What Beverage Trends Will Dominate in 2016?

As summer faded into fall in 2015, the once-booming Chinese beverage industry found itself at a crossroads. Major players like Wahaha, Master Kong, and Uni-President struggled to maintain momentum, leaving the entire sector searching for direction. What emerged from this uncertainty were clear signs of where consumer tastes—and future growth—were headed. If you’re wondering which beverage categories will take off in 2016, here’s what the data and industry moves reveal.

In 2016, three beverage categories are set to surge: plant protein drinks, near-water (or ‘light’) beverages, and ready-to-drink (RTD) coffee. Each showed strong movement in 2015, backed by major brand investments and shifting consumer preferences, especially in China’s rapidly evolving market.

1. Plant Protein Drinks Gain Traction

Plant protein beverages are defined as milk-like drinks made from plant sources such as soybeans, peanuts, almonds, walnuts, or coconuts—processed, blended, and sterilized via high pressure or aseptic packaging. They differ fundamentally from dairy or traditional soft drinks, offering an alternative rich in plant-based nutrition.

The category saw early success with brands like Six Walnuts (Liufang Hetao), produced by Hebei Yangyuan, which reported over 100% sales growth in 2013—with peak demand during exam season. This contrasted sharply with declining interest in carbonated and traditional tea drinks. Other entries, such as Nangfang Heizhima’s “Heihei Milk” (black sesame-based ‘black nutrition’), signaled a race to fill product niches beyond almonds and walnuts. Coca-Cola invested $400 million to acquire Xiamen Grain King, while Mengniu launched Zhi Pu Mo Fang—pointing to widespread corporate confidence in plant protein’s potential.

Though leading products like Six Walnuts (walnut milk) and Lulu (almond milk) have dominated, many plant sources remain untapped—offering significant opportunities for innovation and category-defining hits.

2. Near-Water Beverages Emerge as Market Staples

Near-water drinks aren’t a single product, but a loosely defined category of beverages primarily composed of water, vitamins, and trace minerals. Visually semi-transparent, they offer more flavor than plain water but are lighter than traditional carbonated or tea-based drinks. Commonly referred to as ‘light drinks’ or ‘near-water beverages,’ they became a surprising bright spot in 2015.

Brands like Uni-President’s Hoi Shan, PepsiCo’s V Power, Master Kong’s Hai Jing Lemon, Wahaha’s C Driver, and Danone’s Pocari Sweat held their ground amid broader market turbulence. These drinks appealed to health-conscious consumers seeking low-calorie hydration with subtle taste—positioning them as go-to choices for the year. With proven resilience and growing consumer acceptance, near-water beverages are expected to mature further in 2016, potentially becoming a major long-term category.

3. Ready-to-Drink Coffee Surges Despite Slower Instant Growth

While China’s instant coffee market saw growth slow from double to single digits, the broader coffee consumption market continued its rapid expansion. RTD coffee products—ready for immediate consumption without brewing—gained substantial attention from major corporations.

In February 2014, Coca-Cola invested ¥1.25 billion to acquire China Green Mountain Coffee and launched its first concentrated coffee beverage, Georgia, in September of that year. In March 2015, Master Kong partnered with Starbucks to release Starbucks Frappuccino RTD coffee in mainland China. May 2015 brought news that China Resources Vivo announced plans to strengthen distribution and retail presence for its FIRE coffee and Magic energy drink brands. By July, Uni-President rolled out a new “Hey” series under its RTD coffee brand Yabakh, following the launch of its premium “Lang Duo” line. Even Amazon eyed the market, announcing plans for an online coffee marketplace offering tasting and brewing resources.

Globally, coffee bean sales hover around 8 million tons annually, growing at 2% yearly—with China accounting for 1/20th of volumes. In 2014, China consumed over 500,000 tons of coffee, generating nearly RMB 60 billion in retail sales. The market grew at 15–20% annually, despite a per capita consumption of just 5 cups—far behind Japan and South Korea’s 300 cups, or the global average of 240. With its massive population, China remains the most promising coffee market on earth.

Frequently Asked Questions

Which beverage categories are predicted to grow the most in 2016?

The key categories expected to see strong growth in 2016 are plant protein drinks, near-water (light) beverages, and ready-to-drink (RTD) coffee. Each gained traction in 2015 through major brand investments and shifting consumer preferences.

What are plant protein drinks exactly?

Plant protein drinks are milk-like beverages made from plant sources such as soybeans, peanuts, almonds, walnuts, or coconuts. They are processed, blended, and sterilized via high-pressure or aseptic packaging methods, offering an alternative to dairy and traditional soft drinks.

Why did near-water beverages become popular in 2015?

Near-water beverages gained popularity due to their light flavor, hydration benefits, and lower calorie content compared to traditional soft drinks or tea. Brands like Hoi Shan and V Power attracted health-focused consumers, helping them stand out in a turbulent market.

How is the RTD coffee market evolving in China?

Despite slower growth in instant coffee, China’s RTD coffee market expanded rapidly. Major companies like Coca-Cola, Master Kong, and Uni-President launched or expanded RTD coffee lines, while global retailers like Amazon entered the space—highlighting strong consumer interest and market potential.

What is the current state of coffee consumption in China?

In 2014, China consumed over 500,000 tons of coffee with retail sales near RMB 60 billion. Annual growth ranged from 15–20%, despite a low per capita consumption of just 5 cups—indicating strong future growth potential given the country’s large population.

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