Zenith Global 2016 Juice Innovation Report

zenithinternational 2016 Juice Innovation

A review of recent key trends and new product development

July 2016

Research Note In undertaking its research for this report, Zenith has utilised its internal data library and global databases, alongside other third party sources and interviews with the industry. Throughout its on-going research, Zenith also depends upon the goodwill and co-operation of operators active in the marketplace, and, as such, seeks to achieve a high level of accuracy.

Liability This document contains information and may contain conclusions and recommendations. Every effort has been made to ensure that the information is accurate and that the opinions expressed are sound. However, Zenith International Ltd cannot be made liable for any errors or omissions or for any losses or consequential losses resulting from decisions based on the information.

Important notice on distribution This report should not be quoted, referred to or transmitted to another party, in whole or in part, with out the prior written consent of Zenith International Ltd. Should you desire to release a copy of this report to another party for information purposes, we request you and the requesting party to indemnify Zenith International from any liability related to the report distribution. Such readers however will not be considered “users� of this report.

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Copyright All copyright in this document is reserved.

CONTENTS

The contacts at Zenith International in connection with this report are: Monika Fedor Consultant Zenith International Ltd., UK

Section

Page

1. Introduction and scope

4

2. Category overview

7

 Commentary: Category overview

Tel: +44 1225 327936 mfedor@zenithinternational.com

 Commentary: Functional innovation

Esther Renfrew Market Intelligence Director Zenith International Ltd., UK

 Commentary: Key innovation trends

Tel: +44 1225 327900 erenfrew@zenithinternational.com

3. Brand profiles

18

3.1 Brand profiles: Flavour innovation

19

Zenith International Ltd 7 Kingsmead Square Bath BA1 2AB United Kingdom T +44 (0) 1225 327900 F +44 (0) 1225 327901 www.zenithinternational.com

3.2 Brand profiles: Vegetable juice

39

3.3 Brand profiles: Reduced/low/no sugar

51

3.4 Brand profiles: Texture

66

3.5 Brand profiles: Functional offering

73

3.6 Brand profiles: Premium positioning

83

3.7 Brand profiles: Child-oriented

89

3.8 Brand profiles: Packaging innovation

94

zenithinternational specialist consultants to the food and drink industries worldwide

 Commentary: Global trends and developments

 Commentary: Sector challenges and benefits

Page 3

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zenithinternational 1. Introduction and scope

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INTRODUCTION AND SCOPE Juice innovation

Overview The aim of this report is to assess developments in the juice sector, identifying and summarising trends and new innovations in order to understand what opportunities exist for new product development.

Scope A global market overview of trends and developments, featuring brand profiles to benchmark against leading and innovative juice products worldwide, tracking recent innovation within the juice category as well as investigating the future outlook of the market.

Categories covered in this report:  Fruit juice  Nectars  Fruit drinks Products profiled in this report contain features that span a number of trends shaping the future of the juice sector, including:  New flavours  Real fruit pieces  Vegetable juice  New packaging  Reduced/low/no sugar  Cold-pressed juices  Functional offerings  Health and wellbeing  Premium  Child-oriented  Sustainability  Expanded distribution

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INTRODUCTION AND SCOPE Juice innovation

Definition: juice For the purpose of this report, Zenith uses the following definition:  Ready to drink still beverages made of fruit and fruit-vegetable blends including pure juices (100% fruit content), nectars (25-99% fruit content) and fruit drinks (5-24% fruit content). Both juices made from concentrate and not from concentrate are covered.  Although the report predominantly covers fruit juice, it also refers to a number of vegetable based products featuring an innovative trend worth highlighting in the context of the fruit juice market.  Some cross-category products are also featured as a number of recent innovations have combined juice with other soft drinks categories to enhance juice’s natural nutritional benefits or to utilise its fruity taste.

Exclusions Smoothies, sparkling juices, schorle, limonaden, pressé drinks, malt beverages, fruit flavoured still drinks.

Coverage Innovation and new product development shaping the global market for juice launched from 2014 to 2016 inclusive.

