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Insight of the Day: 2024 beverage trends in South East Asia: Hydration leads non-alcoholic innovation

Findings:

  • The beverage trends in Southeast Asia for 2024 are dominated by hydration-focused products, driven by consumer concerns about health, skin care, extreme weather, and air pollution.

  • Consumers are moving away from plain water, seeking more flavorful and functional hydration options such as electrolytes, cooling herbs, and antioxidants.

  • Functional drinks that promote beauty, immunity, and weight management are growing in popularity.

Key Takeaway:

  • Enhanced hydration products are leading innovation in Southeast Asia’s non-alcoholic beverage market. Consumers are seeking drinks that not only hydrate but also offer additional health benefits like beauty enhancement, respiratory protection, and immunity boosting.

Trend:

  • The rise of functional hydration drinks that cater to both health and indulgence needs. This includes drinks with added electrolytes, antioxidants, probiotics, and other functional ingredients.

Consumer Motivation:

  • Consumers, particularly in Southeast Asia, are motivated by the need to stay hydrated, improve health and skin appearance, cope with extreme weather conditions, and address concerns about air pollution.

What is Driving the Trend:

  • Hot weather, air pollution concerns, Western influence on energy drinks, and the growing interest in beauty and health benefits are driving the trend for enhanced hydration drinks.

People the Article Refers To:

  • Southeast Asian consumers, particularly those over 18, who believe energy and functional drinks offer better hydration than water.

  • Industry experts like Tan Heng Hong, a senior food & drink analyst at Mintel, who shared insights at Fi Asia 2024.

Description of Product or Service:

  • Functional hydration drinks are fortified with electrolytes, vitamins, antioxidants, and probiotics. These drinks come in a variety of flavors and formats, such as herbal-infused water, energy drinks, and beauty-enhancing beverages. They cater to both adults and children and can be used throughout the day for various needs.

Conclusions:

  • The beverage market in Southeast Asia is evolving to meet the demand for functional hydration, offering innovative products that combine health benefits with great taste. Brands are capitalizing on this trend by launching beverages that serve specific health and lifestyle needs.

Implications for Brands:

  • Brands have the opportunity to innovate with functional hydration products that appeal to consumers’ health, beauty, and lifestyle needs. They can also tap into cultural traditions and nostalgia to strengthen their relationship with consumers.

Implications for Society:

  • As consumers shift towards functional beverages, they may adopt healthier drinking habits, prioritizing hydration and wellness. This could lead to an overall improvement in public health, particularly in combating heat and air pollution-related issues.

Implications for Consumers:

  • Consumers benefit from a wide variety of hydration options that offer multiple health benefits, allowing them to choose drinks that align with their specific needs, whether it’s skin health, immunity, or energy boosting.

Implication for Future:

  • The future of the beverage industry in Southeast Asia will see a continuous rise in functional drinks, with an increasing focus on personalization and products that cater to specific health, beauty, and lifestyle needs. Sustainability and clean labeling may also become more important as consumers become more health-conscious.

Consumer Trend:

  • Consumers are increasingly seeking hydration drinks that provide functional benefits, such as improving skin health, boosting immunity, or enhancing recovery after exercise.

Consumer Sub-Trend:

  • A growing interest in beauty drinks and beverages that offer benefits for skin health and UV protection, alongside traditional hydration.

Big Social Trend:

  • Health and wellness-focused consumption, where consumers prioritize drinks that contribute to their overall physical and mental well-being.

Local Trend:

  • In Southeast Asia, concerns about extreme weather and air pollution are leading consumers to seek hydration options that provide cooling and protective benefits, particularly botanical and herbal-infused drinks.

Worldwide Social Trend:

  • The global rise in functional and enhanced beverages that cater to health-conscious consumers, reflecting a broader movement towards wellness, hydration, and convenience.

Name of the Big Trend Implied by the Article:

  • Functional Hydration – The demand for drinks that offer enhanced hydration alongside additional health benefits like beauty, immunity, and recovery.

Name of Big Social Trend Implied by the Article:

  • Health and Wellness Consumption – The global trend of consumers prioritizing health-conscious choices in their daily food and beverage consumption, including hydration-focused products.

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