An innovative coffee beverage appealing to children’s nutrition, Kiid Coffee acts as a vitamin supplement to support childhood development.
For co-founder David Sanborn, who started the company with his eight-year-old son Ethan, the cognitive dissonance around the brand’s message is part of the magic and the fun.
“Ethan had the idea to sell ‘coffee for kids’… from a business point of view, I thought ‘that is crazy’ which also means it is something we can talk about,” said Sanborn.
The brand will be featured on an upcoming episode of ABC’s Shark Tank on Friday, March 7. Although he noted that it’s nerve-wracking to not be able to see the episode before it airs, Sanborn looks forward to getting the ability to teach millions about his family’s unique product.
The brand considers how beverages thought of as “off-limits” to kids because of health concerns, such as soda and energy drinks, can be tailored to support the demographic it ignores. Sanborn added that, even though the products leverage a natural decaffeination process called water-processed decaffeination that leaves only 1 mg of caffeine, it jumpstarts a conversation about children’s health.
The impetus of the brand came to Sanborn when his son had broken his leg for the second time in an accident. Even though he and his wife were passionate about ensuring his son was eating healthy and taking a multivitamin, these solutions did not adequately address his developmental needs. The solution: to create a milk-soluble drink that can provide necessary macronutrients while allowing kids another healthy beverage option beyond just water and milk.
Moreover, the product incites the ritualistic pleasure of a daily coffee routine, giving parents the ability to give it to their children without compromising on health. The current product line includes the following flavors: Original Latte, Choco’ Latte, and Caramel Latte.
Although worried about consumer education around caffeine consumption, Sanborn noted that education will be an important part of the company’s growth strategy. On pack, it compares its caffeine per serving content to chocolate, tea, soda, and energy drinks to show how little caffeine it has and explains the high-quality ingredients from which it is derived.
The business operates mainly direct-to-consumer, however, notable partnerships with specialty retailers, bakeries, and cafés showcase larger market vulnerabilities for permissible indulgences for children in alternative channels.
The brand fits into macro F&B trends such as better-for-you snacking and the accompanying concern for individual well-being, as well as consumers craving unique experiences, particularly in coffee.
The next step – retail. Sanborn noted that the product’s unique spin may make it difficult to merchandise in-store; however, it also presents an opportunity. He could see the product next to hot chocolate and other less-healthy products marketed toward children.
The price point, too, is key. Similar nutrition beverages for children tend to be between $2-3 per serving, Sanborn explained. Kiid Coffee, on the other hand, saves money on packaging costs by selling the product in bulk.
The Food Institute Podcast
How does one ride the skate ramp in CPG? Dr. James Richardson, author of Ramping Your Brand and owner of Premium Growth Solutions, shares some of the pitfalls many early-stage CPG brands make and highlights some of the pathways to success.