Since the onset of the COVID-19 pandemic, functional drinks have been gaining momentum, with nootropics, immunomodulators, and botanics becoming household terms. Adaptogens, which claim to address rising concerns of stress, anxiety, and balance restoration, have been gaining ground rapidly. In addition, these ingredients help address the challenge of providing consumers with value for money by maintaining quality at steady prices. Against this backdrop, adaptogens are set to become mainstream ingredients, says GlobalData, a leading data and analytics company.
Bokkala Parthasaradhi Reddy, Lead Consumer Analyst at GlobalData, comments: “Over the last few years, a health-oriented approach to life has gained a new meaning. Globally, an increasing number of consumers are seeking products that will help them address specific aspects of their overall wellness, such as stress management, sufficient rest, anxiety-easing, and embracing sobriety or mindful drinking. As a result, they are reaching out for goods with added functionalities, active ingredients, or clearly stated health benefits. With their neuroprotective, anti-fatigue, and anti-depressive properties, adaptogens provide multiple benefits, such as boosting immunity, easing anxiety, and relieving stress, which are some of the major consumer focus areas following the pandemic.”
Deepak Nautiyal, Consumer and Retail Commercial Director, APAC and Middle East at GlobalData, notes; “Adaptogens are the new functional ingredients that have found a foothold in non-alcoholic drinks. They can be plant-based or synthetic and can be easily added to a multitude of drinks, such as carbonates, juice, and tea/coffee without altering the flavor or taste profile of these drinks. One of the primary advantages of adaptogens is the ease of use, as they can be consumed as dietary supplement capsules, in teas, or added to non-alcoholic drinks such as carbonates and juice. However, adaptogens cannot be termed as exclusive ingredients as many of them provide the benefits of nootropics and immunomodulators and the other way around.”
Reddy adds: “Some of the common plant-based adaptogens include Panax ginseng, Rhodiola crenulata, and Schisandra chinensis, which have been used to control or manage multiple conditions, including blood sugar control, brain health, fatigue, anxiety, depression, stress, liver diseases, and menopause symptoms. Ginseng is the most popular among these adaptogens and is widely used for its immunity-boosting attribute. Meanwhile, synthetic adaptogens, known as “actoprotectors” have similar functions and enhance body stability without increasing oxygen consumption or heat production, boosting mental and physical resistance, and increasing blood flow. However, these attributes, which enhance the appeal of synthetic adaptogens, also make them unsuitable for consumption by athletes.”
Nautiyal continues: “In addition to their health benefits, adaptogens also help in engaging consumer interest. With the majority of consumers reeling from the impact of high inflation, value for money has emerged as a key theme in consumer purchases. With rising input costs, manufacturers are being forced to provide more value to the consumer’s dollar. This is reinforced by a GlobalData consumer survey*, wherein 27 % of consumers perceive low price/cheap good value for money, and an equal number of respondents perceive high-quality products/ingredients as value for money.”
Reddy observes: “The addition of adaptogens will help to attract consumers who prefer high-quality ingredients. Moreover, these consumers will be inclined to pay more for proven health benefits, as evident in 84 % and 80 % of respondents in the same survey who opined “good for physical fitness/health” and “good for mental health” as an essential or nice to have features in their purchase decisions.”
Nautiyal concludes: “The benefits of adaptogens, which include managing stress and anxiety, are among the most sought-after features among consumers. In non-alcoholic drinks, adaptogens are being used in beverages positioned as alcohol substitutes, and natural energy drinks or night-time drinks that are claimed to improve the quality of sleep and rest, and their adoption is expanding. However, adaptogens are new to the market, and the potential impact of long-term use has not been proven. For instance, dosage control and the potential reactions to medications are still being studied. Hence, despite the significant benefits, adaptogens cannot be a universal panacea for addressing stress and anxiety. Manufacturers will have to address these concerns to push more brands to adaptogens.”
*GlobalData 2023 Q4 Consumer Survey – Asia & Australasia, with 6,163 respondents
New formulation of award-winning ingredient expands applications into sports and cognition products including RTDs and shots
Nektium has developed a new water-soluble formulation of its award-winning nootropic Zynamite® for cognitive and sports nutrition drinks.
Used to support mental and physical energy, Zynamite® is a Mangifera indica extract created from sustainably harvested mango leaves. The natural caffeine alternative has been the subject of 10 clinical studies and multiple industry awards since its launch in 2018, earning global recognition for its fast-acting, experiential benefits.
Nektium’s scientists have now created Zynamite® S to meet growing demand for innovative energy, sports and hydration drinks. It is designed for use in applications such as RTDs and shots where solubility, heat stability and transparency in solution are key.
Zynamite® S also has a neutral taste and is formulated to enable improved absorption of its bioactive component, mangiferin, which allows for reduced dosages.
Nektium Commercial & Partnership Director Bruno Berheide said: “Excessive caffeine intake is becoming a hot topic and there is high demand for alternatives that deliver instant power and energy that consumers can really feel. Zynamite® stands out as a non-stim energy alternative, naturally enhancing mental and physical energy in a smarter way – and without the side effects of caffeine. Our new Zynamite® S allows manufacturers the opportunity to formulate innovative beverages that can help consumers ‘get in the zone’ and perform at their best without suffering jitters and anxiety.”
Hybrid drinks
Zynamite® S can be used alone or in combination with caffeine to provide mental energy and focus as well as supporting physical energy, improved performance and recovery.
It is therefore ideally positioned to tap into the trend for hybrid beverages that blur the lines between energy and sports drinks. Innova Market Insights research shows that of the 56 % of consumers worldwide who regularly use hydration products in conjunction with their exercise routines, more than a third use energy drinks.1
Bruno Berheide added: “In today’s dynamic functional beverage market, many brands are innovating with hybrid products that offer both mental and physical energy. Zynamite® S is the perfect option for these products as it delivers clinically backed benefits for mental energy and sports performance within just one hour.”
Clinical benefits
Zynamite® is supported by a portfolio of safety data and its efficacy has been demonstrated in clinical studies in recognised journals.
Research has shown that, within one hour, a single dose of Zynamite® enhances mental energy and improves performance under fatigued conditions. In addition, it does not increase heart rate or blood pressure, avoiding the side effects associated with caffeine.2
In 2020, Nutrients published a clinical study examining its impact on cognitive performance in adults. It provided evidence that a single dose of Zynamite® significantly improved cognitive function and performance across a battery of cognitive tasks, including improved focus, improved memory and reduced mental fatigue.3
An independent study in Nutrients in 2024, meanwhile, examined the effects of a single dose of Zynamite® combined with quercetin on top basketball players in Greece during a basketball exercise stimulation test. Participants in the supplement group were faster, showing a statistically significant improvement in mean circuit lap time compared to those in the placebo group.4
1https://www.innovamarketinsights.com/trends/sports-and-energy-drink-trends/ 2López-Ríos, L. et al. ‘Central nervous system activities of extract Mangifera indica L.’ Journal of Ethnopharmacology (2020) 3Wightman, E.L. et al. ‘Acute Effects of a Polyphenol-Rich Leaf Extract of Mangifera indica L. (Zynamite) on Cognitive Function in Healthy Adults: A Double-Blind, Placebo-Controlled Crossover Study’ Nutrients (2020) 4Bourdas, D.I. et al. ‘Effects of a Singular Dose of Mangiferin–Quercetin Supplementation on Basketball Performance: A Double-Blind Crossover Study of High-Level Male Players’ Nutrients (2024)
The Public Benefit Company co-founded by former First Lady Michelle Obama is on a mission to raise a healthier generation of kids
PLEZi Nutrition, the Public Benefit Company co-founded by former First Lady Michelle Obama on a mission to create higher standards for how the U.S. makes and markets food and beverages for kids, announced the launch of PLEZi FiZZ. A carbonated fruit drink that will be available this spring in three new flavours, PLEZi FiZZ builds upon the company’s inaugural product, PLEZi, and aims to reach an older demographic of tweens and teens.
PLEZi Nutrition was created to give parents a helping hand by offering healthier, great-tasting products that parents can feel good about giving their kids and – most importantly – that kids actually want. Kids are consuming far too much added sugar—on average, 53 pounds of added sugar per year. Sugar-sweetened beverages, also referred to as sugary drinks, are the leading source of added sugars for kids, which is why PLEZi Nutrition chose to start with a focus on beverages. The company offers products that ace the taste test but with lower sugar content and sweetness to help adjust kids’ palates to crave less sweetness overall. In addition to reducing sugar and sweetness, they are adding in nutrients kids need, all with the aim to replace sugary drinks and snacks.
PLEZi FiZZ has 70 % less sugar (8 g per 8.4 oz) than average leading soft drinks (28 g per 8.4 oz), no added sugar, plus 2 g fiber and nutrients like potassium and vitamin C. PLEZi FiZZ will launch in three flavours: Cherry Limeade, Lemon Lime Squeeze, and Strawberry Lemonade, and will be available for purchase across Amazon and select convenience stores and club stores starting this Spring.
“I’ve dedicated so much of my life to helping kids and families lead healthier lives. As First Lady, I worked to rally every sector of society toward this goal,” said former First Lady Michelle Obama, Co-Founder and Strategic Partner of PLEZi Nutrition. “While I’m proud of all we accomplished during those years at the White House, I’ve also learned that to truly push the food and beverage industry to do better by our kids, you have to work from the inside. I’m thrilled to build on those efforts through PLEZi Nutrition as we work to drive change throughout the entire food and beverage industry.”
Guided by a Kitchen Cabinet advisory group of experts in nutrition, public health, and parenting, PLEZi Nutrition is committed to serving as an educational platform, including through the company’s Nothing to Sugarcoat site. The goal is to engage with parents, caregivers, and families about their questions when it comes to kids’ health and to be transparent about what’s best for kids, like drinking water and eating whole fruits and vegetables, because PLEZi Nutrition’s products are not intended to replace water and whole foods.
“Nearly two thirds of U.S. youth consume sugary drinks like soda on a given day,” said Dr. Shale Wong, MD, MSPH, Pediatrician and Professor of Pediatrics and Family Medicine at the University of Colorado School of Medicine, Member of the PLEZi Nutrition Kitchen Cabinet, and Mom of two teenagers. “We know that water or milk is always the best option for kids, and we’ll continue to recommend that first, but kids who are used to drinking soda daily often have a hard time making the switch. We in the public health community have been pleading for decades to drink water and frankly that alone isn’t working. It is clear to me that families need better options if we are going to shift the health of the country, especially for our kids.”
Furthermore, PLEZi Nutrition is dedicated to giving back. Building upon a $1 million commitment to FoodCorps’ Nourishing Futures initiative, PLEZi Nutrition will be investing 10 % of profits right back into the broader movement to promote kids’ health.
The global energy drinks market has presented itself as one of the most stable in recent times, registering continued growth over the past five-year period while many other drinks industries have stalled. Red Bull, Monster, and Rockstar have maintained their dominant share in the high-performing market at the global level over the past decade, resisting disruptive new entrants for the most part of the period. However, the big exception to this has been HELL Energy, which is now aiming to tap consumers’ growing interest in tech-augmented experiences, says GlobalData, a leading data and analytics company.
Ayoub Khalil, Consumer Analyst at GlobalData, comments: “Since its launch in the early 2000s, HELL Energy has established itself as the market leader in eastern Europe and more significantly found itself as the major player in India recently. It is now looking for continued growth from launches in high growth potential economies. India’s growth, especially in terms of disposable income, remains solid with economic growth being revised upwards to a solid 6.44 % in 20231, while eastern European countries are also showing good signs despite recent stagnation.”
With its distinctive commitment to technology, HELL Energy has now embarked on a new AI drink, which it presents as being entirely made across every part of its value chain by artificial intelligence (AI). This is a unique step to ride the trend of a new fascination with tech-augmented experiences, a trend evidenced by a survey of GlobalData showing how over 86 % of global consumers’ buying choices are shaped by how digitally influenced the product is2.
Khalil adds: “The big question, however, with the release is whether it serves to be more than a marketing ploy or a genuine innovation that draws on AI’s powerful capabilities to produce true value that satisfies nuanced consumer preferences. This question comes in light of the most recent quarter GlobalData survey affirming the general benefits that integrating AI can bring in production with 83 % of surveyed consumers claiming that how much a service is tailored to their preferences and personalities has a positive effect on their purchases2, which is something the new drink states it brings in AI’s ability to analyse vast data to boil down to what consumers exactly want.”
In the broader view of the commercial landscape, the release brings to market an interesting case study for firms in and outside the industry of the benefits that can be brought by involving AI in the production process. Again, such methods are already being leveraged elsewhere without the gimmick of companies naming their products an AI release. The biggest of these examples is how the major player Coca-Cola has moved into this new space with its newly released Y-3000 drink, which it claims to have been developed with the help of AI.
Khalil concludes: “HELL Energy, however, does state that what makes its drink truly AI generated compared to other products is the complete use of AI in everything from packaging to evaluation to marketing elements; where the company needs to be clearer is in how much they’ve been able to completely strip away any subjective human choice in the configuration that every AI system is adjusted with, which still remains undisclosed by the company.”
1GlobalData Database-Economy-Macroeconomic Database updated Jan 2024-India 2GlobalData’s Global Consumer survey published in December 2023 was conducted with 21,000 respondents globally
From today, 75 % of the electricity used to make Britvic soft drinks in Great Britain – from Fruit Shoot to Tango, Robinsons to J2O – is coming from a 160-acre solar farm in Northamptonshire.
Providing clean energy to factories in Rugby, London and Leeds, the ten-year solar power agreement covers three quarters of Britvic’s electricity needs in this country – with the aim of reaching 100 % solar powered operations in the near future.
The solar site, commissioned in January 2024 and operational from today, will generate 33 Gigawatt hours (GWh) of energy, enough to power the equivalent 11,500 homes. This could cut as much as 1,113 tonnes of carbon dioxide from the drink manufacturer’s supply chain each year – the equivalent of planting 260,000 trees.
Working with renewables provider Atrato Onsite Energy, the 650,000 square metre solar installation, will scale up to produce 28 MWp. This initiative is part of Britvic’s long-term commitment to achieve net zero carbon emissions by 2050.
