Business of Drinks

98: The New Fundraising Reality for Drinks — With Mike Solow of 99 Proof Partners - Business of Drinks

Raising capital for a drinks brand has fundamentally changed — and Mike Solow is on the front lines of that shift.In this episode of Business of Drinks, we sit down with Mike Solow, Co-Founder & Partner at 99 Proof Partners and Cask Strength, to unpack what founders actually need to know about fundraising right now — from equity vs. debt, to diligence, to investor expectations that most founders underestimate.99 Proof is a boutique investment firm making early- and mid-stage investments in beverage alcohol, typically writing $500K–$1M checks across equity, debt, and real-estate-backed structures. Cask Strength, their venture-debt arm, focuses on flexible capital solutions — from barrel-backed lending to expansion and production financing — designed to fuel growth without choking a business’s runway.Mike breaks down why equity capital has become harder to raise, why venture debt is gaining traction, and how valuation resets and shorter hold periods are reshaping the market. He explains what 99 Proof looks for in founders — experience, clarity, grit, and creativity — and why most founders still aren’t prepared for today’s diligence environment.We also get highly tactical: What makes a deck an automatic “yes” or “no,” why messy storytelling and lack of polish kill opportunities instantly, and how 99 Proof’s publicly shared 40-plus-item diligence checklist is meant to help founders raise smarter capital — even if they never work with 99 Proof.Mike shares real examples from the portfolio, including why brands like Archer Roose stood out early, how category overlap actually works in portfolio construction, and why “five-year exits” are increasingly unrealistic for most brands today.The big takeaway: This is a tougher moment — but a healthier one. The correction is rewarding disciplined operators, clear communicators, and founders who understand how capital really works.If you’re raising money, restructuring capital, or planning your next growth phase, this episode is required listening.Don’t miss our next episode, dropping on January 14.For the latest updates, follow us:Business of Drinks:YouTubeLinkedInInstagram @bizofdrinksErica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies.LinkedInInstagram @ericaduecyScott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor.LinkedInCaroline Lamb, contributor: Caroline is a producer and on-air contributor at Business of Drinks and a key account sales and marketing specialist at AHD Vintners, a Michigan-based importer and distributor.LinkedInInstagram @borkalineIf you enjoyed today’s conversation, follow Business of Drinks wherever you’re listening, and don’t forget to rate and review us. Your support helps us reach new listeners passionate about the drinks industry. Thank you!

97: The 2025 Drinks Industry Year-End Review - Business of Drinks

This was a year of contradictions in drinks. Structural headwinds collided with real momentum — and the brands that grew weren’t following old rules. They were aligning with how people actually drink, shop, and spend today.In this special year-end episode, Erica Duecy, Scott Rosenbaum, and Caroline Lamb break down the biggest forces reshaping the drinks industry — across alcohol, non-alc, functional, and THC — and what they signal for growth heading into 2026.🔶 Functional is now foundational Functional beverages — from prebiotic sodas and adaptogenic spirits to THC drinks — moved firmly into the mainstream. It’s now a $9B+ category growing at double-digit rates. Brands winning here aren’t just selling benefits; they’re anchoring products to rituals, occasions, and repeatable habits.🔶 THC beverages hit an inflection point Low-dose THC drinks crossed a legitimacy threshold, with major retailers and alcohol distributors testing the category. Regulatory uncertainty remains, but consumer demand is clear — and early movers are scaling at real volume.🔶 Wine isn’t broken — demand is shifting While total wine declined, several segments outperformed: White blends, alternative whites, premium rosé, non-alcoholic wine, and innovative formats like cans. The common thread is accessibility, clarity, and occasion-fit — not prestige or tradition.🔶 Gen Z is drinking — just differently Roughly 70% of legal-age Gen Z consumers in the U.S. drank alcohol in the past six months, bringing them in line with older generations. What’s changed is how they drink: Flavor-first, value-driven, and highly occasion-specific — with easy switching between alcohol and non-alc.🔶 Economic pressure is the biggest headwind Trade-downs, format shifts, and tighter budgets shaped every category. Premium still works, but only when tied to intentional consumption: fewer drinks, better quality.🔶 Culture matters again Savory and umami flavors gained traction in cocktails, while nostalgia-driven branding resonated across categories. Comfort, familiarity, and emotional connection beat novelty.Why listen? Because the brands winning in 2025 didn’t chase hype — they aligned with real consumer behavior. This episode delivers a clear, data-driven look at where growth is actually happening, and what drinks brands need to rethink going into 2026.Don’t miss our next episode, dropping on January 7.For the latest updates, follow us:Business of Drinks:YouTubeLinkedInInstagram @bizofdrinksErica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies.LinkedInInstagram @ericaduecyScott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor.LinkedInCaroline Lamb, contributor: Caroline is a producer and on-air contributor at Business of Drinks and a key account sales and marketing specialist at AHD Vintners, a Michigan-based importer and distributor.LinkedInInstagram @borkalineSPONSOR: SWIG Partners is exclusively offering $100 off their supplier-distributor matchmaking fee when you mention the Business of Drinks podcast, or inquire via this link: ⁠https://www.swigpartners.com/businessofdrinksIf you enjoyed today’s conversation, follow Business of Drinks wherever you’re listening, and don’t forget to rate and review us. Your support helps us reach new listeners passionate about the drinks industry. Thank you!

