Innovation Beverage Group Through Sysco, the Global Leader in Foodservice Distribution, Announces Australian Bitters Now Available Nationwide in the U.S.

Rhea-AI Summary

Innovation Beverage Group (IBG) has announced that its award-winning Australian Bitters is now available nationwide in the United States through Sysco, the global leader in foodservice distribution. This marks IBG's expansion into the foodservice category beyond traditional alcohol distributors. Australian Bitters is the first bitters product to be sold by Sysco and can be purchased through Sysco.com, SyscoMarketplace.com, and SuppliesontheFly.com.

The U.S. is the largest bitters market by volume, accounting for 40% of the $11 billion global bitters market, which is expected to grow to $14 billion by 2030. IBG's CEO, Dean Huge, expressed excitement about expanding the availability of their product in the world's largest market through the largest food distributor.

Positive

• Expansion of sales channels for Australian Bitters in the U.S. through Sysco
• First bitters product to be sold by Sysco, a global leader in foodservice distribution
• Entry into the largest bitters market (U.S.) by volume
• Potential for growth in the expanding global bitters market
• Australian Bitters won Gold Medal at the Los Angeles Spirits Awards

Negative

• None.

Insights

Market Research Analyst

The partnership between Innovation Beverage Group (IBG) and Sysco marks a significant expansion in distribution channels for Australian Bitters in the U.S. This move is strategically important for several reasons:

• It diversifies IBG's sales channels beyond traditional alcohol distributors into the foodservice category.
• Sysco's extensive network of 340 distribution facilities and 730,000 customer locations provides massive exposure for Australian Bitters.
• The U.S. is the largest bitters market globally, accounting for 40% of the volume, making this expansion important for IBG's growth.

The global bitters market, valued at $11 billion, is expected to reach $14 billion by 2030. IBG's positioning in this growing market, coupled with their award-winning product and now expanded distribution, could lead to significant revenue opportunities. However, investors should note that while this partnership enhances IBG's market presence, the impact on financials may take time to materialize.

Financial Analyst

This distribution agreement with Sysco is a positive development for IBG, potentially driving revenue growth and market share expansion. Key financial implications include:

• Increased sales potential through access to Sysco's vast customer base, which could significantly boost IBG's top-line growth.
• Improved market penetration in the U.S., the largest bitters market globally, which may lead to economies of scale and potentially higher profit margins.
• Diversification of revenue streams by entering the foodservice category, reducing dependence on traditional alcohol distribution channels.

However, investors should consider that while this partnership offers growth opportunities, it may also involve increased costs related to production scaling and logistics. The impact on IBG's profitability will depend on the terms of the agreement with Sysco and the company's ability to manage increased demand efficiently. Given IBG's relatively small market cap of $15,096,586, this deal could have a material impact on the company's financial performance in the medium to long term.

• IBG's award-winning Australian Bitters, the first bitters to be sold by Sysco, is now available through Sysco.com, SyscoMarketplace.com, and SuppliesontheFly.com

• Marks expansion of IBG's sales channels for Australian Bitters in the U.S. beyond traditional alcohol distributors and into the foodservice category

• U.S. is the largest bitters market by volume in the $11 billion global bitters market which is expected to grow to $14 billion by 2030

SEVEN HILLS, AUSTRALIA / ACCESSWIRE / October 8, 2024 / Innovation Beverage Group Ltd, ("IBG" or the "Company") (Nasdaq:IBG), an innovative developer, manufacturer, and marketer of a growing beverage portfolio of 60 formulations across 13 alcoholic and non-alcoholic brands, announced today that through its U.S. distributor, Buettner Global Services, a provider of high performance sourcing, procurement, and supply chain management, IBG's Australian Bitters is now available nationwide in the United States through Sysco.

Sysco, the global leader in foodservice distribution, sells, markets, and distributes food products to restaurants, healthcare and educational facilities, lodging establishments, and other customers who prepare meals away from home. The company operates 340 distribution facilities worldwide and serves approximately 730,000 customer locations.

