Fusion Beverages Market - The Next Frontier of Beverage Industry

Fusion Beverages Market Players Hinge on Bespoke Product Innovations for Growth

  • 2019-08-26
  • REP-GB-1824
  • 144 Tables
  • 146 Figures
  • 123 pages
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Fusion Beverages- Functional or Fad?

Food and beverage industry is at the cusp of significant transitions, primarily led by dietary assessments and re-assessments by the new-age consumers. Wellness has now become a priority and a ‘self-assessed’ aspect of consumers, which helps them make pragmatic choices from a wide array of food and beverage products. Gone are the days when consumers used to feel satiated with the conventional beverages wherein ‘taste’ was the one and only compelling factor. Rather, consumers have started bypassing store shelves loaded with conventional beverages and are on the lookout for variants offering a perfect convergence of taste and wholesomeness.

With health drinking becoming more of a lifestyle choice, beverage brands worldwide are redesigning their product pipelines with newer additions to catch up with this dynamic trend. In addition, consumers seek beverages that offer multi-sensory experiences – a value add that goes way beyond mere refreshment and indulgence. This is where fusion beverages come into play, offering new grounds for consumers to lose themselves in offbeat indulgences. However, new test regulations are likely to add uncertainties to the near-term outlook of fusion beverages, posing new challenges for manufacturers to wade through.

fusion beverages market snapshot

Top 3 Factors Shaping the Fusion Beverage Market

Consumers Demand that Beverage Manufacturers Grant More Attention Towards Global Sustainability

Current trend heads towards more ecologically sustainable packaging. Whereas, the beverage industry has made inordinate strides in lessening the applications of plastics, it is a short term solution. By 2015, customers looked for more and more beverages to be offered in glass and aluminium containers. In terms of health effects, some plastics were abandoned while others proved to be benign.

In 2004, The Biodegradable Products Institute, BPI, ratified the first decomposable water bottle manufactured by BIOTA spring water. The bottle, which breaks down rapidly, was deemed nontoxic for composting as it is made exclusively from corn. Since then, many beverage manufacturers have followed suit and now manufacture biodegradable and compostable packaging.

  • In 2011, Pepsi introduced a bottle they claim is 100% recyclable, as it is composed of self-generated plant by-products.
  • Coca-Cola established both paint free aluminum cans and square, compostable bottles to lessen the impact of their packaging. Though, as of 2013, Coca-Cola has considered these products as impractical and customers cannot purchase them. Nevertheless, present trends of packaging are shifting as they are considered unsustainable.
  • Local brand holders have already taken a leading position in the realm of utilizing recycled, recyclable and other earth-friendly packaging materials. Some brands can now claim ‘totally green’ status with everything from the ingredients to inner and outer packaging materials being entirely compostable.

Enhancing corporate reputation

Manufacturers want to be stand-in a responsible and ethical manner in order to entice progressively issue-savvy customers. They want to know that corporations are not destructively impacting environment or the communities, and beverage manufacturers are coming beneath burden to indorse responsible drinking and healthy lifestyles. Ultimately, firms will profit - adopting steps such as encourage innovation, reducing water usage will bring down costs, and generate optimistic exposure.

Sharpening implementation

Sharpening implementation in rapid-growth and developed markets is a theme beverage manufacturers return to recurrently. Capability to perform in the on- and off-trade markets is a perilous success factor for their industries, therefore those manufacturers getting it right will achieve substantial competitive benefit.

Rising profitability of local businesses, sustainably

‘Making more beer but using less water’ is one of SABMiller’s ten ecological improvement strategic primacies as it targets ‘to continuously increase profitability of local businesses, sustainably.’ SABMiller aims ~25% reduction in water usage per hectoliter of beer by ~25% by 2017 and is a member of the WEF Water Project and the Water Foot Printing Network, as well as associating with the World Wide Fund for Nature to comprehend and enumerate water related challenges within functioning countries and to improve fitting action plans.

fusion beverages market

Fusion Beverage Market Structure Analysis

  • The global Fusion Beverage market is classified into a three-tier analysis, where tier-1 companies hold a prominent market share and have a strong presence across the globe.
  • Leading companies operating in the global Fusion Beverage market include Coca Cola, PepsiCo, Campbell, Danone, etc.
  • Most of the key players in the global Fusion Beverage market are based out of the U.S. or Europe, as consumer demand is higher in these regions. Moreover, it has been observed that, a majority of the organized players operating in the global Fusion Beverage are focusing on strategic mergers and acquisitions to broaden their product portfolios and strengthen their foothold in the global Fusion Beverage market.

Market Players Rethink Packaging to Craft New Experiences

Manufacturers of fusion beverages are rethinking their packaging prototypes via the reset of three key aspects- function, form, and design. Though the packaging formats with catchy images and color pallets will surely stand out, convenience and flexibility is also something that will really matter to consumers. This is the one of the primary reasons why manufacturers of fusion beverages are focusing on easy tear and pouch packaging, without any compromise on the strength parameters.