Sarah Webster, Britvic’s Director of Sustainable Business, said: “This is an exciting opportunity to ensure that the some of the country’s most recognisable and much-loved soft drinks are powered by renewable energy.
“We know consumers want to buy more sustainable products, and this is another step towards reducing carbon emissions and our long-term sustainability targets.”
The project makes use of a former quarry site that is unsuitable for farming, with double-sided solar panels that use tracking devices to follow the sun, increasing efficiency by 10 %. The site will provide opportunities for allowing nature to flourish – a rewilding approach that will increase biodiversity.
The announcement is the latest milestone in Britvic’s Healthier People, Healthier Planet sustainability strategy. Last year Britvic signed an agreement to produce Ballygowan Mineral Water using 100 % renewable electricity from wind energy. The company also launched an £8 million project to improve energy efficiency and cut carbon emissions by 50 % at its Beckton site.
Gurpreet Gujral, Managing Director, renewable energy at Atrato Group said: “We are thrilled to complete this landmark and unique agreement with Britvic, reducing carbon emissions while delivering attractively priced energy. Our business model is all about designing unique structures for clients tailored to their energy consumption needs and real estate site constraints, while delivering on sustainability targets and lower energy costs.”
Chris Bowden, Managing Director of Squeaky Clean Energy, said: “Having pioneered the use of corporate power purchase agreements in the UK it has become abundantly clear that new and innovative contracting structures are needed to accelerate the transition to clean energy. The Squeaky team is incredibly proud to have scored another clean energy first with a unique power purchase agreement arrangement that enables Atrato to de-risk the financing of its project and Britvic to deliver on its Healthier People, Healthier Planet sustainability mission.”
About the data, originally provided by Britvic: Carbon dioxide reduction is calculated based on the CarbonFund’s assessment that a single kWh is responsible for 0.3712 kg of carbon dioxide.
Over 110 non-alcoholic beverage brands, which include many globally recognised brands, have active sponsorship deals in place with sports properties based mainly in the US. Many of these deals are title or main sponsorship deals, which allow brands to receive substantial brand exposure opportunities, often from sports properties that have substantial global fanbases. With many of the deals being highly lucrative, eight non-alcoholic beverage deals are worth over USD 10 million annually. PepsiCo is the biggest spending brand in the Americas region, with an estimated expenditure of USD 322.96 million, according to GlobalData, a leading data and analytics company.
GlobalData’s latest report “Americas Non-Alcoholic Beverages Sports Sponsorship Landscape,” estimates that the American multinational food, snack, and beverage corporation PepsiCo has 55 deals in place, which are worth USD 1 million or more annually. In 2023, over USD 100 million is being invested by PepsiCo in team deals, which include many NFL teams such as the New England Patriots, Washington Commanders, and Miami Dolphins.
PepsiCo’s biggest competitor in the sector is Coca-Cola. In 2023, Coca-Cola is estimated to spend close to USD 277 million on sponsorship deals across the Americas region, according to GlobalData. The brand’s biggest annual deal in the region is with US Soccer. The current five-year agreement between the two parties is estimated to be worth USD 100 million.
Tom Subak-Sharpe, Sport Analyst at GlobalData, comments: “It is not surprising that PepsiCo and Coca-Cola dominate the region of all the competing non-alcoholic beverage brands due to the vast amounts of funding that these two powerhouse organisations have to spend on developing their sponsorship portfolios.”
In 2024, it is unlikely that any other non-alcoholic beverage brands will come close to competing with these two brands. However, a brand to keep an eye on who may increase their sponsorship spend and deal volume count is PRIME, the brand that is currently serving as the official sports drink of the Los Angeles Dodgers.
Subak-Sharpe concludes: “The meteoric growth experienced by PRIME in 2023 may allow the brand to invest more finances into securing more sponsorship deals with globally recognised sports properties based in the Americas region.
A new study is claiming that there is a link between caffeine and substance use in adolescence.
In response to the research, BSDA Director General Gavin Partington said:
This study contains several significant limitations, as the authors themselves acknowledge. BSDA members do not market or promote energy drinks to under-16s, nor do they sample products with this age group. In addition, energy drinks carry an advisory note stating ‘not recommended for children’.
The BSDA Code of Practice on energy drinks was introduced by and for our members in 2010 and contains a number of stringent points on responsible marketing. We remain committed to supporting the responsible sale of energy drinks.
Coca-Cola has launched a new limited-edition Coca-Cola 3000 Zero Sugar within the Coca-Cola Creations platform, with the help of artificial intelligence (AI). The AI, in cooperation with humans, helped create both the taste and the design of the can, as Coca-Cola tries to identify what the year 3000 would look like for beverages. It is not just Coca-Cola using AI in the soft drinks category. Unilever, owner of PepsiCo, has developed AI tools to optimise various aspects of its business operations. Against this backdrop, the usage of AI in the soft drinks industry is set to grow for the discovery of new flavours and to enhance the efficiency of business operations, says GlobalData, a leading data and analytics company.
Coca-Cola started with a core question to its customers: What would the year 3000 look like? Consumers were asked how they saw Coca-Cola in the year 3000 via the Coca-Cola Creations platforms. The company then used AI to analyse all the responses to create the framework for the futuristic product based on how people see the future through emotions, ambitions, colours and flavours.
Dragos Dumitrachi, Analyst at GlobalData, comments: “Based on these inputs from consumers and its knowledge of beverage trends, the AI created a unique packaging and flavour profile for a carbonate in the year 3000. The packaging format is colourful, with a mix of spherical shapes blended in purple, pink, and blue colours with a pixelated logo, and the AI primarily perceived the future as being sugar-free. This is to be expected as low-calorie carbonates recorded a 39 % growth between 2015 and 2023 globally, with this growth set to continue over the next five years, as consumers increasingly focus on their health and wellness. According to the latest global survey* by Global Data, 81 % of respondents consider that it is nice to have or essential for a product to be good for physical fitness/health.”
Global Data expects the AI market to grow from USD 81 billion in 2022 to USD 90 billion by 2030, with a 35 % compound annual growth rate (CAGR) during 2022-2030. Recent progress in machine learning (ML) on the back of improved algorithms (e.g., Google’s AlphaGo, OpenAI’s GPT-3/ChatGPT, Tesla’s AutoPilot) and increasing computing power have enabled AI to become more widely used in the soft drinks industry.
The AI-driven applications developed by Unilever leverage neural networks and the GPT API is aimed at enhancing the company’s ability to respond to the evolving needs of its consumer base and broader market dynamics. On top of that, Unilever is using AI to identify alternative ingredients that can reinforce the resilience of their supply chains, making their products more sustainable and cost-efficient, and streamlining the number of ingredients without impacting the effectiveness or quality of the products.
Dragos concludes: “The AI market in the soft drinks industry is still in its infancy; the rules and laws that will govern it are still under debate. Global Data is forecasting that the use of AI for supply chain, administrative issues, and the discovery of new flavours and packaging formats in the soft drinks industry will only grow.”
*GlobalData 2023 Q2 Consumer Survey – Global, with 21,595 respondents, published November 2022
Pat Cummins, captain of the Australian Test Cricket team and international sporting icon, has announced an exclusive partnership with the expanded Nexba business. As part of the collaboration, Pat will embrace his love for Kombucha and become a Nexba shareholder and brand ambassador in Goodness Group Global, the better-for-you company.
The multi-year partnership will see the 30 year old right arm fast bowler become a shareholder in Goodness Group Global, as well as a public face of the Nexba brand, and at the forefront of NEW brands to be built under the Goodness Group Global umbrella.
Nexba is a leading brand in ‘Naturally Sugar Free’ functional soft drinks that has removed more than 6 billion grams of sugar from global diets. This year, Nexba expanded to become Goodness Group Global with the goal of building a house of brands that ‘taste good & do good’ while creating positive change by removing sugar and artificial ingredients from consumption.
Pat’s relationship with Nexba and Goodness Group Global adds to his growing portfolio of off-field business interests which he’s looking to grow for his eventual life after cricket.
Nexba is a leading brand in ‘Naturally Sugar Free’ functional soft drinks and kombucha both in Australia & the UK. All of the Nexba drinks are powered by their Goodsweet® natural sweetener which emulates the taste of sugar without the nasties. Consumers, retailers & governments, locally and internationally, are increasingly focused on health & wellness with rejection of both sugar and artificial sweeteners.
The opportunity to own shares alongside Pat Cummins in Nexba and Goodness Group Global is available via a crowdfunded capital raise campaign on VentureCrowd. Budding investors better be quick, as it closes in less than a month!
The European soft drinks sector achieved an impressive average 7.6 % sugar reduction between 2019 and 2022
The European soft drinks sector, represented by Unesda, announced further progress1 on its commitments to the EU Code of Conduct on Responsible Food Business and Marketing Practices,2 with strong results achieved in 2022 in its actions to create a healthier beverage system in Europe.
Ian Ellington, President of Unesda and Senior Vice-President and Chief Marketing Officer for PepsiCo in Europe, comments: ‘’As a sector, we remain committed to making significant progress on our many EU Code of Conduct commitments. We have achieved impressive results in our health and nutrition actions and, in particular, in our sugar reduction, marketing and advertising practices and school policies.’’
Ellington added: ‘’The journey has not been easy. Rising inflation in 2022 significantly impacted our ability to use more recycled content in our packaging due to the challenges we faced in accessing food-grade feedstock for recycling. We need policy support to deliver fully circular beverage packaging and to continue advancing on our sugar reduction programme.’’
Among Unesda’s achievements are its actions to encourage European consumers towards healthier dietary habits:
The sector delivered a 6% reduction in average added sugars in its soft drinks between 2019 and 2022 across Europe, as indicated by data analytics and consulting company GlobalData. This represents an additional reduction of 4 percentage points within 1 year (between 2021 and 2022). It shows that Unesda is on track towards meeting its commitment to reduce average added sugars in its beverages3 by another 10 % in the EU-27 and in the UK between 2019 and 2025.4 The success of the sector’s reformulation efforts to reduce sugar largely relies on the use of low- and no-calorie sweeteners to increase the offer of low- and no-calorie beverages. These ingredients should continue to be supported by public authorities and regulators to enable the sector to make further progress on sugar reduction.
Unesda corporate members achieved solid results regarding its marketing and advertising commitment, as demonstrated in the audits carried out by independent marketing and media consultancy Ebiquity (television) and the European Advertising Standards Alliance (websites, social media and influencers).5 The sector reached high compliance rates (98.7 % on TV, 92.9 % on company-owned websites, 94.1 % on company-owned social media profiles, and 100 % on influencer profiles), and is committed to continuing to work towards full compliance of its marketing and advertising commitment.
Unesda corporate members also reported to be highly compliant with the sector’s school policies6 in the four selected EU countries for its 2022 monitoring, conducted by third-party auditors BVA-BDRC:7
100 % (primary schools) and 92.3% (secondary schools) in Austria
100 % (primary schools) and 93.4% (secondary schools) in Italy
100 % (primary schools) and 100% (secondary schools) in Slovenia
100 % (primary schools) and 96.2% (secondary schools) in Sweden
Industry faces major challenges to accelerate packaging circularity
Unesda and its corporate members continued their actions to increase the amount of recycled plastic content in their beverage PET bottles to achieve the sector’s objective of using 50% recycled PET by 2025. The cost and availability of this material have been major challenges impacting these efforts. The most effective way to address this issue is to prioritise high-quality recycling in EU and national legislation by granting the sector a priority access right to the feedstock for recycling issued from its PET bottles. This will ensure that PET bottles are recycled into new beverage packaging in a closed-loop system, and are not being downcycled in non-food applications.
The way forward: Policy support is key
The European soft drinks sector remains determined to deliver on all its commitments but needs supportive policies in place to be successful.
In particular, the sector’s further actions to promote healthier lifestyles fully depend on support from EU public authorities and regulators for the use of ingredients assessed as safe by health authorities and on evidence-based dietary recommendations that do not denigrate or discriminate against any ingredient approved for use.
In order to accelerate the transition to full circularity of its packaging, Unesda calls for legislation supporting well-designed, industry-led Deposit Return Systems, the increased collection of beverage packaging across the EU and high-quality recycling through a priority access right to recycling feedstock to ensure a closed-loop system.
In addition, Unesda calls for a realistic regulatory framework on reuse that provides beverage producers flexibility to invest in the packaging mix that makes the most sense from environmental, economic, and consumer perspectives. This also includes considering all available reusable and refill options (at home and on the go) for the achievement of the reuse and refill targets proposed in the proposal for a Packaging and Packaging Waste Regulation.
Unesda will continue to engage with EU decision-makers in a constructive manner to help ensure policy predictability and coherence.
1Read Unesda’s 2022 progress report on its commitments to the EU Code of Conduct here. 2The EU Code of Conduct on Responsible Food Business and Marketing Practices was launched by the European Commission in July 2021 and it is an integral part of the EU Farm to Fork Strategy to create a more sustainable food system in Europe. The EU Code of Conduct aims to encourage the entire food and drink sector to provide more sustainable and healthier food and beverage choices. 3Unesda’s sugar reduction commitment is applicable to all product categories under Unesda’s remit, including still drinks, carbonate drinks, energy drinks, sports drinks, dilutables and iced teas, but excludes bottled water, 100 % juices, milk based and hot beverages. 4This will represent a 33 % overall reduction in average added sugars in soft drinks since 2000, building on past sugar reduction milestones that the sector achieved from 2015 to 2019 (14.6 % reduction on average) and from 2000 to 2015 (13.3 % reduction on average). 5Unesda corporate members started implementing an effective Responsible Marketing Code of Conduct in 2006 with its commitment to no marketing communication in printed media, websites or during broadcast programmes specifically aimed at children under 12. Since then, they have reinforced this commitment by extending the scope of media channels in which they do not market and advertise their soft drinks to the under-12s: cinemas in 2008 and the digital world, including company-owned websites, in 2018 when they also tightened the audience criteria and committed not to market and advertise their beverages when 35 % of the audience or more was under 12 years of age. As of 1 January 2022, Unesda corporate members extended the age range by committing not to advertise and market any of their soft drinks to children under 13 years across all media. This includes TV, radio, in print, in cinemas and online, including social media and other online platforms and sites (company-owned websites and video-sharing platforms such as YouTube). It also includes direct marketing, product placement, interactive games, outdoor marketing, mobile marketing and contracted influencers. Unesda corporate members also committed to lowering the audience threshold from 35 % to 30 % so that fewer young children are directly exposed to advertising for any of its soft drinks. 6Unesda and its members are committed not to sell any soft drinks in EU primary schools since 2006 (through direct distribution), and to only sell low- and no-calorie soft drinks in EU secondary schools since 2017 (through direct distribution), and only in non-branded vending machines. 7The monitoring of Unesda’s school commitment is performed every two years in a group of different countries where there is a voluntary school commitment in place to provide a diversified sample of larger and smaller countries from different parts of the EU.
