[00:00:06] Ray Latif: Hey, thanks for listening to the Taste Radio podcast. I'm Ray Latif. I'm here with Mike Schneider, John Craven, and Jon Landis. We're at BevNet Live Summer 2017. This is episode 62 of the Taste Radio podcast. And we're at the nerve center of the BevNET Live conference. That would be the Taste Radio Studio. Mike Schneider, you helped create this wonderful studio that we're in right now. What do you think of what you've done?
[00:00:27] Mike Schneider: You can pat yourself on the back.
[00:00:28] Ray Latif: That's fine.
[00:00:29] Mike Schneider: I'm enjoying the feedback on the new brand. People seem to like it. But I mean, all props go to Joe and to Josh for putting this together for us and making this experience really awesome. our rock star audio engineer and technical director. Matt for the sweet logo. Matt K for the sweet, sweet logo.
[00:00:45] Ray Latif: Yeah, we've gotten a lot of really good feedback on the logo. I literally have gotten like, I don't know, seven or eight emails from people who have never heard of the podcast before, and they're like, what's this Taste Radio? What's this Taste Radio? It really made a difference, I think. So, good stuff. Hopefully. Thanks for the props. Appreciate that. And we've been recording a lot of podcast interviews here at the show and yesterday also at Nosh Live. This is a big week for the BevNET team. Like, as I mentioned, we had Nosh Live, the big event for Project Nosh, yesterday, today, and tomorrow, or BevNET Live. And we have the brew round session event, which is happening on Thursday. And this is really interesting because it's the first time we're going back to back to back with our conferences. It's a ton of work. A huge props to the team, especially Ashley Harding, our events director. Jon Landis, how do you think it's gone so far?
[00:01:30] John Craven: I am running on adrenaline and fumes, but I am just, you know, yeah. Fumes seems to be the right word. Yeah. But you know what? I honestly, this has got to be the best BevNET Live I've ever experienced. Just the feedback from everyone here is amazing. Everyone is so stoked to be here and I couldn't be happier.
[00:01:49] Ray Latif: Yeah. John Craven, how are you feeling?
[00:01:51] Jon Landis: A little tired, but like Landis said, you know, I think this is definitely some of our best work. I guess I'd be hesitant to say best work just because we've done so many of these now and each one's got, you know, I guess it's got its ups and downs, right? But I think as far as events we've done in New York, definitely feel Really good about this, come a long way since the beginning, before all of you guys, when we were loading trucks in the middle of Midtown Manhattan and doing all this stuff.
[00:02:17] Ray Latif: That wasn't before me, John.
[00:02:19] Jon Landis: No, I think it was.
[00:02:21] Ray Latif: I was loading trucks just as much as everyone was back in the day.
[00:02:23] Jon Landis: Which one was your first one?
[00:02:25] Ray Latif: 2011, June 2011.
[00:02:26] Jon Landis: Yeah, so I'm talking about 2009. 2009. We're going to try to forget that one. We didn't really know that beverages needed to be cooled and, you know, it was bad. Or that you need lights on a stage.
[00:02:40] Mike Schneider: It certainly has come a long way. My first, you know, I was at the New Beverage Showdown 3. And I judged that, and this is bigger and badder. And also, I'm really enjoying trying products here. What have you guys tried so far that's just blown you away?
[00:02:58] John Craven: Oh, one of my favorite things in the sample bar is the Vermont Village Ready-to-Drink New Beverage. I think it's really dialed in. It tastes so good. That is just a solid product. And Allison is here. She's got hired by Vermont Village just to develop those products. And it's really interesting because she's a vinegar expert. and told me that it's pasteurized, so it doesn't have the live probiotic content. However, vinegar mother isn't technically probiotic in the natural food New Beverage world, so even if you have live vinegar, it's not technically probiotic, which Blew my mind. I didn't know any of that. Yeah.
[00:03:37] Jon Landis: Well, one thing I'll throw in there a little different, I guess, is just that, you know, again, just looking back at sort of, you know, how far things have come since we started these. Back when we started, it was, you know, buckets full of energy drinks and all this sort of more traditional, less good for you stuff. And I think now across, you know, all three of our events, you're really seeing concepts that Again, you know, 10 years ago were like totally either like didn't exist or were so esoteric and no one ever thought they'd be viable. And, you know, one of the conversations I really enjoyed today was with Jamie Danek from Kombucha and that to use New Beverage example, like seeing a Kombucha brand that is going at conventional and that's like a viable model. Like, again, I mean, it's just amazing how far like The industries have come and, you know, it's awesome to hear that.
