Cizzle Brands signs new distribution deals and secures volleyball sponsor rights for CWENCH Hydration

Cizzle Brands (CBOE: CZZL) has signed a deal to sell its flagship beverage brand, CWENCH Hydration, at select Canadian gas stations owned and operated by MacEwen Petroleum.

The company will distribute Blue Raspberry and Rainbow Swirl ready-to-drink flavours to 54 outlets in Ontario and Quebec including Esso, Shell, MacEwen and Quickie.

The chain placement marks CWENCH Hydration’s debut in the gas station/convenience retail channel, which traditionally records strong sales of single-serve drinks.

Dr Pepper agreement

The deal follows a recent distribution agreement between Cizzle and Keurig Dr Pepper Canada subsidiary Van Houtte Coffee Services, which distributes to over 30,000 commercial sites across Canada.

Van Houtte will distribute Cizzle’s product lines across Canada and take over distributorship for certain existing Cizzle Brands accounts in categories including sporting goods retailers and stadiums.

Untapped potential

Cizzle chief executive officer John Celenza said there was “tremendous untapped potential” for CWENCH Hydration and other Cizzle products to be placed within Van Houtte’s extensive client portfolio, including MacEwen.

“Working with Van Houtte has been a transformational step for our company as it enables us to commercialise CWENCH Hydration at a mass scale in a short amount of time,” he said.

“Making the product available to consumers in convenient locations is a key part of driving brand adoption in the beverage category and this partnership gives us the ability to accelerate that availability at a scale that is not normally possible for newer brands on the market.”

Significant milestone

The deal represents a significant milestone in Cizzle’s growth.

“Major beverage distributors such as Keurig Dr Pepper do not normally take on brands that have only recently launched,” Mr Celenza said.

“Since the debut of CWENCH Hydration in May last year, we have steadily built grassroots-level demand and we believe that Van Houtte will be an important catalyst for this natural next step in our growth journey.”

London Drugs deal

Cizzle Brands has also strengthened its retail footprint in Western Canada with the placement of CWENCH Hydration in 75 of 79 locations of retail pharmacy chain London Drugs.

The product is currently being sold in-store and online for home delivery or in-store pickup.

Mr Celenza said Cizzle would be working with London Drugs’ merchandising and store operations teams to drive visibility and awareness of the CWENCH brand.

“This deal speaks to the quality of CWENCH as a hydration drink in an evolving consumer market that is demanding healthy, all-natural and sugar-free options.”

Volleyball sponsor rights

CWENCH Hydration has also secured title sponsorship rights for the annual All Canadian Volleyball Games, which feature 60 of the Canada’s elite junior female volleyballers and received over 66 million online impressions in its first year.

The five-year sponsorship is part of Cizzle’s mission to support youth sports in Canada and will give the company high-visibility placement of the CWENCH Hydration name and logo.

It also allows for product placement rights of CWENCH Hydration as the official sports drink provided to players and coaches, as well as the supply of Cizzle’s Spoken Nutrition nutraceutical supplements brand to players.

“Supporting Canadian youth sports is core to who we are at Cizzle and the communities we support return the investment in spades, giving patronage to our brands with incredible loyalty,” Mr Celenza said.

“We look forward to working with the organisers and supporting the players for the next five years, during which we foresee many opportunities to make a positive impact on girls’ volleyball across Canada.”