Alternative Beverages Stay On The Edge
By JOANNA COSGROVE
Unconventional flavors, formulations add flair to popular
segment
The alternative beverage category is distinguished by its use of
cutting-edge ingredients and formulations that push the bounds of
creativity to a point where the beverages not only quench thirst, but offer
a variety of value-added premises.
A key driver propelling the growth and diversity of
this segment is the manufacturer’s ability to detect and interpret
consumer needs into an appealing beverage concept. “Alternative
beverages represent the future of the beverage industry,” comments
Joe Heron, president, Ardea Beverage Co., Hopkins, Minn., maker of Airforce
Nutrisoda. “The growth is robust [and] appears sustainable as
consumers and industry buyers support more
creative approaches to beverage consumption and shelf space
allocation.”
Heron says consumers today are more discerning and
experimental. “[They are] looking for products that have
intrinsic/physical added value, and emotional added value that helps them
feel good about themselves and their choices.”
Heron adds that the
category is dominated by health, wellness and obesity concerns.
“Products that facilitate health and weight management will grow
exponentially as long as they are marketed in an appealing manner –
consumers do not want to drink medicine,” he says.
Ardea’s flagship Airforce beverage brand is a
line of carbonated health and wellness solutions positioned as a
“lifestyle brand.” The Nutrisodas line consists of six
carb-free, naturally flavored varieties with unique health claims and
flavor combinations, including Pomegranate & Blackberry flavored
Radiant, formulated with amino acids and nutrients to improve the
elasticity and firmness of the skin; and Flex, a Black Cherry &
Apple-flavored soda formulated with glucosamine and chondroitin for
enhanced joint mobility.
Herbal Enterprises, the Lake Success, New York-based
licensing arm of Ferolito Vultaggio & Sons, maker of Arizona Beverages,
recently debuted a revamped line of alternative carbonated soft drinks
— Soho Natural Sodas. Soho’s five flavors — Blueberry
Soda, Root Beer, Lemon-Lime, Cola, and Orange Soda — feature cane
sugar and no preservatives, artificial colors or artificial flavors.
“Health conscious
consumers are very knowledgeable about ingredients and very particular
about what they put in their bodies,” says Francie Patton, vice
president, corporate communications, Arizona Beverages. “Soho Soda is
a healthy alternative to carbonated soft drinks.”
The new Soho Sodas are packaged in 23-ounce cans
printed with a black and white line
drawing of the New York City skyline. The color of the sky in back of the
skyline coincides with the flavor in the can.
White tea wave
First, traditional iced
teas were all the rage. Then green teas emerged as a health-conscious
favorite. The newest tea to garner interest and accolades is white tea, a
rare brew that originates from the bud of the tea plant. White tea is one
of the least processed forms of tea, which is one reason it is thought to
contain the highest level of antioxidants.
“The [alternative beverage] category has been
nothing short of explosive due to a ‘perfect storm’ scenario of
an aging U.S. population already focused on health, and a new willingness
of the younger demographic to experiment with healthier beverages that are
lower in calories but don’t sacrifice taste,” says Andy
Schamisso, president and founder, Inko’s Tea, New York City.
Inko’s White Teas are available in original
White Tea, White Peach, Honeydew, Blueberry and Unsweet-ened Hint O’
Mint white tea flavor varieties.
Fuze Beverages LLC, Englewood Cliffs, N.J., has made
its own distinctive impression in the white tea realm, launching No Carb
Diet Pomegranate White Tea with a “super charged” antioxidant
capacity equal to three servings of vegetables. The beverage boasts no
carbohydrates, no calories and six essential vitamins (C, E, B3, B5, B6,
B12), plus folic acid and polyphenols.
