Pulp Culture, a company specializing in fermentation sciences, has closed a US$7 million Series A fundraising round with the goal of advancing the fermented beverage market and altering consumer perceptions of functional and fermented beverages that contain alcohol. 

Functional beverages contain specific ingredients that pose health advantages to consumers. Those most commonly retailed are energy drinks – aiding with alertness boosts.

Utilizing what the founder of Four Sigmatic (a Pulp Culture partner), Tero Isokauppila, touts as “the planet’s most astoundingly nutrient-dense ingredients” these drinks contain functional ingredients, such as Lions Mane mushrooms, considered adaptogens for their focus, energy and stress relief properties.

Drinks with a mental well-being positioning are evidently holding onto their significant share of NPD. Last year, Innova Market Insights pegged “Mood: The Next Occasion” among its top trends set to significantly shape the F&B landscape.

Innovating around the “entourage effect”
According to the global market researcher, the US has seen over 500 functional beverage launches this year, out of which 2 are alcoholic beverages. The rest are non-alcoholic beverages.

Additionally, the data shows that of the non-alcoholic launches, 7% claim to help with energy and alertness and 4% with immune health.

These statistics elucidate a market gap for alcohol-containing functional drinks. Brendan Brazier, former Ironman triathlete and Pulp Culture co-founder, highlights the opportunities.

The drinks contain functional ingredients, such as Lions Mane mushrooms, considered adaptogens for their focus, energy and stress relief properties.“You’re actually giving your body the building blocks it needs to recover and reduce stress, so that you’ll enjoy the moment and also come back better the next day, not hungover,” he comments.

Pulp Culture calls this an “Entourage Effect,” which refers to the buzz consumers are touted to experience as a result of the bioactivity, probiotics, adaptogens and alcohol the drinks contain. 

Additionally, because of the fermentation process, the drinks are naturally alcoholic, sugar-free and certified probiotic, Brazier adds.

Brick and mortar burgeoning 
Pulp Culture’s new US$7 million funding will be channeled into a new R&D facility in Los Angeles, US, wher all products will be manufactured and packaged onsite.

Additionally, Mark McTavish, CEO and co-founder of Pulp Culture, explains that the “products are raw and alive yet 100% shelf stable, which eliminates the need for refrigeration.”

This detail enables the company to delve deeper into e-commerce opportunities. “Our fermented juices are licensed as wine and thus permitted to ship direct-to-consumer across the US. These are distinct advantages which help us to position Pulp Culture for DTC success.” 

Despite the company’s online presence, Pulp Culture has also opened “Siesta,” a day club and juice bar. The establishment includes both an interior tasting area and a sizable outside terrace with numerous cabanas located in verdant surroundings.

The brand aims to accommodate large groups, enabling customers to fully experience the concept of “drinking better,” with 125 chairs and a total standing capacity of 440 patrons.

Oz Ventures
Although fermentation has been a prominent category for thousands of years, it is now attracting an amplified level of investment, research and innovation, with reports of a 5.6% growth rate between 2022 and 2032. 

Eyeing this, Shine Drink – Australia’s first energy nootropic drink developed with natural nootropics – launched a line of beverages to Woolworths stores nationwide.

Nootropics – brain health-boosting compounds used in functional formulations – improve cognitive qualities such as memory, motivation, concentration and learning capacity. They can be categorized into two groups: artificial, laboratory-created substances, or natural nootropics that are cultivated agriculturally.

Shine Drink’s newly introduced line includes a four-pack of 250 ml sugar-free cans in the flavors Peach Passionfruit and Blueberry Lemonade. The sugar-free products offer fewer than six calories per serving.