Dear Food Enthusiasts,

The beverage landscape is undergoing a transformation, driven by younger consumers seeking innovative, fun, and alcohol-free options. At this year’s National Restaurant Association Show, two standout trends emerged prominently: non-alcoholic spirits and boba. These trends reflect a broader shift in consumer preferences and are reshaping how we think about beverages.

FOODIE FIND
Non-Alcoholic Spirits and Boba: The New Wave of Beverage Trends

At the forefront of the beverage revolution, non-alcoholic spirits and boba tea are capturing the imagination of consumers and industry insiders alike. The National Restaurant Association Show highlighted these trends with a record number of beverage exhibitors, reflecting a growing demand for diverse and innovative drink options.

Non-Alcoholic Spirits

Companies like TÖST Beverages, Mixoloshe, and Mockly are making waves with their non-alcoholic offerings. The growing interest in these beverages is driven by consumers seeking sophisticated drink options without the alcohol. Mockly, in particular, reported a significant spike in interest, as operators look to cater to a rising demographic that prefers non-alcoholic alternatives.

THC-infused beverages also gained attention at the show, with WYNK and Flora Hemp Spirits attracting long lines and considerable interest. Phil McFarland of WYNK noted the expanding presence of low-dose cannabis beverages in bars and restaurants, driven by younger consumers who are increasingly abstaining from alcohol or consuming less of it.

Adam Peabody of Flora Hemp Spirits predicts that the market for THC-infused drinks will continue to grow, potentially rivaling the alcohol market in the next decade. “Everything’s driven by the consumer. It’s very easy to see the opportunity in this category because cannabis is being legalized and normalized,” he said.

Boba Tea

The boba trend is experiencing a resurgence, with the global bubble tea market expected to grow at a compound annual rate of nearly 9% through 2030. Major chains like Starbucks and McDonald’s are joining the boba wave, while food-forward brands like Jack in the Box and Del Taco are also embracing the trend.

Bossen, a leading supplier of boba tea and toppings, reported a bustling show floor, reflecting the high demand for these creative beverage options. Twang, a provider of boba pearls and other inclusions, noted that the popularity of boba is largely driven by younger consumers who are drawn to the visual appeal and global influence of these drinks. A 2021 survey found that 94% of consumers aged 20 to 29 had purchased boba tea in the past three months.

Gong cha, a pioneer in the boba market, has expanded rapidly since opening its first U.S. franchise in 2014. With over 225 stores across 19 states and plans to reach nearly 1,000 stores by 2026, Gong cha exemplifies the growing mainstream acceptance of boba tea. Other emerging chains, including 7 Leaves Café and Kung Fu Tea, are also contributing to the boba boom.

FEATURE ARTICLE
How Younger Consumers Are Shaping the Future of Beverage Innovation

The rise of non-alcoholic spirits and boba tea reflects a significant shift in consumer preferences, particularly among younger demographics. These trends are not just about new flavors but represent a broader desire for novelty, health-conscious choices, and engaging experiences.

The Rise of Non-Alcoholic Options

Younger consumers are increasingly opting for non-alcoholic spirits as they seek out sophisticated beverages that align with their lifestyle choices. This trend is supported by advancements in beverage technology and a growing acceptance of cannabis-infused options.

The Boba Tea Boom

The resurgence of boba tea underscores a cultural shift towards more adventurous and visually appealing beverages. The integration of boba into mainstream chains and the rise of dedicated boba stores highlight the drink’s broad appeal and its role in the evolving beverage landscape.

DAILY BITES: AI IN ACTION
How Technology is Driving Innovation

Artificial intelligence is playing a crucial role in shaping beverage trends, from developing new flavors to optimizing supply chains. AI-driven insights are helping companies understand consumer preferences, streamline production processes, and enhance the overall beverage experience.

MARKETING MUNCHIES
3 Strategies to Capitalize on Emerging Beverage Trends

• Leverage Social Media: Showcase visually appealing beverages like boba tea to engage younger consumers and drive brand awareness.

• Innovate with Non-Alcoholic Options: Offer a range of non-alcoholic spirits and cannabis-infused drinks to attract health-conscious and adventurous customers.

• Highlight Unique Experiences: Create memorable beverage experiences that resonate with consumers’ desire for novelty and sophistication.