What specific non-adult beverage segments/particular brands proved to be impactful to drive the fortunes of the category?
In 2024, energy drinks, particularly zero-sugar and better-for-you options, continued to drive significant growth in the cold vault segment. Additionally, the rapid rehydration subcategory within sports drinks saw a boost, with brands like Electrolit and Gatorlyte leading the charge. Other standout performers included private-label water, zero-sugar carbonated soft drinks, sparkling water and select tea brands.
What aspects of this category do you appreciate most, keep you motivated on a regular basis?
The cold vault category is ever-changing, with consumer trends evolving like never before. I appreciate the challenge of finding the next big thing. Of all the convenience store categories, I believe the beverage segment offers the most opportunity for trial and exploration. I enjoy diving into the data to explore trends and shopper habits. Beverages are among the highest-ranking basket items in convenience, and I love being able to bundle and pair them with other categories to grow basket sizes.
What have been your most vexing challenges in 2024 and into this year pertaining to the category?
Improving the set planning and reset process. The first challenge involved navigating roundtable/data-driven set planning. While analyzing data and sales trends to build sets that truly meet customer demand—rather than relying on contract-based sets—was a difficult task but ultimately proved rewarding. The process of data-driven space planning is more labor-intensive, but the payoff comes when planograms are designed with both the customer and retailer in mind. Another challenge was transitioning to a third-party reset system, but this shift allowed for a more consistent approach where every store and product receives equal attention and care.
What impactful consumer purchasing trends from last year are you looking to take advantage of even further in 2025?
Capitalizing further on several impactful consumer purchasing trends, such as functional beverages Poppi and similar brands, which have seen positive growth. There’s increasing demand from customers for more functional options and creating space for these niche products is an exciting opportunity. We also continue to focus on growth of private-label offerings, as they not only deliver value but provide a margin boost to the retailer while helping to put our brand directly in the hands of consumers.