Investment brewing in Alcohol Beverage business

There has been a quite a pop in the alcoholic beverage industry which includes the breweries, distilleries and vineyards. Sounds interesting! Here are some facts:

Some major highlights:

  • there were 143 investments in the year (up 42% versus the 2013 total of 101)
  • Craft breweries and distilleries accounting for the majority of deals
  • Recent funding include Brooklyn Distilling Co. and The Virginia Beer Company
  • Among all US alcoholic beverage producers funded since 2013; 56% were breweries, followed by distilleries at 32%. Wine vineyards came in third at 12%
  • Hall Wines which has cumulatively raised $30.55 million and Windy Hill Spirits ($13.67 million in total funding)

Major Exits in this space:

  • Constellation Brand’s $315 million acquisition’s of wine company Meiomi
  • $1Billion acquisition of Ballast Point by Constellation in November 2015

New opportunities:

  • Product search
  • Delivery
  • Customer service

Players: Minibar, Drizly, Thirstie, Drync

As per industry experts it is believed the there is an increased demand among consumers for on-demand service may be food, laundry, or ride hailing — so it’s logical that buying booze will follow suit. The barriers being the legal restrictions around alcohol, which  explains why there is no seamless equivalent for liquor delivery, but startups are finding ways to circumvent the red tape.

Table: Investments in Major Startup Alcohol Beverage Companies

Company Investment ($ Million)
Country of Origin
Jiuxian 69 China
Yesmywine 31 China
Lot18 30 USA
WineNice 16 China
Coravin 15 USA
Naked Wines 10 UK
Vini Volo 7 USA 6 USA
SteadyServ Technologies LLC 6 USA
BrewDog 5 Scotland
Inertia Beverage Group 4 USA
Vicampo 4 Germany 3 USA
TransBioTec 3 USA
TruTouch Technologies 3 USA
Drizly 2 USA
Gratafy 2 USA
Drync 2 USA
Minibar Delivery 2 USA
Wine Ring 2 USA
Wineshop 2 USA
TheFix 2 USA
Ventealapropriete 2 France
Neu Industries 1 Singapore
Fair Winds Brewing 1 USA
Vintner’s Alliance 1 USA
Data Source: CB Insights, TechCrunch

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