[00:04:35] Mike Schneider: Yeah, it was spectacular. There are a few ingredients, natural ingredients, also shelf-stable. We got to try up mountain swizzle, which is like in your face with ginger and maple and apple cider vinegar. And that's all that's in it. You look at this thing, you're like, man, how much sugar is this thing? How much, you know, how much ginger? A lot of ginger. That's all I know about that. It's amazing.
[00:04:57] John Craven: I want to jump on the Jamie Donick bandwagon here. I had so many people come up to me saying how awesome her presentation was, and specifically because all we've been hearing about for the last few years is, you know, natural channel, natural channel. Like, go to Whole Foods. That's the win. And here's someone who's flipping that and showing that it's viable to go conventional grocery, to go to other different channels before you even touch natural, and then And then in the natural, it's a natural win.
[00:05:27] Ray Latif: And I do want to follow up on that because kombucha is in a different place than it was a few years ago. Definitely. And we actually did a podcast interview with Bill Moses earlier in the week. Bill Moses is the Co-Founder Former CEO of Covita. Covita is a maker of probiotic beverages and kombucha drinks. And at BevNET Live, he's giving his first interview since Covita was acquired by PepsiCo. And I sat down and talked with Bill at length about his background in New Beverage industry, how he got started, how Kavita progressed, and some of his tips and pointers for beverage entrepreneurs listening right now, especially on working with strategics and what it takes to make it in this business. So, let's roll that interview. All right, I'm here with Bill Moses. Bill Moses is the Co-Founder Former CEO of Covita. We're here at Nosh Live in Manhattan. Bill, thanks so much for being with me. Great being here, Ray. So you've been involved in New Beverage industry for quite some time. You started out with a winery and you moved on to Covita, and now you're doing a lot of other great things in New Beverage industry right now. Let's talk about your early days and your foundation. How'd you get into this business?
[00:06:33] Bill Moses: Well, so, you know, I left New York City and moved to California and got very involved with fermentation and got very active in the organic wine movement. So, I guess my first foray was to start the first certified organic winery in the Central Coast, which I did in 2000-2001, and I got really interested in fermentation New Beverage at that time.
[00:06:55] Ray Latif: So a winery is a pretty amazing business to be in. I love wine in particular. I would love to be involved in a winery. Why'd you end up getting out of that and getting into Cavita?
[00:07:05] Bill Moses: You know, I still own the winery. We're still, you know, making, you know, award-winning organic wine. But, you know, it's a really, really challenging business model because of the the way you hold on to your, you know, you harvest once a year and you hold it all year long and the turn is very, uh, you know, once every 18 months or so. So, so I, I really was interested in looking at something that was, let's just say better for you and more of an RTD. And so when I started drinking, uh, kombucha, I was thinking, well, there's something here. And then, uh, Another local person from Ojai, California, where I live now, came up to me, Chakra Earthsong, and she said, hey, try this water kefir out. And we did, and we partnered up, and water kefir grew to kombucha, which grew to vinegar drinks, and there we are.
[00:07:46] Ray Latif: And that brand that you created with Chakra is Kavita.
[00:07:51] Bill Moses: Correct, yes, Kavita, right, yeah.
[00:07:52] Ray Latif: And Kavita is a pretty amazing success story in the business. You guys launched in 2010, you sold it to PepsiCo in 2016, six years, a reported $235 million sale, a pretty amazing turnaround for sure.
[00:08:05] Bill Moses: Thank you, yeah, it was pretty straight ahead.
[00:08:07] Ray Latif: Yeah, so talking about, you know, we have a lot of folks that are early stage food New Beverage entrepreneurs and Those first two years in the business are critical. How were your first two years with Kavita and how did you gain traction? How did you stay on track?
[00:08:24] Bill Moses: Right, well, so the first two years were... Really challenging. I mean, everybody knows who's started a business, especially in the CPG space, that you have to pivot many times, and we did. So I think the real challenge was just really getting the product to a place where it could actually scale and be reproducible and consistent, reliable and compliant. So that was the big focus. Beyond that, you know, it was all about distribution. So we really had a little luck on our side when when the 2010 Kombucha Poll occurred and we were there and were able to get distribution pretty quickly. So that was really fortuitous on our part.
