- STōK Cold Brew just launched limited edition Wrexham AFC-branded bottles, targeting sports fans watching football online
- The strategy will benefit from both the “Ryan Reynolds effect” and growing interest in British football from abroad
- The partnership announcement alone last year led to $5M in sales, and a doubling of household penetration within 3 months
SPORTS and coffee culture merged as STōK Cold Brew unveiled co-branded cold brew bottles in collaboration with Wrexham AFC, also announcing wider sponsorship ties with the Welsh football club.
The move raises questions about STōK’s motivations behind the partnership and the strategic implications for its brand positioning.
Speculations suggest that STōK Cold Brew’s decision to roll out Wrexham AFC co-branded products could be a response to changing market dynamics, with a desire to inject fresh energy into its branding and attract new consumer segments.
While the brand has grown rapidly within the ready-to-drink coffee category, the latter still has only 14% household penetration, with STōK accounting for 4% of that. Even as the #1 share leader within black RTD multi-serve coffee, data suggested STōK lagged in brand awareness. In that context, its first ever national campaign makes sense.
The allure of partnering with a Welsh football club like Wrexham AFC may stem from the club’s rich history, passionate fan base, and growing global appeal, offering STōK a platform to tap into the fervour of football enthusiasts across borders. Formed in 1864, they are the oldest club in Wales and the third oldest professional team in the world.
The influence of popular culture, such as the hit show “Ted Lasso,” which has heightened American interest in British football, may have also prompted STōK to explore opportunities in this unconventional but potentially lucrative market. Their aim is to get their product into sports fans living rooms and backyards as they watch from afar.
“I’m not sure how much STōK plays outside of North America – but this FC collab and the naming rights to the Welsh club’s historic home stadium clearly serves as a bridge to a global interest point in football,” says Reid Litman, Global Director with Ogilvy Consulting. “I imagine international growth is on their mind.”
The involvement of Hollywood actor Ryan Reynolds, part-owner of Wrexham AFC, adds another layer of intrigue to the collaboration, hinting at a strategic alignment with Reynolds’ star power and brand-building acumen.
“STōK has been around for a while now – it has awareness and credibility as a great cold brew, especially among folks already in that space,” says Reid. “For me, what it stands to gain from Reynolds and Wrexham FC is cultural gravitas and the fandoms surrounding these properties.”
The partnership announcement alone last year led to $5M in sales, and a doubling of household penetration within 3 months.
The “Ryan Reynolds effect” and celebrity endorsement of coffee
Ryan Reynolds’ purchase of Wrexham AFC signalled a new chapter for the football club, driving global attention and transforming its image.
Leveraging Reynolds’ star power and strategic investments, STōK Cold Brew sought to capitalise on his influence and credibility in the entertainment industry to enhance its brand positioning and market appeal. Reynolds’ track record of successful ventures, including Aviation Gin and Mint Mobile, underscores his marketing prowess and ability to turn projects into commercial successes.
By associating with Reynolds and tapping into his ethos of relatable charm and authenticity, STōK positioned itself as a brand with celebrity cachet and a keen understanding of cultural trends. Ryan Reynolds represents the “all American guy” – despite actually being Canadian – and a way into the hearts and homes of average American consumers.
“The brand is about pushing people forward and providing a ‘bolt of inspiration.’ Who better to pair with than someone who’s doing it all, and with a smile – which is Ryan Reynolds,” says Reid.
“He adds both a lightning rod of international awareness and a trusted voice and marketing mind. He’s also a multi-hyphenate which plays well with coffee’s expanding role and form factors.”
Pairing coffee and celebrities isn’t a groundbreaking strategy. In fact, a wave of “celebrity coffee” has been unfurling across the market recently. From The Weeknd to Green Day, Hugh Jackman, Rohan Marley, Snoop Dogg, Mick Fleetwood, Leonardo DiCaprio, Ralph Lauren, Machine Gun Kelly, Justin Bieber, and Taylor Swift, celebrities have been “boarding the coffee bandwagon.”
“What do Tom Hanks, Sofia Vergara, Emma Chamberlain and Rudy Giuliani have in common?” reads yesterday’s New York Times article Celebrity Coffee Is the Next Celebrity Tequila. “Not much. Except they all hawk coffee now.”
And with reason. A recent study shows that nearly 50% of consumers are influenced by celebrity endorsements to purchase coffee. Another marketing psychology study finds that people are more likely to choose products that are endorsed by a celebrity rather than a non-celebrity, and they make that choice faster.
But until now, these celebrity figures have been mainly venturing into the coffee business either through ownership stakes or co-branding efforts. STōK’s strategy transcends mere celebrity endorsements, focusing more on indirect celebrity association (Ryan Reynolds through Wrexham) to enhance brand recognition and appeal to a wider consumer base.
“In terms of celebrity marketing, I think we’re seeing with coffee now what was previously the realm of energy drinks and alcohol brands – celebrity endorsements and a point of view on social and cultural topics,” says Reid.
Sports, entertainment, and coffee brand broadcasting
STōK Cold Brew venturing into the realm of sports, particularly football, underscores a means of expanding their reach and engaging with diverse audiences.
In an industry traditionally associated with beer and snacks, coffee is emerging as a novel and health-conscious alternative, positioning itself as the new go-to energy drink for athletes and sports enthusiasts, as well as young consumers.
“Alcohol and spirits are sometimes seen as losing favour with Gen Z, and energy drinks are increasingly scrutinised for sugar content and other ingredients,” says Reid.
“I think coffee – especially nontraditional forms like iced coffee and caffeine shots – can continue to carve out a share in the beverage market with younger consumers who may never fully ‘onboard’ to those other beverages the way previous generations did.”
Reid views iced coffee as a much more natural fit into the sports world for future generations than beer, for example.
“I think the timing is also great, as we kick off the Olympics,” says Reid. “There’s an elevated interest in wellness and pushing oneself and each other. I expect we’ll see coffee, tea, and flavoured water brands become regulars in these domains in the next couple of years.”
The link between sports and specialty coffee brands opens up avenues for collaboration and cross-promotion, enabling coffee companies to target wider demographics and gain visibility in new markets.
Major sporting events like the Super Bowl provide coveted advertising space, offering brands like STōK invaluable exposure and opportunities to connect with audiences on a global scale.
Other notable figures in the sports and entertainment industry, such as football star Patrick Mahomes and the Throne Coffee brand and NBA celebrity Jimmy Butler and BigFace, who have ventured into brand partnerships and endorsements, show the synergy between sports, entertainment, and coffee marketing works.
By exploring the intersection of sports and coffee culture, brands like STōK Cold Brew are transcending traditional marketing norms and tapping into the world of sports and entertainment to forge lasting connections with consumers worldwide.
Coffee Intelligence
Want to read more articles like this? Sign up for our newsletter here.
