A strange moment to be in the beverage industry. Flavor experimentation and social media influencer culture have increased customer contact like never before.
I'm still the same old kid from Staten Island," Davidson proudly proclaims in a 2023 commercial while drinking the brand's new bottled alkaline series.
Other brands flourish by targeting younger consumers. Starry, PepsiCo's (PEP) latest product, targets Gen Z with brightly colored packaging and retro typography.
Consumer tastes vary, though. Ask someone at your neighborhood burger bar if they favor Pepsi or Coke and they'll be split.
According to a Harvard study, 61% of young people now drink at least one sugar-sweetened beverage everyday, down from 80% in recent years.
This is why many giants have tried to diversify away from sugary drinks and into lighter fares. Big corporations are buying sparkling, mineral, essence, flavored, and almost any other water to appeal health-conscious consumers.
Alcohol undergoes considerable transformation. White Claw, a beverage company, is releasing a sober-targeted drink as tastes shift toward healthier options.
The industry is ripe for disruption as demand for flavorful, non-alcoholic drinks is rising. But current options like excessively sweet mocktails, bland waters and near-beers are disconnected from what today's adult drinkers want.