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Beverage Trends: Culinary Trend Mapping Report, Vol. 6, No. 2

September 24, 2009
The beverage market has always been large and competitive. But a scene that 15 years
ago was dominated by soda, juice, milk, coffee and tea is now splintering into numerous
smaller niches, and as a result, consumers are able to find beverages to meet their
specific needs. This is evidenced by tremendous industry growth.

So just what kind of overarching needs are consumers looking to satisfy from beverages
today? We’ve identified two primary and several secondary benefit drivers propelling the
trends covered in this report: Better-for-you, including functional, nutritional, and holistic
wellness, and quality quest, including artisan-made, and retro/nostalgic.

With those drivers in mind, we found exciting beverages at all five stages of the Trend
Map:

        Stage 1
           o New Cocktails are experiencing a renaissance as they connect to
              consumer interests in retro experiences.
           o Exotic Functional Flavors: which superfruit flavors will be the pomegranate
              and goji berry of tomorrow?
        Stage 2
           o Eastern Wisdom: traditional ingredients from Asia are crossing over from
              food to drinks, bestowing wellness properties.
        Stage 3
           o Coconut Water: nutrient-packed, it appeals to diverse demographics.
           o 21st Century Sodas are wowing the market.
        Stage 4
           o Kids’ Functionals promise a host of benefits such as brain development,
              stress relief, satiety, immunity, and more
        Stage 5
           o Stevia has been approved for use in beverages, and beverage
              manufacturers have moved swiftly to get stevia-sweetened drinks to
              market.

The potential market for today’s new beverages is a large one, with diverse groups
ranging from active Baby Boomers to savvy Gen X parents to youthful Gen Yers looking
for healthful, exciting and unique drinks. Because of this diversity in demographics and
psychographics, the beverage offerings are expanding, and we believe the varied needs
of consumers make it an arena with plenty of room for growth and innovation.

••••••

The Culinary Trend Mapping Report is an indispensable tool for those whose job it is to
stay abreast of what's hot - or what will be - in the food world!

Using the Center for Culinary Development’s (CCD) signature Trend Mapping
technique, a validated method identifying which culinary trends are “gaining traction”
and which are simply flashes in the pan, each report concentrates on a theme, or trend,
that is affecting the food industry, and then looks at the emerging and established
ingredients, cooking styles and products along the Trend Map that are driving this
theme.

Each report is a 75+ page journal packed with trends, data, strategies and insights on
the food industry that simply aren't available anywhere else.

Each Issue of the Culinary Trends Mapping Report

      Identifies the maturity level of foods and ingredients according to CCD’s unique,
      proprietary 5-stage trend mapping process.
      Concentrates on a theme that is affecting the food industry, and then looks at the
      emerging and established trends along the Trend Map that affect—or are
      affected by—this theme.
      Delves into these trends and what they mean for you and the manufacturing,
      retailing, and foodservice industries.
      Gives strategic insight into how consumers are thinking of and reacting to new
      foods and ingredients.
      Provides business know-how regarding opportunities, challenges, and ways to
      implement current trends into foodservice, retail, and packaged goods
      operations.
      Presents a feature interview with a member chef from CCD’s exclusive 80+
      member Chefs’ Council that offers expert analysis and his or her perspective on
      a specific trend.

Trend Mapping

Trend Mapping is guided by the premise that major food trends pass through five
distinct stages on their way to the mainstream:

      Stage 1: The ingredient, dish and/or cooking technique appears at upscale dining
      establishments, ethnic and popular independent restaurants.
      Stage 2: The item is featured in specialty consumer-oriented food magazines,
      such as Gourmet and Bon Appetit plus retail stores such as Sur La Table that
      target culinary professionals and serious home cooks.
Stage 3: The item begins to appear in mainstream chain restaurants --
      Applebee's or Chili's --as well as retail stores such as Williams-Sonoma that
      target recreational cooks.
      Stage 4: Publications such as Family Circle and Better Homes and Gardens pick
      up the buzz.
      Stage 5: Finally, the trend makes its way to quick service restaurant menus and
      is either starting to appear or is having increased presence on grocery store
      shelves.

Availability

Published bimonthly, the Culinary Trend Mapping Report is available for purchase as a
single issue or a six-issue subscription.



Additional Information

In the News


               Niche Products, Novel Benefits Propel Beverage Market

New York, October 5, 2009 - The sweet spot in the U.S. beverage market, long
dominated by a handful of major brand lines, has shifted to niche products that target a
diverse set of consumer needs, occasions, and benefits.

So what consumer needs can today’s beverages profitably quench? According to the
Beverage Trends: Culinary Trend Mapping Report just released by the Center for
Culinary Development (San Francisco, CA) and Packaged Facts (Rockville, MD), two
drivers are spurring sales in the beverage market:

      Better-for-you, the number-one driver in the new beverage landscape, including
      functional, nutritional boost, and holistic wellness beverages
      Quality quest, including organic, local, artisan-made, and retro/nostalgic
      beverages

These drivers are strong wind in the sails of various new product trends that the Center
for Culinary Development situates along its proprietary Trend Map®.

Cocktails, for example, are shaking it up again at the earliest stage of the Trend Map®.
 Fueled in part by the passion of creative bartenders and artisan spirit-makers, cocktails
are experiencing a renaissance as they connect to consumer interest in retro
experiences. Having struck such a powerful chord among consumers, the mysteries of
mixology will spill over to inspire new versions of non-alcoholic packaged beverages.
At the middle stage of the Trend Map® is coconut water, a refreshing and electrolyte-
packed tropical treat. Thanks to recent advances in technology and packaging, coconut
water has drifted from beachside to store shelf, where single-serve packages boast an
impressive range of health benefits. Coconut water is a rich source of potassium,
calcium, and magnesium, has no fat or cholesterol, is relatively low in sugar, and
purportedly can help regulate blood pressure and maintain heart health.

At the final stage of the Trend Map® is stevia, which the Food and Drug Administration
approved in late 2008 for use in foods and beverages. Stevia has been called the “holy
grail” of sweeteners: it comes from a natural source, and has all of the sweetness of
sugar but none of the calories. The FDA announcement caused immediate commotion
in the beverage world; within days, stevia-sweetened drinks that had been waiting in the
wings were rushed to market, in part by soft drink manufacturers hoping to reverse the
declining fortunes of that category.

Other beverage trends profiled in this report include exotic functional flavors such as
acerola and yumberry; kombucha, drinking vinegars, and “Ayurveda in a bottle” drinks
redolent of Eastern wisdom, holistic health, and longevity; 21st century sodas made with
cane sugar and exotic natural flavors; and functional kids’ beverages that promise a
host of benefits for developing bodies.

The market potential for on-trend new beverages remains significant, with diverse
segments ranging from Gen Y teens to savvy Gen X parents and sporty Boomers
looking for what’s next in healthful and premium new drinks. “Because of this diversity in
consumer demographics and psychographics,” emphasizes Kimberly Egan, CEO of the
Center for Culinary Development, “the beverage market is an arena with plenty of room
for growth and innovation.”

The Culinary Trend Mapping Report is co-published by the Center for Culinary
Development and Packaged Facts.

About the Center for Culinary Development - CCD is a full-service food and
beverage strategic innovation company that successfully blends culinary creativity with
consumer insights, trends and marketing expertise.

About Packaged Facts - Packaged Facts, a division of MarketResearch.com,
publishes market intelligence on a wide range of consumer market topics, including
consumer goods and retailing, foods and beverages, demographics, pet products and
services, and financial products. Packaged Facts also offers a full range of custom
research services.
TABLE OF CONTENTS

Executive Summary
      Why Beverages? — Kimberly Egan
      Executive Summary
Trend Summary
      Stage 1 -
      Exotic Functional Flavors
      Stage 2 -
      Eastern Wisdom
      Stage 3 -
      Coconut Water
      21st Century Sodas
      Stage 4 -
      Kids’ Functionals
      Stage 5 -
      Stevia
Chef Speak: CCD Chefs’ Council Voices
      Yanni Kehagiaras: The Gospel of Cocktails
Strategic Implications
      Strategic Opportunities for Beverage Trends
Sources
      Source List




Available immediately for Online Download at
http://www.marketresearch.com/product/display.asp?productid=2444071




US: 800.298.5699

UK +44.207.256.3920

Int'l: +1.240.747.3093

Fax: 240.747.3004

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Beverage Trends: Culinary Trend Mapping Report, Vol. 6, No. 2

  • 1. Get more info on this report! Beverage Trends: Culinary Trend Mapping Report, Vol. 6, No. 2 September 24, 2009 The beverage market has always been large and competitive. But a scene that 15 years ago was dominated by soda, juice, milk, coffee and tea is now splintering into numerous smaller niches, and as a result, consumers are able to find beverages to meet their specific needs. This is evidenced by tremendous industry growth. So just what kind of overarching needs are consumers looking to satisfy from beverages today? We’ve identified two primary and several secondary benefit drivers propelling the trends covered in this report: Better-for-you, including functional, nutritional, and holistic wellness, and quality quest, including artisan-made, and retro/nostalgic. With those drivers in mind, we found exciting beverages at all five stages of the Trend Map: Stage 1 o New Cocktails are experiencing a renaissance as they connect to consumer interests in retro experiences. o Exotic Functional Flavors: which superfruit flavors will be the pomegranate and goji berry of tomorrow? Stage 2 o Eastern Wisdom: traditional ingredients from Asia are crossing over from food to drinks, bestowing wellness properties. Stage 3 o Coconut Water: nutrient-packed, it appeals to diverse demographics. o 21st Century Sodas are wowing the market. Stage 4 o Kids’ Functionals promise a host of benefits such as brain development, stress relief, satiety, immunity, and more Stage 5 o Stevia has been approved for use in beverages, and beverage manufacturers have moved swiftly to get stevia-sweetened drinks to market. The potential market for today’s new beverages is a large one, with diverse groups ranging from active Baby Boomers to savvy Gen X parents to youthful Gen Yers looking for healthful, exciting and unique drinks. Because of this diversity in demographics and
  • 2. psychographics, the beverage offerings are expanding, and we believe the varied needs of consumers make it an arena with plenty of room for growth and innovation. •••••• The Culinary Trend Mapping Report is an indispensable tool for those whose job it is to stay abreast of what's hot - or what will be - in the food world! Using the Center for Culinary Development’s (CCD) signature Trend Mapping technique, a validated method identifying which culinary trends are “gaining traction” and which are simply flashes in the pan, each report concentrates on a theme, or trend, that is affecting the food industry, and then looks at the emerging and established ingredients, cooking styles and products along the Trend Map that are driving this theme. Each report is a 75+ page journal packed with trends, data, strategies and insights on the food industry that simply aren't available anywhere else. Each Issue of the Culinary Trends Mapping Report Identifies the maturity level of foods and ingredients according to CCD’s unique, proprietary 5-stage trend mapping process. Concentrates on a theme that is affecting the food industry, and then looks at the emerging and established trends along the Trend Map that affect—or are affected by—this theme. Delves into these trends and what they mean for you and the manufacturing, retailing, and foodservice industries. Gives strategic insight into how consumers are thinking of and reacting to new foods and ingredients. Provides business know-how regarding opportunities, challenges, and ways to implement current trends into foodservice, retail, and packaged goods operations. Presents a feature interview with a member chef from CCD’s exclusive 80+ member Chefs’ Council that offers expert analysis and his or her perspective on a specific trend. Trend Mapping Trend Mapping is guided by the premise that major food trends pass through five distinct stages on their way to the mainstream: Stage 1: The ingredient, dish and/or cooking technique appears at upscale dining establishments, ethnic and popular independent restaurants. Stage 2: The item is featured in specialty consumer-oriented food magazines, such as Gourmet and Bon Appetit plus retail stores such as Sur La Table that target culinary professionals and serious home cooks.
