A proliferation of beverages that don’t fit within traditional drink categories is creating a headache for retailers, confusion for shoppers and a challenge for manufacturers that are trying to keep pace with changing consumer tastes.
#BeyondSoda Beverage makers are adding new flavors and new products as consumer tastes shift beyond traditional drinks like soda.
No longer do soda companies, coffee companies and alcohol companies stay in their lanes.
Anheuser-Busch InBev , the world’s largest beer brewer, is selling ready-to-drink ice tea and organic caffeinated sparkling water.
“I’m sure there’s some logic to it, but as a consumer it’s confusing.” The fermented tea kombucha is shelved in the organic produce section at a grocery store in Brooklyn, N.Y. Photo: STEPHANIE AARONSON/THE Wall Street JOURNAL That store has seven different sections devoted to cold drinks, in addition to coolers at every checkout lane stocked with bottles of soda, iced coffee and energy drinks.
PepsiCo’s outgoing Chief Executive Indra Nooyi more than a decade ago staked her career—and the company’s future—on a plan to expand the company’s portfolio into healthier, more nutritious products.
“The consumer is moving to this triangle of taste, nutrition and convenience where I think we are in a very sweet spot,” PepsiCo’s incoming CEO Ramon Laguarta said in a recent video to staff.
Zico in March launched a new line of “Coco-Lixirs” made from coconut water, cold-pressed juice and ingredients like ginger and turmeric.
The coffee company is calling the drink a “hybrid” of coffee and juice, and when it makes its way to retailers, CEO Todd Carmichael said he’s not sure where in stores it will be displayed.
Sometimes, though, companies go too far in trying to create new beverage categories.