Beverage Industry Trends Shaping 2024

It's easy to dream of running a beverage business. The craft of creating perfect drinks, the buzz of the morning coffee rush, the connections made between bartenders and regulars, and of course, the opportunity to experiment with all sorts of innovative beverages make the job incredibly appealing.

Some people go to mixology school, work in various establishments, and then venture out to start their own beverage business. Others are passionate home brewers with business savvy who jump into beverage entrepreneurship when they need a career change. Others still dedicate themselves to creating signature drinks for events and specialty occasions.

Whichever way you enter into beverage business ownership, it's always important to stay up to date on trends in the drink industry. We'll provide some market insights and beverage trends that can help you take your business in the right direction.

So, fire up your espresso machines and polish your mixing glasses! It's time to explore the waves of innovation that are making 2024 the most exciting year yet for beverage lovers everywhere.

Beverage industry trends

1. Plant-based milks

The alternative milk market continues to expand with innovative new options and improved formulations. The global plant-based milk market will be worth $47.55 billion by 2030, growing at a CAGR of 11.7%.

Key aspects of this trend include:

• Oat milk dominance in coffee culture, with premium barista-specific formulations

• Creative new bases like pistachio, macadamia, and cashew milk

• Hybrid blends combining multiple plant sources

Oatly has revolutionized the category with barista editions, while Califia Farms continues innovating with its various nut milk blends.

2. Mocktails and non-alcoholic spirits

The "sober curious" movement has sparked a revolution in sophisticated non-alcoholic beverages. The non-alcoholic drinks market is projected to reach $30 billion by 2025.

Key aspects of this trend include:

• Premium non-alcoholic spirit alternatives, like non-alcoholic gin, tequila, and vodka

• Craft zero-proof cocktail programs

• Botanical-infused beverages

• Ready-to-drink non-alcoholic cocktails

Seedlip, the world's first distilled non-alcoholic spirits brand, has paved the way for premium alcohol-free alternatives, while Athletic Brewing Company has revolutionized non-alcoholic craft beer.

3. Fermented beverages

Probiotic and fermented drinks are seeing explosive growth as consumers seek gut-healthy options. The global kombucha market alone is expected to reach $5.9 billion by 2029.

Key aspects of this trend include:

• Craft kombucha varieties

• Probiotic sodas

• Probiotic lemonade

GT's Living Foods remains the category leader in kombucha, while newer brands like Health-Ade are introducing fun, innovative flavors.

4. Low sugar and health-conscious options

Consumers are increasingly seeking beverages that deliver on taste while maintaining health benefits. The sugar-free beverage market is expected to grow at a CAGR of 12.5% through 2031.

Key aspects of this trend include:

• Natural sweetener alternatives

• Functional benefits (adaptogens, nootropics)

• Water enhanced with vitamins

Brands like Olipop are reinventing soda with prebiotics and plant fiber, while Liquid Death makes water cool with fun and edgy marketing.

5. Sustainable and locally sourced ingredients

Environmental consciousness is driving consumer preferences toward locally sourced and sustainable beverages.

Key aspects of this trend include:

• Local ingredient sourcing

• Seasonal beverage programs

• Farm-to-glass initiatives

• Transparent supply chains

• Support for local farmers and producers

Counter Culture Coffee sets the standard with their direct trade relationships and transparency reports.

6. CBD and functional beverages

The CBD beverage market is experiencing rapid growth, with new products launching regularly. The global CBD drinks market is expected to reach $14.6 billion by 2026.

Key aspects of this trend include:

• CBD-infused sparkling waters

• Relaxation and mood-enhancing drinks

• Sleep-promoting beverages

Recess has become a category leader with their hemp-infused sparkling waters, while Vybes offers CBD drinks focused on mood enhancement.

7. Classic cocktails revival

Traditional cocktails are seeing a resurgence with modern twists and premium ingredients.

Key aspects of this trend include:

• Trendy takes on classics like martinis and negronis 

• Premium ingredient-focused classics

• Ready-to-drink classic cocktails

Companies like On The Rocks have successfully bottled premium classic cocktails, while bars like Death & Co have elevated traditional recipes.

8. Celebrity brand dominance

Celebrity-backed beverage brands are reshaping marketing and consumer engagement in the industry.

Key aspects of this trend include:

• Emma Chamberlain's Chamberlain Coffee

• Kendall Jenner's 818 Tequila

• KSI & Logan Paul's Prime Hydration

• George Clooney's Casamigos

These brands leverage social media influence and personal brand alignment to capture market share, with Prime Hydration seeing remarkable success through influencer marketing.

9. Sustainable packaging

Packaging sustainability has become a critical focus for beverage brands and consumers alike.

Key aspects of this trend include:

• Biodegradable packaging materials

• Recycled plastic, aluminum cans, and reusable container programs

• Package-free dispensing systems

Just Water uses plant-based and paper materials for their packaging, while Loop's reusable packaging system is changing how beverages are delivered and consumed.

Stay ahead of the trends

From plant-based alternatives to celebrity-backed brands, there's never been a more exciting time to be part of this dynamic market. Whether you're an established beverage business owner or just starting to explore the possibilities, these trends offer valuable insights into where consumer preferences are heading.

Remember, you don't need to implement every trend – choose the ones that align with your brand's values and your customers' needs. Start small, experiment often, and always keep an eye on what may be coming next in the industry. After all, the most successful beverage businesses aren't just following trends – they're helping to create them.