Food and Beverage Sector Expects Steady Growth (But It’s Not What You Think It Is)
According to SIS International, steady consumer demand would buoy the global food and beverage market growth to $11.4 trillion by 2030, with analysts predicting the US market specifically enjoying between 2% and 4% dollar sales increase in 2026. There is a caveat to this, however; this market growth would be reflected in dollars but not in units sold. Volume growth is projected to be flat to slightly negative as consumers continue to develop selective spending and eating habits, with the market’s revenue generated mostly by price increases between 2% and 4%.
SIS further enumerates five critical trends that could form the backbone of food and beverage brand strategies for the coming years:
- What Value Means For Different Consumers – Value isn’t limited to low price anymore and effective research would help identify which product attributes customers are willing to pay a premium or look elsewhere cheaper.
- Private Label Outpacing National Brands – Understanding where brand loyalty ends and products are viewed as commodities could help national brands compete with growing private labels.
- Consumers Favoring Protein and Gut-Friendly Products – Being a health product won’t sell it alone in an era of increasingly health-conscious shoppers; you’ll also need to recognize which health benefits appeal the most to target consumers and credibly communicate these attributes.
- Food and Beverage Experiences Are Evolving Beyond Flavor – Consumer preferences are growing more meticulous and sophisticated nowadays with texture, aroma, visual appeal, and mouthfeel contributing to the lasting impressions a food and beverage product can create.
- Non-alcoholic Beverages Stirring Up Innovation – Understanding the sober shift with the right set of questions opens up opportunities to design and introduce new beverage offerings without struggling much to find its ideal consumer base.
With effective and high quality market research, food and beverage brands can thrive instead of merely getting by during this projected period of steady industry growth. High level market research would confidently inform and shape business decisions with timely and deep insights on today’s food and beverage consumers, borne out of relevant and flexible research methodologies and backed by real-world validation.
In this period of steady customer demand, exploring beyond these five trends and delving deeper into understanding the driving forces of consumer behavior, attitudes and values through excellent market research could mean revenue gains for food and beverage brands, not in dollar growth through price increases but actual, bonafide volume sales.
