The food and beverage sector is undergoing significant change as evolving views on health, quality, and everyday consumption redefine brand relevance. The category has long demonstrated durability and continues to offer compelling opportunities, but its long-term trajectory will depend on how effectively companies adapt as the role food plays in consumers’ lives continues to evolve.
A category that performs and evolves
Food and beverage has been one of the most enduring segments of the consumer economy. With an estimated US market size exceeding $2.6 trillion1, the category has delivered steady mid-single-digit growth over the past decade2 and continues to represent a meaningful share of household consumption. Its resilience, however, tells only part of the story. Increasingly, brands win by adapting to and shaping evolving consumer behaviors, rather than relying on broad-based expansion, and the barriers for new entrants to take market share from legacy players has arguably never been lower.
“Consumers are no longer just looking for food that satisfies hunger,” said Tricia Glynn, Managing Partner at Advent. “They expect products to support their health goals, reflect their values, and integrate seamlessly into daily routines. They are seeking out restaurant-quality experiences at home. For brands, that raises the bar on execution and rewards those that invest consistently in understanding their customer base.”
“What matters most to us are the shifts happening under the surface,” adds Michael White, Director on Advent’s Consumer team. “Consumers are exploring bolder flavors, prioritizing health and simplicity, and gravitating toward brands that feel personal and authentic.”
As consumers rethink the role food plays in supporting health, longevity, and lifestyle, innovation across the category is evolving accordingly. Brands that align with these behavioral shifts, while maintaining clarity of positioning and operational discipline, are increasingly capturing outsized growth.
These dynamics have helped fuel the rise of insurgent brands – smaller, focused businesses that earn loyalty through differentiated products and positioning. Despite representing a small share of total category sales, these brands have captured a disproportionate share of incremental growth in recent years.
Where we play
Advent’s approach to food and beverage investing is thematic and deliberate. Our Consumer team is organized around sub-sector sourcing cells, enabling deep market knowledge, early relationship development, and conviction-led underwriting.
“We do not chase trends,” said Neha Mathur, Director at Advent. “Our focus is on supporting sustainable scale over time and backing the brands and portfolios that prioritize durable behavior shifts, which we believe will enable them to continue to innovate for decades to come.”
That discipline has resulted in twelve food and beverage investments over the past fifteen years. Most recently, Advent invested in Sauer Brands, a platform of high-growth condiments and seasonings anchored by Duke’s Mayo and Mateo’s Salsa. The investment followed years of deliberate tracking by our food & beverage sourcing cell and long-standing conviction in the brands’ consumer loyalty and growth potential. It also builds on a proven playbook previously applied at Sovos Brands, where operational scale, disciplined brand extension, and consumer-led innovation supported significant value creation prior to exit.
“Building a brand portfolio requires precision,” said Todd Lachman, Advent Operating Partner, former Sovos Brands Chief Executive Officer, and Chair of Sauer Brands. “At Sovos, we demonstrated that a focused approach to brand building, combined with operational excellence and strategic M&A, can have a significant impact. We’re applying those same principles at Sauer to build another category-defining platform.”
“In each case, the foundation was a strong core brand with real consumer pull,” Glynn adds. “From there, we work alongside management to expand adjacencies, strengthen distribution, and invest behind the capabilities needed for long-term growth.”
Lessons from the kitchen table
Our philosophy remains rooted in consumer relevance and respect for the core business.
“You do not transform businesses by abandoning what made them successful,” said Sami Kahale, Advent Operating Partner and Chair of portfolio company IRCA. “You start with a great product, then build through thoughtful innovation, better distribution, and strong teams.”
That philosophy shapes how Advent supports change across its consumer investments. Through our hands-on deal team, Operating Partner3 network, and deep industry relationships we provide targeted expertise to help management teams strengthen capabilities, refine strategy, and execute with discipline. The emphasis is on enacting change thoughtfully, so businesses can scale while protecting long-term brand health.
Looking ahead
As consumer expectations continue to evolve, food and beverage will remain a category where enduring brands balance heritage with measured reinvention.
“We focus on backing businesses with the potential to endure,” Glynn concludes. “These are brands you would be proud to own for decades, not just years. That long-term mindset shapes how we invest, how we partner with management teams, and how we think about value creation over time.”
HEAR FROM OUR OPERATING PARTNERS
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“Whether you’re building a brand from scratch or working inside an icon like Rao’s, the truth is the same: taste wins. Consumers have more choices than ever, and time and time again, they come back for what’s simply delicious.”
Bill Johnson
Operating Partner, Advent -
“Get closer to the consumer and the shopper than anyone else and use that to make better calls. Stay true to your roots, but don’t confuse roots with rigidity – brands with longevity adapt as consumer needs evolve.”
JP Bilbrey
Operating Partner, Advent
- USDA, Economic Research Service, Food Expenditure Series: Total U.S. food-at-home and food away-from-home expenditure. Includes food and non-alcoholic beverage. ↩︎
- U.S. Bureau of Economic Analysis, Personal Consumption Expenditures. Note: Statistics represent all food categories (food at home and food away from home). All values are in nominal dollars, not adjusted for inflation. Data are as of September 2025 and are subject to revision as additional information becomes available. ↩︎
- Operating Partners are senior industry executives who can provide deep sub-sector and functional expertise. They are retained as third party industry consultants in an advisory capacity for a defined period of time. ↩︎
