Global Functional Mushroom Market By Application (Pharmaceutical, nutraceutical & dietary supplements; Food & Beverage and Personal Care & Cosmetics), By Product Type (Reishi, Cordyceps, Lion’s Mane and Others), By Distribution Channel (Specialty Stores,

Global Functional Mushroom Market By Application (Pharmaceutical, nutraceutical & dietary supplements; Food & Beverage and Personal Care & Cosmetics), By Product Type (Reishi, Cordyceps, Lion’s Mane and Others), By Distribution Channel (Specialty Stores, Supermarkets & Hypermarkets, Online Distribution Channel and Others), By Regional Outlook, Industry Analysis Report and Forecast, 2021 - 2027

The Global Functional Mushroom Market size is expected to reach $13.6 billion by 2027, rising at a market growth of 8.7% CAGR during the forecast period.

Functional mushrooms, also known as medicinal mushrooms are relatively uncommon mushrooms that grow in dark forests, on fallen logs, or on the Himalayan plateau. These mushrooms are famous for being high in antioxidants and nutritional content, with a variety of health benefits. Because of their medical properties and superfood benefits, these mushrooms have been used for hundreds of years.

The popularity of these mushrooms has increased owing to the extensive study that has accompanied them over the years, as well as the increased demand for natural health remedies. Certain functional mushrooms can help in enhancing immune system, which would enable a person’s body to fight against infections more effectively.

Chaga mushrooms are a powerhouse of antioxidants, making them the strong product in the fight against free radicals and inflammation. It is a dark black mushroom that fights oxidative stress (which has been linked to skin aging), may prevent or reduce cancer growth, and has been proven to reduce LDL or bad cholesterol. The majority of research on chaga has been done on human cells and mice, yet all evidence points to this mushroom being beneficial for human consumption.

There are many people who are increasingly incorporating functional mushrooms in their diet. There are a wide range of functional mushroom products available in the market like mushroom powders. Additionally, searching a high-quality mushroom supplement is the simplest method to enrich a person’s diet. Functional mushroom supplements are not freshly available in supermarkets, but they can be used for a longer period of time in cooking, making smoothies, protein drinks, and teas.

COVID-19 Impact Analysis

The outbreak of the COVID-19 pandemic has significantly impacted the demand and growth of the functional mushroom market. Since supply chain was severely disrupted owing to the imposition of complete lockdown in many countries, the demand for functional mushroom supplements was declined in the market.

On the other hand, the growing awareness among people regarding the importance of maintaining a good health and better immune system along with the increasing adoption of nutraceuticals and dietary supplements would positively impact the demand for functional mushroom in the recovery phase of the pandemic.

Market Growth Factors:

Rising prevalence of cardiovascular and chronic diseases

The market for functional mushrooms is growing as the prevalence of cardiovascular disorders rises. Unhealthy diets, cigarette use, and physical inactivity are only a few of the key causes of cardiovascular disease, which elevate blood pressure and blood glucose levels, resulting in overweight and obesity. According to the World Health Organization, heart attacks and strokes account for four out of every five cardiovascular fatalities.

Rapid increase in the demand for functional foods and dietary supplements

Over the last two decades, people's lifestyles and eating habits have changed dramatically. This transition was fuelled by urbanisation and consumerism, which resulted in a massive rise in the use of synthetic food products, leading to an increase in the incidence of lifestyle diseases. Hence, people are becoming more aware of the issues. As a result, individuals are rapidly moving to functional foods and beverages, which are marketed as providing benefits beyond basic nutrition.

Market Restraining Factors:

Availability of numerous alternatives and lack of skilled workforce

There is an availability of various products and ingredients that are substitute of functional mushrooms and its products. In addition, many people prefer plant-based products who will not readily adopt functional mushroom products. Also, some people are allergic to mushrooms, which would restrict the consumption of functional mushroom products. Along with that, there are many manufacturers who are using different alternatives of functional mushrooms in the manufacturing of their products.