The Scottish Government today announced that it has shelved plans to implement a ban on the sale of energy drinks to children.
Responding to the news, British Soft Drinks Association Director General, Gavin Partington, said: “We welcome this recognition from the Scottish Government that voluntary measures introduced by industry and implemented by many of our retail partners have had a significant impact on stopping the sale of energy drinks to children.
“The BSDA’s voluntary Code of Practice on energy drinks, which was introduced by and for our members in 2010, contains a number of stringent points on responsible marketing, meaning BSDA members do not market or promote energy drinks to under-16s, nor do they sample products with this age group. In addition, their energy drinks carry an advisory note stating ‘not recommended for children’.
“BSDA members remain committed to supporting the responsible sale of energy drinks.”
Twenty-one years after Monster Energy first ripped onto the scene and changed the beverage industry forever – it’s finally here: Monster Energy Zero Sugar.
With a full launch in Q1 of 2023, consumers can finally enjoy the amazing taste of the flagship original Monster Energy Green… but without sugar.
With a re-tooled energy blend, an innovative new sweetener system and years of trial and error, Monster’s team of mad scientists finally perfected a concoction that is 100 % Monster and 0 % sugar. Primed with 160mg of caffeine – like its predecessor – Monster Energy Zero Sugar helps fight fatigue, improve mental performance and focus, and motivates you to work (and play) harder.
Sidel has created 1SKIN™, a unique label-less recycled PET bottle. Combining distinctive shelf-appeal with the highest eco credentials, it has been designed to help Sidel’s customers achieve their sustainability goals and drive sales of high-end products.
The one-litre bottle is destined for the booming market in sensitive juices, teas and flavoured drinks. The new 1SKIN concept represents a breakthrough both in sustainability and in its streamlined design.
Made with readily available 100 % recycled PET (r-PET), 1SKIN has been designed by Sidel for easy recycling. The label-free bottle with its tethered cap can immediately enter the recycling stream with no need to separate additional raw materials such as ink, glue, labels or sleeves. Customers choosing 1SKIN will stay ahead of the main worldwide regulations and market trends for sustainable packaging.
Launched at the international beverages trade fair, drinktec in Germany in September, the bottle has attracted interest from customers from all over the world seeking to make their packaging more sustainable. Many of the major brands are embracing higher sustainability standards, driven by consumer influence as well as growing legislation to encourage recycling.
Appealing looks and drinking experience
(Photo: Sidel)
1SKIN is made to stand out on shelves in one of the fastest growing and most competitive beverage segments. The bottle is designed to deliver an appealing drinking experience, with an ergonomic grip for comfortable pouring. It has a wide neck and a cap lock feature to keep the open bottle top away from the consumer’s face. On the bottle’s label-free surface there are multiple options to use differing fonts and textures, with the transparency enabling great opportunities for natural light and shadow play. The ultra-precise graphic elements are created using Sidel’s most advanced mould technologies combined with its blow moulding expertise. QR or bar codes can be printed on the bottle closure to provide information to consumers or enable individual unit sales.
The bottle design guarantees safety and protects the integrity of products with a long shelf life. Sidel’s patented Starlite™ Sensitive base technology combines a premium glass-like design with optimised weight and performance on high-speed lines.
Despite the brewing geopolitical, economic, and health crises, China’s hot drinks sales are set to increase, as consumers trade up to higher-quality products. The introduction of innovative and customised tea, coffee, and plant-based hot drinks is bolstering the market growth. As a result, the China’s hot drinks market is set to register a compound annual growth rate (CAGR) of 6.1 % from CNY 231.4 billion (USD 36.2 billion) in 2021 to CNY 311 billion (USD 48.6 billion) in 2026, says GlobalData, a leading data and analytics company.
GlobalData’s report, ‘Chinese Hot Drinks – Market Assessment and Forecasts to 2026’, reveals that while tea remains the mainstay, the coffee culture is growing owing to the evolving lifestyles and preferences of urban consumers. The market growth will be primarily driven by the hot coffee category, which is set to register the fastest value CAGR of 6.5 % during 2021-2026. The category will be followed by other hot drinks and hot tea with a CAGR of 6.2 % and 6.0 %, respectively, over the forecast period.
Naveed Khan, Consumer Analyst at GlobalData, says: “The stringent COVID-19 lockdowns in Beijing, Shanghai and in the Hainan province have undermined the on-premise sales of hot drinks. However, consumers are treating themselves to higher quality tea and coffee at home. The growing demand for the new consumption experiences among the urban youth, and the introduction of new brew styles and flavours by international and homegrown companies are powering the growth of the hot coffee category in China.
“Hot tea, the largest category by value sales, continues to expand as new Chinese-style teas, such as yellow tea and scented tea, are gaining traction. The health concerns due to the pandemic are spurring the demand for herbal drinks that are perceived to improve immunity and overall health and wellness.”
According to the report, ‘convenience stores’ was the leading distribution channel in the Chinese hot drinks market in 2021, followed by hypermarkets & supermarkets, and e-retailers. Nestlé, China Tea, and Zhejiang Xiangpiaopiao were the top three companies in the fragmented Chinese hot drinks sector in value terms in 2021, and Nescafe and U.Loveit were the leading brands.
The per capita expenditure (PCE) on hot drinks in China increased from USD 6.5 in 2016 to USD 12.7 in 2021, surpassing the regional average at USD 11.1, but lagging the global level at USD 17.0. China’s PCE on hot drinks will surge to USD 17 in 2026.
Khan concludes: “Multinational and local companies are launching new products with innovative marketing strategies to develop new consumption occasions and expand their base. They are targeting young consumers, who are eager to experiment with innovative brew styles and flavours. However, the strict pandemic control measures, economic slowdown, and political standoff over Taiwan may slowdown the hot drinks sector’s growth momentum in the intermediate term.”
Minute Maid is shaking up the juice drinks category—literally and figuratively—with the launch of Aguas Frescas.
The Latin American-inspired, noncarbonated beverage is made with real fruit juices and natural flavours, delivering a bold, “Refreshing AF” sensorial experience tailored to Gen Z tastes. Minute Maid Aguas Frescas is available in the US in 16-oz. cans in three fruity flavorus: Hibiscus, Mango and Strawberry. Two additional flavours, Limonada and Strawberry Limon, are available on Coca-Cola Freestyle fountain dispensers.
Recognising that the product’s disruptive proposition demands an equally disruptive marketing plan, all Minute Maid Aguas Frescas messaging features the playful double-entendre, “Refreshing AF”, to appeal to Gen Z consumers.
“Minute Maid AF is step one in refreshing this iconic brand and our messaging to bring it into the 22nd Century,” said Alex Ames, creative director, Nutrition. “It’s not every day you’re lucky enough to find a tagline—or two letters—that can serve as a shortcut to cultural and product relevancy. I’m super proud of our team for being truly disruptive and bringing one of Minute Maid’s most provocative marketing concepts ever out of presentations and into market. It only works because of how truly refreshing this product is.”
Minute Maid Aguas Frescas, which was named a Nielsen Superstar product concept, leverages Minute Maid’s position as the No. 1 fruit drinks/ades trademark with a breakthrough entry into the fastest-growing segment in ready-to-drink juice. A multi-generational Latin tradition, Aguas frescas are delicious, fruit-based waters with a strong multicultural following.
The product will fill a void for Gen Z, which until now hasn’t found a juice brand to quench their collective thirst for diverse, adventurous options. Minute Maid Aguas Frescas is a multi-year, multi-channel platform.
The launch will be supported by a robust sampling campaign to get more than 1 million cans in consumers’ hands, as well as PR, digital and social activations including online video, always-on social media content and virtual product placement in two Gen Z-favorite Amazon Prime shows: “Summer I Turned Pretty” and “The One That Got Away”—a first for The Coca-Cola Company. On Cinco de Mayo (May 5), Minute Maid Aguas Frescas debuted on the iconic Coca-Cola digital sign in New York City’s Times Square. In September, NASCAR Driver Daniel Suarez’s car will be wrapped with Minute Maid AF graphics at the Texas Motor Speedway race in Dallas.
“The juice drinks category is growing aggressively overall, but losing traction with younger consumers,” said Jorge Luzio, group director, Minute Maid. “We need to reinvigorate our connection with this next generation, who are seeking authentic, unique and unexpected experiences. With Minute Maid Aguas Frescas, we’re shaking things up in a big way and sending the message that the brand is here to stay.”
LIFEAID Beverage Company has released a new line of clean performance energy drinks. The FITAID Energy® collection is the long awaited clean-caffeine addition to their original Sports Recovery product, FITAID®, boosted with 200 mg of caffeine from green tea. The FITAID Energy + Sports Recovery blend is naturally sweetened with only 15 calories, no sucralose, no aspartame, no fillers, and no synthetic caffeine. Available in four electric flavours: Mango Sorbet, Peach Mandarin, Blackberry Pineapple, and an online exclusive Raspberry Hibiscus, FITAID contains no artificial flavours or colours.
“This is the evolution of energy. Energy 3.0,” says LIFEAID Co-Founder and President, Aaron Hinde. “FITAID Energy is unlike any other energy drink on the market. Our clean caffeine from green tea helps fight your fitness fatigue and contains our original post-workout recovery blend which includes BCAAs, Turmeric, Electrolytes, Vitamins B, C, D3, E, and more. All of our hand-picked ingredients have met the highest supplement standards and remain vegan, non-gmo, and gluten-free. Coupled with no sucralose, no taurine, and no synthetic caffeine, FITAID Energy is the future of clean performance energy.”
LIFEAID Beverage Company has long held itself to the highest standards of product design and formulation. The LIFEAID research and development team spent a year formulating an optimal blend of clean caffeine and quality supplements to give athletes an all-in-one solution without compromises. Each of the four flavours have a clean, crisp finish and avoid the synthetic aftertaste often associated with energy drinks.
FITAID Energy is available at the company’s website, Lifeaidbevco.com, Amazon, and select retailers in the U.S. including, Vitamin Shoppe, Harris Teeter, HEB, HyVee, Circle K, Stop & Shop, Big Y, United Market Street, G & M Oil.
QminC from Tera Food & Beverage Co., Ltd., Thailand’s leader in health beverages with revolutionary nano-liposome technology and zero preservatives, has unveiled 2 herbal-based health and functional drink flavours ‘QminC Ginger with Honey’ and ‘QminC Finger Root with Honey’.
Thanthit Yuenyongtechahiran, President of Tera Food & Beverage Co., Ltd., said, “The launch of concentrated ginger extract drink with honey under QminC brand is creating a phenomenon for the health and functional drink industry. It is the first time that a concentrated ginger drink is made available in a ready-to-drink bottle in Thailand. We are responding to the high demand of the health-conscious in the global market and to the trend of natural functional drinks, which is likely to have remarkable and rapid growth every year”.
QminC also plans to make a strong overseas presence in CLMV as well as the United States, China, Singapore, South Korea, Kuwait, and the United Arab Emirates and is ready to go fully online to give consumers extra convenience in response to the current trend of people boosting immunity and reducing inflammation while keeping a social distance.
The first flavour QminC Ginger with Honey contains 1,000 mg. of USDA-approved ginger extract imported from the United States. It also has 100 mg. of beta-glucan which provides immunity for the body and prevents infection from microbes making it widely recognised for being anti-inflammatory as well as vitamins C, D, E, and Zinc with the spicy flavour of ginger and natural sweetness of honey to give a perfectly great taste.
QminC Finger Root with Honey has 1,000 mg. of finger root extract, the famous herb in Thailand with pinostrobin, which has been recognised in studies by many institutions for its anti-viral and anti-bacterial properties. It also contains beta-glucan, vitamins C, D, A, and Zinc. With QminC’s manufacturing innovation (nano-liposome technology), it tastes great with an aroma and leaves no bitter taste or odour typical of finger-root beverages.
The two latest QminC’s drinks are now available in Thailand in a 150 ml bottle and retail for 25 Baht (0.7 USD). The drinks offer a low energy density of only 15 kilocalories.
Moving beyond the traditional annual colour forecast, GNT has launched groundbreaking research that empowers food and beverage brands to devise tailormade solutions for the modern market.
The growth of the personalization and customization trends is fueling demand for products that appeal to shoppers on a deeper level. Building on more than 40 years’ experience, GNT has developed ‘The Power of Colour’ to help brands create colouring solutions that will connect with their target consumers.
The research combines consumer psychology and semiotics to deliver unique insights into how color generates meaning across products, brands, and categories, enabling manufacturers to create powerful stories and stand out in their category.
Maartje Hendrickx, Market Development Manager at GNT, said: “It’s clear that a one-size-fits-all approach to colour is rapidly becoming outdated. As a service provider, innovation has always been in our DNA and this trailblazing project enables us to help customers find the cutting-edge colouring solutions they need to strengthen their market position and reach new audiences.”
Created alongside professional semioticians, The Power of Colour explores the many ways in which colour sends out messages on a conscious and subconscious level.
For an inside-out perspective, it uses psychology to explore consumer motivations. It examines the tensions that drive product and brand choices, such as the desire for pleasurable yet permissible food and drink.
The second phase uses semiotics to provide an outside-in perspective, showing how colour can help to deliver on these motivations and needs.
Colour codes and cues create a variety of meanings across different cultures, categories, and situations. For example, colour can indicate how to navigate situations and guide decision-making, as in the case of food nutrition labels. It can also signal personal identity, whether through fashion, cosmetics, or even food and drink. Colours evoke moods and emotions, too – red is seen as an energizing shade, for instance, while yellow is associated with joy.
