In its 2001 report on functional beverages, Mintel noted that the market revolved primarily around a younger demographic. Today, consumers 18 to 44 still lead the market for energy and stimulation drinks, but wellness and lifestyle segments are generating increased interest from consumers across all age groups. As leading suppliers such as Coca-Cola, PepsiCo, and Cadbury Schweppes develop niche products to appeal to the mainstream, the category as a whole will benefit from consumers’ growing interest in these “healthy beverages.”

Perhaps the single most important factor affecting the functional beverage market is the increase in awareness of the benefits of a healthy lifestyle, and of the relationship between diet and health. As interest in healthy living increases, consumers become more interested in products that support that lifestyle. Functional beverages, some segments more than others, will benefit from this growing health awareness among consumers.

Ultimately, the good news for functional beverage suppliers is that functional drinks appeal to both consumers looking for a quick-fix, and to those looking to make lifestyle and health improvements. Continued expansion of functional beverages will depend on producers’ ability to fill these two different needs in the area of health and fitness.

The report includes beverages with enhanced functional health claims or an energy or stimulation boost that may be direct, indirect or implied. These generally include active ingredients such as glucose, caffeine, taurine, ginseng, and various vitamins or minerals.

The report excludes sports drinks which perform a largely rehydrating function such as Gatorade, isotonic drink mixes or powders, “drinkable” yogurts, body building drinks/powders, slimming drinks, meal replacement products or fortified milk.

This report contains US IRI InfoScan data. Report contents may be subject to change prior to the date of publication.

A number of U.S. reports covering related sectors have been published, are planned, or are in preparation, including:

-Functional Food, consumer intelligence—U.S. Report, September 2003

-Energy Drinks, consumer intelligence—U.S. Report, July 2003

-Bottled Water, consumer intelligence—U.S. Report, December 2003

-Private-label Drinks, consumer intelligence—U.S. Report, October 2003

-Functional Beverages, consumer intelligence—U.S. Report, September 2003

-Tea, consumer intelligence—U.S. Report, June 2003

-Milk and Flavored Milk, consumer intelligence—U.S. Report, April 2003

-Energy Supplements, consumer intelligence—U.S. Report, March 2003

-Fruit Juice and Juice Drinks, consumer intelligence—U.S. Report, February 2003

-Carbonated Soft Drinks, consumer intelligence—U.S. Report, February 2003

-Smoothies and Yogurt Drinks, consumer intelligence—U.S. Report, February 2003

-Breakfast Drinks, consumer intelligence—U.S. Report, November 2002

-RTD Non-Carbonated Beverages, consumer intelligence—U.S. Report, August 2002

-Sports Drinks, consumer intelligence—U.S. Report, July 2002

-The Beverage Market V2: The Market, consumer intelligence—U.S. Report, July 2002

-The Beverage Market V1: The Consumer, consumer intelligence—U.S. Report, June 2002

-Slimming Drinks & Diet Aids, consumer intelligence—U.S. Report, October 2001