“Beauty support” a key driver for consumption of functional beverages, reveals Kerry

06 Oct 2022 --- Kerry has released a study assessing trends in the nutritional beverage market, revealing beauty is a top purchasing driver for consumers. An evaluation of over 10,000 consumers from 18 countries evidences the robust trend of eating for beauty. Meanwhile, sports performance will continue to rise and is anticipated to remain a key focus among F&B positionings.

The results came from participants in South America, Europe, Asia Pacific, South Africa and Australia. The company’s target was to provide insight into consumers’ changing priorities and preferred ingredients in both functional and fortified beverages.

“Solutions that can address challenges with a total concept approach to master all angles are key,” Emma Cahill, marketing director for food protection and preservation for Kerry, tells FoodIngredientsFirst when discussing how companies can implement its findings into functional products. 

Meanwhile, Soumya Nair, global director of consumer research and insights at Kerry, suggests that beverage companies have started “balancing beauty with digestive support, and immunity with sports performance [supplements].”

Beauty beverages in the spotlight 
The study discovered both men and women attribute beauty support as the top reason they consume beverages with high nutritional value and are willing to pay a premium even amid global inflation. 

 Men and women are both drawn to gaining beauty support from fortified beverages.Skin is the top concern, with 51% when it comes to purchasing beverages fortified with nutrients. Skin support was essential to 58% of women versus 44% of men globally, revealing a small gender gap regarding the interest in beauty support. 

According to the report, the public is more proactive and has come to understand the link between long-term health and nutrition and achieving their beauty goals.

To win in this space, Nair believes that manufacturers need to create products that support top concerns and include science-backed functional ingredients to increase credibility.

According to an Innova Market Insights report, product launches containing collagen have risen by 19% over the past four years, and biotin products have grown by 14% during the same period.

Willingness to pay the price
The subjects stated that they were likely to pay a premium for food and beverages with added functional benefits at 86%. Of those, 74% indicated they would pay above a 6% premium. 

With inflation striking the food industry, Kerry has been searching for solutions. “Cost optimization of a total recipe is key in these times of inflation,” states Cahill. 

However, based on their own report, consumers indicate to be willing to pay higher prices for nutritionally high food and beverage options. 

Regarding food reformulation, Cahill is currently observing issues regarding “costs and security of supplies. “The growing inflation and the recently experienced problems in supplies in a range of raw materials have stimulated the process of alternative and more cost-effective recipes,” she notes. 

According to the report, the global functional beverage market is predicted to grow at 10.49% annually, reaching nearly US$200 billion by 2026. 

Immunity trend remains crucial  Kerry calls attention to the issue of inflation for the F&B industry, but the report tells consumers willing to pay a premium for highly nutritional beverages. 
Immune support is still the highest health priority for consumers. It is a particular focus across markets in the US, the UK, Guatemala, Brazil, South Africa, the Philippines and India.

Immunity support sat as the second top reason, with 44% of people choosing nutritional beverages over other beverage options. General weight management and digestive/gut health were also top concerns, with 43% and 42% of participants ranking them as a fundamental reason for drinking fortified beverages.

Meanwhile, 53% of global consumers are interested in beverages containing ingredients specific for immune support but want to see science-backed elements, citing vitamin blends, omega-three fatty acids and probiotics as the top ingredients. 

“Manufacturers need to create products that support top concerns such as immune, digestive, cognitive, joint and heart health, and include science-backed functional ingredients to increase credibility,” says Nair.

The lowest reported reasons were those associated with physical activity support, such as muscle recovery, energy support, endurance and bone health, at the bottom of the list, gaining percentages in the 30s. 

“Products geared toward sports performance, muscle recovery and endurance are also no longer the preserve of athletes,” states the report. 

By Sabine Waldeck