Together, these two perspectives allow brands to build a comprehensive understanding of how colour can be used to cater to different consumer needs and create a compelling narrative.
Jill Janssen, GNT’s Power of Colour lead, said: “Colour can send out any number of messages about brands and products. It might signal a moment of blissful escapism, tell stories about origins and process, showcase powerful ingredients, or help to highlight healthy formulations. The Power of Colour helps brands think about colour in a new way, delving deeper than ever before into its cultural power while also exploring the psychology behind colour trends.”
The strategic partnership rapidly expands Beliv’s footprint in the US; new probiotic innovation makes a splash
Beliv, Latin America’s fastest-growing bev-tech company with 40 brands in 35 countries, announced that it has completed the acquisition of Big Easy, a leading manufacturer of all-natural, plant-powered probiotic drinks in the US.
The transaction rapidly expands Beliv’s footprint in the US market and reinforces its commitment to bring exciting new products in high-growth beverage categories to consumers worldwide. Big Easy’s line of wellness-focused drinks will be the first probiotic products in Beliv’s portfolio.
With a manufacturing facility in New Orleans (LA, USA), Big Easy and its approximately 50 employees have built a winning culture centered around innovation, successfully bringing to market trend-forward, easy-to-enjoy beverages with digestive health benefits, including kombucha, functional juice shots, and tepache, a prebiotic pineapple soda with pre-Hispanic roots, which recently debuted in a new 12-oz can in Publix.
“Innovation is key to market growth and to meeting new expectations of consumers across the globe. By adding Big Easy into Beliv’s portfolio, we magnify the strengths and entrepreneurial spirit of both companies to respond to the intense demand for authentic, natural, and sustainable products that focus on functionality, well-being, and nutrition,” said Carlos Sluman, CEO, founder, and partner of Beliv.
Launched in 2014 by Austin Sherman and Alexis Korman, Big Easy delivers authentically crafted drinks with gut-health and immune-supporting benefits to customers who shop at over 3,000 retail accounts and growing in the US, including Publix, Sprouts, Wegman’s, and others. The founders will continue in active roles driving the company’s mission and innovations forward.
“Going big is about to get easy,” says Big Easy founder and CEO Austin Sherman. “We’re fired up to join the diverse and dynamic family of brands at Beliv and see our beverages reach new consumers internationally. Contemplating our brand’s humble origins making one bottle of kombucha at time, the opportunity to bring our products to the world is a dream realized. With access to Beliv’s infrastructure and resources, and new markets to dominate together, we’re confident this partnership will speed our mutual growth.”
International, inspiring and above all personal – that was the 36th edition of Anuga which was staged from 09.-13.10.2021 in Cologne. With over 70,000 visitors from 169 countries and more than 4,600 exhibitors from 98 nations, the leading global trade fair for food and beverages once again demonstrated that trade fairs of these dimensions are possible again. “We are delighted with this result. It underlines the global significance of Anuga and the trust that is placed in us as a trade fair organisation. Furthermore, it also shows that Germany as a trade fair location continues to hold a leading and attractive position in terms of the global competition,” explained Gerald Böse, President and Chief Executive Officer of Koelnmesse. “Also the hybrid approach worked very well and proved very popular. In the scope of Anuga @home, we were able to offer above all those people, who were not able to travel to the trade fair, a good opportunity to inform themselves about specialised themes and engage in intensive networking,” Böse added.
Anuga also set a benchmark in terms of its level of internationality in these post- Corona times: 97 percent of the exhibitors came from abroad. At 76 percent, the degree of internationality of the visitors remained at a constant level (2019: 75 percent). “People from 169 nations – that is a strong signal and shows at the same time how much the international food industry needs trade fairs to do business again. Our exhibitors, who reported about outstanding customer dialogues and the high quality of the trade visitors, also recognised this fact. The discussions with the buyers also confirmed how highly they estimate the time for intense, personal dialogues with their customers. Anuga 2021 simply made the international world of food personal again. And this euphoria and spirit of optimism was noticeable all over the trade fair,” emphasised Oliver Frese, Chief Operating Officer of Koelnmesse GmbH.
Top buyers on board
Above all the quality and preparation of the buyers as well as the serious interest in generating business again convinced the exhibitors. Countless buyers with high decision-making competence from the trade and food service, including the relevant top buyers of important chain stores attended the trade fair in Cologne. An initial evaluation of the visitor survey shows that over 70 percent of the respondents use Anuga to groom existing and build up new business relationships.
Hybrid in future
As a hybrid event, Anuga also offered a digital platform for the exhibitors, visitors and media representatives: Anuga @home. In addition to intensive networking, above all the digitally streamed event and congress programme comprising of a variety of lectures, discussions and presentations by renowned trade experts and companies of the food industry met with great interest. In total, 353 formats with more than 6,380 broadcasting minutes were streamed over the three days of the trade fair. Particularly the live streams of the two conferences, the Newtrition X and the New Food Conference, were very popular. The presentations and the networking offers of Anuga @home will also be available on-demand after the trade fair.
Anuga in figures: 4,643 companies from 98 countries took part in Anuga 2021 on exhibition space covering 244,400 m². These included 400 exhibitors from Germany and 4,243 exhibitors from abroad. The share of foreign exhibitors was 92 percent. More than 70,000 trade visitors from 169 countries attended Anuga 2021, the foreign share was 76 percent.
The next Anuga will take place from 07.-11.10.2023.
Shire City Herbals, maker of award-winning Fire Cider, is pleased to add Elderberry Tonic to its lineup of ACV-powered functional beverages. The new Elderberry Tonic features elderberry, apple cider vinegar, tulsi, ginger, cinnamon, and clove, and was born from years of meticulous R&D, sourcing, and formulation.
“We are excited to introduce Fire Cider’s long-awaited cousin – Elderberry Tonic. Last year’s rebrand of Shire City Herbals created a canvas for us to roll out new products beyond Fire Cider, and also to broaden our support for smaller makers from our area of Massachusetts – The Berkshires,” explains Kim Allardyce, CEO of Shire City Herbals.
Elderberry Tonic was designed to be taken daily as a teaspoon or shot as part of a proactive wellness ritual. Just like Fire Cider, it can also be a special condiment in salads, cocktails, mocktails, and marinades.
Shire City Herbals’ Elderberry Tonic is available on ShireCityHerbals.com starting at $ 19.99 and will be introduced to retailers in the US at Expo East on Sept. 23, 2021, in what is slated to be the first live natural products event since the onset of the COVID-19 global pandemic.
Although energy drinks have witnessed steady year-on-year (YOY) growth in the US recently, Coca-Cola has decided to discontinue its Coca-Cola Energy brand after 17 months in the market, in a bid to sharpen its product portfolio – a move that highlights the gap in the market for hybrid innovations, writes GlobalData, a leading data and analytics company.
Holly Inglis, Beverages Analyst at GlobalData comments: “Coca-Cola Energy’s launch in the US was long awaited; despite the US market size, it was one of the latter markets to begin sales after many regions in Europe. At a time where the energy drinks market is flourishing, it is interesting that Coca-Cola has chosen to pause sales of a potential future cash cow.”
According to GlobalData, the US energy drinks market grew by 10 % in 2020* and was buoyed by a flurry of innovations such as Monster Mule ginger flavoured drink or Moonlight Wingman Smart Energy. Despite COVID-19 lockdown restrictions throughout the year, the category remained a key purchase choice for many consumers across the country.
In GlobalData’s latest survey, 73 %** of US consumers stated that energy boosting ingredients are nice to have, or essential to purchasing decisions. Interestingly, this comes at a time where health and wellness trends are prevailing and where energy drinks have, in the past, come under scrutiny for high sugar and unfavourable additive content. Manufacturers have worked to offset this by adding functional claims or unique flavour innovations to their beverages.
Inglis continues: “GlobalData’s survey found that 82 % of US consumers stated that immunity boosting ingredients have a positive influence on their purchasing decisions***, reinforcing that there is opportunity for beverage manufacturers to innovate energy drinks products that combine health and wellness claims with energy-boosting ingredients. The US energy drink market is highly competitive, so it is important that producers stay ahead of the curve in terms of beverage trends. It is plausible that Coca-Cola’s energy drink line risked falling behind in the long-term, due to a lack of flavour dynamics and health-halo claims.”
Despite COVID-19 restrictions across much of 2020, the US energy drinks market grew by a sizeable share and is expected to maintain a similar fate in 2021. Consumption from home is the new norm, and producers will continue to innovate retail offerings that promote this trend. Continued drive towards digestive health will persist, reflecting high potential for hybrid innovations that combine natural energy boosting ingredients with added vitamins and gut health claims.
*Data taken from GlobalData’s Annual Soft Market Analyser – US **GlobalData’s Q1-21 Consumer Survey Results – North America ***GlobalData’s Q1-21 Consumer Survey Results – North America – Combined responses: “Essential / Key driver of purchase” and “It is nice to have”
Britvic acquires Plenish, plant-based drinks business
Portfolio comprises plant-based milks, cold-pressed juices and functional shots
The transaction strengthens Britvic’s offer in the high-growth plant-based milks and organic juice categories
Britvic announces the acquisition of Plenish, the plant-based milks, cold-pressed juices and shots company, and one of the most exciting brands in its category in Great Britain. Plenish joins Britvic’s portfolio of market-leading brands and strengthens the Group’s offering in the fast-growing plant-based segment.
Founded in 2012, Plenish offers a range of plant-based milks and plant-powered juice drinks all made from the highest quality, organic and sustainably sourced ingredients. The products are carried by major national grocery retailers. Plenish’s sales are further boosted by highly effective marketing and a sophisticated direct-to-consumer sales offer.
Kara Rosen set up Plenish in 2012 after looking for alternative solutions to deal with a recurring health issue. A native New Yorker, Kara moved to the UK and soon realised that there were no cold-pressed juices in the British market free of sugar. Kara decided to make her own juices and nut milks using mainly green vegetables from organic origin. Since then, Plenish has become one of the fastest growing plant-based milks brand in the UK, while its juice-led direct-to-consumer business continues to grow at over 100+ % pa. The transaction is closely aligned with Britvic’s strategy of building a portfolio of soft-drinks brands for every consumer occasion and its focus on accessing new spaces in the soft drinks category. Britvic has a long track record of successfully leveraging its scale and capabilities to grow its brands, and it will draw on this experience to fulfil the full potential of Plenish.
Britvic recognises the opportunity presented by the fast-growing plant-based drinks segment, with plant-based milks set to achieve retail sales values of over £500m by 2024. The non-soya plant-based milks market has grown more than tenfold over the past decade and it is fast becoming a mainstream category, with consumers favouring healthier, plant-based products over dairy.
The transaction also serves to strengthen Britvic’s Healthier People, Healthier Planet sustainability agenda. The Group is committed to ensuring its products help consumers enjoy life’s everyday moments, as part of a healthy, balanced lifestyle. Healthy nutrition is at the core of Plenish’s brand with a range of products containing the highest quality natural ingredients with low calories, that are certified organic by the Soil Association. As an accredited B-Corporation and a certified carbon negative business, Plenish’s approach to environment will contribute positively to Britvic’s Healthier Planet commitments.
Historically the juice and squash category’s growth were hampered by sugar taxes and a negative health image, however, this trend is set to reverse in the coming years. The industry has a forecast growth of 4 % from $ 52.4 bn in 2020 to $ 54.6bn in 2021*, bolstered by health concerns which are seeing consumers prioritise ‘immunity-boosting’ claims over ‘sugar free’, according to GlobalData, a leading data and analytics company.
GlobalData’s survey found that almost two thirds (61 %) of consumers globally spend a mid to high amount on juice**.
Elisabet Gonzalez, Innovation Team Leader at GlobalData, comments: “Due to the pandemic consumers are more worried about their health and this could be the reason behind the juice category’s success at maintaining its appeal during this tough period. Boosting the immune system has become a top priority for shoppers, hence, functional juice drinks and healthy beverages that offer nutrition-rich ingredients are likely to stand out on the shelves and keep strong positioning.”
GlobalData identifies that health & wellness is a popular trend and a key theme in the juice industry. Some examples of innovative product launches include a Morinaga Sunkist super grape juice in Japan, which is said to contain ‘juice-derived polyphenols. Polyphenols are believed to improve the treatment of weight management difficulties, digestion issues, cardiovascular diseases, and diabetes. In the US, Softresco launched a charcoal fruit drink shot, which offers a fruit drink with added vegetable charcoal. The infusion of activated charcoal may resonate with the 35 % of US consumers that think charcoal will have a positive impact on their health***.
Gonzalez continues: “While out-of-home juice consumption has taken a dip due to lockdown restrictions, at-home consumption and expenditure seems to be steady for the category as it is expected to post a compound annual growth rate (CAGR) of 2.6 % over 2021-2025 to reach $ 60.4bn*. Juice drinks might be seen by consumers as the perfect beverage to help them fight the virus, as it can provide the ideal dose of vitamins and nutrients needed to boost the immune system in an easy and convenient format for both children and adults.
“The COVID-19 pandemic could help some brands to strengthen their positioning and to reinvent themselves as a must-have product, rather than a beverage bought only for specific occasions. The health benefits of fruit juices and their many functional positioning possibilities, aligns well with today’s consumers’ needs, hence, there is a huge opportunity for the category to grow in the long-term and maintain its momentum in a post-pandemic era.”
*Data from GlobalData’s Global Market Data: Channel Insights Cube **Data taken from GlobalData’s 2021 Q1 Consumer Survey. ***Data taken from GlobalData’s 2019 Q3 global consumer survey
Arla Foods Ingredients is highlighting the potential of its Lacprodan® ISO.Clear to bring the benefits of protein to juice drinks.
Consumers are increasingly seeking beverages that combine health benefits with great taste and refreshment. At the same time, many are turning away from standard juice drinks because of their perceived high sugar content.
This is helping drive demand for fortified and functional beverages, the global market for which is forecast to grow to USD 125 billion by 2025, at a CAGR of 5.1 %.1 High-protein and source of protein claims are also growing in the category, with an 8.6 % increase between 2015 and 2020.2
Lacprodan® ISO.Clear is a whey protein isolate developed for the fortification of functional beverages without cloudiness, graininess or off-taste. Lacprodan® ISO.Clear has a protein content of 90 %, offers high heat stability and is clear in solution making it suitable for pasteurized or UHT processed juice drinks.
