DreamPak’s international sales director tells Ben Bouckley that brands must differentiate to grow in a crowded US beverage enhancers fixture and tips tea, coffee and smoothies to lead the charge.
DreamPak is a contract beverage manufacturer and supplier of liquid drink mixed for dietary supplements, and has been at the forefront of developing liquid enhancers as a category in the US.
The company manufactures Crush and Hawaiian Punch water enhancers, see picture below, for the Jel Sert Company, a licensee of Dr. Pepper Snapple, which are available across the US.
Speaking to BeverageDaily.com after a speaking slot at Zenith International’s InnoBev Global Soft Drinks Congress in Lisbon last week, Sara Gamay says in this podcast: “We really see coffee, liquid tea concentrates, creamers with real cream, smoothies as the new categories for potential.”
Gamay notes a trend towards functionality in water enhancers in the US beyond energy and sports, with beauty and weight loss just two benefits that brands could work to unlock value.
'Brands will have to differentiate in crowded US category' - Sara Gamay
Citing Zenith’s 2013 statistics, Gamay says that there are now circa. 35 brands and 150 varieties now jostling for shelf space in a US market worth around $400m led by the likes of Kraft's Mio and Coke's Dasani Drops, which is (forgive the pun) a real squash.
“Brands are going to have to differentiate. We see a lot more coming in in terms of natural – natural colors, natural flavors and natural sweeteners, some requests for organic and the functional,” she says.
“We’re also seeing some dietary supplements in that format, as well as milk enhancers, with flavors, vitamins. So it will be interesting to see how that category shakes out in the US,” Gamay adds.
As a technology led company, as well as a contract manufacturer, Dreampak has numerous patents, and is looking to partner brands to introduce new concepts.
“That’s working out quite well and I think you’ll see some concepts come out soon in the US market,” Gamay tells Bouckley.