This year, Natural Products Expo West reaffirmed its position as one of the most influential events in the food and beverage industry. The Santatera Capital team had the privilege of attending, connecting with founders, investors, and industry leaders who are shaping the future of natural products. We sat down with our team to gather key insights from the event, highlighting emerging trends, the growing role of Latin founders, and the opportunities ahead in the food and beverage space.
For our team, attending Expo West was an enriching experience filled with valuable connections and industry insights. While the event felt more structured than in previous years, it still carried its characteristic energy and intensity. One of our team members shared:
“The magnitude of the event and the energy of the ecosystem were impressive. This was a great opportunity to identify trends, connect with passionate founders, and understand where the industry is heading.”
Emerging Trends in Food & Beverage
When it comes to trends, the themes that dominated the expo were protein, functional ingredients, and better-for-you products. A recurring topic was gut health, with a notable increase in probiotic and prebiotic offerings, from yogurts to alternative dairy products and even functional sodas.
Another trend that stood out was the rise of protein-enriched beverages that are clear and non-dairy-based. One of our team members commented:
“I was surprised to see protein beverages that looked like water but contained 12g of protein. Typically, protein drinks have a milky texture, so this innovation really caught my attention.”
Additionally, they highlighted the growing emphasis on sustainability. Brands are increasingly prioritizing not only sustainable ingredients but also eco-friendly packaging and responsible production methods.
Spotlight on Latino Founders
One of the most inspiring aspects of this year’s expo was the Latino Founders Hall, a well-curated space that brought visibility to innovative brands with deep cultural roots. Our team found it to be a highlight of the event:
“It was the only area in the expo where similar products were centralized. It promoted networking among Latino entrepreneurs and made it easier for retailers and buyers to discover Latin-inspired products.”
Flavor Innovations from Our Portfolio Companies
Some of our portfolio companies took advantage of Expo West to launch exciting new flavors that captured attendees' attention:
Wildwonder introduced its new refreshing flavor 'Cherry Lemonade' crafted to delight your taste buds while supporting gut health!
Cure announced a new presentation of its ‘Tropical Punch’ flavor now in Bulk for 28 servings!
Little Sesame surprised us with its two new varieties of hummus 'Green Goddess' and 'Golden Garlic' bringing bold flavors and fresh ingredients to elevate every bite.
Hiyo expanded its range by adding its fifth flavor ‘Passion Fruit’ to its portfolio of non-alcoholic social tonics with bold, mood-enhancing flavors.
These launches reflect the growing demand for products that not only support health but also deliver exceptional taste experiences.
Key Connections and Collaborations
Beyond trends and products, the expo was a valuable space for fostering strategic relationships. Our team engaged with other investors, including private equity firms and family funds, sharing deal flow and discussing investment opportunities in emerging categories.
Additionally, we connected with startups pushing the boundaries in plant-based snacks, functional beverages, and better-for-you indulgences. One of our team members emphasized the importance of these connections:
“We were able to strengthen relationships with investors aligned with our focus, exchange insights on different categories, and establish valuable connections for future collaborations.”
Challenges and Opportunities for Startups
While innovation was abundant, many startups voiced common challenges related to scaling production, navigating regulatory requirements, and securing distribution partnerships. One of our key takeaways was:
“Beyond having a great product, founders need to differentiate through branding, storytelling, and authenticity. Many products share similar formulations, so standing out requires a strong brand identity and a compelling narrative.”
Despite these challenges, the demand for sustainable and functional products continues to grow, presenting significant opportunities for brands that align with evolving consumer preferences.
Looking Ahead
The food and beverage industry is at a turning point where health, sustainability, and inclusivity are no longer optional, they are expected. The insights from Expo West reinforce our belief that investing in brands that prioritize both consumer well-being and environmental impact will define the next decade of the industry.
At Santatera Capital, we’re excited to continue supporting early-stage companies at the intersection of innovation and impact. To all the founders we met at Expo West, thank you for inspiring us, and we look forward to what’s next!
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