96: Millennial Wine Marketing: What Actually Worked at Wente Family Vineyards - Business of Drinks

This holiday re-broadcast brings back one of our most downloaded episodes — and one of the clearest real-world playbooks for how a traditional winery can modernize its marketing without spending more money.In this episode, Aly Wente, fifth-generation vintner and SVP of Marketing and Customer Experience at Wente Family Vineyards, breaks down how America’s oldest continuously operated family-owned winery (founded in 1883) successfully reoriented its marketing toward Millennials and Gen Z — while keeping its legacy consumers and staying true to its heritage.The headline insight for winery leaders: Wente didn’t increase its marketing budget. It reallocated it — away from low-ROI tactics and toward channels, content, and messages that could be measured and optimized.🔶 Stop marketing to the trade when you think you’re marketing to consumers Wente made a clean distinction between what distributors and gatekeepers need versus what actual buyers care about. For consumers, technical language like clones, appellations, and scores created friction — not confidence.🔶 Three-second shelf ruleIf a message can’t be understood in three seconds at retail, it doesn’t belong on shelf or POS. Wente shifted from insider language to cues centered on flavor, lifestyle, and trust.🔶 Reallocate, don’t inflate, the budgetWhen Aly arrived, roughly $500K a year was going into printed POS — much of it sitting unused in distributor warehouses. That spend was redirected into digital, where performance could be tracked and optimized in real time.🔶 Authenticity beats polish Wente replaced stock photography with real people, real places, and real moments — family members, winemakers, vineyard teams, tasting room life. 🔶 Lifestyle is not fluff — it’s strategyWine was repositioned as part of everyday life: recipes, casual occasions, behind-the-scenes videos, and even imperfect, playful content. Engagement surged — including thousands of views on zero-budget Instagram Lives during COVID.🔶 Consumer voices outperform criticsA simple paid ad using a real Vivino review delivered a ~10% purchase intent rate, compared to ~2% on typical awareness campaigns — a powerful signal that peer validation now drives trial.🔶 The results were measurableIn just a few years, Wente flipped its consumer base. Today, roughly 60% of its buyers are ages 21–45, compared to a majority 55+ audience in 2020 — without abandoning its core brand identity.This episode is essential listening for any traditional winery asking:How do we modernize our marketing, speak to new consumers, and prove ROI — without losing who we are?For the latest updates, follow us:YouTubeLinkedInInstagram @bizofdrinksErica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies.LinkedInInstagram @ericaduecyScott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor.LinkedInCaroline Lamb, contributor: Caroline is a producer and on-air contributor at Business of Drinks and a key account sales and marketing specialist at AHD Vintners, a Michigan-based importer and distributor.Instagram @borkalineSPONSOR: SWIG Partners is exclusively offering $100 off their supplier-distributor matchmaking fee when you mention the Business of Drinks podcast, or inquire via this link: ⁠https://www.swigpartners.com/businessofdrinksIf you enjoyed today’s conversation, follow Business of Drinks wherever you’re listening. Thank you!

How MHW Became the Infrastructure Behind Breakout Drinks Brands With Ryan O’Hara, Scott Saul, and MaryAnn Pisani of MHW, Ltd. - Business of Drinks

This episode of Business of Drinks is supported by MHW, Ltd., a company that has quietly shaped the beverage alcohol industry for more than 30 years — often behind the scenes of brands that went on to become category leaders or major acquisitions.MHW is a nationally licensed importer, distributor, and service provider with licenses across all 50 U.S. states and the EU. In this conversation, CEO Ryan O’Hara, EVP Scott Saul, and Senior Advisor (and former CRO) MaryAnn Pisani break down how MHW’s service-provider model helps brands navigate one of the most complex operating environments in consumer goods — without giving up control of their brand or strategy.Key takeaways for drinks founders and operators:🔶 Why the service-provider model matters more than everWith an estimated 75% fewer distributors than the early 2000s, consolidation has created a bottleneck that makes market access harder — even for proven brands. MHW was built to solve that structural problem, giving brands a compliant, scalable path to market while maintaining control.🔶 Control vs. convenience in importingUnlike traditional importers, MHW doesn’t run sales or marketing. Instead, it handles compliance, logistics, fulfillment, accounting, and reporting — allowing founders to focus on brand, demand, and customer relationships without building costly infrastructure too early.🔶 Compliance as a growth unlock, not a taxFrom helping establish categories like absinthe and cachaça to navigating FDA and TTB approvals for unconventional ingredients, MHW has repeatedly enabled innovation that otherwise wouldn’t reach market. Lesson: Getting compliance right early creates speed later.🔶 Why MHW shows up in acquisition storiesBrands like Casamigos, Avión Tequila, Hypnotiq, and Blue Chair Bay Rum all relied on MHW during critical growth or transition phases. For acquirers, MHW’s platform allows brands to scale quickly — and decide later what to bring in-house.🔶 What’s changed for foundersLiquid still has to get to lips — but data, digital engagement, and modern supply chains now allow brands to scale smarter. MHW’s newer offerings, including BrandArc, outsourced compliance services, and EU/UK market access, reflect how infrastructure itself has become a strategic lever.The hidden lesson: Many of the most successful brands didn’t win by doing everything themselves — they won by knowing what to own, and what to outsource, at each stage of growth.For the latest updates, follow us:Business of Drinks:YouTubeLinkedInInstagram @bizofdrinksErica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the consultancy and advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies.LinkedInInstagram @ericaduecyScott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor.LinkedInCaroline Lamb, contributor: Caroline is a producer and on-air contributor at Business of Drinks and a key account sales and marketing specialist at AHD Vintners, a Michigan-based importer and distributor.LinkedInInstagram @borkalineIf you enjoyed today’s conversation, follow Business of Drinks wherever you’re listening, and don’t forget to rate and review us. Your support helps us reach new listeners passionate about the drinks industry. Thank you!