IBG's flagship product, Australian Bitters, is hand crafted in small batches in Australia from the finest natural botanical herbs and spices. Australian Bitters won the Gold Medal at the Los Angeles Spirts Awards and is available in every major U.S. city.

Accounting for 40% of the global bitters market by volume, the U.S. is the most valuable bitters market in the world, with Australia being second, representing 13% of the global market by volume.

"We are very excited to expand availability of our award-winning Australian Bitters brand to the world's largest market, and with the largest food distributor. With a shared commitment to quality and customer satisfaction, Sysco, brings extensive industry experience and a robust distribution network. Together, we aim to make Australian Bitters more accessible to restaurants, bars, and consumers across the United States," commented IBG's Chief Executive Officer, Dean Huge.

About Innovation Beverage Group

Innovation Beverage Group is a developer, manufacturer, marketer, exporter, and retailer of a growing beverage portfolio of 60 formulations across 13 alcoholic and non-alcoholic brands for which it owns exclusive manufacturing rights. Focused on premium and super premium brands and market categories where it can disrupt age old brands, IBG's brands include Australian Bitters, Bitter Tales, Drummerboy Spirits, Twisted Shaker, and more. IBG's most successful brand to date is Australian Bitters, which disrupted a 200-year-old market leader, giving the Company a market dominating position in several territories including a partnership in Australia with Coca-Cola Europacific Partners. Established in 2018, IBG's headquarters, distillery, innovation, and manufacturing facility are located in Sydney, Australia with a U.S. sales office is located in New Jersey. For more information visit: https://www.innovationbev.com/

Forward Looking Statement

This press release contains "forward-looking statements" and "forward-looking information." This information and these statements, which can be identified by the fact that they do not relate strictly to historical or current facts, are made as of the date of this press release or as of the date of the effective date of information described in this press release, as applicable.

The forward-looking statements herein relate to predictions, expectations, beliefs, plans, projections, objectives, assumptions, or future events or performance (often, but not always, using words or phrases such as "expects," "anticipates," "plans," "projects," "estimates," "envisages," "assumes," "intends," "strategy," "goals," "objectives" or variations thereof or stating that certain action events or results "may," "can," "could," "would," "might," or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions) and include, without limitation, statements with respect to projected financial targets that the Company is looking to achieve.

All forward-looking statements are based on current beliefs as well as various assumptions made by and information currently available to the Company's management team. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that estimates, forecasts, projections, and other forward-looking statements will not be achieved or that assumptions do not reflect future experience. We caution any person reviewing this press release not to place undue reliance on these forward-looking statements as several important factors could cause the actual outcomes to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates, assumptions, and intentions expressed in such forward-looking statements. These risk factors may be generally stated as the risk that the assumptions and estimates expressed above do not occur.

The Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by Company or on behalf of the Company except as may be required by law.

Contact:

TraDigital IR
John McNamara
917-658-2602
John@tradigitalir.com

Contact Information

John McNamara
Investor Relations
john@tradigitalir.com
917-658-2602

SOURCE: Innovation Beverage Group

View the original press release on accesswire.com

FAQ

What is the significance of IBG's Australian Bitters being available through Sysco?

IBG's Australian Bitters being available through Sysco marks the expansion of IBG's sales channels in the U.S. beyond traditional alcohol distributors and into the foodservice category. It's the first bitters product to be sold by Sysco, providing access to a vast distribution network and potentially increasing market reach.

How large is the global bitters market and what is IBG's (Nasdaq:IBG) potential in it?

The global bitters market is currently valued at $11 billion and is expected to grow to $14 billion by 2030. IBG's Australian Bitters is now available in the U.S., which accounts for 40% of the global bitters market by volume, positioning IBG for potential growth in this expanding market.

What awards has IBG's Australian Bitters won?

IBG's Australian Bitters has won the Gold Medal at the Los Angeles Spirits Awards, demonstrating its quality and recognition in the industry.

How many formulations and brands does Innovation Beverage Group (Nasdaq:IBG) have in its portfolio?

Innovation Beverage Group has a growing beverage portfolio of 60 formulations across 13 alcoholic and non-alcoholic brands.