Download The Science and Evolution of the Caffeine-Alcohol Debate

NABCA Presentation
March 10 2010
The material herein is confidential and intended only for the above
recipient. It is not to be used by or made available to persons not
receiving copies directly from Prohibition Beverage.
TABLE OF CONTENTS
The Science and Evolution of the Caffeine-Alcohol Debate
•
•
Overview of the research most frequently cited
Going from research article to state and federal action
Not All Alcohols are Created Equal
•
•
Positioning versus formulation issues
Comparison of alcohol beverage types – they are not all the
same
Table
of Contents
The Dangers
and Implications for the Industry
•
A dangerous precedence for the industry
Company Strategy and Background strategy, business model, history, management team, strategic relationships
Market Opportunity
Target Consumers
Products p.i.n.k., sake spirit
Marketing
R.
Scott Winters, Ph.D.
CEO
Distribution
• [email protected]
Financials
215 –recent
627 –acquisitions,
2788 (office)
Exit •strategy,
valuation
• 215
– 327 – 8640
Contact
Information
(cell)
THE SCIENCE AND EVOLUTION OF THE CAFFEINE-ALCOHOL DEBATE
Overview of the Study
•
Investigated drinking behaviors of students on
college campuses
•
Was “questionnaire” based asking them to
self report on various behaviors, including
alcohol consumption and “risky behaviors”
•
Asked, if within the last month had the
respondent consumed a non-alcohol energy
drink while drinking alcohol
Some Important Facts
•
It never addressed or even attempted to
address alcohols that contain caffeine
•
On post-hoc analysis, they found a correlation
between drinking non-alcohol energy drinks
and the student’s with risky behavior.
•
It did not – and could not, based on the
experimental design – show that mixing nonalcohol energy drinks and vodka caused the
risky behavior
THE SCIENCE AND EVOLUTION OF THE CAFFEINE-ALCOHOL DEBATE
What about other scientific studies?
•
Most studies deal with the behavior of college
drinking, primarily under-age drinking
•
There are some studies have actually looked
at the effects of mixing alcohol and caffeine
The General Conclusions
•
There does not seem to be any evidence to
support that mixing alcohol and caffeine
together has any physical effect different
from drinking alcohol alone.
•
There may be a perceptional effect…
•
If you tell people that what they’re
consuming with alcohol has other
effects, then they perceive themselves
as having those effects.
•
They won’t do better in tests, but they’ll
act faster and perceive themselves as
having done better.
THE SCIENCE AND EVOLUTION OF THE CAFFEINE-ALCOHOL DEBATE
“All drinks containing alcohol
and caffeine should be
banned.”
O’Brian Interview to Scott Carpenter
Marin Institute
State Attorney Generals
TTB
FDA
O’Brian Study
•
•
•
•
Non-alcohol energy drinks
College kids
Correlation
Placebo effect (maybe?)
FDA letter to Prohibition
• Luxury product
• No “energy positioning”
• Trace amounts of caffeine as
a secondary product
NOT ALL ALCOHOLS ARE CREATED EQUAL
1. Alcohol Beverages that are positioned as “energy drinks”
•
•
Alocopops: generally low ABV, distributed as RTD, low price point, confusing packaging/labeling
Some higher-proof alcohol beverages
2. Not positioned as energy drinks but contain caffeine
a) Those that ad caffeine directly
b) Those that contain caffeine in secondary analysis (something else breaks down,
such as chocolate, coffee or guarana)
i) Primary compound added alone
ii) Additional flavorings added
The Problem:
You can now have two products with the exact same level of caffeine, neither
positioned as an energy-alcohol, but one is arbitrarily deemed “acceptable” and the
other is found unacceptable.
THE DANGER AND IMPLICATION
FOR THE INDUSTRY
It is my personal opinion that it exposes the industry to two very dangerous scenarios:
1.
If upon complete chemical analysis a beverage exhibits a compound that is not
explicitly GRAS approved, then the beverage is at risk.
2.
Independent of the FDA decision, the states are independently banning the
distribution and sales of products.
Finally:
•
The core issue, based upon the cited research and ubiquitous availability, remains
unaddressed.