National Beverage Corp | research notes

National Beverage Corp: A Pioneer in the Beverage Industry

National Beverage Corp is a leading American multinational beverage company headquartered in Fort Lauderdale, Florida. Founded in 1985, the company has grown into a global powerhouse, known for its popular brands and innovative products.

Core Brands

National Beverage Corp's success is driven by its strong portfolio of core brands, including:

• Faygo: A popular regional soda brand with a wide variety of flavors, including Red Pop and Moon Mist.
• LaCroix: A leading brand of sparkling water, offering various flavors with no added calories, sweeteners, or artificial flavors.
• San Pellegrino: An iconic Italian sparkling mineral water brand known for its refreshing taste and premium packaging.
• Everfresh: A line of premium juices and juice drinks, including orange juice, grapefruit juice, and apple juice.

Innovative Products

National Beverage Corp is known for its commitment to innovation and the creation of unique products. Among its notable offerings are:

• Caffeine-Free Diet Shasta: A zero-calorie soda that provides the same taste as regular Shasta but without the caffeine.
• Twist-Off Fiji: A convenient twist-off bottle for Fiji water, making it easier to open and enjoy.
• Cranberry-Raspberry Everfresh Spritzer: A sparkling juice drink that combines the flavors of cranberry and raspberry.

Global Presence

National Beverage Corp has a strong presence in the United States and international markets. The company operates production facilities in multiple locations across the United States and distributes its products to over 100 countries worldwide.

Financial Performance

National Beverage Corp has consistently delivered strong financial performance. The company has reported steady growth in revenue and earnings over the past decade. In the fiscal year 2023, the company reported revenue of over $4 billion and net income of $1 billion.

Corporate Responsibility

National Beverage Corp is committed to corporate responsibility and sustainability. The company has implemented initiatives to reduce its environmental footprint, including reducing waste, conserving water, and promoting recycling.

Conclusion

National Beverage Corp is a leading beverage company with a strong portfolio of brands, a commitment to innovation, and a global presence. The company's success is a testament to its ability to meet the changing tastes and preferences of consumers worldwide. As National Beverage Corp continues to expand its offerings and explore new markets, it is well-positioned for continued growth and industry leadership.

Business Model of National Beverage Corp

National Beverage Corp is a publicly traded company (NYSE: FIZZ) known for manufacturing and distributing carbonated soft drinks, bottled water, and energy drinks. Its core business model revolves around:

• Product Development: National Beverage Corp invests heavily in research and development to create innovative and differentiated beverage products. They have a portfolio of over 50 brands, including LaCroix, Shasta, Faygo, and Rip It energy drinks.
• Manufacturing and Distribution: The company operates 18 manufacturing facilities across the United States, providing it with a robust production and distribution network. National Beverage Corp also utilizes a network of independent distributors to reach retailers and consumers.
• Brand Building: The company places a strong emphasis on brand building and marketing. It invests in advertising, promotions, and sponsorships to increase brand awareness and loyalty.

Advantages over Competitors

• Product Diversity: National Beverage Corp's extensive brand portfolio allows it to cater to a wide range of consumer preferences and market segments.
• Cost-Effective Manufacturing: By operating its own manufacturing facilities, the company has control over production costs and can optimize efficiency.
• Strong Distribution Network: The network of independent distributors provides National Beverage Corp with a broad reach and access to various retail channels.
• Innovation Focus: The company's commitment to product innovation gives it a competitive edge in a constantly evolving market.
• Brand Recognition: National Beverage Corp's core brands, such as LaCroix and Shasta, have established strong brand recognition, which helps drive demand and loyalty.
• Efficient Operations: The company's centralized production and distribution system allows it to achieve economies of scale and operational efficiency.

Additionally, National Beverage Corp has faced relatively low competition in its core market due to:

• Limited Product Overlap: The company's beverage portfolio largely complements rather than directly competes with those of major soft drink companies.
• Differentiated Niche: National Beverage Corp has successfully carved out a niche in the sparkling water and energy drink categories, where it has minimal overlap with traditional soda giants.

National Beverage Corp: Outlook

Company Overview

National Beverage Corp (FIZZ) is a leading producer and distributor of non-alcoholic beverages, including carbonated soft drinks, juices, energy drinks, and sparkling water. The company's flagship brands include LaCroix Sparkling Water, Powerade, and Shasta.

Industry Overview

The global beverage industry is highly competitive, with a wide range of players. The carbonated soft drink market is dominated by Coca-Cola and PepsiCo, while the energy drink market is led by Red Bull and Monster Beverage Corp. However, the sparkling water market is experiencing strong growth, with brands like LaCroix gaining popularity.

Market Position

National Beverage Corp is a strong player in the non-alcoholic beverage industry. The company has a significant market share in the sparkling water category and is growing its presence in other segments. LaCroix is the best-selling sparkling water brand in the United States.

Financial Performance

National Beverage Corp has consistently reported strong financial performance. The company has grown its revenue and profits over the past several years. In fiscal 2022, the company reported net sales of $1.6 billion and net income of $284 million.

Growth Strategy

National Beverage Corp is focused on growing its business through organic growth and strategic acquisitions. The company is expanding its distribution network and introducing new products to appeal to a wider range of consumers.

Key Strengths

• Strong brand portfolio with LaCroix, Powerade, and Shasta
• Significant market share in the sparkling water category
• Innovative products and packaging
• Strong financial performance

Challenges

• Competition from large incumbents in the beverage industry
• Rising input costs due to supply chain disruptions
• Changing consumer preferences toward healthier alternatives

Outlook

The outlook for National Beverage Corp is positive. The company is well-positioned to benefit from the growing demand for sparkling water and energy drinks. The company's strong brand portfolio and financial performance provide a solid foundation for continued growth.

Risks

• Competition from larger rivals with more resources
• Economic downturn that could impact consumer spending
• Adverse weather conditions that could disrupt operations

Valuation

National Beverage Corp is trading at a premium valuation compared to its peers. The company's high growth prospects and strong financial performance justify its current valuation.

Recommendation

Based on the company's strong growth potential and favorable industry outlook, National Beverage Corp is a buy for investors seeking exposure to the non-alcoholic beverage market.

Companies Similar to National Beverage Corp:

1. Keurig Dr Pepper

• Homepage: https://www.keurigdrpepper.com/
• Reason to like: A leading beverage company offering a wide range of coffee, tea, soda, and water brands, including Keurig, Dr Pepper, Snapple, and Bai. Customers appreciate their convenient single-serve coffee systems and diverse portfolio of refreshing beverages.

2. Coca-Cola

• Homepage: https://www.coca-colacompany.com/
• Reason to like: The iconic global beverage giant known for its classic Coca-Cola, along with a vast array of other popular brands like Sprite, Fanta, and Minute Maid. Customers love their timeless flavors and global presence.

3. PepsiCo

• Homepage: https://www.pepsico.com/
• Reason to like: A multinational food and beverage company offering a wide range of soft drinks, snacks, and health foods under brands like Pepsi, Mountain Dew, Lay's, and Quaker Oats. Customers enjoy their iconic beverages and tasty snacks.

4. Monster Beverage

• Homepage: https://www.monsterenergy.com/
• Reason to like: A leading producer of energy drinks, known for its popular Monster Energy brand. Customers appreciate its high-caffeine and intense flavors, designed for intense activities and energy boosts.

5. Diageo

• Homepage: https://www.diageo.com/en/
• Reason to like: A global spirits and beer company with a vast portfolio of premium brands, including Johnnie Walker, Smirnoff, Guinness, and Tanqueray. Customers value their quality spirits and renowned brands for special occasions and celebrations.

Origins and Early History

• 1985: Founded by David Schamis as a distributor of soft drinks and juices.
• 1988: Acquired Shasta Beverages, gaining its distribution network and popular soda brand.
• 1992: Launched Faygo, a regional soda brand in the Midwest and Northeast.
• 1995: Acquired Big Red, another popular regional soda brand from Texas.

Expansion and Diversification

• 1997: Went public with an initial public offering (IPO).
• 1998: Acquired LaCroix, a sparkling water brand known for its natural flavors.
• 2000: Launched Propel, a sports drink brand.
• 2005: Acquired Nantucket Nectars, a premium juice brand.
• 2008: Launched Shasta Energy, an energy drink brand.

Continued Growth and Innovation

• 2010: Acquired Rip It Energy, another energy drink brand.
• 2012: Launched Vess soda, a new sparkling beverage with real fruit juice.
• 2014: Acquired Hansen's Natural, a juice and soda brand known for its natural ingredients.
• 2018: Introduced Zevia, a line of naturally sweetened carbonated beverages.
• 2021: Launched Everfresh, a line of sparkling juices with real fruit and vegetable extracts.

Current Position

Today, National Beverage Corp is one of the largest privately held beverage companies in the United States. It has a portfolio of over 30 brands, including LaCroix, Propel, Shasta, Faygo, Big Red, and Hansen's Natural. The company is headquartered in Fort Lauderdale, Florida, and its products are distributed nationwide.

Key Highlights

• Known for its innovative and unique beverage offerings, including carbonated waters, sports drinks, energy drinks, and juices.
• Strong brand recognition and loyal customer base.
• Experienced management team led by founder David Schamis.
• Focus on quality, natural ingredients, and health-conscious consumers.

Last Three Years

• 2020:
  • Launched new flavor extensions for LaCroix
  • Expanded distribution of MegaMonster energy drink
  • Announced partnership with Amazon to sell products on its platform
• 2021:
  • Acquired Shasta Beverages, Inc.
  • Launched new line of canned sparkling water under the Shasta brand
  • Increased production capacity for LaCroix and MegaMonster
• 2022:
  • Announced price increases for LaCroix and other brands
  • Expanded distribution of LaCroix to new international markets
  • Introduced new flavors and packaging for Reign Total Body Fuel energy drink

Recent Timelines

• April 2023: Announced plans to build a new manufacturing facility in Arkansas
• May 2023: Launched new line of flavored sparkling water under the Sparkling Ice brand
• June 2023: Reported strong financial results for the first quarter of 2023

Exceptional Workplace, Thriving Company: A Review of National Beverage Corp

As an employee of National Beverage Corp, I am honored to provide an enthusiastic review of this extraordinary workplace. The company has consistently exceeded my expectations in every aspect, creating an environment that fosters both personal and professional growth.

Workplace Culture

National Beverage Corp prioritizes its employees' well-being and fosters a positive and inclusive culture. From the welcoming atmosphere to the collaborative and supportive team, I feel valued and motivated every day. The company's commitment to work-life balance allows me to thrive in both my career and personal life.

Professional Development

The company provides ample opportunities for employees to develop their skills and advance their careers. I have benefited from comprehensive training programs, mentorship opportunities, and access to industry-leading resources. The company's investment in my professional growth has been invaluable.

Leadership

The leadership team at National Beverage Corp is exceptional. They possess a clear vision, communicate effectively, and provide ongoing support and guidance. Their commitment to integrity and innovation inspires me to strive for excellence in everything I do.

Financial Performance

National Beverage Corp has consistently delivered impressive financial results, demonstrating its strong foundation and growth potential. The company's focus on brand building and innovation has led to sustained profitability and market leadership. As an employee, I am proud to be part of a team that is driving such remarkable success.

Corporate Responsibility

The company is deeply committed to corporate responsibility and sustainability. National Beverage Corp actively supports local communities, invests in environmental initiatives, and strives to minimize its environmental footprint. I am grateful to work for an organization that values social impact as much as financial gain.

Summary

National Beverage Corp is an extraordinary workplace that empowers its employees, fosters innovation, and delivers exceptional financial results. The positive and inclusive culture, professional development opportunities, exceptional leadership, and commitment to corporate responsibility make it a company that I am proud to be a part of. I highly recommend National Beverage Corp as a workplace that values and cultivates its employees' potential.

Unleash Your Beverage Delights: Explore National Beverage Corp's Enchanting World of Flavors

Are you thirsty for a world of exceptional beverages that tantalize your taste buds and quench your thirst? Look no further than National Beverage Corp, the mastermind behind some of the most iconic and beloved drinks in the world.

A History of Innovation and Excellence

National Beverage Corp has been a beacon of beverage innovation for over 30 years. Their unwavering commitment to quality and customer satisfaction has earned them a prestigious position as one of the leading beverage companies in the industry.

Flavors That Ignite Your Senses

Step into the realm of National Beverage Corp's website and discover a symphony of flavors that will ignite your senses. From the timeless effervescence of Shasta to the tropical bliss of Hawaiian Punch, there's a beverage for every palate and occasion.

Unforgettable Brand Experiences

Beyond their exceptional products, National Beverage Corp offers unforgettable brand experiences. Their website is a treasure trove of interactive games, delightful recipes, and captivating storytelling that will transport you to a vibrant world of pure beverage enjoyment.

Limited-Edition Delights

National Beverage Corp is renowned for its innovative limited-edition releases that create a buzz among beverage enthusiasts. Whether it's a refreshing summer lemonade or a festive holiday brew, their exclusive flavors are sure to tantalize your taste buds and become instant favorites.

Shop with Confidence

Ordering from National Beverage Corp's website is a seamless and secure experience. With their dedicated customer support team and a wide range of payment options, you can rest assured that your beverage needs will be met effortlessly.

Join the Beverage Revolution

Don't miss out on the unparalleled beverage experience that National Beverage Corp has to offer. Visit their website today at [Website Link Provided] and embark on a flavor-filled adventure that will forever change the way you quench your thirst.

National Beverage Corporation Main Suppliers (Upstream Service Providers)

1. Owens-Illinois

• Website: https://www.o-i.com/
• Services: Provides glass bottles and packaging solutions.
• Relationship: Owens-Illinois is the primary supplier of glass bottles for National Beverage's carbonated soft drink products, including LaCroix and Faygo.

2. Ball Corporation

• Website: https://www.ball.com/
• Services: Provides metal cans and packaging solutions.
• Relationship: Ball Corporation is a major supplier of aluminum cans for National Beverage's sparkling and still water products, including Polar Spring and Zephyrhills.

3. Crown Holdings

• Website: https://www.crowncork.com/
• Services: Provides metal closures and packaging solutions.
• Relationship: Crown Holdings supplies metal closures for National Beverage's bottles and aluminum cans.

4. Graham Packaging

• Website: https://www.grahampackaging.com/
• Services: Provides plastic containers and closures.
• Relationship: Graham Packaging is a major supplier of plastic bottles and closures for National Beverage's juice and smoothie products, such as C2O and Bolthouse Farms.

5. DS Smith

• Website: https://www.dssmith.com/
• Services: Provides corrugated cardboard packaging solutions.
• Relationship: DS Smith is a key supplier of corrugated cardboard boxes used for the packaging and shipping of National Beverage's products.

6. TricorBraun

• Website: https://www.tricorbraun.com/
• Services: Provides a wide range of packaging solutions, including plastic, glass, and metal containers.
• Relationship: TricorBraun is a supplier of specialized packaging components, such as custom closures and spouts, used in National Beverage's products.

7. Sun Chemical Corporation

• Website: https://www.sunchemical.com/
• Services: Provides printing inks and coatings.
• Relationship: Sun Chemical Corporation supplies printing inks and coatings used on National Beverage's packaging materials.

8. The Coca-Cola Company

• Website: https://www.coca-colacompany.com/
• Services: Provides raw materials and ingredients for National Beverage's products.
• Relationship: National Beverage has a long-standing agreement with The Coca-Cola Company to source certain raw materials and ingredients, including high-fructose corn syrup and caffeine.

