Functional Water Market Report 2026

The functional water market size has grown strongly in recent years. It will grow from $9.86 billion in 2025 to $10.61 billion in 2026 at a compound annual growth rate (CAGR) of 7.6%. The growth in the historic period can be attributed to growth in bottled water consumption, increasing health awareness among consumers, expansion of urban lifestyles, rising demand for convenient hydration solutions, availability of diverse functional additives.

The functional water market size is expected to see strong growth in the next few years. It will grow to $14.25 billion in 2030 at a compound annual growth rate (CAGR) of 7.7%. The growth in the forecast period can be attributed to growing adoption of personalized hydration solutions, rising focus on preventive wellness drinks, expansion of premium functional water brands, increasing innovation in aquaceutical formulations, growth of digital-first beverage distribution models. Major trends in the forecast period include increasing demand for vitamin-enriched waters, rising popularity of electrolyte and hydration products, expansion of herbal and infused water variants, growing focus on sugar-free functional beverages, enhanced packaging innovation for on-the-go consumption.

The growing aging population is expected to drive the growth of the functional water market in the coming years. An aging population refers to an increase in the proportion of older individuals within a demographic. As people age, total body water (TBW) and intracellular water (ICW) tend to decline, affecting muscle mass, strength, and overall functional performance. Functional water products designed to support hydration, muscle health, and general well-being offer targeted benefits for this demographic. For example, in January 2024, the Population Reference Bureau (PRB), a US-based non-profit research organization, reported that the number of Americans aged 65 and older is projected to rise from 58 million in 2022 to 82 million by 2050. Therefore, the expanding aging population is expected to propel the functional water market.

Key players in the functional water market are focusing on strategic partnerships to launch innovative products and expand their portfolios. Such collaborations facilitate the development of new formulations, entry into new markets, and introduction of unique functional water solutions. For instance, in February 2023, Centr, a Canada-based functional beverage company, partnered with Kyowa Hakko USA, a US-based biotechnology firm, to launch Centr Enhanced, a sparkling functional water featuring nootropic and adaptogenic ingredients. Centr Enhanced includes Kyowa Hakko’s Cognizin citicoline, a nutrient supporting brain health, and is designed to enhance mood, reduce stress, and improve energy, memory, focus, and mental clarity. This launch marks Centr’s expansion beyond the CBD-related sector for the first time.

In June 2024, Ovivo Inc., a Canada-based water purification and treatment company, collaborated with Evocra. Through this collaboration, Ovivo Inc. aims to develop an integrated PFAS solution that combines its electrochemical oxidation technology with Evocra’s patented ozone foam fractionation technology, positioning Ovivo to address significant PFAS contamination in the environment. Evocra is an Australia-based firm focused on providing innovative digital solutions and consulting services in data analytics and cloud technology.

Major companies operating in the functional water market are Danone, The Coca-Cola Company, Pepsico Inc., Dr. Pepper Snapple Vitamin Well AB, Trimino Brands LLC., Vichy Catalan Corporation, San Benedetto, Nestle SA, Hint Water, Keurig Dr Pepper Inc., CENTR Brands Corporation, Flow Beverage Corp, Ayala's Herbal Water, Nirvana Water Sciences Corp, Talking Rain Beverage Company, The Alkaline Water Company Inc., Wtrmln Wtr, HFactor, Penta Water Company, AquaHydrate Inc, Propel Water, Gatorade.

North America was the largest region in the functional water market share in 2025. The regions covered in the functional water market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the functional water market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The functional water market consists of sales of water with minerals, oxygen, herbs, and botanicals. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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