Molson Coors Completes Expansion of Hard Seltzer by 4X

The maker of Vizzy Hard Seltzer has increased output by over 400%.

Molson Coors Beverage Company (NYSE: TAP) announced on December 1 that its previously announced implementation of equipment and new hires, necessary to raise the production capacity of hard seltzer operations to meet 2021 anticipated demand, is complete. The company is maker of Vizzy, Coors Hard Seltzer, and LightSky beer, and is managing production and distribution for The Coca-Cola Company’s 2021 launch of Topo Chico hard seltzer.

While the brewer had already announced on October 29 it would be boosting output of hard seltzer by 400% before year-end, the press release explains that expansion completed ahead of schedule. The Fort Worth brewery investment in canning capacity was a cornerstone of the plans.

An important element of increasing capacity was to strengthen the weak link in aluminum can supply. To that end, the company added a slim can production line at its can plant in Golden, Colorado, birthplace of the Coors brand. That strategic move assures the producer won’t face supply chain shortages experienced by smaller producers in 2020.

The Rocky Mountain Metal Container facility is a joint venture with Ball Corporation, the world’s largest manufacturer of aluminum beverage containers. The plant retrofitted an exiting line that previously made 8 ounce and 10 ounce cans to focus on manufacturing 12 ounce slim cans used for hard seltzer and LightSky brands. It can now produce 750 million cans annually, according to Jeff Lahl, North American Vice President of environmental, health and safety, and technical development for the brand.

Inching up in hard seltzer market share

In the Q3 earnings report, Molson Coors announced that it “believes it can capture a double-digit share of the U.S. seltzer market by the end of next year” with its differentiated portfolio of hard seltzer.

Vizzy Hard Seltzer is currently in eighth place among growing brands in 2020, according to Nielsen.

More importantly for the company, its eponymous Coors Hard Seltzer, which launched only in August, sold over half a million cases in its first month. The Q3 report went so far as to say Molson Coors believes “it can become the #1 beer brand in the segment,” apparently referring to Big Beer launches of hard seltzer, excluding White Claw.

LightSky is Not Hard Seltzer