rough Example: Revenue: $1 million COGS: $300k (30%) Marketing: $250k (25%) Salaries: $100k (10%) Profit before other expenses: $350k (35%) ⬇️ Revenue: $5 million COGS: $1.35m (27%) Marketing: $500k (10%) Salaries: $150k (3%) Profit before other expenses: $3 million (60%) These “profit” numbers become even more lopsided when you factor in smaller miscellaneous costs that remain roughly the same at the higher revenue number Everyone focuses on COGS reduction at scale, but, in my opinion, the secret sauce is in driving revenue without keeping marketing and salaries the same % of revenue The problem is everyone wants to grow as fast as humanly possible so they spend like crazy chasing growth I get it But don’t compromise the business health in search of more sales Try to become more efficient and focus on repeat customers & great organic marketing to drive new sales for $0 #cpgbrands #growth #business

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