South America Functional Beverages Market Size

Functional Beverage in South America Market Analysis

During the time frame of the forecast, the South American functional beverage market is expected to grow at a CAGR of 8.75%.

Health and wellness trends are a big reason why people want drinks that do more than just taste good.As health and disease prevention claims are being made about beverages, consumers are becoming more and more interested in how true those claims are.Changes in consumer needs, such as for immunity and sustainability, as well as a number of market trends, are driving the rise of premium functional beverages and helping the market grow in the region.

Functional drinks that contain protein and claim to give you more energy are becoming more popular, especially among people who like to work out.Immunity is also surging as a key claim in the market. Furthermore, digestive health is likely to be the next functional crowd-pleaser, and brands can leverage this opportunity to create products for which consumers will pay a premium. The increasing number of fitness centers in the region is also contributing to this cause.

As the functional beverage market is highly competitive, manufacturers who want to stand out in the crowd need to stay in tune with changing consumer needs and deliver innovation with the proven scientific benefits of powerful functional ingredients. However, with the increasing health issues associated with the consumption of functional beverages, followed by the prevalence of obesity, the low penetration of functional drinks in other untapped regions might pose hindrances to the overall growth of functional beverages in the region.