According to data from Innova Market Insights, the Soft Drink and Hot Drink categories with functional health claims grew by 8% from 2020 to 2024, with coffee leading innovation. Functional coffee launches surged 29%, while iced coffee grew 21%, driven by consumer demand for more than just a caffeine boost. The fastest-growing functional claims were added iron, immune support, and oral health benefits.
Innova Market Insights indicates a 22% year-over-year growth in snack launches featuring health claims between April 2023 and March 2025. Over half of these launches were from Asia. Snack nuts and seeds were the top subcategory, and almond was the top ingredient. The top three health-related positionings were heart health, energy and alertness, and weight management.
Innova Market Insights data indicates 9% growth for color ingredient use in F&B launches globally from April 2020 to March 2025. Bakery & Confectionery was the leading category for these launches, and there is also an increase in color ingredient use for various drink launches, such as Hot Drinks and Soft Drinks.
Innova Market Insights data indicates a 5% increase in vegan food and beverage launches between April 2020 and March 2025. Bakery was the top category in launches with vegan claims, while sugar and sweeteners showed the most growth. Europe was the frontline of these launches, accounting for more than 60% of global NPDs. Nearly one in two vegan product launches was with an ethical-packaging claim.
Innova Market Insights data shows that digestive and gut health is the leading health driver behind functional food and beverage purchases. This trend has fueled market innovation, with digestive/gut health claims growing at an average rate of 5% from April 2020 to March 2025. Key ingredients supporting this growth include fiber, vitamin D, and probiotics.
Food and beverage NPD is taking a circular turn, with brands turning food waste into flavorful innovation. From sparkling lemonade brewed with rescued ginger to creamy cheese made from ham off-cuts, upcycled ingredients are transforming overlooked by-products into premium launches.
Innova Market Insights data shows a +2% growth in functional health claims for F&B launches from 2020 to 2024. Functional Hot Drinks led the growth with a 13% increase over five years, followed by Spreads with an 11% growth, and Desserts and ice Cream, which had a 9% increase. Hair Support, Energy/Alertness, and Digestive/Gut Health were the fastest-growing claims.
