You could think of it as where taste meets technology or perhaps, where soda or cereal meet cyberspace. “Devouring Digital” is one of Innova Market Insights’ Top 10 Trends for 2023.

Let’s start by deconstructing the terminology. Devouring refers to taking in something in real life—whether through eating, drinking, or lifestyle. Digital is the force that has been reshaping our lives and will have a greater impact in the years to come. We are in the middle of an accelerating digital revolution that impacts every aspect of consumers’ lives. Moreover, the digital world is evolving into a bigger, faster, more immersive and interconnected entity. It’s infusing virtual reality into everyday life and blurring the boundary between the two spheres.

This merging of the physical and the virtual worlds is often referred to as “phygitalization.” By naming a 2023 food and beverage trend “Devouring Digital,” we acknowledge the role that brands can play as they start to embrace the full potential of consumer connections by enhancing real life with digital experiences.

This rapidly advancing trajectory is opening up a virtually infinite array of novel avenues for engaging with brands, as well as giving rise to entirely new platforms, such as the multi-faceted digital wellness dimension. Although this is a process that has been gathering momentum for decades, the onset of the COVID-19 pandemic presented a definitive watershed moment, during which the push toward digital grew exponentially. In fact, two-thirds of consumers we surveyed last year agreed that the pandemic accelerated their personal transition to a digitalized lifestyle.

Let’s explore what motivates consumers to go digital, and which aspects of their lives they most hope to improve upon with the help of digital tools.

Appetite for Technology

Technology engages consumers in all aspects of their lives—how they socialize, work, relax, learn and shop. Innova Market Insights surveyed consumers in 11 countries about lifestyles and attitudes. More than half of those surveyed say they use digital technology at least once a day to connect with others, be entertained, and do their work. At least four in 10 say that digital technology is part of their learning and gaming.

A high percentage of consumers globally use at least one kind of smart technology. In several of our surveys, health and entertainment emerge as the two top areas consumers would like to improve on with the help of smart technologies.

Specifically, participants in this year’s Innova Trends Survey told us that they would like digital platforms to provide information pertaining to ingredients and their health benefits, which diet to choose, and how to decipher nutrition labels and ingredient lists. When seeking advice about the healthiness of foods and beverages, ingredients lists and nutrition labels are still the leading go-to sources.

Not surprisingly, we see general differences in attitudes toward and use of technology. In all areas, Millennials over-index and Boomers under-index compare to the average usage. Nearly one-third of Boomers say they never use smart tech—compared to about one-fifth of those who are Gen X and one-tenth of Gen Zs and Millennials.

Getting Social

It’s hard to ignore social media’s impact when it comes to seeking information. Social media can inform food choices and opinions, and many consumers use social media for inspiration about recipes and food flavors. They also might consult social media before ordering groceries or takeout/delivery meals.

Half of those we surveyed globally report that they tap into food and beverage trends via social media. When it comes to food and drinks in North America, social media is an extremely important platform for North Americans to share their own eating experiences and opinions, see what others are saying, and get food health advice.

Of course the quality of information on social media sites can vary. Approximately 40% of consumers turn to the social media accounts of official health bodies and organizations for advice, compared to about half that percentage, led by Gen Z, who trust social media influencers enough to advise them on how healthy their food and drinks might be. Social aspects—such as recommendations from friends, family and coworkers and FOMO (fear of missing out)—also motivate consumers to try digital food and beverage experiences, especially, as reported by North American respondents, on YouTube and Facebook. Social media also provide consumers with recipe and flavor inspiration.

Consumer Connections

Manufacturers can provide digital experiences on a number of different levels. QR codes have become widespread on packaging as a way to declutter the label and offer access to more detailed information about the product. Just from 2020 through 2022, we observed an increase of 323% in year-over-year growth of QR code references on food and beverage launches. Deeper involvement in digital food and beverage experiences can reach smaller niche groups of consumers.

We asked consumers across 11 countries how they felt about digital food and beverage experiences including digital promotional events on gaming platforms or metaverse activities that offer a parallel, virtual world for living out one’s digital life. Nearly half of those surveyed expressed a preference for foods and beverages that offer some sort of digital or online component and 30% professed curiosity and a willingness to give it a go. Among those who had a digital experience, 20% reported a feeling of amusement and enjoyment.

Digitalized Health

More than ever, digital tools are making personalized health and diet management more. Our survey data shows that more than half of consumers globally are increasingly looking for personalized nutritional advice on digital platforms. Furthermore, one-quarter report using smart health technology such as health apps or watches.

Companies may have growing opportunities to partner with government health departments. For example, the US Department of Agriculture (USDA) offers a shopping app that guides shoppers toward budget-friendly healthy food options and recipes that the government’s MyPlate guidance for healthy eating. USDA even lets manufacturers list incentives and integrate nutrition guidance into that retail experience.

Digital Innovation

Digital innovation goes along a spectrum that ranges from functional to entertaining. Merging food and beverage with digital experiences can be essential to reaching younger consumers. Meanwhile, many consumers are open to digital technology that simplifies and improves their food and beverage experiences. Nearly half of those we surveyed agree that technology makes food preparation and ordering quicker and helps save them time.

Consumers also say that appliance-related technology makes cooking more enjoyable. One noteworthy appliance is the oven-freezer combination marketed by Celcy for autonomous cooking. Consumers can order gourmet meals online and load them into the Celcy freezer when they arrive. A smart appliance mobile app enables consumers to place food orders, plan and schedule, meals, time the heating of meals with commute time, and automatically re-order favorite meals.

On the entertainment end of the spectrum, several brands have created digital technology experiences. Coca-Cola offers creations with abstract flavors such as LTO Zero Sugar Byte, a pixel-flavored drink born in the metaverse. Post Fruity Pebbles cereal encourages consumers to complete their own comic story and share via QR code. Ferraro Trolli purchasers can upload their receipt to free digital game content. Oreo recently launched its own metaverse experience featuring a variety of cookie-themed games.

More Opportunities

There’s more opportunity to spark and grow consumer interest in digital features such as games connected to food and beverage experiences. Interestingly, we found that the actual content of the activity or game has a surprisingly minor impact in terms of triggering motivation to partake in digital food and beverage experiences, enticing only one in eight respondents to a recent survey.

When we asked consumers across 11 markets how they felt about digital food and beverage experiences such as digital promotional events on gaming platforms, 20% were left feeling either confused or skeptical. This suggests that the digital experience had failed to create a convincing, value-added aspect to the product being marketed.

About one in five responded that they would never engage in a digital food and beverage experience and an additional one in five admitted to being unaware that such experiences exist. Manufacturers who can recreate the allure and excitement of gaming in their product-linked promotions increase the likelihood of attracting younger groups of consumers.

We look forward to exciting innovations at the intersection of digital technology and the food and beverage experience that draw more consumers into the digital and food worlds.

Lu Ann Williams is global insights director at Innova Market Insights, provider of market research services including the Innova Database. With more than 25 years’ experience in the food industry, Lu Ann is a trend expert and frequent public speaker at events worldwide. She leads a team of analysts and works with global clients. Contact her at luann.williams@innovami.com.