Please kindly provide 2018 market trend of functional beverage.



Market Insights
  • The global functional beverage marketwas valued at USD 26.2 billion in 2015, at an expected CAGR of 6.5% during the forecast period, 2017-2022.
  • Functional beveragesare non-alcoholic drinks which provide specific health benefits and contains non-traditional ingredients like minerals, vitamins, amino acids or added raw fruits.
Market Demands
  • A big demand is coming from the millennials. Rising health care & wellness awareness together with busy lifestyles have led to the growing demand for convenience beverages. These factors along with the idea of “healthiness-on-the-go” and innovations in the drink flavors have led to surge in demand for health associated functional drinks and beverages ; which are considered alternatives to traditional supplements.
  • The incorporation of natural ingredient & technological advancements in functional beverages become the focus areas of major players in the market.
  • Besides, the consumer demands for clean label have been on the rise.
Market Segmentations
  • Energy drinkssports drinks and nutraceutical drinks are the major segments of the global functional beverages market.
  • The energy drink market is forecasted to be the fastest growing segment due to the steadily growing demand from active consumers.
  • Functional beverages are the emerging class of natural products which helps in reducing the risk of chronic diseases beyond basic nutritional functions.
  • The functional beverages market is one of the fastest emerging markets due to the minerals and herbs content in the drinks。
  • Additionally, it is also used to keep blood sugar levels under control leading to increased demand.
  • Consumers are now looking for variations in daily drinks which include hydration along with performance & even preventive measures taken for specific health conditions.
  • The major ingredients used are vitamins, amino acids and omega-3 fatty acids – used to slow fatigue and vitamins are added to boost the metabolism and generate energy in functional beverages.
  • Omega-3 is widely used and its market is forecasted to grow as it controls inflammation.
  • Prebiotics and probiotics are another ingredients widely used in these drinks to ensure proper functioning of digestive system.
Targeted Population
  • Asia-Pacific is forecasted as the fastest growing market.
  • The major driver factors including the trending of health awareness amongst all age group consumers, athletic regime, work culture, and busy lifestyle.
  • Economic growth, changing lifestyle, health awareness are the major factors for the market attractiveness.
Major Players
  • The functional beverage industry is highly concentrated with top ten companies accounting for more than 50% of the market share.
  • The leading players in the market including:- Nestle, PepsiCo, Mondo laze and Fonterra among others.


Market Examples

New Innovations 2018



Digestive Wellness










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Calder, P. 010). Omega-3 Fatty Acids and Inflammatory Processes. Nutrients, 2(3), 355-374.

Mellentin, J. (2017). Key Trends in Functional Foods & Beverages for 2018.

Mordor Intelligence. (2017). Global Functional Beverage Market – Growth, Trends and Forecasts (2017 – 2022), Industry Reports.

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