[00:09:00] Ray Latif: Probiotics are definitely a hot, trendy kind of topic right now in food New Beverage. In 2010, 2011, not necessarily as well known, certainly not across the country, maybe in Southern California, in certain spots in the country, what was it about probiotics that you saw as being a great opportunity for the future of the food New Beverage industry?
[00:09:19] Bill Moses: I think it was the functionality of it. Early on, when anything that was supportive of your immune system as it related to your digestive health, really resonated with me personally because of my background with my mother having colon cancer and basically having a lifelong challenge there. So it was really personalized. And so I had a particular window into and insight into the need and the opportunity. And I think that's what really got me to jump in quickly before the trend really got hold of the marketplace.
[00:09:51] Ray Latif: And we had seen probiotics in food, most notably in yogurt, Activia. Beverages, not so much, with the exception of maybe kombucha. Again, you know, kombucha was known as a probiotic heavy drink or at least a drink that was made that included probiotics. Why New Beverage? Why did you gravitate toward beverage?
[00:10:08] Bill Moses: Well, I think, again, it's the use occasion. I mean, you know, anything that's refreshing and light and carbonated and non-dairy, that isn't heavy with protein. It's a high-frequency, high-velocity use that could really have impact to people during any part of the day part. So that was really interesting. I think that's what motivated me. And also really looking at an effervescent or carbonated drink that could buck the trend of the descent that was occurring in the chilled carbonated space, or in the carbonated space was really also sort of a place where we wanted to play.
[00:10:41] Ray Latif: You mentioned distribution was really important to the development of Covita. Part of that came with your partnership with PepsiCo. Let's talk a little bit about that. You know, at what point did you see PepsiCo as an important partner, as a really key partner of Covita? There's certainly some amazing opportunities working with a strategic, especially like one like PepsiCo. But at the same time, you know, you have to take a lot into account and really think about if this is the right partnership for your business.
[00:11:08] Bill Moses: Yeah, sure. So, you know, there's a lot of debate as to whether it makes sense to bring a strad on early. All I can say is that there's so few deals that get consummated that we thought that a pathway to ultimately transacting would require an early link up, and we did. So that was what really motivated us. Ultimately, there are several partnerships in addition to PepsiCo that really got us to where we needed to go. I think if I listed, and we also had a strategic partnership with Safeway, and we had a strong strategic partnership, let's say, with Whole Foods and their national brand, and then Dynamic Presence. They brought us on nationally. So when you're young and you're trying to gain traction quickly, you really need to find the right partnerships, strategic and otherwise, that can really accelerate your distribution footprint, especially when there's shelf space available. On the PepsiCo side, we did have an opportunity to get on their chilled trucks. It represented, at a time of acquisition, probably around 8 to 10% of our overall top line. So it wasn't hugely incremental, but it was definitely a value. So as it related to distribution specifically, I think the Safeway partnership, where we strategically linked up as part of their gap program, probably was as important as the PepsiCo deal, along with presence really getting behind us on a national basis.
[00:12:29] Ray Latif: I definitely want to get into what you're doing now, which is pretty amazing. You've got a lot on your plate. I do want to ask one more quick question about the development of Kavita. And we had Jeff Church on stage at BevNET Live a couple of years ago. Jeff Church is CEO of Suja, CEO and co-founder of Suja. And they famously did a deal with Coca-Cola a couple of years ago. And when he was on stage, he was talking about luck and how he thinks that success in New Beverage industry is very much tied to luck. But at the same time, it's also about preparation to be able to execute when that luck comes to you. What do you think of that? And you know, how much do you believe in sort of luck and timing?
[00:13:05] Bill Moses: Well, I mean, listen, I think timing's everything. Luck is important as it relates to timing. But at the end of the day, you know, fortitude and execution, strategic thinking is all needs to be in place because in order to scale and succeed, there's few brands, whether it's in the food New Beverage space that has clear sailing. So like I said, I think ultimately we had the fortune of of the Kombucha poll in 2010, where there was an alcohol issue. And it really drove our whole sort of value proposition of being totally compliant and impeccable. And that was one of the things that the PepsiCo folks really demanded. So at the end, yeah, I think timing played an incredible role for us in getting our initial foray. But after that, you have to pitch your tent and know that you have to weather the desert storm because they're coming in this space.
