If you live in the US or Canada, the odds are high that you know Coors. It’s one of the largest brewing and distribution companies in the world and has a wide reach in the US. Coors is primarily known for alcoholic beverages such as Coors, Blue Moon, and Caffrey’s Irish Ale. But this could soon change. Coors has decided to enter the CBD market.
Coors announced that they had decided to partner with Colorado’s Best Drinks and DRAM Apothecary in their maiden voyage into the CBD market. This is one of the most significant developments in the world of CBD, and we are here to break down what it means for the future of CBD.
A Little About Coors
When most people think about Coors, they think about the beers, but there’s a lot more to the company than just beer.
Jacob Schueler and Adolph Coors established the company in 1873 when they moved to the US. Coors started as a small operation with only one brewery, but through a series of shrewd decisions, it morphed into the global behemoth.
In 2005, Coors merged with Molson, a Canadian Brewing company, to create the Molson Coors Brewing Company. After the merger, the company gained a wider reach and deeper pockets.
Why Are They Interested in the CBD Market?
Executives from several industries have expressed an interest in CBD because it looks like it might be the next big thing. Some investors are comparing the CBD market to the gold rush. Experts believe that by 2024, the CBD industry will be valued at more than $24 billion.
With this in mind, it’s easy to see why Coors is interested in the CBD market. They want a piece of the pie before too many people to come to the table. In a statement, a Coors executive acknowledged that there was a big demand for CBD- infused beverages. According to Jennifer DeGraff, the executive, the demand is greatest among people who do not drink alcohol.
Her full statement reads as follows:
“We are very excited to add Colorado’s Best Drinks and DRAM to our portfolio, giving us the ability to offer amazing CBD hemp products to retailers and consumers in the Denver Metro area. We see a big demand for high quality and unique products in the non-alcoholic space, and we think Colorado’s Best Drinks and DRAM are the perfect solution to fill that consumer demand.”Jennifer DeGraff
The partnership between Coors and these companies will primarily be a distribution partnership. But this is just the tip of the iceberg. According to recent reports, Coors will start producing CBD-infused beverages in partnership with Hexo Corp.
These investments make It clear that Coors is positioning itself to be one of the leading companies in the CBD market. But what does this mean for the CBD industry? What does this mean for the companies involved?
Before we can answer these questions, we need to learn a little about the other companies involved in this deal.
Colorado’s Best Drink
Colorado’s Best Drink is one of the leading companies in the production of CBD-infused beverages. They have a line of sparkling soda that is infused with broad-spectrum CBD. They chose to use broad-spectrum CBD to avoid any issues over the legality of THC.
Their sodas are available in 5 flavors: cola, lemonade, ginger ale, black cherry, and root beer.
DRAM Apothecary is a company focused on delivering the best CBD-infused beverages to their clients. Some of their best selling products include CBD-infused sparkling water and CBD drops.
What is the relationship between Coors and these companies?
Coors has signed a distribution agreement with both companies. This means that Coors will be responsible for distributing their products in the wider Colorado area. Coors will take advantage of its wide reach to ensure that the companies’ products reach a wide a market as possible.
Hexo Corp is one of the leading cannabis companies in Canada. The company is listed on the NYSE, and it is poised to be one of the leaders in the industry. In its quest to become an industry leader, Hexo Corp partnered with Molson Coors. Through this partnership, the two companies established Truss Beverages Co.
Truss Beverages recently announced that they had partnered with Flow Glow Beverages Inc. Through this partnership, they will develop and distribute six cannabis beverages. One of these will be flavored CBD-infused spring water.
Check out “Most Recognized CBD Companies in the World” to see some of the most known CBD companies that are slowly getting involved around the world in medicinal CBD products.
What Does This Mean For the CBD Industry?
When Coors announced that they were joining the CBD industry, everyone got excited. Here’s why:
1. It gives legitimacy to the CBD industry
Despite all the hype surrounding CBD, some people are still skeptical. Among the skeptics, there’s a feeling that CBD is nothing more than just a flash in the pan. A one-hit wonder whose popularity will fizzle out as soon as the next big thing comes out.
