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Insight of the Day: How craft sodas are shaking up the soft drinks market, from Kim Kardashian drinking Poppi, to BTS inspiring Sanzo

Findings

  • There has been a significant rise in new soft drink brands focusing on healthier alternatives to traditional sodas.

  • These beverages feature natural flavors and less sugar, often using natural sweeteners instead of artificial ones.

  • The global craft soda market is growing, expected to exceed US$1 billion by 2030.

Key Takeaway

  • Healthier, artisanal sodas are becoming popular, especially among younger consumers, due to their unique flavors, lower sugar content, and attractive packaging.

Trend

  • The trend is moving towards craft sodas that bridge the gap between traditional soft drinks and sparkling water, offering more exotic and sophisticated flavors.

  • These sodas also serve as mixers for cocktails, adding an element of sophistication to alcoholic beverages.

Consumer Motivation

  • Consumers are motivated by the desire for healthier drink options that are low in sugar and made with natural ingredients.

  • The attractive, colorful packaging also appeals to the younger demographic.

What is Driving the Trend

  • The shift towards healthier lifestyles and the popularity of non-alcoholic drink options among Gen Z and Millennials.

  • Cultural influences and the desire for novelty in flavors and beverage choices.

People Referred to in the Article

  • Sandro Roco, founder of Sanzo.

  • Denetrias “Dee” Charlemagne and Alex Doman, founders of Avec.

  • Allison Ellsworth, co-founder of Poppi.

Description of Consumers

  • Primarily younger generations, particularly Gen Z and Millennials, who are health-conscious and seek innovative and exotic flavors in their beverages.

Product or Service

  • Healthier craft sodas made with natural flavors and less sugar, available in various unique flavor combinations such as yuzu, calamansi, lychee, and blood orange with jalapeño.

  • Examples include Sanzo, Kimino, Poppi, and Avec.

Conclusions

  • The craft soda market is poised for steady growth, driven by consumer demand for healthier, flavorful, and aesthetically appealing drink options.

  • Brands in this market are well-positioned to capture the interest of younger consumers looking for alternatives to traditional sodas.

Implications for Brands

  • Brands should focus on natural ingredients, health benefits, and unique flavor profiles to attract health-conscious consumers.

  • Marketing should highlight the exotic and artisanal nature of these drinks, leveraging social media and influencer endorsements.

Implication for Society

  • The rise of healthier soft drinks supports better dietary habits and reflects a broader societal trend towards health and wellness.

  • Encouraging natural and artisanal products can contribute to more sustainable consumer practices.

Big Trend Implied

  • There is a significant movement towards artisanal, healthier, and innovative food and beverage products that cater to the evolving tastes and health consciousness of younger generations.

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