Global functional beverages market positioned for significant growth: Study

The global functional beverages market is expected to hit US$216.7 billion by 2028, up from US$125.39 billion in 2020, growing at a CAGR of 7.08% during the forecast period 2021-2028, according to a report published by Fior Markets.

The functional beverages market delivered significant growth in recent years, with ready-to-drink (RTD) drinks becoming more common, as consumers strive to preserve healthy health despite their hectic lifestyles.

According to the report: "millennial customers will demonstrate a strong preference for convenience foods and drinks with a diverse nutritional profile.... Manufacturers are capitalizing on these developments by developing new products, such as vegan and plant-based drinks. Furthermore, nootropic beverages are becoming increasingly popular with health-conscious customers. In the near future, such advances will change the global functional beverage industry.

Functional beverages come in a variety of forms, but basically keep the body hydrated while providing a nutritional balance, often fortified to help people of all ages combat health issues. The study shows that among customers' first options for grab-and-go snacks is functional drinks, which offer health-related benefits, such as boosting the immune system, enhancing mental capability, controlling cholesterol, improving bone health, improving heart health, and other benefits associated with vision and eye safety. Many energy drink producers are stepping in, actively experimenting with different new products, such as sugar-free products.

Overall, functional drinks are becoming a more important part of people's diets, especially among health-conscious people.