Food And Beverage Industry Trends

The global food and beverage market might be worth $4880.53 billion by 2028. Changing customer preferences, the rise of new food brands, and lifestyle changes can lead to this growth. So, marketers will receive plenty of opportunities to promote their brand in the booming market.  

Budding brands are promoting and launching their product on social media. Customers have a more comprehensive selection to choose from. Plus, they crave healthier food/beverage choices, forcing some brands to enhance their products. Farming practices are also improving to produce eco-friendly goods.    

This blog discusses food and beverage industry trends, making the market even more competitive. We’ll also explore the factors driving these trends. Let’s begin!  

A Global Overview of the Food and Beverage Industry

A Global Overview Of The Food And Beverage

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The international food and beverages (F&B) industry will possibly grow from $3715.91 billion last year to $3903.1 billion in 2024. Modern technology is playing a vital role in this growth. Today, contactless services simplify ordering food, along with better delivery and personalization.  

Moreover, the Russia-Ukraine war has affected the industry. It has increased commodity prices and import/export costs. All the markets and locations connected to these countries have suffered from supply chain disruptions. Currently, the war has led to inflation across multiple markets globally.  

So, by 2027, the F&B industry might grow to $9,225.37 billion with a 6.3% CAGR. 

Back to tech usage, frozen food manufacturers are using individual quick freezing technology (IQF). The process freezes the items faster and impacts yield. Each item is frozen separately, enhancing the quality standards. Examples of these foods include strawberries, peas, corn, and blueberry. By 2026, the IQF food market can be worth 2 billion.                

In addition, here are some salient points of the beverage industry: 

  • Within a forecast period of 2023-2030, the industry might be worth $71.83 billion
  • Non-alcoholic drinks occupy over 50% of the market, including carbonated drinks, packaged water, and fruit juices.  
  • Ready-to-drink tea and coffee might be more popular due to their convenience.    

So, marketers in the F&B industry can focus on promoting these upcoming items. A food and beverage industry email list can help during promotion. It’s also essential to leverage food delivery apps to reach more customers and generate revenue.  

Brands need to tweak their budget for marketing so as to make room for these current trends in the food industry. 

7 Food and Beverage Industry Trends To Prioritize   

7 Food And Beverage Industry To Prioritize

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It is important to consider the food and beverage industry trends as it will help you gauge the market much better. These will help businesses and marketers understand what their customers prefer. It also aids in enhancing manufacturing and research practices.  

Here are the top 7 latest food and beverage industry trends.  

1. Plant-Based Recipes and Cuisine

Plant Based Meat Market

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Customers across the world have adopted veganism and ditched traditional protein sources like meat. Many others are constantly on the lookout for new protein sources. So, a massive demand for plant-based protein will continue growing in 2024.  

That’s why companies are preparing vegetarian dishes and healthy nutritional alternatives. Plant-based meat, burgers, and mushroom root steaks have become popular. Brands are trying to offer these foods with various flavors and the same nutritional value as meat or eggs.  

When customers were surveyed, almost 25% of users preferred plant-based items. However, they needed minimal processing and a clear display of ingredients on the item packs. So, manufacturers will focus on this requirement and develop more whole foods with fewer preservatives.  

Among the food and beverage industry trends related to this aspect is customer needs during special occasions. This means they want better plant-based dishes during Christmas and Thanksgiving. So, the traditional turkey or duck roast might soon be irrelevant!

2. Non-alcoholic Wine and Plant-based Drinks 

Non Alcoholic Beverage Market

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The next trend is the rise of non-alcoholic wine and similar drinks. As many people wish to taste these liquors without consuming alcohol, the alternatives are becoming popular. So, brands are crafting beverages that offer identical tastes and experiences.  

Soon, spirit-less spirits, spritzes, and relaxation waters will be available in bars and clubs. Restaurant owners also try to include these items in their menus to improve customer experience. These might help non-drinkers socialize and party more without the intoxication!  

In addition, plant-based waters have also emerged into the same. Cactus, watermelon, coconut, and aloe waters are gaining popularity as they’re nutritious. So, consumers receive the essential vitamins and minerals while staying hydrated.  

Besides all this, new drink flavors are replacing traditional ones. Instead of the all-time hit lemon soda, people are inclining to exotic flavors like pink grapefruit and blood orange. So, brands will keep innovating with the tastes, alcohol concentration, and variety to meet these user demands.

3. Sustainable Foods and Associated Practices  

53% Sustainable Food

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Traditional farming practices involve clearing forests for sheep and cattle farming. The deforestation reduces the amount of breathable oxygen and increases the carbon footprint. Plus, fertilizers and pesticides used for agriculture increase air pollution. 

Modern consumers are aware of these harmful environmental effects. Thus, they want foods manufactured through eco-friendly practices. F&B businesses focus on sourcing sustainable farming, utilizing local ingredients and modern cooking methods. They will also decrease food wastage and use clean energy sources such as natural gas while cooking.  

So, customers will be more attracted to these brands who care about the environment. They will expect information about sourcing ingredients and farming initiatives. Companies must cater to those requirements by being transparent with their manufacturing processes.  

Further, food brands may highlight their sustainable practices on social media to attract more customers. This will be a vital factor in separating a brand from the rest. 

4. Data-driven Dining and Customer Management  

Global Artificial Intelligence

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The F&B industry has started leveraging AI to enhance food and delivery services. Soon, AI and associated technologies will play a vital role in shaping user experiences. That’s why brands use modern tech to create personalized experiences for everyone.  

