2009 has challenged beverage companies, and business in general, like few previous years have. Beverage Industry took a mid-year poll of some of the beverage industry’s top leaders in diverse product categories to find out how the industry is faring.
Most beverage companies have learned in 2009 that consumers are looking for value on top of the innovative flavors and stand-out packaging they came to expect in better economic times. Arizona Beverages, Lake Success, N.Y., is one company that is reaping the rewards of a value proposition, but the company didn’t adopt the strategy to deal with the current downturn â€” it took the unusual step of pre-pricing some of its products in the mostly upscale ready-to-drink tea category several years ago. What was a surprise success then has turned into an even bigger boon in today’s market.
With consumers spending less on beverages, energy drink companies are doing whatever it takes to keep them coming back for more. Whether it’s packaging changes, acquiring different distribution or producing new products, the category is staying afloat through the rough waters.
Fine dining, full-service, fast-casual and quick-service restaurants sometimes have different clientele, but at the end of the day, finding ways to entice consumers back to foodservice locations is the goal.
Like most beverage companies, Dr Pepper Snapple Group, Plano, Texas, can look back on the past year as one of the most unique and challenging in decades. But DPS faced the added pressure of being spun off from London-based Cadbury Schweppes last spring, leaving it to deal with the rapidly changing marketplace all on its own.