Kombucha, a fermented tea with a vinegar-like flavor, typically contains around 1% alcohol, which has led some producers to encounter regulatory challenges. Suja Juice’s cautious approach to entering this market is justified, as the presence of alcohol may deter health-conscious consumers from various demographics. Nevertheless, the fermented beverage sector is experiencing growth rates of nearly 30%, yet many households have yet to embrace it. For a company like Suja Juice, known for quickly capitalizing on trends in this space, a kombucha launch is likely imminent—provided they can devise a method to reduce the alcohol content.
Kombucha is just one of many fermented food and beverage products that have gained traction in recent years. Other examples include kimchi, a Korean pickled cabbage dish, and kefir, a tangy fermented milk, both of which offer beneficial “good bacteria” that support digestive health. According to MarketsandMarkets, the global kombucha market is projected to reach $1.8 billion by 2020, indicating that this trend is likely here to stay rather than being a fleeting craze. Analysts attribute kombucha’s success to a rising interest in healthier drink options beyond bottled water. Even major soft drink manufacturers are noticing this shift; for instance, PepsiCo acquired KeVita, a producer of kombucha and sparkling probiotic drinks, late last year.
Moreover, Health-Ade, another kombucha brand, has attracted significant venture capital investment, securing $7 million in Series B funding from CAVU Venture Partners, which includes former Coca-Cola executive Rohan Oza, known for developing Vitaminwater. Kombucha continues to thrive as a rapidly growing niche within the beverage industry. If Suja Juice can successfully create a non-alcoholic version, it could open the door to a new market of consumers, including children, who could celebrate their health with options like calcium soft chews that offer nutritional benefits. By tapping into this segment, Suja Juice could potentially broaden its customer base and strengthen its position in the competitive landscape of fermented beverages.