They use generative AI to diversify menus and ask questions about customer preferences. AI tools can also work with data analytics platforms to assess existing user information. It enables brand owners to create meal plans and cuisines to retain customers.  

Moreover, these tools help assess the most-loved foods and those needing improvement.  Restaurants will continue using AI and analytics to elevate dining experiences. The technology will help owners identify gaps in their service standards. They can also reduce food wastage and improve item formulations by analyzing business data.    

Moreover, businesses will have more insights into their customers. Table bookings, orders, cancellations, and frequent reservations are all data pools of vital knowledge. Enhancing existing menus, services, and customer management will be easier. 

5. Precision Fermentation to Enhance Dairy Products 

Precision Fermentation Market Size

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Many food tech businesses are using precision fermentation in their processes. This helps them produce dairy products that are completely animal-free. This is a sustainable strategy of utilizing yeast to develop functional ingredients. These include enzymes, natural pigments, and flavoring agents used to manufacture products like cream and cheese.  

So, this approach removes any room for animal cruelty and environmental pollution. The manufacturers source the ingredients systematically to avoid any carbon emissions. Also, the strategy addresses the nutritional needs of regions lacking traditional proteins. People in these locations can also avail of quality food products.  

Precision fermentation also reduces soil degradation and deforestation. Consumers supporting eco-friendly practices will be naturally drawn to these items. This will allow brands to cater to a larger community of users and promote well-being. Automatically, these brands will stand apart.

So, implementing precision fermentation is becoming the latest food and beverage industry trend. By 2032, this process may have a market valuation of $79.7 billion. 

6. The Rise of Ghost Kitchens  

Benefits Of Ghost Kitchen

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A ghost kitchen is a virtual kitchen that sells food through a digital storefront. They have a physical outlet that prepares the orders per customer demands. However, their central presence is online, especially on food delivery platforms like Uber Eats and Doordash.  

As people love ordering services online, ghost kitchens are the new talk of the town. Having minimal equipment and staff, these kitchen owners can focus on enhancing services. Also, personalizing orders and services is simpler with this setup. The chefs can change their menus as per customer demands. Plus, they can offer special discounts with orders to attract more customers. 

Moreover, as these can be established anywhere, it’s a booming trend. Other benefits include: 

  • Small brick-and-mortar companies are switching to ghost kitchens to boost their presence.  
  • This will be a popular business option in the coming years as it helps reach customers beyond borders. 
  • Lowers establishment costs and expenses for recruiting in-store staff.

That’s why it’s unsurprising that these kitchens may have a valuation of $156.60 billion by 2030

7. Globalization of Regional Cuisines   

Modern consumers want a plethora of cuisines while looking for something to order. Many of them might be interested in trying international dishes. But, the prices might stop them from enjoying those delicious dishes. This is the problem many food startups are trying to solve by introducing fusion foods.  

These foods are called “glocal,” where local and global cuisines meet. So, someone in India can enjoy Thai and Mexican culinary delights easily. This trend has resulted in innovative preparations like tandoori masala paste and wasabi mashed potato. Plus, more chefs are experimenting with local cuisines to enhance the taste.  

Along with reaching a broad customer base, these global dishes are environment-friendly. Chefs and food brands aim to include organic ingredients while experimenting with the dishes. This will take the preparations to the next level and attract environment-conscious customers.  

Which Factors Are Driving The Future Trends In Food And Beverage Industry?  

Challenges That Will Define Dynamics Of Foods And Beverages Market

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Similar to other industries, rapid growth is visible in the food and beverage sector. This can be due to a variety of factors. These include customer choices, rising expenses, and environmental awareness. Brands and their marketing teams are choosing newer and better strategies to acquire customers. 

Let’s consider these factors one by one. 

Ever-changing Customer Choices

People want to try out all kinds of dishes, be it local or international. These demands include variety in flavors, ingredients, types, and culinary combinations. In short, nobody wants to stick to their staple diets and wishes to explore the F&B world—the ever-increasing need for something new forces food brands to innovate their offerings.  

Brands are also focusing on other consumer requirements. So, along with tastier dishes, customers want better packaging, delivery, and service standards. They also require top-class culinary experiences within their budget.  

As a result, many companies are trying to personalize their services as much as possible.  

Sustainability and Health Consciousness

Regarding food and beverage industry trends, sustainability is one of the most important factors because of its influence. Nowadays, people know about this industry’s ecological impact and are making better choices. Therefore, they prefer brands implementing eco-friendly practices while farming, sourcing ingredients, packaging, and cooking.  

Moreover, they want to consume foods made with cruelty-free and 100% organic ingredients.  

Customers have become more health conscious than ever and need healthy food choices. It means foods with less fat, oil, sugar, preservatives, and fatty substances. Plant-based and vegan snacks are gaining popularity, altering traditional burgers and wraps.    

Social Media Adoption

As discussed previously, ghost kitchens and similar food companies are running online. Social media and online ads are the only ways to market these brands and boost income. Platforms like Facebook and Instagram are the stages to reach target customers and spread awareness.  

Thus, social platforms have increased market competition. Brands try to innovate with recipes and promotional strategies to gain visibility. It’s providing customers with more choices and increasing their demands for variety. 

The Bottom Line

The top food and beverage industry trends will continue evolving per market conditions. Brands will have to level up their strategies to meet rising customer demands. However, healthy food options and environmental awareness can be a core factor behind the trends.  

Data analytics and AI will help companies to explore customer choices. So, companies may have to optimize their technology budget frequently depending on the situation.

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