In 2023, which new food and beverage product impressed you the most? Was it Luckin's annual hit "Sauce Aroma Latte"? The "self-collaboration" braised beef noodles with iced tea flavor? The "small but beautiful" Starbucks \Intense/ series coffee? Or perhaps you've already said goodbye to the old and welcomed the new, leaving the past year's memories behind? No matter. Before 2023 ends, FBIF has reviewed thousands of new food and beverage products from around the world and summarized 5 characteristics of this year's product innovation: AI in product design, "freshness" opening new avenues, easier nutrient supplementation, the popularity of low-caffeine coffee, and food that heals emotions. This article will introduce these 5 major trends in detail, as we step into the new year of 2024.
Generating 100 Formulations in Seconds AI Sweeps Food & Beverage How fast can AI be when applied to product design? The answer: "Generate 100 formulations in seconds" and "Complete 1,000 packaging designs in an hour." This year, generative AI went viral globally, and food and beverage brands showcased their speed. In June, Japan's Sapporo Breweries, in collaboration with IBM Japan, developed the N-Wing Star AI system. With this AI, simply input a rough concept and a few keywords describing flavors, and the system can generate 100 formulations within seconds. Staff then select the desired ones and make adjustments. Sapporo Breweries stated: "The N-Wing Star system can create unexpected formulations and ingredient combinations." They also found that the time spent testing raw materials and formulations was reduced by approximately 75% and 50%, respectively. They expect that overall new product development time will be reduced by about 50% after using the system.[1] Sapporo's new product, Otoko Ume sour plum cocktail, had its formulation generated by AI. Image source: Sapporo Breweries official website Similarly, Japan's AI service provider PLUG AI has been using AI to "accelerate" the industry since 2022. With PLUG AI's Package Design AI technology, users simply upload image materials, and the AI can generate 1,000 packaging designs within an hour. What's more impressive about PLUG AI is its ability to predict which design among many will be most popular using thermal imaging and statistical dispersion analysis, reducing trial-and-error costs. With this technology, PLUG AI helped Japanese snack brand Calbee adjust the packaging for its new product Crunch Potato, resulting in a 135% increase in sales. Calbee's "Crunch Potato" new series Image source: PLUG AI Beyond packaging, some companies have even "outsourced" product design entirely to AI. Beck's beer, under AB InBev, did just that. In April, Beck's launched Autonomous, a canned beer commemorating the brand's 150th anniversary. From formulation to packaging design, even the advertising copy, everything was "discussed" with AI. Beck's Autonomous beer Image source: Beck's official website However, this groundbreaking product only offered a lackluster combination of "yeast, malt, water, and hops" for its ingredients. This proves a point: at least at this stage, AI cannot make product designers' jobs obsolete. Currently, AI applications in product development have also landed in the plant-based sector. AI's learning and creative capabilities can help plant-based brands develop products that highly replicate the flavor, texture, and color of traditional foods. This year, Kraft Heinz, in collaboration with food tech unicorn NotCo, launched three plant-based products: NotCheese (plant-based cheese), NotMayo (plant-based mayonnaise), and NotMac&Cheese (plant-based mac and cheese). These products were closely tied to NotCo's AI platform, Giuseppe. NotCheese plant-based cheese Image source: Kraft Heinz official website NotCo uses the Giuseppe platform to crawl vast amounts of plant ingredient data, analyze protein structures at the molecular level, score each matched plant-based formulation, and provide optimization suggestions to better replicate traditional foods. Plant-based foods, aligning with health and environmental trends, are expected to see significant growth in the future. AI will enhance the ability of plant-based foods to replicate traditional foods, accelerating the industry's development.
"Freshness" Reaches New Heights Consumers' increasing demands for "health" and "quality" have forced brands to pursue extreme freshness in raw materials. When raw material freshness can no longer be improved, what other aspects can food and beverage products enhance? In 2023, brands answered with "technology applications" and "packaging." In May, Baixiang launched a coriander noodle product called "Super Fragrant Coriander Noodles." Why five "fragrant" characters? Because the instant noodle package includes a seasoning pack containing five whole fresh coriander plants. Five whole coriander plants Image source: Xiaohongshu @吃货小婷婷 This coriander pack is not only generous but also truly fresh. It uses FD freeze-drying technology, preserving the texture, color, and nutritional value of fresh coriander. After cooking the noodles, a large pack of coriander is sprinkled on top, releasing a strong coriander aroma that delights coriander enthusiasts. Not only can the coriander in instant noodles be fresher, but Hema is also making instant noodles fresh from noodles to soup and toppings, achieving a freshly made taste. In December, Hema launched two frozen instant noodle products: Original Chicken Soup and Preserved Vegetable and Pork. Using flash-freezing technology, Hema freezes the prepared broth, noodles, and toppings together, then packages them. Consumers simply boil the noodles in water for a few minutes to enjoy a bowl of springy noodles in a delicious chicken soup. Hema frozen instant noodles Image source: Hema Baixiang and Hema have both innovatively applied preservation technology to categories that previously had low freshness requirements, creating innovative products. If eating fresh is covered, drinking fresh cannot be left behind. In 2023, multiple packaged beverage brands reached a consensus on freshness: beverages made fresh by consumers themselves are the freshest. The approach is to hide the "essence" of the drink in the bottle cap. This year, Yili's mineral water brand Yike Live Spring launched a "fresh-brewed tea" product. To avoid oxidation and flavor loss in unsweetened tea during storage, Yike Live Spring developed a "twist-cap freshness-locking cap patent technology." This technology stores freeze-dried tea powder in the cap. When drinking, simply twist the cap to release the powder into the water, creating a fresh tea beverage. Yike Live Spring fresh-brewed tea Image source: Yike Live Spring American beverage brand Karma Water launched a new energy drink this year with a press-type mechanism. The cap uses a patented "Push Cap" technology, which seals beneficial ingredients in the cap to maintain activity. When ready to drink, press the cap to release the "essence" into the water, shake gently, and you have a vibrant energy drink. How to use Karma Water's patented cap It turns out that with creative thinking, freshness can always be new.