Application Outlook

By application, the functional mushroom market is divided into Food and Beverage; Pharmaceutical, nutraceutical & dietary supplements; and Personal Care & Cosmetics. The pharmaceutical, nutraceutical & dietary supplements segment procured the maximum share in the functional mushroom market in 2020. Since functional mushrooms contain various chemical elements with potential nutritional and therapeutic value, they are highly used in various medicinal products. In China, Japan, North America, and other parts of the world, mushroom fruiting bodies have become popular as nutritional supplements.

Product Type Outlook

Based on product type, the functional mushroom market is segmented into Cordyceps, Reishi, Lion’s Mane and others. The reishi mushroom segment acquired the highest share in the functional mushroom market in 2020, and is estimated to maintain its dominance over the forecast period. The growing trend of developing natural drugs in order to protect and cure people with numerous immunological diseases has gained a momentum in the last few years. In addition, reishi mushroom is one of the most popular mushroom used in the making of various dietary supplements.

Distribution Channel Outlook

Based on distribution channel, the functional mushroom market is fragmented into supermarket/hypermarket, specialty stores, online stores, and convenience stores. Specialty stores segment dominated the functional mushroom market in 2020 and is estimated to continue this trend during the forecast period. Specialty stores are among the top places to be consider for growing the penetration of functional mushrooms among consumers. Any type of goods can be found in these specialist shops. As a result, specialised retailers are expected to have a significant impact on the functional mushroom industry.

Regional Outlook

Region-wise, the functional mushroom market is analyzed across North America, Europe, Asia Pacific and LAMEA. Asia Pacific emerged as the leading region in the functional mushroom market in 2020 with the highest market share. It is owing to the high popularity of functional mushroom and significant consumption of functional mushroom products across various nations of the region. China is also the world's leading producer and user of functional mushroom products.

The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Hokkaido Reishi Co. Ltd., Real Mushrooms, Pan's Mushroom Jerky, Om Mushroom Superfood, Four Sigmatic, Banken Champignons B.V., South Mill Mushrooms Sales, Inc. (The Mushroom Company), and Half Hill Farm, Inc.

Recent Strategies deployed in Functional Mushroom Market

Dec-2021: Four Sigmatic introduced the latest product line of coffee creamers, which include the market's highest dosage (500mg) of functional mushrooms. This line is developed to offer the brand's unique mushroom heritage and support its mission of bringing healthy and accessible products to coffee routines across the world.

Dec-2021: South Mill Champs expanded its geographical footprint by opening its seventh US distribution center in Sacramento, California. This Sacramento Distribution Center is built with a cheese-stuffing line, which would enable the company to fulfill the high demand for its Stuffed Baby Bella Caps sold within its Champs Mushrooms brand.

Oct-2021: Four Sigmatic released Immune Support Ground Coffee and Perform Ground Coffee. This latest product includes mushrooms for functional benefits. Along with that, this coffee is made for high performers who are seeking energy and productivity.

Jul-2021: South Mill Champs came into a partnership with Loveday Mushroom Farms. Under this partnership, Loveday Mushroom Farms joined South Mill Champs's North American family of mushroom producers. This partnership aimed to enhance the production ability of the companies along with supporting their future planned compost and mushroom expansion plans.

Jan-2021: South Mill Champs took over The Mushroom Company, one of North America's largest mushroom processors. This acquisition aimed to expand capacity and abilities at the Cambridge facility, in line with its growing North American operations.

Nov-2020: South Mill Champs expanded its geographical footprint by purchasing a new distribution center in Lakeland, Florida. This expansion aimed to support the company's mission to fulfill the growing demand from its customers in this key market.

Jul-2020: Four Sigmatic unveiled a line of shots with functional mushrooms and adaptogens. This portfolio provides wellness products that are manufactured with fruit juice and vitamins. In addition, this line would also feature three ‘high impact’ shots that are claimed to have benefits in the areas of beauty, health, and productivity.

May-2020: Four Sigmatic launched a gut-friendly coffee, which is a combination of functional mushrooms, probiotics, and prebiotics. This Mushroom Ground Coffee with Probiotics helps in boosting the immune and digestive systems with functional mushrooms to reduce the potential negative impacts of drinking normal coffee on human health.

