Fuelling the functional water frenzy

In part three of our World of Water series, we take a look at why more consumers are switching from high-calorie, sugar-loaded sodas to beverages offering added health benefits like functional, flavoured near-water drinks.

In part two of our World of Water series, we uncovered why consumers are increasingly turning to more premium and responsibly-sourced water drinks. This week, we shift our focus towards a relatively new breed of water products – the near-water trend. That is, any water infused with flavours or functional benefits.

In recent years, the demand for near-water beverages has grown exponentially. So much so, in fact, that the category’s CAGR (annual growth rate) is set to rise 9.5% from 2017-2023. So, what’s fuelling the functional water frenzy? And what kind of products have we seen emerge on the market this year?

More than just a bottle of water

More than ever, consumers are demanding healthy, low-calorie beverages that are both good for them and good for the environment. This has resulted in widespread innovation across the entire near-water market segment. From fermented to protein-packed beverages, there’s now a plethora of products offering added vitamins, minerals, collagen and natural probiotics – and promising everything from beauty to weight-loss benefits.

Sugar remains a primary concern, and alternatives such as kombucha and vegan, fibre infused water promise to bring a healthy dose of immunity and functionality to everyday life. Beverages created with natural flavours continue to rise in both range and popularity, particularly those flavoured with mixed berry, lemon lime and orange mango. New and exotic flavours are also gaining momentum, with spices such as cardamom, ginger and turmeric hitting the market in recent years. Many of these drinks boast antioxidant-boosting or stress-relieving qualities, making them a hit with the health-conscious consumer.

Packaging for a greener planet

But for many of today’s consumers, the push for sustainability also applies to packaging. That’s why SIG offers a range of innovative packaging solutions aimed at reducing single-use plastic and minimising environmental impact, while still maintaining flavour and functionality.

Recently, start-up brand B-Better launched its on-trend water drinks in SIG’s fully recyclable combidome carton bottle, providing the best CO₂-performance on the market. To find out more about SIG’s responsible packaging and get your copy of the case, download the form below.

Next in the series

Want to know more about the potential of near-water, water-plus and functional water drinks? Don’t miss part four of our World of Water series. You can get the rest of the series sent straight to your inbox by subscribing to the SIGnals Update, our exclusive bi-weekly newsletter.