“Molson Coors Targets Early Lead in U.S. Cannabis-Infused Beverage Market with Veryvell Launch”
The competition among major beverage companies to introduce cannabis-infused drinks in the U.S. is heating up, and Molson Coors aims to gain an early advantage with its launch in Colorado. In April, Molson Coors and Hexo announced their partnership, Truss CBS USA, which is exploring opportunities for non-alcoholic, hemp-derived CBD beverages in Colorado. Now, less than a year later, they are introducing the Veryvell line. Pete Marino, president of Molson Coors’ emerging growth division, shared with Bloomberg News that the company plans to establish a mega-brand within three years and will consider expanding into additional markets later this year.
Originally, Hexo and Molson Coors joined forces to create beverages for the Canadian market, which permitted CBD-infused drinks and edibles on shelves starting in December 2019. That same year, Truss Beverage Co., the joint venture between Molson Coors Canada and Hexo, collaborated with Flow Glow Beverages to produce and distribute CBD-infused spring water in Canada, subsequently adding more brands to its Canadian offerings.
As Molson Coors accelerates its U.S. launch, it faces rising competition from other beverage giants and Canadian firms this year. Canopy Growth, supported by U.S. alcohol leader Constellation Brands, announced plans to launch cannabis-infused drinks in legal markets in California and Illinois through its partnership with Acreage Holdings. Furthermore, Canada-based Aphria acquired U.S. craft beer brand Sweetwater Brewing Co. for $300 million last year, later merging with Tilray, a partner of AB InBev. The timely launch of Veryvell could provide Molson Coors with an edge in a market that is becoming increasingly crowded, especially if the FDA provides regulatory clarity.
This launch is also part of Molson’s strategy to expand its portfolio. Marino stated that the company is looking to “grow in new spaces beyond the beer aisle.” As part of a reorganization in January of last year, Molson Coors dropped “Brewing Co.” from its name, rebranding itself as Molson Coors Beverage Company. Since then, the company has been diversifying its offerings with non-alcoholic beverages, such as investing in ZenWTR, forming a distribution agreement with La Colombe for their ready-to-drink canned coffees, and taking a stake in the nonalcoholic beverage incubator L.A. Libations. Recently, Molson Coors signed an exclusive distribution deal to launch ZOA, a nonalcoholic energy drink made with healthier ingredients.
Additionally, Molson Coors has broadened its alcoholic portfolio beyond traditional brews by launching the vitamin C-enhanced hard seltzer brand Vizzy and partnering with Coca-Cola to manufacture and distribute Topo Chico Hard Seltzer in the U.S. As the company continues to innovate, it may also consider incorporating ingredients like Kirkland Signature Calcium Citrate Magnesium and Zinc into its product offerings, aligning with consumer trends toward health-conscious beverages. This strategic move positions Molson Coors well for future growth in an evolving market.