Sep-2019: Om Organic Mushroom Nutrition unveiled new mushroom superfood functional drinks sticks and mushroom superfood daily boost capsules. These products would provide an on-the-go boost of mushroom superfoods plus functional components to offer efficient nutrition and complement key wellness states.

Feb-2019: South Mill Champs released a new mushroom-based snack called Shroom Snacks. This launch aimed to offer a delicious, better-for-you snack utilizing mushrooms, grown and hand-picked on South Mill farms, along with introducing four product lines blended with 14 flavors.

Jul-2018: Four Sigmatic expanded its beauty category with the launch of the latest Golden and Chai Latte products that offer beauty benefits. By using the extraordinary benefits of mushroom superfoods, the company would provide amazing beauty benefits and offer a way for people to literally eat their way to glowing skin.

Scope of the Study

Market Segments covered in the Report:

By Application

  • Pharmaceutical, nutraceutical & dietary supplements
  • Food & Beverage and
  • Personal Care & Cosmetics
By Product Type
  • Reishi
  • Cordyceps
  • Lion’s Mane and
  • Others
By Distribution Channel
  • Specialty Stores
  • Supermarkets & Hypermarkets
  • Online Distribution Channel and
  • Others
By Geography
  • North America
  • US
  • Canada
  • Mexico
  • Rest of North America
  • Europe
  • Germany
  • UK
  • France
  • Russia
  • Spain
  • Italy
  • Rest of Europe
  • Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Singapore
  • Malaysia
  • Rest of Asia Pacific
  • LAMEA
  • Brazil
  • Argentina
  • UAE
  • Saudi Arabia
  • South Africa
  • Nigeria
  • Rest of LAMEA
Companies Profiled
  • Hokkaido Reishi Co. Ltd.
  • Real Mushrooms
  • Pan's Mushroom Jerky
  • Om Mushroom Superfood
  • Four Sigmatic
  • Banken Champignons B.V.
  • South Mill Mushrooms Sales, Inc. (The Mushroom Company)
  • Half Hill Farm, Inc.
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Chapter 1. Market Scope & Methodology
1.1 Market Definition
1.2 Objectives
1.3 Market Scope
1.4 Segmentation
1.4.1 Global Functional Mushroom Market, by Application
1.4.2 Global Functional Mushroom Market, by Product Type
1.4.3 Global Functional Mushroom Market, by Distribution Channel
1.4.4 Global Functional Mushroom Market, by Geography
1.5 Methodology for the research
Chapter 2. Market Overview
2.1 Introduction
2.1.1 Overview
2.1.1.1 Market Composition and Scenario
2.2 Key Factors Impacting the Market
2.2.1 Market Drivers
2.2.2 Market Restraints
Chapter 3. Global Functional Mushroom Market by Application
3.1 Global Pharmaceutical, nutraceutical & dietary supplements Market by Region
3.2 Global Food & Beverage Market by Region
3.3 Global Personal Care & Cosmetics Market by Region
Chapter 4. Global Functional Mushroom Market by Product Type
4.1 Global Reishi Market by Region
4.2 Global Cordyceps Market by Region
4.3 Global Lion’s Mane Market by Region
4.4 Global Other Product Type Market by Region
Chapter 5. Global Functional Mushroom Market by Distribution Channel
5.1 Global Specialty Stores Market by Region
5.2 Global Supermarkets & Hypermarkets Market by Region
5.3 Global Online Distribution Channel Market by Region
5.4 Global Others Market by Region
Chapter 6. Global Functional Mushroom Market by Region
6.1 North America Functional Mushroom Market
6.1.1 North America Functional Mushroom Market by Application