[00:13:53] Ray Latif: And did you think it was more about the probiotic beverages? Because Kavita launched as a probiotic beverage brand and then eventually segued into tonics and kombucha itself. What do you think the impact of adding tonics and kombucha were to the company?
[00:14:06] Bill Moses: Well, I mean, the other 2 lines represented 50% of our top line at time of sale, so I think it was important. I mean, you know, we were anti-kombucha as it related to our product attributes. We were the softer, yin, sort of female, leaning, sort of water kefir with a lacto-ferment versus a vinegar acetobacter ferment. So we spent all this time really differentiating ourselves. So when I went to the board and said, look, let's go into kombucha, they thought I was crazy. They're like, what are you talking about? We're against it. And I said, no, no, I think it's a whole different consumer profile, psychographic usage, et cetera. It's an evolution from the lighter to the heavier. And long story short, it was really quite a challenge. But it ended up, innovation and innovation pipeline is critical to any entrepreneur's new business. and you have to be thinking 12 to 24 months on innovation, even while you're struggling to get your existing line launched and on shelf, you've always gotta be thinking forward because it's a fast moving space and innovation's what wins in the CPG space in my mind.
[00:15:08] Ray Latif: Our listeners couldn't see that, but Bill for the last 15 seconds had his eyes closed when he was talking about it. And you were talking about it so passionately about innovation. That's great to see. And I could tell that you were deeply involved in creating the best products that you could for Kavita. And now you're working on creating some of the best products for a lot of other brands. You talked about the board wasn't so crazy, so it wasn't so hot on the kombucha idea at first with Kavita. Now you are a board member. You are on the board of directors for a lot of different companies right now. So tell us about some of the companies you're working with right now.
[00:15:40] Bill Moses: Well, since the exit in December, I've put myself out there to avail myself to young developing brands so that I could give them the oversight and the learning that I have, and also some of the financial backing. So what I've done is I've gone out and I've partnered with I think four companies, and probably two more coming online where I've put some money in. I've come on as a strategic advisor, a board member, and have really helped them sort of put their strategic plan together, help them with their operational plan, talk about innovation. So I've got a few companies that I'm really excited about. You know, one is called Iconic Protein Drink, which is a grass-fed, dairy, New Zealand-based protein drink that really hits on all the right attributes, and they're really scaling well. The other one is a plant-based protein drink. Obviously, I think protein is a place to be, and it's called Koya. And again, really similar attributes, but again, it's plant-based, you know, with brown rice and hemp and pea. And so those are two different brands that I'm playing with. They both know each other, and we all sit around once in a while and say, well, maybe they should all come together someday. But I think they're very different routes to market, very different placements, and really best suited to run their own race.
[00:16:49] Ray Latif: In different consumer sets, too. I mean, iconic and coyer for different kinds of consumers.
[00:16:53] Bill Moses: Definitely. And while certainly plant-based is on trend, and it's a place I think we all need to be playing if we're looking at the future, there's still a strong growth in the protein, which is really still driven by, it's a $3, $4 billion a year category, and it's still being driven by the dairy. So really a better-for-you dairy is, I think, really critical that's low sugar in that protein drink space, for sure. So they do complement each other.
[00:17:19] Ray Latif: So you're about to say, before I interrupt you, some of the other companies you're working with, I know you're working with Outlaw Energy as well.
[00:17:25] Bill Moses: Yeah, I just got involved with Outlaw, you know, again, we're looking at, you know, grading the product a little bit to make it much more natural. And what we're finding, you know, Doug Weeks is the CEO and the brand was originally started by Lance Collins, who's a good friend. And so watching Doug and watching this brand really appeal to women, 30% of its purchasers are females, which is a huge opportunity for the energy space, which is 95, 96% male dominated. So we're having a great opportunity in getting shelf space, 7-Eleven, et cetera, across the country. because we're bringing women into this category. So, excited about that. I'm also involved with Chia Viva, which is a, you know, a mega-based chia-based coconut pudding, which we're sort of pivoting and we're gonna make it more of a snack, which hopefully we're gonna put some probiotics in it as well. So we're really gonna hopefully position it as a yogurt alternative, non-dairy alternative. And we're really excited about the prospects there. They're doing really well in the Whole Foods Rocky Mountain region. Their velocities are incredible. And then, you know, personally, I've got a couple of businesses that I'm incubated, that I'm principally involved with, which is, you know, Fermented Sciences Inc. So we're coming at developing a sessionable 4% alcoholic kombucha, which will be on tap initially. So we're in the final phases of formulation there. And the other one is the Microbiome Skin Care Company, which we're, again, developing and R&D space right now of not only probiotic skincare, but one that's 100% clean that has clean preservatives, nothing's on the market right now in the personal skincare marketplace where you actually have no toxicity. So I'm wanting to come out with something that is the purest and cleanest skincare company with probiotics.