Manufacturers are also drawing upon the trend of ‘clean label’ by mentioning about all the ingredients used in their fusion beverage offerings, which would help the ‘self-directed’ consumers with rational decision-making. Story-telling is also emerging as one of the most effective marketing gimmicks in the fusion beverages landscape, wherein packaging formats mirror the story behind a particular brand and reflect its core values. As millennials are increasingly drawn to products with personality, manufacturers are using packaging forms with compelling brand stories to involve and engage consumers like never before.

Asian Millennials: The Next Leg of ‘Target Marketing’

Brands offering fusion beverages are rolling out new concoctions that combine ingredients originating from as well as popular in Asia, which would help them effectively grapple regional consumers’ attention. With the increasing demand for botanicals in India, China, Japan, and other countries, manufacturers are shifting their strategic focus on infusion of natural ingredients that would help them well position their products in the Asian market. For instance, DRGN, a leading UK beverage brand has set its sight on APAC millennials via launch of its new exclusive fusion soft drink. According to the brand, the citrus-flavored, vegan-friendly, and caffeine-free DRGN drink contains a mere 80 calories, offers a range of antioxidant properties, and supports liver health.

Customized Fusion Beverages - The Future Lies in ‘Personalized’

Brands offering fusion beverages are centering their focus on development of concoctions with a tinge of ‘personalization’, for the fact that consumer clamor for tailor-made experiences continues to see remarkable growth. As the ‘one-size-fits-all’ approach is worn-out and customized nutrition picks pace, brands offering fusion drinks are drawing upon this trend to reap substantial profits.

In the pursuit of personalized beverages’ production, one of the biggest roadblocks for the market players might be combining ‘small-batch’ custom manufacturing along with mass production lines. This combination would require systems that are intelligent, agile, and flexible and have efficiency as their core strengthener. This is precisely where industry 4.0 would come into picture, bringing new possibilities to the fore. It wouldn’t be incorrect to say that personalized beverages would hugely benefit from industry 4.0, with the latter offering massive tailwinds to the former.

How Growth will Unfold

Experts foresee the growth of fusion beverage brands to largely depend on their product innovation endeavors. Product innovations will play a crucial role in enabling manufacturers to stay relevant in the long run, giving them an edge over other competitors active in the fusion beverages space. For instance, in 2018, ZICO Beverages – an American beverage company - unveiled a new range of fusion beverage named ‘ZICO COCO-LIXIRS’, with an objective of capitalizing on the growing demand for coconut water. ZICO COCO-LIXIRS is an innovative fusion of organic, cold-pressed juice and the new ZICO Chilled Organic coconut water. In 2019, The Coca-Cola Company unveiled its first ever ‘coffee-infused’ cola drink named ‘Coca-Cola Plus Coffee’ in South Africa. This new variety represents a sparkling fusion of rich bold coffee aroma and mild sweetness along with subtle caramel notes, creating multi-sensory experiences for consumers to relish.

 Fusion Beverages Market

* This data is only a representation. Actual data may vary and will be available in report.

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Overview

Fusion Beverage Market Analysis 2019-2029

A recent market study published by FMI “Fusion Beverage Market: Global Industry Analysis 2014-2018 & Forecast 2019-2029” offers a comprehensive assessment of the most important market dynamics. After conducting thorough research on the historic as well as current growth parameters of the Fusion Beverage market, the growth prospects of the market are obtained with maximum precision.

Fusion Beverages Market Taxonomy

The global Fusion Beverage market is segmented in detail to cover every aspect of the market and present a complete market intelligence approach in front of the reader.

Product Type

Distribution Channel

  • Off-Trade
    • Hypermarkets
    • Supermarkets
    • Discounters
    • Grocers
    • Off-license stores, alcohol & confectionery stores
    • Highly specialized retailers
    • Petrol stations
    • Online stores
  • On-Trade
    • Pubs, bars, cafe’s
    • Restaurants
    • Clubs, discos
    • Hotels
    • Temporary retail points, mass events

What's Included

The report commences with the executive summary of the Fusion Beverage market, which includes a summary of the key findings and key statistics of the market. It also includes the market value (US$ million) estimates of the leading segments of the Fusion Beverage market. 

Readers can find the detailed taxonomy and the definition of the Fusion Beverage market in this chapter, which will help them understand the basic information about the Fusion Beverage market. This section also highlights the inclusions and exclusions, which helps the reader understand the scope of the Fusion Beverage market report.

This chapter explains the key macro-economic factors that are expected to influence the growth of the Fusion Beverage market over the forecast period. Along with macroeconomic factors, this section also highlights the opportunity analysis for the Fusion Beverage market. This chapter also highlights the key market dynamics of the Fusion Beverage market, which include the drivers, restraints and trends. Moreover, readers will understand the key trends followed by the leading manufacturers in the Fusion Beverage market.

