2026 CPG Industry Preview: Food & Beverage Marketing Guide

2026 CPG Industry Preview: Food & Beverage Marketing Guide

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With auction-based media buying, bidding to value and allocating budgets properly is of absolute importance to the success of your programs. Skai’s™ automated bidding & budgeting tools have been used by marketers for over a decade for proven performance gains.

With auction-based media buying, bidding to value and allocating budgets properly is of absolute importance to the success of your programs. Skai’s™ automated bidding & budgeting tools have been used by marketers for over a decade for proven performance gains.

While many walled garden publishers have native platforms for marketers to run self-service campaigns, not all have automated bidding or budgeting tools to help take some guesswork out of these tasks. One example of this is Walmart Connect, a top retail media channel.

While it offers advanced functionality, it doesn’t provide the bid or budget tools required to maximize investments. This is where a third-party platform such as Skai’s™ automated bidding & budgeting can fill in the gaps.


Sometimes, marketers focus too much on getting the cheapest cost-per-clicks (CPC) with a volume strategy.

Josh Dreller, Sr. Director, Content Marketing, Skai


Subtitle

In auction-based media, bidding is critical, and it’s not that easy.

If you bid too low, you won’t win the high-value Walmart Connect auctions you want and may have trouble spending your budget If you bid too high, you could overpay, which may waste your budget and not get the impressions you need to drive success Remember, return-on-investment (ROI) is a ratio of how much you make divided by how much you spend. Hitting your ROI or ROAS goals is often more about keeping your costs in line rather than solely focusing on selling more products. Sometimes, marketers focus too much on getting the cheapest cost-per-clicks (CPC) with a volume strategy. They keep their bids super low with the idea that the more traffic they can send to their product detail pages (PDP), the more likely they will get more sales. But, bidding correctly is about efficiency, not about the lowest price. Sometimes, you need to pay a premium on your Walmart Connect ads—much more than you would typically think—to beat the competition. And you have to consider lifetime value (LTV) because maybe you’re “over-bidding” on ads for specific products. After all, each sale may drive future purchases in the form of repeat purchases, accessories to that product, potential ongoing subscriptions, or even brand equity for other products down the line. Budgeting considerations


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Question?

In auction-based media, bidding is critical, and it’s not that easy.

If you bid too low, you won’t win the high-value Walmart Connect auctions you want and may have trouble spending your budget If you bid too high, you could overpay, which may waste your budget and not get the impressions you need to drive success Remember, return-on-investment (ROI) is a ratio of how much you make divided by how much you spend. Hitting your ROI or ROAS goals is often more about keeping your costs in line rather than solely focusing on selling more products.

2

Question?

In auction-based media, bidding is critical, and it’s not that easy.

If you bid too low, you won’t win the high-value Walmart Connect auctions you want and may have trouble spending your budget If you bid too high, you could overpay, which may waste your budget and not get the impressions you need to drive success Remember, return-on-investment (ROI) is a ratio of how much you make divided by how much you spend. Hitting your ROI or ROAS goals is often more about keeping your costs in line rather than solely focusing on selling more products.


Remember, return-on-investment (ROI) is a ratio of how much you make divided by how much you spend. Hitting your ROI or ROAS goals is often more about keeping your costs in line rather than solely focusing on selling more


00
Stat description big text

Stat desription/attribute small text

00
Stat description big text

Stat desription/attribute small text


In auction-based media, bidding is critical, and it’s not that easy.

If you bid too low, you won’t win the high-value Walmart Connect auctions you want and may have trouble spending your budget If you bid too high, you could overpay, which may waste your budget and not get the impressions you need to drive success Remember, return-on-investment (ROI) is a ratio of how much you make divided by how much you spend. Hitting your ROI or ROAS goals is often more about keeping your costs in line rather than solely focusing on selling more products.



If you bid too low, you won’t win the high-value Walmart Connect auctions you want and may have trouble spending your budget If you bid too high, you could overpay, which may waste your budget and not get the impressions you need to drive success Remember, return-on-investment (ROI) is a ratio of how much you make divided by how much you spend. Hitting your ROI or ROAS goals is often more about keeping your costs in line rather than solely focusing on selling

In auction-based media, bidding is critical, and it’s not that easy.

If you bid too low, you won’t win the high-value Walmart Connect auctions you want and may have trouble spending your budget

If you bid too high, you could overpay, which may waste your budget and not get the impressions you need to drive success Remember, return-on-investment (ROI) is a ratio of how much you

Sometimes, marketers focus too much on getting the cheapest cost-per-clicks (CPC) with a volume strategy. They keep their bids super low with the idea that the more traffic they can send to their product detail pages (PDP), the more likely they will get more sales.