95: How Une Femme Wines Scaled to 300,000+ Cases With Co-Founder Jen Pelka - Business of Drinks

Une Femme Wines didn’t scale the way most wine brands do — and that’s exactly why its story matters.What began as the house wine at Jen Pelka’s two Champagne bars — The Riddler in San Francisco and New York — has scaled into a national brand selling more than 300,000 cases annually, with wines poured everywhere from Delta Airlines to Marriott, Kimpton, stadiums, cruise lines, and even space.In this episode, Jen breaks down how Une Femme unlocked scale by saying yes to the right opportunities — and then rebuilding the business to support them.The turning point came when a chance meeting led to a Delta Airlines trial that required Une Femme to ramp from 1,500 cases over two years to 6,000 cases in three months, a feat that seemed impossible at the time. But they persevered and that single partnership didn’t just change volume — it reshaped the company’s format strategy, pushing the brand into cans for sustainability, operational efficiency, and national reach.From there, Une Femme scaled differently than most wine brands: Prioritizing national accounts and high-velocity venues over slow regional rollouts, and focusing relentlessly on freshness, tight SKUs, and operational reliability.🔶 Format as a growth leverWhy canned wine — not bottles — became Une Femme’s primary scaling vehicle, and what founders need to understand about liners, pH, acidity, and freshness when launching cans.🔶 Operational discipline at scaleHow monthly canning runs, zero stock-outs, and a lean 10-person team support partnerships with Delta, Marriott, Levy, and Virgin Voyages.🔶 SKU restraintWhy Une Femme has resisted SKU sprawl, phased out expensive formats, and focused on a core set of high-velocity products — while growing 70%+ YOY in a down wine market.🔶 Channel strategy that actually worksHow Jen evaluates where consumers are most open to drinking — planes, stadiums, hotels, museums — and why not every brand needs fine-dining placements.🔶 Funding lessons to scale rapidlyHow Une Femme raised roughly $16M across multiple tranches, built strong investor trust through monthly updates, and shifted focus from fundraising to sustainable profitability.🔶 Mission with teethHow Une Femme embedded its women-focused mission into sourcing, partnerships, and give-back — without letting purpose dilute operational rigor.For founders navigating format innovation, national accounts, capital intensity, or the realities of scaling in a declining category, this episode is a case study in unlocking outsized growth.Don’t miss our next episode, dropping on Dec. 24.For the latest updates, follow us:YouTubeLinkedInInstagram @bizofdrinksErica Duecy, co-host: Erica Duecy is founder and co-host of Business of Drinks and one of the drinks industry’s most accomplished digital and content strategists. She runs the advisory arm of Business of Drinks and has built publishing and marketing programs for Drizly, VinePair, SevenFifty, and other hospitality and drinks tech companies.LinkedInInstagram @ericaduecyScott Rosenbaum, co-host: Scott Rosenbaum is co-host of Business of Drinks and a veteran strategist and analyst with deep experience building drinks portfolios. Most recently, he was the Portfolio Development Director at Distill Ventures. Prior to that, he was the Vice President of T. Edward Wines & Spirits, a New York-based importer and distributor.LinkedInCaroline Lamb, contributor: Caroline is a producer and on-air contributor at Business of Drinks and a key account sales and marketing specialist at AHD Vintners, a Michigan-based importer and distributor.LinkedInInstagram @borkalineSPONSOR: SWIG Partners is exclusively offering $100 off their supplier-distributor matchmaking fee when you mention the Business of Drinks podcast, or inquire via this link: ⁠https://www.swigpartners.com/businessofdrinksIf you enjoyed today’s conversation, follow Business of Drinks wherever you’re listening, and don’t forget to rate and review us. Thank you!