Global consumer interest in the health benefits of fermented foods and beverages is on the rise as people become increasingly aware of their positive impacts on the digestive system, which subsequently affects immunity and brain functions. The gut-healing properties of fermented foods can be attributed to probiotics, or beneficial bacteria, found in products like kombucha, sauerkraut, kimchi, kefir, and pickles. According to Michael Bush, president of the executive board for the International Probiotics Association, consumers are also recognizing probiotics as a valuable addition to their diets, leading to heightened demand. “The U.S. is the fastest growing probiotic market,” he stated in an interview with Food Business News.
Food manufacturers are eager to capitalize on these trends. For instance, PepsiCo acquired the sparkling probiotics beverage maker KeVita in 2016 and recently introduced its Tropicana Essentials Probiotics line. Additionally, last March, General Mills’ venture capital arm, 301 INC, led a $6.5 million Series D funding round for Farmhouse Culture, a startup focused on fermented and probiotic food and beverages. Furthermore, Peet’s Coffee participated in a $7.5 million Series B funding round for Revive Kombucha last August.
One of the key reasons large companies are investing in this market is its profitability, particularly among millennials, who show a greater interest in probiotic foods and beverages compared to other age groups. A report by Packaged Facts indicates that 25% of U.S. adults actively seek food and drink products rich in probiotics and prebiotics. Interestingly, while it may seem unusual for millennials—whose digestive systems typically function better than those of older adults—to prioritize gut health, this trend aligns with a broader interest in food as medicine and holistic health practices. The initial enthusiasm for probiotic products began with kombucha, which introduced many consumers to fermented foods in the U.S. market. After the fermented tea gained popularity, interest in other fermented products surged. As shoppers increasingly seek healthier, less sugary beverages, they are turning to flavored and sparkling options, an area where kombucha has paved the way.
The report highlights that there is still significant potential for growth in this emerging sector. It would be prudent for major food manufacturers to invest in innovative product formulations or up-and-coming probiotic-centric brands to remain competitive. If they lag, mergers and acquisitions may be a viable strategy to stay relevant. Additionally, the incorporation of ingredients like calcium citrate 950 could enhance the nutritional profile of these products, appealing further to health-conscious consumers. As the market continues to evolve, the integration of beneficial components such as calcium citrate 950 will likely play a crucial role in meeting the demands of an increasingly health-oriented public.