These fears are completely justified. In the past, there have been many products that promised the world but were unable to deliver. However, CBD is not one of these products. Researchers have extensively studied CBD, and the consensus is that it is suitable for human consumption.
Companies such as Coors rarely make such a significant decision without looking at all the facts. And the fact that they have endorsed CBD and the greater hemp industry means that they see the potential of the industry.
Moose Koons, one of the founders of Colorado’s Best Drink, said it best:
“We are excited about what this does for the legitimacy of the hemp industry. We believe in the power of hemp and know that an endorsement from a great company like Coors Distributing Company will help bring the highest quality hemp beverages to more customers.”
Check out our piece on “8 Best CBD Oils You Can Find On The Market (2019)” to see some options on buying your CBD oil.
2. More people will be able to access CBD
The odds are high that if you are reading this article, you have used CBD before. And for people in the CBD community, it is easy to overestimate the popularity of CBD.
At the moment, CBD is still a niche product trying to break out into the mainstream. Most people don’t even know what CBD stands for.
But with Coors joining the CBD market, this is bound to change. Coors has a wide reach, and the expectation is that Coors will use this wide reach to increase the accessibility of CBD. You might soon be getting CBD infused beverages at your local watering hole.
3. The political ramifications
Politics has a way of creeping into everything despite our best efforts. And this case is no different. Business and politics go hand in hand, and Coors isn’t the exception to this rule. When Coors decided to enter the CBD market, everyone began speculating about the potential political ramifications.
To understand the political ramifications of Coors’ decision, we need to understand the relationship between Coors and politics.
Need to know more info on the process of taking CBD oil in its many forms? Check out “CBD Dosage for Beginners (Science-Backed Facts)” to see our full guide to the dosage in taking CBD.
Coors and Politics
The Coors family is easily one of the most influential families in the US. They have a long history and a lot of money, two things that can attract any politician. Since the 1970s, the family has been strong supporters of conservative causes. Thus they have been closely allied with the Republican Party.
According to Open Secret, from 1990 to 2019, the Coors family has donated more to the Republican Party than to the Democrats. Apart from donating money to the Republican Party, several members of the family are prominent Republicans.
Pete Coors, former chairman of Coors, ran unsuccessfully for a Colorado Senate seat on a Republican ticket. Since he retired from his position in the company, Pete Coors has been active in the Republican Party. His influence is mainly felt when it comes to fundraising.
Pete Coors has donated to Colorado Senator Cory Gardner and former New Jersey Governor Chris Christie. In 2016, Rollcall reported that Pete Coors was one of President Trump’s major donors.
What Does All This Have to do With CBD?
Almost every politician supported by the Coors family has been a proponent of legalizing marijuana. If marijuana is legalized at the federal level, it will open up more avenues for the CBD industry.
Cory Gardner, in particular, has done a lot to improve the legal status of hemp. In April 2019, Gardner, alongside lawmakers from both parties introduced a bill to streamline federal and state legislation around marijuana. The bill attracted a lot of attention from both lawmakers and executives in the cannabis industry. The bill even drew the attention of President Trump, who said that he would probably end up supporting the bill.
Furthermore, Cory Gardner was a major supporter of the Farm Bill. His support went a long way in boosting Colorado’s industrial hemp pilot program. Because of the program, Colorado’s hemp production increased almost six-fold from 2014 to 2018. Apart from increasing hemp production, the bill has increased employment opportunities in Colorado.
Cory Gardner has indicated that he is willing to go even further to support the cannabis and CBD industries. With this in mind, it is clear that Cory Gardner will continue to be a darling of these industries, and Pete Coors in particular.
As CBD continues to become popular, more companies are bound to invest in the product. Coors has decided to lead the charge, and we have to wait and see who follows their lead.
Thank you for reading with us today! Make sure you check out more news from the CBD world by checking out “(NEWS) What Does Impeachment Mean For The CBD Industry?“.