Red Bull has launched a new initiative that is claimed to help wholesaler’s customers drive soft-drinks sales by giving them data and advice on top sellers and emerging trends in the category.
Co-Driver is styled as a “growth partner for retailers to help them make the most of the category, which is predicted to almost double in value by 2030.
Additionally, sports & energy drinks are set to overtake colas as the most popular soft-drinks segment, now accounting for 40% of all soft drinks sold and up by £174m compared to two years ago.
The brand outlined five key stores of evolution affecting the soft-drinks category:
1. The future is functional
Trends in soft drinks are moving away from simple refreshment towards healthier offerings and “biohacking” thanks to the growth of brands such as Huel. As energy is poised to overtake colas in total sales, retailers need to make sure they are giving the segment enough space, accounting for growing formats such as multipacks and new functional benefits consumers are looking for.
2. More footfall through food on the move
The growth of food to go has an impact on soft drinks, with 7am the peak time for energy-drink sales in the UK. By competing on food to go at peak times, retailers can boost their soft-drinks sales.
Read more: Parfetts and Red Bull partner for digital category zone
3. The health conundrum
Some consumers are bypassing healthier food entirely in favour of GLP-1 medicines such as Ozempic, with the spokesperson predicting one in five people in the UK taking them in five years’ time. Retailers need to be paying attention to low-calorie options and possibly smaller items or portions in their food-to-go offers.
4. Drinking detoxed
More and more people are moderating their alcohol use and Gen Z appear to be drinking less than prior generations overall. Retailers must make sure they are offering the correct alternatives to alcohol, and this doesn’t just include no/low varieties; adult soft drinks and other soft drinks in general are increasingly viable options. And even those who do consume alcohol are influencing the category: beer and cider are in decline, while ready-to-drink (RTD) options are comfortably the fastest-growing within the category.
5. Gen Z + beyond
Convenience store owners need to be ready to serve the next generation of shoppers, and this means being ready to use social media, both to find the newest trends and communicate them to their followers. Some of these trends are ahead of manufacturers, with the combination of Dr Pepper and pickles cited as one example. Independent retailers can react quickly to trends and be the first to offer them, which will be crucial for gaining and retaining a younger customer base.
