An Essential Report on Functional Beverages in the United States, 2008.DUBLIN, Ireland -- Research and Markets (http://www.researchandmarkets.com/research/050e3b/functional_beverag) has announced the addition of the "Functional Beverages in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , 2008" report to their offering. About this report This report explores the functional beverage category and provides insights-going beyond discussing segments, brand performance, and current trends-to grow the consumer base and increase frequency of purchase from current consumers. Specifically, the highlights of analysis in the report include: - How the consumer education can play an important role in reaching a wide audience - What role women and Baby Boomers See generation X. play in driving growth in this market - How the consumer trend towards attaining holistic health holistic health, n a concept in which concern for health requires a perspective of the individual as an integrated system rather than as a collection of parts and functions. has positively influenced the market - Which ingredients consumers look for in functional beverages - Under-explored ingredients and functional claims that can bring growth to the market - How the functional beverage pricing strategy has inhibited popular consumer trial and repeat purchase - How the increasing number of functional foods in the market compete with functional beverages - What factors can undermine the functional aspect of beverages, leading to consumer mistrust Key Topics Covered: Scope and Themes What you need to know Definition Data sources Sales data Consumer survey data Abbreviations and terms Abbreviations Executive Summary Market at a glance--slowing future growth Market's future outlook remains challenged Demographic influences Functional fruit juice detracts gains from energy drinks and enhanced water Coca-Cola and PepsiCo continue to be the top two suppliers; both companies struggle to maintain growth Orange juice is the most frequently purchased functional beverage Key consumer groups Calcium and antioxidants Antioxidants Substances that reduce the damage of the highly reactive free radicals that are the byproducts of the cells. Mentioned in: Aging, Nutritional Supplements antioxidants, n. are most sought-after ingredients Interest in new beverages and reasons for not purchasing functional beverages Supermarkets remain the top channel to purchase functional beverages Market Size and Forecast Flat sales in the biggest segment detract gains from enhanced water and energy drinks Functional but not truly healthy; growth contingent upon Adj. 1. contingent upon - determined by conditions or circumstances that follow; "arms sales contingent on the approval of congress" contingent on, dependant on, dependant upon, dependent on, dependent upon, depending on, contingent "exclusion" of bad-for-you ingredients Premium pricing Premium pricing is the practice of keeping the price of a product or service artificially high in order to encourage favorable perceptions among buyers, based solely on the price. will be a major obstacle in sustaining long-term growth Sales and forecast Supplements and functional foods provide specific functional benefits at lower prices Interchangeable options create competition among functional beverages Beverages with inherent good-for-you attributes create competition for functional beverages Growing popularity of energy shots--mixed implications Energy drinks manufacturers and energy shots High prices discourage growth Acquisition and alliances of "boutique brands" fuels growth Merger and acquisition activity Alliances Segment Performance Consumer quest for holistic nutrition and convenient lifestyle will drive growth Segment Performance--Functional Juice and Juice Drinks Functional juices continue to suffer from a "low carb" era legacy; educate consumer to increase consumption frequency Exclusion of artificial ingredients and added sugar will help compete better with other beverages Moving beyond added vitamins and mineral claims; growth opportunities in specific claims Sales and forecast: functional juice and juice drinks Segment Performance -- Enhanced Water Enhanced water aligns with consumer trends towards holistic health; high sugar content may create consumer distrust Expansion in claims creates growth opportunities, but growing number of products and players may heat up competition leading to slower growth Sales and