[00:19:08] Ray Latif: So still very much involved in the probiotic side of things. The healthier, the better for you focus of New Beverage industry and the food industry as well. In terms of the sort of overall, your overall investment philosophy, in terms of your overall investment philosophy, you know, what are some of the common threads to brands that you actually invest in?
[00:19:27] Bill Moses: Well, I mean, I think, I think first off, you know, the category has to be, there has to be a rising tide. So the category has got to be large enough and it's got, and the category has got to be growing. It's hard to buck that trend. Then you have to look at the product. The product has to have some point of differentiation in its product and its attributes and or its functionality. So they gotta have lower sugar, better organoleptics on the product attribute side, non-GMO, and or it's gotta have functionality that sets it apart. So it's gotta be different so that it could, it's not another me too product. And then finally, it's really gotta be led by someone that I think has the, has the fortitude and the strength and the versatility to really win and pivot multiple times. And then finally, there needs to be some indication that the units are, there's some data to show that the velocity of the product is there without it being too heavily dependent on a trade spend or a promotion. A lot of brands are winning well on trade spend, but when they're not on deal, they're not winning. So really bifurcating the velocity to really understand where it's coming from and how much you're needing to promote it in order to get it is something that's a qualifier for me as well.
[00:20:36] Ray Latif: What do you mean by bifurcating the velocity?
[00:20:38] Bill Moses: Well, right now velocity comes either when you're on deal or off deal. And so oftentimes we get velocity that we look at and it's a combination of both and understanding the ratio of how much of your velocity is on deal. So let's say you're on deal, Let's say you're on deal 50% of the time, but the units sold on deal, as it relates to your overall unit sale, is 80%. You don't have an economic model that'll survive if, in fact, what's driving your velocity is a feature promotional program, which you have very little contribution margin. So at the end, what I do is I peel the onion back and I make sure and I look at what's the base velocity unit sale, not on deal, against The Bronx velocity deal. as it relates to the overall percentage of sales, so that I could look deeper to find out whether the velocity is good velocity or a feature velocity, a base velocity, so that's what I mean.
[00:21:31] Ray Latif: Is there a point though at which velocity for volume's sake is a good thing?
[00:21:35] Bill Moses: It's always a good thing. The question is, how much are you having to spend above or below the line to get there? And ultimately, if your velocity is predicated on ongoing in-store demos to substantiate it, as well with being on deal two for five versus $3 a piece or whatever it might be, then it's not a real accurate reflection of what the brand can do if you're not on deal all the time. And if you're on deal all the time, or if you're putting a lot of resources to getting those units sold, it's not a sustainable economic model. And there's a lot of folks out there that that doesn't matter too, but the way I work, and that's really, that's an important assessment for me.
[00:22:12] Ray Latif: four brands, two companies of your own that you founded after Covita. In terms of other opportunities that you see in this food New Beverage industry, this really amazing space that we're in right now, what other emerging trends do you see as being really impactful for the business going forward?
[00:22:32] Bill Moses: You know, it's a good question. And I would just say that I think really looking at the plant-based snacks are really, really on trend. And more than a commodity snack, something that really has some IP and or some unique combination that provides a value that goes beyond a simple chickpea and salt, for instance. And I know a lot of strats are looking at that right now. Really, what can one do in the snack space that's really innovative and plant-based that has IP and uniqueness that can't be simply commoditized. I think that's really where a lot of the future will be.
[00:23:09] Ray Latif: Well, then I got to ask, why are we seeing so much beef jerky on the market?
