Are Gen Z driving a flavour revolution?

The team at Franke Coffee Systems track the latest global beverage trends and explore how younger generations are driving innovation.

From fashion to music to food and drink, young people have always propelled trends and embraced change. Gen Z is no different and, according to the professionals at Franke Coffee Systems, the latest cycle of new beverages to take the market by storm are largely influenced by the under 30s’ preferences and tastes.

“We’re seeing a trend for sweet and milky drinks, which is very much driven by the younger generation,” says Inga Schaeper, Coffee Competence Manager at Franke Coffee Systems.

“Gen Z’s beverage choices are diverse with an emphasis on taste, personalisation, and convenience. Demands for special creations made from superfoods or vegan ingredients are increasing for both hot and cold serves.”

As part of their extensive market research and product development program, the team at Franke Coffee Systems constantly study the industry so they can be one step ahead of the latest developments across the world. While conducting this research, the team have identified that younger generations are pivoting away from drinking coffee and favouring other sources of caffeine instead.

“Energy drinks and other caffeinated alternatives are on the rise. Smoothies and mocktails made from extracts, syrups, fresh fruits, herbs, and aromatic spices are also popular among that group, whether made fresh or as a ready-to-drink beverage,” says Jessica Zoehner, VP Marketing at Franke Coffee Systems.

“According to the Allegra Project Cafe report, Millennials and Gen Z that do drink coffee prefer it sweetened and with milk. Beverages such as lattes and cappuccinos are particularly popular with added syrups and flavours.”

While the advancement of the internet means some trends are now of a global nature, individual regions still display distinct tastes and habits. Despite coffee becoming less popular with younger consumers there are still many demographics in which it is growing.

“Espresso, or espresso-based milk drinks, continue to grow in popularity around the world and are often adapted to local tastes,” says Schaeper.

“In traditional coffee-consuming countries such as Switzerland, the Netherlands and Germany, coffee consumption continues to rise steadily. Changes in variations and preparation methods are also noticeable. Nevertheless, in Germany, for example, filter coffee is still popular.”

Outside of Europe, the Franke Coffee Systems team have seen an increasing interest in coffee in emerging markets as well as shifts in serve-style preferences. According to Schaeper, the United States is starting to favour freshly brewed coffee beverages crafted from whole beans, while China is showing increased interest in coffee consumption.

“The substantial entry into coffee consumption in China immediately began cold, milky, and sweet. Iced coffee could take off immediately without the need to establish the hot version first, which is more challenging in mature coffee-drinking countries,” she says.

This global shift towards milk-based coffee goes hand in hand with the international growth of plant-based alternative milks. A major trend over the past five to 10 years, the alternative milk market continues to expand and progress. Schaeper is particularly interested in pea milk, which she believes will become more commonplace in the next few years.

“A lot of existing oat and nut milks already include pea protein because it helps produce good foam. Pea milk is an interesting addition to the market as it naturally contains this protein but, in contrast to some other alternative milks, it has a neutral taste more in line with dairy milk,” she says.

The Franke Coffee Systems team aren’t just studying these trends but using them to continuously develop and improve their line of automatic coffee machines. The dynamic nature of global drinks trends mean they must respond quickly in order to keep up with demand.

“Today’s beverage concepts need more than a coffee machine with a milk system,” Schaeper says.

“Equipment such as powder systems, multiple hoppers and grinders, flavour stations, milk options, and cooling systems allow businesses to respond to consumer demand, which is always evolving.”

While many of Franke Coffee Systems’ machines deliver these capabilities to varying degrees, the Specialty Beverage Station SB1200 provides the most flexibility and enables operators to offer a constantly expanding drinks menu to respond to the shifting nature of trends.

The SB1200 features iQFlow, FoamMaster, and IndividualMilk Technology as well as a Flavor Station to create a wide variety of beverages.

“The IndividualMilk Technology is particularly important because it enables the milk or milk alternative to be transferred to the cup completely separately, ensuring there is no cross-contamination from the container to the cup. This is crucial for consumers following a vegan diet or who are lactose intolerant,” says Zoehner.

The machine also has an integrated media pump module that enables bag-in-box milk, milk alternatives, cold brew, iced tea, or any ready-to-drink beverages to be plugged in under the counter and poured at the customer’s request.

“Whether it’s a matcha latte, superfood pink latte, hibiscus-infused iced tea, or other beverage creation, our technology ensures the highest precision and consistency,” says Schaeper.

“Cold brew and iced tea beverages can be easily produced with or without foam topping and with cascade effect. The Iced Coffee Module of our SB1200 enables the creation of iced coffee drinks using an internal heat exchange system to instantly cool down freshly brewed espresso.”

All these beverage options can be curated by the coffee machine operator in a customised menu presented to the consumer via an interactive interface. The menu can be updated as frequently as the operator requires using Franke Digital Services.

Predefined creations can be selected from the menu at the touch of a button, with the user interface showcasing the beverage options with colourful images to match the creations. Those who want to personalise their drinks can use the step-by-step mode, selecting variables such as syrups, extra coffee shots, alternative milks, and hot or cold serves.

While the customisation options are designed to appeal to Gen Z, Franke Coffee Systems believes the SB1200 is the ideal option for a huge range of venues – from petrol stations and convenience stores to offices and health hubs.

“The machine is a fantastic fit for all environments. Younger generations are looking for convenience as well as creativity, and these easy-to-use drinks stations can give them options in all manner of venues,” says Zoehner.

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