FMI—The Food Industry Association—released its inaugural Power of Beverage 2026 report, developed with Circana sales data and cultural trend forecasting from Nichefire. The findings provide the food retail industry with new insights into how changing consumer expectations are transforming beverage purchasing and creating opportunities for growth across the food industry.

“The beverage category represents a significant opportunity for the food industry to invest in innovative products that cater to grocery shoppers’ expanding preferences when purchasing beverages,” said Leslie Sarasin, president and CEO of FMI. “To date, much research has been done about beverage tastes, trends and packaging, but there are few insights into how consumers are shopping for beverages and what their daily beverage repertoire entails. This research dives deep into the beverage habits of consumers to provide valuable insights for the food industry.”

The report finds that beverages remain one of food retail’s strongest growth categories, with shoppers spending nearly $295 billion on retail beverages in 2025, according to Circana. As consumers increasingly seek beverages that deliver specific benefits, from hydration and energy to protein, digestive health and relaxation, retailers have new opportunities to merchandise, market and organize the category around consumer needs, rather than traditional product segments.

“Consumers’ beverage purchasing behavior is evolving faster than traditional category definitions,” said Steve Markenson, vice president of research and insights at FMI. “As shoppers increasingly buy beverages based on functional benefits and specific occasions, food retailers have an opportunity to organize the category around how consumers make decisions rather than how products have historically been classified.”

Here are the Power of Beverage 2026 key findings: