USD 21.02 billion
Report ID:
SQMIG30I2321 |
Region:
Global |
Published Date: April, 2024
Pages:
198
|Tables:
64
|Figures:
75
Energy Ingredients Market size was valued at USD 22.66 Billion in 2023 and is poised to grow from USD 24.43 Billion in 2024 to USD 44.54 Billion by 2032, growing at a CAGR of 7.8% during the forecast period (2025-2032).
The global energy ingredients market is a dynamic and growing industry that provides essential nutrients and energy-boosting compounds to a variety of sectors, including food and beverage, healthcare, sports, and fitness. The market's primary purpose is to meet the increasing demand for products that enhance energy, focus, and physical performance, particularly among health-conscious individuals. The market is driven by several factors, including growing consumer awareness of the importance of healthy eating habits and the benefits of a nutritious diet. Additionally, the rising prevalence of lifestyle diseases such as obesity, diabetes, and cardiovascular disorders is pushing consumers towards healthier food choices. The growing demand for energy ingredients is also attributed to the increasing interest in sports and fitness activities, leading to a demand for products that boost physical performance and endurance.
However, the market also faces restraints such as stringent government regulations regarding the use of certain energy ingredients, as well as the high cost of production, which can affect the affordability of these products for some consumers. One key trend in the energy ingredients market is the shift towards natural and plant-based ingredients, driven by consumers' increasing preference for clean label products. Another significant trend is the growing demand for energy-boosting ingredients in the sports nutrition industry, where products such as protein powders, energy bars, and supplements are increasingly popular.
US Energy Ingredients Market is poised to grow at sustainable CAGR for the next forecast year.
Global Market Size
USD 21.02 billion
Largest Segment
Caffeine
Fastest Growth
Creatine
Growth Rate
7.8% CAGR
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Global Energy Ingredients Market is segmented on the product, application and region. By product, the market is segmented into caffeine, creatine, taurine, ginseng and others. By application, the market is segmented into food, beverage, supplements and others. By region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Global Energy Ingredients Market Analysis by Product
In 2021, the caffeine segment dominated the global energy ingredients market, accounting for a market share of 87.7%, which is expected to continue over the forecast period. Caffeine has gained popularity as an energy ingredient due to its ability to restrict caloric intake and stimulate the sympathetic nervous system, which helps suppress hunger, enhance satiety, and increase fat cell breakdown for energy production. The rising consumption of energy drinks with an average caffeine content ranging from 75 to 240 mg by adolescents has further driven the growth of the caffeine segment.
The creatine segment is expected to register the fastest growth at a CAGR due to the increasing demand for energizing food and drink products among consumers. This has led to key market players launching new products such as Glanbia Nutritionals' heat-stable creatine for use in RTD beverages called CreaBev.
Global Energy Ingredients Market Analysis by Application
The beverage segment dominated the global energy ingredients market in 2021, primarily due to the growing demand for energy drinks that provide instant energy with both physical and mental stimulation. Key players in the market are launching drinks with caffeine as their primary ingredient to cater to consumers seeking a healthy lifestyle. For example, in February 2022, Starbucks Coffee Company, in collaboration with PepsiCo's North America Coffee JV, introduced Starbucks Baya Energy: RTD beverage, which contains caffeine naturally found in coffee fruit and vitamin C for a "feel-good energy boost." Such product launches with energy ingredients are expected to significantly drive the market in the coming years.
The supplements segment is expected to register the fastest growth during the forecast period, with a CAGR of 7.5% from 2022 to 2030. The rise in the number of supplements launches with ingredients such as taurine and caffeine is expected to provide opportunities for market players to innovate existing products with various energy-based ingredients. As per William Reed Ltd., approximately 80% of Americans use dietary supplements with energy-based ingredients such as thiamine, riboflavin, and niacin. Additionally, a shift in consumer lifestyle and an increased awareness of health and wellness products are likely to fuel the growth of the supplements segment in the near future.
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In 2021, the Asia Pacific region dominated the global energy ingredients market. The market growth in the region is fueled by the increasing preference for alternative supplements and the adoption of modern lifestyles that demand the consumption of caffeinated drinks. As an example, in February 2021, Heineken Asia Pacific Beverages entered the energy drink market by using natural ingredients such as caffeine, which is attractive to health-conscious consumers. The consumption of energy drinks in the region is expected to increase as they claim to improve performance, endurance, and alertness, thus increasing their visibility among consumers.
Europe is expected to witness the fastest CAGR during the forecast period. The trend of declaring the nutritional value of products on labels is likely to attract more consumers to energy ingredients in the future. As an illustration, Prinova Europe introduced enduracarb, a high-purity trehalose component, for athletic endurance in May 2022. The slow-acting, double-sugar component is made to power muscles for a long time. Additionally, the market growth in the region will be supported by the benefits of energy ingredients such as improved attention, cognitive performance, and reaction speed, primarily due to caffeine.
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Global Energy Ingredients Market Drivers
Growing demand for energy drinks
Changing consumer preferences
Global Energy Ingredients Market Restraints
Negative health effects
Stringent government regulations
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Global Energy Ingredients Market is highly fragmented, with the presence of numerous players in the market. These players are primarily focusing on strategic initiatives such as partnerships, collaborations, and mergers and acquisitions to expand their market presence and increase their market share. In addition, key players are investing heavily in research and development activities to launch innovative products and gain a competitive edge in the market. Some of the prominent players operating in the market are adopting various strategies such as new product launches, mergers and acquisitions, and partnerships to enhance their market presence.
Top Player’s Company Profiles in Global Energy Ingredients Market
Global Energy Ingredients Market Recent Developments
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
According to our Global Energy Ingredients Market analysis, the market is driven by increasing demand for energy ingredients from various industries such as beverages, dietary supplements, and functional foods. The rise in demand for energy drinks, sports drinks, and nutritional bars, coupled with the growing trend of active lifestyles and increased health consciousness, are factors contributing to the growth of the market. The demand for energy ingredients is also driven by the rise in consumer preference for natural and organic products. However, the high cost of natural ingredients and stringent government regulations may act as restraints for market growth. Moreover, concerns about the safety and side effects associated with the consumption of energy drinks and dietary supplements have led to increased scrutiny by regulatory bodies. This has resulted in stricter regulations, which may impede the growth of the market. North America and Europe are currently the largest markets for energy ingredients, owing to the high consumption of energy drinks and dietary supplements in these regions. The demand for energy ingredients in the region is also driven by the growing trend of active lifestyles and increasing health consciousness among consumers. Overall, the global energy ingredients market is expected to witness substantial growth during the forecast period, driven by increasing demand from various industries and a growing trend of active lifestyles and health consciousness among consumers.
Report Metric | Details |
---|---|
Market size value in 2022 | USD 21.02 billion |
Market size value in 2031 | USD 41.32 billion |
Growth Rate | 7.8% |
Base year | 2023 |
Forecast period | 2024-2031 |
Forecast Unit (Value) | USD Billion |
Segments covered |
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Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
Companies covered |
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Customization scope | Free report customization with purchase. Customization includes:-
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Executive Summary
Market overview
Parent Market Analysis
Market overview
Market size
KEY MARKET INSIGHTS
COVID IMPACT
MARKET DYNAMICS & OUTLOOK
Market Size by Region
KEY COMPANY PROFILES
For the Energy Ingredients Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Energy Ingredients Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Energy Ingredients Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Energy Ingredients Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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Report ID: SQMIG30I2321
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