Functional and Fortified Beverages Market Size is predicted to grow with a 7.9% CAGR during the forecast period for 2025-2034.
Functional and fortified beverages containing bioactive substances, vitamins, minerals, and other functional components aim to boost performance, address specific health concerns, improve general well-being, and provide essential nutrition and hydration. The demand for these beverages has increased as customers emphasize health and wellness more, appealing to those concerned about their health and wanting more than essential nourishment. Generally speaking, functional drinks are made by lowering unhealthy ingredients like sugar and fat while adding healthy ones.
The choice of ingredients in these drinks is directly influenced by their composition, affecting their stability and texture. Global market trends in these beverage sectors are still changing, with non-alcoholic functional beverage production rising along with consumer interest in food supplements. These drinks frequently contain natural components such as fruits, vegetables, plant extracts, vitamins, minerals, and amino acids to meet the growing demand from consumers for healthier and more nutrient-dense options
In October 2024, Nestlé's Nespresso launched its first ready-to-drink coffee product, the Master Origins Colombia, combining high-quality coffee beans with Colombian honey to meet the growing consumer demand for convenient, functional beverages. Consumers are increasingly seeking beverages that offer health benefits beyond basic hydration, such as immune support, digestive health, and cognitive function. Rising concerns about obesity, diabetes, and heart diseases are driving demand for drinks with functional ingredients like probiotics, adaptogens, and plant-based proteins.
The surge in on-the-go consumption has increased interest in ready-to-drink (RTD) functional beverages, including protein shakes, energy drinks, and meal-replacement options. Functional waters and enhanced juices provide an easy way for consumers to meet their daily nutritional needs. In contrast, older consumers specifically seek beverages fortified with collagen, calcium, vitamin D, and antioxidants to support joint health, bone strength, and cognitive function. As longevity and disease prevention become mainstream concerns, the functional beverage market is evolving to cater to these needs. Additionally, the fitness and wellness industry continues to fuel demand for hydration solutions, electrolyte-rich drinks, and energy-boosting beverages, with functional options tailored for athletes, gym-goers, and endurance sports enthusiasts expanding rapidly.
Competitive Landscape
Some of the Major Key Players in the Functional and Fortified Beverages Market are
• PepsiCo, Inc.
• Nestlé S.A
• Danone S.A
• Abbott Laboratories
• Amway Corp.
• Campbell Soup Company
• Clif Bar & Company
• GNC Holdings LLC
• Monster Beverage Corporation
• National Beverage Corp.
• Red Bull GmbH
• The Coca-Cola Company
• LaCroix Beverages, Inc.
• Gerolsteiner Brunnen Gmbh & Co. K.G.
Market Segmentation:
The functional and fortified beverages market is segmented based on the product type, distribution channel, and function. Based on the product type, the market is divided into energy drinks, dairy-based functional beverages, plant-based beverages, probiotic & prebiotic drinks, herbal & botanical infused drinks, vitamin & mineral fortified beverages, and sports & performance drinks. Based on distribution channel, the market is divided into supermarkets & hypermarkets, convenience stores, pharmacies & health stores e-commerce & DTC. Based on function, the market is divided into health and wellness, energy and rejuvenation, hydration, weight management, digestive health, and immunity.
The Probiotic & Prebiotic Drinks Segment is Expected to Have the Highest Growth Rate During the Forecast Period
Based on the product type, the market is divided into energy drinks, dairy-based functional beverages, plant-based beverages, probiotic & prebiotic drinks, herbal & botanical infused drinks, vitamin & mineral fortified beverages, and sports & performance drinks. Among these, The Probiotic & Prebiotic Drinks Segment is Expected to Have the Highest Growth Rate During the Forecast Period. Consumers increasingly prioritise gut health due to its strong connection with immunity, mental health, and metabolic functions.
Growing awareness of probiotics and prebiotics in preventing gastrointestinal issues, along with scientific studies linking gut microbiota to immune function, obesity prevention, and mental well-being, is driving trust in these beverages. Additionally, government regulations in various countries support probiotics as functional food ingredients. As a result, probiotic and prebiotic drinks are projected to experience the most rapid growth in the functional beverage market, driven by their broad health benefits and rising consumer interest in gut health.
North America Has the Largest Market Share During the Forecast Period.
North America dominates the Functional and Fortified Beverages Market due to strong demand for health-focused drinks, including probiotics, electrolytes, and plant-based ingredients.
Consumers prioritize clean-label, organic, and natural beverages, while major players like PepsiCo, Coca-Cola, Nestlé, and Keurig Dr Pepper drive innovation and product expansion. The region also sees rapid growth in startups and niche brands specializing in plant-based and gut-health-focused drinks. Additionally, the rising number of fitness-conscious consumers fuels demand for sports drinks, protein shakes, and electrolyte-rich beverages, expanding the market for hydration and energy-boosting solutions tailored for athletes and gym-goers.
Recent Developments:
• In March 2025, PepsiCo acquired Poppi, a prebiotic soda brand known for its low-sugar, gut-health-focused beverages, for $1.95 billion. This acquisition boosted PepsiCo's portfolio in the functional beverage sector and catered to the growing consumer demand for healthier drink options.
• In January 2024, Abbott developed PRotalityTM, a brand designed to help adults lose weight. The first product is a high-protein nutrition smoothie that supplies the necessary elements to preserve muscle mass and performance throughout weight loss.
Functional and Fortified Beverages Market Report Scope:
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Report Attribute |
Specifications |
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Growth Rate CAGR |
CAGR of 7.9% from 2025 to 2034 |
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Quantitative Units |
Representation of revenue in US$ Bn and CAGR from 2025 to 2034 |
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Historic Year |
2021 to 2024 |
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Forecast Year |
2025-2034 |
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Report Coverage |
The forecast of revenue, the position of the company, the competitive market structure, growth prospects, and trends |
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Segments Covered |
By Product Type, Distribution Channel, and Function |
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Regional Scope |
North America; Europe; Asia Pacific; Latin America; Middle East & Africa |
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Country Scope |
U.S.; Canada; U.K.; Germany; China; India; Japan; Brazil; Mexico; The UK; France; Italy; Spain; Japan; South Korea; Southeast Asia |
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Competitive Landscape |
PepsiCo, Inc, Nestlé S.A, Danone S.A, Abbott Laboratories, Amway Corp, Campbell Soup Company, Clif Bar & Company, GNC Holdings LLC, Monster Beverage Corporation, National Beverage Corp, Red Bull GmbH, The Coca-Cola Company, LaCroix Beverages, Inc., Gerolsteiner Brunnen Gmbh & Co. K.G. |
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Customization Scope |
Free customization report with the procurement of the report, Modifications to the regional and segment scope. Particular Geographic competitive landscape. |
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Pricing And Available Payment Methods |
Explore pricing alternatives that are customized to your particular study requirements. |
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