California-based company Caliva has launched a new line of CBD coffee drinks.
The company made its first move into the CBD industry with the drinks, named Soul Grind, which it says are part of a broader portfolio strategy for CBD products.
Head of Beverages Chris Cuvelier said Caliva is now manufacturing both CBD and THC products including edibles and tinctures, but Soul Grind will be their first to reach retail channels.
He said: “[With cannabis] we have different products that target different consumer groups at different price points, so with beverage, we are following that same trend.
“We believe we can develop a portfolio of infused beverages that target different consumers at different need states.”
Cuvelier joined Caliva after it purchased his plant-based beverage company, Zola. Caliva is set to utilize Zola’s already-established distribution network to add its products to several California retail channels.
Soul Grind currently boasts three unsweetened flavors: Mexican Chocolate, Vanilla, and Black, all of which contain 10mg of CBD and 100mg of caffeine per 8oz can.
Customers should be aware the beverage will set them back $4.99 per unit, a price point which Cuvelier has said will position it as high-end, while still being more affordable than other CBD beverages out there.
Caliva aims to target coffee lovers as well as working professional consumers, and aims to expand into office and food service channels as well as retail. The brand claims the CBD found in its coffee works to control the energy jolt from drinking caffeinated drinks.
Of course, a plethora of other brands of CBD also claim their products can enhance mood, alleviate pain and bring relaxation, but the marked difference here is the idea of using coffee as a delivery mechanism. There’s also the upside that for many, beverages are considered a healthier way to consume CBD per se; having a sip of a drink is far more discreet than using a CBD tincture and does not affect anyone else in the vicinity, unlike vaping.
CBD alcohol, tea, water, kombucha, and sports drinks are now also pushing their way into the market as a result.
Cuvelier had been looking into introducing CBD products to Zola from as early as 2016 and finally decided that now was the perfect moment to jump into the market with Caliva.
He said: “When Zola was purchased by KarpReilly [and rebranded] in 2016, we saw early on that the new branding and positioning was perfect for hemp CBD.
“As we saw the regulatory environment start to change, I built out a list of product categories we could go play in–and always loved the idea that you could combine coffee with CBD.”
The American CBD drinks market is set to be worth $260 million by 2022, with THC-infused beverages making the number up to $1.4 billion by 2024, despite the FDA’s lack of regulation around CBD in food and drinks.
While the company head has hinted at more CBD product launches to come, dates are yet to be announced. It is thought the company will use its first CBD drinks line to test the market and build consumer trust before expanding its offerings.
Cuvelier added: “We are in this for the long term. Caliva is making decisions today that will impact us five years from now, in terms of sustainable growth, in terms of trying to go to market, in terms of being able to service our customer through delivery direct-to-consumer as well as through our retail outlets.
“So, we are making decisions today based on a long-term strategy; we’re not one of those companies trying to come in during the green rush, make a quick buck and exit this category.”
The name ‘Soul Grind’ was created as a play on words–hinting at coffee grinds as well as alleviating the ‘daily grind’ of work and lifestyle.
