For our second Quarterly Consumer Review of 2024, we’re focusing in on performance-ready products across a variety of consumer categories like food & beverage, beauty, apparel, and more. Whether driven by the influx of athlete-led businesses or typical seasonal patterns, the industry is aligning with consumer preferences and emphasizing functional ingredients and products.
Not everything this past quarter has been clear-cut, though. Amid continued shakeups in the funding landscape and challenges in raising fresh capital, founders have a unique opportunity to become fluent in alternative financing solutions and create a sustainable capital structure. This way, they can equip their businesses to hit growth milestones even in the face of unforeseen market shifts. Let’s dive in.
APRIL – JUNE 2024
Quarterly Fundraising Index
In case you missed it, check out last quarter’s fundraising index here.
Consumer Product Trends
Food & Beverage
Functional Hydration | Protein-Enriched | Better-For-You Sweets
As consumer preferences shift toward functional offerings, world-famous athletes like Lionel Messi, Patrick Mahomes, and Steph Curry take a pass at establishing new legacies in the beverage industry. Giving hydration a run for its money, protein-enriched food and beverage products are also taking over grocery stores this summer. Finally, innovation in the sweets category has candy finally catching up to the Better-For-You craze.
Functional hydration in the news…
- Mas+ by Messi, the new RTD hydration brand from Lionel Messi and Mark Anthony Brands, launches on June 14th.
- Sunboy, the spiked coconut water brand, launches at Binny’s Beverage Depot.
- PRIME is now available at RaceTrac, as well as becomes the official sports drink for the Toronto Raptors.
- Recover 180 Organic Hydration launches nationwide at Whole Foods Market.
- Mela Water expands distribution to Wegmans, launches at select 7-Eleven stores and doubles its retail footprint at Target.
- Lemon Perfect is now available nationwide at 7-Eleven.
- Once Upon a Coconut launches nationwide at Sprouts Farmers Market.
- Sap’s is now available via DashMart.
- O2 Hydration receives minority investment from Sprecher Brewing Company.
- Nirvana Super adds NBA superstar Steph Curry to cap table.
- Smartwater expands into the canned water category.
- Vita Coco launches Vita Coco Treats, a line of indulgent coconut milk drinks.
- Punchy launches a new range of hydration beverages with two flavors: Blueberry and Mango.
- Plink! releases a magnesium product.
Protein-enriched food & beverage in the news…
- Thone Sport Coffee, a new functional coffee brand, was recently launched by NFL star Patrick Mahomes and former BodyArmor exec Michael Fedele.
- OWYN is acquired for $280M in cash by Simply Good Foods and launches a new range of High Protein Complete Nutrition Shakes.
- Wilde secures $20M in fresh equity funding led by KarpReilly.
- Slate Milk launches line of high protein cookies, receives investment from the Cavinder twins and expands distribution at Target.
- Koia’s plant-based protein drinks are now available in all Northeast and Florida Wawas.
- REBBL launches Smoothie Starte available at Sprouts & Target.
- LiveMore Organics launches at H-E-B.
- MUSH launches a range of oatmeal smoothies.
- Starbucks releases protein coffee RTD in the UK.
- Oath Nutrition is now available at Target.
- In Good Hands launches protein puffs at Sprouts Farmers Market.
- Mid-Day Squares launches at Starbucks in Canada.
- Eggo launches a new line of protein-packed waffles called Eggo Fully Loaded Waffles.
- Protein Candy launches a new low-sugar candy brand with 14g of protein per serving.
- Elavi launches a new line of high-protein brownies.
- ONE Brands launches co-branded protein bars with Reese’s and Hershey’s.
- B.T.R. Nation collaborates with Blue Bottle Coffee on a co-branded superfood protein bar, available exclusively at Blue Bottle Coffee stores.
Better-for-you sweets in the news…
- Small Wins launches at Walmart.
- TiDBiTS launches at Sprouts Farmers Market and secures a distribution deal with Walmart.
- Sour Strips launches a new line of party packs, available exclusively at Target.
- Sow Good raises $12M in its Nasdaq uplisting.
- Behave, a better-for-you candy brand receives investment from Busy Philipps.