Main Customers (Downstream Companies) of National Beverage Corp:

1. PepsiCo (www.pepsico.com)

• PepsiCo is a multinational food, snack, and beverage company that is a major customer of National Beverage Corp.
• National Beverage Corp. supplies PepsiCo with flavored and enhanced water products, including Propel, Vitaminwater, and LaCroix.

2. Walmart (www.walmart.com)

• Walmart is the world's largest retailer and is a significant customer of National Beverage Corp.
• National Beverage Corp. distributes its products to Walmart stores throughout the United States.

3. Keurig Dr Pepper (www.keurigdrpepper.com)

• Keurig Dr Pepper is a leading beverage company that is a major customer of National Beverage Corp.
• National Beverage Corp. supplies Keurig Dr Pepper with sparkling water products, including LaCroix.

4. Target (www.target.com)

• Target is a major American retailer that is a customer of National Beverage Corp.
• National Beverage Corp. distributes its products to Target stores throughout the United States.

5. Kroger (www.kroger.com)

• Kroger is one of the largest supermarket chains in the United States and is a customer of National Beverage Corp.
• National Beverage Corp. distributes its products to Kroger stores throughout the United States.

6. Amazon (www.amazon.com)

• Amazon is the world's largest online retailer and is a growing customer of National Beverage Corp.
• National Beverage Corp. sells its products on Amazon's website.

7. Costco (www.costco.com)

• Costco is a leading warehouse club chain that is a customer of National Beverage Corp.
• National Beverage Corp. distributes its products to Costco stores throughout the United States.

8. Sam's Club (www.samsclub.com)

• Sam's Club is a warehouse club chain owned by Walmart that is a customer of National Beverage Corp.
• National Beverage Corp. distributes its products to Sam's Club stores throughout the United States.

9. BJ's Wholesale Club (www.bjs.com)

• BJ's Wholesale Club is a warehouse club chain that is a customer of National Beverage Corp.
• National Beverage Corp. distributes its products to BJ's Wholesale Club stores throughout the United States.

10. Whole Foods Market (www.wholefoodsmarket.com)

• Whole Foods Market is a natural and organic grocery store chain that is a customer of National Beverage Corp.
• National Beverage Corp. distributes its products to Whole Foods Market stores throughout the United States.

National Beverage Corp is a publicly-traded company (NASDAQ: FIZZ) engaged in the manufacture, sale, and distribution of non-alcoholic beverages in the United States and internationally. Founded in 1985 and headquartered in Fort Lauderdale, Florida, the company boasts a diverse portfolio of brands, including:

• LaCroix: A premium sparkling water brand offered in various flavors. It is one of the top-selling sparkling water brands in the US and has been a significant revenue driver for the company. Estimated annual revenue: $1.2 billion
• Faygo: A regional favorite brand of flavored sodas, particularly popular in the Midwest and Northeast. Estimated annual revenue: $350 million
• Jones Soda: A craft soda brand known for its quirky and creative flavors. It targets a niche market of soda enthusiasts and is available in limited-edition runs. Estimated annual revenue: $100 million
• Virtuous: A line of energy drinks marketed as healthier alternatives to traditional energy drinks. Estimated annual revenue: $40 million
• Rip It: An energy drink brand known for its high caffeine content and bright packaging. Estimated annual revenue: $30 million
• Everfresh: A line of juices and juice drinks marketed towards health-conscious consumers. Estimated annual revenue: $25 million

In addition to its core beverage brands, National Beverage Corp also generates revenue from:

• Distribution and Logistics: The company has its own distribution network and provides logistics services for its products, generating revenue from third-party distribution. Estimated annual revenue: $100 million
• Licensing: The company licenses its brands for use on merchandise and other products, providing an additional revenue stream. Estimated annual revenue: $10 million

National Beverage Corp's total annual revenue in 2022 was approximately $2 billion, with LaCroix being the primary contributor. The company has a strong brand portfolio, a well-established distribution network, and a loyal customer base. It continues to innovate and expand its product offerings to meet the evolving needs of consumers.

