They're Fruitful — And Multiplying
Store brand products are expected to make up 50 to 60 percent of the frozen-fruit smoothie mix segment in the future.
Pop quiz: Which quick-service-restaurant (QSR) chain sells the most smoothies? If you guessed Jamba Juice or Red Mango, you're wrong.
The king of smoothies in the QSR channel is, in fact, McDonald's, says Christine Herrera, vice president of marketing with Placentia, Calif.-based Sunrise Growers~Frozsun Foods. Since 2010, the chain has offered real fruit smoothies in its McCafe line of products.
The rise of the smoothie in the QSR channel has helped immensely on the retail side. Herrera notes that as QSRs get more and more innovative with their smoothies, both consumer packaged goods companies and retailers are finding additional inspiration for expanding their frozen-fruit smoothie mix programs.
Right now, national brands dominate in the frozen-fruit smoothie mix segment. However, Herrera says she expects retailers' private brand products eventually to account for 50 to 60 percent of such products on retail shelves.
Trends with traction
Today, most frozen-fruit smoothie mixes consist of fruit and yogurt, Herrera says. But she notes that this reality is changing, as more consumers prefer — and are opting for — pure fruit smoothies.
"Based on the research we've seen, when making smoothies, over 60 percent of people don't add a dairy component," Herrera points out. "Therefore, we expect smoothie category sales to reflect shoppers' preferences for pure fruit and grow faster to meet that demand."
Understanding this trend, Sunrise Growers recently introduced an all-natural frozen-fruit smoothie mix made from 100 percent fruit, Herrera says. To prepare a smoothie, consumers simply add water and blend the product.
In terms of varieties, more and more brands are introducing mixes that are made from antioxidant-rich fruits, which offer "greater health and nutrition benefits," Herrera says.
But retailers shouldn't discount the classics. When it comes to the most-popular flavors, strawberry-banana still is king, Herrera says.
Retailers also should look to the foodservice channel for inspiration. Strawberry and banana — along with orange and mango — are the top fruit ingredients in smoothies here, says Mary Chapman, director of product innovation. But more and more restaurants are adding peach and blueberry to their ingredient list, which could spell opportunities on the retail side.
Trends on the horizon
As for what's to come, orange, cherry, coconut and blackcurrant juices — as well as flavored and regular lemonade and limeade — are expected to become quite popular flavors in packaged frozen-fruit smoothie mixes, says Daniel Granderson, an analyst with the Packaged Facts division of Rockville, Md.-based MarketResearch.com.
Moreover, retailers could take a cue from the Campbell Soup Co. and its V8 Splash line of fruit and vegetable juice blends.
Retailers also could take inspiration from the boom in protein shakes and bars for their frozen smoothie mixes, Herrera says. She expects to see more frozen-fruit smoothie mixes with added protein in the near future.
And with the growing popularity of natural energy drinks, retailers could start adding natural energy sources — such as green coffee extract or chocolate — to their smoothie mixes, Herrera says.
Other potential additions to fruit smoothie mixes could be coconut water, which adds electrolytes while reducing calorie count, and chia seeds, says Virginia Lee, senior research analyst with market research firm Euromonitor International, Chicago.
"The chia seed is the latest superfood, as it is high in fiber, omega-3 fatty acids, protein and antioxidants," she states.