Functional Protein Water Market Size (2024-2030)

The Functional Protein Water Market is estimated to be valued at USD 1,187.1 million in 2023 and is projected to reach a market size of USD 2,074.37 million by the end of 2030. Over the forecast period of 2024-2030, the market is expected to grow at a CAGR of 8.3%. 

The Functional Protein Water market share is expected to expand significantly in the next ten years.  As protein water is refreshing and low in calories, it is chosen over mineral water and sparkling water on the market. Higher demand is owing to the growing fitness enthusiast population in both regions. The existence of large-scale multinational firms in few regions is also projected to raise awareness of such products through the use of social media. Product innovation is said to be the key strategy adopted by market participants. Brands are constantly introducing new flavors and working on their offerings of protein water, which are attracting more consumers. The accessibility of unique flavors and packaging options is further making protein water more appealing to a wide range of consumers. Rising number of athletes and fitness enthusiasts worldwide is another significant factor that would push demand. The market for protein water is assumed to profit from rising demand for convenient and easy-to-consume protein-rich beverages. It is also set to benefit from enhancing interest in plant-based protein sources among millennials. The market is certain to see the introduction of novel products with different flavors and functional advantages. With rising demand for Functional Protein Water, established brands, as well as new competitors are entering the segment. It is likely to encourage the competition and help companies to gain a large customer base.

Key Market Insights:

• Consumers are increasingly attracted in exotic ingredients and robust flavors that not only appeal to the palate, but are also functional in terms of the whole nutritional profile. B1U has launched a line of functional infused water that has no sugar or artificial sweeteners.
• Herbal Water introduced by Dr. Ayala, as a substitute to sugar-laden and artificially flavored beverages, Dr. Ayala made blends of herb-infused waters that magically satisfy thirst and restore the spirit.
• The sales of bottles water have recently surpassed those of soft drinks in the US and the bottled water sector is thus a leading horse prompting companies to deploy and expand their functional offerings.

Functional Protein Water Market Drivers:

Growing demand for functional foods is boosting market growth.

Protein water demand is set to witness significant growth due to increasing health consciousness among consumers. Consumers are more inclined towards incorporating protein into their diets to maintain their health and fitness. As more Millennials and Gen-Zs are adopting plant-based diets, there has been a corresponding increase in the demand for vegan and vegetarian protein water. Therefore, manufacturers have responded to evolving consumer demands by producing protein water made from plant-based sources such as pea protein, rice protein, and soy protein. Companies are launching new flavours with essential ingredients such as protein, amino acids, vitamins and minerals in to make their protein water to stand out in a crowded market.

Increased availability and accessibility is propelling market growth globally.

With the growth of e-commerce, consumers can easily purchase protein water online, which has developed the availability and accessibility of these products. Protein water is an easy and convenient way for people to drink protein on-the-go, driving demand in the market. There has been a trend toward small and more portable packaging, making it easier and quicker for busy consumers to carry protein water with them throughout the day.

It is observed that there is an increase in obese and diabetic populations in the US, China, India, Australia and UK among others, has shifted the focus from carbonated soft drinks to fortified, packaged water in the previous years.

Functional Protein Water Market Restraints and Challenges:

Modern consumers might be hesitant to consume protein water due to issues about added ingredients such as sweeteners or preservatives. Consumers might not agree that protein water is as effective at delivering protein as other products such as protein bars or shakes.

Protein water tends to be more expensive than regular water, which might discourage some consumers from purchasing it regularly. Protein water is not as widely obtainable as regular bottled water, which can restrict its accessibility and exposure to potential customers. Additionally, the protein market is crowded, with multiple other products such as protein bars, shakes, and powders competing for consumer attention. A few consumers might find the taste and flavour of protein water less appealing or tasty than other beverages, which can affect its marketability and reputation.

Functional Protein Water Market Opportunities:

One of the key opportunities driving the global market is the dual purpose offered by protein water, as a thirst-quencher, as well as a requisite protein nutrient provider (46 grams for women and 56 grams for men) in this sedentary lifestyle followed by Millenniums and Gen-Zs. The rapid consumer shift toward a healthy lifestyle, by regularly eating nutritious food and exercising, is expected to hype the demand for protein water. Furthermore, it offers a good supplement to other artificial food beverages with inferior nutritional value, so providing athletes with a whole health benefit in a single package. The rapid consumer transition towards a healthy lifestyle coupled with the growing awareness regarding the benefits of protein water, growing the market demand.