Key Partners of National Beverage Corp

1. The Coca-Cola Company

• Website: https://www.coca-colacompany.com/

• Nature of Partnership: National Beverage Corp is a Coca-Cola bottler and has distribution agreements for Coca-Cola products in certain regions.

2. PepsiCo, Inc.

• Website: https://www.pepsico.com/

• Nature of Partnership: National Beverage Corp also bottles and distributes PepsiCo products in select markets.

3. Keurig Dr Pepper

• Website: https://www.keurigdrpepper.com/

• Nature of Partnership: National Beverage Corp has a long-term distribution agreement with Keurig Dr Pepper, which includes the distribution of K-Cups and other beverage products.

4. Whole Foods Market

• Website: https://www.wholefoodsmarket.com/

• Nature of Partnership: National Beverage Corp supplies its products, including LaCroix and Faygo, to Whole Foods Market stores.

5. Walmart

• Website: https://www.walmart.com/

• Nature of Partnership: National Beverage Corp distributes its products to Walmart stores across the United States.

6. Amazon.com

• Website: https://www.amazon.com/

• Nature of Partnership: National Beverage Corp sells its products through Amazon's online marketplace.

7. Costco Wholesale

• Website: https://www.costco.com/

• Nature of Partnership: National Beverage Corp distributes its products to Costco stores in bulk packages.

8. Target Corporation

• Website: https://www.target.com/

• Nature of Partnership: National Beverage Corp supplies its products to Target stores nationwide.

9. Kroger

• Website: https://www.kroger.com/

• Nature of Partnership: National Beverage Corp distributes its products to Kroger stores in the United States.

10. SpartanNash

• Website: https://www.spartannash.com/

• Nature of Partnership: National Beverage Corp distributes its products to SpartanNash stores in the Midwest and South.

Key Cost Structure of National Beverage Corp

National Beverage Corp. (FIZZ) is a leading manufacturer and distributor of non-alcoholic beverages, primarily in the United States. The company's key cost structure components include:

1. Raw Materials:

• Approximately 30% of total costs
• Includes ingredients such as water, sugar, flavorings, and sweeteners
• Subject to fluctuations in commodity prices

Estimated Annual Cost: $1.02 billion

2. Manufacturing:

• Approximately 25% of total costs
• Includes costs associated with production facilities, equipment, and labor
• Affected by production volume and efficiency

Estimated Annual Cost: $852 million

3. Packaging:

• Approximately 20% of total costs
• Includes costs of bottles, cans, caps, and labels
• Impacted by packaging materials and design

Estimated Annual Cost: $680 million

4. Distribution:

• Approximately 15% of total costs
• Includes costs of transportation, warehousing, and logistics
• Dependent on distance to distribution centers and customer base

Estimated Annual Cost: $510 million

5. Marketing and Advertising:

• Approximately 10% of total costs
• Includes expenses for brand promotion, advertising campaigns, and market research
• Essential for maintaining brand recognition and demand

Estimated Annual Cost: $340 million

6. Selling, General, and Administrative (SG&A) Expenses:

• Approximately 5% of total costs
• Includes salaries, benefits, rent, and other corporate expenses
• Affected by company size and operational complexity

Estimated Annual Cost: $170 million

Total Estimated Annual Key Cost Structure: $3.57 billion

Other Considerations:

• National Beverage Corp. has a unique cost structure due to its focus on specialty beverages, such as LaCroix sparkling water and Rip It energy drinks.
• The company's high marketing and advertising expenses reflect its emphasis on brand building.
• Fluctuations in commodity prices, packaging materials, and distribution costs can impact the company's profitability.
• National Beverage Corp. has a strong distribution network, which helps reduce distribution costs.

