US and LATAM Functional Shots Market Forecast to 2027 - COVID-19 Impact and Regional Analysis By Product (Energy, Immunity, Detox, and Others) and Distribution Channel (Hypermarkets and Supermarkets, Convenience Stores, Online, and Others)
The US & LATAM functional shots market was valued at US$ 2,309.25 million in 2019 and is projected to reach US$ 3,465.42 million by 2027; it is expected to grow at a CAGR of 5.2% from 2020 to 2027.
Functional shots are referred to as non-alcoholic beverages fortified with specific nutrients to provide a variety of health benefits. They are typically available in a wide range of varieties and are customized to provide the desired quantity of carbohydrates, electrolytes, minerals, vitamins, dietary fibers, and probiotics. Some of the widely available functional shots include sports and energy drinks, yogurt, enhanced water, fruit juice, and ready-to-drink (RTD) teas. They are produced using ingredients such as onion, ginger, black pepper, beetroot, garlic, mushrooms, and algae.
In 2019, Mexico held significant share in the US & LATAM functional shots market. The growth of US & LATAM functional shots market in Mexico is primarily attributable to the growth of functional shots market in Mexico is primarily attributable to the trend of gyms and wellness instruction is booming, from accessories and diets to training. Manufacturers are taking advantage of this trend by innovating their product offerings, such as vegan and plant-based beverages which are also expected to boost the demand for functional shots.
COVID-19 first began in Wuhan (China) during December 2019 and since then it has spread at a fast pace across the globe. As of February 2021, US, Brazil, India, Russia, Spain and UK are some of the worst affected countries in terms confirmed cases and reported deaths. The COVID-19 has been affecting economies and industries in various countries due to lockdowns, travel bans, and business shutdowns. Food and beverage is one the world’s major industries suffering serious disruptions such as supply chain breaks, technology events cancellations, and office shutdowns as a result of this outbreak. However, the spread of COVID-19 served as a game-changing phenomenon for the functional shots market. A significant number of customers have been seeking immunity-boosting products amid the ongoing coronavirus pandemic, contributing to the rapid acceptance of the product. Thus, this has been one of the key drivers for the growth of the market for functional shots. These functional shots are very convenient and easy to store. These functional shots can be stored directly in cold environments, and certain functional shots can also be stored at room temperature. The convenient pricing of functional shots often drives the market.
US & LATAM Functional Shots Market
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Market Insights
Increase in Health Awareness Among Millennial Population
Functional shots are gaining popularity among individuals and athletes participating in physical fitness activities. The millennial population drives the market, showing a strong interest in sports, a tendency towards fitness, more purchasing power, and a desire to buy healthier goods. In the recent years, people have been increasingly inclined towards physical fitness, the number of health clubs and fitness centres. The rising number of fitness centres is one of the driving factors for the demand for functional shots during the forecast period. Health is a driving factor for many millennial customers when it comes to consuming soft drinks or any other drink. As a result of the highly reported backlash against sugar, consumers are becoming increasingly aware of the advantages and consequences of the products used in their beverages. This increasing awareness of health has ignited interest in functional shots that are considered to be 'good-for-you or 'better-for-you.' Further, in pursuit of a 'cleaner' lifestyle, healthier customers are searching for products that they see as 'better' than normal soft drinks, preferring alternatives that provide natural rather than artificial ingredients, as well as low-sugar or sugar-free products. Moreover, functional shots are gaining popularity among convenience-driven consumers. In order to overcome negative perceptions and address specific consumer health concerns, such as immune support or digestion, manufacturers use the healthy halo associated with natural, organic, and raw ingredients in functional beverages. This further creates a massive demand for functional shots across the US.
Product Insights
Based on product, the US & LATAM functional shots market is segmented into energy, immunity, detox, and others. The energy segment led the US & LATAM functional shots market with the highest market share in 2019. Energy drinks are known as functional drinks that have a calming effect with specific combinations of ingredients that are characterized by taurine, caffeine, vitamins, and other nutritionally or physiologically effective substances. Energy drinks are commonly marketed as energy-enhancing products that improve mental alertness and physical performance. Herbal ingredients play a significant role in the sensory assessment of energy drinks as well as the improvement of their positive health effects. Energy drinks are typically available in a broad range of varieties and are personalized to include the desired quantity of carbohydrates, electrolytes, minerals, vitamins, dietary fibers, and probiotics. Energy drinks are the most common dietary supplement that American teenagers and young adults consume. Men between the ages of 18 and 34 consume the most energy drinks, and almost one-third of teenagers between the ages of 12 and 17 drink regularly. Thus, all these factors are expected to increase the US & LATAM functional shots market growth in the energy industry.
US & LATAM Functional Shots Market, by Product – 2019 and 2027
Strategic Insights
Key market players include Boise Juice Co., Ethan's, Hawaiian OLA, KOR SHOTS, Lumen, LXR Biotech, LLC., Project Juice, Sofresco USA, SUJA LIFE, LLC, and Vive-Organic, INC. Major players in the US & LATAM functional shots market are focused on strategies such as mergers and acquisitions and product launch to increase the geographical presence and consumer base in US and LATAM.
Report Spotlights
- Progressive industry trends in the US & LATAM functional shots market to help players develop effective long-term strategies
- Business growth strategies adopted by developed and developing markets
- Quantitative analysis of the US & LATAM functional shots market from 2017 to 2027
- Estimation of the demand for US & LATAM Functional Shots across various industries
- PEST analysis to illustrate the efficacy of buyers and suppliers operating in the industry to predict market growth
- Recent developments to understand the competitive market scenario and the demand for US & LATAM Functional Shots
- Market trends and outlook coupled with factors driving and restraining the growth of the US & LATAM functional shots market
- Decision-making process by understanding strategies that underpin commercial interest with regard to US & LATAM Functional Shots market growth
- US & LATAM functional shots market size at various nodes of market
- Detailed overview and segmentation of the US & LATAM functional shots market as well as its dynamics in the industry
- US & LATAM functional shots market size in various regions with promising growth opportunities
US & LATAM Functional Shots Market, by Product
- Energy
- Immunity
- Detox
- Others
US & LATAM Functional Shots Market, by Distribution Channel
- Hypermarkets and Supermarkets
- Convenience Stores
- Online
- Others
US & LATAM Functional Shots Market, By Country
- US
- Mexico
- Peru
- Ecuador
- Colombia
- Rest of LATAM
Company Profiles
- Boise Juice Co.
- Ethan's
- Hawaiian OLA
- KOR SHOTS
- Lumen
- LXR Biotech, LLC.
- Project Juice
- Sofresco USA
- SUJA LIFE, LLC
- Vive-Organic, INC.
- Save and reduce time carrying out entry-level research by identifying the growth, size, leading players and segments in the US & LATAM functional shots market.
- Highlights key business priorities in order to assist companies to realign their business strategies
- The key findings and recommendations highlight crucial progressive industry trends in the US & LATAM functional shots market, thereby allowing players across the value chain to develop effective long-term strategies
- Develop/modify business expansion plans by using substantial growth offering developed and emerging markets
- Scrutinize in-depth US & LATAM market trends and outlook coupled with the factors driving the US & LATAM functional shots market, as well as those hindering it
- Enhance the decision-making process by understanding the strategies that underpin commercial interest with respect to client products, segmentation, pricing and distribution