New York Ag Connection - U.S. Juice and Smoothie Bars Industry at $2.3 billion in 2016

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U.S. Juice and Smoothie Bars Industry at $2.3 billion in 2016
New York Ag Connection - 12/07/2016

In recent years, the perceived high sugar content of some smoothies and juices has forced the Juice and Smoothie Bars industry to adapt its offerings to cater to consumers demanding low-sugar drinks. For this reason, cold-pressed juice, which is made by hydraulically chopping and crushing produce without using heat, thereby yielding highly nutritious juice, has risen to prominence. Industry revenue is expected to increase an annualized 2.8% to $2.3 billion over the five years to 2016. The industry is anticipated to grow 2.4% in 2016, helped by the popularity of cold-pressed juice.

The industry will continue to evolve over the next five years, in line with consumer preferences. Due to increasing competition and less certainty about future consumer tastes, the industry is expected to become more nimble, with juice bars subletting space from existing retailers.

According to IBISWorld Industry Analyst Andrew Alvarez, "The cold-pressed juice craze is expected to continue for at least the short term, as consumers continue to demand menus low in sugar and high in nutrients." The average industry profit margin is expected to expand slightly, though it will remain low due to fierce competition and rising input prices. Overall, industry revenue is projected to increase over the five years to 2021.

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