To showcase its potential, Arla Foods Ingredients has launched a new protein-enriched juice drink concept. It shows how manufacturers can use Lacprodan® ISO.Clear to deliver the well known benefits of whey protein isolate in a refreshing, great-tasting juice drink format with no added sugar. It also demonstrates how juice drinks fortified with Lacprodan® ISO.Clear can be positioned for a variety of markets, for example as:
A new breakfast standard for health-conscious consumers
A nourishing, on-the-go vitalizer for kids
An enjoyable post-workout recovery drink
A nutritious drink for older consumers, or patients who need extra protein
Mathias Toft Vangsoe, Sales Development Manager, Health and Performance, at Arla Foods Ingredients, said: “Many consumers are starting to move away from standard juice drinks, but they still want health benefits alongside natural ingredients, great taste and refreshment. This is creating new demand for innovative functional beverages, and protein-enriched juice drinks represent a particularly exciting opportunity in the sector. Products with Lacprodan® ISO.Clear taste just like juice drinks should, but with the benefit of high-quality, natural whey protein isolate. They’re also very easy to add to existing recipes, making them the ideal way to add new appeal to traditional juice drink ranges.”
Lacprodan® ISO.Clear works well with a broad range of juice types, in particular clear juice drinks, and can be combined with other health-promoting ingredients such as vitamins, minerals and probiotics.
Rising demand for plant-based drinks with added health benefits
Consumer enthusiasm for plant-based foods continues to grow unabated. This is also affecting the beverage market. Market research company Persistence Market Research (PMR) predicts annual growth rates exceeding six percent for plant-based drinks through 2028. And that’s not all: The “plant-based revolution,” as Innova Market Insights terms this top trend, opens further value-add potential. Fortification with micronutrients gives products additional health value. Plant-based alternatives to dairy products are by far the strongest category, according to Innova. SternVitamin has developed special micronutrient premixes for this segment that upgrade plant-based drinks based on oats and other protein sources. Its new SternHeartV, SternGutV and SternBonesV premixes let manufactures align plant-based drinks precisely to the special needs of specific target groups.
For example, SternHeartV addresses athletes, professionals with high-stress jobs and older people. This micronutrient combination of B vitamins, vitamin E, folic acid, iodine and zinc supports normal homocysteine metabolism and the formation of new red blood cells. In addition, it contributes to optimum muscle function and to protecting the cells from oxidative stress. For keeping bones healthy into advanced age there is SternBonesV for plant-based drinks. Its combination of vitamin D, vitamin K2, magnesium and calcium helps maintain bone health, and is appropriate for women in all age groups, vegans, and lactose-intolerant persons who want to be sure of getting a good calcium supply from plant-based products.
Manufacturers of plant-based drinks with SternGutV can reach a broad audience. This premix supports the gut-associated immune system, through a combination of micronutrients for strengthening immune defences, and fibres with prebiotic and immune-modulating properties. Whether stress at work or study, whether professional or weekend athlete, plant-based drinks with SternGutV support the immune system and help it perform well. At the same time they offer good taste and a pleasant mouth feel. According to PMR, one of the main goals in the development of plant-based alternatives is to meet consumers’ nutrition preferences, i.e. to offer added health benefits without compromising on taste. SternVitamin achieves this goal through its close cooperation with Planteneers, whose expertise in plant-based alternatives provides for full flavour enjoyment while SternVitamin supplies the added health benefits. At their own Plant Based Competence Center these sister companies develop attractive combinations of ingredients for a wide range of applications to meet the individual wishes of specific customers. The health benefits of these premixes can be marketed effectively on the drink packages using EU-approved Health Claims.
Cibus has been postponed to next year from 4 to 7 May 2021 in Parma – Meanwhile Fiere di Parma and Federalimentare have announced an international Forum on 2-3 September 2020 in Parma addressing the restart of the agri-food sector – The innovative online platform “My Business Cibus” designed for international operators to facilitate the matching between trade operators and the Authentic Italian Food is ready to go
The 20th edition of Cibus, the International Food Exhibition, has been rescheduled for next year, from 4 to 7 May 2021. The decision, taken by Fiere di Parma and Federalimentare, has been mutually agreed with ITA – Italian Trade Agency and the businesses of the Italian agri-food supply chain. An international forum entitled “CIBUS FORUM – FOOD&BEVERAGE SECTOR AND COVID: FROM TRANSITION TO TRANSFORMATION” will be held in Parma in September, later this year. While in the next few days, an innovative digital Sourcing and Business Matching platform, called “My Business Cibus” will be launched.
Regarding Cibus, initially rescheduled for September 2020, we recognized the absence of the necessary conditions able to guarantee the qualitative and quantitative outcome of the incoming program, especially in terms of international trade operators, and as a consequence to meet the expectations of our exhibitors, stakeholders, and institutional partners. Considering the role of Cibus as the reference event for the promotion of the “Authentic Italian Food&Beverage” in the eyes of the international community of agri-food players, a downsized edition of the 20th International Food Exhibition does not seem an acceptable solution.
“CIBUS FORUM – FOOD&BEVERAGE SECTOR AND COVID: FROM TRANSITION TO TRANSFORMATION” will take place in Parma from 2 to 3 September 2020. To what extent have consumer behaviors changed since the COVID-19 emergency? How will the labor market be reorganized? What actions will need to be put in place to recover production and export of the agri-food sector? Industry stakeholders and national and international experts will meet for a collaborative consultation on future scenarios.The Forum will be held at the Fiere di Parma exhibition centre, in a pavilion that in light of Covid-19 has been restructured specifically to host a limited number of guests and key speakers in a safe way and in compliance with the most advanced safety & security standards. Cibus Forum will also be streamed live.
While waiting for the next edition of Cibus, Fiere di Parma together with Federalimentare, have set up an innovative online platform, “My Business Cibus”, which will allow commercial operators to carry out thorough searches and select all Cibus exhibitors’ products, including the latest innovations. All the products that the companies publish on their websites have been indexed and grouped. This will give national and international buyers the possibility of choosing, in an easy and quick way, from amongst almost 200,000 products offered by 3,000 companies. The online tool will be operational from 12 May 2020 (www.mybusiness.cibus.it).
Following the news that PepsiCo is set to buy Rockstar Energy Beverages; Andy Morton, Drinks Deputy Editor at GlobalData, a leading data and analytics company, offers his view:
“This agreement will fill a gaping hole in PepsiCo’s beverage portfolio just as The Coca-Cola Co looked to have the drop over its historic rival in global energy drinks.
“In recent years, Coca-Cola has taken a minority stake in Monster Energy owner Monster Beverage Corp and launched its own energy drink under the Coca-Cola brand. The moves targeted fast growth in energy that has stolen share from carbonated sodas such as Coke and Pepsi and threatened the traditional business strategies of the larger beverage multinationals.
“As Coca-Cola cosied up to Monster, PepsiCo’s lack of action in energy became more apparent. Energy offerings from PepsiCo so far have largely been from its Mountain Dew soft drinks brand, with niche consumers such as gamers served with the likes of Amp Game Fuel and athletes with a caffeinated version of Gatorade called Bolt24.
“The Rockstar acquisition hands PepsiCo an off-the-peg solution to its lack of a bespoke energy brand while offering new angles for those already in its portfolio. According to GlobalData, Rockstar accounts for just 4 % of the global energy drinks market by value, but the company offers a platform to bigger things.
“The purchase also sounds the starting gun for a new frontier in PepsiCo and Coca-Cola’s beverage war as the world’s biggest soda companies finally get serious in energy.
“For years, the global energy drinks market was dominated by the upstart Red Bull. Recently, however, Monster – buoyed by a sea of cash from domination in the US – has closed the gap by stretching its tentacles beyond the country, with exports boosted by a distribution agreement with Coca-Cola. With Rockstar now set to join PepsiCo, it too could become a global player and expand beyond its current few dozen export markets.
“There’s much to play for – according to GlobalData, the global energy drinks market grew by 8.9 % in 2018, making it the fastest-growing category in non-alcoholic beverages. That growth was driven by Asia (+18.7 %), Eastern Europe (+16.9 %) and Africa (+14.0 %). China, meanwhile, became the world’s biggest energy drinks market after overtaking the US, signalling that the real action in the category lies beyond PepsiCo and Coca-Cola’s developed markets.
“Prepare to be buzzed – the energy drinks showdown is going global.”
PepsiCo, Inc. announced that it has entered into an agreement to acquire Rockstar Energy Beverages (“Rockstar”), the popular energy drink maker, for $3.85 billion.
Ramon Laguarta, PepsiCo Chairman and CEO (Photo: PepsiCo)
“As we work to be more consumer-centric and capitalize on rising demand in the functional beverage space, this highly strategic acquisition will enable us to leverage PepsiCo’s capabilities to both accelerate Rockstar’s performance and unlock our ability to expand in the category with existing brands such as Mountain Dew,” said PepsiCo Chairman and CEO, Ramon Laguarta. “Over time, we expect to capture our fair share of this fast-growing, highly profitable category and create meaningful new partnerships in the energy space.”
Rockstar, founded in 2001, produces beverages that are designed for those who lead active lifestyles from athletes to rock stars. Rockstar products are available in over 30 flavors at convenience and grocery outlets in over 30 countries. PepsiCo has had a distribution agreement with Rockstar in North America since 2009. In addition to Rockstar, PepsiCo’s energy portfolio includes Mountain Dew’s Kickstart, GameFuel, and AMP.
“We have had a strong partnership with PepsiCo for the last decade, and I’m happy to take that to the next level and join forces as one company,” said Russ Weiner, Rockstar’s founder and creator of the world’s first 16oz energy drink. “PepsiCo shares our competitive spirit and will invest in growing our brand even further. I’m proud of what we built and how we’ve changed the game in the energy space.”
PepsiCo has also entered into an agreement, which will provide approximately $0.7 billion of payments related to future tax benefits associated with the transaction, payable over up to 15 years. PepsiCo does not expect the transaction to be material to its revenue or earnings per share in 2020. The transaction is subject to customary closing conditions, including regulatory approval, and is expected to close in the first half of 2020.
Centerview Partners LLC acted as financial advisor to PepsiCo. Gibson, Dunn & Crutcher LLP acted as lead counsel to PepsiCo, and Davis Polk & Wardwell LLP as U.S. tax and antitrust counsel. Goldman Sachs & Co. LLC acted as financial advisor to Rockstar, with King & Spalding acting as Rockstar’s legal counsel.
Total drinks industry deals for December 2019 worth $135.84m were announced globally, according to GlobalData’s deals database.
The value marked a decrease of 70.01 % over the previous month and a drop of 93.3 % when compared with the last 12-month average of $2.02bn.
In terms of number of deals, the sector saw a drop of 31.8 % over the last 12-month average with 30 deals against the average of 44 deals.
In value terms, Asia-Pacific led the activity with deals worth $116.79m.
Drinks industry deals in December 2019: Top deals
The top five drinks deals accounted for 95.7 % of the overall value during December 2019.
The combined value of the top five drinks deals stood at $129.96m, against the overall value of $135.84m recorded for the month.
The top five drinks industry deals of December 2019 tracked by GlobalData were:
Lotte Chilsung Beverage’s $82.15m acquisition of Pepsi-Cola Products Philippines
The $33.78m venture financing of Soulfresh Global by True Capital Partners
Business Growth Fund’s $10.39m private equity deal with Off-Piste Wines
The $2.77m venture financing of Montoscar Enterprises by Diageo
Seedrs’ venture financing of Skinny tonic for $0.86m.
As this year saw the rise of the sober-curiousness trend, non-alcoholic drinks such as wine waters have a great market potential, due to their natural antioxidants content and their functionality. Wine water, either still or sparkling, is promoted as healthy and naturally functional, with a distinctive wine taste. According to GlobalData’s Q3 2019 global consumer survey, 92 % of surveyed consumers consider that eating healthily creates a feeling of wellness and 60 % say they believe antioxidants have a positive impact on their health.
Ana-Maria Iscru, Consumer Analyst at GlobalData, explains: “A new water concept, wine water is different from alcoholic seltzers, non-alcoholic wine and fruit flavored waters, in that it does not contain alcohol but does have a wine-infused flavor, for a more sophisticated taste. The wine essence water from Wine Water Ltd., for instance, was released last year and has already sparked interest. The brand taps into a few consumer trends, namely the absence of alcohol, low sugar content, low calories and an elegant glass bottle packaging instead of plastic.”
Another slightly similar brand is Napa Hills, flavored water ‘with red wine’s natural antioxidants’, but without a wine flavour. PepsiCo also gave the trend a try, releasing a limited-edition rosé-flavored sparkling cola, which was served at the first edition of the BravoCon in November. Moreover, Walmart recently introduced a rosé wine drink enhancer, but it is not expected to come too close to the wine taste.
Iscru adds: “Wine waters are seen as much lower in calories and sugar than actual wine, enough to respond to the growing health & wellness demands. All of this while not ditching the classic wine taste that a lot of people love.
“The category is yet to grow, as there is not a large variety of wine waters, but it has potential in the way it is presenting itself: natural, sustainable and tasty. However, until wine water as a category grows globally, for now consumers are just left wanting more.”
As the market for oat drinks grows, Novozymes has developed a new toolbox to guide producers to expand their businesses into oat drinks.
Half a billion people worldwide are either vegan or vegetarian, 26 % of millennials have already embraced this lifestyle and 73 % among them are willing to pay more for sustainable food and drinks1. The combination of these trends is giving the sale of oat drinks a boost, with an expected growth of 30 % a year2.
“A new market is opening up and booming. To help dairies and beverage producers expand their portfolio and create new types of oat drinks, we have developed a toolbox that can help them expand their business into this new territory,” says Alessandro Palumbo, Market Development Manager at Novozymes.
Oat drinks is the fastest growing category in the plant based beverage segment. This is mainly due to the fact that oat drinks have one of the best nutritional profiles among dairy alternatives. Oat drinks is also known for its benefits when it comes to sustainability.
In spite of huge interest and a growing market, a study finds only 2 in 10 consumers think that plant protein is extremely good tasting2.
