Allagash Launches First Adult Non-Alc Offering with Hop Water

Allagash Brewing is launching its first non-alcoholic (NA) offering this week with the release of Allagash Hop Water.

Hop Water will exclusively be sold in 12 oz. can 6-packs at the brewery’s tasting room in Portland, Maine, starting later this week.

As a tribute to flagship Allagash White, Hop Water uses water from Maine’s Sebago Lake with orange peel, coriander, and Crystal and Citra hops added during the brewing process.

“The flavor profile is a nod to Allagash White, where it’s balanced in a way where the citrus, hops, and spices all blend seamlessly,” Allagash brewmaster Jason Perkins said in a press release. “We think this is the sort of flavor that will appeal to existing hop water fans, as well as fans of flavored seltzers.”

Allagash enters a small but growing hop water segment within the adult NA beverage space. Year-to-date through May 18, hop water dollar sales increased +33%, to $10.5 million, and volume increased +32% in off-premise retailers tracked by market research firm NIQ (total U.S. xAOC + convenience + liquor).

Allagash sales director Josh Fruchtman told Brewbound that Hop Water’s introduction as a tasting room-first item follows other offerings’ path to potential wider release.

“It’s just a really good way for us to tiptoe into it and gauge that customer interest and take a look at what an accurate forecast might look like for that brand, or any brand, far and wide,” he said. “Whether it’s a more limited distribution release into New England in the rest of our home market, or a national rollout like we’ve done in the past with Hop Reach [IPA], to name just one.”

Fruchtman added that there are no plans yet to take Allagash Hop Water outside of the tasting room, although he hopes it graduates to a wider release.

As far as getting into other adult NA beverages, Fruchtman said Allagash isn’t looking to play in other spaces just yet.

“We’re just not focused on the type of investment in equipment and processes that would entail,” he said. “It takes away from our focus on our core lineup of our core beer and core offerings. But I wouldn’t say that it’s off the table by any means.

“This is an exciting project for us, and whether it comes in the form of an NA beer or a soda or something else, I’m sure we’ll explore other beverage categories that match up to what our consumers are looking for at the taproom.”

Allagash will take cues from other offerings on the market to price the 6-packs, which would put it in the $8.99 to $10.99 price range, Fruchtman said.

Hop Water is the latest taproom-exclusive beyond beer offering from Allagash, following Wild Blueberry Wines and Dry Ciders. Fruchtman said the items were added as Allagash began offering tour and beer sampling events at its Cellars space, as well hosting private events.

Blueberry Wine is made with Maine-grown wild lowbush blueberries, which are pressed in house and fermented with the brewery’s proprietary yeast strain for a “pie spice and mulled blueberries” flavor, according to a press release.

Small batch hard ciders are available on draft and seasonal, made with Maine-grown apple varieties that are fermented in bourbon barrels, steel vessels and other containers.

“We’re getting asked for other beverages at our tasting room – other options for someone who may not want to drink a beer right in that moment,” Fruchtman said. “This is a very natural spot for this [Hop Water] to live and to come to life.”

Fruchtman also touched on other pieces of Allagash’s business. Earlier this year, Allagash launched its first cohesive seasonal program, the House series, which Fruchtman said has “wildly outperformed” expectations. Demand for Surf House Summer Lager is likely to outstrip supply.

Surf House has already sold twice the volume of 2023’s seasonal releases – Seconds to Summer (12 oz. can 12-packs and draft) and Beach Report (16 oz. can 4-packs and draft) lagers – combined, and is available in three-and-a-half times as many retail outlets, Fruchtman said.

“It’s been just a huge success for this year,” he said.

The seasonal program will continue in the fall with Haunted House hoppy dark ale and then into the winter with Ski House winter white ale.

Meanwhile, Allagash White is “hovering around flat in scans” and “down single-digits right now,” Fruchtman said. He added that the brewery is seeing success in “narrowing the focus of our entire portfolio” and focusing on getting the right package format for the right region.

Year-to-date (through May 18), Allagash’s portfolio dollar sales have declined -8.1% and volume -7.2% in NIQ-tracked off-premise channels. The company was the 15th largest Brewers Association-defined craft brewery in 2023, with flat production year-over-year at 119,878 barrels, according to data from the BA’s New Brewer Magazine.

As for Allagash’s new tasting room in Scarborough, Maine, it remains under construction and without an opening date. In the meantime, Allagash has opened a family-friendly, fenced space dubbed the “Backyard” next to its existing tasting room in Portland.