{"id":798,"date":"2021-08-28T11:12:57","date_gmt":"2021-08-28T11:12:57","guid":{"rendered":"http:\/\/CBMigwFodHRwczovL3d3dy5ncmVlbndpY2h0aW1lLmNvbS9idXNpbmVzcy9hcnRpY2xlL1BhbmRlbWljLWJvdHRsZW5lY2tzLXVuY29yay1DVC1iZXZlcmFnZS0xNjQxODAwNS5waHA_dD1jYjYzMDA3ODk4JnNyYz1ndGhwcHJvbW9zdHJpcNIBAA"},"modified":"2021-08-28T11:12:57","modified_gmt":"2021-08-28T11:12:57","slug":"pandemic-bottlenecks-uncork-ct-beverage-companys-push-for-canned-mocktails-greenwich-time","status":"publish","type":"post","link":"https:\/\/thcinct.com\/?p=798","title":{"rendered":"Pandemic bottlenecks uncork CT beverage company’s push for canned ‘mocktails’ – Greenwich Time"},"content":{"rendered":"
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Having spent the bulk of his career focused on what was going into the bottle of SoBe and other beverage brands, Norm Snyder found himself with a new problem last year after joining Reed\u2019s \u2014 the bottles themselves, as shipment costs rocketed up 70 percent during the COVID-19 pandemic.<\/p>\n

That has Reed\u2019s cranking out more cans these days of its \u201ccraft\u201d sodas and mixers, given the tighter packing footprint they offer compared to bottles. Under Snyder, Reed\u2019s is now preparing to expand its lineup of new \u201cmocktail\u201d mixers sold in cans.<\/p>\n

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Reed\u2019s sales totaled $11.3 million in the second quarter, a 4 percent increase from a year earlier. But shipping costs are up 70 percent, contributing to a $3.1 million loss for the period. Reed\u2019s shares are trading on the Nasdaq below 70 cents a share, on par with their price on the eve of the pandemic 18 months ago.<\/p>\n

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\u201cFreight\u2019s gone through the roof,\u201d Snyder said. \u201cWe can get [trucks], but we are paying more. … The cost of a shipping container is up four-fold.\u201d<\/p>\n

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More Business<\/p>\n<\/div>\n<\/section>\n

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Reed\u2019s moved its headquarters to Norwalk in 2018 from Los Angeles, after a corporate decision to sell its original manufacturing plant to founder Chris Reed and outsource production to him and other bottlers, while keeping ownership of the labels. In addition to running the newly renamed California Custom Beverage, Chris Reed remains chief innovation officer for his namesake company.<\/p>\n

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Reed\u2019s is now under the stewardship of John Bello, who chairs the company\u2019s board. After leading the properties merchandising arm of the NFL, Bello created SoBe Beverage in Norwalk that was acquired by PepsiCo in 2000.<\/p>\n

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Reed\u2019s announced Snyder as CEO in February 2020, after Bello sold him on the opportunity during a round of golf. His predecessor, Val Stalowir, attempted an expansion into multiple new product categories<\/a>, including \u201czero sugar\u201d versions, \u201cginger shots\u201d and CBD-infused drinks, while having to iron out overhanging problems with the newly outsourced production lines.<\/p>\n

Under Snyder, the company has been working to simplify its production while adding new retail outlets. The company has expanded its lineup to include \u201cmocktails\u201d with cherry (\u201cShirley Tempting\u201d) and grape (\u201cTransfusion\u201d) flavors, with lemon spritzer and blood orange to come later this year.<\/p>\n

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In the early heyday of SoBe, only a small handful of alternative beverage companies managed to dent the soda dominance of PepsiCo and Coca-Cola, most prominently Snapple, and to a lesser extent, AriZona, Nantucket Nectars and Mistic.<\/p>\n