“The fast-growing demand gives producers the opportunity to develop and market new types of oat drinks. But at the same time, it’s also a challenge to come up with products that match the consumer’s taste and preference,” Alessandro Palumbo says.
Speed up development and help match consumer’s taste and preference
The new enzymatic toolbox is developed by Novozymes and is the first of its kind. It provides insights into how to use and combine enzymes, raw material and production parameters to adjust sweetness, mouthfeel and nutritional profile in oat drinks. It also provides insights for producers into how to optimize the production process and save costs.
“The toolbox gives dairy and beverage producers the opportunity to develop the oat drinks consumers want. By teaming up with Novozymes, they will be able to select the flavor and nutritional profile of their drink, starting from a prototype and quickly scale it up using the perfect combination of enzymes, raw materials and equipment,” says Alessandro Palumbo.
“This will help them to speed up the go-to-market process while reducing their risks related to new product development”.
By working with Novozymes, producers will also have access to a team of experts, who can provide 360° technical support from raw material to finished product. The toolbox can be accessed from here.
1Vegans, millennials and willingness to pay a premium 2Findings from Quid platform on healthy eating and a Novozymes’ plant protein consumer research conducted in the USA in December 2018 with an online panel of 1,000 respondents, carried out by Natural Marketing Institute (NMI).
Refresco announces that it has entered into an agreement with AZPACK (Arizona Production & Packaging) to acquire their manufacturing activities located in Tempe, Arizona, USA. With this agreement, Refresco further expands its footprint in North America to enable strategic growth in this region. Refresco became the world’s largest independent bottler with leadership positions across Europe and North America following the acquisition of Cott’s bottling activities last year.
Hans Roelofs, CEO Refresco Group, explains: “North America is a large and very diverse market with a lot of growth potential in different drinks categories. Our current footprint consists of 27 locations in North America, serving national and international branded beverage companies and retailers. With the addition of AZPACK to the Refresco Group, we will be even better positioned to service customers in the Southwestern USA across many categories, including energy drinks and innovative sports drinks. AZPACK will have a specialist role in the Refresco Group, as they are known for their expertise in manufacturing complex niche products for branded beverage companies.”
Adds Peter Reilly, Co-Founder of AZPACK: “We have grown our company significantly over the past decade, but recognize the need for a different and larger platform in order to continue to grow and thrive. Both Dr. Wang and I will stay on as managers to support this next growth phase. Refresco is a very experienced beverage solutions provider and they value entrepreneurship and flexibility as much as we do. Our can-do mentality perfectly matches their approach to serving customers.”
Current trends, the latest innovations and visionary concepts for the food of the future were under focus more than ever at Anuga from 5 to 9 October 2019. The world’s largest trade fair for food and beverages demonstrated once again that it is the industry’s no. 1 global event. With over 170,000 trade visitors (plus 3 percent compared to 2017) from 201 countries and around 7,500 exhibitors (7,405 in 2017) from 106 countries, the trade fair set new records. The share of foreign exhibitors was almost 90 percent and the share of foreign visitors was 75 percent. Exhibitors from all over the world presented the entire spectrum of global products in ten trade shows under one roof. “The continual growth in the number of trade visitors and exhibitors confirms the excellent international standing of Anuga as the industry’s most important business platform. This record result means we are continuing to write the success story of Anuga in its 100th anniversary year. No other event brings supply and demand together so effectively at such a high level of quality as here in Cologne. However, Anuga 2019 fulfilled the function as a window to the future more pronouncedly than ever as well. Strategic decisions for the entire food industry were discussed here, new solutions and concepts for the big challenges of the global food industry were presented too,” stated Gerald Böse, President and Chief Executive Officer of Koelnmesse GmbH.
Paraguay’s Minister for Trade and Industry, Liz Cramer, held the opening speech for the partner country. She was particularly delighted about the friendly reception at the trade fair and the keen interest of the trade visitors in her own country: “We are convinced in Paraguay that a free and fair world trade is a source of further development and that it can lead to a more efficient usage of the globally available resources. Our exhibitors from the food industry, who have taken part in Anuga, are reporting about a high number of meetings with potential partners and are thus expecting to experience a growing demand for food from Paraguay. Furthermore, we have learned a great deal about the expectations of today’s consumers at the trade fair. I am convinced that in the face of the excellent outcome of our participation this year, Anuga will remain to be an overriding event for the development of the Paraguayan food sector in the coming years, with a significant presence of companies and representatives from the public sector of our country.”
Friedhelm Dornseifer, President of the German Association of the Retail Grocery Trade (BVLH) was also very satisfied: “Anuga has once again succeeded in presenting the diversity of the food industry in an impressive way. Whereby the trade fair has also succeeded in linking up the future themes of the industry with the current political debate about which influence the production, processing and marketing of food has on the environment and climate change. In its 100th anniversary year, Anuga is thus presenting itself as extremely topical and well-equipped for future challenges. In spite of the high importance of social responsibility and sustainability that goes hand in hand with the manufacturing and sales of food, with its wide variety of new products Anuga 2019 demonstrated impressively that the appreciation of food is above all a matter of taste. Offering products that comply with the ethical needs of the consumers that also provide them with the highest possible degree of enjoyment is a big challenge for food manufacturers and distributors. There is tough competition in this sector. They bear the entrepreneurial risk and thus deserve more political support to reconcile sustainability, profitability and the customers’ requirements.”
Christoph Minhoff, Chief Executive Director of the Federation of German Food and Drinks Industries (BVE), also drew a positive balance. “As the world’s largest and most important trade fair for food and beverages, Anuga is not only a platform for the export business of the German food industry, but also the leading global trade fair for innovations and trends within the food market. We are more innovative than any other branch of industry: Every year over 40,000 new products are introduced onto the market in Germany alone. The German food manufacturers were once again this year able to impressively demonstrate that they can already provide answers today as to how the future is going to taste. Here trends like “healthy and sustainable food” are not only further establishing themselves, sustainability is actually taking on a new dimension among foodstuffs. If the politicians want to support the industry with this development, they have to solve the existing, conflicting goals between the reduction of packing, fighting food waste and food safety instead of dictating agreements.”
Guido Zöllick, President of the DEHOGA German Association, continued: “In times that are exciting and challenging for the food service business, Anuga 2019 convinced with a unique mixture of exhibitors, valuable first-hand information, exciting trend analyses from all over the globe and an extensive, industry-relevant event programme on topical themes. True added value for the entrepreneurial success of today and tomorrow for a strong industry with an annual net turnover of almost Euro 90 billion. The DEHOGA Food Service Marketplace was once again the central meeting point for brand-name restaurant owners and medium-sized hospitality companies from Germany and Europe. Industry highlights additionally included the premiere of the dehogadigitalday, the 29th Professional Food Service Forum as well as the starting signal for the competition “Distinguished! The best German children’s menus” together with the Federal Minister of Food, Julia Klöckner. The successful outcome of the trade fair is further evidence of the high significance and great appeal of Anuga for the hospitality industry.”
Top buyers on board
The exhibitors were particularly impressed by the quality of the visitors. Countless buyers with high decision-making competence from the trade and food service attend the trade fair in Cologne. All of the important players of the TOP 10 food dealers in the world and the TOP 12 from Germany were represented. These included among others Walmart, Costco Wholesale, The Kroger Co., Metro AG, Walgreens Boots Alliance, Inc., Edeka, Rewe Group, Penny, Lidl and Kaufland (Schwarz Group). Important online dealers like Amazon, LSG Group, E.Leclerc, Mercadona, Migros and SPC Groups were also present. In terms of the number of trade visitors, increases for Europe were particularly recorded from Great Britain, the Netherlands, Poland and the Ukraine. Significant increases from non-European countries were predominantly registered from Brazil, Japan, the USA and Russia.
More than just business
Anuga is not only the gate to the worldwide food and beverage world. With a diversified event and congress programme or special events like the Anuga Horizon 2050, this year the trade fair additionally set new impulses for the food industry of tomorrow more than ever before. The congress trio NEWTRITION X, E-Grocery Congress @Anuga and the Innovation Food Conference (iFood) featuring top international speakers offered an extensive pool of new information on trends, market opportunities, new technologies and the digitalisation of the industry. Furthermore, as a provider of knowledge and know-how, Anuga presented new and ongoing trends. These included for instance plant-based meat substitute products, alternative protein products based on peas, fava beans or insects and newly-interpreted product variants made of hemp. Beyond this, themes such as free-from, convenience, vegan, bio, halal and kosher also played an important role.
The next Anuga will take place from October 9 to 13, 2021.
“The Trade show Duo”- ANUTEC – International FoodTec India & PackEx India once again underscores its position as the leading event for the suppliers of the food & drink and packaging industry in the SAARC region. The exhibition ended on a high note for all 470 exhibitors witnessing over 10,000 one-time registered trade visitors during its three-day trade fair. The exhibitors were satisfied with the quality and quantity of the visitors who attended the trade fair. Key visitors from different industry sectors were present during all three days. The exhibition once again confirmed its position as the best business platform that provides customized solutions for the Indian and neighbouring markets. The exhibition was actively supported and promoted by IPMMI (Institute of Packaging Machinery Manufacturers of India) and IFCA (Indian Flexible Packaging & Folding Carton Manufacturers Association) both being the leading industry association leaders for Packaging Industry.
Both ANUTEC – International FoodTec India & PackEx India acted as a great platform for the buyers and sellers of technology in food, drinks, dairy, confectionery, bakery, snacks and pharmaceuticals along with others to facilitate more business for the future. “We have achieved a new level with this result. Our success will be measured by the opportunities; the business and the value addition that we as an exhibition organiser are able to give to our exhibitors. All the exhibitors are really happy with us and this in turn makes us happy. Our exhibitor’s success is rightly our success”, said Ashwani Pande, Managing Director, Koelnmesse YA Tradefair India Pvt. Ltd.
The exhibition inauguration was held in the gracious presence of Mr. Hemant Malik, Chief Executive Officer- Food Division, ITC Limited, Mr. Ganesh K. Sundararaman, SBU Chief Executive, ITC Limited, Mr. Sanjeev Gupta, Director, Kanchan Metals, Mr. Manoj Paul, Country Head, Heat & Control (South Asia) Pvt. Ltd., Mr. Samir Limaye, President, IPMMI, Mr. Ashwani Pande, Managing Director, Koelnmesse YA Tradefair Pvt. Ltd. along with other dignitaries. In their inaugural speech, Mr. Hemant Malik congratulated Team Koelnmesse for creating a one-stop location for the Indian food and beverage industry in the form of ANUTEC – International FoodTec India & PackEx India. Mr. Ganesh K. Sundararaman, stressed the fact that India is a large consumption country where food processing is one of the most important sectors. To cater to the demand of this sector, ANUTEC – International FoodTec India & PackEx India is the only ideal place in India that showcases the latest for the food & drink technology thereby building partnerships and business. Key visitors from ITC, Haldiram’s, HUL, Cremica, Dabur, Pepsico, Nestle, Prataap Snacks, Balaji wafers, Vadilal, Hatsun Agro, Sun Pharmaceuticals, Abbott, Cipla and many others were present during all three business days. The feedback received from the key visitors from different sectors benchmarking ANUTEC – International FoodTec India & PackEx India as a truly international exhibition organised world over. The visitors have also expressed their satisfaction over the wide spectrum of technological solutions being showcased at the exhibition for their needs. The exhibitors underlined the increased quality of the trade visitors to the exhibition over other trade shows and showed keen interest to book stands for the next edition with bigger area.
Koelnmesse YA Tradefair Pvt Ltd will be hosting the 15th edition of the largest technology event catering to the food, drink and packaging industries: ANUTEC – International FoodTec India – International supplier fair for the food & drink industry and PackEx India – International exhibition on Packaging material and Technology along with ANUTEC Ingredients India and Food Logistics India from 23.09. to 25.09.2020 at Hall No. 1, 2, 3 & 4, Bombay Exhibition Centre, Mumbai.
Europe’s drinks industry saw a rise of 73.9 % in overall deal activity during Q2 2019, when compared to the four-quarter average, according to GlobalData, a leading data and analytics company.
A total of 40 deals worth $76.18m were announced for the region during Q2 2019, against the last four-quarter average of 23 deals.
Of all the deal types, merger and acquisition (M&A) saw the most activity in Q2 2019 with 24, representing a 60 % share for the region.
In second place was venture financing with ten deals, followed by private equity deals with six transactions, respectively capturing a 25 % and 15 % share of the overall deal activity for the quarter.
In terms of value of deals, M&A was the leading category in Europe’s drinks industry with $55.98m, while venture financing deals totaled $20.2m.
Europe drinks industry deals in Q2 2019: Top deals
The top five drinks deals accounted for 80.9 % of the overall value during Q2 2019.
The combined value of the top five drinks deals stood at $61.65m, against the overall value of $76.18m recorded for the quarter. The top announced drinks deal tracked by GlobalData in Q2 2019 was Cafento Coffee Factory S.L’s $33.58m acquisition of Java Republic.
In second place was the $20.39m asset transaction with The Glenturret by Lalique Group and in third place was Five Seasons Ventures and New Ground Ventures’ $4.73m venture financing of YFood Labs.
The $1.68m venture financing of Champagne EPC by Cedric Sellin, Cedric Sire and Kima Ventures and AG Barr’s stake acquisition of Elegantly Spirited for $1.27m held fourth and fifth positions, respectively.
Total drinks industry merger and acquisition (M&A) deals in Q2 2019 worth $2.11bn were announced globally, according to GlobalData, a leading data and analytics company.
The value marked an increase of 74.6 % over the previous quarter and a drop of 44.1 % when compared with the last four-quarter average, which stood at $3.78bn.
Comparing deals value in different regions of the globe, North America held the top position, with total announced deals in the period worth $2.01bn. At the country level, the US topped the list in terms of deal value at $2bn.
In terms of volumes, Europe emerged as the top region for drinks industry M&A deals globally, followed by North America and then Asia-Pacific.
The top country in terms of M&A deals activity in Q2 2019 was the US with 18 deals, followed by the UK with seven and Spain with four.
At the end of Q2 2019, drinks M&A deals worth $3.32bn were announced globally, marking a decrease of 87.2% year on year.
