Instant Beverages Premix Market Assessment, By Product Type [Tea, Juice, Coffee, Soup, Milkshakes, Alcopops, Energy Drinks, Others], By Category [Ready-to-Drink, Do-it-Yourself], By Form [Powder, Liquid, Granules, Paste, Others], By Price Range [Value Seg

Instant Beverages Premix Market Assessment, By Product Type [Tea, Juice, Coffee, Soup, Milkshakes, Alcopops, Energy Drinks, Others], By Category [Ready-to-Drink, Do-it-Yourself], By Form [Powder, Liquid, Granules, Paste, Others], By Price Range [Value Segment, Premium Segment], By End-user [Individual, Commercial], By Distribution Channel [E-commerce websites, Supermarkets/Hypermarkets, Convenience and Departmental Stores, Speciality Stores, Others], By Region, Opportunities and Forecast, 2017-2031F

Global instant beverages premix market is projected to witness a CAGR of 5.4% during the forecast period 2024-2031, growing from USD 101.4 billion in 2023 to USD 154.44 billion in 2031. The market is experiencing remarkable growth, driven by changing lifestyles, the influence of social media, and a growing emphasis on dynamic culture. Beverage premix, once a niche product, has gained a lot of popularity in recent years.

The market is witnessing increasing demand for various premix of beverages. Key market players offer a wide range of options catering to different preferences of the consumers. The availability of various types, forms, and packaging of the product are further fuelling the market growth. The market is continuously expanding as the brands are continuously innovating and introducing new range of products to their existing product line.

With the increasing demand for beverage premix and introduction of new products, offering varieties, the global instant beverages premix market is anticipated to witness a rise during the forecast period.

Ease of Availability, Convenience, and Portability of Beverage Premixes

The ease of availability, convenience, and easy portability of the instant beverages premix are essential drivers that contribute to its growing demand. For instance, increased social get-togethers amongst different age groups, specifically the youth, has contributed to the increased popularity of the product as they can be directly consumed without any preparation and instantly served to the guests.

The instant beverages premix is available in diversified packaging, such as sachets, cans, tetra packs, and bottles, among others, and are being offered in various sizes, volumes, and flavors to cater to the needs of different types of consumers. The easy accessibility of beverage premix across various mediums is an additional driving factor that contributes to the growth of the market. Many popular beverage brands have now widened their range of products and added premix to their menu as the market is growing rapidly. Thus, increased popularity and ease of availability of the instant beverage premix in supermarkets, retail stores, specialty stores, and groceries have led to the growth of the market.

Long Shelf Life of Instant Beverages Premix as a Tool to Boost Demand

Instant beverage premixes have a longer shelf life and are comparatively easier to use and store. Even while shelf-life is best understood as a component of product development, there are still tactics that producers use to increase the shelf-life of the product, such as reformulation, invention, or renovation of the recipe, processing, packing, packaging, and storage.

Greater shelf life of the product enables the consumers to store the product and use it whenever and wherever they want, helping the brands expand their operations and delivery. Moreover, it helps manufactures to do bulk production without the ‘perishability’ concern of the product, reduce waste, and retain the taste of the product for a longer duration.

In June 2022, The Coca-Cola Company partnered with Brown Forman Corporation to launch ready to drink cocktails made with Jack Daniel’s Tennessee Whiskey and Coca-Cola. The beverage was first planned to be launched in Mexico in late 2022.

Health Issues Caused by Excessive Consumption of Beverage Premixes May Hinder Market Growth

The excessive consumption of instant beverage premix leads to health issues, as it contains excessive sugar levels and preservatives. As stated by National Library of Medicine (NLM), the concentration of calories and sugar in beverage premix can result in obesity and irregular gain in weight. Excessive gain in weight results in diabetes, high blood pressure, stroke, hypertension, and other negative health issues later in life. Not only this, but it also leads to higher insulin spikes, low fibre, low nutrient value, increased cravings, and higher glycaemic load.

North America Holds Dominance

North America is leading the instant beverages premix market due to the popularity of instant beverages like coffee and tea among the working population, which boosts the consumption of the instant beverages. Because protein based ready to drink beverages have sufficient nutritional value and are preferred by most people who engage in fitness activities and gym exercises, energy drinks also hold a sizable market share in the instant beverages premix industry in North America. To tap this segment of consumers, Starbucks announced the introduction of its very first energy drink, Starbucks BAYA Energy, in collaboration with Pepsi Co., which hit the market on 1st March 2022. The drink was introduced in three flavors: raspberry lime, mango guava, and pineapple passionfruit. It was crafted from caffeine which is naturally found in coffee fruit. Each can weigh 12-ounce and has 90 calories and 160 mg of caffeine. Thus, with this alliance, the instant beverages premix market is expected to show expansion in the long run.

Future Market Scenario

In October, 2023, the Coca‑Cola Company announced another global partnership with Pernod Ricard to debut an iconic combination of Sprite and Absolut Vodka as a ready-to-drink pre-mixed cocktail. The cocktail premix was announced by the company to be available to the consumers in different versions with Sprite Zero Sugar and Sprite, with the first launch planned for some specific European countries in initial months of 2024, including the Netherlands, the United Kingdom, Germany, and Spain.

Ocean Spray is a non-alcoholic beverage brand which is all set to enter the fast-growing ready to drink cocktail market through a partnership with Pernod Ricard USA, an alcohol manufacturer. The partnership took place in May 2023. Pernod Ricard’s Absolut Vodka and Ocean Spray’s Cranberry Juice have planned to launch a combination of Vodka and Cranberry, along with some natural flavours and crisp sparkling water, which is set to hit the market in the early 2024.

Key Players Landscape and Outlook

Global instant beverages premix market features a competitive landscape with several key players. Some prominent companies include The Coca-Cola Co., Unilever PLC, PepsiCo Inc., Nestlé S.A., Anheuser-Busch InBev, Molson Coors Beverage Company, Carlsberg Group, Asahi Group Holdings, Ltd., Keurig Dr. Pepper Inc., and Shakeaway Worldwide Ltd. These brands have established a strong presence in the market with a wide variety of instant beverage premixes catering to various consumer preferences. The outlook for these key players is positive, driven by the growing popularity of new varieties of premixes worldwide. As the market expands, innovation in instant beverage premix by type, form, and packaging will be pivotal for maintaining a competitive edge. Additionally, marketing strategies focusing on attracting new segment of consumers and continuous product developments are crucial in shaping the market landscape and brand positioning.

The expanding demand for instant beverage premix and convenience beverages have shown significant growth in past years. Various companies have entered into agreements with each other to launch new products and broaden their customer base. In 2022, The Coca-Cola Company also announced a partnership with Molson Coors Beverage Company to beat the summer with their newly developed product, Simply Spiked Lemonade, a Vodka-Lemonade drink, marketed in three flavours- signature lemonade, strawberry lemonade, and blueberry lemonade. The newly formulated drink captured the U.S. market in June 2022.

In June 2023, Pernod Ricard announced the acquisition of 90% stake in Ace Beverage Group (ABG) by Corby Spirit and Wine (Corby). ABG is the largest sole player of the rapidly growing Canadian ready-to-drink market, at value of USD 123 million. Corby will process the complete ownership of ABG through a series of two call options on the remaining shares, which are exercisable in 2025 and 2028.