6.1.1.1 North America Pharmaceutical, nutraceutical & dietary supplements Market by Country
6.1.1.2 North America Food & Beverage Market by Country
6.1.1.3 North America Personal Care & Cosmetics Market by Country
6.1.2 North America Functional Mushroom Market by Product Type
6.1.2.1 North America Reishi Market by Country
6.1.2.2 North America Cordyceps Market by Country
6.1.2.3 North America Lion’s Mane Market by Country
6.1.2.4 North America Other Product Type Market by Country
6.1.3 North America Functional Mushroom Market by Distribution Channel
6.1.3.1 North America Specialty Stores Market by Country
6.1.3.2 North America Supermarkets & Hypermarkets Market by Country
6.1.3.3 North America Online Distribution Channel Market by Country
6.1.3.4 North America Others Market by Country
6.1.4 North America Functional Mushroom Market by Country
6.1.4.1 US Functional Mushroom Market
6.1.4.1.1 US Functional Mushroom Market by Application
6.1.4.1.2 US Functional Mushroom Market by Product Type
6.1.4.1.3 US Functional Mushroom Market by Distribution Channel
6.1.4.2 Canada Functional Mushroom Market
6.1.4.2.1 Canada Functional Mushroom Market by Application
6.1.4.2.2 Canada Functional Mushroom Market by Product Type
6.1.4.2.3 Canada Functional Mushroom Market by Distribution Channel
6.1.4.3 Mexico Functional Mushroom Market
6.1.4.3.1 Mexico Functional Mushroom Market by Application
6.1.4.3.2 Mexico Functional Mushroom Market by Product Type
6.1.4.3.3 Mexico Functional Mushroom Market by Distribution Channel
6.1.4.4 Rest of North America Functional Mushroom Market
6.1.4.4.1 Rest of North America Functional Mushroom Market by Application
6.1.4.4.2 Rest of North America Functional Mushroom Market by Product Type
6.1.4.4.3 Rest of North America Functional Mushroom Market by Distribution Channel
6.2 Europe Functional Mushroom Market
6.2.1 Europe Functional Mushroom Market by Application
6.2.1.1 Europe Pharmaceutical, nutraceutical & dietary supplements Market by Country
6.2.1.2 Europe Food & Beverage Market by Country
6.2.1.3 Europe Personal Care & Cosmetics Market by Country
6.2.2 Europe Functional Mushroom Market by Product Type
6.2.2.1 Europe Reishi Market by Country
6.2.2.2 Europe Cordyceps Market by Country
6.2.2.3 Europe Lion’s Mane Market by Country
6.2.2.4 Europe Other Product Type Market by Country
6.2.3 Europe Functional Mushroom Market by Distribution Channel
6.2.3.1 Europe Specialty Stores Market by Country
6.2.3.2 Europe Supermarkets & Hypermarkets Market by Country
6.2.3.3 Europe Online Distribution Channel Market by Country
6.2.3.4 Europe Others Market by Country
6.2.4 Europe Functional Mushroom Market by Country
6.2.4.1 Germany Functional Mushroom Market
6.2.4.1.1 Germany Functional Mushroom Market by Application
6.2.4.1.2 Germany Functional Mushroom Market by Product Type
6.2.4.1.3 Germany Functional Mushroom Market by Distribution Channel
6.2.4.2 UK Functional Mushroom Market
6.2.4.2.1 UK Functional Mushroom Market by Application
6.2.4.2.2 UK Functional Mushroom Market by Product Type
6.2.4.2.3 UK Functional Mushroom Market by Distribution Channel
6.2.4.3 France Functional Mushroom Market
6.2.4.3.1 France Functional Mushroom Market by Application
6.2.4.3.2 France Functional Mushroom Market by Product Type
6.2.4.3.3 France Functional Mushroom Market by Distribution Channel
6.2.4.4 Russia Functional Mushroom Market
6.2.4.4.1 Russia Functional Mushroom Market by Application
