THE FUTURE IS FUNCTIONAL January 17, 2025

Over the last few years, multiple incidents across the globe have prompted a shift in the customer mindset towards immunity boosting and wellness foods. Functional foods and beverages have caught the imagination of the consumer. One is increasingly conscious of what one eats, and how it benefits the body. Though this is not a flash in the pan. For a while now, functional foods and beverages have been enticing customers. Since the pandemic, there has been a growing demand for foods that cater to specific body requirements, rather than provide a holistic wellbeing experience.

BUT IS IT A NEW CONCEPT?

Food and beverages have provided therapeutic benefits for centuries. In fact, it was first propagated by the father of medicine, Hippocrates over 2500 years ago. He said, “let food be thy medicine and medicine be thy food.” Over time, focus shifted towards medical advancements, the importance of dietary intake took a backseat. However, the pandemic changed the scenario and put food front and centre again. Food and beverages with documented health benefits comprise this functional segment. Superfoods like kombucha, coconut water, matcha, goji, edamame, turmeric, black garlic, dragon fruit, are on most shopping lists. On the grains front, we see a significant increase in the demand for farro, chia, quinoa, and millet. Customers are hitting the functional food and beverage section to address issues related to sleep, energy, mood swings, concentration, skin, and hair ailments.

THE FUNCTIONAL FOOD AISLE

Functional snacks are a major segment that is being targeted by brands. In tune with customer requirements, they are offering products that tap into specific needs. For instance, there are several who seek an instant boost of energy. For them US coffee major, the Whole coffee co., developed a range of products. They created easily consumable bars from coffee beans that provide an instant energy kick. A common stress related aliment is sleep deprivation. Functional foods have increasingly been targeting this concern. Functional foods also help cognitive focus, which can be crucial for improved performance in the workplace. Apart from this, customers also seek beauty related solutions with functional foods. This segment has a vast scope, and companies are offering a wide range of products to improve skin, and hair quality, including sweets containing biotin, Vitamin E, and zinc.

DRINKS WITH AN EXTRA PUNCH

With regard to the beverage market, the consumer is looking for more than just hydration. The desire is beverages enhanced with minerals, vitamins, amino acids, and dietary fibres. Energy drinks were the pioneer product in the functional beverage segment. As they don’t offer any nutritional benefit, and contain high levels of sugar, there is a shift in consumer interest towards sports drinks and bottled water with added vitamins. These functional beverages provide additional health benefits. Kombucha, aloe vera, coconut water, green tea, and moringa tea are popular for their immunity boosting, stress relieving, antioxidant, and gut cleaning properties.

HEALTHY AND SWEET

The functional food industry is evolving and no longer restricted to healthy snacks and beverages. Confectionery has been a major contributor to the segment lately. Functional chocolates along with gelato and baking mixes are all the rage. Functional gums have been in the market for a while. Primarily made from xylithol and baking soda, these gums, are said to boost energy, cease smoke pangs, work as breath fresheners, help in tooth whitening and address calcium fortification. Functional jellies with herbal extracts and vitamins too are gaining popularity. Plantbased gelatos created from young coconut meat and carrying the goodness of matcha green tea, rosewater, and saffron are no longer left to imagination. Soothing chocolate chip mixes with holy basil, reishi, and ashwagandha are a reality too. And, frozen yogurt with probiotics, and non-dairy ice creams with a boost of vitamins are also gaining popularity. All these sweet pleasures offer something extra, making them popular entrants in the functional food and beverage space.

NATURALS ALL THE WAY

Another major draw towards functional food and beverages is their natural origins. Increased customer awareness has brought a shift in mindset. Pills and supplements are considered artificial. A vast majority are looking to complete their nutrition requirements through natural sources. Several global surveys have shown a remarkable bend towards natural sources of vitamins and nutrients.

MIND OVER MATTER

Today, people are vocal about mental health issues and they have become a primary focus. A recent international study noted that mental wellbeing was a common concern among all age groups. The current consumer is interested in foods that provide personalised nutrition requirements. Generic health and wellness food and beverages don’t have enough takers these days and eating well is more than just the food on the table. The concept of eating consciously- produced foods is gathering steam, since it is considered a healthy practice. Ethically and sustainably sourced food and beverages are being preferred. Customers are conscious of what they eat, and how it is produced. Green and environment-friendly certifications have gained immense importance in the customer’s mind. Functional food and beverages are here to stay. Increasing customer awareness is only aiding its rise. And, with health becoming the primary concern worldwide, this segment is bound to grow exponentially.