Nutrient Intake? 1 Second Is Enough! How long has it been since you had a proper meal with a balanced mix of meat and vegetables? Poor dietary combinations directly lead to imbalanced nutrient intake. For example, regarding vegetables, Tian Jianxin, Deputy Director of the Food Department of the National Health Commission, recently stated that the daily fresh vegetable intake of Chinese people is 47% below the recommended amount.[2] In neighboring Japan, insufficient vegetable intake is also a problem. The 2019 National Health and Nutrition Survey in Japan showed that the average daily vegetable intake was 280.5 grams, still about 70 grams short of the "350 grams per day" standard proposed by the Ministry of Health, Labour and Welfare in 2000.[3] Life is so busy that sitting down to eat fresh vegetables at mealtime is a luxury for many young people. "Why don't I have the superpower to consume vegetables in 1 second?" many young people cry out. Don't worry, Ito En has indeed launched a vegetable powder with such "superpowers." In the product's promotional video, Ito En heavily promotes the "1 second" aspect. Consuming vegetables in just 1 second Image source: Ito En official How do they make it possible for consumers to intake vegetables in 1 second? Ito En's approach is to turn vegetables into "seasonings" by making them into edible powders packaged in stick-like sachets. These sachets are portable, allowing consumers to carry them and open them at any dining occasion. When eating out, consumers can sprinkle the powder on any food, without affecting the original dining experience, while supplementing vitamins, dietary fiber, and other nutrients—two birds with one stone. Ito En vegetable powder Image source: Ito En official Some brands have even bolder ideas for nutrient supplementation. Since indulgent eating is human nature, why not develop nutritional products that cater to that nature? Thus, multiple brands have added nutritional elements to foods and beverages traditionally considered unhealthy. UK's alcohol-free beer brand Lifted Beer saw the contradictory desire among fitness enthusiasts to supplement protein while also craving beer, so they launched a high-protein alcohol-free beer. This beer not only replicates the aroma of malt and hops but also contains 10 grams of plant protein per can. Lifted Beer high-protein alcohol-free beer Image source: Lifted Beer Imagine a muscular man finishing his workout and chugging not a protein shake but a can of "beer" in the locker room. Even more surreal, this "beer" won't give him a "beer belly" but will help him "build muscle." Additionally, high-protein ice cream, high-protein chips, high-protein popcorn, and other products have emerged this year. Many snacks previously unrelated to "nutrition" have joined the ranks of nutritional foods. Young people, increasingly unwilling to compromise on what they eat and drink, are becoming harder to please. Delicious food must be healthy, and healthy food must be palatable. It is under this "want it all" demand that nutrient supplementation methods have gained greater imaginative space.
