Casamara Club These bottles look like beer but they're actually filled with sparkling, non-alcoholic amaro club sodas. As...
Problem
The non-alcoholic beverage industry is expanding but the clear choice is still missing
New non-alcoholic beverage brands launch every day, and the options are evolving as consumers seek healthier, more sophisticated offerings. Consumers are drinking less, and leading alcoholic beverage companies are taking the challenge seriously by expanding their portfolios with more non-alcoholic choices.
Despite the abundance of newcomers to the market, there hasn't been a simple yet sophisticated option that appeals to a wide range of different consumers and demographics until now.
Solution
TÖST was created for everyone to celebrate their moments, positively and inclusively
TÖST has created great tasting beverage experiences with simple ingredients that can be enjoyed by everyone, anytime, anywhere.
Our beverages are crafted to fill the immense space when a consumer is looking for something meaningful, yet is healthier with no alcohol. Regardless of why you're not drinking alcohol, we believe that you should have sophisticated and delicious non-alcoholic choices available.
TÖST is equally as satisfying as a casual refreshment as it is paired with fine dining. It goes beyond the celebratory occasion and reaches any occasion that deserves a substantive beverage that is all-natural, low-calorie, and alcohol-free.
Product
A non-alcoholic, dry, sparkling refresher perfect for celebrating every occasion, big or small
TÖST Beverages currently has two flavors, TÖST and TÖST ROSE; both are unique within their spectrum of tasting notes and carry our commitment to quality and experience.
Our beverages are carefully crafted using only the finest all-natural ingredients. We are successfully reaching a wide variety of consumers who are looking for something elegant yet accessible, healthy yet exciting, low in sugar but still very high in both flavor and sophistication.
Recently, Distill Ventures said that non-alcoholic beverages face three obstacles, “liquid excellence, education, and the drinking experience...” We have successfully addressed all three obstacles. Our beverages taste great, are easy to understand, and give an elevated customer experience that is memorable and refreshing.
Traction
Find us at Whole Foods, BevMo, Wegmans, Fresh Market, specialty grocers, top restaurants, and more
TÖST launched in 2017 and immediately flew off the shelves of boutique specialty stores on the east coast. In 2018, the company won a SOFI Award for the best new product in the cold beverage category. Two years later, we are proudly distributed across over 1,300 different accounts domestically with 18 distributors in 24 states. The non-alcoholic movement is not unique to the US - TÖST products are proudly sold in 7 countries with more on the way.
Our advantage lies within our diversified sales verticals which include not one, but four different established revenue streams:
In Retail Stores, where we have a 90%+ retention rate with our partners. Our key accounts include Whole Foods, BevMo, Wegmans, Fresh Market, Food 52, Balducci’s, King’s Market, Fairway, plus hundreds of independent single and multi-store customers.
Direct to Consumer, business is responsible for approximately 33% of our overall sales in the past 6 months. We continue to grow with strong brand loyalty and an average order value of close to $75 with over 20% of our customers ordering more than once which in turn creates an exciting lifetime value multiplier to every new transaction. And given that over 70% of our online customers are in fact new customers, we expect this multiplier to continue to create additional sales for the company in the future.
Hospitality, TÖST has quickly become a popular solution for top restaurants, caterers, and gift companies across the country. TÖST has been served at iconic locations such as The Biltmore, Lowell Hotel, the Walnut Room at Macy’s, and The Met, and included in over 150 different gift companies for clients such as Netflix, Disney, Porsche, Tiffany Co. and HBO, and many more.
Internationally, where TÖST is sold in seven different countries and is becoming recognized across the globe as a leading non-alcoholic option in Australia, Bahamas, Canada, Iceland, the Netherlands, and Korea, with Italy and Singapore expected to join in Q3 of 2021, plus ongoing interest from other countries.
TÖST’s success has been supported by earned media in some of the countries’ largest publications. We were mentioned by over fifty different Media Outlets in the last three years. Business Insider called us “elegant and celebratory”; Refinery 29 defined us as “sophisticated” and “crafted with foodies in mind”; and The New York Times, said, “Tost is the ideal bubbly when you want a delicious drink minus the alcohol”.
Customers
Thoughtful, healthy, wellness-minded individuals looking to celebrate their best moments
TÖST appeals to a wide range of different individuals who want to celebrate their life with positive and meaningful moments. Our customers are brand advocates for our beverages; in local retail stores, online reviews, and social media.
Our customers and our growth are fueled by advocates that want versatile, delicious, and luxurious alternatives to traditional alcoholic beverages. We successfully cross over different demographics as a result because TÖST appeals to anyone, any age, anywhere, that is looking for a meaningful and positive experience.
Business model
On track to reach $9M in revenue by 2022
TÖST has seen massive growth for both of our beverages across our four sales verticals. Our revenue was over $1M in the past ten months and Q1 of 2021 is 4x over the same period last year. The company is projecting $9M next year and a $20M run rate in the next 36 months.
We have created a foundation for success with strong operations, diversified sales, and a great user experience.
In 2021, we will deploy sales teams to increase market share in strategic markets supported by experiential, influencer, trade, and promotional marketing programs.
To date, our growth has been largely organic, with limited spend in sales and marketing across all verticals. The company is now ready to use additional capital investments to dramatically ramp up exposure and engagement while maintaining cash reserves for inventory and operations to support growth.
Market
Alcohol-alternative beverage market expected to exceed $29B by 2026
TÖST is arriving on the market during a seismic shift within consumer preferences.
The global non-alcoholic ABV beverage market has grown 500% in the past five years while the global non-alcoholic beer and wine market alone is expected to grow from $20B in 2018 to $30B by 2030.
This explosive growth is amplified by trends in health and wellness and the increased demand for new choices. People want to celebrate with an elevated drinking experience without having to suffer from the poor nutritional qualities attributed to alcohol. Over 30% of Americans don’t drink alcohol and over 50% want to reduce their alcohol intake.
Competition
TÖST occupies its own space in the beverage market
TÖST has significant competitive advantages by being a first-to-market product occupying a niche of its own making. Our advantage in the marketplace includes our sophisticated taste, branding (designed to impart the same luxurious and celebratory qualities of sparkling alcoholic beverages), our lower calorie and carb count, gluten-free, our kosher verification, and our low capital expenditure business model.
Vision and strategy
TÖST is rapidly becoming a leading non-alcoholic beverage in the U.S. and across the globe
TÖST has a simple vision that aligns with our product, customer, and investors alike; we are building a legacy brand by delivering memorable experiences. We believe this includes delivering a meaningful ROI to our current and future investors.
TÖST has proven it has national and global appeal, at a unique time in the early history of non-alcoholic beverages. We want to capitalize on our opportunity to build lasting brand equity while continuing to add market share within the beverage industry.
The company celebrates inclusivity with our products and this same respect is given to every touchpoint at the company; investors, employees, and vendors included.
Funding
Raised $900K in equity to date
TÖST raised $900K to fund the company to date and has over $1M in sales in the last ten months. Our Q1 year-over-year revenue was 4.1x, and we see this continuing throughout 2021 and beyond.
This investment from this offering will help us build a large, impactful, and profitable company with long-lasting value. We plan to use these funds for various sales and operational purposes.
Founders
Brooks Addington | CEO
- Entrepreneur & investor with 25 years of experience in global businesses
- Proven track record of building and operating businesses from the ground up
- Deep CPG investment and start-up experience
Mark Hyatt | CMO
- Created integrated campaigns for some of the world's largest beverage brands
- Founded creative agency that worked with Fortune 100 companies on multiple platforms
- MBA from a joint program at Columbia University and Haas School of Business at Berkeley
Letter from the CEO
As Mark and I have been building TÖST, it’s important for us to recognize the dozens of people that have made it all happen. Great brands and businesses succeed because of the many, not the few. TÖST has built a network of strategic partners from, our design teams, to product R&D, packaging specialists, advisors, marketing groups, distribution partners, service providers, and more. Together with a common belief in the quality of the product, the strength of the brand, and the enormous size of opportunity TÖST has become a recognized leader in this new and rapidly growing N/A space.
Thank you!
Brooks Addington