Simple and Sophisticated Sparkling Sucess
The New Zealand non-alcoholic beverage industry is, arguably, in a more dynamic space than ever, and transformation is very much the name of the game.
The New Zealand non-alcoholic beverage industry is, arguably, in a more dynamic space than ever, and transformation is very much the name of the game.
Canvas the views of NZ Beverage Council (NZBC) members and the message is clear – this transformation is due, to a large degree, to consumers wanting more from their beverages. Great taste and thirst satiation were once the key beverage boxes to tick. Good, yes, but consumers of today also want their beverages to DO good. Functional drinks are the new norm.
Beverages of today (and looking to the future) are being called upon to play a significant role in providing hydration, energy boosts, gut health, immunity, muscle recovery, mental clarity, relaxation and even mood support… a big ask, yet the industry is delivering and continuing to investigate transformative ways to do so.
The word from our Beverage Council’s key formulators is that functional ingredients that were once confined to the world of powdered supplements and pills are now being integrated into convenient ready-to-drink formats. Proteins, electrolytes, nootropics and pre-workout formulas are all part of that equation. We’ve seen the emergence, for example, of sparkling water that delivers added magnesium for stress support, and energy drinks with a focus on cognitive performance instead of just caffeine and sugar, and iced teas that are infused with collagen! Thanks to evolution within the industry, beverages can be thirst quenching while also making health simple and accessible.
We note that beverage marketing has moved beyond a focus on the benefits of solely physical health. Increasingly, emotional well-being is very much a thing in the beverage marketing world. Alternatives to alcohol is one result, hence the popularity of “relaxation mocktails” and “mood-enhancing” drinks. Our Beverage Council members report that words like “sophisticated flavours” have become part of our vernacular. What we are seeing is the demand for complex, adult-style flavour in non-alcoholic drinks, driven by the “sober curious” movement. Alcohol-free cocktails and spirits are becoming mainstream, especially in social settings and hospitality and, in some cases, brands are using distillation and fermentation techniques to mimic traditional alcohol profiles without the alcohol.
Furthermore, hydration is now seen as a “lifestyle statement” with premium water brands and influencer-backed products leading the way. And we have seen consumer demands change over recent years in terms of increased interest in fresh, natural and authentic tastes. In 2025, our members are noting that consumers are continuing in their pursuit of uncovering “unexpected flavours and memorable experiences”… especially those that have the potential to convert to viral social media content.
Within NZ’s non-alcoholic beverage industry it’s not just what consumers want in their beverages that is driving transformative change. There’s a total package to consider beyond the beverage.
For example, both social media and artificial intelligence are increasingly impacting our sector, changing the way product is marketed, and developed. We’ve noticed how emerging beverage brands are, by and large, picking up on the power of socials, building demand and credibility online. Instagram, influencers, or going viral on Tik Tok are their marketing/advertising tools. This digital-first mindset is undeniably another key trend and sign of our times.
Also of our times are tech-enhanced experiences. AI and AR are being used in product development and marketing to personalize consumer experiences. In addition, smart packaging and interactive labels are emerging to engage tech-savvy consumers. We anticipate AI may shape a lot of our future, not only in terms of how research is conducted and a product developed, but how that technology (from a decision-making point of view) may be used by consumers, or by stockists. What we see now in terms of the reach of AI isn’t necessarily what we will see in a few years’ time – just look how quickly things have changed over the last few years.
Beverage and Food Gurus (BFG) managing director Sam Borgfeldt tells us that, if he had to list three major factors impacting the “dynamic transformation” of our industry they would be: health-conscious consumers, innovation, and agile entrepreneurs. Look at the brands thriving today, he says, and chances are they will have combined science-backed functionality with social media savviness, and “most importantly” they will include the ability to innovate at high speed. How speedily? Well, start-ups, for example, now work in cycles of weeks or months, not years, he tells us.
Reassuringly, this leading NZ formulator is of the belief that when it comes to beverage innovation, “NZ has access to high quality ingredients, smart and ambitious founders, agile supply chain partners and a retail landscape that’s increasingly open to new and exciting formats”.
It’s a positive viewpoint for Beverage Council members to take on board. And it supports our chosen theme for this year’s annual conference – ‘Sparking Success -For a sparkling future’, characterised by this dynamic landscape of innovation.
Sir Ray Avery (also bestowed with a Knight of the Realm and inaugural New Zealander of the Year honours) will be one of the keynote speakers at the October 16 conference. Also presenting a keynote address will be Nicola O’Rourke - a director, investor, consultant with more than 20 years’ experience in a range of disciplines across the food and beverage industry. Both are extraordinarily well placed to speak to the conference’s innovation theme and securing them as speakers has been a coup. The line-up of conference speakers will also include Mintel, ANZ, James & Wells, Innovation Realised, Mānuka Phuel, Arepa Drinks, No Ugly Ltd, and post conference networking with dinner speaker and entertainment. This actioned packed day is possible through the following sponsors and their ongoing support of the NZ Beverage Council: Platinum Sponsors – Sensient Technologies, Gold Sponsors – James and Wells and NZ Sugar, and Silver Sponsors – Alchemy Agencies and RD2 International Ltd.
The one-day conference will begin with registration at 8.30am and conclude with a dinner and entertainment to be held at Tote on Ascot, Ellerslie Event Centre. Non NZBC members are welcome to join members at the event. Tickets are available at www.nzbeveragecouncil.org.nz/events
The NZBC membership is diverse, and ranges from large multinational brands, local New Zealand producers, to those companies that provide a wide range of goods and services to the industry. Members represent over 75 percent of the non-alcoholic ready-to-drink industry sold at a retail level.
We are committed to providing our members with a strong and united voice so as to create an environment in which our members thrive – ultimately resulting in a stronger New Zealand Beverage Industry, poised to take us forward to face whatever will next transform us.
By Grant Jeffrey, Co-Chair NZ Beverage Council