Coffee and Tea You Can Drink Before Bed, Here They Come! In 2023, coffee suddenly became gentler. Coffee brands that once plastered keywords like "extra strong" and "refreshing" all over their products began reducing caffeine content to give people a peaceful sleep. We observed that both domestic and international brands launched multiple low-caffeine or even decaffeinated products this year, in ready-to-drink coffee, freshly ground coffee, and concentrated coffee liquid. The niche demand for "enjoying coffee at night while still sleeping well" has been increasingly recognized. In October, Asahi's RTD coffee brand WONDA launched a black coffee product called SLOW TIME COFFEE, using the "city roast" method (medium-dark roast). This reduces caffeine content by 55% compared to other WONDA products while retaining coffee flavor, avoiding the weak taste often associated with low-caffeine coffee. WONDA SLOW TIME COFFEE Image source: WONDA The reason WONDA decided to become "gentler" is that brand research found that people's coffee-drinking habits changed after the pandemic. They not only drink during work but have also developed a habit of drinking at night. However, a significant portion of the population is caffeine-intolerant. According to a report from Japan's University of Tsukuba, 26% of the Japanese population is caffeine-intolerant.[4] So WONDA targeted this potentially huge market and launched this black coffee that can be safely consumed before bed. To soothe consumers' fear of caffeine disrupting their sleep, WONDA also placed a set of healing comics on the packaging. A middle-aged man in a cap stands with one hand on his hip at night, elegantly sipping coffee, then says to the "camera," "Take it easy!" WONDA SLOW TIME COFFEE Image source: WONDA This packaging is quite unlike WONDA's usual style. Previously, WONDA products had a straightforward design with bold colors, often featuring large coffee beans or a big slogan like "Morning Shot" to remind consumers that a cup of WONDA in the morning keeps you alert all day. Asahi's WONDA coffee products Image source: Asahi Not only coffee has become gentler, but also caffeinated tea beverages with refreshing effects. In October, CHALI launched two flavors of tea bags: peach and green grape. Unlike regular tea bags, these use carbon dioxide supercritical decaffeination to reduce caffeine content by over 85%. The primary consideration for launching this product was "sleep." On the promotional poster, CHALI particularly highlighted the selling point of "freedom to drink at night." CHALI decaffeinated oolong tea Image source: CHALI official Genki Forest also paid attention to consumers' sleep issues with its new barley tea launched in April. In fact, barley tea is made from barley and naturally contains no caffeine. However, Genki Forest still emphasized "0 caffeine" and "safe to drink morning and night" as selling points, reflected in the promotional posters. After all, with unsweetened tea becoming a daily staple, there is a new demand for a tea that can be consumed before bed without affecting sleep. Genki Forest barley tea Image source: Genki Forest Tmall official flagship store
Food Can Also Be Your "Healer" In 2023, "dopamine color schemes" became a hit. The reason for its popularity is that it uses high-saturation colors to evoke positive emotions in young people. Emotional value has become unprecedentedly important in stimulating consumer spending. According to data from DT Business Observer's "2023 Youth Consumption Survey," among the reasons for "significantly increased spending," "provides emotional value" ranked second, accounting for 49.3%, meaning nearly half of consumers are willing to spend more for emotional value.[5] In 2023, Japan's AEON brand Topvalu created a new beverage category that is neither alcoholic nor soft drink: the new sensation drink Craftel 19 Nineteen. Craftel 19 Nineteen's main selling point is "let you taste your own emotions." The series includes 7 drinks, corresponding to 7 flavors and 7 different colored packages. Topvalu's Craftel 19 Nineteen Image source: Topvalu YouTube video screenshot "Ambiguous" emotions are as elusive as the light blue of the bottle; "drowsy" emotions are like the mango and lemon blend, carrying a tropical laziness. Japan's candy brand Kanro also gave emotions a taste this year with its "Sky Color Soda Candy," directly linking flavor to emotion. However, "Sky Color Soda Candy" is more subtle than Craftel 19 Nineteen. It binds the sky to emotions: when you see different skies, you experience different emotions and recall the corresponding flavor of the candy. Kanro's "Sky Color Soda Candy" Image source: PR TIMES A cloudless sky is a refreshing soda flavor, a sunset sky is a warm orange flavor, and dawn is a calm grape flavor. If AEON and Kanro are emotional healers, then Lotte is a rational analyst. Based on consumer surveys and analysis, Lotte launched a sweet and salty soy sauce-flavored chocolate in Japan this year. This chocolate, which might initially make people frown, was designed to help alleviate anxiety. Lotte conducted a survey on "what flavor of food do you most like to eat to relieve anxiety." They found that a significant portion of consumers prefer "salty and hard" foods when anxious, and after eating salty foods, they crave sweet foods to comfort themselves. So why not make a chocolate that is both salty and sweet? Thus, Lotte collaborated with a rice cracker manufacturer to create this "soy sauce flavor" chocolate. The chocolate part is made from milk chocolate mixed with soy sauce powder, and the filling is a soy sauce-flavored rice cracker made from 100% Japanese domestic rice. Lotte's "soy sauce flavor" chocolate in Japan Why choose rice crackers for the filling? Because preliminary surveys in Japan found that 38.4% of consumers prefer rice crackers when stressed, ranking third. Lotte used data analysis to solve consumers' psychological dilemmas.
Conclusion Looking back at product innovation in the food and beverage industry in 2023, companies have been both "bold" and "meticulous." Some brands boldly applied AI technology to product design, while others met subtle consumer needs through product innovation. As we approach 2024, with technological support and even more detailed consumer insights, what new stories will food and beverage innovation tell? We look forward to it.
References: [1] Sapporo Now Using Artificial Intelligence to Develop New Products, March 4, 2023, Tech Times [2] National Health Commission: Chinese residents' dietary structure still has unreasonable aspects; dairy products and fresh fruits are 90% below recommended amounts, November 2023, Red Star News [3] Based on the 2019 National Health and Nutrition Survey, October 2020, Ministry of Health, Labour and Welfare [4] Daily beverages such as alcohol and coffee and Japanese genetics, University of Tsukuba [5] "2023 Youth Consumption Survey," December 2023, DT Business Observer