Sales Channels

National Beverage Corp. distributes its beverages through a diverse range of channels, including:

• Supermarkets and grocery stores: These account for the majority of sales, with National Beverage Corp. products available in over 80% of U.S. grocery outlets.
• Mass merchandisers: National Beverage Corp. products are also sold in mass merchandisers such as Walmart, Target, and Costco.
• Convenience stores: National Beverage Corp. beverages are available in convenience stores across the country.
• Drug stores: National Beverage Corp. products are sold in drug store chains such as CVS and Walgreens.
• Vending machines: National Beverage Corp. beverages are available in vending machines in a variety of locations, including schools, businesses, and public places.
• Online retailers: National Beverage Corp. products can be purchased online from retailers such as Amazon.com and Walmart.com.
• Food service: National Beverage Corp. beverages are served in restaurants, cafeterias, and other food service establishments.

Estimated Annual Sales

National Beverage Corp. does not disclose its sales by channel, but the company's total annual sales for 2021 were $1.1 billion. Based on industry estimates, the breakdown of sales by channel is approximately as follows:

• Supermarkets and grocery stores: 60%
• Mass merchandisers: 20%
• Convenience stores: 10%
• Drug stores: 5%
• Vending machines: 3%
• Online retailers: 2%
• Food service: 1%

Customer Segments of National Beverage Corp and Estimated Annual Sales

1. Consumers

• Estimated Annual Sales: $2.5 billion
• Demographics: Individuals and households across the United States
• Needs: Refreshing and flavorful beverages for various occasions and preferences

2. Retailers

• Estimated Annual Sales: $1.5 billion
• Type: Grocery stores, convenience stores, mass merchandisers, drug stores
• Needs: Products that meet consumer demand and generate high sales margins

3. Foodservice Operators

• Estimated Annual Sales: $1 billion
• Type: Restaurants, fast-food chains, coffee shops
• Needs: Beverages that complement their menu offerings and drive customer satisfaction

4. Distributors

• Estimated Annual Sales: $500 million
• Type: Independent wholesalers, regional distributors
• Needs: Reliable supply of popular beverages to meet retailer and foodservice demand

5. Other

• Estimated Annual Sales: $250 million
• Type: Vending operators, schools, healthcare facilities
• Needs: Beverages that meet specific needs and preferences in non-traditional settings

Target Market Analysis

National Beverage Corp primarily focuses on the following target markets:

• Household Consumers: Consumers who seek delicious and convenient beverages for home consumption
• On-the-Go Consumers: Individuals who need portable and refreshing beverages while commuting, traveling, or engaging in outdoor activities
• Foodservice Establishments: Restaurants, cafes, and other establishments that offer beverages to their customers as part of their dining experience
• Retailers: Stores that sell National Beverage Corp products to end consumers

Sales Performance

National Beverage Corp's sales have consistently increased in recent years, driven by the popularity of its flagship brands, such as LaCroix sparkling water, Shasta soda, and Faygo pop. The company's revenue for the fiscal year ended May 31, 2021, was $2.6 billion, representing a 10% increase over the previous year. The company's strong sales performance is expected to continue in the future, as it continues to innovate and expand its product portfolio.

National Beverage Corporation's Value Proposition

National Beverage Corporation (NASDAQ: FIZZ) is a leading producer and distributor of non-alcoholic beverages in the United States. The company's portfolio includes a wide range of brands, including LaCroix sparkling water, Shasta soda, Faygo pop, and Rip It energy drinks.

National Beverage's value proposition is based on the following key factors:

• Strong brand portfolio: The company's brands are well-known and trusted by consumers. LaCroix is the leading sparkling water brand in the United States, and Shasta and Faygo are two of the most popular soda brands. Rip It is also a leading energy drink brand.
• Innovative products: National Beverage is constantly innovating new products to meet the changing needs of consumers. The company was one of the first to introduce sparkling water to the U.S. market, and it has since launched a number of other successful products, such as LaCroix Pamplemousse and Shasta Zero Sugar.
• Efficient distribution network: National Beverage has a nationwide distribution network that allows it to reach consumers in all 50 states. The company's products are available in a variety of retail outlets, including grocery stores, convenience stores, and mass merchandisers.
• Strong financial performance: National Beverage is a highly profitable company with a strong track record of financial performance. The company's revenue and earnings have grown steadily in recent years, and it has a strong balance sheet.

