The functional beverages market is expected to reach $174.12 billion by 2030, with a compound annual growth rate of nearly 5%, according to a new report from ResearchAndMarkets.com.
“People are becoming more conscious of the link between their diets and chronic diseases, leading to a growing interest in health-supporting beverages,” said an analyst with ResearchAndMarkets.com. “With the help of increasing media attention, health campaigns and promotion by social media influencers, natural and functional beverages have emerges as a top choice for consumers.”
According to the report, consumers are looking for plant-based or natural ingredients in their beverages to address health and sustainability concerns. These include turmeric and ginger-infused beverages for gut health concerns and matcha paired with chamomile for relaxation.
The global functional beverages market is segmented into four categories: energy drinks, sports drinks, fortified juice and dairy and dairy alternative beverages. In 2024, energy drinks held the largest market share, driven by demand for convenient energy solutions and a shift away from traditional caffeinated drinks.
On the technological side, precision fermentation is allowing food and beverage companies to create more functional ingredients and a quicker rate, helping address the consumer demand for these products. Additionally, the report notes that manufacturers are leveraging blockchain technology to enhance transparency in ingredient sourcing.
The Asia-Pacific region holds the largest share of the global functional beverage market and is expected to see a growth of 6.2% over the forecast period.
