Hospitality Verticals: Food & Beverage Trends
The key trends in the food and beverage industry include shifting consumer preferences and sustainability. Similar to the other sectors of hospitality, consumers are increasingly worried about how their food and beverage choices affect the environment. Many are opting for sustainable options to help the planet.
Shifting Consumer preferences
- The changing consumer preferences in food and beverage is an overarching trend. This trend is leading many consumers who want quick and healthy meals to pick healthier and safer food options.
- Consumers are gradually shifting towards healthy plant-based options. According to Grande CIG, more than half of consumers want to consume foods with specific nutritional benefits.
- This is due to the rising health awareness of how certain foods/ingredients affect the body negatively. Consumers are working towards having healthier lifestyles. They are also adopting plant-based diets to help preserve the planet.
- One-third of consumers are adhering to diet trends like keto, Whole 30, and paleo. They are avoiding ingredients such as sweeteners and flavors that may have negative impacts on their health.
- The shift towards healthy choices also applies to beverages. Consumers' beverage preferences in 2020 will shift towards infused beverages and health-conscious drinks with bold, exotic, and uncommon fruit flavors such as prickly pear cactus, bergamot orange, and makrut lime.
- Sugar-based and carbonated drinks are gradually being replaced by drinkable foods. Drinkable foods are the new fad as they contain the right nutritional value, can be used to substitute regular meals, and are healthy.
- Veganism is gaining momentum in the industry, with many looking to live healthier lives by only consuming plant-based foods.
- Companies in the food and beverage industry are expected to launch healthier consumables, to cater to the customer segment demanding them. This expansion may trigger mergers and acquisitions in the industry.
- Ambronite and Soylent are two companies that offer drinkable food options. Ambronite's products are 100% plant-based, with no added flavors. Soylent's products are also 100% plant-based, however, they are infused with 26 vitamins and minerals.
Sustainability and Responsible Options
- Just like the other sectors in Hospitality, consumers are concerned about climate change and sustainability. Many are concerned about how their personal choices affect the environment.
- This trend is driven by increased awareness of environmental issues. Consumers know recycling may be insufficient, therefore, they are interested in reducing waste and saving the planet.
- This awareness is leading a change in the industry with consumers demanding transparency in the packaging and ingredients used in food and beverage production. Consumers now want to know the product’s provenance, what ingredients are used, where they are from, under what conditions they are grown, and the manufacturing process.
- Consumers while choosing their preferred brands now focus on value, ethics, integrity, and transparency. To keep up, brands will also have to show that they are committed to their missions and visions.
- Consumers are also paying attention to packaging. They are demanding convenient, sustainable, and innovative packaging with products such as kale and quinoa. Companies are also trying out or adopting edible packaging for their consumables.
- Air New Zealand in 2019 tried out edible coffee cups that were used to serve its passengers to reduce waste. The cups, produced by Twiice, were leak-proof and were made from vanilla-flavored biscotti.