Drinks industry M&A deals in Q2 2019: Top deals
The top five drinks industry M&A deals accounted for 98.2% of the overall value during Q2 2019.
The combined value of the top five drinks industry M&A deals stood at $2.08bn, against the overall value of $2.11bn recorded for the quarter. The top announced drinks industry M&A deal tracked by GlobalData in Q2 2019 was E. & J. Gallo Winery’s $1.7bn asset transaction with Constellation Brands.
In second place was the $300m acquisition of Dogfish Head Brewery by The Boston Beer and in third place was Cafento Coffee Factory S.L’s $33.58m acquisition of Java Republic.
The $21.62m asset transaction with McLeod Russel India by Luxmi TeaLimited and Lalique Group’s asset transaction with The Glenturret for $20.39m held fourth and fifth positions, respectively.
Protein is an essential macronutrient, but latest research from the world’s leading market intelligence agency Mintel reveals that a staggering 85 %* of Indians aren’t able to correctly identify the key sources of proteins.
Moreover, a significant number of Indian consumers aren’t fully aware of the actual benefits of the macronutrient. While over one-third (36 %) associate protein with being beneficial for bone health, just a quarter (24 %) are aware that proteins help in building muscles and a fifth (19 %) with weight loss.
Even among consumers who are aware of protein sources, Mintel research reveals that a third (32 %) strongly agree that it is hard to know if they are getting enough protein from their daily diet.
Natasha Kumar, Food & Drink Analyst, India, at Mintel, said: “Our research indicates that the majority of Indian consumers are unable to correctly identify the sources of proteins, while a significant number aren’t aware of the actual benefits of the macronutrient. As such, there is a clear need for companies and brands to help consumers differentiate between the various protein sources and their associated health benefits. Companies and brands should not only emphasise the quality of protein consumption but the quantity as well as how it relates to the recommended dietary daily allowance of protein.”
Move away from fad diets
Meanwhile, Mintel research also reveals there is an opportunity for companies and manufacturers to move away from fad diets, and instead, target the general consumer with food and drink products with added proteins. While a fifth (21 %) of Indian consumers say that they have tried a high-protein diet in the past, over two-thirds (68 %) either agree or strongly agree that high-protein diets are just a fad.
“Packaged food and drink products with added protein should be targeted at the general consumer and not just those who follow a high-protein diet. Companies and brands need to take advantage of the behavioural changes of increasingly health-conscious Indians who incorporate high or added protein packaged food and drink into their everyday diets. Given that most consumers question whether they are getting the recommended allowance of protein in their diets, one way to appeal to the masses would be to include these claims in products that Indians already consume in their daily lives,” Natasha continued.
Introducing high-protein food and drinks in mass categories
Finally, Mintel research highlights that over one in four (27 %) Indian consumers strongly agree that there aren’t enough high-protein packaged food and drink products. Indeed, research from Mintel Global New Products Database (GNPD) indicates that just 5 % of food and drink products launched in India between 2016-2018** featured high/added protein claims. Of this, 84 % were food products and the rest (16 %) were drinks. However, the growth of high/added protein claims is being driven by drinks, increasing from 8 % in 2017 to 25 % in 2018.
“Currently, high or added protein claims exist in very niche categories like cereal bars and meal replacement drinks, which tend to have smaller audiences in India. Companies, brands and manufacturers will stand to benefit from expanding these claims to more prevalent categories like milk, yoghurt, biscuits and snacks, all of which have a larger consumer base. Such added claims can also be essential in converting more consumers to packaged food from fresh food. For instance, added protein claims in yoghurt can be a way to lure consumers to opt for a packaged option over fresh homemade yoghurt,” concluded Natasha.
Sales of UK manufactured fruit and vegetable juice surge 17 % year-on-year while beer sales fall 16 %
Food industry remains the largest UK manufacturing sector, contributing £71.8bn in sales overall
Sales of UK manufactured goods hit a record £390.1 billion, up 2 % year-on-year
The manufacture of fruit and vegetable juice was the fastest growing sub sector in the UK food industry, growing 17 % from £654 million in 2017 to £768 million in 2018 – according to analysis of the latest ONS PRODCOM data by Santander1.
Research2 shows that more than half of people aged 16 to 24 consume juice drinks at least once a day. Consumption of smoothies has seen the biggest increase among all fruit juice drinks with Brits spending £112 million alone on these last year alone3.
Sales of UK manufactured beer have meanwhile hit their lowest level in a decade at £3.1 billion – down from £3.7 billion the year before – as young people increasingly turn to alcohol free alternatives. Beer sales reached their peak in 2009, when Brits consumed £4.8 billion in beer.
Food and drink remained the largest UK manufacturing sector in 2018, reporting sales of £71.8 billion – a 3 % increase on 2017. Overall UK manufacturing sales hit a record high of £390.1 billion in 2018 – an increase of £9.4 billion (2.5 %) from the previous year.
Andrew Williams, Head of Food & Drink Sector, Santander UK, said: “Food and drink manufacturing is vital to the health of the economy and the UK is widely seen as a global leader in product innovation. The last decade has seen the food and drink industry shaken up with huge shifts in consumer buying habits – from growing interest in veganism to juice and smoothie diets. Manufacturers are having to respond quicker than ever to develop new products to meet customer demand – a pattern which is likely to continue as Brits explore the latest food fads.”
Ice cream was the second fastest growing food manufacturing sub sector, increasing 14 % from £383 million to £437 million in manufacturing sales value. An unusually hot summer and a shake-up of manufacturers’ product offering, including allergy-friendly and low-calorie options, boosted sales across the UK. The rise of consumers adopting a plant-based diet saw sales of vegan ice cream jump by 26 %.
Despite the surge in sales of fruit and vegetable and ice cream, British staples of cheese (£7.8 billion), bread, cakes and pastries (£6 billion) and processed meat (£7.9 billion) held their place as the foods with the highest sales in the UK overall. UK manufacturing remains the ninth biggest in the world, contributing over 45 % of all UK exports.
Santander has a dedicated team working with a range of food and manufacturers – from coffee experts to Cornish sea salt producers – to help establish trade links with international buyers. As part of helping manufacturers grow their businesses, the team of experts regularly organise international delegations for businesses to meet potential buyers and suppliers in countries around the world. Last year the team took 64 businesses on trade missions to 10 countries, with a further 40 businesses being linked up with partners around the world through inward ‘meet the buyer’ events and virtual meetings.
1 Santander analysis of the ONS PRODCOM data tables published on 1st July showing manufacturing sales by industry and industry sub-sector for full year 2018. Santander analysed the data to find the fastest growing sectors. 2 Kantar survey of 1,233 respondents, March 2019. https://drlkaenwvxlk9.cloudfront.net/Uploads/b/t/b/10charts_juicessmoothies_digitalpdf_487400.pdf 3 The Grocer report on juices and smoothies, 23 February 2019. https://www.thegrocer.co.uk/category-reports/super-juice-juices-and-smoothies-category-report-2019/590446.article
Scientifically formulated range that replenishes nutrients and minerals lost during partying, travelling and exercising
HangZing is an innovative business founded by a British Chemical Engineer and is committed to using ground-breaking technology to create radical food and drink products.
HangZing produces a revolutionary range of drinks designed to give a natural pick-me-up for people that work hard and play hard. The drinks are scientifically formulated using a blend of naturally-functional ingredients to fight the after-effects of alcohol consumption and to replenish the nutrients and minerals lost during partying, traveling and exercising.
Available in two innovative varieties, Lychee & Lemongrass and Garden Mint, every convenient 100 ml bottle is made by combining herbs, electrolytes and vitamins. The range is sweetened naturally from pure Canadian maple syrup and is free from added sugar, sweeteners and is suitable for vegans.
HangZing helps individuals reboot and get the most from their day and provides a natural alternative to unhealthy “morning after” remedies, including pain killers and junk food.
Product Functionality and Usage
As the liver metabolizes alcohol, a compound called Acetaldehyde is produced as a by-product. Acetaldehyde is a harmful, toxic compound for the human body. It is this that causes the headaches, nausea, muscle aches, fatigue, increased sensitivity to light and facial flushing associated with too much drinking.
HangZing works in three ways. First, it harnesses the powers of the hepatoprotective herbs Hovenia Dulcis, Milk Thistle, Nopal Cactus and Siberian Ginseng, which may facilitate the breakdown of the by-product Acetaldehyde into smaller components which can then be passed through the system.
Aloe Vera, Turmeric and Vitamin C work together to reduce the inflammation and neutralize the acidity in the stomach to ease discomfort, along with boosting the immune system. Finally, electrolytes, including sodium, potassium, calcium, magnesium and vitamin B complex (B1, B3, B6, B5, B12, B9) replenish the minerals and nutrients lost from drinking.
Many variables including age, weight, sex and ethnicity affect how individuals are able to detoxify alcohol in their system. To address this diversity, HangZing’s research and development involved creating a proprietary formula in a bottling laboratory through an iterative approach of testing different quantities of each ingredient on hundreds of people over a period of time.
“Extensive research has shown that dihydromyricetin (DHM), a compound in hovenia dulcis, boosts the ability of the enzymes ADH and ALDH to break down both alcohol and acetaldehyde. The research concludes that DHM can, therefore, speed up the process with which the liver breaks down acetaldehyde into smaller compounds, such as acetate, carbon dioxide and water, which can then be expelled through breathing, sweat and urine.” *(Chen et al., 2006)
HangZing is designed for anyone who wants to get the most out of the day after a heavy evening the night before, from busy professionals to those marking a special occasion. Packaged in a box of six 100 ml bottles, HangZing works best when consumed just before bed with plenty of water.
HangZing is available via Amazon Prime and the brand’s website: www.hangzing.com in two varieties, Lychee and Lemongrass and Garden Mint, for $28.99 per box (6 x 100 ml bottles).
*Chen, S., Li, A., Li, S., Wu, L. and Zhong, G. (2006). Influence of Hovenia dulcis on alcohol concentration in blood and activity of alcohol dehydrogenase (ADH) of animals after drinking. China Journal of Chinese Materia Medica, 31(13), pp. 1094-1096.
New system will enable companies to substantially improve capacity and operational performance, dramatically cutting rejection rates in the process JBT Corporation has announced the launch of a new solution for filling flexible pouches commonly used in the infant nutrition and sports drinks categories, which could spark further market growth for the sector. The JBT AsepFlex™ Linear Pouch Filler has been developed to overcome problems associated with current pouch packaging, including a high rejection rate and low capacity.
The market of flexible packaging is growing, with pouches becoming the preferred option for processors and consumers thanks to their non-breakable, lightweight, easy to open, and easy to empty (squeezable) characteristics. In the infant nutrition category flexible pouches are expected to grow their market share by 10 % each year.
However, growth in the category has been restricted by limits to current pouch filling technology. The two existing shelf stable pouch solutions both suffer from significant drawbacks. Solutions using an aseptic form fill seal typically have a low capacity and a high Total Cost of Ownership (TCO) due to a high rejection rate. Hot fill with retort sterilization solutions, meanwhile, often have low (120 ppm) capacity and low product quality.
The JBT AsepFlex Linear Pouch Filler has been developed to solve the problems with these existing solutions by substantially improving capacity and operational performance. With a capacity as high as 500 ppm – or 30,000 pouches per hour – the fully aseptic solution is designed in accordance with the FDA guidelines for low acid aseptically filled food products and can achieve an impressive operational performance, with a 95 % efficiency rate and a typical reject rate of only 0.5 %.
JBT Product Manager, Bert Krakers, said: “Apart from capacity and aseptic integrity, the AsepFlex Filler offers flexibility. Pouch formats and sizes can be changed on the fly without the necessity to change parts.”
The filling system, he explained, can fill a wide range of products from water-like liquids through to high viscous products, such as smoothies with particulates. It can also be equipped with a nitrogen dosing system to reduce the oxygen in the headspace of the pouch, which limits the chemical deterioration (oxidation) of the product, helping maximize product shelf life in the process.
The JBT AsepFlex Filler has been designed for use with infant nutrition products, such as fruit and vegetable purees, and ready-to-drink baby food, as well as sports and breakfast drinks ‘on-the-go’, and nutraceutical products. A first AsepFlex filling unit in Europe has recently been supplied to a leading specialist in infant nutrition.
Arla Foods Ingredients is injecting some fizz into the sports nutrition category with its new Lacprodan® HYDRO.Clear. The advanced 100 % whey protein hydrolysate solution is specially developed for formulating sparkling protein waters.
Lacprodan® HYDRO.Clear is fat and sugar-free and delivers optimized taste, a low bitterness profile and long shelf life. It is lactose-free, low in energy, very low in salt and easy to flavour.
Full-scale factory trials have shown that Lacprodan® HYDRO.Clear can be used to produce sparkling water products with up to 6 % protein. This makes it straightforward for sports drinks manufacturers to create crystal-clear, sparkling, high-protein RTD beverages with strong health credentials.
Joe Katterfield, Health and Performance Nutrition Development Manager at Arla Foods Ingredients, said: “With Lacprodan® HYDRO.Clear it is possible to produce a great-tasting, high-protein sparkling water. This means that sports nutrition brands can launch, for example, a standard 330 ml can containing 20 g of whey protein per serving, making it perfect for sports nutrition users. The concept is also ideal for lifestyle and soft drink brands, as it allows them to offer a great source of protein in convenient and refreshing on-the-go format that will appeal to all ages.”
Sales of sports protein drinks increased by an average of 9.5 % a year between 2013 and 2017 and are forecast to grow by 8.4 % annually between 2018 and 2022 – highlighting consumers’ thirst for these products.[1] Sales of functional and fortified waters, meanwhile, rose by 4 % a year from 2013-2017 and are forecast to grow by 6 % a year from 2018-2022. The carbonates segment is also robust, with a 22 % a year increase in new launches globally between 2007 and 2017.[2]
Joe Katterfield added: “Market conditions are ideal for launching sparkling protein waters targeted at sports nutrition users, a group of consumers who are always on the look-out for products that deliver high levels of whey protein in a convenient format. However, for technical reasons – primarily related to issues around taste and bitterness – there are currently no sparkling protein waters on the market made exclusively with whey. In this respect, Lacprodan® HYDRO.Clear is a game-changer, enabling manufacturers to incorporate 100 % whey protein hydrolysate into crystal clear carbonated beverages.”