But, bidding correctly is about efficiency, not about the lowest price.


About Amazon Advertising

Josh Dreller is the Senior Director of Content Marketing at Skai, an intelligent marketing platform. Dreller has worked in digital marketing since 2003 with roles across brands, agencies, and tech vendors. He has deep expertise in SEM/biddable advertising, web analytics, and media measurement.



Summary

For CPG marketers, food and beverage shows what it takes to win heading into 2026. AI is reshaping production behind the scenes, functional nutrition like fiber and gut health is driving shopper choice, and premium convenience is changing expectations across frozen and instant foods. Read on to learn what these shifts mean for the year ahead and how the right marketing mindset can help brands compete and win in 2026.

Food and beverage marketers face a year defined by contradictions. Circana projects growth at just 2-4%, driven entirely by price/mix, not volume. People aren’t eating more. They’re eating differently, paying premiums for products that align with shifting values around health, transparency, and authenticity, while simultaneously hitting a breaking point on affordability.

This creates tension across every food and beverage category. Whether you’re marketing snacks, beverages, frozen meals, condiments, or packaged foods, consumers demand conflicting things: simple ingredients produced with sophisticated technology, premium quality at accessible prices, convenience without compromising nutrition. The boundary between food and medicine blurs as 59% of consumers say gut health is important, nutrition shifts from subtraction (low-fat, low-sugar) to addition (high-fiber, high-protein, functional ingredients), and pantries become curated like design statements.

The answer for food marketers in 2026: products that feel handcrafted and human, delivered by systems that are anything but.

Commerce media for food and beverage brands

Food and beverage marketers allocate 70-75% of digital budgets to commerce media because that’s where high-intent shoppers convert.

  • Retail media reaches consumers building carts on Instacart or Amazon Fresh, filtering by organic/non-GMO/high-protein, ready to buy within minutes.
  • Paid search captures everything from recipe research to dietary problem-solving, forming the consideration set that guides eventual purchases. do
  • Paid social is where unknown ingredients become trends, niche products go mainstream, and aspirational food culture translates into actual shopping behavior.

The 2026 challenge cuts across all categories: transparency is non-negotiable. Consumers expect visibility into ingredient sourcing, processing methods, packaging materials, and environmental impact. Marketing can’t just claim authenticity. It has to prove it at every touchpoint.

Category trends: When niche ingredients go mainstream

Food and beverage categories experience cyclical ingredient trends where what’s niche today becomes mass-market tomorrow. Understanding these patterns matters whether you’re marketing cooking oils, pasta, protein bars, or functional beverages. Yesterday’s kombucha is today’s prebiotic soda. Yesterday’s plant-based is today’s precision fermentation. The ability to recognize emerging ingredients before they peak determines whether you’re leading trends or reacting to them.

Take two current examples reshaping their respective niches. In cooking fats, beef tallow is staging a comeback after 40 years of vilification. Whole Foods identifies “Tallow Takeover” as a top 2026 trend, citing consumers rejecting industrial seed oils and embracing nose-to-tail sustainability. Brands like Epic Provisions and South Chicago Packing market whipped and herb-infused versions for spreading and finishing, making it pantry-friendly as butter. This isn’t throwback nostalgia. It’s repositioning traditional ingredients through modern nutritional science and sustainability lenses.

In functional foods, fiber is having a similar moment. GLP-1 medications fundamentally altered dietary priorities. With appetite suppression reducing caloric intake, consumers hyper-focus on nutrient density. Fiber formulations move beyond bran into cassava root, chicory, and konjac, appearing in unexpected categories like pasta and sodas. Innova frames this as the “Gut Health Hub,” noting over half of global consumers link gut health to overall well-being.

The pattern matters more than the specific ingredients. Consumers want products that feel both traditional (ingredients recognizable to previous generations) and optimized (benefits validated by current science). This dual expectation applies across food and beverage: ancestral grains in cereals, adaptogens in beverages, fermented foods in snacks.

Retail media should highlight what makes a product category-leading. Whether it’s ingredient innovation, processing methods, or sourcing transparency, use enhanced content to differentiate. For trending ingredients gaining mainstream traction (like high-fiber pasta or seed oil-free products), bid on both the specific term AND the broader benefit it delivers. On Amazon, Thrive Market, and Instacart, target audiences already shopping adjacent categories. If marketing fiber products, target probiotic and digestive supplement buyers. If marketing premium cooking fats, target keto, paleo, and Whole30 audiences.

Paid search should intercept research across the decision journey. Build landing pages answering category-specific questions consumers actually ask. For functional ingredients, create comparison content explaining why your formulation outperforms alternatives. Test benefit angles in responsive search ads: sustainability credentials, performance metrics, health outcomes. Use YouTube pre-roll showing products in aspirational contexts that elevate category perceptions.

Paid social makes ingredients visually compelling. Produce content showing products in beautiful, authentic contexts relevant to your category. Partner with creators in adjacent lifestyle spaces: nutrition, cooking, wellness, sustainability. Create educational carousels explaining functional benefits and user-generated content proving real-world applications. Test Advantage+ with multiple positioning angles to identify what resonates with your specific audience.

The premiumization of everyday staples

Packaging has become a purchase driver across food and beverage categories, not just premium segments. Consumers choose products based on visual appeal as much as functional benefits, transforming ordinary staples into design objects worthy of display. This extends from condiments to snacks, beverages to baking ingredients. If it lives on open shelving or gets Instagrammed, aesthetics influence purchasing.

Whole Foods’ 2026 trends identify “Kitchen Couture” and “Dopamine Décor” as driving forces. Take vinegars as case study. High-end vinegars aren’t just cooking ingredients anymore. They’re functional non-alcoholic tonics marketed as digestive aids and blood sugar stabilizers. Bottles feature minimalist labels, jewel-toned liquids, sculptural shapes signaling premium positioning. These aren’t pantry staples. They’re conversation pieces.

The same premium aesthetic movement affects olive oils, canned fish, specialty salts, artisan honey, craft sodas, even pasta packaging. Brands like Brightland, Fly by Jing, and Graza prove consumers pay premium prices for products that look as good as they taste.

When your product doubles as décor, marketing shifts from purely rational benefits to emotional resonance and identity expression. Consumers aren’t just buying olive oil or vinegar or tinned fish. They’re buying artifacts signaling taste, values, and sophistication.

Retail media imagery must showcase aesthetic appeal. On Amazon and DTC sites, invest in lifestyle photography showing products styled in aspirational contexts: on counters, open shelving, dining tables alongside complementary objects. Use 360-degree views highlighting packaging design, label artistry, and color. Test product-only shots versus styled lifestyle shots to determine whether your audience responds more to aesthetic or ingredient transparency. Target shoppers who’ve purchased home goods, kitchenware, or design-forward food brands since they already pay for beautiful packaging.

Paid search should capture both functional and aesthetic intent. Create campaigns for category-appropriate functional searches (“best olive oil,” “healthiest vinegar”) but also aesthetic queries (“most beautiful packaging,” “kitchen counter display ideas”). Build landing pages featuring products in designed contexts with shoppable elements. Use Google Shopping for gift sets and housewarming presents, positioning premium staples as gifting solutions.

Paid social should lean into styling and curation. Partner with food styling, home design, and entertaining creators producing content showing how everyday products become décor elements. Create “shelfie” inspiration featuring products alongside books, ceramics, design objects. Use Instagram Shopping to tag products in styled photos. Test TikTok around “pantry organization,” “aesthetic kitchen,” and “dopamine décor” trends. Target interior design, home organization, and aspirational lifestyle audiences motivated by aesthetics as much as flavor.

Convenience meets quality: The new standard

Convenience food is shedding decades of “low quality” stigma across categories. The frozen aisle, instant meals, grab-and-go snacks, pre-made sauces, all face the same consumer expectation: deliver speed without compromising on quality, flavor, or nutrition. Brands meeting this standard capture consumers who want restaurant experiences without the labor, gourmet ingredients without the time investment, healthy eating without the meal prep.

Whole Foods identifies “Freezer Fine Dining” and “Instant Glow-Up” as trends challenging convenience stigma through complexity, authenticity, and chef-driven formulations. Frozen arancini, pupusas, and premium pizzas deliver culinary sophistication previously requiring restaurants. Instant ramen features bone broth bases and premium noodles. Single-serve coffee uses specialty beans and functional additives.

This addresses real consumer tension across all food categories: people want speed and simplicity but expect quality and flavor complexity trained by food media and restaurant culture. Brands delivering both capture lucrative markets willing to pay 2-3x more than legacy convenience options.

