As consumer preferences evolve continuously, the beverage industry serves as a dynamic hub for innovation, redefining how drinks are sourced, crafted, packaged, perceived, and enjoyed. Starting in 2021, the initial value of the global beverage market was at US$1,568.389 billion and being projected to expand with a compound annual growth rate (CAGR) of 3.47%, and it is forecasted to attain a market size of US$1,991.845 billion by 20281.
Trendswatch 2023: What’s Brewing in Beverages
Prebiotics Catch On
The scientific definition of prebiotic according to The International Scientific Association for Probiotics and Prebiotics (ISAPP).2
“A substrate that is selectively utilised by host microorganisms conferring a health benefit”.
Despite having a smaller piece of the biotics market at the moment, prebiotics prominence is rapidly on the ascent. The global prebiotic market was predicted to experience a CAGR of 14.9% from 2022 to 2030, with an estimated value of around USD 21billion by 20303. A survey conducted by FMCG Gurus in 2022 revealed that consumers who have heard of prebiotics primarily favour prebiotic applications in beverages4.
|
|
Global |
Asia-Pacific |
Europe |
North America |
South America |
|
Food |
32% |
32% |
33% |
26% |
42% |
|
Drink |
33% |
33% |
34% |
33% |
25% |
|
Nutritional Supplements |
24% |
27% |
22% |
32% |
18% |
|
No Preference |
11% |
9% |
11% |
9% |
15% |
Source: FMCG Gurus, 2022
Within the same FMCG Gurus’ survey, an equal percentage of 31% of consumers who have heard of prebiotics can identify “chicory root fibre” and “inulin” as prebiotic ingredients4.
Source: FMCG Gurus, 2022
Beneo Orafti® inulin and oligofructose, extracted from the chicory root are the proven prebiotics that may improve digestive health and support normal bowel function. These chicory root fibre supports selectively the growth of bifidobacteria which may produce short-chain fatty acids and other metabolites to stimulate hormone, and the immune and nervous system via the gut-brain axis.
In the aftermath of the COVID challenges and mounting financial stress, consumers are showing a growing interest in products that bolster their emotional and cognitive well-being to alleviate stress. This shift has revolutionized the terrain for the food, beverage, and supplements sectors, as they now predominantly provide products designed to enhance sleep, mood, and alleviate stress. In 2022, the global market for functional beverages was valued at approximately USD 140 billion with projections to reach about USD 261.56 billion by 2032, exhibiting a forecasted CAGR of 6.50% during the period from 2023 to 20325.
Functional Beverages
The growth projection outlined above indicates that today’s consumers are not only considering individual ingredients and health claims, but they are also demonstrating a willingness to invest more in functional beverage products.
Two buzzwords recently set to surge in popularity under mood-enhancing functional foods and beverages are nootropics and adaptogens.
Source: Precedence Research, 2023
Nootropics are known for enhancing memory, creativity, motivation, and mental clarity, along with antioxidant-rich botanicals such as green tea and yerba mate. Adaptogenic herbs such as holy basil, ginseng, and Schisandra, as well as amino acids like acetyl-L-carnitine, L-theanine, and L-tyrosine, are reported to have the ability to regulate functions in the body through raising or lowering hormones and hence assisting the body to “adapt” to stress6.
Hexagon Nutrition offers various of clinical nutrition solutions products to cater to the growing demand for the functional food and beverage segment. These comprise an assortment of amino acids and combinations of vitamins and minerals that offer various advantages across different applications.
Tropical and Tangy
The current beverage trends are shifting towards lighter flavours, with a clear emphasis on achieving a well-balanced taste profile. The dominant flavour trend that industry experts have observed and highlighted a pronounced increase in usage of citrus flavours in sweeter spirit-flavoured cocktails and ready-to-drink beverages7.
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According to research done by Innova Market Insights, citrus stands as the most favoured flavour in beverages, appearing in approximately 1/3 of all new beverages launch over the past 5 years. In the year 2021, citrus flavour was present in 30% of soft drinks, flavoured water, juices, and energy drinks, 32% of alcoholic beverages and hard seltzers, and 29% of water-based ice creams8.
The research study revealed that worldwide consumers opt for citrus flavours in the following scenarios:
Two flavours manufacturers and innovators, Scentium Flavours and Ingrebio have emerged to redefine the essence of flavours industry. Complementing this journey of flavour exploration, they shine as an innovative powerhouse, offering captivating and memorable flavour profiles to be used in beverages, confectionery, and savoury applications.
DPO International, a full suite market enabler, by working in tandem with the world’s premier specialized food ingredient producers, Beneo, Hexagon Nutrition, Scentium Flavours and Ingrebio, we are equipped to assist you in translating this trend into innovative concepts for your brand, from ideation to manufacturing stage, we are here to provide you with all kinds of solutions and support you through every phase.
References:
- Knowledge Sourcing Intelligence (2023). Global Beverage Market.
- Gibson, G. R., Hutkins, R., Sanders, M. E., Prescott, S. L., Reimer, R. A., Salminen, S. J., Scott, K., Stanton, C., Swanson, K. S., Cani, P. D., Verbeke, K., Reid, G. (2017). Expert consensus document: The International Scientific Association for Probiotics and prebiotics (ISAPP) consensus statement on the definition and scope of prebiotics. Nature Reviews Gastroenterology; Hepatology, 14(8), 491–502. https://doi.org/10.1038/nrgastro.2017.75
- Blatman, J. (2023). Are Prebiotics Ready for Prime Time? Nutritional Outlook. 26 (4).
- FMCG Gurus. (2022). FMCG GURUS: Understanding the Prebiotic Market in 2022 and Beyond.
- Precedence Research (2023). Functional Beverages Market, Forecast 2023 – 2032.
- Mellentin, J. (2022). 10 Key Trends in Food, Nutrition & Health 2023. Industry Report.
- (2023). 2023 Beverage Trends.
- Kaiser, C. (2022). The Appeal of Citrus Flavours: New Trends and Mainstream Favourites. Kerry Group.
