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COVID-19 cuts into away-from-home beverage sales

The bottled water category was enjoying a decade-long streak of increasing sales. Diet soft drinks were making a comeback. Then COVID-19 struck, leaving the beverage industry wondering how long the pandemic will last and how it will impact all categories.

US retail sales from Information Resources, Inc., a Chicago-based market research firm, showed sales surging in several categories, but beverage companies, especially soft drink makers, reported slumping sales in foodservice….

Interest in products that support immunity, sleep and stress reduction likely will remain strong due to COVID-19, said Holly McHugh, marketing associate at Imbibe, a Chicago-based beverage development company. Expect to see a greater focus on familiar functional ingredients with established supply chains, like probiotics, turmeric and ginger for immunity and lavender, chamomile and green tea for mood enhancement.

Read the full article in Food Business News.

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