Round-Up - New Product Development in the Global Drinks Industry
By: Tom Vierhile, Innovation Insights Director at Canadean
Every month, Tom Vierhile from Canadean considers the latest NPD in drinks.
It's good to be in the bottled water business. According to Canadean, packaged water sales are expected to drive almost all of the net growth in beverage consumption over the next five years in the US, as water continues to gain at the expense of carbonated soft drinks. Premium water could lead the next wave of growth thanks to a wave of recent new product innovation.
Prior to 2014, few would have thought that drinking bone broth – one of the oldest mainstays of the culinary world – would become a thing. Drinking something viewed as a soup or meal ingredient was originally dismissed as a faddish obsession of the Paleo crowd. But, instead of flaming out, bone broth seems to have caught fire, as it moves from food service oddity to a potential player in functional beverages.
Move over iced coffee; cold brew coffee has your number. The average coffee drinker may not know the difference between iced coffee and cold brew coffee, but odds are that they will soon, as cold brew coffee takes shape as the beverage industry's next potential superstar. Few beverage concepts have gone from hipster favourite to mainstream must-have in as little time.
Milk alternatives may lack the advertising heft of CSDs, the share-of-stomach of bottled water, the sophistication of coffee or the mind-numbing innovation of craft beer. But, what they do possess is the fastest per-capita consumption growth of any non-alcoholic beverage category in the US, an achievement many product categories would be envious about.
It is well known that carbonated soft drinks have a sugar - and obesity - problem that has led to steady sales erosion over the past decade. Less well known is that juice is suffering as much, if not more, from many of the same issues.
From a sales and growth perspective, there’s a lot to like about bottled water. With US per-capita consumption up just over 6% in 2014, according to Canadean, bottled water is helping beverage makers forget about steadily-shrinking sales of carbonated soft drinks. But, bottled water has issues of its own, primarily related to single-use plastic packaging, which is increasingly seen as wasteful and possibly even harmful to health.
Wheatgrass has been a staple of the juicing community for nearly as long as there have been juicing machines. But, juicing can be messy, time-consuming, expensive and inconvenient. Consumers averse to making their own wheatgrass juice, shots or smoothies now have a growing array of packaged wheatgrass drinks to choose from as innovation in ready-to-drink wheatgrass takes off.
Soft drink sales may be slipping, but it seems that consumers have never really lost their taste for soft drink flavours. The surprising success of hard root beer is opening up a new vein of soft drink-inspired hard alcoholic beverage innovation that could be the biggest new opportunity in alcoholic drinks for quite some time.
Don’t look now, but one of the most memorable and controversial trends in soft drinks from the 1980s and 1990s – clear soft drinks – is staging a comeback. And, some of the iconic clear soft drinks of the period, including Original New York Seltzer, Clearly Canadian and maybe even Crystal Pepsi are leading the charge.
In this month's review of drinks NPD, Tom Vierhile considers how wine companies are helping consumers make their wine-purchasing decisions.
By taking the pulp out of their products, could fruit juice makers be missing a trick when it comes to consumers craving healthy alternatives? Tom Vierhile from Datamonitor delves deeper.
The race for volume in the drinks industry is drawing to a close, with smaller packaging options coming to the fore, particularly in beer and soft drinks. Tom Vierhile from Datamonitor investigates.
The beer industry’s obsession with craft beer may have hit a peak of sorts with Anheuser-Busch InBev’s snarky Super Bowl ad mocking craft beer lovers as soft and undeserving of “brewed the hard way” beer like Budweiser. Controversy aside, large brewers now seem to be looking beyond craft beer as the next great growth opportunity by embracing new flavoured malt beverages (FMBs) proliferating in cocktail-inspired flavours.
'Beauty from within' is a concept that has captivated and confounded global beverage makers for years. The last great burst of innovation took place around 2008 and was short-lived, as a tanking global economy dragged promising “beauty from within” concepts like Nestle’s Glowelle down with it. But, with chatter about “beauty from within” growing again and new product innovation on the rise, is the beauty drink concept finally on the cusp of great things?“Beauty from within” is a concept that has captivated and confounded global beverage makers for years. The last great burst of innovation took place around 2008 and was short lived as a tanking global economy dragged promising concepts like Nestle’s Glowelle down with it. But, with chatter about 'beauty from within' growing again and new product innovation on the rise, is the beauty-drink concept finally on the cusp of great things?
The success of craft beer may be one of the biggest success stories in packaged beverages in the last 50 years. Craft beer currently accounts for over 14% of the overall beer market in the US and craft beer production nearly doubled between 2011 and 2014, according to the country's Brewers Association.
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- A-B InBev and its SABMiller divestments - Focus
- Where does AB InBev see the future of beer?
- Is the wine industry confusing its consumers?
- Are consumers getting tired of consuming?
- Private equity poised for SABMiller Europe buy?
- Remy Cointreau names new Travel Retail exec
- AB InBev to sell SABMiller Cent'l, E Europe assets
- Leonardo DiCaprio joins Runa drinks board
- Pernod Ricard to widen Our/Vodka sales reach
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends
- Global travel retail insights - market forecasts, product innovation and consumer trends
- Global non-Scotch whiskies insights - market forecasts, product innovation and consumer trends
- Carbonates in India
- Consumer and Market Insights: Spirits Market in the US