Ingredients Categories

News

Hybrid drinks add sparkle to a struggling beverage market

21 Oct 2019

Consumers love to try new beverages, and a recent trend aims to straddle categories with drinks like tea lattes, carbonated juices, and fruit smoothies with plant milk.

Perhaps unsurprisingly, Coca-Cola is a leader in the hybrid beverage area. In March 2019, it released a smoothie-kombucha drink in the United States (Smoobucha), and its portfolio also includes more established hybrids, like Vitaminwater and Core Power, a dairy-based range of sports recovery drinks. PepsiCo has released its own hybrid beverages, including an oat-based breakfast drink under its Quaker brand in Latin America, and Tropolis, a squeezable liquid fruit drink/snack for kids in the United States.

Hybrid drinks add sparkle to a struggling beverage market
Hybrid juice drinks account for the biggest share of hybrid beverage sales

According to market research organisation Mintel, about two-thirds of consumers have tried a hybrid beverage, the most popular being nutrient-enriched water and carbonated juice. But beverage companies have been exploring many different options in an effort to add some fizz to a struggling market. Sales of carbonated soft drinks, juice and milk are all stagnating or in decline, so manufacturers are looking to boost these categories with trendy ingredients, including chia seeds, cold brewed coffee, pre- and probiotics and matcha green tea.

Ingredients companies are already poised with portfolios of such ingredients, many of which are used in natural energy drinks that cross categories with various botanicals, electrolytes or other functional ingredients. Naturex, for instance, provides caffeine-free ingredients like maca root, ginger and ginseng for use in energy drinks, and Dutch supplier Berrico is among those providing goji berries in juice form or extracts, another popular ingredient for manufacturers seeking natural options.

Energy drinks represent just 1% of soft drink sales, according to trade association Energy Drinks Europe, but could be an interesting niche for hybrid drinks, especially as consumers increasingly are seeking out natural, ‘clean’ energy-boosting beverages free from synthetic caffeine and sugar. Natural ingredients, juices, coffee and tea could be promising starting points for new hybrid drinks. In a 2015 survey, 41% of German consumers said they would pay more for drinks made with only natural energy boosters, and market research from Mintel suggests that a majority of consumers across Europe would like to see energy drinks made with natural colours and flavours.

Meanwhile, beverage companies have taken note of the trend toward plant-based dairy alternatives, and are looking for ways to capitalise on that trend beyond plain and flavoured milks. Starbucks is among the big names to have created a plant milk hybrid drink, with a coffee-smoothie mash-up launched in the United States in 2018, based on either coconut or almond milk with added plant proteins and cold brew coffee.

With declining juice sales in Europe and elsewhere, hybrid juice drinks could breathe new life into the category. They are the biggest segment of the hybrid beverage sales, accounting for 47% of the market, according to Mintel. Antioxidants, electrolytes, protein and energy-boosting ingredients are among the most popular additions, especially among younger consumers who are seeking healthier options with less sugar and fewer artificial ingredients than traditional soft drinks.

Related news

The new geopolitics of food: How to create a resilient, self-reliant industry

The new geopolitics of food: How to create a resilient, self-reliant industry

2 Jul 2026

Today's global food system is fragile and volatile and governments must respond by building “resilient self-reliance”, says the think tank, IPES-Food.

Read more 
Pistachio supply concerns spur diversified sourcing strategies

Pistachio supply concerns spur diversified sourcing strategies

1 Jul 2026

Geopolitical and climate-change shocks have highlighted the threats to pistachio supply, prompting alternative formulations and long-term sourcing solutions.

Read more 
Iceland’s chicken drumstick ice cream: Do novelty products really work?

Iceland’s chicken drumstick ice cream: Do novelty products really work?

30 Jun 2026

Iceland Foods has launched an ice cream that looks like a chicken drumstick. Fun innovation or food flop? We asked two brand experts for their verdict.

Read more 
Arla Foods and DMK Group merge in big-dairy development

Arla Foods and DMK Group merge in big-dairy development

24 Jun 2026

International dairy company Arla Foods and German farmer-owned business DMK Group are to merge, creating one of Europe’s biggest dairy cooperatives.

Read more 
PepsiCo investing to decarbonise crop production

PepsiCo investing to decarbonise crop production

23 Jun 2026

PepsiCo has signed a four-year agreement with Spanish fertiliser specialist Fertiberia aimed at reducing the carbon footprint of its potato and corn production across Europe.

Read more 
Greenpeace study finds microplastics in baby food products

Greenpeace study finds microplastics in baby food products

22 Jun 2026

A Greenpeace study found microplastics in nearly every sample taken from Nestlé’s Gerber and Danone’s Happy Baby Organics baby food plastic pouches.

Read more 
Mycotoxin warning for processed plant-based foods

Mycotoxin warning for processed plant-based foods

18 Jun 2026

Almost all plant-based food and drinks contain mycotoxins – naturally-occurring toxic compounds produced by fungi – and raw material monitoring should be extended, say researchers.

Read more 
Market watch: Allergen-free no longer a 'fringe niche'

Market watch: Allergen-free no longer a 'fringe niche'

17 Jun 2026

Allergen-free food and drink products are now “structurally embedded” into the wider health and wellness category, with significant innovation happening at retail and brand level, say experts.

Read more 
IFF prepares to sell food ingredients business to CVC

IFF prepares to sell food ingredients business to CVC

16 Jun 2026

With IFF set to sell its food ingredients division to CVC Capital Partners for €3.7 billion, we look at how mergers, acquisitions, and divestments are shaping the sector.

Read more 
US industry panel recommends new UPF policy definition

US industry panel recommends new UPF policy definition

11 Jun 2026

US-based Healthy Eating Research has proposed an ingredient-based approach to defining ultra-processed foods (UPFs) to make them easier to identify for policy purposes.

Read more