Exploring the SYNERGY between Kombucha and C-stores
The wellness revolution is encouraging C-store operators to add products that meet consumer demands for healthier choices. Experts expect functional beverages like Kombucha will drive sales growth in 2023 and beyond. Kombucha appeals in particular to younger customers—a segment C-stores are courting to their stores. Here, GT Dave, the founder of GT’s Living Foods, pulls back the curtain on how C-stores can benefit from the Kombucha boom with his Synergy brand.
Q: How large is the Kombucha market?
A: As of 2023, the Kombucha market is valued at $3.4 billion with a promising revenue forecast over the next 10-plus years. Shifting consumer drinking preferences are expected to benefit Kombucha. The Kombucha market, according to Future Market Insights, can expect a $3.56 billion-plus growth spurt by 2026. Estimates predict Kombucha sales will approach $10 billion by 2030.
Q: Are C-stores getting their fair share of sales?
A: Not yet, but we are looking to change this. Until recently, Kombucha has been underrepresented on the shelves of convenience stores. In addition, stores that carried Kombucha in the past stocked unfamiliar and obscure brands that didn’t resonate with many consumers. We can help retailers build out a selection that hits the mark with Kombucha consumers while inviting discovery for those who have an interest in the category.
Q: Who is the target consumer?
A: SYNERGY’s target customer is around the age of 18-35 years old, is health conscious, and seeks out premium products. They frequently are searching for healthier alternatives to soda, juice, and energy drinks. It helps to stock the key products in highly-visible departments to show them you are in the business.
Q: What are consumers looking for when shopping for Kombucha?
A: Their purchasing is driven by the quality of ingredients, low sugar, and health benefits. These consumers are educated, athletic, and pay attention to what they put into their bodies. This is one of many reasons why SYNERGY has led the functional beverage category for the last 20 years.
Q: What assortment is needed for maximum ROI, yet enough choices to serve the demand for flavors?
A: We carefully selected our four top-selling flavors of SYNERGY that appeal to a variety of consumers regardless of their palate. Within these options, consumers can find a sweet, tart, spicy, or tangy flavor that suits their taste preferences.
Q: Discuss GT’s Living Foods’ newest launch and how it can build C-store Kombucha sales.
A: Our 10oz SYNERGY bottle was designed exclusively for C-stores as it is a perfect fit for new and curious consumers that may have heard about Kombucha but have not tried it yet themselves. The smaller bottle size is intended to be paired with food while also supporting the on-the-go consumer.
Q: Will Kombucha bring in more and new shoppers to the C-store industry and build baskets?
A: Absolutely! Having SYNERGY 10oz will not only attract new shoppers, but it will also increase overall sales. Retailers have learned that consumers who purchase SYNERGY tend to purchase other premium products which leads to higher sales at the register.
Q: How can C-stores get a bigger share of sales?
A: C-stores can get bigger sales by merchandising SYNERGY in hightraffic areas of the store, displaying signage at the entrance of the store, and making sure the product is at eye level, so it is easy to discover.
Q: Does GT’s Living Foods advertise and/or have any in-store promotional marketing?
A: We are proud leaders of the Kombucha category, and we are committed to increasing awareness through POS material, digital media, and in-store promotions. In fact, this year we are focusing specifically on driving consumers to convenience stores with our 10oz bottle that is exclusive to the channel.
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For more information on getting a bigger share of the $3.4 billion Kombucha market contact GT’s Living Foods, contact [email protected].