FUNCTIONAL PROTEIN WATER MARKET REPORT COVERAGE:

Functional Protein Water Market Segmentation

Functional Protein Water Market Segmentation:

Functional Protein Water Market Segmentation By Type

• Flavored
• Unflavored

As per the research, it is observed that consumers prefer Flavored Protein Water over the unflavored one. This is owing to the fact that as much as people want to stay healthy and fit, they also want the food or drinks that they consume to be tasty so that they can stay consistent in consumption. As there are various flavors available in the market, it attracts customers even more to choose Flavored water. All these above facts lead Flavored segment to be the dominating segment.

Functional Protein Water Market Segmentation By Distribution Channel

• Supermarkets/ Hypermarkets
• Convenience Stores
• Online Channels
• Others

As per the market research, supermarket/hypermarkets are accounted for the largest market share in 2023 because they provide a one-stop shopping experience where consumers can find a diverse variety of products, including various flavors and brands, in a single destination. Such easier accessibility to consumers helps them find the specific Functional Protein Water that they are particularly looking for without having to visit multiple specialty stores. Besides this, this distribution channel offers competitive pricing due to their purchasing power and economies of scale, which makes Functional Protein Water more accessible to a broader range of consumers.

Functional Protein Water Market Segmentation By Region

• North America
• Asia-Pacific
• Europe
• South America
• Middle East and Africa

North America holds a major share and hence considered to be the dominating market in 2023. Increasing obesity level has led to rise in cases of cardiovascular disorders, owing to high cholesterol among consumers in the region. Elements such as growing awareness regarding the consumption of Functional Protein Water owing to the rise in the incidence of consumers towards healthy eating habits are among the primary factor projected to push the growth of the protein water market and predicted to be the fastest-growing region during the outlook period. This is one of the key factors affecting the demand for the protein-based beverages industry in the North American region. According to the World Health Organisation, 72.83% share of the population of North America is obese.

Furthermore, the consumption of dietary supplements is estimated to increase in the region, owing to the increased consumer consciousness about the health benefits associated with the consumption of protein-based water drinks. According to Agriculture and Agri-Food Canada, in 2022, per capita consumption of Functional Water in the United States amounted to approximately 7.5 litres. The demand for ready-to-eat, easy-to-carry, all-in-one products like protein water that offer a whole package of nutrients, is increasing in the region owing to the busy and stressful lifestyle of consumers and the binge habit of detrimental eating.

COVID-19 Impact Analysis on the Functional Protein Water Market:

The pandemic rose consumer awareness pertaining to the importance of maintaining good health. This led to enhanced emphasis on wellness as well as the consumption of health-enhancing products including functional water. Consumers choose products that can strengthen the immune system, hydration needs and overall well-being. The reduction in COVID-19 cases as well as the implementation of subsequent strategies by government & non-government organizations are expected to augment the market demand.

Latest Trends:

The surge in the number of middle-aged and geriatric populations participated in sports activities has further fuelled the protein water market growth. With the rising participation of athletes in health and fitness centres, there is more and more demand for sports nutrition products. Athletes seek to gain advantages such as strengthening of the immune system, muscle healing, and recovery, enhanced energy levels, decreased muscle tiredness and soreness, and injury prevention from the sports nutrition products, boosting the growth of the Functional Protein Water

Furthermore, Functional Protein Water is a healthy package for consumption, as it provides extra health benefits and nutrients in a bottle of water for the value of the money. It acts as a good alternative to other artificial food drinks with lower nutritional value. On a short note, protein water is providing a total health advantage to consumers in a single package. Thus, rise in fitness enthusiasts, growing health and fitness centres, athletes seeking health benefits supplements and the prevalence of lifestyle diseases are expected to push the growth of the protein water market.

Key Players:

1. Arla Foods amba
2. Molecule Beverages Ltd.
3. Protein2o Inc.
4. Glanbia PLC
5. Vyomax Nutrition Limited
6. The hut.com Ltd
7. BioTech USA
8. Sigma Lifesciences
9. Garden State Nutrition
10. Celsius Holdings
11.  

Recent Developments

• In July 2022, Mumbai-based Aquatein (Athlex Beverages Private Limited), India's first ever Protein Water brand introduced three new products. Through its strategic offline collaboration, the brand is all set to roll out 1200 direct points of sales and also launch the brand globally through strategic local partnerships in the Middle East and Northern Africa region.
• In April 2022, the United Kingdom's flavoured Functional Protein Water brand, Vieve, widened its portfolio with the launch of a new range of vegan protein waters. The range is obtainable in two flavours: Wild Cherry and Peach & Orange. The vegan beverages constitute 10g of protein, zero sugar, and 50 calories per bottle.