David Rigg

Market Trends in Dairy & Beverage Food Service

Exciting innovation is capturing the beverage and dairy space in food service, with new launches and limited time offers including lemonades, milkshakes, smoothies, slushes, frozen treats, refreshers, coffee drinks, and more. Naturalness leads the way as a consumer expectation.

37% of consumers are interested in natural claims on QSR menus

Mintel 2024

Color is also becoming an expectation and a marketing angle for many brands. McDonald’s eye-catching Grimace milkshake went viral, and investors credited consumer enthusiasm for the iconic purple drink for that quarter’s impressive sales success. Drinks especially need to be visually appealing.

55% of consumers report that the visual appeal of food service beverages is important to them

Mintel 2024

With Mintel data showing that over half of consumers planning to dine out more often in pursuit of new experiences this year, restaurants and foodservice brands have the opportunity to leverage color to create exciting, unique, and engaging dairy and beverage products from milkshakes to refreshers to teas to coffee drinks.

39% of consumers are interested in meal deals that pair a beverage with a snack

Click here to learn more about color in baked goods and snacks.

What trends are taking over food service beverages right now?

Here are four trends we’re seeing in the market:

Tropical & Fruity Flavors

29% of consumers are interested in seasonal menu items or limited time offers

Mintel 2024

Adventurous consumers are seeking refreshment through tropical and fruity flavors, from sweet berries to tart citrus to exotic new profiles. Brands can embrace seasonal flavor profiles with deliciously bright colors.

Market Examples

Taco Bell’s Aguas Frescas

Strawberry Passionfruit, Peach Mango, and Dragonfruit Berry

Tim Horton’s Quenchers

Blackberry Yuzu, Orange Ginger

Chick-fil-A Cherry Berry

Tea, Lemonade, Sunjoy, Frosted

Spotlight Colors

Deep Berry Purples with Butterfly Pea Flower Extract

Rich Reds with Anthocyanins

Standout Coral with Watermelon-Rose™

Mood Pairings

31% of US consumers say drinks that provide functional benefits like energy or relaxation would encourage them to try a beverage with new flavors or ingredients

Mintel 2023

Mood-specific beverages can easily overlap with other trends as functions are supported or accented by certain flavor profiles. Brands can offer products that align with or boost certain mood states to appeal to tired, sad, bored, or curious consumers.

Market Examples

Starbucks Lavender Menu

Dunkin’ SPARKD’ Energy Berry Burst

Strawberry, Raspberry, Peach Sunshine

CosMc’s Sour Cherry Energy Burst

Spotlight Colors

Relaxing Lavender with Butterfly Pea Flower Extract

Relaxing Lavender with Butterfly Pea Flower Extract

Hot Red with Anthocyanins or SupraRed™

Fun & Funky

One third of consumers like to try new or unfamiliar menu items when dining out.

Mintel 2023

Consumers are drawn to unusual, exciting, and engaging products that they see on menus or on social media, and they love to share those products on their own channels with friends. Brands can create standout experiences with fun and funky limited time offerings.