Lance Collins, Fuze’s founder and chief executive officer, says enhanced juices and teas are very much in demand due to their healthy appeal. “The antioxidants in Fuze Diet Pomegranate White Tea are believed to stop production of free radicals, which have been linked to cancer, heart disease, osteoporosis and aging,” he says. “This, combined with the popular pomegranate flavor, is sure to appeal to health-conscious shoppers.” BI
Top fruit drinks by brand | |||||
DOLLAR | % change vs. | Market | % change vs. | ||
Brand SALES | prior year | Share | prior year | ||
TROPICANA TWISTER | $82,790,360 | -8.8% | 11.5 | -1.3 | |
SNAPPLE | $40,393,020 | -4.0% | 5.6 | -0.3 | |
CRYSTAL LIGHT | $10,823,110 | -10.7% | 1.5 | -0.2 | |
SNAPPLE ELEMENTS | $9,898,979 | 20.7% | 1.4 | 0.2 | |
MINUTE MAID LIGHT | $9,682,955 | 1,291.1% | 1.3 | 1.2 | |
MINUTE MAID | $9,372,102 | 22.5% | 1.3 | 0.2 | |
BELLYWASHERS | $8,292,363 | -38.0% | 1.2 | -0.7 | |
V 8 SPLASH | $8,233,830 | 1.1 | |||
MISTIC | $5,323,082 | -14.6% | 0.7 | -0.1 | |
DIET SNAPPLE | $4,915,660 | -33.9% | 0.7 | -0.4 | |
Source: Information Resources Inc. Total food, drug and mass merchandise (excluding Wal-Mart) for the 52 weeks ending Oct. 31, 2004. |
Canned and bottled tea sales by brand | |||||
DOLLAR | % change vs. | Market | % change vs. | ||
Brand SALES | prior year | Share | prior year | ||
ARIZONA | $139,635,000 | 41.0% | 22.6 | 5.1 | |
SNAPPLE | $89,402,710 | 4.6% | 14.4 | -0.6 | |
LIPTON BRISK TEA | $86,156,700 | -10.6% | 13.9 | -3.1 | |
DIET SNAPPLE | $75,157,980 | 10.7% | 12.1 | 0.2 | |
NESTEA COOL | $63,722,900 | -11.1% | 10.3 | -2.3 | |
LIPTON ICED TEA | $40,168,020 | -0.1% | 6.5 | -0.6 | |
PRIVATE LABEL | $22,928,930 | 25.9% | 3.7 | 0.5 | |
LIPTON | $17,453,560 | 19.5% | 2.8 | 0.2 | |
NESTEA | $17,326,140 | 12.1% | 2.8 | 0.1 | |
SOBE | $12,009,260 | 2.9% | 1.9 | -0.1 | |
Source: Information Resources Inc. Total food, drug and mass merchandise (excluding Wal-Mart) for the 52 weeks ending Oct. 31, 2004. |
Cappuccino/ready-to-drink coffee | ||||
DOLLAR | % change vs. | Market | % change vs. | |
Brand SALES | prior year | Share | prior year | |
FRAPPUCCINO | $127,615,300 | 14.7% | 86.8 | 0.1 |
DOUBLESHOT | $16,138,590 | 23.9% | 11.0 | 0.8 |
KAHLUA | $826,464 | 137.5% | 0.6 | 0.3 |
STARBUCKS | $593,703 | 0.4 | 0.4 | |
WOLFGANG PUCK | $544,971 | 1,178.2% | 0.4 | 0.3 |
HAVANA | $379,676 | -14.9% | 0.3 | -0.1 |
ROYAL KONA | $172,990 | 426.0% | 0.1 | 0.1 |
CAFFE D VITA | $171,710 | 869.3% | 0.1 | 0.1 |
MAIN ST CAFE | $151,076 | -23.3% | 0.1 | -0.1 |
MR BROWN | $139,294 | 79.6% | 0.1 | 0.0 |
Source: Information Resources Inc. Total food, drug and mass merchandise (excluding Wal-Mart) for the 52 weeks ending Oct. 31, 2004. |