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LONDON, GREATER LONDON, UNITED KINGDOM, June 26, 2025 /EINPresswire.com/ -- The Business Research Company’s Latest Report Explores Market Driver, Trends, Regional Insights - Market Sizing & Forecasts Through 2034
The functional beverages market size, currently undergoing a significant growth rate, is projected to rise from $164.8 billion in 2024 to $175.84 billion in 2025, reflecting a compound annual growth rate CAGR of 6.7%. This impressive escalation during the recent years can be attributed to factors such as strong economic growth in emerging markets, increased investments, an upsurge in the number of athletes, a rise in demand for clean-label, organic, and non-GMO genetically modified organism products, and an increased penetration of organized retail.
What Might The Future Market Size Of Functional Beverages Market Look Like?
The outlook for the functional beverages market remains positive and the estimations indicate it will further grow to $220.93 billion in 2029 at a CAGR of 5.9%. This projected growth can be associated with the snowballing number of health-conscious consumers, a rising demand for immunity-boosting foods and beverages, and an increasing global populace. The forecast period will also be characterized by the launch of various new products, such as relaxation drinks, cannabidiol CBDFNAS-infused functional drinks, protein-based functional beverages, vegan/plant-based functional beverages, and healthy hydration drinks. In addition, the market will see the introduction of nootropic drinks, low-calorie, sugar-free beverages, and an increased number of partnerships and collaborations.
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What Are The Growth Drivers Of The Functional Beverages Market?
The prevalence and influence of E-Commerce is also expected to significantly propel the growth of the functional beverage market. E-Commerce, being a versatile and powerful platform for the buying and selling of products or services over the internet, provides functional beverage brands with an invaluable opportunity to connect with consumers, optimize sales processes, and adapt to the dynamic market shifts. This influential trend might just drastically reshape the market in the years to come.
Who Are The Major Players Shaping The Functional Beverages Market?
Major players contributing to the current growth of the functional beverages market include renowned names such as PepsiCo Inc., The Coca Cola Company, Red Bull GmbH, Danone, Nestle S.A, Monster Beverage Corporation, and Dr. Pepper Snapple Group. Other significant contributors include Fonterra Co-Operative Group Ltd, Kraft Heinz Company, Abbott, and Dali Foods Group Co. Ltd.
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What Emerging Trends Are Influencing The Functional Beverages Market?
In an atmosphere of intense competition, major beverage companies are focusing their efforts on developing innovative products to improve their market standing. A prime example is the development of functional sparkling water, carbonated water infused with additional ingredients to provide specific health or functional benefits.
How Is The Functional Beverages Market Segmented?
The functional beverages market can be segmented as follows:
1 By Type: Energy Drinks, Sports Drinks, Nutraceutical Drinks, Dairy-Based Beverages, Juices, Enhanced Water, Other Types
2 By Function: Health And Wellness, Weight Management
3 By Distribution Channel: Brick And Mortar, Specialty Foodservice Stores, Online
It further comprises of the following subsegments:
1 By Energy Drinks: Caffeinated Energy Drinks, Herbal Energy Drinks, Organic Energy Drinks, Sugar-Free Energy Drinks
2 By Sports Drinks: Electrolyte Drinks, Protein-Based Sports Drinks, Recovery Drinks, Powdered Sports Drinks
3 By Nutraceutical Drinks: Probiotic Drinks, Functional Teas, Immunity-Boosting Drinks, Herbal Infusions
4 By Dairy-Based Beverages: Flavored Milk, Yogurt Drinks, Kefir, Plant-Based Dairy Alternatives
5 By Juices: Freshly Squeezed Juices, Cold-Pressed Juices, Smoothie Juices, Concentrated Juices
What Are The Regional Insights Into The Functional Beverages Market?
Asia-Pacific dominated the functional beverages market in 2024, followed closely by Western Europe. The regions covered in the functional beverages market report extend to Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, and Africa.
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