Market Trends of North America Kombucha Industry
Rising Demand for Fermented Beverages across the Region
- The inclination of consumers toward health-oriented products has involved probiotic fermented foods as a requisite in the list, as the trend of healthy hydration owes its success to the growing awareness toward fermented drinks with natural ingredients and the increasing acceptance of consuming probiotics.
- Kombucha drinks contain live probiotics with beneficial enzymes, amino acids, polyphenols, and other organic acids. This makes it an ideal product to be sold in health stores, pharmacies, and drug stores. For instance, as per The Fermentation Association (TFA), the retail sales of fermented food and beverages grew by approximately USD 1.8 million in 2021 in the United States.
- Additionally, the launch of advanced technologies in flavor processing, increasing consumer inclination toward clean-label and organic products, and the favorable market environment for fortified products are projected to drive the demand for naturally-flavored non-alcohol drinks in North America-food manufacturing companies, producing and marketing organic and natural food products.
- Furthermore, with the increasing demand among consumers, especially the millennials and Generation Z, kombucha manufacturers are producing flavor variants for kombucha, as consumers prefer flavored over original kombucha.
- Besides traditional kombucha flavors like ginger, grapefruit, and elderflower, flavors like cherry blossom, winter mint, pumpkin spice, and spicy pineapple are gaining consumer attention. For instance, in May 2021, Cove Kombucha launched its Kombucha products in partnership with Sobeys Inc. (Supermarket Chain) in Canada.
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United States Holds the Major Share in the Market
- The demand for fermented ready-to-eat food and beverage products, such as health drinks that offer a complete package of nutrients, is increasing in the region, owing to the rising disposable income, growing awareness, and busy lifestyle of consumers. Thus resulting in the growth of the market.
- In the United States, Kombucha is one of the fastest-growing fermented beverages on all retail shelves. This is because of its numerous health benefits, which include joint health, elevated energy, digestion/gut health, and immune-boosting properties. Kombucha has moved from the natural foods aisle to the mainstream, primarily attributable to ever-increasing interest and research into gut health, thus becoming America's favorite drink in recent years. It provides indulgence in those trends for energizing tea and natural cultures reported to boost digestion and metabolism simultaneously. It is highly hailed as a wonder drink among consumers. The drink is widely available across many convenience stores and remains one of the fastest-penetrating health drinks nationwide. For instance, in February 2022, Superfoods Company launched an 'instant kombucha formula available in various flavors. As per the company, the product is made with hand-picked black tea and is rich in polyphenols, flavonoids, and prebiotics to improve gastrointestinal health and metabolism.
- Thus, consumers' growing requirements for preventive healthcare and the effectiveness of probiotic bacteria on health are driving market expansion. Demand for fermented foods has increased due to the increased consumption of functional foods, which can improve health and provide essential nutrition.
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