Insights

How Functional Ingredients Combine Energy and Wellness in Every Sip

In the last decade, demand for beverages that offer an energy boost has skyrocketed as we continue to look for ways to increase our productivity and make every moment count. Energy drinks were once a niche product that have evolved into a thriving market segment catering to a diverse range of consumers.

From athletes seeking peak performance to students burning the midnight oil, and professionals striving for heightened focus, the appeal of these beverages extends far and wide.

What’s driving this increased interest? Aside from the appeal of a quick jolt of energy, consumers are increasingly more aware of what they are putting into their bodies. The evolution of energy beverages reflects this shift with innovative claims like muscle support and hydration to focus and mood, as well as including natural ingredients and reduced sugar options.

A Boost of Energy in Functional Beverage

In the established functional beverages segment, energy drinks are the most widely purchased, with 21% buying sports drinks and 19% functional waters, according to Innova Market Insights Now & Next in Functional Beverages in the US report. Retail sales of energy drinks in the US were $20.8 billion in 2023, representing 38% of global energy drinks value and 44% of volume.

Americans lead the world in per capita consumption of energy and sports drinks, followed by Sweden for energy and Japan in sports drinks. In the past 12 months, 34% of US consumers say they have purchased energy drinks and 53% consume the beverages at least once per week. (Innova Market Insights)

The demand for energy and alertness continues to rise as new product launches featuring this claim grew from 27% in 2029-2020 to 38% in 2023-2024.

 

Source: Innova Market Insights

In addition to energy and alertness, consumers are also more interested than ever on what’s in their food and drinks. Because of this, we are seeing more energy claims paired with better-for-you type claims. For example, Cowbell includes 5,000 mg BCAAs and 1,000 mg BetaTOR HMB, which helps with muscle building, repair and overall recovery. It claims to increase muscle growth and prevent muscle breakdown while decreasing soreness. Turmeric and glucosamine are also included to help support joint health and workout inflammation.

A-Game Premium Sports Drink claims to be the “ultimate in hydration.” It promotes refueling, rehydrating and reenergizing the body and mind by helping replenish your body and quench your thirst naturally with Icelandic glacier water and sea salt for natural electrolytes.

Other energy drinks like Wize is a low sugar sparkling iced tea that claims to support a healthy, active lifestyle by keeping you energized without jitters or a crash. Redcon1 offers 200mg of natural caffeine, focus factors and metabolism supporting ingredients. It promises to help you stay energized, ultra-focused and feeling good by boosting your mood, focus and concentration.

Functional Ingredients for Energy and Alertness

Food and drink can influence our mood and overall mental health. Functional beverages include ingredients specifically chosen for their mood-enhancing properties or physical impacts. top energy and alertness functional ingredients according to the Journal of the International Society of Sports Nutrition, Food and Function, MedlinePlus via Innova Market Insights are:

  • Ashwagandha: An adaptogen that some research shows helps with how much oxygen the body can use during exercise.
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  • B Vitamins: Help the body convert the food you get into glucose, which gives you energy.
  • Caffeine: Several studies suggest that caffeine can increase cognitive performance and play a role in learning and memory by modulating synaptic plasticity. Blending caffeine with other nootropics like L-theanine can modulate some side effects of caffeine like anxiety or difficulty sleeping. Coffee, tea and guarana are all natural sources of caffeine.
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  • Caffeine Anhydrous: A dehydrated form of caffeine that promotes alertness and wakefulness.
  • Ginseng: Used to help athletes recover from exercise-induced fatigue by regulating the gut microbiota, which in turn has a therapeutic effect on fatigue.
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  • Green Tea and Green Tea Extract: Contains polyphenols, caffeine and L-theanine, which can improve cognitive performance.
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  • L-Theanine: A non-protein amino acid found in green tea, L-theanine has been shown to allow caffeine to work its brain-boosting charm without raising blood pressure or induce anxiety. It is classified as a nootropic.
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  • L-Tyrosine: An amino acid that stimulates production of thyroid hormones T3 and T4 to boost metabolism and energy.
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  • MCTs: Medium-chain triglyceride oil is typically extracted from coconut oil or palm oil and is broken down by the liver for fuel or storage as body fat. MCTs can also provide energy for exercise before the liver breaks them down.
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  • Rhodiola Rosea: A nootropic promoted to increase energy, stamina, strength, mental capacity, improve athletic performance, resist the effects of stress and help manage depression, anxiety and other symptoms.
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  • Yohimbe: An African bark that stimulates the sympathetic nervous system, activating the body’s “fight or flight” response and increasing alertness.

How Synergy Can Help

The want to always be more productive or “on” will continue to be a functional need state for consumers, which is why we continue to see a steady increase in beverages with energy and alertness claims. As the segment continues evolving to meet consumers’ want for a healthy boost, we anticipate more better-for-you claims to be tagging along in these drinks.

From in-depth consumer insights to innovative flavor pairings and quality masking solutions, our beverage experts are here to help your product deliver on consumers’ expectations for functionality and great taste. Contact us to learn more.

 

 

 

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