Kombucha

Kombucha

The kombucha market has been growing steadily across the world due to increased consumer awareness on the health benefits of functional beverages that support the gut.” Kombucha is a newly famous fermentation tea containing probiotics and is a healthy and good substitute for sugar-filled soft drinks and energy drinks. It’s aided by new exciting flavors, organic products, and wider and varied distribution outlets, coupled with the public’s growing understanding of the health benefits of the products. As the millennial generation and other health-conscious consumers keep on demanding more and more kombucha, the drink has found its way into both mass and specialty markets.

The kombucha market is set to show a growth rate of about 17.3%. This is due to the rising demand for organic, clean-label, and natural products. Also, increasing R&D, investment, product advancements, and collaborations in this industry drive the Kombucha market. For instance, in February 2022, Remedy Drinks extended its product line by launching the product in wild berry flavor in the U.K. The ‘Remedy Kombucha Wild Berry’ beverage initially will be stocked exclusively at Tesco stores. The retail giant further plans to launch ‘Remedy Kombucha Mango Passion’, along with doubling the distribution of its existing flavors (raspberry lemonade and ginger lemon) in a commitment to increasing its sales of healthier products.

• Based on product type, the market is bifurcated into conventional and hard. The conventional category is expected to have the largest market share of the kombucha market. Conventional kombucha is made from the normal brewing processes and is cheaper than the premium or organic types and hence targets price-sensitive consumers in society. This segment will enable the company to reach consumers who have not been concerned with the organic certification but have an interest in the benefits of the kombucha.
• Based on the type, the market is bifurcated into natural and flavored. Among these, the natural segment is the largest contributor to the kombucha industry. The natural category targets consumers who want products that contain no artificial ingredients or preservatives. Regular kombucha is often packaged and presented as a healthier and purer product, which certainly appeals to the customer segment that pays much attention to the quality of what they consume.
• Based on the distribution channel, the market is segmented into supermarkets/hypermarkets, convenience stores, health stores, and online retail. Among these, Supermarkets and hypermarkets are among the most significant distribution channels in the kombucha market, which is why they are essential to the market’s growth. In placing their product on normal shelves, they increase its availability and increase the chances of the product being seen and bought by more people therefore increasing the overall sales and market share.
• For a better understanding of the market adoption of kombucha, the market is analyzed based on its worldwide presence in countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. Among these, North America's kombucha market is growing significantly because of increased consumer awareness of health benefits, availability of the product, and the American consumer’s preference for functional and natural foods. The United States is the most developed market, with new brands of kombucha continually spicing up the market with new flavors and organic products to capture the market of different consumers. Canada is an important part of the region’s growth, and kombucha is a product that is increasingly finding its way into the natural food sections of grocery stores and becoming more and more popular among consumers who are focused on their health. As the distribution in conventional retail outlets continues to grow, North America has been identified as the most profitable and most competitive market for kombucha.
• Some major players running in the market include PepsiCo, Inc.; GT's Living Foods; Health-Ade LLC; The Hain Celestial Group, Inc.; SYSTM Foods Inc. (Humm Kombucha); Wonder Drink; NessAlla Kombucha; Cruz Group, Inc. (Vigo Kombucha); MOMO Kombucha; Nørrebro (Læsk).