Current Details of Cannabis Beverage
While not much is known about what the non-alcoholic cannabis beverage from the business will look or taste like, the Boston Beer Company plans to establish a subsidiary of itself in Canada. Canada will be where the business will headquarter its research and innovation hub. Boston Beer Company chose Canada, where marijuana is federally regulated and controlled, to base this operation while the US continues to figure out national regulation standards. The research and innovation hub will be led by marijuana industry veteran Paul Weaver.
When commenting on the establishment of the research and innovation hub, the new head of cannabis said, “Boston Beer's reputation for quality is unrivaled, and the same sensibilities that drive development in beer ring true in cannabis beverages. Quality ingredients and craftsmanship make quality products, and our success begins with respecting the plant and respecting the growers. This is just the beginning of our journey and, like any craft, requires a continuous commitment to learning. We know cannabis is new for many of our drinkers and they deserve the best, which is why we're taking the time to do this right.”
While this is the first venture into the cannabis market, the Boston Beer Company has been a part of several different innovations in the alcoholic beverage industry. In fact, on top of more traditional craft beer, the business sells hard seltzer through its Truly brand, hard iced tea through the Twisted Tea brand, and hard cider through the Angry Orchard brand.
Growing Cannabis Product Market
With marijuana legalization sweeping across the US, the cannabis market is growing at an incredibly fast rate. Currently valued at $22.9 billion, the global cannabis market is projected to grow significantly through 2026. In fact, the market will expand at a compound annual growth rate of 18.1% through that period of time.
The Boston Beer Company will look to be a large part of the growth of the cannabis business, bringing products to a larger demographic given the significant distribution network and brand power that it has.
When commenting on the new business venture for the non-alcoholic cannabis beverage, CEO of Boston Beer Company Dave Burwick said, “Our mission since day one has been to offer drinkers the highest quality, best tasting products, and they continue to seek new options. Innovation is core to what we do, beginning with craft beer, then hard cider, hard iced tea, and now Truly Hard Seltzer. We believe non-alcoholic cannabis beverages could represent a new frontier of innovation and want to be ready for future opportunities in the US."
About the Author
Mariliana has an MSC in Consumer Analytics and Business Strategy. She has a special interest in fast-moving industries and Big Data.