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Focus on Mental Health Elevates Functional Beverage Launches Spikes to 2025

The global beverage market is expected to undergo significant changes in 2025. The surge in demand for mental wellness solutions is expected to drive the launch of functional beverages. This offers a glimpse of the emerging wellness trend within the industry. Industry leaders are re-evaluating the conversion from traditional energy drinks to purpose-driven products, with a focus on stress, cognitive function, and mood enhancement. 

By 2025, relaxing functional beverages containing nootropics and adaptogens like L-theanine, magnesium, ashwagandha, and reishi mushrooms will become mainstream. This shift demonstrates a growing consumer focus on holistic wellness in the face of escalating work-life challenges and ever-increasing digital fatigue. Brands have begun expanding innovation past just energy and hydration, complementing the 2025 wellness focus on supporting mental clarity, sleep, and emotional equilibrium. 

This shift is illustrated with some strategic capital deployment and M&A activity from 2025. In one of the more notable moves, PepsiCo purchased Poppi, a prebiotic soda maker, for approximately USD 1.65 billion in first quarter of 2025, showcasing its vigorous foray into the gut-brain wellness sector. Likewise, UK-based DIRTEA further positioned itself behind the expanding mental wellness frontier by launching its new “Stacks” line in 2025, featuring bundled mushroom drinks and gummies designed to promote focus, beauty, and recovery. 

The functional beverage segment of the market is expected to surpass $ 165 billion by the end of 2025, exhibiting a consistent growth rate of 7.2% through 2029. In 2025 alone, over 200 new SKUs focusing on mental wellness were introduced in North America, Europe, and East Asia. Millennials and Gen Z drove demand for wellness powders, ready-to-drink (RTD) beverages, and shots. 

As of 2025, nootropics and adaptogens are receiving more attention, and functional claims paired with ingredient disclosure have clear guidelines. These movements aim to enhance marketing and increase consumer confidence in functional beverages. 

To summarize, the mental wellness functional beverage market is expected to expand in 2025. It will become a primary focus for innovation and marketing, dominating the industry. Furthermore, in line with the wellness trend, businesses that combine science with benefits will have a greater competitive edge, especially when accompanied by clear labeling. 

                        Functional Beverage Market Through 2025

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Shubhendra Anand
Head Research
Having diverse understanding in both qualitative & quantitative research for Life Science, Chemicals & Materials. His multi-tasking skill always aided to obtain real time information for many critical projects. On the other hand, he has worked with many Fortune 500 companies over the last few years and helped them to take strategic move.
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