Alternative Choices with Familiar Culture
By: Gerald Dlubala
It was in early 2021 that David Mukpo, CEO of Pamos Cannabis Cocktails and Spirits, opened a cannabis dispensary. But that wasn’t his end game. His dispensary was successful, but he wanted to provide cannabis users an alternative to the limitations of either smoking cannabis or using edibles as the delivery method. Many consumers don’t want to have to smoke to use cannabis, and others may not want to wait for the lengthy amount of time that gummies take to have any effect.
The successful dispensary became a pathway for Mukpo to create, get approval for and get widespread distribution for his Pamos cannabis and hemp-derived THC-infused spirits and cocktails. In October 2023, the hemp side of the business became a reality by launching in true traditional liquor retail and distribution fashion. Pamos appeals to the largest market possible by merging the familiar culture of conventional cocktails and spirits served in a bottle, can or glass with the option for an alcohol alternative with none of the traditional debilitating side effects.
“At our core, we never set out to compete with cannabis,” said Mukpo. “Our entire project was, and is, designed as a new adult beverage category, positioned as an alternative to current alcohol consumption. But when we first launched, the only real pathway to do that was through the regulated marijuana industry, made legal by state-level programs. Dispensary products, however, lean towards high dose, low cost, flower and edibles forms. We had quite a lot of success there in California, Nevada and Arizona, but to an extent, it was fighting with one hand tied behind our back. At its core, beverages are not dispensary products. What changed that was the ability to use hemp. The 2018 Farm Bill made hemp federally legal as long as the concentration of THC is under three percent by dry weight. And to make a long story short, all of our products and products like ours have a concentration of physical substance of well under that. So, our products and plans went through the court system and state legislators and were ultimately deemed federally legal. That ruling drastically changed the way we were able to go to market. We now could use traditional distribution methods, and as a result are distributed by some of the biggest beer distributors to the largest liquor retailers in the country.”
Creating a Cocktail Experience with Compliant and Ethically-Sourced Cannabis
Mukpo tells Beverage Master Magazine that their hemp-derived THC distillate is emulsified and broken down into small, water-soluble particles. After that, the manufacturing process is similar to that of traditional nonalcoholic beverages.
“Our entire flavor profile from our spirit standpoint is designed to mimic alcohol,” said Mukpo. “One of the hardest things to do is create a nonalcoholic spirit that has the comparable taste and mindset that its alcohol-based counterpart would deliver. We use bitters for flavor and aroma and to create that cocktail reminiscence. Still, a lot of that mindset comes down to delivering that familiar flavor in a traditional form factor like a glass or can the consumer can hold. We’ve become Texas’s second-largest-selling non-alcohol beverage in just a few months of sales. In our success, we’re meeting an industry trend of consumers wanting a cocktail experience without the effects of the alcohol.”
Mukpo said that Pamos only sources ingredients and uses copackers with principles based on ethical and compliant origins.
“We are sold nationwide, so we have to know the workings of the farms and key partners we use,” he said. “We know how the ingredients are grown and understand the methods of production to maintain quality and safety. Any time Pamos puts THC into a beverage, we know where that plant came out of the ground. We track our chain of custody from seed to sale to ensure we use only compliant, ethically raised and produced hemp.”
The Pamos Experience Is Familiar, but New
“Pamos was built on getting consumers to use our cannabis-infused products through the use of a familiar form factor, namely a glass or can in their hand,” said Mukpo. “The amount of liquids in cans sold in our country is staggering, so we thought that if we approached consumers with a familiar form factor, we’d have a stronger capability of gaining acceptance. Canned beverages are more digestible as a product and more acceptable in certain areas, situations or venues. Everyone knows what it’s like to socialize with a beverage in hand, so again, we’re shaping the industry into something that the consumer already understands and can feel.”
Consumers can expect to feel the effects of the balanced blend of CBD and THC-infused cocktails in as little as 10 to 15 minutes. Depending on the dosage ingested, the effects last about an hour or two. Mukpo said that his cocktails and spirits provide a lighter, milligram-adjustable social buzz than typical alcohol cocktails without the side effects of alcohol on the body, including hangovers.
While Pamos doesn’t have the traditional tasting rooms like many craft beverage producers, they focus on providing consumers the opportunity to experience their products in the same environments where alcohol is typically consumed. Sold across the country, Pamos Cannabis Cocktails and Spirits are widely available in bars, restaurants, hotels, live sporting venues and more. While there are trace amounts of alcohol from the use of bitters (ABV of 0.1 percent), Pamos contains less alcohol than an average bottle of kombucha.
