Business of Drinks

Before Kava Haven had a finished product, its founders tested whether anyone would pay $80 for a bottle. They built a website, created a product rendering, and ran ads. The interest that followed helped turn a $4K initial investment into a fully bootstrapped business that has sold more than 250K bottles and reached approximately 1,300 retail doors since launching in April 2024. In this episode of Business of Drinks, we sit down with Billy Grady, co-founder and CEO of Kava Haven, to unpack the decisions behind that growth. The brand’s kava-based non-alcoholic spirit was developed for people seeking an alcohol-free way to unwind. But translating that proposition into a business required testing demand, educating customers, and choosing a product format with room to fund further growth. Billy explains how wholesale preorders financed the first production run, why the founders chose a 750-milliliter bottle over cans, and how they’ve maintained their focus on one core product. We also explore the shift from a business dominated by wholesale to one that now generates roughly 80% of sales through direct-to-consumer channels. TikTok Shop more than doubled the business overnight, Billy says, while more than 40% of DTC customers have returned to purchase. Listen in to learn: • How to test demand and willingness to pay before committing to production.• Why creator partnerships can work even when an audience appears more interested in alcohol than moderation.• How Kava Haven identifies retail accounts with the customers and staff to support an unfamiliar product.• What Billy looks for in a distributor -- and how retail performance data helps open new doors.• Why the brand’s core buyers turned out to be ages 35–65, despite the founders’ expectations of a younger audience. For drinks entrepreneurs weighing product launches, channel expansion, or fundraising, this conversation offers a detailed look at building a business that can help finance its own next stage. For the latest updates, follow us: Business of Drinks website (sign up for our newsletter!) Business of Drinks YouTube Business of Drinks LinkedIn Instagram @bizofdrinks Erica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies. Erica Duecy LinkedIn Instagram @ericaduecy Scott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor. Scott Rosenbaum LinkedIn Subscribe to the Business of Drinks channel for more insights on how brands, retailers, and operators are unlocking growth across beverages. And please rate and review us. Your support helps us reach new listeners. Thank you!

How do you build a wine brand that belongs on both Target shelves and Soho House wine lists? Grounded Wine Co. has grown to more than 80K 9L cases, with company volume up about 28% year over year. Its core Cabernet and Sauvignon Blanc launched during COVID with a six-month Target exclusive. Today, its business is split almost exactly 50-50 between on- and off-premise -- and its Sauvignon Blanc is the top-selling wine across Soho House’s North American program. In this episode, Josh Phelps, founder, CEO, and winemaker of Grounded Wine Co., unpacks how an independent producer is building a national business around accessible wines. The strategy brings together distinctive packaging, winemaking expertise, and prices that work for consumers and hospitality buyers. But execution matters just as much. With limited resources, Josh organized his sales team around channel expertise, developed national-account relationships, and worked with distributors to support placements across markets. He’s also candid about what it takes to make the economics work. A Sauvignon Blanc selling for roughly $12 to $15 a bottle needs scale, tight cost controls, and repeat purchases. We explore: • How Grounded expanded from a retail launch into national restaurant and hotel programs.• Why Josh built his small sales team around on- and off-premise expertise.• How distributor fit shapes a brand’s opportunity -- and why enthusiasm needs to go both ways.• What it takes to build a profitable business at an accessible price point.• Why Grounded discontinued its 30K-case Space Age Rosé Spritz and doubled down on its core wines. For drinks entrepreneurs navigating pricing, distribution, and portfolio decisions, this conversation offers a candid look at building growth across channels -- and deciding which opportunities deserve your resources. For the latest updates, follow us: Business of Drinks website (sign up for our newsletter!) Business of Drinks YouTube Business of Drinks LinkedIn Instagram @bizofdrinks Erica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies. Erica Duecy LinkedIn Instagram @ericaduecy Scott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor. Scott Rosenbaum LinkedIn Subscribe to the Business of Drinks channel for more insights on how brands, retailers, and operators are unlocking growth across beverages. And please rate and review us. Your support helps us reach new listeners. Thank you!

What would it take to get more women drinking beer? For Hurray’s Girl Beer founder and CEO Ray Biebuyck, that question became the starting point for a brand that has grown its distributor count 12x in the past six months and expects 10x year-over-year growth in 2026. Driving that expansion: New Kroger doors coming onboard, alongside expansion with Walmart, Albertsons, H-E-B, Hy-Vee, and Wegmans. Launched in fall 2024, Girl Beer has raised a $5M seed round and is targeting 3,000 retail doors by year’s end. Before launch, Ray surveyed about 2,000 women to understand what was keeping them out of the category. Roughly 60% said beer didn’t offer enough flavor or interesting flavor options. And 75% couldn’t distinguish among common beer styles -- a potential barrier when shopping the aisle. Those findings shaped Girl Beer’s flavored light lager, straightforward positioning, and pitch to retailers: Bring a new shopper into the beer category. In this episode of Business of Drinks, Ray joins us to unpack how she translated that research into a product, a distinctive brand voice, and a retail growth strategy. She explains how she used burner TikTok accounts to test humor and messaging before launch, and how the brand answered early skepticism with performance: Ray says Girl Beer reached the top 10% of velocities at Whole Foods. The audience has also proved broader than the name might suggest. Nearly a third of Girl Beer consumers are men. Ray gets candid about eight months of self-distribution in Southern California that she says set the business back, and why Arizona became a stronger expansion model, with statewide distribution, chain commitments, and a sales rep in place. We also explore why Girl Beer seeks shelf space alongside seltzers and RTDs, how Ray connects marketing spend to retail availability, and what the brand’s Dallas Wings partnership offers in audience access and sampling opportunities. It’s a practical conversation about understanding the consumers your category is missing -- and building the product, positioning, and distribution to reach them. For the latest updates, follow us: Business of Drinks website (sign up for our newsletter!) Business of Drinks YouTube Business of Drinks LinkedIn Instagram @bizofdrinks Erica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies. Erica Duecy LinkedIn Instagram @ericaduecy Scott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor. Scott Rosenbaum LinkedIn Subscribe to the Business of Drinks channel for more insights on how brands, retailers, and operators are unlocking growth across beverages. And please rate and review us. Your support helps us reach new listeners. Thank you!

