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Functional Ingredients Trends: Global Market Overview

The rise of functional ingredients has been evident throughout various food categories in recent years. Given the health and wellbeing benefits associated with them, consumers and brands are both seeking and serving products that feature them. By encompassing positive functional ingredients in food and beverages such as protein, vitamins, and fiber has spearheaded innovation trends, brands are continually aiming to meet the expectations of shoppers seeking these ingredients in products.

Consumers across the globe are prioritizing their health and wellbeing when it comes to spending outside of their usual list of essentials. According to research by Innova Market Insights, 29% said that wellbeing is one of the most important personal values to them, ranking just below family, happiness, and freedom. With the exception given to the United Kingdom, where health and wellbeing rank fourth in priority, health and wellbeing are always in the top three priorities for consumers globally. More than three-quarters of consumers are looking for ways to consume healthier food and beverages in the past twelve months.

Health-boosting ingredients are driving consumers’ choices, with a quarter of consumers globally saying products that are high in nutritional value are an influential characteristic to help them feel well. Research has found that nearly the same amount choose food or beverages that boost healthy ingredients and allow them to eat healthily. This trend is evident with many products containing a source of healthy fats with high nutritional density, giving consumers a great source of calcium, iron, dietary fiber, and healthy prebiotics.

Protein claims in food and beverage launches are leading growth in functional food and beverage. Global packaged launches with an active health positioning have increased in the past few years, with high sources of fiber and protein dominating the claims for these products, reflecting broader ingredient trends toward nutrient density, clean label, and functional benefits.

Of the top nutrient choices made globally, a majority of consumers have said that they prioritize protein in their food and beverage choices. Showing clear signs of making decisions in purchasing these products. This is further backed by the desire to have certain nutrients for their diets, with vitamins and fiber being the second and third choices, respectively. Ranked as the top choice, there has been a year-over-year growth of more than 32% in new products within food and beverage launches that contain a high protein claim. This exponential rise in protein is fueled by a desire for energy and stamina benefits, a reasonable way to manage weight, and immune-boosting benefits. Many characteristics can define products sold across the market with health and wellbeing in mind, but delivering a substantial energy boost, maintaining muscle growth, and building a strong defense mechanism against diseases have been top of mind for consumers.

Protein products are targeting specific demographics, and at a time when consumers globally have purchased age-specific nutrition as targeted nutrition, it makes sense. Ingredient trends reveal that dairy-free, and prebiotics dominate the category for this age group. This is largely down to nutritional product delivery, such as one product currently on the market that offers 11g of “next-generation super-protein” to provide essential macronutrients in every bite.  Elsewhere, collagen protein drinks are becoming more prominent, particularly for women and men in their fifties, offering benefits such as increased muscle and bone health, energy and helping balance hormones.

Of those studied, 50% of consumers globally said that improved taste is what they would like to see more in plant-based products. Technological breakthroughs unveil new protein sources at a significant growth rate, and more products are on the way with pioneering ingredient innovation to make this happen.

Health Concerns Fuel Fiber Innovation
Functional ingredient trends show that consumers are seeking fiber in functional foods for gut health, but also in their beverages too. For those researched in the past twelve months, it outranked weight management as their top priority. Meanwhile, fiber is considered by many as the key functional ingredient for gut health, beating off competition from other ingredients like vitamin D. Brands are tapping into fiber’s versatility and benefits for this reason, while prebiotics are expanding across various categories.

For both fiber and biotics, their health benefits open opportunities for GLP-1 support in food innovation. Such is the belief in these ingredient types that there has been year-over-year growth of new product launches with a GLP-1 claim in the past five years. The benefits of products that support GLP-1 claims are the likes of prebiotic fiber, which helps support weight management by boosting satiety. There are also some supplements that include prebiotics and ingredients to nourish, balance, and restore the microbiome inside of us.

What’s Next in Functional Ingredients Globally?
Looking ahead to the future trends in the category, we are likely to see further development in vitamins as brands enhance products to meet consumer demand. In fact, 54% of consumers globally are actively including vitamins in their diet, which is likely to fuel this trend. They are primarily consuming vitamins ranging from the standard vitamin C for immune system support to B5 for mental performance and B6 for psychological function and fatigue reduction.

Opportunities for mental health support are there to be explored, with the average annual growth of new product launches with a brain health claim on the rise. For 36% of consumers, feeling mentally and emotionally well is their primary health goal, so by exploring rapidly growing functional ingredients for mental health, brands can appeal to these preferences.

Hydration for focus will be an increasing trend, as will products that support stress relief with B vitamins, magnesium and L-theanine. Energetic and metabolic qualities will also be prominent. Concern for sleep opens possibilities in botanical ingredient innovation, as almost half of consumers globally say that sleep is their top health concern in the last year. High protein will continue its increasing dominance in health claims with a broader functionality profile. Age-specific targeting will also be present and targeted with protein for improved taste, while fiber will be present everywhere.

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