Australia’s acai obsession: How a health food became a small business battleground

In recent years, acai bowls have taken Australia by storm, evolving from a niche health food to a widespread culinary phenomenon. 

The delicious and nutritious breakfast dish, originating from smoothie bowls, has now transformed in a whole new direction with the introduction of berries pushed through soft-serve machines. 

Social media feeds full of eye-catching acai bowls, each seemingly more elaborate than the last.

The trend has not only captivated the taste buds of Australians, but has also sparked a competitive small business market.

Speaking to SmartCompany, leading acai bowl businesses across Melbourne and Sydney described the evolution of acai in Australia, and the strong competition between leading vendors.

The rise of acai

Acai is a small and purple berry native to the Amazon rainforest. Packed with antioxidants, fibre, and healthy fats, these berries have gained a reputation as a superfood. 

Traditionally consumed by the indigenous people of the Amazon, acai has now found its way into the global health food scene. 

Acai bowls typically feature a smoothie base made from acai berries, topped with a variety of fruits, nuts, seeds, and other nutritious ingredients.

But in recent years, acai bowls have transformed into a late-night luxury comparable to frozen yoghurt of gelato.

Drp Bar, located in the heart of Lygon Street, Melbourne, was founded in 2021.

Co-founder Ahmed Waseel told SmartCompany that customers are increasingly looking for a cheeky late-night snack than the breakfast option. 

“Our day sales are more healthier on the acai,” Waseel said.

“People won’t add many sauces and are gonna ask for less, because they’re trying to incorporate it into their diet.

“Whereas as you get to like the evening and late nights, it’s becoming more of a dessert for people.”

Image: Drp Bar / Facebook

Acai bowls have long been appealing to a health-conscious demographic, however the recent shift from breakfast food to late-night dessert has changed its audience.

Thirsty Monkey, a popular small business acai chain in Sydney, says business has changed since launching in 2018.

“When we first started we were closing at 5pm,” founder Jacob Najjar said.

“Before we knew it, people were still lining up till 6 o’clock trying to get in, and we were not leaving till 7.30 pm to 8 pm.

“Then we changed it to 10pm, and that’s when the dynamic changed.”

@thirstymonkey_au

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West Melbourne’s Juice Lab, known for the sugar cane drinks, branched into acai bowls and have found the customers can not get enough — making it one of their most popular items on the menu. 

“It is a health option for a dessert,” said Ahmed Haouchar, Juice Lab director.

The soft-serve-style acai bowls provide a familiar dessert aesthetic to the health food, he added.

“Instead of scooping out of a bucket with a scooper, why not put it through a soft serve machine and make it look pretty?”

An increasingly competitive market

As small businesses capitalise on acai’s new persona, competition has emerged.

While the dessert-style acai trend has spread across Australia, Thirsty Monkey believes it started the trend of soft-serve acai bowls.

“We started to get popular in 2020 and shops are starting to open up finally last year [in Melbourne],” said Najjar.

The competition is welcome, he continued.

“We want people to copy us.”

The scene has also fostered something of an inter-city rivalry.

Najjar believes that Melbourne is behind in terms of the acai soft serve trend, but leaps ahead with its deli and sandwich game.

“Melbourne is always behind us about a year or two,” said Najjar.

“I will say where it took off would be Sydney. That’s where it started just going crazy,” said Wassel.

“After Sydney, Melbourne started taking over.”

Social media becomes berry important

Much of acai’s popularity has come through social media, where users share photos and videos of their towering creations.

Now, acai businesses themselves are tapping into social media, using it as a powerful tool to showcase their products and drum up business.

Juice Lab has broken its TikTok record with 2.6 million views by jumping on the “order for Karen” trend, which grasps the idea of employees calling out names of customers to grab their orders from the counter.

@juicelab_cs

Seriously Karen? 🙄 #fyp #viral #order #for #karen #takeaway #nevergiveup

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“Social media has helped us a lot, it has boosted us massively,” said Haouchar.

Drp Bar has also jumped on the bandwagon of partnering with TikTok food reviewers who create videos promoting the acai business.

“We found that it worked well,” said Wassel.

“If [customers] trust that influencer or that foodie, they will go to those places and try it out for themselves.”

@drpbar

@Ezzat | 𝖥𝗈𝗈𝖽 ＆𝖳𝗋𝖺𝗏𝖾𝗅 Reviews drip bar and he absolutely loved everything! Thank you again for visiting. #acai #melbourne #acaibowl #unbelievableacai

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The intersection of social media, and food innovation is not only shaping Melbourne and Sydney’s acai revolution but also redefining the dynamics of success in this competitive market.

The social media competition for attention is warranted, given the size of Australia’s acai market — and attractiveness to international competition.

Oakberry, America’s fastest-growing acai franchise, is considering co-investment opportunities in Australia, aiming to pierce the already saturated market. 

With over 600 stores globally, including in the UK and Brazil, Oakberry’s interest in the Australian market underscores the country’s significance in the acai craze.

The entry of major international players into the Australian acai scene reflects the global appeal of this nutritious superfood. 

It also indicates the substantial market potential that these companies see in Australia, even in the face of local competition.

Should Oakberry enter the Australian market, it will find itself competing with a multitude of cafes, food trucks, and dedicated acai establishments offering a diverse range of options — and healthy competition.

Local businesses, fuelled by the desire for acai supremacy, are contributing to the diversity of desserts in big cities, ensuring that the experience remains dynamic and delicious.