28 May 2008 - As consumers get more conscious about the significant role that food plays in keeping them healthy, they are always in search of products that promote wellness and provide prevention against diseases. Functional food products are getting increasingly popular due to this new and strong perception of consumers.
The beverage industry has not wasted much time in capitalising upon this consumer trend and has responded to this demand by creating health-promoting "functional beverages".
A functional beverage can be defined as a drink product that satisfies thirst, is non-alcoholic, is ready to drink and includes in its formulation non-traditional ingredients, such as herbs, vitamins, minerals, amino acids or additional fruit/vegetable raw ingredients, depending on the purpose it is designed for. Sports and performance drinks, energy drinks, ready to drink (RTD) teas, enhanced fruit drinks, soy beverages and enhanced water, among others, are some of the product segments rolled out as functional beverages in the market space.
Healthy Lifestyle is Driving the Market
One of the main market drivers is the growing consumers' tendency to live a healthy lifestyle as well as their growing knowledge about herbal and natural ingredients. Encouraged by medical endorsement of exercise, nutrition and stress management, the health conscious consumer is willing to shell out money to get all kinds of wellness-favouring food products and beverages that ensure better nutrition and eventually provide longevity.
This consumer perception is commonly witnessed among the "baby boomers", the largest age demographic group in the United States today. This consumer group is formed of approximately 78.2 million people who were born between the 1940s and the mid 1960s. This is a very selective consumer group who is particularly quality conscious. Besides, these people have descent purchasing power to acquire premium products. As they approach the ages of fifties and sixties, their needs for health-supporting products are likely to be higher, thereby creating a robust demand for innovative and fitness- providing eatables such as functional beverages.
Chart 1-1 shows some of the highest ranking health threats that affect this age group: hypertension, heart disease, cancer, diabetes and stroke during 2005 and 2006.
Despite the availability of medicines for the management of these symptoms and diseases, majority of the consumers opt for food-based solutions. Adding a functional beverage to the diet is considered an easy option, aptly fitting into this consumer's preventive approach.
Considering all these, the functional beverage market has a huge potential for increasing the number of its product lines to satisfy the needs of this consumer segment.
Antioxidants Garnering Popularity in Functional Beverages
Antioxidants seem to be the more appropriate ingredients for the successful development of functional beverages specially designed for this "baby boomer" consumer segment. It is well-known that they are capable in providing protection against the damaging effect of free radicals, which are the root cause for many diseases such as cardiovascular diseases, cancer, diabetes, neurodegenerative diseases, and have also been associated with acceleration of physiological process such as aging.
Chart 1-2 highlights the top five antioxidants used in the functional beverages in 2007.
A Unique Opportunity
The functional beverages manufacturers face an important challenge in the form of competition from dietary supplements, vitamins and energy boosters, because there is scarce scientific evidence to support efficacy claims of their products. Many consumers may find safer to take their supplements regularly, which ensure that they are getting the proper amount of a healthy ingredient, than relying on an unproven new beverage. Functional beverage products must show that they are more beneficial, convenient, and pleasing to ingest than a dietary supplement.
Conclusion
A functional beverage is an easy means to self maintain good health. With a small change in their drink choice, consumers can have some control over their nutrition needs, without the assistance of any health professional. In order to compete with the other proven health-favouring means, it is advisable for the food and beverage industry to support research in this sector and to work together with other related industries, such as pharmaceutical, nutrition, and additive manufacturing companies. Supporting research and consumer-targeted marketing should be the solution to develop successful product lines.