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zenithinternational 2. Category overview

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CATEGORY OVERVIEW Overview of juice Global juice consumption, million litres

 Commentary on global fruit juice consumption  Commentary  Commentary

2011

2012

2013

2014

2015

Global consumption

Global juice consumption, 2015 14%

15%

Asia Pacific North America

14%

15%

West Europe C & S America East Europe

14%

14% 14%

Middle East Africa

Source: www.globaldrinks.com

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CATEGORY OVERVIEW Overview of juice Regional juice consumption 2015, million litres

Global standpoint  Commentary

Category perspective  Commentary Asia Pacific

North America

West Europe

C&S America

East Europe

Middle East

Africa

Regional consumption

Global beverage consumption, 2015 14%

Bottled water

15%

Carbonates

Outlook

FJNFD

 Commentary

14%

15%

Dilutables RTD tea Other still

14%

14%

Others

14%

Source: www.globaldrinks.com

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CATEGORY OVERVIEW Commentary – functional innovation Functional innovation – insights  Commentary  Commentary  Commentary

Emerging trends in functional innovation Some of the areas of emerging importance include:  Commentary

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CATEGORY OVERVIEW Commentary – global trends and developments

Global juice consumption  Commentary  Commentary  Commentary Global trends and developments in juice consumption Some of the areas of emerging importance include:  Commentary

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Key innovation trends New flavour; new packaging

Flavour innovation

  

Commentary Commentary Commentary

Vegetable juice   

Commentary Commentary Commentary

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Key innovation trends Reduced/low/no sugar; functional offering

Reduced/low/no sugar

  

Commentary Commentary Commentary

Texture   

Commentary Commentary Commentary

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Key innovation trends Vegetable juice; premium

Functional offering

  

Commentary Commentary Commentary

Premium positioning   

Commentary Commentary Commentary

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Key innovative trends Texture; child-oriented

Child-oriented

  

Commentary Commentary Commentary

Packaging innovation   

Commentary Commentary Commentary

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CATEGORY OVERVIEW Juice category challenges and barriers

CHALLENGES AND BARRIERS  Commentary  Commentary  Commentary

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CATEGORY OVERVIEW Juice category opportunities

INSIGHTS AND OPPORTUNITIES  Commentary  Commentary  Commentary

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zenithinternational 3. Brand profiles

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zenithinternational 3.1 Brand profiles

Flavour innovation

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FLAVOUR INNOVATION Watermelon

Mello Mello Drinks, UK www.mellodrinks.co.uk

Product information: Launched in 2014, Mello is 100% pressed juice from melons.

Following its original launch in 250ml format, the company has since introduced a 750ml bottle format in response to increasing demand within the take-home market. The drink is offered in three melon variants: watermelon, cantaloupe melon, and, most recently, honeydew melon, each with a functional proposition. The brand’s “vibrant” packaging design is intended to create shelf presence and shelf stand-out, according to the company, which it hopes will drive sales in the juice category.

Launch date: June 2016 (new variant), July 2014 (initial launch) Variants: Watermelon, cantaloupe melon, honeydew melon Ingredients: Cold pressed raw melon juice with only natural sugar Positioning: Health-conscious consumers Channels: Retail outlets including Waitrose and Booths Pack size & type: 250ml and 750ml bottle Price: UK£2.49 per 250ml bottle

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zenithinternational 3.2 Brand profiles

Vegetable juice

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zenithinternational 3.3 Brand profiles

Reduced/low/no sugar

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zenithinternational 3.4 Brand profiles

Texture

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zenithinternational 3.5 Brand profiles

Functional offering

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FUNCTIONAL OFFERING Probiotics for digestive and immune health

Harvest Soul Harvest Soul, USA www.harvestsoul.com

Product information: Harvest Soul released an eponymously named line of organic and high-fibre juices enhanced with Ganeden’s BC30 probiotic. Designed to keep both the digestive and the immune system healthy, the probiotic line of juice drinks includes tropical, greens, beet and berry varieties - all made from whole fruits and vegetables such as celery, cucumber, orange, pineapple and carrot. The resulting organic, nonGMO probiotic juices combine powerful probiotics with healthy juices from nutritious leafy greens and antioxidant-rich fruits and vegetables.

Launch date: March 2016 Variants: Tropical, greens, beet and berry Ingredients: Whole fruits and vegetables such as celery, cucumber, orange, pineapple and carrot, probiotics, no added sugar Positioning: Health-conscious consumers Channels: Various retail locations across the US’ south-eastern states Pack size & type: 12oz bottle Price: US$5.99 per 12oz bottle

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zenithinternational 3.6 Brand profiles

Premium positioning

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zenithinternational 3.7 Brand profiles

Child-oriented

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zenithinternational 3.8 Brand profiles

Packaging innovation

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