February 28, 2018

Brew Dr Kombucha Prepares to Go Broad via DSD, Even Houses Without Cold Trucks; Move Follows Private-Equity Infusion

Townshend’s Tea appears to have made considerable headway on big DSD landgrab behind its Brew Dr bottled kombucha line that will slot it into several leading unaligned distributors across US and potentially put it on way to attaining the $50 mil revenue target it’s staked out for next year or two as it moves beyond West Coast base. Word on street is that Portland, Ore-based teahouse operator and distiller is weeks away from identifying DSD houses without refrigerated fleets that will be installing cold storage areas in their warehouses to carry bottled product, which can stay on unrefrigerated trucks for 18 hours ahead of delivery to retailers. If successful, ploy would help resolve so-called “last mile” issue that’s kept major kombucha brands, which are all refrigerated, outside of DSD houses with the greatest coverage in up-and-down-street accounts where brands are built. It also would do more to level playing field with kombucha leaders GT’s and Health-Ade, which by now have staked out the leading refrigerated options in major metros, locking out rivals.

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