The ‘Go Zero’ movement is catching fire in the beverage segment. Grocery shelves and quick commerce listings are suddenly crammed with milk shakes, aerated beverages, tonic water, coffee drinks and protein smoothies that are zero sugar or low-sugar, with many being zero-calorie too.
From big brands to start-ups, everyone is getting into this space, spurred by rising consumer demand, especially from the young set, for “healthier” drinks.
Launch Rush
The last few months have seen a spate of new launches. Take music icon Karan Aujla, who has rapped out a new zero-sugar, zero-calorie beverage brand called Zyro, in partnership with VRB Consumer Products. Available in bottles and cans, the fizzy drinks in Indi-pop flavours are being heavily promoted across social media.
Or take Hyderabad-based Beannery Foods’ brand Zumi, which is promoting clean-label, guilt-free dairy with a range of lactose-free, no-refined sugar milkshakes. Archian Foods, known for its runaway hit product Lahori Zeera, is gearing up to launch its no-sugar variant for its hit brand.
Saurabh Munjal, Co-Founder and CEO, Archian Foods, told businessline, “We have finally cracked the formulation for sugar-free variant with stevia for Lahori Zeera, and we are excited to soon launch this variant in the market. “
Portfolio Shift
Meanwhile, both Pepsico and Coca-Cola have been expanding their no-sugar and low-sugar offerings. Sources said that the zero-sugar portfolio (this includes Thums Up X Force, Sprite Zero, Diet Coke and Coca-Cola Zero Sugar) now contributes in double-digits to Coca-Cola India sales. PepsiCo, too, has been witnessing an upswing in sales of its healthier beverage offerings in India. The company’s leading bottler, Varun Beverages, said that “the mix of low-sugar and no-sugar products increased to the level of about 63 per cent of consolidated sales volume” during the March quarter.
Such is the frenzy of brands getting on to the zero-sugar rush that packaging major Tetra Pak, which helps companies with formulations as well, is seeing its order book booming. Says Saurabh Sinha, Marketing Director, Tetra Pak South Asia, “Low and reduced sugar is no longer a niche — it’s fast becoming the new baseline. We’re seeing this play out across categories, from juices and electrolyte drinks to protein beverages and even traditional categories like lassi. Brands are moving decisively – whether it’s no-added-sugar offerings from Dabur or reduced-sugar variants from ITC — and we’re partnering closely with many of them, including Kenvue, Parag, and others to enable this shift.”
Sinha says that to help brands move faster, Tetra Pak has built a plug-and-play low sugar toolkit that combines consumer insights, packaging innovation and ready-to-deploy formulation options – from juice blends to optimised sweetener systems and compliant sugar claims.” Some of the innovations include high-protein coffee and chocolate milkshakes with no added sugar, and even vegan variants to tap into other emerging consumer needs.
On a recent investor call, Mohit Malhotra, Global CEO, Dabur India, said that the company’s Real Activ portfolio, which has no added sugar, is growing at 26 per cent and the company is scaling it up. He added that in the nectar juice segment, the company is focusing on reducing sugar levels and adding new variants.
Tetra Pak’s Sinha notes that natural sweeteners like stevia and monk fruit are gaining traction alongside established options like sucralose. “The real unlock lies in how these are combined and calibrated. Taste, mouthfeel, stability, cost and shelf life all matter – and the brands that get this balance right will define the next wave of low-sugar innovation,” he forecasts.