6.2.4.4.2 Russia Functional Mushroom Market by Product Type
6.2.4.4.3 Russia Functional Mushroom Market by Distribution Channel
6.2.4.5 Spain Functional Mushroom Market
6.2.4.5.1 Spain Functional Mushroom Market by Application
6.2.4.5.2 Spain Functional Mushroom Market by Product Type
6.2.4.5.3 Spain Functional Mushroom Market by Distribution Channel
6.2.4.6 Italy Functional Mushroom Market
6.2.4.6.1 Italy Functional Mushroom Market by Application
6.2.4.6.2 Italy Functional Mushroom Market by Product Type
6.2.4.6.3 Italy Functional Mushroom Market by Distribution Channel
6.2.4.7 Rest of Europe Functional Mushroom Market
6.2.4.7.1 Rest of Europe Functional Mushroom Market by Application
6.2.4.7.2 Rest of Europe Functional Mushroom Market by Product Type
6.2.4.7.3 Rest of Europe Functional Mushroom Market by Distribution Channel
6.3 Asia Pacific Functional Mushroom Market
6.3.1 Asia Pacific Functional Mushroom Market by Application
6.3.1.1 Asia Pacific Pharmaceutical, nutraceutical & dietary supplements Market by Country
6.3.1.2 Asia Pacific Food & Beverage Market by Country
6.3.1.3 Asia Pacific Personal Care & Cosmetics Market by Country
6.3.2 Asia Pacific Functional Mushroom Market by Product Type
6.3.2.1 Asia Pacific Reishi Market by Country
6.3.2.2 Asia Pacific Cordyceps Market by Country
6.3.2.3 Asia Pacific Lion’s Mane Market by Country
6.3.2.4 Asia Pacific Other Product Type Market by Country
6.3.3 Asia Pacific Functional Mushroom Market by Distribution Channel
6.3.3.1 Asia Pacific Specialty Stores Market by Country
6.3.3.2 Asia Pacific Supermarkets & Hypermarkets Market by Country
6.3.3.3 Asia Pacific Online Distribution Channel Market by Country
6.3.3.4 Asia Pacific Others Market by Country
6.3.4 Asia Pacific Functional Mushroom Market by Country
6.3.4.1 China Functional Mushroom Market
6.3.4.1.1 China Functional Mushroom Market by Application
6.3.4.1.2 China Functional Mushroom Market by Product Type
6.3.4.1.3 China Functional Mushroom Market by Distribution Channel
6.3.4.2 Japan Functional Mushroom Market
6.3.4.2.1 Japan Functional Mushroom Market by Application
6.3.4.2.2 Japan Functional Mushroom Market by Product Type
6.3.4.2.3 Japan Functional Mushroom Market by Distribution Channel
6.3.4.3 India Functional Mushroom Market
6.3.4.3.1 India Functional Mushroom Market by Application
6.3.4.3.2 India Functional Mushroom Market by Product Type
6.3.4.3.3 India Functional Mushroom Market by Distribution Channel
6.3.4.4 South Korea Functional Mushroom Market
6.3.4.4.1 South Korea Functional Mushroom Market by Application
6.3.4.4.2 South Korea Functional Mushroom Market by Product Type
6.3.4.4.3 South Korea Functional Mushroom Market by Distribution Channel
6.3.4.5 Singapore Functional Mushroom Market
6.3.4.5.1 Singapore Functional Mushroom Market by Application
6.3.4.5.2 Singapore Functional Mushroom Market by Product Type
6.3.4.5.3 Singapore Functional Mushroom Market by Distribution Channel
6.3.4.6 Malaysia Functional Mushroom Market
6.3.4.6.1 Malaysia Functional Mushroom Market by Application
6.3.4.6.2 Malaysia Functional Mushroom Market by Product Type
6.3.4.6.3 Malaysia Functional Mushroom Market by Distribution Channel
6.3.4.7 Rest of Asia Pacific Functional Mushroom Market
6.3.4.7.1 Rest of Asia Pacific Functional Mushroom Market by Application
6.3.4.7.2 Rest of Asia Pacific Functional Mushroom Market by Product Type
6.3.4.7.3 Rest of Asia Pacific Functional Mushroom Market by Distribution Channel
