NACS in Pics - Deep Dive in Beverage & Snacks Innovation: Accelerating Launches in Functional Drinks, Zero Sugar & Better Ingredients

We attended the National Association of Convenience Stores (NACS) show in Las Vegas and interacted with senior management of The Coca Cola Company (KO, OW), PepsiCo (PEP, N), Monster Beverage (MNST, N), Celsius Holdings (CELH, OW), Keurig Dr Pepper (KDP, OW) and Primo Brands (PRMB, OW). Amid challenges in traffic to the convenience & gas (C&G) channel, with consumers only having about $9-$10 to spend per trip and high fuel prices pushing store traffic and trips down, there was more emphasis on serving affordable and more functional products. CPG companies have to offer beverages and snacks that deliver the most functionality, with consumers seeking hydration, clean ingredients, zero sugar, protein, fiber and a source of caffeine/energy. Compared to last year's NACS, we saw much more innovation into the next 15 months. Among the companies we visited, we saw more innovation at KO, MNST and KDP (especially partner brands Ghost and Bloom), while CELH is catching up but innovation is still