Research from Kerry has revealed that chocolate is the top festive beverage flavor this winter, with consumers seeking indulgent, dessert-inspired tastes that appeal to their sense of nostalgia. 

Meanwhile, with consumers seeking functional health support, the company’s Trendspotter analysis also identified matcha as an up-and-coming flavor due to its link to physical and mental health. 

Examining over 200 limited time offerings (LTOs) across Europe and Russia, the new Art of Taste and Nutrition festive beverage analysis for 2021 categorizes top platforms and flavors while examining future trends and influences worldwide. 

According to Kerry’s research, the top three LTO trends are:

• Festive nostalgia: As the festive season approaches, consumers crave nostalgic flavors to get them in the holiday mood. Chocolate is followed by gingerbread, caramel and cinnamon. 
• Seasonal fruit flavors: The demand for authentic fruit taste is apparent, with seasonal flavors such as orange coming to the fore with consumers looking for more health-focused choices. 
• Dessert-inspired creations: Indulgent beverage offerings are persistently popular during the festive season, with dessert-inspired creations appearing across more LTOs, including rocky road, fudge brownie and red velvet. 

Tapping into familiarity 
Aoife McDonald, foodservice marketing director for Europe and Russia at Kerry, says: “Chocolate is back on top in the lead up to the festive season.”

Consumers gravitate toward comforting flavors, with trends pointing to dessert-inspired beverages.Kerry’s analysis shows an increase in hot chocolate beverages during the festive season, consisting of 25% of LTOs captured. “However, consumers are seeking something new and exciting in their beverages and we saw innovation in this space around pairing chocolate with flavors like cherry and cinnamon,” underscores McDonald.

“We have seen a rise in dessert-inspired beverages, but brands need to focus on creating an LTO that is not only indulgent but adds up to an overall experience for the consumer. The festive season calls for an extra spark of magic, with consumers looking for a beverage that is attractive to look at and post on social media,” she comments. 

Meanwhile, outlets are creating premium offerings by linking flavors with well-known confectionery brands for Christmas, and McDonald predicts that consumers will seek more of these experiences in the future. 

“This can be created in numerous ways, including flavor combinations, packaging, and even added extras to create a truly premium LTO for the holiday season,” she adds.

Wins for immunity and mood
As the consumer trend for health and wellness continues to grow amid the COVID-19 pandemic, consumers are seeking out flavors that have immunity and mental health benefits, explains McDonald.

Kerry’s proprietary research into functional beverages for mental well-being found that the top three most important health concerns for consumers are immunity, mental health and calming and relaxation. 

“Matcha was shown to have a calming effect on consumers with 65% accepting matcha as a calming/relaxing ingredient within beverages. We have seen this flavor appear in LTOs this year combined with white chocolate,” she notes.

Last November, Coralie Garcia Perrin at Kerry predicted that consumers would “gravitate toward traditional options that bring a strong sense of comfort to stressful days.”Indulgent beverage offerings are persistently popular during the festive season, says Kerry.

Future trends shaping 2022
With thoughts turning to the new year, Kerry’s proprietary insights tool Trendspotter predicts more demand for local dessert-inspired creations, including shortcake in the UK, cinnabon in Sweden and croquembouche in France.  

“With trends constantly evolving, it is important to stay ahead through innovation in 2022. With brands seeking to capture Christmas cheer and create winning concepts, Kerry can identify the new flavors and formats that will win consumer preference by leveraging our insights and integrated solutions,” McDonald underscores. 

Last month, Kerry reported that flavors such as pumpkin spice, caramel and chocolate remain prevalent, and there is a steady demand for infusing them with health benefits and plant-based offerings.

Kerry’s consumer research also recently revealed that botanical extracts generate several emotions, including energy, excitement, creativity and fun.