Consumer interest in the potential health benefits of fermented foods and beverages is increasing globally as more people recognize their positive effects on the digestive system, which also influences immunity and brain function. The gut-healing properties of fermented foods stem from probiotics, or beneficial bacteria, found in products like kombucha, sauerkraut, kimchi, kefir, and pickles. Additionally, consumers are increasingly seeking probiotics as a value-added feature, with demand on the rise, according to Michael Bush, president of the executive board for the International Probiotics Association. “The U.S. is the fastest growing probiotic market,” he shared with Food Business News.
Food manufacturers are eager to capitalize on these trends. In 2016, PepsiCo acquired KeVita, a sparkling probiotics beverage maker, and recently launched its Tropicana Essentials Probiotics line. Last March, General Mills’ venture capital branch, 301 INC, spearheaded a $6.5 million Series D investment round for Farmhouse Culture, a startup focused on fermented and probiotic foods and beverages. Peet’s Coffee participated in a $7.5 million Series B funding round for Revive Kombucha last August.
A significant reason large corporations are investing in this market is its profitability, particularly among millennials, who show a stronger interest in probiotic foods and beverages compared to other age groups. According to a report by Packaged Facts, 25% of U.S. adults actively seek food and drink products rich in probiotics and prebiotics. Interestingly, millennials, whose younger digestive systems typically function better than those of older adults, are leading the charge in gut health awareness. This trend reflects a broader interest in food as medicine and various holistic health movements.
The millennial fascination with probiotic-infused products began with kombucha, which served as an introduction to fermented foods in the U.S. market. Following the arrival of this fermented tea a few years ago, consumers have shown increasing curiosity in other related products. As shoppers seek healthier and less sugary beverages, they are gravitating towards flavored and sparkling options, an area where kombucha has paved the way.
The report emphasizes that there is significant growth potential in this emerging sector, and major food manufacturers should consider investing in new product formulations or promising probiotic-centered brands to stay ahead of the curve. To remain competitive, they may also need to explore mergers and acquisitions. Notably, products like the ccm tablet 250 mg could complement these offerings, as the market continues to evolve and expand around health-conscious consumers.