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Selling “Picks and Shovels”​ to Our Industry

Selling “Picks and Shovels”​ to Our Industry

I take part in monthly calls with an exceptional group of professionals in the spirits, wine, and beer space. The alcohol beverage industry is significant globally and extremely vibrant here in the United States. More on this call and our selling picks and shovels to our industry in a bit.

Revenue in the Alcoholic Drinks market amounts to US $261.10bn in 2022. The market is expected to grow annually by 10.51% (CAGR 2022-2025). The market’s largest segment is the segment Beer with a market volume of US $111.50bn in 2022.

Market Share of Wine, Beer, and Spirits
Market share of spirits/wine/beer


How might alcoholic beverage sales increase in the next few years?  Statista reported the expected average revenue per capita for beverages in 2023 and 2025, with an anticipated $429 being spent on beer, $315 on spirits, and $231 on wine in 2025.  

So it’s not hard to explain the attraction to building a spirits, wine, or beer brand. With success stories coming fast and furiously around beverage industry M&A the promise of a great payday looms large for new brands.

Park Street Merger Coverage

There were 20 noteworthy beverage alcohol deals in H1 2022, representing an increase compared to the first half of 2021 when there were 16 deals. This series of deals was led by spirits (8) and wine (6) and distribution (3), while the beer category (2) and ecommerce (1) made up the remaining count.

As I take part in the nearly daily conversations with industry pros working in the manufacture, distribution, and sale of alcoholic beverages, I stand amazed at the recurring hurdles associated with bringing products to market and growing revenue.

Few brands, very few brands, end up hitting the revenue numbers that allow for their subsequent successful sale to a buyer. If you’d like to take a deep dive into the competitive landscape for spirits, wine, and beer brands, take a read of this document from the US Treasury commissioned by the White House in an effort to promote competition in the industry.

Let us revisit the monthly industry meeting and the nearly daily calls and meetings I experience with industry pros and brand owners. They are in the trenches fighting daily!

While the list of challenges is too long to cover here; a few of the top issues are shipping, glass, barrels, distributor inattention, lack of capacity, too much capacity, grain prices, commodity availability, product consistency, sales management, and the list goes on and on.

I love hearing the stories and exploring ways to offer help or connections to these incredibly hard working passionate creators. They love what they do and are committed to the n’th degree.

However, I’m also thrilled on a daily basis that my company is in the business of selling picks and shovels to the miners. We are a solid picks and shovels investment play.

Most know the story:

A young Levi Stauss saw the huge influx of people and trade into California in the 1840s. Seeing an opportunity, he set off on his own to the West Coast.

Levi set up shop in San Francisco. He noticed that miners would come in daily to ask for the same excavating tools. Levi understood the demand and the opportunity and proceeded to buy these vital supplies en masse. He then went from mining camp to mining camp selling his wares directly to miners in need.

Levi Strauss was making a fortune supplying but saw that the Gold Rush was coming to an end. He decided to take his profits and reinvest them into a particular product that sold well: denim pants. The rest is history.

Here at Shared Spirits, we’re committed to serving the purveyors of fine beverages be they retailers or restaurant owners. We serve the spirits, wine, and beer brands that seek to build market share and gain traction as they distill, brew, and age great products for our enjoyment.

How do we choose to do so? With a unique, novel, and scalable technology that provides first party data, user experiences, and marketing attribution in ways no other technology ever has. We seek to be the technology rail on which on-premise sampling, alcohol brand event sponsorship, and bar and restaurant beverage marketing runs.

Our C2C Explainer Video

We love our friends in the industry and seek to enhance their success. If you or anyone you know in the alcohol supply chain seeks to leverage new technology, invest in a picks and shovel play serving the industry or just have a conversation, click here to set up a chat!

By Shared Spirits

Liquid to Lips Marketing. Drizly and Venmo met. They mixed it up in a cocktail called Shared Spirits!

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