Functional drinks have nearly matched the £24m growth of the entire carbonated category, despite being less than 5% of its size, new data shows.
The segment has grown by 26.4% – or £23.8m – to £143.5m in the space of a year [Northstar by Circana 52 w/e 25 January 2025].
That’s only slightly less than the £24.2m growth in the £4.2bn carbonated drinks category, which equates to a value rise of just 0.3%.
The biggest growth drivers for functional soft drinks were health shots, kombucha and gut health drinks, and CBD beverages – which grew value by 73%, 22% and 50% respectively.
However, despite strong interest in the segment, 55% of UK consumers don’t currently drink functional drinks, according to Northstar.
“The main driver of this gap is visibility,” said Harry Ford, head of grocery at functional drinks maker Hip Pop. “Consumers who want to drink functional can’t find the products in store. As this changes, we are seeing the subcategory grow.”
Hip Pop is among a cohort of functional soft drinks suppliers to have grown distribution as retailers respond to consumer demand for healthier products. In the last 12 months it has launched in Morrisons and Waitrose, and won Sainsbury’s first-ever meal deal listing for a prebiotic soda.
Other suppliers, like juice shot brand Moju, have sought to offer shoppers an alternative to traditional supplements. New survey data from Mintel shows more than half of UK soft drinks shoppers (52%) would prefer to consume a drink with health benefits than take a vitamin/mineral supplement offering the same benefits.
“Whereas supplements can often gather dust in a cupboard, functional drinks, and particularly functional shots, provide a fridge-fresh, craveable taste experience that encourages a healthy daily habit that consumers can stick to,” said Moju marketing director Jon Marchant.
The data went some way to explaining why “the wellness drink fixtures are in such demand” added Alex Beckett, senior director at Mintel. “People want quick fixes and they are getting them from tasty, refreshing drinks. Swallowing a chalky tablet is no longer required.”
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