According to journalists Christopher Doering and Sarah Zimmerman, “The food and beverage industry is in a tough spot. Declining consumption has depressed sales as shoppers pull back due to inflation. But as spending declines, costs for companies are rising.”[1] In response to the changing business landscape, Doering and Zimmerman report, “Companies are restructuring operations, laying off workers or selling off assets. When they can, they’re also engaging in smaller M&A deals to enter into trendy areas that speak to current consumer trends.” Keeping up with the latest trends isn’t easy — adapting to them is even harder.

Some Current Trends Affecting the CPG Sector

Food journalist Donna Eastlake agrees with Doering and Zimmerman that the food industry faces new and changing challenges. She explains, “Mounting challenges and changing tastes are reshaping the food and beverage industry for the future.”[2] Below are a few of the emerging and continuing trends identified by food experts to which CPG manufacturers and retailers must adapt. Many of them relate to a growing consumer wellness movement.

• Secure Global Food Value Chains. Eastlake reports, “Fears over future food security mean the food and beverage industry is having to change and evolve fast.” She cites, Peter Wortsman, a partner at European Food and Farming Partnerships, who stated, “We’re already seeing more food businesses invest to secure their supply and increase the resiliency of their supply chains.”

• Wellness Economy. Journalist Jenna Troyli explains, “The future of wellness is personal, science-backed and value-driven.”[3] She adds, “According to NielsenIQ’s 2025 Global Health & Wellness Report, this surge is driven by more informed consumers with higher wellness literacy, growing mistrust of marketing claims and longer lifespans that encourage proactive health habits.”

• Hydration Hype. Trend watchers from Whole Foods Market note, “Reusable water bottle culture is upon us, but consumers want more from their H2O these days, seeking added electrolytes and hydration in more innovative forms. It’s impossible to ignore the trend at food and beverage trade shows, where you’ll find popsicles with electrolytes, sparkling coconut water, chlorophyll water and even protein water. New players are emerging in the space, like cactus waters that contain antioxidants and electrolytes, and better-for-you competitors to sugary and artificially colored sports drinks. Even kids can get in on this trend with new and tasty beverages in fun formats like pouches and mini coconuts.”[4]

• Functional Foods. The food as medicine movement is also driving some of the trends being seen in the food and beverage industry. As a result, there has been increased interest in so-called functional foods. Functional foods are foods that provide health benefits beyond their basic nutritional value. They contain bioactive compounds, such as vitamins, minerals, antioxidants, probiotics, and prebiotics, that may have positive effects on health. Doering and Zimmerman explain, “Consumers are beginning to expect more out of their food. Individuals are searching for premium ingredients that can help with everything from gut and skin health to mood and sleep problems.”

• Weight Loss. Eastlake notes, “The weight-loss trend is back and it’s bigger than ever. The rise of GLP-1 drugs and myriad new diets has taken the weight loss industry to a global market value of $142.58bn.” Food journalist Heath Goldman adds, “A growing population of GLP-1 weight loss drug users want smaller-portioned snacks and meals that are highly nutrient dense. CPG companies are releasing new products for them and creators are developing recipes to meet these needs.”[5]

• Clean Label. Eastlake reports, “The backlash against ultra-processed foods (UPFs) has led to a renewed interest in the clean label trend.”[6] She cites TheFoodPeople’s Banks, which asserted, “The debate continues to swirl around the possible impacts of ultra-processed foods and forever chemicals. Against this backdrop, consumers are turning to products they know and trust, typically with fewer, natural, recognizable ingredients, and with minimal processing.”

• Sustainability. According to Penn State professors, Kathy Kelley and Claudia Schmidt, consumers still care about how their food is produced and from where it originates. They ask, “What is trending in sustainable food? According to Agri World View, they include: Ethical and fair-trade products; growth in plant-based alternatives; local/seasonal produce; increased demand for organic food; sustainable packaging; and, interest in how their food is produced and its environmental impact.”[7]

• Climate Threat. One trend that can’t be ignored is climate change. Eastlake explains, “The effects of climate change are already being felt and will ultimately force the industry to make significant moves.”

• AI and Grocery Shopping. Goldman explains, “It’s hard to change the way people grocery shop, but AI is making waves. Online grocery giants such as Walmart, Amazon and Instacart have rolled out new AI search features that work a bit like search engines, only they’re trained on user searches and behavior and return smarter, more accurate results over time. In other words, you can now search for groceries using queries like, ‘what goes well with chicken breast?’ and receive personally tailored results. In store, AI smart carts are rapidly coming into circulation, poised to save shoppers real money and gamify shopping. High quality technology makes them easy to use: simply add or remove items and the cart keeps track of what’s inside, without any extra action needed from the shopper.”[8]

• Mergers and Acquisitions. Adapting current business models to match emerging trends can be difficult. As a result, Doering and Zimmerman report, “Food and beverage companies remain hungry for growth, positioning them to engage in smaller-scale M&A when the right target comes along at a reasonable price.”

Concluding Thoughts

Troyli suggests six ways brands can adapt to known, emerging trends. They are: 1) Build a gut-health portfolio; 2) Back advertising claims with science; 3) Communicate with clarity; 4) Leverage digital tools; 5) Align with consumer values; and 6) Tailor regionally. Remaining competitive in the CPG sector means keeping up with the ever-changing demands of today’s consumers. As Eastlake notes, “The food and beverage landscape is shifting fast.”

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Footnotes

[1] Christopher Doering and Sarah Zimmerman, “4 food trends that could define the rest of 2025,” Food Dive, 27 August 2025.

[2] Donna Eastlake, “What does the future of food and beverage hold?” Food Navigator Europe, 15 May 2025.

[3] Jenna Troyli, “5 trends powering the wellness market to reach $9 trillion,” Food Navigator USA, 10 July 2025.

[4] Staff, “The Next Big Things: Our Top 10 Food Trends in 2025,” Whole Foods Market.

[5] Heath Goldman, “Food Network Predicts the Biggest Food Trends of 2025,” Food Network Dish, 23 December 2024.

[6] Donna Eastlake, “Top 10 rising food and beverage trends for 2025,” Food Navigator Europe, 26 March 2025.

[7] Kathy Kelley and Claudia Schmidt, “Food Trends 2025,” Penn State Extension, 7 March 2025.