Welcome to Issue #6 of The Quench Report, the Beverage Alcohol newsletter that is hoppy to see you.

What’s on tap for today:

• 🫗 Early look at the top Cannabis beverages

• ✂️ KDP & Kraft Heinz split and why Bev Alc should care

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WHAT’S ON TAP THIS WEEK

📊 Sept 10
• Nielsen data through Aug 30
• Circana data through Aug 31
• Piper Sandler Growth Frontiers Conference
• U.S. Census: Beer, Wine & Spirits Inventory drop

📈 Sept 11
• CPI data release – inflation check incoming

🫗 TOP CANNABIS BEVERAGES - AN EARLY LOOK

We're finally getting a clearer picture of who’s making waves in Cannabis Bevs — thanks to recent releases from Nielsen, cannabis data firms, and deep dives by shops like Whitney Economics.

Take a look👇

It’s still a free-for-all, the leading brand holds just a estimated 5% of market share today. That’s wild. But don’t get used to it... 👇️ 

Categories just don’t stay as fragmented as Cannabis Beverages are now for long - Based on how categories typically evolve, within 3 years, expect the top brand to grab ~20% share.

Consolidation is coming. Bet on it.

✂️ KDP & KRAFT HEINZ BOTH BREAKUP… AND WHY YOU SHOULD CARE

Over the past few weeks, both Keurig Dr. Pepper and Kraft Heinz have announced they are splitting into two separate public companies. More details 👇

Why split? The primary reasons:

1. 🎯 Focus – Allows you to dedicate the right level of attention and resources to each business

2. 🧩 Simplicity - Drive efficiencies through reduced operational complexity

3. 💸 Capital Allocation - Customized capital allocation based on the strategic ambition of each company

Our take: Corporate structure isn’t just a finance thing, it’s a growth thing.

Boardrooms across Bev Alc are watching. Consultants are whispering. M&A, Finance, and Tax teams are already modeling. This "split-to-grow" strategy is hot right now, over the next few years it’s likely more companies follow suit.

TELL US HOW WE DID WITH TODAY’S EDITION

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