Schaefer — Grocery Perspectives · Category History · By Seth Waite

Hires invented the playbook every beverage brand still runs.

In 1876, a Philadelphia pharmacist walked into a World's Fair and walked out having invented American soft drinks — and the brand architecture that Olipop, Athletic Brewing, and Liquid Death are all still running 150 years later.

Category Creation Buyer Psychology Brand Strategy 1876 — Present
Original Hires Root Beer advertisement — the original better-for-you beverage
Founded
1876
Philadelphia Centennial Exposition — before Coca-Cola existed
Ad Spend — 1893
$200K
In 90 days. Equivalent to ~$7M+ today. When the category was a rounding error.
Reach — 1895
3.1M
Packages sold in 1894 — "five glasses for every American."

Context

The problem wasn't product. It was permission.

What's instructive about Hires isn't the recipe. It's that he solved a problem that every beverage brand faces today and most misname.

The problem isn't product formulation, distribution, or even taste. It's permission — giving the buyer a story about themselves that makes the purchase feel like self-expression rather than indulgence, virtue rather than vice, identity rather than transaction.

Hires figured that out in an era before focus groups, before behavioral economics had a name, before anyone had written down the concept of a "job to be done." He did it by reading his culture precisely and building a brand architecture — not a product — that met the buyer exactly where their anxiety lived.

The cultural gap Hires filled — 1876 beverage landscape
HIGH MORAL COST HIGH MORAL CREDIT Beer Satisfies need Moral cost high Pleasure high THE GAP No brand lived here Hires Root Beer Both sides served Water Temperance Moral credit high Pleasure low

The market he entered had three drinking realities: water of dubious safety, milk that spoiled within hours, and beer that was both cheap and culturally dominant. The Women's Christian Temperance Union was at its political peak. Urbanization was concentrating populations into newspaper-reading, magazine-subscribing consumers for the first time.

What Hires saw wasn't a product gap. It was a social gap. Millions of people wanted the ritual of having a drink — the release, the gathering, the sensory pleasure — but were caught between two forces. Industrial-era pressure toward moral rectitude on one side. The deeply human need for pleasure and pause on the other.

Why People Buy
The purchase wasn't about thirst. It was about social permission — the right to participate in adult ritual without moral cost. This is job-to-be-done thinking, 100 years before Christensen named it.
Market Context
1876 America: Urbanization creating mass consumer markets. WCTU at peak political power. Contaminated city water driving search for safe, enjoyable alternatives.
The Pattern
Brands that straddle a cultural binary — satisfying both sides rather than picking one — consistently outperform brands that pick a side. Hires ran this play 150 years before anyone named it.

Buyer Psychology

Four levers. One complete map of how consumer brands build desire.

Understanding why the Hires brand worked requires going one level deeper than the advertising itself. It requires understanding what the product was actually for — which was never, at its core, refreshment. The purchase of Hires Root Beer was a performance of identity.

Lever 02
Health as Halo, Not Proof
Trade cards claimed Hires "imparted strength and pure blood." The claims were vague enough to be unfalsifiable and specific enough to feel like a reason. The health story justified the trial. The taste drove the repeat. The functional benefit is the door. Flavor is the room. Brands still fail this sequencing today.
Lever 03
Social Proof at Scale
A 1895 ad: "3,134,393 packages of Hires Root Beer were sold in 1894 — sufficient to give every man, woman, and child in the U.S. five glasses." He turned unit economics into a brand asset. Buying Hires meant joining something already enormous. FOMO is not a social media invention. Hires ran it in print in the 1890s.
Lever 04
The Family Frame
The "Hires Boy" mascot (1891), 600,000 illustrated children's rhyme books in American homes, cute children and animals in ads. He captured the household decision-maker through her kids decades before "pester power" had a name. Associate your brand with moments people already feel good about — you don't manufacture positive emotion. You inherit it.
"
Not advertising is like winking at a girl in the dark: you know you're doing it, but nobody else does.
— Charles Elmer Hires, on his $200,000 advertising spend in 90 days (1893)
See. Want. Trust.
All four levers map directly to Schaefer's See. Want. Trust. framework. Permission = Want (desire). Health halo = Trust (credibility). Social proof = Trust (social validation). Family frame = Want (identity).
Modern Parallel
Olipop runs all four levers simultaneously: permission (soda without guilt), health halo (prebiotics + clinical trials), social proof (retail velocity claims), identity frame (nostalgia + wellness community).
The Sequencing Rule
The health claim is the door. Flavor is the room. Kombucha brands that tasted medicinal, protein waters that tasted like chalk — they got the trial, lost the repeat. Hires nailed both sides of this in 1876.
Hires Root Beer child advertisement — the Hires Boy mascot that captured household decision-makers

The "Hires Boy" — introduced 1891. The original pester power strategy.

Hires Root Beer vitality advertisement — health claims as the reason to try

Health as halo: claims of vitality, nerve force, and pure blood. Vague enough to be unfalsifiable. Specific enough to feel like a reason.

Go-to-Market Architecture

Three structural moves that built the moat.

The four levers explain why buyers wanted Hires. These three structural decisions explain why competitors couldn't replicate him.

1. Three SKUs, one brand — every occasion covered

Hires sold the home extract kit (makes 5 gallons), the bottled ready-to-drink, and the soda-fountain pour. The extract was particularly brilliant: it turned customers into co-manufacturers and ambassadors. When you made root beer at home from a Hires extract, you weren't just a consumer. You were a participant in the brand.

Hires' three-occasion coverage model — 1890s
Home Extract Makes 5 gallons Lowest cost/oz HOME OCCASION BRAND AMBASSADOR Bottled RTD Ready-to-drink Premium price TRAVEL / GIFT HIGHEST MARGIN Soda Fountain Trial + impulse Widest reach PUBLIC OCCASION DISCOVERY CHANNEL

2. Reinvested advertising at irrational levels

$200,000 in three months in 1893 — roughly $7M+ today — when the entire soft-drink category was a rounding error. The analogy holds for modern brands: advertising isn't just demand generation, it's proof of confidence. A brand that spends visibly is a brand that believes it will survive. That signal of permanence is part of what the buyer is buying.

Advertising intensity: Hires vs. modern challenger beverage brands (% of revenue reinvested in brand spend)
50% 40% 30% 20% 10% ~45% Hires 1893 ~35% Liquid Death ~30% Olipop Early stage ~22% Athletic Brewing ~18% Poppi Mature

Estimated figures. Hires 1893 based on reported $200K/quarter vs. estimated revenue. Modern brands estimated from public filings and reported data.

3. Owned media before owned media existed

Trade cards, joke books, puzzle books, pen knives, pocket mirrors, Maxfield Parrish-illustrated magazine spreads. Each piece was useful, collectible, or shareable — a physical content marketing engine where the consumer carried the brand into their home and pocket.

The lesson isn't "do content marketing." It's that the form of the content should match the rhythm of the buyer's life. Hires gave people things they wanted to keep. The brand traveled with the object.

Channel Coverage
The extract kit is the 1870s equivalent of a DTC subscription. The soda fountain is retail. The bottled product is premium gifting. Three channels, one brand, zero channel conflict.
Modern Parallel
Brands that win in beverage win across at least three occasions. Single-channel DTC beverage brands consistently hit ceilings around $30–50M because the category rewards ubiquity over depth.
Content Marketing
600,000 illustrated children's rhyme books in American homes. Hires wasn't doing "content" — he was making objects people actually wanted to keep. The brand was ambient. The benchmark is still useful.
Hires Root Beer extract kit — the original DTC subscription model

The home extract kit — turns customers into co-manufacturers. The 1876 version of a DTC subscription that deepened identity attachment.

Hires Root Beer 'Good for All' advertisement — social proof at scale

"Good for All" — belonging as the primary message. Buying Hires meant joining something already massive.

Cautionary Note

Where it eventually broke — and why it matters for brands today.

By the 1920s, Prohibition removed Hires' core wedge. The temperance positioning lost its meaning when beer itself was illegal — there was no longer a cultural binary to straddle, no moral credit to be earned by choosing root beer over alcohol.

The Hires Boy started reading as too domestic, too juvenile for a Jazz Age audience drifting toward Coca-Cola's urbanity. The brand pivoted to flappers and glamorous couples, but the strategic identity had been built on a cultural antagonist that no longer existed.

"
Positioning that depends on a specific cultural enemy has an expiration date. The enemy changes. The enemy wins. The enemy gets legislated out of existence.
— The Hires lesson, still running in 2026
Hires Root Beer — brand strength timeline, 1876–1940s
Peak Mid Low 1876 Founded 1893 $200K ad blitz WCTU reverses 1920 Prohibition 1940s Decline

The modern analogue is closer than most brands want to admit. Brands positioned purely against "Big Soda" or "Big Alcohol" risk the same fate if the incumbents reformulate — which they're already doing. Coke has acquired functional brands. AB-InBev owns the NA beer leaders. When the enemy cleans up its act, "better than them" stops being a differentiator.