6.4 LAMEA Functional Mushroom Market
6.4.1 LAMEA Functional Mushroom Market by Application
6.4.1.1 LAMEA Pharmaceutical, nutraceutical & dietary supplements Market by Country
6.4.1.2 LAMEA Food & Beverage Market by Country
6.4.1.3 LAMEA Personal Care & Cosmetics Market by Country
6.4.2 LAMEA Functional Mushroom Market by Product Type
6.4.2.1 LAMEA Reishi Market by Country
6.4.2.2 LAMEA Cordyceps Market by Country
6.4.2.3 LAMEA Lion’s Mane Market by Country
6.4.2.4 LAMEA Other Product Type Market by Country
6.4.3 LAMEA Functional Mushroom Market by Distribution Channel
6.4.3.1 LAMEA Specialty Stores Market by Country
6.4.3.2 LAMEA Supermarkets & Hypermarkets Market by Country
6.4.3.3 LAMEA Online Distribution Channel Market by Country
6.4.3.4 LAMEA Others Market by Country
6.4.4 LAMEA Functional Mushroom Market by Country
6.4.4.1 Brazil Functional Mushroom Market
6.4.4.1.1 Brazil Functional Mushroom Market by Application
6.4.4.1.2 Brazil Functional Mushroom Market by Product Type
6.4.4.1.3 Brazil Functional Mushroom Market by Distribution Channel
6.4.4.2 Argentina Functional Mushroom Market
6.4.4.2.1 Argentina Functional Mushroom Market by Application
6.4.4.2.2 Argentina Functional Mushroom Market by Product Type
6.4.4.2.3 Argentina Functional Mushroom Market by Distribution Channel
6.4.4.3 UAE Functional Mushroom Market
6.4.4.3.1 UAE Functional Mushroom Market by Application
6.4.4.3.2 UAE Functional Mushroom Market by Product Type
6.4.4.3.3 UAE Functional Mushroom Market by Distribution Channel
6.4.4.4 Saudi Arabia Functional Mushroom Market
6.4.4.4.1 Saudi Arabia Functional Mushroom Market by Application
6.4.4.4.2 Saudi Arabia Functional Mushroom Market by Product Type
6.4.4.4.3 Saudi Arabia Functional Mushroom Market by Distribution Channel
6.4.4.5 South Africa Functional Mushroom Market
6.4.4.5.1 South Africa Functional Mushroom Market by Application
6.4.4.5.2 South Africa Functional Mushroom Market by Product Type
6.4.4.5.3 South Africa Functional Mushroom Market by Distribution Channel
6.4.4.6 Nigeria Functional Mushroom Market
6.4.4.6.1 Nigeria Functional Mushroom Market by Application
6.4.4.6.2 Nigeria Functional Mushroom Market by Product Type
6.4.4.6.3 Nigeria Functional Mushroom Market by Distribution Channel
6.4.4.7 Rest of LAMEA Functional Mushroom Market
6.4.4.7.1 Rest of LAMEA Functional Mushroom Market by Application
6.4.4.7.2 Rest of LAMEA Functional Mushroom Market by Product Type
6.4.4.7.3 Rest of LAMEA Functional Mushroom Market by Distribution Channel
Chapter 7. Company Profiles
7.1 Hokkaido Reishi Co. Ltd.
7.1.1 Company Overview
7.2 Real Mushrooms
7.2.1 Company Overview
7.3 Pan's Mushroom Jerky
7.3.1 Company Overview
7.4 Om Mushroom Superfood
7.4.1 Company Overview
7.4.2 Recent strategies and developments:
7.4.2.1 Product Launches and Product Expansions:
7.5 Four Sigmatic
7.5.1 Company Overview
7.5.2 Recent strategies and developments:
7.5.2.1 Product Launches and Product Expansions:
7.6 Banken Champignons B.V.
7.6.1 Company Overview
7.7 South Mill Mushrooms Sales, Inc. (The Mushroom Company)
7.7.1 Company Overview
7.7.2 Recent strategies and developments:
7.7.2.1 Partnerships, Collaborations, and Agreements:
7.7.2.2 Product Launches and Product Expansions:
7.7.2.3 Acquisitions and Mergers:
7.7.2.4 Geographical Expansions:
7.8 Half Hill Farm, Inc.
7.8.1 Company Overview

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