The premiumization applies whether you’re marketing frozen entrées, instant beverages, packaged snacks, or meal components. Consumers no longer accept that convenience means compromise.

Retail media should emphasize quality credentials. Feature chef bios, ingredient sourcing, and preparation methods prominently. Use video showing production processes that communicate care and quality. Create comparison charts showing your ingredient list versus conventional competitors, highlighting the absence of preservatives and artificial additives. Target meal kit buyers, prepared food purchasers from premium grocers, and restaurant delivery users already paying convenience premiums and valuing quality.

Paid search should intercept time-constrained meal planning. Build campaigns around category-appropriate convenience queries: “easy gourmet dinner,” “quick healthy lunch,” “instant breakfast ideas.” Create landing pages featuring quick recipe videos showing products as hero ingredients, with finished dishes looking restaurant-quality. Use Discovery ads on YouTube targeting cooking show viewers, serving pre-roll positioning convenience products as easier alternatives. Develop retargeting serving dinner inspiration during peak meal-planning hours.

Paid social should showcase finished results, not packaging. Produce content showing transformation from package to plate in under 60 seconds. Partner with busy parents, working professionals, and meal prep creators, authentically positioning products as time-saving without quality compromise. Create “expectation vs. reality” content where expectation is typical convenience food and reality is beautifully presented results. Use carousel ads showing multiple preparation options. Target audiences engaging with recipe content, but also following food critics and fine dining.

How Skai empowers food and beverage marketers

Food and beverage marketing demands managing extensive product catalogs, responding to rapid trend cycles, and balancing brand storytelling with performance conversion. When ingredient trends shift or new categories emerge, brands need to pivot their creative, messaging, and budget allocation quickly. Skai’s retail media solution provides unified campaign management across Amazon, Instacart, Walmart, Kroger, and Target, launching coordinated promotions and new product introductions from a single platform. SKU-level performance data and automated bidding responding to inventory and competition ensures spend flows to in-stock, high-margin, converting products.

The food journey fragments across platforms. Consumers discover on TikTok, research nutrition on Google, read reviews on Amazon, buy via Instacart for same-day delivery. Skai’s cross-channel attribution reveals true customer paths: maybe Instagram drives awareness, Google captures research, retail media closes sales. For new product launches, you might discover YouTube recipe content drives 40% of Amazon conversions, signaling need to maintain video investment even when it’s not direct response.

Food trends move fast. What’s niche in January can be mainstream by March. Skai’s competitive intelligence monitors category trends, competitor promotions, and emerging search patterns, alerting when it’s time to capitalize on rising demand or defend against threats. If searches for a trending ingredient spike 300% in a month, Skai surfaces those signals early, allowing budget shifts and creative updates while competition reacts.

Conclusion: Meeting consumers where values and practicality intersect

Food and beverage marketing in 2026 requires navigating fundamental contradictions: consumers want premium quality at accessible prices, simple ingredients produced with sophisticated systems, convenience without compromising health. These tensions cut across every category from snacks to beverages, frozen foods to condiments, packaged meals to cooking staples.

Success demands abandoning single-dimension positioning. You can’t just sell taste, health, or convenience. You need all three, communicated across channels to different audiences at different consideration stages. Orchestrate social creating desire, search answering questions, retail media converting intent. Test aggressively and shift budget faster than traditional planning cycles allow.

Skai is the AI-driven commerce media platform for performance advertising. For nearly two decades, the world’s top brands and agencies have trusted our award-winning technology to bring retail media, paid search, and paid social together into a single, strategic commerce media program. With embedded AI, connected data, and automation throughout, Skai helps marketers move faster, make smarter decisions, and drive more meaningful growth.

Ready to see how Skai can elevate your food and beverage commerce media strategy? Schedule a quick demo.



Frequently Asked Questions

What will shape food and beverage marketing in 2026?

AI-driven production, functional nutrition, and premium convenience will shape food and beverage marketing in 2026. Shoppers want products that support gut health, feel high quality, and are easy to buy through retail media and digital channels.

How should CPG marketers prepare for food trends in 2026?

CPG marketers should plan for faster trend cycles and more media fragmentation. In 2026, success depends on using retail media to convert demand, search to answer questions, and social to shape taste and culture.

Why is functional nutrition important for food brands in 2026?

Functional nutrition matters because shoppers are choosing foods for benefits, not just taste. In 2026, ingredients like fiber and gut health claims influence purchase decisions and support premium pricing for food and beverage brands.