  • 3. Stage 3: The item begins to appear in mainstream chain restaurants -- Applebee's or Chili's --as well as retail stores such as Williams-Sonoma that target recreational cooks. Stage 4: Publications such as Family Circle and Better Homes and Gardens pick up the buzz. Stage 5: Finally, the trend makes its way to quick service restaurant menus and is either starting to appear or is having increased presence on grocery store shelves. Availability Published bimonthly, the Culinary Trend Mapping Report is available for purchase as a single issue or a six-issue subscription. Additional Information In the News Niche Products, Novel Benefits Propel Beverage Market New York, October 5, 2009 - The sweet spot in the U.S. beverage market, long dominated by a handful of major brand lines, has shifted to niche products that target a diverse set of consumer needs, occasions, and benefits. So what consumer needs can today’s beverages profitably quench? According to the Beverage Trends: Culinary Trend Mapping Report just released by the Center for Culinary Development (San Francisco, CA) and Packaged Facts (Rockville, MD), two drivers are spurring sales in the beverage market: Better-for-you, the number-one driver in the new beverage landscape, including functional, nutritional boost, and holistic wellness beverages Quality quest, including organic, local, artisan-made, and retro/nostalgic beverages These drivers are strong wind in the sails of various new product trends that the Center for Culinary Development situates along its proprietary Trend Map®. Cocktails, for example, are shaking it up again at the earliest stage of the Trend Map®. Fueled in part by the passion of creative bartenders and artisan spirit-makers, cocktails are experiencing a renaissance as they connect to consumer interest in retro experiences. Having struck such a powerful chord among consumers, the mysteries of mixology will spill over to inspire new versions of non-alcoholic packaged beverages.
  • 4. At the middle stage of the Trend Map® is coconut water, a refreshing and electrolyte- packed tropical treat. Thanks to recent advances in technology and packaging, coconut water has drifted from beachside to store shelf, where single-serve packages boast an impressive range of health benefits. Coconut water is a rich source of potassium, calcium, and magnesium, has no fat or cholesterol, is relatively low in sugar, and purportedly can help regulate blood pressure and maintain heart health. At the final stage of the Trend Map® is stevia, which the Food and Drug Administration approved in late 2008 for use in foods and beverages. Stevia has been called the “holy grail” of sweeteners: it comes from a natural source, and has all of the sweetness of sugar but none of the calories. The FDA announcement caused immediate commotion in the beverage world; within days, stevia-sweetened drinks that had been waiting in the wings were rushed to market, in part by soft drink manufacturers hoping to reverse the declining fortunes of that category. Other beverage trends profiled in this report include exotic functional flavors such as acerola and yumberry; kombucha, drinking vinegars, and “Ayurveda in a bottle” drinks redolent of Eastern wisdom, holistic health, and longevity; 21st century sodas made with cane sugar and exotic natural flavors; and functional kids’ beverages that promise a host of benefits for developing bodies. The market potential for on-trend new beverages remains significant, with diverse segments ranging from Gen Y teens to savvy Gen X parents and sporty Boomers looking for what’s next in healthful and premium new drinks. “Because of this diversity in consumer demographics and psychographics,” emphasizes Kimberly Egan, CEO of the Center for Culinary Development, “the beverage market is an arena with plenty of room for growth and innovation.” The Culinary Trend Mapping Report is co-published by the Center for Culinary Development and Packaged Facts. About the Center for Culinary Development - CCD is a full-service food and beverage strategic innovation company that successfully blends culinary creativity with consumer insights, trends and marketing expertise. About Packaged Facts - Packaged Facts, a division of MarketResearch.com, publishes market intelligence on a wide range of consumer market topics, including consumer goods and retailing, foods and beverages, demographics, pet products and services, and financial products. Packaged Facts also offers a full range of custom research services.
  • 5. TABLE OF CONTENTS Executive Summary Why Beverages? — Kimberly Egan Executive Summary Trend Summary Stage 1 - Exotic Functional Flavors Stage 2 - Eastern Wisdom Stage 3 - Coconut Water 21st Century Sodas Stage 4 - Kids’ Functionals Stage 5 - Stevia Chef Speak: CCD Chefs’ Council Voices Yanni Kehagiaras: The Gospel of Cocktails Strategic Implications Strategic Opportunities for Beverage Trends Sources Source List Available immediately for Online Download at http://www.marketresearch.com/product/display.asp?productid=2444071 US: 800.298.5699 UK +44.207.256.3920 Int'l: +1.240.747.3093 Fax: 240.747.3004