forecast: enhanced water Segment Performance -- Energy Drinks Young adults -- the key non-alcoholic beverage consumers--drive growth Price discount in FDM (1) (Fused Deposition Modeling) See 3D printing. (2) (Frequency Division Multiplexing) Transmitting multiple data signals simultaneously over a single wire by using multiple carriers, each having a unique center frequency. , compared to the price in the key convenience channel is a growth driverFf Segment growth will depend upon broadening the appeal of energy drinks Sales and forecast: energy drinks Segment Performance -- Functional Tea Most functional teas come in bag/loose format rather than convenient RTD RTD returned to duty (US DoD) RTD Rated RTD Ready to Drink RTD Richmond Times-Dispatch RTD Regional Transportation District RTD Research, Technological Development RTD Research and Technology Development RTD Real-Time Data format Going beyond antioxidants; growth possible through making specific functional claims Sales and forecast: functional tea Segment Performance -- Functional Yogurt Drinks and Smoothies Yogurt drinks remain flat; products with specific claims are to drive growth Families with children and Hispanics provide opportunities for growth in yogurt drinks Declining growth in smoothies; high price detrimental to popular acceptance Growth in made-to-order functional smoothie--mixed implications Sales and forecast: functional yogurt drinks and smoothies Segment Performance -- Functional Soy and Rice-based Drinks Functional soy-based drinks continue to maintain a pro-health perception Soy-, rice- and almond-based drinks are a good platform for the inclusion of omega-3s, probiotic pro·bi·ot·ic n. A dietary supplement containing live bacteria or yeast that supplements normal gastrointestinal flora, given especially after depletion of flora caused by infection or ingestion of an antibiotic drug. , and prebiotic prebiotic nutrients that support growth and activity of bacteria, principally bifidobacteria, and resist absorption in the upper small intestine. Includes indigestible carbohydrates, inulins and lactulose. Retail Channels Supermarkets continue to lose share to mass and other channels Retail Channels -- Supermarkets Growth opportunity through value-pricing proposition in premium and super-premium beverages Placement, eye contact, and store sampling are important in driving growth Retail Channels -- Mass and Drug Drug stores provide compatible setting to sell functional beverages Mass merchandisers' innovative brands compete with national brands Retail Channels -- Natural Channel Natural channels experience growth on the strength of one brand Natural channel sales by segment Natural supermarket channel sales, shelf-stable functional drinks Natural supermarket channel sales, refrigerated re·frig·er·ate tr.v. re·frig·er·at·ed, re·frig·er·at·ing, re·frig·er·ates 1. To cool or chill (a substance). 2. To preserve (food) by chilling. functional juices Natural supermarket channel sales, drinkable yogurt and kefir Natural channel sales of drinkable yogurt and kefir by organic Brand tables Market Drivers Consumer pursuit for holistic health through food and beverages Obesity rates remain strong Demographic influences Teens and young adults drive growth in energy drinks Women are more health-conscious than men Hispanics and Asians -- profit-driving demographics in the market Baby Boomers are an ideal target for functional beverages Energy drinks face increased scrutiny from legislators, schools, and health professionals Caveat to growth -- call for increased FDA FDA abbr. Food and Drug Administration FDA, n.pr See Food and Drug Administration. FDA, n.pr the abbreviation for the Food and Drug Administration. role in regulating the functional food and beverage market Companies and Brands Leading companies PepsiCo declines due to the heavy presence in functional fruit juice Coca-Cola gains through expansion in distribution for Glaceau brand water Private labels shine thanks to innovation and value pricing Brand Share--Functional Fruit Juice and Juice Drinks Fruit and vegetable juice fusion; a growth-driving functional concept Super-premium brands exhibit flat sales; price premium hinders wider consumer penetration Brands with specific benefits thrive; incorporate new functional attributes Brand Share -- Enhanced Water Plain bottled water and fruit juice brands launch enhanced water line extensions Increasing competition promotes competitive