Functional drinks are non-alcoholic beverages containing ingredients designed to offer health benefits, such as vitamins, herbs, probiotics and dietary fibre.
In the US, health-themed beverage releases peaked between 2019-20 and now appear to have plateaued, likely as a result of tightening household budgets.
Consumers have shown a keen interest in functional beverages containing herbal extracts like turkey tail, ashwagandha and cordyceps for immunity; ginseng and green tea for energy; and collagen to promote skin-health.
Health-focused beverages
Health-focused beverages are experiencing explosive growth in popularity among consumers today, who are becoming more educated on what goes into their beverages and are taking measures such as cutting back on additives or adding their own ingredients for personalized recipes, or selecting beverages to address specific needs such as digestive health or mental clarity.
Probiotics and other gut-friendly actives have become a mainstay in functional drinks, with consumers prioritizing freshness and natural ingredients as key attributes of an ideal health drink.
Beverage brands are increasingly turning to botanical ingredients such as mushrooms, adaptogens and roots as part of their offering to help their consumers focus, reduce stress and balance energy levels. A growing list of ingredients like chaga, reishi and lion’s mane has quickly become trendy alongside more conventional brain-boosting adaptogens like ashwagandha and ginseng; adding these components naturally into beverages such as teas, coffees and carbonated drinks provides consumers with all the mental health benefits they seek.
Mental health and relaxation beverages
With COVID-19 and its hectic lifestyles in full effect, consumers have turned increasingly towards functional drinks that promote relaxation. This category is expected to experience explosive growth among Millennials and Gen Z who prioritize holistic well-being and self-care; specifically those interested in products which reduce stress or aid sleep.
These beverages feature ingredients known to promote relaxation. Such ingredients include lavender, chamomile and rose flowers renowned for their soothing qualities as well as mood-boosting supplements like L-theanine.
These functional beverages combine mood-stabilizing herbs with adaptogenic nutrients for an unwinding drink that balances moods and promotes focus and clarity. Brands like Kin Euphorics – co-founded by Bella Hadid – and Heywell offer upgraded mocktails featuring adaptogens such as ashwagandha, reishi, and lion’s mane mushrooms to elevate serotonin levels while supporting cognitive function. In addition, Aplos offers zero proof spirit products combining five soothing herbs such as valerian root and lemon balm with green tea to provide stress relief and relaxation.
Hydration and recovery beverages
Many health-minded consumers are seeking drinks with specific wellness benefits to meet a wide variety of their wellness needs, from improving digestion and energy to focus and relaxation. There is likely something out there to meet almost any specific wellness challenge or goal.
Products designed to aid hydration and recovery after exercise are popular among athletes and fitness enthusiasts. These functional beverages may contain electrolytes to replenish lost nutrients after strenuous activity.
Drinks that provide mental health support are also becoming more widely available, often focused on stress relief and relaxation. Ingredients such as CBD, L-theanine and chamomile are used to make beverages that help consumers unwind from everyday stressors; however some consumers remain uncertain of their efficacy; overpromising by brands can undermine trust between themselves and consumers and slow adoption rates for these drinks. NIQ’s report provides an overview of this rapidly expanding functional beverage market with particular attention paid to products formulated using sustainable practices that enable production methods; new product formulations with increased emphasis placed on products which offer enhanced relaxation benefits over their counterparts.
Nutritional beverages
Nutritional beverages are designed to meet a wide range of health needs and help individuals manage both physical and mental well-being, making them one of the fastest-growing beverage categories.
To ensure your nutritional drink is both safe and effective, always select a product with easily recognizable ingredients and appropriate sugar and calorie contents for your diet. Finally, assess whether its functional benefits match up with any personal health goals such as energy boosting or digestive improvement.
Although functional drinks are widely embraced, not all are created equal. Some may contain potentially harmful substances such as synthetic caffeine; other wellness ingredients, like adaptogens and nootropics have limited evidence of efficacy causing consumer suspicion of their efficacy; this in turn leads to mistrust of the category as whole. Brands must therefore maintain transparency with customers by refraining from making exaggerated claims in order to maintain customer trust.
