Keurig Dr Pepper Pins Down Beverage Trends: Functional Drinks & Personalization on the Rise
Keurig Dr Pepper (KDP) finds that today's U.S. beverage landscape is being shaped by generational shifts, increasing demand for personalization and a growing desire for wellness.
In its inaugural State of Beverages Trend Report, KDP combined proprietary KeurigIQ data from Wi-Fi-enabled brewers with insights from national surveys conducted by The Harris Poll, Ipsos and Morning Consult, covering over 40,000 U.S. adults.
From these insights, the company identified several beverage trends:
Function, Flavor & Wellness Top of Mind
Today’s consumers want drinks that taste great and support well-being — they’re generally not willing to purchase beverages just for their health benefits, according to the company. Sixty-six percent look for functional beverages that promote physical health, while 59% prefer those with essential nutrients. Within the better-for-you category, gut health, protein and low-sugar are the priority.
Younger consumers are leading the trend toward low- or no-alcohol options. Sixty percent of Gen Z who are over 21, for example, said they are interested in exploring alcohol alternatives, and 58% of all adults prefer non-alcoholic drinks when socializing.
Personalization & Premiumization on the Rise
Sixty-five percent of adults, led by Gen Z and millennials, customize their beverages, adding everything from sweeteners and creamers to fruit and syrups. Bold flavors are currently in high demand, with 44% of Americans trying a new beverage each month.
For many, packaging matters as well: 42% said an attractive design makes a drink feel more “premium.” Nearly half (46%) of consumers are willing to pay more for beverages they believe are premium quality.
Coffee at the Top, But Gen Z Breaks from Tradition
Coffee continues to be the No. 1 choice for Americans, with 62% of adults saying their day doesn’t begin without it. Gen Z, however, is changing the traditional, hot-cup ritual — 53% prefer to drink their coffee cold. KeurigIQ data shows daily coffee consumption peaks on holidays and varies by city: Bostonians brew earliest (4 a.m. to 7 a.m.), Dallas gets most cups in by noon, and New Yorkers sip pretty steadily day or night.
Also read: Keurig Dr Pepper is testing plastic-free coffee pods
Soft Drinks Spark Joy & Nostalgia
Carbonated soft drinks continue to be a staple in households and play a special role in sparking joy. They’re the top beverage associated with happy memories, according to KPD, and are also chosen by 58% as the most refreshing treat.
The digital landscape is changing how consumers find new beverage experiences, particularly for younger generations. Social media, for example, plays a major role in how Gen Z explores drinks — 74% use it for inspiration and 53% choose beverages as a form of self-expression.
