We first recommended TÖST in 2021. The company sells non-alcoholic sparkling beverages made with simple ingredients and low sugar.
We recently caught up with CEO Brooks Addington to see how things have been going over the last year and a half.
As a consumer packaged goods (CPG) startup, TÖST is retail-oriented. So expanding its retail store presence is always front-of-mind for the company.
When we first recommended TÖST, it was sold in 24 states and seven countries. Now the company is in more than 40 states and 10 countries. TÖST products are in 2,600 stores in the U.S. alone. That’s strong expansion both at home and abroad.
But the most exciting development? TÖST has launched in Africa — specifically in Nigeria, Kenya, South Africa, and Mozambique. Non-alcoholic beverages are very popular in Africa, as more than 57% of the population completely abstains from drinking alcohol. So launching in this region is a huge win for TÖST. Additionally, the company has had very successful expansions in Korea and Iceland.
TÖST is continuing to resonate cross-culturally around the world. This is really exciting for investors.
Consistent Positive Press
Wine consumers tend to turn to magazines and websites to learn about the latest and greatest players in the space. And TÖST continues to be featured again and again. Here are some of the articles TÖST has been highlighted in and awards it has won:
- “The 17 Best Non-Alcoholic Wines of 2022” by Esquire
- “16 Tasty Non-Alcoholic Drinks and Spirits for Sober Celebrating” by Business Insider
- “15 Best Non-Alcoholic Wines to Drink Now” by Town & Country
- Best Non-Alcoholic Sparkling Wine Brand in the USA by LUXlife.
These are just a few. There are tons of articles out there raving about TÖST’s product. Given how important marketing and positive press is to the success of CPG brands, this is another great sign.
A Growing Company in a Growing Category
Non-alcoholic beverages keep growing in popularity. The U.S. non-alcoholic beverage market (specifically beer, wine, and spirits) grew 20.6% last year. And TÖST is perfectly positioned to continue attracting new customers that are looking for tasty non-alcoholic options.
It should also be noted that TÖST has managed to garner all of this success thus far without any salespeople. Now that the company is bigger, it has hired two sales representatives and an operations specialist to help continue its growth. These additions will give the company more resources to keep grabbing key accounts while still expanding its existing accounts like Whole Foods.
TÖST has expanded its global reach and continues to make headway toward an acquisition. The company hopes for a liquidity event in the next three to four years, which is right in line with our expectations as early investors in the company. In the meantime, the company will continue growing and driving toward the goal of sustainable, long-term profitability.
We will be sure to keep you updated on any other major developments with the company.