CNBCยท2025-08-19 19:49Core Insights - The beverage offerings at top restaurant chains have increased by over 9% in the past year, driven by younger consumers seeking customized cold drinks [4] - The primary reason for beverage purchases has shifted, with 22% of consumers now buying drinks for a "pick-me-up," up from 20% in 2023, indicating a trend towards beverage-specific occasions [5][6] - Major players like McDonald's and Starbucks are focusing on innovative beverage options to drive sales, with McDonald's reporting a 2.5% same-store sales growth in its second fiscal quarter [6][14] Industry Trends - The demand for cold beverages, particularly specialty coffees and energy drinks, has surged, while hot beverages are declining [4] - Technomic forecasts a 1% growth in beverage volume through 2029, but this outlook may be revised lower due to increased price sensitivity among consumers [7][8] - Gen Z consumers are particularly influential in the beverage market, favoring customized and sugary drinks, as seen with Dunkin's Refreshers platform, which saw unit sales increase by over 30% year-on-year [9][10] Company Strategies - Dunkin' plans to expand its beverage lineup with new offerings aimed at Gen Z, including a Cereal N' Milk Latte and new flavors of its Refreshers [10][13] - McDonald's is set to launch new drinks, including a "Creamy Vanilla Cold Brew" and "Toasted Vanilla Frappe," in a test across 500 restaurants, targeting Gen Z consumers [13][14] - Starbucks is innovating with new menu items like protein cold foam, which adds 15 grams of protein to beverages, aiming to enhance customer satisfaction among younger demographics [17][18] Competitive Landscape - Dutch Bros has experienced strong growth, with same-store sales increasing over 6% in the most recent quarter, attributed to unique offerings and innovative toppings [19][20] - The beverage segment is seen as more profitable than food, prompting companies to focus on high-margin beverage products [15]