marketing Enhanced water brands broaden functional claims to interchangeable options Brand Share -- Energy Drinks Leading brands will benefit from bigger packaging Hybrid line extensions promise growth through expanding energy drinks use occasions Brand Share -- Functional Tea Brands with specific claims find success among consumers; high price deters popular acceptance RTD format with specific claims would drive growth by attracting on-the-go consumers Brand Share -- Soy, Rice, and Almond-based Drinks Silk remains the biggest brand; efforts to change consumer perception through new campaign Digestive health and omega-3 inclusion is likely to promote growth Brand Share -- Functional Yogurt Drinks and Smoothies Fruit-based smoothie smooth·ie also smooth·y n. pl. smooth·ies Slang 1. A person regarded as being assured and artfully ingratiating in manner. 2. A smooth-tongued person. brands derive growth on the strength of diverse functional claims Appearance of made-to-order smoothie brands at retail will boost sales Most yogurt drink brands decline; high price and the lack of specific claims lead to dismal performance Private-label yogurt drinks and fruit juice-based smoothies compete with national brands Brand Qualities Popular non-functional brands become functional Aquafina goes Alive while Dasani adds with Plus Tropicana and Minute Maid increasingly incorporate functional claims to counter the decline in core orange juice brands Growing numbers of brand extensions -- an effort to capitalize on functional images of the core brands Innovation and Innovators Growing pace of innovation in functional beverages Digestive health claims on decline despite healthy growth in products with the claim Added fiber -- claims range from promoting heart health to bowel management -- to weight control Energy drinks move beyond generic "energy boost" claim to target broader demographics Growing numbers of new energy hybrids Superfruits -- antioxidant antioxidant, substance that prevents or slows the breakdown of another substance by oxygen. Synthetic and natural antioxidants are used to slow the deterioration of gasoline and rubber, and such antioxidants as vitamin C (ascorbic acid), butylated hydroxytoluene benefits and more Milk and soda innovate to include functional claims Advertising and Promotion Overview Functional fruit juice and juice drinks -- joint health, digestive health, and general wellbeing Minute Maid expands on enhance claims Ocean Spray Cranergy -- functional juice and energy hybrid Sunsweet PlumSmart incorporates prebiotic fiber Sunny D -- targeting black families Enhanced water -- competitive edge and more Kellogg's K2O water -- smart way to ward off hunger PepsiCo's Propel -- calorie counting PepsiCo's SoBe Life Water -- "thrillicious" Energy drinks -- functional and racy rac·y adj. rac·i·er, rac·i·est 1. Having a distinctive and characteristic quality or taste. 2. Strong and sharp in flavor or odor; piquant or pungent. 3. Risqué; ribald. 4. Red Bull Mountain Dew Amp AMP is an energy drink produced and distributed by PepsiCo under the Mountain Dew soft drink brand. It was launched in 2001 to compete with Red Bull. The beverage is available in 8.4 fl.oz., 16 fl.oz. (TallBoy), and 24 fl.oz. energy drink Functional soy-based drinks Silk Soy -- emphasis on taste Functional Beverage Purchasing Who purchases functional beverages? Functional beverages purchased for whom? Healthy lifestyle followers Choice of healthy lifestyle and consumption of functional food and beverages Consumer Belief in Functional Drinks' Effectiveness How effective are functional beverages? Functional Beverage Preference and Role of Functional Ingredients Type of functional beverages purchased The role of functional ingredients in consumer purchase decisions Attitude and Behavior and Interest in New Functional Beverages Choice of Retail Channels to Purchase Functional Beverages Companies Mentioned: - Greenfield Online - Pepsi-Cola North America - Coca-Cola Company (The) (USA) - Naked Juice Company - Odwalla Inc. - Food and Drug Administration - Tropicana Products Inc. - Red Bull North America, Inc. - Wal-Mart Stores (USA) - U.S. Bureau of the Census Noun 1. Bureau of the Census - the bureau of the Commerce Department responsible for taking the census; provides demographic information and analyses about the population of the United States Census Bureau - Fuze fuze n. & v. Variant of fuse1. Noun 1. fuze - any igniter that is used to initiate the burning of a propellant fuse, primer, priming, fuzee, fusee Beverage LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control - Ocean Spray Cranberries, Inc - Nestle[c] USA - Target Corporation - U.S. Department of Agriculture - Jamba Juice Company - Rockstar Inc. - Groupe Danone - Centers for Disease Control and Prevention Centers for Disease Control and Prevention (CDC), agency of the U.S. Public Health Service since 1973, with headquarters in Atlanta; it was established in 1946 as the Communicable Disease Center. - Whole Foods Market Inc - Horizon Organic - Starbucks Corporation - Hansen Natural Corporation - Kraft Foods Inc. (U.S.A.) - Stonyfield Farm - Lifeway life·way n. 1. A customary manner of living; a way of life. 2. A custom, practice, or art: the traditional lifeways of a tribal society. Foods Inc. - Dannon Co - Campbell Soup Company Campbell Soup Company (NYSE: CPB) (also known as Campbell's) is a well-known American producer of canned soups and related products. Campbell's products are sold in 120 countries around the world. It is headquartered in Camden, New Jersey. - Costco Wholesale Corporation - Anheuser-Busch Companies Inc - Coca-Cola Enterprises, Inc. - American Heart Association American Heart Association (AHA), n.pr a national voluntary health agency that has the goal of increasing public and medical awareness of cardiovascular diseases and stroke, and thereby reducing the number of associated deaths and disabilities. , Inc. - Vitasoy USA - McDonald's U.S.A. - Wm. Bolthouse Farms Inc. - Cadbury Schweppes Americas Confectionery - Dole Food Company Dole Food Company, Inc. is an American-based agricultural multinational corporation headquartered in Westlake Village, California and is the leading grower and packer of such food items as bananas, pineapples (fresh and packaged), grapes, strawberries, and other fresh and frozen Inc. - Sunny Delight Beverages Sunny Delight Beverages Co. is the creator of Sunny Delight (aka SunnyD). It spun off of Procter & Gamble in 2004. The company is owned by J.W. Childs Associates, L.P.. [1] Headquarters
- Snapple Beverage Corporation - Sunsweet Growers Inc. - Old Orchard Brands Old Orchard Brands, LLC is a small, privately owned juice company, located in Sparta, Michigan. The company began in 1985, as a producer of apple juice. The company began by selling predominantly apple-based frozen juice concentrates, and has since expanded its product line to include LLC - Veryfine Products, Inc. - The Hain Celestial Group The Hain Celestial Group is a food company whose main focus is natural and organic foods and personal care products. Their products range from herbal teas, offered through their Celestial Seasonings brand to organic free range chickens from the FreeBird brand. , Inc. - General Mills Inc - 8th Continent L.L.C. - Yoplait USA - U.S. Bureau of Labor Statistics Bureau of Labor Statistics (BLS) A research agency of the U.S. Department of Labor; it compiles statistics on hours of work, average hourly earnings, employment and unemployment, consumer prices and many other variables. - Gatorade - Slim-Fast Foods Company - Honest Tea Inc. - Trader Joe's Company Inc - Amazon North America - Pete & Johnny Plc - Ajinomoto Co. Inc. - Walgreen Co - Safeway Inc - Cold Stone Creamery Cold Stone Creamery is an ice cream parlor chain based in Scottsdale, Arizona, United States.[1] History The company was co-founded in 1988 by Susan and Donald Sutherland (unrelated to actor Donald Sutherland), who sought ice cream that was neither hard-packed - Welch Foods Inc., A Cooperative - Florida's Natural Growers Florida's Natural Growers is an agricultural cooperative based in Lake Wales, Florida. It is currently owned by over 1,100 grower members. Founded in 1933 as Florida Citrus Canners Cooperative, it took the name Citrus World - HJ Heinz Company - Ferolito, Vultaggio & Sons - Redco Foods Inc. - Dean Foods Company - Eden Foods Inc. - Dr Pepper Snapple Group, Inc. - The Healthy Beverage Company - Kemps LLC - National Association for Stock Car Auto Racing National Association for Stock Car Auto Racing: see NASCAR. (NASCAR NASCAR (National Association for Stock Car Auto Racing), organization that sanctions American stock-car races, est. 1948. It held its first race in Daytona Beach, Fla. ) For more information visit http://www.researchandmarkets.com/research/050e3b/functional_beverag |
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