Benefits to Customers

National Beverage's value proposition offers a number of benefits to customers, including:

• Variety of choices: National Beverage's portfolio of brands offers consumers a wide variety of choices to meet their beverage needs.
• Quality products: National Beverage's products are made with high-quality ingredients and are produced to the highest standards.
• Affordable prices: National Beverage's products are competitively priced, making them affordable for consumers.
• Convenient availability: National Beverage's products are available in a variety of retail outlets, making them easy to find.

Conclusion

National Beverage Corporation's value proposition is based on its strong brand portfolio, innovative products, efficient distribution network, and strong financial performance. This value proposition offers a number of benefits to customers, including variety of choices, quality products, affordable prices, and convenient availability.

National Beverage Corp: Risk Analysis

Company Overview:

National Beverage Corp. (NASDAQ: FIZZ) is a leading manufacturer, marketer, and distributor of non-alcoholic beverages, including popular brands such as LaCroix, Shasta, and Faygo.

Industry Overview:

The non-alcoholic beverage industry is characterized by intense competition, changing consumer preferences, and regulatory challenges. Key trends include:

• Shift towards healthier and natural beverages
• Rising demand for sparkling and flavored water
• Increasing competition from private label and emerging brands

Risk Factors:

1. Market Competition:

• The beverage industry is highly competitive, with established players such as Coca-Cola, PepsiCo, and Dr Pepper Snapple Group.
• Intense competition from private label brands and emerging niche players can erode market share and margins.

2. Changing Consumer Preferences:

• Consumers are increasingly health-conscious and seeking beverages with reduced sugar, calories, and artificial ingredients.
• Changing tastes and preferences can negatively impact demand for traditional sugary beverages.

3. Regulatory Challenges:

• Government regulations on sugar content, labeling, and advertising can impact National Beverage's products and marketing strategies.
• Environmental regulations related to packaging and waste management can increase operating costs.

4. Product Concentration:

• National Beverage Corp. relies heavily on its flagship brand, LaCroix, which accounts for a significant portion of its revenue and profits.
• Overconcentration in one product category can expose the company to risks associated with changes in consumer preferences or competition.

5. Supply Chain Disruptions:

• The company's operations are dependent on a complex supply chain involving raw materials, packaging, and distribution.
• Interruptions in the supply chain due to weather events, natural disasters, or geopolitical factors can impact production and sales.

6. Financial Leverage:

• National Beverage Corp. has a relatively high level of financial leverage, with long-term debt accounting for a significant portion of its capital structure.
• High financial leverage can increase the company's risk of default and limit its flexibility in responding to adverse events.

7. Litigation and Regulatory Scrutiny:

• The company has faced litigation and regulatory investigations related to its marketing practices and the safety of its products.
• Adverse outcomes from these actions can damage the company's reputation and lead to financial penalties.

8. Environmental and Social Risks:

• The company's packaging operations can contribute to environmental concerns.
• Social responsibility issues related to employee treatment or community involvement can impact the company's brand image and stakeholder perceptions.

9. Economic Downturn:

• A decline in economic conditions can reduce consumer spending on non-essential items, such as beverages.
• An economic downturn can negatively impact the company's sales and profitability.

10. Currency Fluctuations:

• National Beverage Corp. has operations in various countries, exposing it to currency fluctuations.
• Adverse currency movements can impact the company's financial results and profitability.

Mitigation Strategies:

National Beverage Corp. employs various strategies to mitigate these risks, including:

• Innovation and product development to cater to evolving consumer preferences
• Targeted marketing and advertising campaigns to differentiate its brands
• Diversifying its product line to reduce overconcentration
• Maintaining relationships with key suppliers and distributors
• Prudent financial management to control leverage
• Compliance with regulatory requirements and best practices
• Implementing environmental sustainability initiatives
• Addressing social responsibility issues through corporate social responsibility programs
• Monitoring economic conditions and implementing contingency plans