Functional Beverages Market Outlook
Functional beverages contain ingredients such as minerals, herbs, raw fruit, probiotics, and artificial ingredients. It provides nutritional value, and it shows a positive impact on the body and mind. Functional beverages fulfil the food and beverage deficiencies. The growing development of large retail stores such as supermarkets and hypermarkets, and specialty stores for functional beverages availability is driving the Functional Beverages Market by increasing its sales rate.
Today’s generation is more into fitness enthusiasts and inclining toward a healthy lifestyle is another chief factor driving the Functional Beverages Market Analysis The awareness among people to participate in national and international level sports is increasing athletes’ numbers, further accelerating the market in the forecast period. The major industrial manufacturers are launching products to define their tastes to meet the need of a growing number of casual users of sports and energy drinks. Moreover, the distribution channel is playing a major role in the functional beverages market growth. The specialty store, supermarkets, and hypermarkets contribute to the market’s growth. Functional Beverages Market Size was valued at USD 145.2 billion in 2022. The functional beverages market industry is projected to grow from USD 153.3 Billion in 2023 to USD 212.6 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 5.60% during the forecast period (2023 - 2030).
Market Segments
The Functional Beverages Market Report is segmented into type, distribution channel, end-user, and function.
The type of fragment of the market is segmented into Energy Drinks, Sports Drinks, Functional Fruits and Vegetable Juices, Prebiotic and Probiotic Drinks, Dairy Alternative Beverages, Functional Dairy Products, Water and Teas, and Coffee.
The distribution channel of the market is fragmented into store-based and non-store-based. The store-based segment includes supermarkets and hypermarkets, specialty stores, departmental stores, etc. The non-store based is categorized into E-Commerce, online retailing, and others.
The end-user fragment has athletes, fitness lifestyle users, and others. The function section of the market is comprised of Energy Rejuvenation, Health Wellness, and Hydration and Weight Management.
Competitive Landscape
The Key Functional Beverages Market Players use a variety of competitive methods such as acquisition, merger, and collaboration. Consumers' growing health consciousness is encouraging businesses to focus more on developing innovative, high-quality functional beverages to obtain a competitive advantage. The major key players included are: Nestle S.A.(Switzerland), The Coca-Cola Company (U.S.), PepsiCo Inc. (U.S.), Halen Brands Inc. (U.S.), Fonterra Co-operative Group Ltd. (New, Zealand), Mondelez International Inc. (U.S.), GacLife (U.S.), Monster Beverage Corporation (U.S.), Kraft Heinz Company (U.S.), Campbell Soup Co. (U.S.), Danone (France)
Regional Analysis
According to the geographical status, the Functional Beverages Market Research is distributed in major regions such as North America, Europe, Asia Pacific regions, and other remaining parts of the globe.
The European region has captured the highest market share in the past years. The European market will achieve a significant growth rate in the future years. North America is the next leader in the market due to the wider functional beverage options offered by the prominent manufacturers, along with attractive packaging to grab the attention of the targeted customers.
The APAC region will grow at a high rate in the forecast period due to the rise in consumer awareness regarding health issues. The wide choices of functional beverages among the public is another region driving the regional market. The change in lifestyles of Asian consumers for higher demand for convenience beverages is driving the sales of functional plant-based, functional energy drinks and malt-based hot drinks to grow steadily.
Industry News
In May 2022, Koios will announce its KOIOS nootropic functional beverages to approve the placement in over 600 CVS locations such as Texas, Tennessee, Missouri, New Jersey, California, Florida, Indiana, and New York. CVS is considered the largest retail pharmacy in the US and the largest corporation in the world.
Frequently Asked Questions (FAQ):
what are CAGR is the Functional Beverages Market projected to grow in the forecast period (2022-2030)?
The functional beverages market size of 200,050.6 million is expected to grow at a CAGR of 5.6% during the Forecast Period 2022-2030.