- Bazooka Candy Brands raises $10 million from Patricof Co with participation from professional athletes.
- UNREAL, a clean chocolate brand, launches regular-size candy bars.
- Protein Candy launches a new low-sugar candy brand with 14g of protein per serving.
- Hershey taps into their candy IP for the newest ONE Protein Bars.
Beauty
Performance Beauty | Suncare and Tanning
The SPF and tanning sectors heat up ahead of the summer season, with many makeup and skincare brands seemingly following in the footsteps of F&B brands differentiating themselves by focusing on performance-ready products.
Performance beauty in the news…
- TYPEBEA, a new high-performance haircare brand by Rita Ora and Anna Lahey is live.
- Wyn Beauty, Serena Williams’ new inclusive and performance-ready makeup brand, launches in partnership with India’s Good Glamm Group.
- Freaks of Nature, a performance suncare brand by Kelly Slater, debuts with Jonah Hill and Mike Meldman as investors.
- Shiseido taps six athletes for sun protection campaign.
- OARS + ALPS secures $2MM+.
Suncare and tanning in the news…
- Vacation Inc collaborates with Erewhon Market on a Coconut Super-Blend smoothie, launches a number of sunscreen products at Target as well as debuts three new suncare products.
- ATTITUDE launches eco-friendly suncare brand Sunly with solid, 100% plastic-free, and EWG Verified products.
- Self Glow By James Read launches at Space NK.
- LIGHTSAVER launches at Sephora.
- Ultra Violette debuts at Sephora in Canada.
- Dune Suncare launches at 90+ Nordstrom stores.
- Freaks of Nature secures $2MM+ in funding.
- Sol de Ibiza raises $370K.
- Naked Sundays launches SPF 50 CabanaClear Water Gel Serum.
- Australian Glow launches at CVS.
- Lux Unfiltered expands tanning assortment in Sephora.
- Glossier launches a summer capsule collection inspired by the French Riviera.
- Caliray launches Sundrip, a skin-boosting peptide serum bronzer.
Apparel
Activewear and Sports Licensing Consolidation
Recent activity in the apparel industry further underscores the consumer influence of professional and amateur athletes, as investors and strategic partners double down on activewear and licensed merchandise.
Activewear and sports licensing consolidation in the news…
- Outdoor Voices is acquired by Consortium Brand Partners
- Champion is purchased by Authentic Brands Group (ABG) for just over $1B.
- ‘47 is acquired by New Era Cap.
- Feat Clothing is acquired by 2.0 Ventures.
- Homage secures investment from Maximum Effort Investments.
- Rhone introduces Custom Made by Rhone, a 3D apparel technology for tailored products.
- On Running appoints Zendaya as brand partner in a multiyear deal.
- Vuori opens its first permanent store in China at Jing’an Kerry Centre in Shanghai.
- Beyond Yoga expands on the West Coast with a new store in Washington state.
Fundraising Landscape
Fundraising remains a major pain point for early-stage eCommerce and Consumer Product brands, however, recent category exits, venture capital activity, and increased education around alternative financing solutions leave experts feeling optimistic about the future.
New consumer funds in the news…
- L Catterton Group raises $756 million from selling shares in Birkenstock.
- InvestBev is raising $150M for its fifth fund to back beverage alcohol brands.
- Nameless CPG, an acquirer and operator of brands, raised $1M in equity funding from undisclosed investors.
- STORY3 Capital Partners secures an additional $100M for Fund II.
- Eniac Ventures, raises $220MM across two funds.
- Squared Circles, a consumer-focused venture studio, secures $40M in Series A funding.
- Collaborative Fund, a New York-based venture firm, raised $125M for its sixth flagship fund.
- 1686 Partners launches with $110M to invest in fashion, cosmetics, and lifestyle products.
- Trive Capital, a Dallas-based private equity firm with exposure to various consumer categories, raised $1.5B for its fifth fund. The firm now has north of $7B in assets under management.
- Entrepreneurial Equity Partners (e2p), a Chicago-based private equity firm that’s focused on food, beverage, and packaging manufacturers, secured $546M for Fund II.
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