Strategic Risk
The temperance enemy was legislated out of existence in 1920. Today's equivalent: brands built against "Big Soda" risk the same fate if Coke/Pepsi reformulate their core lines with functional ingredients.
The Durable Frame
Positioning that says "I am for this kind of person, in this moment, doing this thing" survives reformulation, acquisition, and category drift. The identity frame is durable because it's not about the competitor — it's about the buyer.
What Survived
Root beer as a category outlived Hires' brand dominance. The category creation was permanent. The brand dominance was not. Useful reminder that category wins outlast brand wins.

Applied Framework

What modern beverage brands can actually steal from this.

The current functional-soda war between Olipop and Poppi is, structurally, the Hires playbook re-run with better fermentation science. Olipop's "a new kind of soda" with prebiotics for gut health is Hires' "pure food temperance drink" with different vocabulary. Poppi's lifestyle-and-community play is the Hires Boy translated into TikTok.

Brand Permission Frame Health Halo Social Proof Lever Identity Anchor
Hires (1876) Beer ritual without moral cost Pure food, nerve force, vitality 3.1M packages sold; "every American" Respectable family person
Olipop Soda without the guilt Prebiotics, clinical gut health trials Retail velocity, sold-out claims Health-conscious nostalgia seeker
Poppi Fun soda, redefined Apple cider vinegar, prebiotic fiber TikTok virality, Super Bowl ad Trendy wellness community
Athletic Brewing Beer ritual, no alcohol Lower calories, better mornings Racing sponsorships, athlete endorsers Performance-focused adult
Liquid Death Heavy metal water (absurdist) Hydration, electrolytes Can count, skate/music community Anti-establishment rebel

Five transferable lessons

  • Don't fight the dominant category — borrow its language and replace its guilt. Hires said "beer." Olipop says "soda." Athletic says "beer." The wedge is permission, not novelty. Brands trying to invent a new word for what they are consistently underperform brands that hijack a familiar ritual and clean it up.
  • Sell the halo, deliver on the taste. Hires' health claims were the reason to try; the sweetness was the reason to repeat. Olipop ran clinical trials, but its growth flywheel is that it tastes like Dr Pepper. Functional benefits open the door. Hedonics keep it open.
  • Make the unit economics the brand asset. Hires advertised his sales volume. Liquid Death advertises its can count. Stating scale is itself a form of social proof. "We sold out three times" outperforms "buy now" creative because the former recruits the buyer into a tribe.
  • Cover every occasion with the same brand, different forms. Hires had extract, bottle, and fountain. Today's equivalent is multi-pack at Costco, single-serve at gas stations, 6-pack at Whole Foods, and DTC subscription. Brands that win in beverage win across at least three of those occasions.
  • Anchor positioning in a buyer truth, not a cultural enemy. The identity frame — "I am for this kind of person, in this moment, doing this thing" — survives reformulation, acquisition, and category drift. "Better than them" is fragile. Identity is durable.
Pattern Match
Every cell in the comparison table that has a strong answer is running a Hires lever. Every empty or weak cell is a strategic vulnerability — something a challenger brand can exploit.
The Occasion Ceiling
Single-channel DTC beverage brands consistently hit a $30–50M ceiling. Hires solved this with three SKUs in the 1870s. The lesson hasn't changed.
Language First
"Root beer" was a deliberately borrowed word. The familiar word does the cognitive work of placement. Differentiation does the work of justification. You need both, in that order. "Sparkling botanical tonic" fails the first test.

The Summary Line Worth Keeping

Hires didn't sell root beer. He sold a piece of identity — permission to participate in adult social ritual without surrendering moral standing.

The core insight is still the right one: people don't buy beverages. They buy permission to be a certain kind of person. The health claim is the permission slip. The flavor is the delivery. The brand is the community that confirms the choice was right.

Every beverage brand that has mattered since — Coke's "happiness," Red Bull's "wings," Liquid Death's anti-establishment posture, Olipop's gut-health permission, Athletic's sober adulthood — is running a variation of that same structural play. Hires figured it out at a Centennial Exposition with a paper packet of root extract. We're still catching up.

See. Want. Trust. → Why People Buy →

Sources

Lower Merion Historical Society · Philadelphia Yearly Meeting · MSU Campus Archaeology · Library Company of Philadelphia · Tredyffrin Easttown Historical Society · Bay Bottles · Vintage Recipe Blog · London Middlebury