In 2025, Sunday Hospitality Group served 1.2 million alcoholic and non-alcoholic beverages across eight venues, including the Lobby Bar at Hotel Chelsea, Sunday in Brooklyn, Rule of Thirds, and Dynamo Room. Add coffee, tea, and soft drinks, and that number rises to 1.5 million. Brian Evans, the group’s director of bars, joins Business of Drinks to unpack the decisions behind those numbers -- from designing cocktails that sell to building systems that keep service moving and understanding what guests actually want. At Hotel Chelsea, a signature cocktail called Mercury Pool barely sold. Renamed the 1884 Martini, it became the Lobby Bar’s most popular cocktail. Brian explains why familiar names and concise menu descriptions can make adventurous drinks easier to order -- and why even a drink guests love can prove too costly or cumbersome to keep serving. Speed shapes the entire program. Most menu cocktails require just one to four touches, and Dynamo Room has five freezers behind the bar stocked with batched martinis for the pre–Madison Square Garden rush. Brian breaks down how preparation affects the guest experience, profitability, and the chance to sell another round. For suppliers and distributors, he offers a candid look at what earns his attention: Let him taste before launching into the brand story, understand how the product fits his venues, and bring support that benefits the team. He shares how High Road Spirits has built a strong relationship through education, access to producers, and thoughtful hospitality. We also explore what’s changing on the restaurant floor: Fewer rounds at the Brooklyn venues, familiar classics gaining ground, and a nuanced picture of non-alcoholic demand, with steady NA cocktail sales alongside a surge in coffee and tea at Rule of Thirds. For anyone selling into restaurants or running a beverage program, this conversation connects product appeal, buyer priorities, and the operational details that determine whether a drink earns its place. For the latest updates, follow us: Business of Drinks website (sign up for our newsletter!) Business of Drinks YouTube Business of Drinks LinkedIn Instagram @bizofdrinks Erica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies. Erica Duecy LinkedIn Instagram @ericaduecy Scott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor. Scott Rosenbaum LinkedIn Subscribe to the Business of Drinks channel for more insights on how brands, retailers, and operators are unlocking growth across beverages. And please rate and review us. Your support helps us reach new listeners. Thank you!

Lost Lantern just hit $1 million in revenue over the trailing 12 months, and its velocity is increasing. After growing sales 10% in 2025, the whiskey brand forecasts doubling them in 2026. Its approach to expansion starts with evidence that consumers already want its bottles. In this episode, Nora Ganley-Roper, co-founder, general manager, and head of blending at Lost Lantern, joins Scott Rosenbaum to explain how the company builds that demand -- and uses it to make better decisions about distribution. An independent bottler, Lost Lantern buys mature whiskey from distilleries across the U.S., then selects and blends distinctive releases. It has launched more than 100 SKUs, some totaling just 200 bottles. For its first three years, e-commerce did much of the heavy lifting, and its newsletter became a testing ground for which products and stories inspired purchases. That feedback strengthened the retail pitch. The team could explain who would buy a bottle, why it fit a particular store, and how Lost Lantern would help drive sales. When releases sold out online, the newsletter could send customers to retailers that still had them. Nora explains the three things Lost Lantern needs before expanding: consumer demand, the right stores, and a distributor that fits the brand. With a team of six, the company also has to weigh whether it can provide the support a new market requires. Its latest project, the United States of Bourbon, shows how a broader product can accelerate growth. The blend of straight bourbon from all 50 states generated online sales at about 3x forecast, while wholesale’s share of company sales rose from 40% in Q1 to 55% in Q2. We dig into: How e-commerce reveals what customers will buy. What makes a retail pitch compelling. Why distributor interest alone doesn’t justify expansion. How limited releases build an audience for broader growth. What it takes to support placements once you’ve won them. For anyone weighing a launch or expansion, Nora offers a practical look at how consumer demand can guide where -- and how -- a drinks brand grows. For the latest updates, follow us: Business of Drinks website (sign up for our newsletter!) Business of Drinks YouTube Business of Drinks LinkedIn Instagram @bizofdrinks Erica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies. Erica Duecy LinkedIn Instagram @ericaduecy Scott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor. Scott Rosenbaum LinkedIn Subscribe to the Business of Drinks channel for more insights on how brands, retailers, and operators are unlocking growth across beverages. And please rate and review us. Your support helps us reach new listeners. Thank you!