Marketplace · Friday, July 24, 2026
Monica Petrucci of Forbes notes that functional beverages, offering health benefits or nutritional value, are becoming widespread, moving beyond niche markets to places like Starbucks and Walmart. This trend is partly driven by younger consumers like Gen Z and millennials drinking less alcohol and seeking benefits like hydration or better digestion.
“Functional beverages is the buzzword, and Gen Z is all over 'em.”
“Yes, so a functional beverage is essentially any beverage that offers some kind of health benefit or added nutritional value.”
“So, um, younger consumers especially, like Gen Z and millennials are drinking less alcohol. They're looking for more, you know, fun drinks that aren't alcohol, but maybe offer some kind of benefit, like hydration or better digestion, things like that.”
“It's kind of becoming everywhere. Like you said, your local Starbucks, places like Walmart have dedicated areas for functional beverages. Um, it's just kind of everywhere now.”