Functional beverages have emerged as the frontrunners in the drink industry, echoing a global shift towards health and well-being. The market is valued in the billions and projected to soar to even higher, creating an undeniable opportunity for beverage companies.
Consumers are increasingly prioritizing holistic health and the demand for beverages offering tangible health benefits is booming. Crafting a line of functional beverages could be the golden ticket for innovative consumer goods companies eyeing the next big thing.
Ready to formulate a product launch? Here are the benefits and ingredients driving healthy beverage demand.
Global Health Consciousness and Functional Drink Market Growth
The evidence is in the numbers. The functional beverage market, already a titan with a valuation of USD 148.26 billion in 2023, is not slowing down. Projections indicate that by 2028, this market will burgeon to an impressive $203.41 billion.
This growth trajectory underscores a global appetite for beverages that do more than quench thirst; they promise better health and well-being.
The US, with a market worth $50 billion, is a testament to functional beverages’ allure. Accounting for a significant 27 percent of global sales, the US market highlights the nation’s keen interest in integrating health-centric drinks into their daily routines.
Whether for energy, immunity, or holistic wellness, Americans are voting with their wallets, making the US a pivotal player in the global functional beverage arena.
What Are Consumers Looking for?
Selecting ingredients that foster health but also appeal to the product market are pivotal in the formulation of a successful functional beverage. Consumers are not just seeking a tasty drink; they’re looking for bottles packed with ingredients that offer tangible benefits and portray a health-conscious image.
Immunity First
Immunity remains a top health priority. A significant 53 percent of consumers prioritize beverages enriched with immune-boosting properties. Vitamin blends, omega-3 fatty acids, and probiotics are among the most sought-after components for bolstering immunity. Adaptogenic herbs like ashwagandha and ginseng are also in high demand.
Beauty in a Bottle
The trend of “beauty from within” is on the rise. Beverages containing elements shown to boost skin and hair health are gaining traction. Added ingredients like collagen are increasingly popular, signaling a shift towards drinks that enhance one’s appearance.
Performance Boosters
Functional beverages offer needed nutrient support to everyone – not only athletes. More consumers are choosing drinks that include vitamin supplements designed to promote muscle recovery, endurance, and an overall active lifestyle. These include electrolytes, BCAAs (Branched-Chain Amino Acids), and plant extracts.
Holistic Well-being
Holistic health and wellness are increasingly important to consumers. Ingredients like ginger, turmeric, and other Ayurvedic spices are gaining prominence – not just for their individual health benefits – also for their roles in nurturing overall mental and physical well-being.
What Healthy Beverage Trends Are Worth Exploring?
As the beverage industry adopts a health focus, trends that align with consumers’ health and wellness aspirations have emerged as game-changers.
Here are the top markets to watch:
- Hemp D9: A compound distinct from the more commonly known delta-8 THC, hemp D9 provides a psychoactive effect similar to traditional cannabis but is derived from hemp, a plant that has been legally distinguished from marijuana. Hemp-derived delta-9 products have the potential to revolutionize the industry, offering a similar buzz without the regulatory constraints of marijuana. In states where cannabis remains off-the-table, business is booming. More than 120 brands are already selling hemp-derived delta-9 products online.
- Adaptogens: Natural herbs like ashwagandha and rhodiola are celebrated for their stress-reducing and balance-restoring properties, becoming a staple in wellness drinks. Prominent outlets like the Washington Post recently reported about their benefits.
- Psychedelics: There’s growing interest in microdosing psychedelics, such as psilocybin, for potential mental health benefits and heightened cognitive performance. With or without regulation, they are already finding their way into the functional beverage space. Check out this product roundup from Food52.
- Kratom: The demand for kratom is evident, with sales in US smoke shops surpassing those of CBD and delta-8, second only to tobacco. The market is still relatively untapped, with few major kratom brands dominating, indicating room for new beverage entrants.
Launch the Next Functional Beverage Trend with Rexis Biotech
The future of health-forward functional drinks is flavorful and functional. Brands that can seamlessly blend taste and therapeutic effects will undoubtedly lead the market.
Rexis Biotech sits at the forefront of this space, leveraging groundbreaking nanotechnology to help formulate products that are not only delicious but packed with powerful health benefits.
Ready to revolutionize the functional beverage industry with us? Partner with Rexis Biotech today.