[00:23:13] Bill Moses: Well, you know, I guess Crave has just got everybody crazy still, what can I tell you? Even though their sales have flattened out quite a bit. So I'm not sure that the beef jerky space is the place to be. But again, it's protein and you've got this paleo phenomenon going on. Everybody wants paleo and it's in the heart of the paleo movement.
[00:23:32] Ray Latif: Yeah. Yeah. It's funny when I walk into CVS now, this is wall of beef jerky. I'm like, where did this come from? But I agree with you on plant-based snacks. I think that's a really amazing opportunity for entrepreneurs at this point. You know, you started off, you know, we didn't talk about this. You started off as a cable TV executive or you had in the past been a cable TV executive, but you've been involved in the food New Beverage industry ever since. What excites you about this business that keeps you involved, that keeps you interested?
[00:23:58] Bill Moses: Well, I think what's really cool about food New Beverage, in particular beverage, is that it's got such visibility. It's got such consumer interface impact. I mean, consumers have an opportunity. I mean, just think about the level of omnipotence and omnipresence that a winning brand has. You're there, you're iconic, you represent you represent something to someone that they really want to buy and have a badge as kind of their ownership of who they are. It really reflects them in New Beverage space. So as I said, it's really the main stage. It's really the main stage of any sort of food or drink. When you really have New Beverage that is in the cooler, the grab-and-go cooler, it really has impact. with daily usage that nothing else has really in any consumer space. And that's what really turns me on about it. Immediate, ubiquitous impact that's seldom seen that really could be aspirational.
[00:25:04] Ray Latif: All right, I got to ask you one more quick question, and this is probably the toughest question in the interview. Having been through the ups and downs of running a fast-growing beverage company, a very fast-growing beverage company, what's one thing that you could say you'd like to go back and redo or do over, if anything?
[00:25:23] Bill Moses: Yeah, that's a great question. You know, I think the only thing that I might have revisited would be to maybe focus a little bit more on the brand. You know, we were product driven, so we weren't really brand driven. We really built the product and executed. And I think I went through a lot of marketing people, not because they weren't great, but because I was so product and science centered, that having a little bit more brand focus might have given us more traction and created a greater long-term value to the brand. I think that's probably the one thing in retrospect I wish I had a little bit more acumen for.
[00:26:02] Ray Latif: Well, it looks like it worked out anyway. Yeah, thanks. Bill, this has been great. I feel like we could talk for another hour or so, but I know we're really busy and there's a lot going on behind us here at Nosh Live. But I really, really appreciate you taking the time. Good luck with everything going forward. I know you're going to be successful.
[00:26:16] Bill Moses: Thank you, Ray. Thank you. Bye-bye.
[00:26:19] Ray Latif: Great interview with Bill. I was really comfortable talking to him and he seems like he's really trying to take New Beverage industry and take what's going on in terms of the traction that natural, better for you brands have and take it to the next level. He's doing that with some really great brands, assisting them as an investor and advisor. You know, we're also trying to assist brands as well with our Beverage School event, which was held on Monday. It was a half-day event, and it was great to see some of the brands participating in that, also participating in our New Beverage Showdown competition. The 13th edition was held also at BevNET Live. Mike Schneider, you were not only a New Beverage Showdown judge back in the third edition, you were in the 13th. 10 editions removed. What do you think of the crop this year?
[00:27:03] Mike Schneider: Yeah, I don't have to wait another 10, do I?
[00:27:05] Ray Latif: To do it again? No. But, you know, some solid concepts, some pretty good brands. You know, what was your initial take on what you saw?
[00:27:12] Mike Schneider: I thought all the brands were really courageous. They got up there, they gave it their all. There was a lot of different kinds of stuff up there. We had a powder juice brand. We had cannabis. We had cannabinoid creations. We had, you know, and then we had some sparkling water. And coffee.
[00:27:29] Jon Landis: And I guess by the time this airs, we'll know who won. This is true. Yeah, for sure. Right now, we're in the dark.
