PUBLISHER: The Business Research Company | PRODUCT CODE: 1659089
PUBLISHER: The Business Research Company | PRODUCT CODE: 1659089
Functional water represents a category of non-alcoholic beverages designed to offer additional health and functional benefits by incorporating supplemental ingredients known as aquaceuticals.
The primary product types of functional water include vitamins, proteins, and others. Vitamin functional water is a subgroup enriched with compounds essential for normal cell function, growth, and development. This colorless and transparent beverage serves as a hydrating option, similar to drinking water. It is commonly packaged in PET bottles, cans, and other containers and distributed through various channels, including hypermarkets or supermarkets, specialty stores, online platforms, and more. Functional water with added vitamins provides consumers with a convenient and refreshing way to meet their hydration needs while gaining additional health benefits.
The functional water market research report is one of a series of new reports from The Business Research Company that provides functional water market statistics, including functional water industry global market size, regional shares, competitors with a functional water market share, detailed functional water market segments, market trends and opportunities, and any further data you may need to thrive in the functional water industry. This functional water market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The functional water market size has grown strongly in recent years. It will grow from $9.21 billion in 2024 to $9.89 billion in 2025 at a compound annual growth rate (CAGR) of 7.4%. The growth in the historic period can be attributed to increased awareness of hydration, fitness and sports enthusiast market, shift towards sugar-free beverages, rise in lifestyle-related health issues, urbanization and busy lifestyles, innovative packaging solution, increased consumer education, environmental sustainability.
The functional water market size is expected to see strong growth in the next few years. It will grow to $13.28 billion in 2029 at a compound annual growth rate (CAGR) of 7.6%. The growth in the forecast period can be attributed to rising demand for functional ingredients, growing focus on immune health, expansion of online retail channels, advancements in nutraceutical research, integration of adaptogens and botanicals, expansion of specialty retailers, focus on hydration in sports nutrition. Major trends in the forecast period include hydration with added benefits, low-calorie and sugar-free options, electrolyte-enhanced waters, collaborations and limited editions, CBD-infused functional water, digital marketing and e-commerce.
The increasing prevalence of obesity is a significant driver for the growth of the functional water market. Obesity, a complex disease associated with numerous health risks, has become a global concern. Functional water is increasingly utilized as a dietary tool for weight management and obesity prevention. The World Health Organization (WHO) reports that over 1 billion people worldwide are currently obese, with projections indicating a further increase in overweight or obese individuals by 2025. As awareness of obesity-related health issues rises, functional water, with its potential health benefits, is expected to play a role in addressing this public health challenge.
The growing aging population is expected to drive the expansion of the functional water market in the future. An aging population refers to a demographic shift where the proportion of older individuals within a population increases over time. As people age, total body water (TBW) and intracellular water (ICW) tend to decrease, which can affect muscle mass, strength, and functional performance. Functional water products aimed at improving hydration, muscle health, and overall well-being may offer tailored benefits for this demographic. For example, in January 2022, the Congressional Budget Office, a US-based federal agency, estimated that the population for Social Security payroll taxes and benefits would rise from 342 million in 2024 to 383 million by 2054, primarily due to a substantial increase in the 65 and older age group, contributing to an overall aging population. As a result, the growing aging population is fueling the demand for functional water products.
Product innovation is an increasingly popular trend in the functional water market. Leading companies are developing new functional water products, offering science-backed benefits to maintain their competitive edge. For example, in March 2022, Nirvana Water Sciences Corp, a US-based company specializing in life-enhancing beverages that combine pure water, scientific innovations, and environmental care, launched an innovative functional water called 'Nirvana HMB + Vitamin D3' spring water. This functional beverage delivers combined science-backed benefits, including muscle recovery and immune support. The inclusion of HMB and Vitamin D3 enhances its effectiveness, creating a powerful synergistic effect. By integrating the immunity-boosting benefits of Vitamin D3 with water for optimal delivery, the product offers an innovative solution suitable for a wide range of consumers.
Strategic partnerships are playing a role in the expansion of the functional water market. Companies are entering into collaborations to launch new solutions and broaden their product portfolios. For instance, in February 2023, the partnership between Centr and Kyowa Hakko USA to create Centr Enhanced, a sparkling functional water with nootropic and adaptogenic ingredients, exemplifies this trend. Such collaborations leverage the strengths of different entities to introduce unique and differentiated functional water products that appeal to evolving consumer preferences.
In June 2024, Ovivo Inc., a Canada-based water purification and treatment company, collaborated with Evocra. Through this collaboration, Ovivo Inc. aims to develop an integrated PFAS solution that combines its electrochemical oxidation technology with Evocra's patented ozone foam fractionation technology, positioning Ovivo to address significant PFAS contamination in the environment. Evocra is an Australia-based firm focused on providing innovative digital solutions and consulting services in data analytics and cloud technology.
Major companies operating in the functional water market are Danone, The Coca-Cola Company, Pepsico Inc., Dr. Pepper Snapple Vitamin Well AB, Trimino Brands LLC., Vichy Catalan Corporation, San Benedetto, Nestle SA, Hint Water, Keurig Dr Pepper Inc., CENTR Brands Corporation, Flow Beverage Corp, Ayala's Herbal Water, Nirvana Water Sciences Corp, Talking Rain Beverage Company, The Alkaline Water Company Inc., Wtrmln Wtr, HFactor, Penta Water Company, AquaHydrate Inc, Propel Water, Gatorade
North America was the largest region in the functional water market share in 2024. The regions covered in the functional water market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the functional water market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The functional water market consists of sales of water with minerals, oxygen, herbs, and botanicals. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Functional Water Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on functional water market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for functional water ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The functional water market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.