Nature vs nurture

Related tags Soft drinks Nutrition Soft drink Juice

Juices and smoothies are booming as healthy alternatives to fizzy drinks, but should producers go functional or stay au naturale? asks Gail Hunt

Not many markets are enjoying the growth demonstrated by juices and smoothies of late, which is probably why the sector continues to see such frenzied new product development (NPD) activity. TNS figures to January 29, 2006 show the £829M market for juices and smoothies is growing at double the rate (7.6%) of total food and drink.

Healthier living trends may have hit the carbonated soft drinks market hard but not everything in the juices and smoothies garden is rosy in terms of meeting these needs. Many producers knock their competitors' products for not being healthy enough or for making claims that they don't think stand up.

While some have added functional ingredients to their product ranges, others are at pains to include only fruit in their drinks. And let's not forget the whole superfood status that pomegranates have achieved, seen very successfully in brands such as Pomegreat, along with the whole berry thing that is the current fashion trend. Interestingly, this is also an area which is approached differently by many brands.

The Berry Company, for instance, launched its range of five berry fruit-based drinks on the back of the fruits containing natural antioxidants, and donates 1p in every pack to Heart Research UK. The Sparky new brand, called Sparky Berries (sic​), comprises blueberries, cranberries and raspberries mixed in grape juice and contains 20% omega-3s.

An increasingly health conscious consumer has generally welcomed functional foods - especially drinks - but it is thought that new formats will have to be found to continue to grow the market. Recent launches have included Tropicana's Essentials with Benecol range and the Sirco drink from Provexis to aid heart health.

These types of drinks go against the grain for companies such as Innocent Drinks, however, which stresses the 'nothing but nothing but fruit' message and states that its smoothies are 'Nature's way of keeping you healthy. And the reason you've never seen a monkey on a rowing machine'.

"Some people take the science route, but we have stuck with the more natural one," explains co-founder Adam Balon. And very successful this route has been for the company that sells at least one million smoothies a week across Europe and growing - Innocent is now the third biggest selling chilled fruit juice drink in the UK.

Food giant PepsiCo straddles the divide in terms of this argument with its extensive range of soft drinks in this area. The company markets PJ Smoothies as well as Tropicana and Copella apple juice. Trade marketing manager Cara Beeby says it will continue to respond to changing consumer needs.

"Our portfolio now includes Tropicana Essentials, juice with added ingredients for health benefits, and also new Tropicana Go! - the first ever mainstream juice drink for children to contain no nasties whatsoever," she says. At the same time, Beeby talks about PepsiCo's Tropicana Essentials functional range of products currently showing strong growth.

According to the functional drinks newsletter from Zenith International, immune health has overtaken weight management, vitality and beauty as the principal focus of functional drinks innovation in the first half of this year. Key immune health priorities being targeted by companies are digestive health, physiological stress and cellular function.

Consumers are evidently responding enthusiastically, says the newsletter, with a marked rise in the sales of drinks based on the following: probiotics; green tea; antioxidant 'superfruits' such as pomegranate, acai and acerola; or other fruits such as blackcurrants, blueberries and cranberries that can be marketed for their immune benefits.

Of the 120 new products tracked by Zenith in the first half of 2006, nearly a quarter placed emphasis on their potential to strengthen the immune system. Alongside this increase in the number of products addressing specific health issues, there has also been a substantial level of investment in functional beverages designed for specific age groups and in beverages with a more natural image.

However, one thing that has put a bit of a spanner in the functional drinks works recently is that legislators have woken up to their existence and started to look at them closely. Legislation has been passed requiring all foods with health and nutritional claims to fit specific profiles approved by the Food Standards Agency and its European counterparts. The European Council is now reviewing the legislation and the law could be enacted by September.

Some believe that there are so many messages on health that companies have to ensure claims are both concise and credible. "It is a cluttered and a confusing category and it is certainly down to brand owners to get better at explaining things," says Fiona Vigar, marketing director for Sirco, the functional drink that addresses 'sticky' blood or platelet aggregation.

The drink contains Fruitflow, a bioactive extract from ripe tomatoes that helps keep the blood healthy and boosts blood flow, which is vital for maintaining a healthy heart.

In May, Unilever UK Foods launched AdeZ, a range that combines a blend of fruit juices and soya. Fortified with vitamins and minerals, the drink is said to help maintain a strong body. Dairy free and made with non-genetically modified soya, AdeZ has vitamin C, contains as much calcium as a glass of milk and one-third fewer calories than most regular fruit juice drinks. It is low in sugar and fat and contains no preservatives. "We expect the launch will make soya much more accessible, everyday and mainstream, and drive growth of the juice category," says Mike Knowland, AdeZ business manager at Unilever.

As some companies are adding ingredients to their ranges, others are removing them, with elderflower cordial creator Belvoir Fruit Farms recently taking this road. The company re-launched its range of drinks as 100% natural following plans to remove all preservatives "as a direct response to customer comment", explains md Pev Manners.

There is no doubting the incredible NPD activity in the soft drinks arena, but some still harp on about half-truths employed by some to mislead the consumer. In this crowded market, many feel there is a danger of turning consumers off with ever-more lavish health claims.

So could organic options be another way to tap into the area of 'natural goodness'? Marketing director at RDA Organic Karen O'Neill believes there is an active drive towards organics on the basis of health and taste, whereas three years ago, any such move would have been on the back of food scares. "Consumers are becoming more discerning and far more informed about food products and so they are demanding a healthier soft drink," she says.

"Sampling is key to growing the organic juice market," says Andrew Shupick, md of Grove Fresh, a company that introduced the first chilled organic prune juice earlier this year and which makes the vegetable juice range V Juice.

"When consumers taste organic juice they rarely go back to standard products," he says. "Not only is the taste so much better but consumers are reassured that there is no possibility of the juice containing any traces of artificial pesticides or fertilisers."

It is thought that functional drinks are nearing saturation and that in a year's time we will not see many of today's brands remaining. Others believe that as long as the trend for healthy living continues then soft drinks with or without added functional ingredients will meet this demand better than many products.

As Innocent puts it, smoothies have 'all the virtue of a long jog but with none of the chaffing'.

Whether it is smoothies or juices, these drinks should suit the cash rich, time poor consumer who wants to stay fit, well into the foreseeable future. FM

Related topics NPD

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