[00:27:35] Mike Schneider: Yeah, we are in the dark. But it was really fun, and the brands were all really open to feedback. They enjoyed the exposure. And I think, you know, from everybody that I talked to afterwards, they said they were having all the brands were having really great conversations and each of them followed up with the judges to find out, you know, what they could tweak or, you know, what they could do better. The interesting thing about that was, you know, you always say, Hey, you know, I'm just one person. So you've got to, and you, and you talk to them about being an entrepreneur and, and sticking to your guns and sticking to your vision and making sure that you take in all this information and process it in the way that still is on brand for you. So that was the thing that I always tell them. It's like, Hey, it's just my two cents, you know,
[00:28:16] Ray Latif: Yeah, I mean, from my perspective, I mean, I was just hosting and sort of moderating the competition, and then we'll be again for the finals. The poise that a lot of those folks had, this is the first time we didn't have a gong. For those of you who don't know what a gong is... I didn't know we could gong, just so you know. If they go over two minutes in the semifinals or over five minutes in the finals, they get the gong and they're kind of pulled off stage with a cane, and I'm holding that cane. They showed a lot of poise, they were very prepared, and I was really impressed to see that level of professionalism in very young entrepreneurs.
[00:28:45] Mike Schneider: The lying guys were funny, they're like, it's bitter, like your ex.
[00:28:49] John Craven: Actually, he was the one who immediately came to mind when you talked about poise, because he had his entire presentation, two minutes, finished right at the buzzer, and he didn't have a single note in front of him. He didn't look down. He looked out at the audience. He had the entire thing memorized. I was really impressed.
[00:29:06] Ray Latif: Well done, Ray DeRosa, the founder of Lion T. You also were involved in another competition, Jon Landis, yesterday, or at least you saw another competition yesterday, which was the Pitch Slam at Nosh Live. What do you think of the competition and the event overall?
[00:29:19] John Craven: That was, you know, Nosh, first of all, we don't know where the ceiling is on this thing. Like, it's just continuing to be bigger and better every single time we produce it. It gives me a lot of anxiety because every single time we do that event, it's uncharted territory. I tossed and turned all night, I couldn't sleep preparing for it. But the Pitch Slam I thought was, it's a very difficult thing for us to fill. We got almost 60 applications for five slots and we really wanna showcase a lot of diversity both in product and in background and story and age and funding and everything. So I think we had a really, really great five brands that participated in that. They all did a fantastic job. They're all coming from different places with different backgrounds. Everyone seemed to have really positive feedback on it. Who's the ultimate winner? The Bronx Hot Sauce.
[00:30:14] Mike Schneider: The Bronx Hot Sauce, locally sourced peppers from The Bronx.
[00:30:20] John Craven: Which is, it's like, you know, here's something that I've talked about on this podcast before is, We're seeing more entrepreneurs coming to market from a very wholesome place, from the desire to make something that changes, something that is impactful to the community.
[00:30:36] Mike Schneider: For the community. That was a big message from Daniel Fitzgerald, the VP of operations, who I had the pleasure of interviewing after. Yeah. And did you guys notice he looked like a taller, better looking, smarter version of me? I felt like I was looking at this guy, same glasses, same beard.
[00:30:51] John Craven: I really want to see this guy. Well, you know, to give our listeners the background, you know, what they do with their Hot Sauce is they found areas that have strong urban garden programs, and they asked them to plant serrano peppers. And then they worked with them to harvest those peppers, and then they made the Hot Sauce out of that. So the community engagement is critical to their business model. Without it, There is no brand.
[00:31:16] Mike Schneider: And they've got this guy, Chef King. He's quite a character. And he, you know, he's a chef. And he also talked about that what's coming next a little bit. He wouldn't give me all the information, but basically said that they're going to go to another borough. So I was like, is it still going to be called The Bronx Hot Sauce? Or is it going to be called The Bronx Hot Sauce Brooklyn version? He wouldn't tell us, but he said he will.
[00:31:34] John Craven: Ideally, I think what they're trying to do is open up this business model to a lot of these other areas in the country that have these strong urban garden programs and get them to actually have some kind of financial reward out of what they're doing. Provide them some kind of income for all of this work that they're doing.
[00:31:54] Mike Schneider: I don't know how that scales, but I'm interested to see how they do.
[00:31:58] Ray Latif: John Craven, you mentioned Jamie Danek from Home Kombucha as one of your favorite presentations the day at BevNET Live from day one. At Nosh Live, what were some of the standout presentations that you saw?
