With each passing day, the demand for functional and energy drinks is increasing across the world. Kombucha is one such drink that is trending among health-conscious people. In effect, Kombucha can help increase metabolism, boost immune system, reduce blood pressure, rebuild connective tissue & reduce headaches. Kombucha companies across the world are spending heavily on R&D projects to roll out new products and flavors into the market.

According to a study Kombucha Market size surpassed USD 2,655 million in 2020 and is estimated to register over 17% CAGR between 2021 and 2027. The original taste of Kombucha, being effervescent, slightly sweet and tart, has attracted added consumer preference to flavored products. Speculating increasing demand, manufacturers have started to bring new flavors of kombucha to the table.

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Prevalence of diseases such as diabetes, high cholesterol level, blood pressure along with high consumption of junk food has influenced product consumption lately. However, as kombucha contains some amount of alcohol, regulatory bodies including the U.S FDA have directed customers to take precautionary measures while using it for the first time.

Incidentally, consumers have also narrated numerous side effects like stomach upset, toxic reaction, metabolic acidosis and allergic reactions following product consumption, incidents that may restrain the growth of kombucha market.

For instance, in 2019, Health-Ade Kombucha, an American manufacturer announced the launch of six new flavored products including cherry, tropical punch, grapefruit, passion fruit-tangerine, peach-mango and strawberry-lemonade. Along with offering good taste, these products provide added health benefits owing to key characteristics like organic nature, low sugar content and being gluten-free and vegan.

Speaking on the regional landscape, North America kombucha market is expected to witness prominent growth at a 15.5% CAGR rate during the forecast period. Rising health awareness among Latin American countries including Argentina and Brazil is projected to offer lucrative opportunities for industry expansion.

Regular consumption of kombucha by professional athletics and dances owing to its numerous benefits in arthritis pains, common aches, and muscle stains is fueling product demand. Moreover, to address health issues like obesity, many health and fitness clubs are being developed in North America.

In addition to this, favorable government initiatives such as the President’s Council on Sports, Fitness, and Nutrition (PCSFN) are aiming to fuel sports participation among youth to induce fit lifestyle in America. Such activities are resulting in increasing fitness clubs which has made major industry players widen its product portfolio.

On a worldwide scale, the kombucha market embraces key market players like Red Bull, Brew Dr. Kombucha, KeVita, GT’s and Celestial Seasonings. Companies in this industry are actively participating in mergers, acquisitions, joint ventures and partnerships to provide a variety of products to consumers. High-rise demand and low production cost of kombucha are supporting market growth.

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Furthermore, industry leaders are launching a wide variety of flavored kombucha drinks like coffee, ginger, lemon, and berries which could stimulate global Kombucha market growth. For example, in 2019, Equinox Kombucha introduced its latest products named Espresso Coffee, turmeric, and peach flavors. Global Market Insights, Inc. meanwhile suggests that the global kombucha market is likely to exceed USD 5 billion valuation by 2025.

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