Consumer preferences, boosted by global influences, social media, and an increased focus on food sustainability, are driving a unique mix of food and beverage trends. Today’s shoppers—especially Gen Z and Millennials—seek more than just great taste; they want products that offer unique experiences, functional benefits, and a sense of purpose. Whether it’s fantasy-inspired flavors that provide an escape, sustainable ingredients that align with their values, or bold, global influences that push culinary boundaries, these shifts are reshaping the grocery and food service landscape.
For retailers, understanding these trends is about strategically curating products, enhancing customer engagement, and staying ahead of competitors in an ever-changing market. Here’s how to capitalize on 2025’s biggest food and beverage movements.
Fantasy Flavors: Creating an Experiential Food Journey
Consumers increasingly seek food and beverages that provide an immersive experience. From “space-inspired” syrups to unexpected brand collaborations, like Nando’s x Fanta, fantasy flavors reflect a demand for playful, mood-enhancing products. Syrup maker Torani has recognized the current appetite for these flavors, naming its Diamond Syrup as the Flavor of the Century and its Puremade Galaxy Syrup as its 2024 Flavor of the Year. This reflects a broader movement where food and drink serve as an escape, offering playful and mood-enhancing flavors that spark curiosity and conversation.
The popularity of bubble tea also emphasizes this trend. With a global market valuation of $2.46 billion in 2023, the sector continues to push the boundaries with intricate flavor profiles and unexpected partnerships. Fast-casual chains are also embracing this demand—South African-style chicken chain Nando’s recently introduced a Nando’s x Fanta spice blend, a bold fusion designed to complement its chicken wings. The brand describes the fruity spice, designed to complement its chicken wings, as “if Nando’s and Fanta Orange Zero had a baby. Literally.”
Opportunities for Retailers:
- Introduce limited edition, experience-driven flavors in private-label brands.
- Highlight novelty items through in-store sampling and social media campaigns.
- Leverage cross-category partnerships to create buzz.
Generation Z’s Bold Flavor Trends
According to a Mintel report, nearly 46% of Gen Zers in the U.S. want exciting and adventurous flavors. This is also reflected in college food services, where caterer Chartwells Higher Education has responded to demand with unexpected, vibrant combinations like Mango Chamoy Ice Pops, using the classic Mexican condiment made from pickled fruit, chillis, and lime. McCormick named Aji Amarillo, a South American yellow chile pepper known for its fruity, tropical notes and moderate heat, its Flavor of the Year for 2025. Traditionally a staple in Peruvian cuisine, Aji Amarillo is now crossing culinary borders, appearing in appetizers, entrees, and even cocktails.
McCormick predicts a 59% growth in menu appearances for Aji Amarillo over the next four years, as chefs experiment with its heat profile.
Innova Market Insights reports that one in four global consumers are actively seeking “exotic global flavor combinations.” Social media and travel have helped accelerate this trend, allowing people to explore international tastes from the comfort of their own kitchens.
Opportunities for Retailers:
- Stock culturally diverse, high-impact flavors in snack, beverage, and condiment categories.
- Use digital engagement, like TikTok-inspired recipe kits, to drive adoption and social sharing.
- Partner with food service brands to bring exclusive, trending flavors to retail.
@coreybsiegel Aji Amarillo Coconut Sauce 🔥 Recipe Below👇: Aji Amarillo paste is a popular ingredient in Peruvian cuisine. It is made from a specific type of yellow chili pepper called Aji Amarillo, which is commonly used in Peruvian cooking for its fruity flavor and mild to moderate heat. To make the paste, the peppers are typically blended with other ingredients such as oil, vinegar, garlic, and salt. Aji Amarillo paste adds a unique flavor and vibrant color to dishes like ceviche, sauces, marinades, and stews. It can often be found in Latin American grocery stores or specialty food stores. The sauce in this recipe is served cold with cured and lightly smoked salmon with blood oranges, avocado and parsley oil. Aji Amarillo Coconut Sauce: 1 Can unsweetened coconut milk 3TBS Aji Amarillo Paste 2 Garlic Cloves 1 Shallot 1 Small Lemongrass Stalk 2tbs Olive Oil Heavy Pinch of salt Parsley Oil: 1 Bunch Parsley 1 Cup of Olive Oil Blend, Bring to a simmer and strain through a coffee filter #fyp #foryou ♬ That Couch Potato Again - Prod. By Rose
Sustainable and Functional Ingredients: The Future of Food
Consumers are increasingly seeking foods that support both personal well-being and environmental sustainability, driving demand for nutrient-dense, eco-friendly ingredients with functional benefits. Emerging options like algae cooking oil (a sustainable alternative with a lower carbon footprint), duckweed (a protein-rich aquatic plant disrupting the plant-based market), and makhana (a wholesome, air-popped snack packed with antioxidants) reflect a broader movement toward mindful eating and sustainable sourcing. At the same time, new functional ingredients are gaining traction, with nootropics and adaptogens enhancing cognitive function, prebiotics and postbiotics fueling the gut health revolution, and nostalgia-driven flavors bringing comfort through retro-inspired foods.
Opportunities for Retailers:
- Expand sustainable product lines in oils, snacks, and plant-based proteins.
- Highlight environmental and health benefits through in-store signage and e-commerce filters.
- Collaborate with emerging brands to test new, functional ingredients before they reach mass adoption.
Food Retail’s Future
To remain competitive in 2025, retailers must embrace these evolving food and beverage trends, curating product selections that resonate with experience-driven consumers. By leaning into bold, global flavors, fostering sustainability, and elevating the functional benefits of food, brands can capture shopper attention and build long-term loyalty. The key to success lies in agility—leveraging trend-forward partnerships, limited-edition offerings, and digital engagement to drive innovation. Those who adapt quickly won’t just meet demand; they’ll set the pace for the future of food retail.
The grocery of the future is being built now. What’s in store for retailers and shoppers? Download our Grocery of the Future Industry Report.
