Driving drink sales

In today’s competitive environment, operators continue to look for ways to drive incremental sales—and beverages remain one of the opportunities. New data from Technomic’s Beverage Consumer Trend Report highlights shake-ups in trends, preferences and behaviors that are changing the way operators look at beverages.

That number has been relatively flat since 2016. The growth of delivery, however, could present a future threat to beverage purchases. More than a third of consumers say they are ordering more delivery—and nearly half (48%) say they are ordering beverages from restaurants less as a result. 

Source: Technomic Beverage Consumer Trend Report, powered by Ignite

That’s up from 18% in 2016. “Nearly half of younger consumers—the heaviest foodservice users—are looking for new and unique beverages from foodservice,” finds Technomic. “Beverages can complete the unique experience diners seek.” 

At the same time, slightly fewer beverages are being offered. Limited-service restaurants are showing a 2.2% decrease in drinks on the menu, compared to two years ago. The number of drinks on menus at full-service spots is down 0.7%. 

Source: Technomic Beverage Consumer Trend Report, powered by Ignite

Cold and iced coffee are up 50% at full-service restaurants and 9% at LSRs. “At coffee cafes, in particular, cold or iced coffee is now consumed by more consumers than hot specialty coffee and is also the beverage most likely to be ordered as a snack at this segment,” finds Technomic.

Still, soft drinks are the leading beverages at both LSRs and FSRs. Flavored water is the fastest-growing LSR beverage. 

Source: Technomic Beverage Consumer Trend Report, powered by Ignite

Tropical Smoothie Cafe’s sales in 2017 rose to $393 million. With the unit growth, it shows that juice and smoothie concepts continue to show strong growth potential. Additionally, nearly three-fourths of its customers rate the chain’s quality as “very good.” Jamba Juice and Caribou Coffee also got high quality ratings from consumers. 

Source: Technomic Beverage Consumer Trend Report, powered by Ignite

“With demand for authentic and regional Asian food growing, the next wave of the trend points to an influx of Asian-style drinks,” finds Technomic. Other examples include TeaMoji in Allston, Mass., which specializes in colorful Taiwanese-style milk teas, and Tan-Cha, based in Rowland Heights, Calif., which offers cheese tea, featuring a foam of whipped milk and cream cheese. Peet’s Coffee is one of the many concepts that has added turmeric-tinged lattes, teas and other beverages. 

Source: Technomic Beverage Consumer Trend Report, powered by Ignite