Intelligent Blends Announces Robust R&D Lab Capabilities as Functional Foods Market Continues to Grow

– Intelligent Blends Research and Development group expands formulation and manufacturing capabilities in 2021.

– Of the 300+ individual food & beverage formulations finalized by the company, around 70% include a functional ingredient.

– Food and beverage trends show a strong consumer interest in ingredients that provide added health and nutritional benefits.

– Experts predict a 7% compound annual growth rate–from $77.3 billion to $124.1 billion–between 2018 and 2025, and a compound annual growth rate of 8.66% for the global functional beverage market from 2019-2024.

Intelligent Blends, a leader in the manufacture of coffee, tea, elixirs, and functional beverages, has announced the expansion of its robust research and development lab at their San Diego facility. By expanding its capabilities to address the growing consumer interest in functional beverages, the company is poised to offer partners and customers the opportunity to meet consumer needs and expectations while embracing current food and beverage trends and advancements in the market. 

In addition to these exciting product development advancements, the lab is also well equipped to support the company’s growing manufacturing and packaging capabilities. From developing the perfect blends and formulations, to offering a broad selection of packaging options—including K-Cup®, Compatible with Nespresso capsules, bagged ground and whole bean coffee, creamer bags, and stick packs—Intelligent Blends is delivering even more high-quality, innovative options to customers at every step of their journey.   

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The timing for these expanded capabilities could not come at a better time—both for Intelligent Blends as well as the customers and partners they serve. Recent data shows that, with consumers being forced to shelter in place, there has been a 40% surge in non-alcohol sales vs. months prior to 2020. New York-based Nielsen Data reports that sport drinks sales were up 7.9% versus the prior year period; water sales have increased 8% over the same period.

Additionally, people have started looking for in-home beverage options that provide added health and nutritional benefits. In fact, for the 52-week data period cited above, weight control, nutritional liquids and powders netted sales of more than $4 billion—an increase of 5% overall from previous years. By expanding its formulation capabilities to include the rapidly growing soluble powder market, Intelligent Blends is able offer their customers and partners the ability to meet consumers where they are and to introduce new and innovative options for health-minded coffee and tea lovers.

“They say, ‘you are what you eat’, but recent trends indicate it may be time to amend that to include ‘… and drink’,” says Jeff Mcintosh, Head of Intelligent Blends Research and Development. “Today’s health-conscious consumers are not only looking for tasty beverages to quench their thirst, they’re also seeking products containing beneficial and functional ingredients. What started as a project dealing with functional ingredients a few years back, has now turned into a big part of what we do.”

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In 2018, the global health ingredients market was valued at $77.3 billion and is projected to increase—at a compound annual growth rate of 7%–to reach $124.1 billion by 2025. Similarly, it’s estimated that the global functional beverage market will see a compound annual growth rate of 8.66% from 2019-2024. Experts attribute these numbers to increased health awareness, specifically in the younger population, which has swayed consumers from fruit juices and carbonated drinks to functional beverages.

To date, Intelligent Blends Research and Development has finalized over 300 individual beverage/food formulations and commercialization–around 70% of which include a functional ingredient. For a company that opened its doors in 2013 as a co-packer for coffee and tea K-Cups®, this is a huge leap and a sign of its continued commitment to high-quality products borne from thoughtful growth and fearless innovation.

Intelligent Blends is a privately held, sustainable manufacturer of single-serve and bagged beverages, including coffees and teas, based in Southern California. The company offers co-packing and hospitality solutions for partners worldwide, while boasting several in-house brands that are distributed through select e-commerce and retail sites. With a commitment to creating high-quality, sustainable options for customers and partners, Intelligent Blends offers unmatchable services and products that are easy and cost-effective, while never losing sight of the infinite possibilities that come from flexibility, innovation and a passion for what you do.

Keurig® and K-Cup® are registered trademarks of Keurig Inc., a wholly owned subsidiary of Green Mountain Coffee Roasters, Inc. Intelligent Blends and our brands are not affiliated with Green Mountain Coffee Roasters Inc., or Keurig Inc.

Intelligent Blends and its products are not endorsed by, sponsored by or approved by Nespresso USA, Inc. or any of its affiliates, and Intelligent Blends is not a licensee of Nespresso USA, Inc. or any of its affiliates.  Nespresso® is a registered trademark of Société des Produits Nestlé S.A.

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