Production of crystalline betaine under a joint venture between AGRANA and The Amalgamated Sugar Company (USA)
The fruit, starch and sugar group AGRANA is constructing a betaine crystallisation plant at its sugar refinery in Tulln (AUT) under a joint venture with US-based Amalgamated Sugar. The official ground-breaking ceremony for this project took place on April 9th. The new plant, entailing the investment of around € 40 million, will take a year to construct.
AGRANA has been processing the sugar beet molasses obtained during the production of sugar at its Tulln site to make liquid betaine since 2015. The new plant, with a production capacity of around 8,500 metric tons of crystalline betaine per year, will make Tulln only the third manufacturing site worldwide where premium-quality, natural crystalline betaine is produced.
“We are looking forward to a successful partnership to produce premium-quality crystalline betaine. Diversification by means of betaine in our Sugar segment is essential to ideally exploit the full potential of sugar beets. This investment in a greater depth of sugar refining is therefore a top priority in the interests of safeguarding competitiveness,” as the CEOs of AGRANA and Amalgamated, Johann Marihart and John McCreedy, both agree.
About betaine The natural substance betaine, found in sugar beet molasses, is characterised by numerous positive properties and can be used in many applications. Betaine is a methyl donor and has osmoregulatory properties, aids the liver to process fats, and biologically degrades the amino acid homocysteine, which can damage blood vessels when in high concentrations.
Betaine is used not only in food supplements and sport drinks to promote muscle development, but also in livestock rearing as a component in animal feeds. Due to its osmoregulatory properties at a cellular level, betaine is also used in cosmetic products. In tensides and detergent substances (e.g. shampoos and conditioners), betaine acts to stabilise the formation of foam and also conditions and strengthens the hair.
US sales of cannabis-based drinks jumped to EUR 86 million in 2018, according to the new 2019 US CBD Drinks Report from food and drink experts Zenith Global and US industry newsletter Beverage Digest. The market is expected to rapidly achieve mass market appeal, surging to over USD 1.4 billion in 2023, even with some regulatory restrictions remaining.
“Key growth drivers for CBD drinks include loosening regulatory implementation, investment by major brewers and innovation by numerous start-ups,” commented Zenith Global Chairman Richard Hall. “This has led to far greater awareness and availability.”
“A cultural shift in consumption also contributes. Consumers increasingly look for natural products with health benefits and are reducing their alcohol intake,” added Beverage Digest Executive Editor Duane Stanford. “CBD drinks are positioned as a potential aid for conditions from anxiety to muscle pain.”
The United States, in particular, has been a hot spot for CBD drink innovation. The category received a potential boost in December with passage of the Agriculture Improvement Act of 2018, which removed hemp from Schedule 1 of the Controlled Substances Act.
Cannabis has two main active constituents – CBD and THC. THC is the element that gives an emotional high and has not been licensed for consumer products. CBD, which is an abbreviation of cannabidiol, has some reported benefits and is in the process of gaining the necessary approvals for consumer products.
The quantity of CBD in beverages varies from 2 mg to 100 mg per litre. The 2019 US CBD Drinks Report profiles more than 20 brands which span numerous segments such as soda, tea, cold brew coffee, shots, energy drinks, water (still, sparkling and flavored) and beer.
This report also assesses opportunities for other CBD products, international prospects and developments in US legislation.
As the nation struggles through the dark January days, with vitamin D in short supply, latest research from Mintel reveals some good news for the “sunshine drug”, as it is crowned Britain’s favourite single vitamin supplement.
According to Mintel, usage of Vitamin D has risen a glowing 7 percentage points in the last year and today it is used by 33 % of Vitamins, Minerals and Supplements (VMS) users, up from 26 % in 2017. The rise in Vitamin D usage saw it overtake Vitamin C in 2018, to become Britain’s most popular single vitamin supplement. While usage has ticked upwards for all age groups, it is 35 – 54-year-olds who are the main drivers, with usage rising from 22 % in 2017 to 35 % in 2018 among this group.
Britain’s top five single vitamin supplements are Vitamin D (33 %), Vitamin C (27 %), Vitamin B complex (15 %), Vitamin A (12 %) and Vitamin E (10 %). Meanwhile, well over half (56 %) of VMS users take multivitamins.
Over the past year, six in ten (59 %) Brits have taken VMS. Around one in three (34 %) take VMS daily, with women (38 %) considerably more likely than men (29 %) to do so. Only a quarter (26 %) of all Brits have never taken VMS.
Sales of vitamins and supplements are estimated to reach £442 million in 2018, a rise of 6 % from £417 million in 2013. The sector is predicted to see a steady rise in value sales over the next five years, with the market forecast to grow a healthy 8 % to reach £477 million in 2023.
Anita Winther, Research Analyst at Mintel, said: “The ongoing focus on health, both among consumers and in the public debate, is seeing people take a more proactive approach towards their wellbeing. The interest in health is expected to be a major driver for vitamin, minerals and supplements sales, while the ageing population should continue to drive growth in the over-50s segment. Vitamin D has proved to be a star performer in the sector, with its health benefits during the winter months continuing to be a popular topic. This will have undoubtedly helped boost usage, raising its profile among Brits.”
Rise in veganism offers opportunity for sales of calcium and iron supplements
Not to be outshone, calcium and iron usage among VMS users has shown an impressive rise in the last year; calcium usage increasing 9 percentage points (up from 20 % in 2017 to 29 % in 2018) and iron up 6 percentage points (up from 22 % to 28 %). The biggest increase for calcium was seen among 25-34-year-olds (up from 25 % to 39 %), while for iron, it is 35 – 44 year olds who have upped their intake the most (up from 22 % to 36 %).
Although vegetarianism remains relatively small, Mintel reveals that a flexitarian lifestyle is likely to be affecting what people look for in their vitamins and supplements. Indeed, more than one in ten (11 %) people who use and buy VMS see a vegetarian/vegan claim as an important factor when choosing one vitamin/supplement over another.
A long-term favourite with Brits, cod liver oil/fish oil remains the nation’s number one supplement, taken by 37 % of VMS users in the last year. Britain’s remaining top five supplements include calcium (29 %), iron (28 %), magnesium (16 %) and zinc (16 %).
“The trend towards meat reduction diets – including both strict vegan diets and the more lenient flexitarian approach – is likely boosting usage of iron. With as many as half of meat eaters believing their red meat intake should be limited, it is likely that people are looking to supplements to fill the iron gap left if they are reducing the amount of red meat they eat. The rise in usage of calcium could also be linked to the growing focus on plant-based foods, both in terms of vegan diets and dairy avoidance. With just three in ten adults in agreement that fortified foods and drinks are a better source of vitamins and minerals than taking supplements, consumers may well be feeling the need to complement these foods with a supplement.” concludes Anita.
Fermented drinks continue to gain traction in the beverages market driven by growing disposable incomes, rapidly evolving lifestyles and health conscience millennial consumers looking for less sugary and low alcoholic beverages, says leading data and analytics company.
According to GlobalData’s ‘Consumer Beverages Influencer Analytics Platform’, beer, wines, sugary drinks and fermented drinks emerged as the most popular trending topics over the last *90 days.
Vaibhav Mathur, Influencer Research Head at GlobalData, says “As calorific soft drinks lose their appeal with health-committed millennials, functional ingredients such as probiotics, vitamins and protein provide opportunities for fermented drinks new product development. Kombucha a fermented tea is rich in beneficial probiotics and is sold as a healthy alternative to carbonated sweetened soft drinks.’’
*last 90 days refers to a timeline from 1st Aug-31st Oct
Beatson Clark’s flexible service and centuries of experience proved to be the winning formula for premium soft drinks company Eager Drinks.
The glass manufacturer based in South Yorkshire has just finished its production run for over 200,000 new and unique glass bottles for Eager Drinks’ new mixer range – Cold Brew Tonics.
Eager, founded in 2007, approached Beatson Clark last year to help them package their first glass bottle drinks range. All of Eager’s other soft drinks, including its signature cloudy apple juice, are packaged using cardboard.
To ensure the success of the new range in a competitive market, founder of Eager Drinks Ed Rigg knew the look and feel of the bottle was imperative to its longevity in the soft drinks market.
“Owing to the fact that Cold Brew Tonics is our first range packaged using glass, we had strict criteria for its look, feel and quality to ensure it was in keeping with our brand and commitment on sustainability,” said Ed.
“We wanted a bottle which used recycled glass in some way and wanted it to look contemporary and modern yet traditional to the touch. We didn’t want an off-the-shelf design. We wanted a bottle which was going to make an impression in a competitive market.
“Beaton Clark’s approach matched our vision. In terms of flexibility, service and quality, they win every time compared to competitors in the UK and abroad.”
Working closely with Eager Drinks, Beatson Clark designed and produced a unique 200ml white flint glass bottle. The brief was to produce a container which looked modern and contemporary but had a traditional and vintage feel to it.
The container is heavier than a standard bottle to give a high-quality, premium feel in line with its intended consumer market. The bottle is embossed around the shoulder with the words ’EAGER’ and around the base with the words ‘PRODUCED IN SMALL BATCHES’.
Jonathan Clark, Account Manager at Beatson Clark, commented: “It’s been a pleasure to work with the Eager team from concept right through to production. As Ed has found out, what we offer in terms of service is only matched by the quality of the product we make.
“For an established drinks company entering the competitive mixer market for the first time, the packaging is just as important as the quality of what’s inside. The drinks are different to anything else on the market owing to the unique production process, and the packaging reflects that.”
Each flavour in the range – Tonic, Light Tonic, Smoked Tonic, Lemonade, Ginger Beer, Artisan Lemonade and Club Soda – is produced by packing bunches of dried fruit peel into hessian bags and placing the oil-rich rinds in cold water for 24 hours before the product is carbonated.
“Each mixer has a purer and deeper flavour than any other mixer drink on the market, so we wanted to make sure the taste is preserved for as long as possible. That’s why we chose glass, because it does that better than any other form of packaging and it’s 100 per cent recyclable,” said Ed.
The premium, high-end range was launched last month and is already on sale in bars, hotels and restaurants across the country.
As the economic outlook for Asia-Pacific (APAC) remains strong and consumers in the region continue to put in a high level of performance, stress and overwork will be the important concerns related to mental health among them. Against this backdrop, beverage makers which offer fortified drinks with health-enhancing ingredients will have an edge over others in the region, says GlobalData, a leading data and analytics company.
According to the company’s Q1 2017 consumer survey, stress, overwork and memory loss are the major concerns for APAC consumers. Among the three, stress was the leading mental health concern with 84 %.
The company’s report, ‘Top Trends in Healthcare and OTC Products 2018’ reveals that the majority (61 %) of consumers in APAC are looking for drinks with health-enhancing ingredients but very few drinks feature them.
Will Grimwade, Consumer Analyst at GlobalData, says: “Health drinks have often been pigeon holed into being either low sugar variants or energy boosters fortified with caffeine, vitamins or minerals. Mental health is a growing concern, but fortified drinks rarely address this need.
“Sales of fortified drinks and demand for drinks with health enhancing ingredients in APAC are both currently at a medium level. There is little focus on mental health within this sector and the large size of the total soft drinks market makes this a good opportunity.”
GlobalData expects a growing number of new launches to the market that include ingredients such as Gingko Biloba, Turmeric and Lecithin. Companies such as Coca-Cola are investing in emerging ingredients such as Cannabidiol (CBD) oil in North America due to its pain and anxiety easing effects, with use of the ingredient likely to spread to Asia within the next few years. This shows that companies are looking to target a more diverse range of health needs.
Grimwade concludes: “Economic growth is unlikely to stagnate and stress levels for APAC consumers are unlikely to drop, meaning the appeal of stress relieving drinks is likely to remain strong.”
As the government contemplates a ban on the sale of energy drinks to children in England, Jonathan Davison, Beverage Analyst at GlobalData, a leading data and analytics company, gives his view on the news: “Considering a ban on energy drinks sales in the UK defined by age might seem premature given the already pervasive impact of the recently introduced sugar tax. A handful of energy drinks brands have reformulated their products and the *22 % volume sales increase of low calorie energy drinks in the UK in 2017 v 2016 would suggest the industry is making progress.
“Such action from the government would of course have an effect, but if reducing caffeine and sugar intake is the goal another approach could simply be to look at capping energy drink pack sizes instead. Larger energy drink pack formats have fast become the norm in the UK, particularly 50cl which has more than doubled in volume over the last 10 years to dominate the category. Limiting energy drink pack sizes to 25cl and below, and potentially the quantity that can be purchased, could go some way to addressing the current concerns without the need for an outright ban.”
* GlobalData Consumer Intelligence Centre
Cannabis-infused drinks are set to become more widely available. Investment in the marijuana market is increasing as legal recreational use of the drug becomes more widespread, according to GlobalData, a leading data and analytics company.
The latest high profile investor is Constellation Brands, the distributer of Corona beers in the USA, which has just bought a controlling stake in a Canadian marijuana company in order to develop cannabis-infused alcoholic drinks.
A spokesperson from the GlobalData Consumer Analyst team, commented: ‘‘We believe that Constellation Brand’s investment in Canopy Growth Corp, a marijuana growing company, is a sign that the market has potential. Widespread legalization is making marijuana a trending ingredient, driving innovation in food and drink markets. As a result, the move to enable them to develop cannabis-infused drinks is a good one.’’
However, alcoholic drinks companies need to think beyond just flavor innovation when weighing up investments in the marijuana market. The legalization of recreational marijuana presents a threat, as drinkers may swap alcohol for cannabis. Drinks companies may therefore lose sales to cannabis brands.
Consumption occasions for alcoholic drinks and recreational cannabis products overlap, such as the desire to relax or to celebrate. Whilst this increases the likelihood that alcoholic drinks could be substituted by cannabis, it also means drinks brands can move into this space without diluting what their brand stands for. Cannabis is therefore a natural extension for many alcoholic drinks brands.
Alcoholic drinks companies need to see cannabis as an opportunity, and not a threat. Consumers are increasingly in favor of legalizing recreational use. Early investments in this category, such as that by Constellation Brands, will leave companies better placed to target this growing market.