This section explain the global market value analysis and forecast for the Fusion Beverage market between the forecast periods of 2014-2029 is highlights in this section. This chapter includes the detailed analysis of the historical Fusion Beverage market, along with an opportunity analysis of the future. Readers can also find the absolute opportunity for the current year (2019 – 2020), and an incremental opportunity for the forecast period (2019 – 2029).

Based on Product Type, the Fusion Beverage market is segmented into carbonated drinks, fruit juices, fusion alcohol, fused tea, fused coffee, energy drinks and sports drinks. In this chapter, readers can find information about the key trends and developments in the Fusion Beverage market and market attractiveness analysis based on the Product Type.

This chapter provides details about the Fusion Beverage market on the basis of Distribution Channel, and has been classified into Store Based Retail, Hyper/Supermarkets, Convenience Stores, Food Specialty Stores, Drug Stores, Online Store. In this chapter, readers can understand the market attractive analysis based on Distribution Channel.

This chapter provides details about the Fusion Beverage market on the basis of Region, and has been classified into North America, LA, Europe, South Asia, East Asia, Oceania, MEA. In this chapter, readers can understand the market attractive analysis based on region. Key countries of focus are USA, Brazil, Mexico, Germany, Italy, Spain, Poland, China, ASEAN Countries, Australia, GCC Countries, Canada, Argentina, Turkey, France, UK, Russia, NORDIC, India, South Korea, New Zealand, South Africa.

Readers can find detailed information about several factors, such as the pricing analysis and the regional trends, which are impacting the growth of the North America Fusion Beverage market. This chapter also includes the growth prospects of the Fusion Beverage market in the leading North America countries such as US and Canada.

Important growth prospects of the Fusion Beverage market based on its end users in several countries, such as Brazil, Mexico and Rest of LA are included in this chapter.

Germany, Italy, France, UK, Spain, BENELUX and others are the leading countries in the Europe region that are the prime subjects of assessment to obtain the growth prospects of the Europe Fusion Beverage market in this chapter. Readers can find detailed information about the growth parameters of the Europe Fusion Beverage market during the period 2019-2029.

This chapter highlights the growth of the Fusion Beverage market in the South Asia by focusing on India, ASEAN and others. This section also helps readers understand the key factors that are responsible for the growth of the Fusion Beverage market in South Asia.

In this chapter, China, Japan and South Korea are among the leading countries in the Oceania region, which are the prime subjects of assessment to obtain the growth prospects of the East Asia Fusion Beverage market.

This chapter provides information about how the Fusion Beverage market will grow in the major countries in the Oceania region, such as Australia and New Zealand, during the forecast period 2019 - 2029.

This chapter includes a detailed analysis of the growth of the MEA Fusion Beverage market, along with a country-wise assessment that includes the GCC, North Africa, Turkey and others. Readers can also find the regional trends, regulations, and market growth based on the end users and countries in MEA.

This chapter includes a detailed analysis of the growth of the Emerging countries Fusion Beverage market, along with a country-wise assessment that includes the China and India. Readers can also find the regional trends, regulations, and market growth based on the end users and countries in Emerging countries.

In this chapter, readers can find a detailed information about the tier analysis and market concentration of the key players in the Fusion Beverage market along with their market presence analysis by region and product portfolio.

In this chapter, readers can find a comprehensive list of all the leading stakeholders in the Fusion Beverage market, along with detailed information about each company, which includes the company overview, revenue shares, strategic overview, and recent company developments. Some of the market players featured in the report are The Coca-Cola Company, Fusion Beverage Co. Ltd., Campbell Soup Co., Silver Ice Beverages, PepsiCo Inc., Danone S.A., Monster Beverage Corporation, Kraft Foods Group, Inc., MYX Beverage LLC., Fusion Formulations among others.

This chapter includes a list of acronyms and assumptions that provide a base to the information and statistics included in the Fusion Beverage report.

This chapter helps readers understand the research methodology followed to obtain the various conclusions as well as important qualitative and quantitative information about the Fusion Beverage market.

How the research was conducted?

Primary Research

  • C - Level Executives
  • Marketing Directors
  • Sales Heads
  • Production Managers
  • Distributors Heads
  • Sales Executives
  • Product Manufacturers
  • Distributors
  • Traders 
  • Industry Experts
  • End Users
  • Current Market Dynamics and Challenges
  • Market Characteristics
  • Market Performance and Growth Quadrants
  • Competition Structure and Market Structure
  • Strategic Growth Initiatives
  • Near term and long term market growth prospects
  • Market Segment Splits and Authenticity
  • Opinions on market projections and validity of assumptions

 

Secondary Research

  • Industry Publications
    • Industrial Week
    • Industrial Product Review
    • Industrial Automation Magazine
  • Industry Associations
    • Automation Industry Association
    • ISA (International Society of Automation)
  • Company Press Releases
  • Annual Reports and Investor Presentations
  • Research Papers
  • Government Websites and Publications
  • Trade Websites

Primary Interview Splits

Primary Interview Splits fusion beverages market 1

Primary Interview Splits fusion beverages market 2

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