The food with extra nutritional values along with potential favorable effect on health is known as functional food. According to the doctors, functional food is an effective way to reduce the risk of diseases and provide an optimal health. In a similar way, functional beverage is a non-alcoholic drink which includes vitamins, herbs, minerals, amino acids, or raw fruit to add flavors. Functional foods are natural and processed having nutritional elements along with active biological compounds, which result in a healthy body if taken in a proper quantitative and qualitative way. Functional foods have numerous health benefits for prevention and treatment of chronic diseases.
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Functional food and beverages have gained attraction from people who are concerned of precise health benefits from their foods and beverages. Consumers are more concerned about both convenience and health; hence this plays an important role in consumer’s decision-making while opting for food and beverage. People preferring to prevent diseases by consuming healthy and nutritional food rather than keeping ill due to various diseases may act as the growth factor of the global market. Young generation giving more importance to their fitness may drive the market growth in a positive way in the near future. Growing interest, increasing healthcare expenditure, and rising awareness among people regarding proper diet which advances immune system are some of the key factors boosting the global functional foods market.
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On the basis of beverages, the global functional food and beverages market is segmented as energy drinks, nutraceutical drinks, sports drinks, dairy-based beverages, and juices. The energy drinks segment is major segment of the market followed by nutraceutical and sports drinks segment. The global market is segmented based on biological ingredients, depending on the nutritional values, as minerals, fruit extracts, vitamins, amino acids, and antioxidants. On the basis of functional food, the global market is segmented as bakery and cereal, prepared dairy products, confectionery, frozen and chilled foods, supplementary foods, and probiotic foods. Some of the products in this category are soy protein nutrients, magnesium, calcium, and glucosamine.
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North America is the largest market for functional food and is anticipated to continue this trend and dominate the global functional food and beverages market in the near future. The United States has proved to be the largest consumer, experiencing highest demand for these products in the region. Owing to growing health consciousness and increasing disposable income of consumers, Asia Pacific is expected to witness considerable growth in the future. In addition, China, India, and Australia are also anticipated to witness significant growth in the coming years.
Some of the major players dominating the global functional food and beverages market are Arla Foods, Cargill Inc., Campbell Soup Company, Coca Cola Co., Dr. Pepper Snapple Group Inc., Dean Foods, and General Mills Inc. Other major players influencing the global market include GlaxoSmithKline Co., Groupe Lactalis, Groupe Danone, H.J. Heinz Co., Hormel Food Corporation, Hershey Co., Kellogg Co., Meiji Group, Mars Inc., and Mondelez.
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Functional Foods and Beverages Market: Regional Segment Analysis
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