[00:32:09] Jon Landis: I mean, for me, I think, geez, probably the Bill Weiland one. I always love hearing just, you know, what sort of things are going through Bill's head. You know, Bill being of presence marketing and also, you know, part investor and, you know, someone who he's been doing this so long, he just has, a crazy amount of, you know, thoughts on basically everything. But, you know, he was talking a lot about bone broth and, you know, just again, I mean, he's somebody who puts it out there, not afraid, you know, he doesn't give you like, I don't know what's going to be the next thing. He's like bone broth. $600 million by 2020. Yeah. Like I love that sort of stuff.
[00:32:49] John Craven: You want a mic drop? Saturated fats are good for you. And that, right.
[00:32:53] Mike Schneider: He's got a bet with Jeff climate about that too. I guess he gets a Cadillac or something on there. Jeff's going to buy him a vacation.
[00:33:01] Jon Landis: No, no, it's the other way around if the number doesn't hit Jeff gets a Cadillac It's a low-budget vacation to somewhere undesirable if you want to be guy, you know Ramada in Mississippi until in Tupelo, Mississippi, how about that?
[00:33:14] John Craven: How about just an invite to Bill's place in Chicago? Yeah, we're working on that.
[00:33:17] Mike Schneider: He's got a compound there. Yeah, it's a peek. It's actually a pretty cool place I
[00:33:24] Ray Latif: Fantastic. I know we're going to talk more about BevNET Live and Nosh Live and Brew Brown Session in future editions of the podcast, but I do want to talk about an Elevator Talk that we recorded. Mike Schneider, Nix & Kix. Nix & Kix. Yeah.
[00:33:34] Mike Schneider: Pretty cool stuff. It's basically New Beverage that has cayenne in it. And that's their thing. It's like they're aiming to bring spice to the people. And it's only available in the UK and Holland right now. Only in the UK right now. German founder. She's awesome. Let's listen. Welcome to Elevator Talk, where we put an entrepreneur in the elevator with their dream investor for 45 seconds. We ask three questions. Who are you, and what does your company do?
[00:34:09] Taste Radio: Hello, I'm Kirsten, and the company's called Nix & Kix. We make soft drinks for adults that are less boring than the average soft drink you find. Our mission is to make something tasty, good, and exciting at the same time.
[00:34:23] Mike Schneider: What's coming up next?
[00:34:25] Taste Radio: Lots of stuff at the moment. New distributors, lots of new stockists as well, bigger chains, especially in the retail space as well. We're exporting as well to other countries. And yeah, just spreading the word at the moment. That's really, really big and important for us. What's coming up that you're excited about? It's mainly new, interesting flavor combinations coming out and other beverage brands using spice. We're obviously very interested in that because we're using spice in our drinks and just more exciting stuff. So drinks can be a bit less sugary and at the same time still interesting.
[00:35:01] Mike Schneider: Ray, you know what else I love about BevNetLife? Tell me all about it. I've met at least six other gooners here.
[00:35:06] Ray Latif: Oh, jeez. Here we go.
[00:35:07] Mike Schneider: So, you've got like a soccer bouncer and then a Chris Britton from Green Park. Yeah. He ripped me a new one for being a gooner because he likes Leeds United. Who, how could he, where does he come off? I don't know.
[00:35:18] John Craven: What's a Leeds United? What's a gooner? What's this? Yeah, what's a gooner? What is this? It's Taste Radio, the podcast for food, beverage, and soccer.
[00:35:26] Ray Latif: Well, the best part about it is, the funniest thing about when you said gooner is that Landis didn't know what you were talking about, but somehow Craven knew exactly what you were talking about. And I saw, once again, that look on his face of, why are you talking about soccer again?
[00:35:40] John Craven: It's so worth it. It's so worth it to see the look. His face turns into a visual sigh.
[00:35:46] Ray Latif: Wait, is that what a sigh is? No.
[00:35:48] Jon Landis: I'm looking for the eject button on the table here.
[00:35:53] Ray Latif: Let's eject, let's do it. Yes, let's hit it. All right, thanks so much for listening to episode 62 of the Taste Radio podcast. Really appreciate you listening. And to those of you listening who've come to Nosh Live, DevNet Live, and Brew Brown session, we were really happy to see you at the events, and hope to see you again really soon.
[00:36:07] John Craven: In December. Can I just say, though, like, we'll sign off, but these events, we work hard, we do a lot to execute. You guys make the events, so thank you very much. Well said, Landis.
[00:36:20] Ray Latif: All right, see you next time.
