Dive Brief:
- Capri Sun is entering the functional beverage market with a hydrating take on its signature juice pouches, Kraft Heinz said Tuesday.
- Capri Sun Hydrate includes added electrolytes, vitamins and 50% less sugar than the leading sports drink. It also has no artificial flavors, colors or preservatives, according to the company.
- Kraft Heinz, which holds the exclusive licensing rights for Capri Sun in the U.S. and Canada, said the launch is one of the first-to-market electrolyte offerings designed specifically for kids. The new Hydrate lineup features classic Capri Sun flavors, including Fruit Punch and Tropical Punch, and a newly released lemon lime option.
Dive Insight:
This is Kraft Heinz’s second attempt at a hydration beverage after launching Capri Sun Sport in 2017. The latest offering could be better positioned this time around amid a boom in functional beverages that has more consumers prioritizing hydration and lower sugar.
Capri Sun estimates that 94% of the households it’s in already also purchase sports drinks, which Kraft Heinz said makes the brand uniquely positioned to expand into functional hydration.
“With Capri Sun Hydrate, we saw an opportunity to bring something brand new to the kids beverage aisle – a beverage made specifically for kids that delivers the fun and flavor kids love with the functional benefits parents are looking for,” Kristina Hannant, director of ready to drink marketing, said in a statement.
Capri Sun Hydrate fits into Kraft Heinz’s focus on innovation to meet consumer needs based on convenience, new occasions and nutrition. The new launch follows Capri Sun’s entrance into convenience channels with its single-serve bottle reintroduction last year, which helped drive market recovery for the brand and bring in new consumers like teenagers.
Capri Sun is the latest beverage brand to expand into more hydration-forward offerings. Last week, Gatorade announced it was repositioning its brand beyond sports performance with a move away from artificial colors and new hydration-forward drink with its highest level of electrolytes.
More consumers are seeking functional benefits from their drinks to manage mood or improve their physical health. Still, hydration is the top benefit shoppers seek from their drinks, according to Innova Market Insights.
