Functional Water Market Size, Share, Growth Analysis, By Distribution Channel(Supermarkets/Hypermarkets, Convenience Stores, Online Retail, Others.), By Ingredient(Micronutrient, Botanical Extract, Others), By Product(Flavoured and Unflavoured), By Packaging(Pet Bottles, Can, and Others), By Region - Industry Forecast 2024-2031

Functional Water Market size was valued at USD 14.11 billion in 2019 and is poised to grow from USD 15.1 billion in 2023 to USD 27.76 billion by 2031, growing at a CAGR of 7% in the forecast period (2024-2031).

As major competitors roll out new models in an effort to diversify their product lines and broaden their customer bases, competition in the fragmented global functional water market is fierce and intensifying. Leading market players are utilizing a wide range of growth strategies. The majority of businesses have concentrated on introducing new products and growing their production facilities in developing nations. Innovation, partnerships, strategic alliances, working with key actors, and boosting local and international distribution networks are all examples of strategies.For instance, in July 2021, National Beverage Corporation, an American beverage manufacturer, released a trio of new flavors of the sparkling water under its LaCroix brand. 'PepsiCo, Inc. (Propel Fitness Water)', 'The Coca-Cola Company (smartwater)', 'Nestlé Waters (Acqua Panna)', 'Talking Rain Beverage Company (Sparkling Ice)', 'Karma Culture LLC (Karma Wellness Water)', 'New Age Beverages Corporation (Coco-Libre)', 'Agua Enerviva LLC (Enerviva)', 'The Alkaline Water Company Inc. (Alkaline88)', 'Phure Water LLC (Phure Water)', 'Kona Deep Corporation (Kona Deep)', 'Pervida Inc. (Pervida Immune)', 'Fonterra Co-operative Group (Anchor Blue)', 'Unique Foods Canada Inc. (Vit-Hit)', 'FÏNLEY (The Coca-Cola Company)', 'Asahi Group Holdings, Ltd. (Asahi inryo)', 'Superbee Network Inc. (Superbee Honey Water)', 'Aqua ViTea LLC (Aqua ViTea Kombucha)', 'Hint Inc. (Hint Water)', 'Lucozade Ribena Suntory Limited (Lucozade Sport Lite)'

Public's increased knowledge of health issues brought on by the appearance of several diseases. This was primarily sparked by the Covid-19 pandemic, which made people all over the world aware of the value and advantages of these functional fluids and encouraged them to start drinking them. Additionally, as consumers become more aware of the negative effects of carbonated beverages and realise that functional drinks are better alternatives, the market for these beverages is growing. This is the main factor that will improve the market throughout the forecast time.

The consumer market is looking for nutritional remedies for fatigue, lethargy, and weakened due to their stressful lifestyles, they have immunity. These remedies take the form of Functional foods are those that serve both a nutritional and health benefits. Additionally to eating healthfully, customers are becoming more conscious of the the significance of drinking responsibly. As evidence, consider the growing demand for beverages that contain components that are beneficial to health and fitness. Consumers are still looking for functional beverages, comprehensive solutions that can address their demands in terms of health and fitness especially those that have immune-boosting components, may still be given attention.

Due to their growing preference for functional beverages, North America dominated the global functional drinks market in 2021. This is a result of the widespread obesity in this region's population as well as the significant demand for functional water among those involved in sports and fitness. Due to its strong growth in the U.S., the developed market of North America is by far the top region for sales of functional additives added water. In the United States, sales of bottled water recently surpassed those of soft drinks. Thus, the bottled water industry is a stronghold that encourages businesses to make investments and broaden their functional offerings. Functional ingredients added water had surpassed soft drinks to become the most popular beverage in the US by volume even before the COVID-19 pandemic. The product's benefits for health and wellbeing, convenience, and the availability of more low-calorie carbonated beverages than ever before are other trends that are driving greater usage.