Gen Z is revolutionizing the beverage sector, increasingly opting to create their own drinks at home, inspired by TikTok trends, as they strive to replicate the skills of a café barista or bartender. Torani, a well-established name in the beverage syrup market, is constantly on the lookout for the latest trendy flavors and monitors what consumers are mixing at home, which ranges from nutty coffee to vanilla-flavored energy drinks. Andrea Ramirez, Torani’s consumer market insight manager, who has been with the company since 2001, has witnessed significant shifts in beverage consumption trends. Previously, the company focused primarily on adding flavors to hot coffee drinks, which were usually complemented by cream, sugar, and standard flavors like vanilla or caramel. However, around 2016, Ramirez observed a shift as iced beverages gained popularity among consumers.
“We aim to position ourselves within the personalized beverage experience, introducing novelty and excitement through more complex flavor combinations,” Ramirez stated. Torani offers over 150 flavored syrups, catering to both retail and foodservice environments like cafés, designed to enhance beverages with unique tastes — available in both sugar-infused and sugar-free options. Some of their flavors include Vanilla, Caramel, Coconut, Raspberry, Peanut Butter Cup, Belgian Cookie, Macadamia Nut, and Irish Cream. The latest addition, Dragon Fruit syrup, launched in April, was developed in collaboration with a Vietnamese coffee shop in Kansas City. Torani’s food scientists recognized the rising popularity of this flavor and experimented with various iterations of the subtly sweet syrup, which is intended for flavored water, cocktails, and coffee.
Ramirez noted that trends in foodservice, such as Coca-Cola’s Freestyle soft drink machines, have enabled consumers to explore innovative flavors. In regions like the Southwest, particularly Utah, custom soda shops that create “dirty” drinks — mixes of Coke or Sprite with flavors like coconut lime and cream — have gone viral. Torani has seen its more diverse flavors gain traction alongside these trends. Recently, the company reported surpassing $500 million in annual revenue for the first time, attributing this surge in popularity to the onset of the pandemic in 2020, when the coffee shops and drive-thru restaurants it traditionally relied on were compelled to close.
“Our business flourished because we provided a professional product that allowed consumers to create their own café-style drinks at home with the same quality,” Ramirez explained. According to her, flavor formulators are constantly on the lookout for the “next pumpkin spice”—a flavor that dominates the food and beverage scene. “It may have a short lifespan, but it garners immense consumer enthusiasm,” she added. This passion for fall-inspired flavors led to the creation of Kettle Corn syrup after extensive consumer research.
Torani’s strategy for new flavor innovation involves tracking significant news events and their resonance with current trends. The company’s 2022 and 2023 flavors of the year, Salted Egg Yolk and Toasted Black Sesame, respectively, were inspired by Gen Z’s affinity for “Instagrammable” experiences and the rise of boba in Asian-inspired beverages. The 2024 flavor of the year, Galaxy syrup, features notes of raspberry, dark rum, and “subtle minerality,” along with a striking purple hue, designed to enhance matcha, energy drinks, and cold brew. Torani collaborated with Dr. Robin T. Garrod, an astronomy professor from the University of Virginia, to develop this flavor based on the compound Sagittarius B2, which is believed to impart the unique taste of raspberries.
The Galaxy flavor was influenced by the solar eclipse in April and other anticipated space launches throughout the year. The company also noted an increasing interest among younger consumers in horoscopes and astrology. “There are always recurring events, but occasional phenomena like the eclipse inspire us to create additional sensory experiences,” Ramirez said. “It’s exciting to predict what’s next and refine our ideas from over 100 possibilities.”
While Torani is keenly focused on uncovering the latest quirky flavors, it recognizes significant changes within the beverage industry, aiming to meet evolving consumer demands. The company anticipates that both energy and functional drinks will continue to surge in popularity in the coming years. Ramirez referred to data from BevNet Magazine and Circana, revealing that energy drink sales have skyrocketed to $21 billion since 2021, representing a 51% increase. Similarly, the sports drink sector has experienced a 49% rise in volume over the past three years, now valued at approximately $4 billion.
Two additional trends gaining traction among young consumers are the booming sales of hydration beverages containing electrolytes—such as Unilever’s Liquid I.V. packets and Prime soft drinks—and the increasing popularity of reusable water bottles from brands like Stanley and Owala. Major beverage trends are largely unfolding on social media, with “WaterTok”—a blend of water and TikTok—gaining traction as influencers mix hydration powder sticks and flavoring syrups with water to create new beverage recipes.
Beyond retail, Torani is noticing these mixology trends emerging in regional foodservice locations nationwide, which they believe will eventually translate into retail offerings. Some restaurants in Spokane, Washington, are crafting infused sports drinks, while nutrition clubs in the South are selling “loaded tea” made with functional ingredients. “There are certainly custom beverages still in their infancy that will have the opportunity to flourish over the next three to four years, including the flavor-infused energy drink category,” Ramirez stated.
Despite the exploration of unique flavor combinations, Ramirez noted that their most popular offerings remain tied to traditional pairings designed to enhance coffee. “We want them to feel trendy and appealing, but our best-selling flavors are still variations of Caramel, Vanilla, and Chocolate,” she remarked. “However, innovation sometimes arises from foodservice adding a new twist, such as salted vanilla.” Alongside these developments, the company is also considering the potential of incorporating health-oriented elements, such as the Citracal calcium supplement D3, into their future offerings, recognizing the growing consumer interest in functional beverages.