“Additionally, our beverages are vegan and made with natural, non-GMO, gluten-free ingredients, perfect for those with dietary restrictions,” said Mukpo. “Everything we do from a flavor standpoint is derived from natural flavors. We don’t currently use barrels or storage vessels to add flavor, but we’re not ruling that out in the future. Pamos is sold in ready-to-drink (RTD) canned cocktails and bottles as a spirit base. Our canned cocktails include a mai-tai, tropical mai-tai, peach and guava bellini, raspberry Long Island iced tea and more on the way. We’re looking at launching three new cocktail expressions in the next 60 days. Consumers can use our bottled spirits like they use alcoholic spirits now, creating their own cocktails at home. We’ve been pleasantly surprised with our sales mix because we expected the bottled spirits to be a smaller part of our portfolio, but it’s been almost a 50/50 split in bottled spirits and RTD sales across the country.”
Marketing Means Education
Pamos boasts an extensive customer base with demographics across the board.
“In our early days, the strongest market was older consumers who wanted to cut down their alcohol consumption as it gets harder on their body,” said Mukpo. “Since then, we’ve transitioned to a point where our strongest demographic is now 21 to 35-year-old women. To be honest, I think we were all taken by surprise at how quickly Pamos was picked up by consumers looking for a new option, but it leans on the fact that there were probably quite a few people across the country already consuming cannabis regularly. And even though the dispensaries have absolutely helped expand the audience and normalize cannabis use, the driving factor in our success is meeting consumer demand for an adult beverage option.”
Mukpo said there will always be those who don’t like that products like these are available, but they’ve been very much in the minority. The early resistance was less than they anticipated, and the resistance that was there was more on the business-to-business side. “We had to be educators with our business-to-business clients simply because they were unsure if they could even sell it,” said Mukpo. “But once we educated and informed them of our legality and federally approved status, the retailers saw the data and realized this was an exciting and new opportunity for them. On the consumer side, it’s about educating them on the fact that it is entirely legal and then presenting a new product to them in a familiar form factor: a can or glass to hold in their hand.”
Pamos’ products are distributed in different-colored packaging corresponding to the dosage strength used in that particular drink or spirit. They are available in a range of dosages, starting at two milligrams of THC and CBD per serving, comparable to a glass of wine.
“We view ourselves as educators first and foremost,” said Mukpo. “Competition is not our primary concern. Properly educating the consumer is. It’s a really easy solution, but we take it very seriously. We suggest everyone start at the minimum dosage and build to their tolerances and what they want from our product. Similar to the way you drink alcohol, we encourage you to have a drink and see how you feel. That experience determines if you can or want to have more.”
Growing Distribution and Key Partnerships Are Primary Goals
“Our volume will continue to grow because it’s already doing so,” said Mukpo. “We’re filling orders for truckloads rather than the initial orders of pallets or cases. It’s all about growing distribution capacity and increasing availability. We have a strong presence developing in the southeast and Texas, and we want to continue to expand with properly scaled distribution partners. Our goals are less about specific target numbers and more about ensuring the distribution network we’re building is best in class. We’re proud of our partners and those we’re developing, and that’s something we look forward to continuing to do. For now, our time and resources are best spent educating our consumers and distribution partners. As we continue to scale upwards, we’re open to expanding our lines and offerings, and if the economics make it worthwhile, maybe one day look to bring canning and other aspects in-house. We may even look into storefronts as a way to provide consumers alternative ways of consumption.”
Go in with an Open Mind and Build from the Ground Up
Mukpo said that opening a dispensary made him aware of how important it is to dedicate resources to educate everyone, from in-house staff to end users. Gaining that education on what the product is, how to use it properly and what to expect builds the ability to educate curious, uninformed or misinformed consumers.
“If you want to get into this business or any craft beverage business, you have to have an unwavering passion, of course, but you have to realize that getting liquid into a can is the easy part,” said Mukpo. “You better be ready to continue your education and be comfortable enough to step into an educator role as needed. As entrepreneurs, we are generally comfortable jumping into the unknown. But you have to go into this industry with an open mind and be ready for a new challenge every day. That may be intimidating, but it’s also very rewarding. I mean, how many times in life do you get the opportunity to build an industry from the ground up? It’s exciting to be a part of.”
For more information on Pamos products, their cannabis cocktail club or to order spirits and cocktails, visit: https://www.pamos.com
Note from the Publisher: Check individual state laws regarding the purchase and distribution of this product as it may be prohibited due to its ingredients. Bricker Publishing does not endorse or promote the use or purchase of this product. This article was published solely for informational purposes.
