Introducing Food & Beverage News You Can Use!
Welcome to FlavorSum Insights, a monthly newsletter designed to inform your innovation activities. Here you’ll learn about the market and consumer dynamics affecting the Food & Beverage landscape. We’ll focus on product, flavor, and ingredient trends and the consumer behaviors or regulatory changes that could affect your launch plans.
You’ll find insights that help fuel your creativity and respond to the evolving needs of your customers.
Market Spotlight: Functional Foods & Beverages
Consumer interest in foods and beverages that deliver more than fundamental nutritional value is ramping up. New Hope Network research revealed almost 80 percent of people are focusing on health, leading them to choose options with functional benefits. Sales of natural, organic, and functional foods in the US grew 13 percent to $186 billion in 2020, with functional contributing $78 million, up 9.4 percent. Frozen foods, snacks, and shelf-stable options drove the gains in functional food and drink sales. Forecasters predict the sales of functional foods will continue to increase 9 percent globally through 2024. MORE >
Functional ingredients drawing consumer attention include:
- Immune health
- Stress response
- Healthy fats
And better-for-you formulations or on-pack cues continue to gain traction with consumers, such as:
Category in Focus: Consumer Expectations of Sports and Energy Drinks
An analysis of new product development in functional beverages reveals the following insights:
- Claims of benefits for the brain, nervous, and immune systems are rising on sports and energy drink launches in North America.
- Mintel data shows functional claims overall occur more often on energy drinks than sports drinks, in part because ‘energy’ is a functional benefit. But even discounting energy claims, both categories have increasingly embraced functional boosts.
- Despite the growth of functional claims on sports drinks, forecasters predict the segment faces cannibalization as more functional and enhanced waters launch and energy drinks become more versatile.
- If you’re developing a new functional beverage, benefit areas to consider are:
- Mental acuity: 31% of US energy drink users would consider buying an energy drink or enhanced water that promotes brain health.
- Weight management: The rise of thermogenic drinks, which link to calorie burn and metabolic uptick, is a trend to watch. Thermogenic benefits are propelling the functional slimming claim on some energy/sports drink launches.
- Stress reduction: Relaxation is critical since only 37% of American consumers feel in control of their stress.
- Cannabidiol (CBD) and hemp-based products continue to hit the shelves thanks to claimed health benefits of stress and anxiety relief.
- Heightening relaxation through calming herbs and spices also offers a mechanism for delivering functional benefits. Ingredients such as lavender, valerian, and chamomile are flavors that consumers already associate with relaxation from use in herbal teas.
- Nootropic ingredients: Not often promoted as ‘nootropic’ on- pack, many are recognized ingredients such as:
- Caffeine, which increases alertness, attention span, and reaction times.
- L-theanine, an amino acid that offers a calming effect.
- Creatine, which fuels brain cells.
- Bacopa Monnieri, an ancient herb used in Ayurvedic medicine to improve memory.
- The adaptogenic herb Rhodiola Rosea, which helps the body handle stress more effectively.
- Longer-lasting energy: A recent Mintel survey pointed out that almost half of US consumers would buy an energy drink that helps them maintain energy.
- Mechanisms for meeting consumer expectations include naturally sourced protein and complex carbohydrate ingredients that offer cleaner and more sustained energy benefits.
- Some micronutrients can assist in energy production without the calories and side effects, such as green tea kombucha, apple juice, ginger, and apple cider vinegar.
Solution Driven: Teams Join Forces for Flavor Success
Production team members tuned in on March 10th to learn about FlavorSum. All team members in the US and Canada attended as leadership unpacked the core values underpinning the brand. FlavorSum is more than a new name. The name reflects a new mindset for the organization as we focus on creating value for growing food & beverage companies.
“We’re coming out of the tunnel with one jersey,” explained CEO Brian Briggs. “Our foundation is solid. By unifying the strengths of National Flavors, Bonnie & Don Flavours, and GSB, FlavorSum is becoming a disruptive force that provides customers solutions that support success.” MORE >
At FlavorSum, our key ingredients include:
- Doing What’s Right
- Being a Team Player
- Striving for Excellence
Fueled by the sum of our collective skillsets, we’ll bring tools and expert insights to our partnership with you to make your next product launch a victory.
To learn more about FlavorSum, visit our website today!