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DOWN THE ROAD
By all means, be ready to hop on the functionality
train. If you’ve simply got a convenience
CSD cooler, think about adding an Enviga or a
Tava, or even a Celsius – products like that are
attractive to drivers (especially considering the
fact they have massive amounts of caffeine). And
if you’ve got a broad array of products, be ready
to go further. Think about the way orange juice
manufacturers created new revenue streams
– and soaked up space in the dairy cooler – by
coming up with different fortification packages,
and you’ll get an idea of the potential for expansion.
But here’s a little packaging note that needs to
be kept in mind:
“This statement has not been evaluated by the
Food and Drug Administration. This product is
not intended to diagnose, treat, prevent or cure any
disease.”
You’re going to see it on a lot of labels. And the
number of disclaimers might eventually come to
overwhelm the perceived level of benefit. In December,
the FDA is meeting to start defining, in a
regulatory sense, some of the products that
produce functionality. If that happens, get ready
to see the numbers shrink all around – including
those products whose only fortification has been
their own marketing claims.
Nevertheless, there’s a lot to try, and the end
result could be, rather than a series of products
that are part of other categories – a la Enviga or
Tava – just a functional category all to itself. The
demand is there, Wildrick says.
“They’ll keep looking,” she says of consumers.
“Word-of-mouth and viral marketing
will quickly raise awareness and trial of those
drinks that customers believe live up to their
claims. Products that disappoint will drop off
the shelves, whereas the best performers will
be the winners.”
You didn’t think we’d leave you with just one
major industry current, did you? Here are some
other important developments to keep track of in
the year to come.
TEAS STEEPED IN ADDITIONAL GROWTH — Tea sits at the intersection of two
trends: functionality and health. With its leaves serving as a natural source
of flavor and of the antioxidant-supplying catechins, tea is poised for continued
major growth this year. How valuable is that prospect? It’s so tempting
that longtime couple Beverage Partners Worldwide – Coke and Nestle – are
taking a trial separation over green, white and red teas, developing their
own products independently.
MORE LIGHT IMPORTS — The only way things could have gone better for
Heineken this year is if Andre Agassi could’ve rallied to win the U.S. Open
with a Heineken Premium Light in his left hand. As it was, though, the product
exceeded all predictions that it would exceed all predictions for success.
So expect other importers to rush to market, and a bigger ad push from
Beck’s. Otherwise, non-high-end imports are likely to face the same problem
as domestic premium brands: the galloping grape.
THE SEARCH FOR THE MAGIC SWEETENER — Honest Tea thought they had it earlier
this year with erythritol, a fermented organic cane sugar, then they scuttled
their Tangerine Green tea. There’s still talk of Chinese Splenda, while ace-K
continues to be blended with everything under the sun. But until someone
comes up with a low-calorie way to replace real sugar’s taste, expect the
juggling acts to continue.
ENERGY — Caffeine paranoia is expected to build to an early high right at
around New Year’s Eve, when the consumption of energy drinks and vodka
hits an all-time high, and products like Cocaine and Green Card draw even
more negative media attention.
WIDESPREAD WATER ENHANCEMENT — From BooKoo to Odwalla, enhanced
waters will be everywhere next year, capitalizing on the growing market exemplifi
ed by Vitaminwater. And while there are plenty of products that claim
functionality coming out, that market will be tiny compared to the demand
for more low-calorie, fruit-flavored waters with a little vitamin enhancement
and some snazzy packaging.