While carbonates grew in India at 12.8 percent CAGR from 2010-15, the juice segment grew at 27.3 percent CAGR over the same period.
An increase in preventive eating habits and an overall rise in health consciousness have been creating new growth opportunities in the juice bar industry, evidenced by the fact that the industry size continues to grow. Juice and smoothie bars are a USD 2.2 billion industry nationwide, and that’s thanks in part to how millennials have embraced juicing as a lifestyle. The juice bar industry size will undoubtedly continue to grow over the next several years. Smoothie bars, realising the business potential are sneaking into small sites that other caterers cannot reach. Packaging healthy punch to boot, many brands are coming up to serve the health freaks.
“Compared to 5 years ago, today the number of people putting wellness at the forefront of their minds has risen meteorically. From marathons and cross-fit training to extreme fitness, meditation and yoga to green beauty products, health and wellness trends are more mainstream than ever. Health is no longer about going to the gym or following a particular diet, it is a lifestyle,” said Samrat Reddy, Founder of The Drunken Monkey.
In India with increasing awareness about deteriorating health due to carbonated drinks, the cola market has been posting declining revenues over the past few years and the market share is expected to decline further in the coming five years. Increasing awareness on the health effects of carbonated drinks has certainly made some consumers rethink about the consumption of colas. While carbonates grew in India at 12.8 percent CAGR from 2010-15, the juice segment grew at 27.3 percent CAGR over the same period, KPMG states.However, the unorganised market of fruit juices sold at smaller roadside outlets has been in existence for about a couple of decades. But there has always been concerns on the quality, hygiene and the amount of sugar added by the roadside outlets.
“Now, consumers are also shifting from the packaged fruit drinks to the fresh fruit segment as it is healthier and does not contain added preservatives or artificial flavours. India is the second largest producer of fruits after China,” adds Reddy. However, the demand is still not met in the smoothie segment in India, leaving a huge gap in the market waiting to be filled. The juice market in India registered a CAGR of 15-20 percent in the last six years.
Similarly, seeing the smoothie trend emerging in the Indian market, Coffee By Di Bella Exclusive has witnessed an huge upsurge in the smoothie bowl demand. One of those trends is the smoothie bowl, which often contains super food ingredients, including chia seeds, flax seeds, goji berries, cacao nibs and hemp protein.Adding more to it, Rahul Leekha, Director of Coffee By Di Bella said, “The smoothie bowls are low sugar and are targeted towards fitness enthusiast but as they look visually appealing, we see a number of guest ordering them at the Coffee By Di Bella outlets. As more and more people in the city are becoming conscious about what they eat, the bowls make a wholesome delicious meal and are preferred by diners across ages.”
Thus, smoothie chains are a great way to add additional profit for any restaurateurs. They don't take a lot of space or equipment, and one can cater to their customer's nutritional needs and whims in just moments.As more and more commercial players move into the business, competition is emulating the differentiation that has been so successful in the coffee market.