From caffeine-free energy boosters to drinks promoting better sleep or sharper focus, functional beverages are disrupting the landscape for non-alcoholic drinks. With an influx of innovation and growing space in-store and online, the category is gaining traction – not just with brands and retailers. Shopper intrigue is rising too.
Strong shopper demand
According to the Savvy Shopper Panel, 45% of UK grocery shoppers say they are interested in functional drinks. But when interest is broken down by benefit area, the numbers climb significantly – 62% of shoppers are drawn to drinks that support sleep health, 58% are interested in brain health benefits, and 50% are attracted by products that aid physical recovery and performance.
Digging deeper into specific product benefits, hydration is the most appealing function, with half of all grocery shoppers mentioning this need. Almost as many (47%) would opt for a product that aides gut health, while 45% are drawn to added vitamins. Better sleep is appealing to 43%, while stress and anxiety support resonates with 39%. A further 35% say they are interested in drinks that offer an energy boost without caffeine, and 32% look for products that help with concentration or focus.
Habit a powerful driver of repeat purchase
These figures highlight a broad appetite for functional drinks that cater to both physical and emotional wellbeing – a category with real depth and range of potential. Beyond product benefits, behavioural science suggests the market is primed for continued growth because it taps into one of the most powerful drivers of consumer loyalty: habit.
Functional drinks often lend themselves to daily or even multiple-times-a-day consumption routines – morning focus, afternoon pick-me-ups, post-exercise recovery, or winding down at night – making them highly habitual in nature. Once a shopper integrates a product into their daily rhythm, the chances of repeat purchase rise significantly.
Social engagement is fuelling interest and category growth
At the same time, social engagement is playing a pivotal role in fuelling adoption. From high-visibility merchandising – such as M&S placing its Brain Food range in prominent chillers – to frequent coverage on TikTok and Instagram, there is a sense, in particular among younger shoppers and families, that “everyone is doing it.” This perceived normalisation paves the way for accelerating category growth, especially among audiences who are already health-curious or exploring wellness trends.
Merchandising confusion points to opportunity
Merchandising, however, remains an unresolved challenge. While functional beverages span a range of product types and use cases, many shoppers still struggle to know where to find them in-store.
The latest Savvy Shopper Panel research (May 2025) shows that 39% of shoppers expect to find functional drinks alongside other healthier products, while 38% would like to see a dedicated section or display. Just over a quarter (27%) expect to find them in the chilled soft drinks section with smaller cans and bottles, while others look across multiple other locations – from tea and coffee aisles (22%) to sports drinks (21%), large soft drink bottles (21%), and even dairy alternatives (20%). Only 12% of shoppers said they had no specific expectation of where to find these products, suggesting that clearer merchandising cues could unlock better engagement and sales.
Could AI shape the next stage of shopper influence?
Looking ahead, there is growing evidence that AI is beginning to influence shopper choices in this space. Many consumers – particularly younger digital natives – are turning to tools like ChatGPT and Gemini for personalised health and wellbeing guidance, including recommendations around hydration, sleep aids, nootropics and supplements.
As this trend grows, there may be opportunities for brands and retailers to harness AI-driven discovery paths in ways that link content to conversion more seamlessly.
Category set for long-term growth
With the convergence of behavioural science, shopper demand and tech-led personalisation, the functional beverage market presents fertile ground for sustained growth. It’s an are Savvy will continue to monitor closely as it evolves.
If you’d like to receive regular updates on Savvy’s Shopper Panel research and insights please sign up.
Related event research: