Last year, many experts predicted the downturn of functional beverages. For the most part, they were right, with some exceptions. While some beverages such as yogurt drinks and fruit juices suffered, others like coconut water and kombucha breathed new life into the category.

The ‘Boom’ Days are Over

Historically, according to Mintel International, Chicago, IL, the functional beverage market has performed relatively well but, like many other categories, it says sales declined in 2009 as a deepening recession, limited discretionary incomes and historically low levels of consumer confidence all impacted this largely discretionary market. “Functional beverage sales grew an impressive 25% during 2004-2008 but declined over 2% in current prices, from $9.2 billion in 2008 to $9 billion in 2009,” the market research firm said in its latest report, “Functional Beverages-U.S.-2010.”
 
And the market growth outlook is not very bright, as Mintel projects sales to increase a mere 7% to reach $9.7 billion in current prices during 2009-2014, reflecting decline of 3% in inflation-adjusted terms.
 
“[FDA’s] intervention in the market along with growing consumer distrust with the veracity of beverage claims is the major impediment to market growth,” the market research firm explained. “Additionally, as frugality takes root in consumer shopping behavior—a trait acquired during the recession but likely to continue amid the fragile economic recovery—higher-priced functional beverages are likely to be sidestepped in favor of lower-priced beverages that often offer comparable benefits.”

The functional beverage outlook is a little more positive based on data from Schaumburg, IL-based SPINS, Inc., a market research and consulting firm that tracks the natural products market. In the natural channel, refrigerated juices and functional beverages grew nearly 8% to more than $108 million, as shelf-stable functional beverages grew more than 50% to nearly $22 million. In the conventional channel, refrigerated juices and functional beverages (natural) grew 8% to $472 million, while shelf-stable functional beverages (natural) grew 8.5% to $97 million.

“I think the category will rebound even further once we clear the current recession,” said Angie Ubalde, Natural Products Specialist, SPINS, Inc. “Consumers use functional beverages as a complement to their supplement regimes, so there is still a lot of growth to be had.”

Energy drinks, unsurprisingly, are still growing, but not at the double-digit rates seen in previous years, according to Mintel’s analysis, which showed the category grew only 6% in 2009. Still, it was one of the few bright spots in the overall functional beverage market. “Energy drinks continue to be a primary driver of sales growth,” it said in the report. “The fact that many young adults have not embraced coffee as earlier generations did and that energy drinks are popular with teens as well as young adults indicates that this is a category that is likely to continue to drive future growth.”

Teens and young adults aside, U.K.-based New Nutrition Business believes the target audience for energy drinks needs to be broader. “‘Lack of energy’ is a key consumer interest for stressed executives trying to stay on top of their responsibilities, for harassed and time-pressed mothers, for older people who want to stay active, or for anyone struggling to get through a sleepy afternoon in the office,” it said. “Because of the focus—in the West at least—of the brands in the established energy drink category on males aged 18-24, there remains a wealth of untapped opportunities.”

The Latest Category Developments

Coconut water is one of the most recent sensations in the functional beverage market. It is touted as being nature’s sports drink, an attribute so appealing that the major beverage companies—Coca-Cola and PepsiCo—have decided to stake their claim in the sector.

“From Brazil to America to Europe: coconut water is the fastest-growing new category, with retail sales already above $450 million, thanks to its strong isotonic, hypo-allergenic and all-natural health benefits,” reports New Nutrition Business. “Using new processing technologies and new brands, start-up companies in Germany, the U.S. and elsewhere are growing coconut water sales and getting premium prices. Coca-Cola, PepsiCo, some of Europe’s biggest brewing families—even Madonna—have invested in the sector.”

“Every so often we witness the emergence of a new category—a product that is new to consumers, provides new benefits and is marketed under new brands,” the market analyst added. “Twenty years ago the new category was Red Bull and energy drinks; more recently, probiotic dairy. Coconut water is set to redefine the sports drink market, giving consumers the choice of an ‘all-natural’ isotonic drink for the first time ever.”

Jim Tonkin, head of Tonkin Consulting and Healthy Brand Builders, Scottsdale, AZ, is also “cuckoo” for coconut water. “As a board member for Zico, I know this is a category that is here to stay. We think it will get to $1 billion in the near future, especially if Coke and Pepsi are involved—they are not interested in $100 million categories,” he said, adding, “Furthermore, because coconuts are found in 89 countries, this is a universal beverage. These are long commercially grown coconut environments, so it will be a real easy sell to the rest of the world.”

Another relative newcomer to the functional beverage scene is the shot, which is sparking additional sales for the energy category and beyond. “FDMx sales of energy drinks climbed from $956 million in 2008 to more than $1 billion in 2009, an increase of 6%,” Mintel said. “Energy shots played a key role in driving overall growth and sales of these products are expected to continue climbing in the year to come, as consumers seek added energy without the sugar and calories commonly found in energy drinks.”

New Nutrition Business also foresees continued growth for the shot category, beyond energy formulations. “The shot format has still a huge potential to be fulfilled, primarily from creating brands and concepts with better appeal to older consumers—and particularly women,” it said. “There are a wealth of opportunities to develop new product formats, use new ingredients with a higher ‘natural and healthy’ score than found in the current energy drinks and use new carriers—something other than caffeinated beverages—with better health credentials, such as dairy and fruit juices.”

“Dumbing down the RTD (ready-to-drink) category into a shot was a brilliant idea,” Mr. Tonkin commented. “Convenience, packaging and ease of use—shots offer all of these attributes without a problem. Just as the nutrition bar category grew into hundreds of different categories, I see the same thing happening with shots.”

The antithesis of energy drinks, relaxation beverages—a nascent category—are also attracting attention. In fact, according to U.K.-based Datamonitor, nearly 100 new relaxation beverages have appeared on the U.S. market in the past three years. These concoctions are making use of a variety of ingredients known for their relaxation benefits, including kava, melatonin, L-theanine and gamma aminobutyric acid, or GABA.
 
In this vein, Mintel underlined the importance of serving the stressed-out crowd: “The high levels of stress experienced by many consumers—driven in part by the distressed economy—have driven demand for beverages that provide stress relief. This appears to be a category that is likely to grow in the future.”
   
While protein and fiber innovations are finding some favor with consumers, adding it to water, New Nutrition Business believes, runs counter to consumer logic about what fiber and protein are, and about the purity of water. “It’s one format in which success would be the hardest to achieve,” the analyst said. “Protein in water is still a new and unfamiliar idea; if consumers ever accept it—and in some places such as Europe it is easy to see that they won’t fit—it will take a long time to get there.”

That said, New Nutrition Business does believe protein and satiety have an opportunity in beverages, but in thicker dairy or dairy-like drinks where protein is a more logical ingredient and easier to mask the taste and texture.

In terms of enhanced water in general, Mintel said its growth prospects have all but dried up. “Sales grew an impressive 32% in 2007—when many were more confident in their economic prospects—and then declined as the recession gripped the nation and Americans dramatically reduced discretionary spending,” the market research firm said. “The 6.9% sales decline observed in 2009 may also be a product of increased competition from inexpensive powdered mix products, which can be added to water to flavor a beverage and provide some functional benefits.”

For the future, Mintel believes drink mixes could pose a greater competitive threat, as consumers look for inexpensive alternatives to functional beverages that include popular functional benefits, such as added antioxidants, caffeine and protein. To prepare for this, Mintel suggests that manufacturers of RTD functional drinks consider developing powdered mixes to extend their lines.
 
Kombucha, a historically embraced beverage by the natural products crowd, made inroads to the mainstream market in 2009 through Honest Tea, and more recently through Hain Celestial. A key component to kombucha’s longevity as a beverage has been its perceived effectiveness as a health product, according to “The Kombucha Market,” a report published by Sage Group, LLC of Denver, CO. “Even if many of its claims are unsubstantiated, many of the complex ingredients in kombucha tea have an established credibility—the immunity-boosting properties of black and green tea, acetic acid and probiotics similar to those in yogurt, for example,” the report stated.

Once limited to small scale, hand-crafted brewing, word-of-mouth about kombucha has caught the attention of larger beverage marketers who have endeavored to introduce the concoction to the mass market. “With sales barely reaching a few million dollars in 2001, the RTD market for kombucha is rapidly approaching sales of $100 million on an annual basis,” commented Brian Keating, Sage Group’s publisher. (For more information on kombucha, search “kombucha” on nutraceuticalsworld.com to view exclusive coverage of this market by NW’s online editor, Joanna Cosgrove.)

New Product Round-Up

(The following is a snapshot of product activity in the functional beverage sector during the last year.)

PepsiCo, Purchase, NY, frequently the focus of health critics, might finally be vindicated. According to a CNN.com article, the company receives nearly 20% of its revenue, or $10 billion from “good-for-you” products such as Dole, Quaker Oats and Tazo teas. Aiming to be part of the solution instead of the problem, the company’s CEO, Indra Nooyi, was quoted as saying she expects to generate $30 billion from its “good-for-you” category of products by 2020.
 
Ms. Nooyi classifies the company’s products into three categories: “fun-for-you-foods” (Doritos, Lays, Mountain Dew); “better-for-you” products (Diet Pepsi, Baked Lays, SoBe lifewater, Propel); and “good-for-you” products (Quaker, Tropicana, Naked Juice, Gatorade).
 
“We’re also moving Gatorade from being a sports drink company to a sports nutrition company,” she said in the CNN.com article. “So, there’s going to be a tremendous amount of innovation to take care of the athlete as a whole in terms of whatever they eat or drink.”

She also commented on the future of functional beverages. “I think in the future—and when I say the ‘future’ I mean the next 3, 5, 7 years—we’re going to see a lot more food and beverages that start getting into lifestyle management. How do you have the perfect breakfast on the go that is the coming together of grains and dairy? You’re going to see a lot more convergence of categories.”

She also believes ancient healing systems like Traditional Chinese Medicine will help manufacturers design products geared toward health and wellness. “The longevity in parts of China is very, very high because there’s a lot of traditional Chinese medicine that is based on herbs that really help lifestyle management, that really help keep body mass index down, that really help the longevity of the person. The question is how do we lift some of the knowledge that they teach around the world and then move it to other parts of the world?” she said.

“Now, I’m not talking about ‘pixie dust,’” she added, “I’m talking about real science-based stuff. Think of it as developed by nature and improved by science. The great benefit of a large global company like ours is that you can actually look and see what’s around the world and pick the best of it that’s efficacious and science-based, that’s approved by regulatory authorities and then bring it to specific countries.”

In line with its pursuit of health and wellness, PepsiCo signed an agreement in May to form a joint venture with India-based Tata Tea. More specifically, Tata informed the Bombay Stock Exchange that its board had approved a non-binding memorandum of understanding with PepsiCo Inc. with the intention of exploring the area of non-carbonated RTD beverages, focused on health and enhanced wellness. Definitive agreements for the joint venture have not yet been reached.

Back in the U.S., PepsiCo’s Gatorade division expanded its offerings significantly this year. Building on the momentum from its brand refresh with the G campaign last year, it introduced a broader product line to help address the sports performance needs of more athletes.

Scientists from the Gatorade Sports Science Institute worked with some of the world’s greatest athletes to create the G Series, a new line of sports performance products that contain nutrients athletes need before, during and after a workout, practice or competition. Gatorade Prime 01 is designed for use within 15 minutes of a workout or competition. Packaged in a 4-oz. pouch, Gatorade Prime 01 provides real carbohydrate energy. Now reframed within the G Series, Gatorade Thirst Quencher (Gatorade Perform 02) offers a scientifically proven blend of fluids to help rehydrate, electrolytes to replace what athletes lose in sweat, and carbohydrate energy to fuel working muscles and enhance athletic performance. Also positioned within the G Series, the successful low-calorie G2 (Gatorade Perform 02) delivers functional hydration during exercise with less than half of the calories (and the carbohydrates to fuel working muscles) of Gatorade Thirst Quencher. Gatorade Recover 03 is the first protein and carbohydrate beverage formulated with the consistency of a thirst quencher to provide hydration and muscle recovery benefits after exercise.

Extending the G Series campaign even further, the company introduced its G Series Pro line of functional products designed for elite athletes before, during and after a workout, practice or competition. Now for the first time, G Series Pro is available at athletic specialty stores, such as GNC and Dick’s Sporting Goods. Intended for before activity, G Series Pro Nutrition Shake contains 20 grams of milk protein isolate, plus 15 vitamins and minerals for muscle metabolism and energy to promote normal muscle adaptation resulting from training. It is available in Chocolate, Strawberry and Vanilla flavors.
 
The G Series Pro Nutrition Bar is intended to help athletes meet their daily calorie needs by providing a balance of macronutrients to help support optimal performance with a blend of 15 vitamins and minerals. It is available in Chocolate Chip, Peanut Butter Crunch and Oatmeal Raisin flavors.

The Carbohydrate Energy Drink is a concentrated carbohydrate source for effective glycogen loading. With both slowly and quickly utilized carbohydrates, consuming G Series Pro Carbohydrate Energy Drink prior to and in conjunction with Gatorade or G2 Perform during activity helps sustain carbohydrate utilization in working muscles, according to the company. It is available in Grape, Fruit Punch and Orange flavors.

G Series Pro products designed for consumption during activity include Endurance Formula, which is available in ready-to-drink, powder and powder sticks varieties. The formula delivers almost twice the sodium and more than three times the potassium of Gatorade Thirst Quencher to replace critical electrolytes lost in sweat and helps maintain proper fluid balance, according to the company. It is available in Lemon-Lime, Fruit Punch and Orange flavors. Gatorlytes is specially formulated for cramp-prone athletes and designed for use with G Series products.

Finally, for after activity, the Protein Recovery Shake delivers carbohydrates for glycogen restoration and an effective amount of protein (15 grams of casein and whey proteins) containing all the essential amino acids needed to help support muscle recovery following training or competition. It is available in Chocolate, Strawberry and Vanilla flavors.

In mid-June PepsiCo’s PepsiCo Beverages Americas (PBA) sector signed an agreement with The FRS Company, Foster City, CA, to distribute its FRS Healthy Energy brand of products, which contain a “patented formula of the highest purity quercetin available” (QU995), green tea extract and essential vitamins. The deal is the latest evidence of PepsiCo’s unrivaled go-to-market infrastructure, which recently secured similar deals with other fast-emerging brands such as Tampico (fruit flavored beverage products), Muscle Milk (protein shakes) and O.N.E. (coconut water).

Under the terms of the agreement, PBA will be the exclusive distributor for FRS’ RTD beverages, powders and soft chews in select channels spanning markets outside the Western U.S., where the brand has posted strong growth for several years. The agreement is effective immediately and PBA will begin distribution in September.
 
PepsiCo made its move into the coconut water market last year with the acquisition of Amacoco Nordeste Ltda. and Amacoco Sudeste Ltda. (Amacoco), Brazil’s largest coconut water company. The agreement is part of the company’s strategic transformation of its beverage portfolio. “Combining Amacoco’s expertise in naturally-healthy coconut water with PepsiCo’s strong brand portfolio and R&D capabilities creates the potential for very exciting product innovation,” said Massimo d’Amore, CEO, PepsiCo Americas Beverages. “This transaction also brings a process for ensuring a level of product quality and consistency—from raw coconut to finished product—that most other coconut water brands cannot match.”

PepsiCo’s Naked Juice division this year launched two new smoothies using coconut water to reduce calories. These include Tropical Smoothie With Coconut Water and Peach Guava Smoothie With Coconut Water. They complement Naked’s launch of a 100% coconut water earlier this year.

By blending its smoothies with coconut water (a juice), Naked claims it reduced sugars and calories without losing any nutritional value. Tropical Smoothie combines pineapple and mango flavor, while Peach Guava Smoothie delivers a fused combination of peach and guava flavors. And both are “excellent sources” of vitamin C, as well as other essential vitamins, the company says.

In order to help consumers meet their vegetable needs, Naked also unveiled two new smoothies earlier this year, Berry Veggie Machine and Orange Carrot. The former blends purple carrots, sweet potatoes, red beets and sweet corn with cherries, strawberries and plums. It’s also an “excellent source” of vitamins A, C, E, B3, B5, B6, B12, potassium, fiber, iron and calcium. It offers two whole servings of veggies and one serving of fruit in each 15.2-oz bottle. In the Orange Carrot smoothie, there is one serving of veggies and two servings of fruit in each 15.2-oz bottle.

On the energy front, AMP Energy came out with AMP Energy Juice, a 100% juice “infused with all the power of AMP Energy.” Amp Energy Juice contains taurine, ginseng and guarana, and is an “excellent source” of B and C vitamins. It is available in Orange and Mixed Berry Flavors.

PepsiCo also extended its Aquafina line to include Aquafina Plus Vitamins 10 Cal, a low-calorie vitamin-enhanced water that contains PureVia, a natural sweetener extracted from the stevia plant. The beverages are available in Black and Blue Berry, Acai Fruit Punch and Tropical Cherimoya flavors.
 
Atlanta, GA-based Coca-Cola has been quiet during the last year, launching no new functional products through the Coke brand. However, on the Odwalla front it delivered Strawberry Protein Monster, containing 25 grams of protein in every bottle. It blends strawberries and soy and dairy protein and provides an “excellent source” of vitamins B6, B12, calcium and zinc.

Coca-Cola also took a minority stake in Zico, a coconut water company based in Hermosa Beach, CA. Coca-Cola declined to say how much its investment was worth, other than to say it was a stake of less than 20% in the company.

In Coca-Cola’s Minute Maid division, the company introduced Minute Maid Enhanced Strawberry Kiwi juice drink, which contains yerba mate to provide a “natural energy lift.” The company also reformulated its Minute Maid Pomegranate Flavored Tea, which now contains only 40 calories per serving.

Finally, Minute Maid announced the nationwide availability of three Minute Maid Enhanced Chilled Juices and Juice Drinks in brand new 12-oz. single-serve bottles. “Consumers can enjoy their favorite flavors in the new, on-the-go package: Minute Maid Pomegranate Blueberry flavored 100% fruit juice blend of five juices, Minute Maid Pomegranate Lemonade and Minute Maid Strawberry Kiwi flavored juice drink,” the company said. “Minute Maid Pomegranate Blueberry flavored 100% juice blend of five juices contains omega 3 DHA and four other nutrients to help nourish the brain and body; Minute Maid Pomegranate Lemonade contains antioxidant vitamins C and E, which help support a healthy immune system; and Minute Maid Strawberry Kiwi flavored juice drink with Yerba Mate extract and real fruit juice delivers delicious flavor and a natural energy boost.”

Early this year, Bethesda, MD-based Honest Tea, which is part-owned by Coke, launched its version of kombucha, a fermented drink, featuring Berry Hibiscus, Lemon Ginger and Peach Mango varieties. Building on the positive reaction of this launch, two more, Maqui Berry Grapefruit and Apple Jasmine, were added to the line in April. Honest Kombucha, the company says, is a lightly sparkling, fermented tea beverage combining organic, Fair Trade Certified tea, raw, live, probiotic cultures and a touch of organic cane sugar.

Dr. Pepper Snapple Group, Plano, TX, has also decided to join the coconut water craze. In June, it struck a deal with Vita Coco, the No. 1-selling coconut water in the U.S., with more than a 60% share of the market, according to Merrill Lynch/Bank of America data. Vita Coco contains fresh coconut water extracted from young green coconuts, which has grown increasingly popular as both a lifestyle beverage and a natural sports drink since launching in 2004, according to the company. 

“Allied brands are an important part of our overall route-to-market strategy, enabling us to enhance our own brand portfolio with strong players like Vita Coco,” Rodger Collins, president of Packaged Beverages for Dr. Pepper Snapple Group, told investors at a company-hosted investor meeting. “We’re excited about the opportunity to expand Vita Coco via the DPS footprint.”

Coming off several acquisitions in the functional beverage sector, Cincinnati, OH-based Beverage Holdings, LLC, the parent company of Sunny Delight Beverages Co. and Veryfine, is making a strong push this year for a brand it purchased several years back from Procter & Gamble. Elations, a fruity drink laced with chondroitin, glucosamine, boron and calcium, is targeted toward Baby Boomers, the largest consumer category likely to face issues such as arthritis and other joint and bone-related problems.

“Since its introduction in 2007, Elations has grown rapidly in spite of the economic downturn,” according to the New York Times. “Revenue increased to $40 million in 2009 from $12 million in 2008 and is projected to rise to $75 million this year.”

Most recently it launched a powder version of the drink, available in Cranberry-Apple and Raspberry White Grape flavors. According to the Cincinnati Enquirer, by the end of the year the brand will release a new flavor and next year it plans a total formulation improvement.

Last June, Beverage Holdings acquired Bossa Nova: The Superfruit Company, which is best known for its extensive line of acai and exotic fruit drinks. Terms of the agreement were not disclosed, but one thing is certain: Bossa Nova is likely to benefit from better distribution and visibility in the beverage market as a result of this agreement. “This opportunity strengthens Bossa Nova’s ability to deliver its innovative superfruit beverages to more people by leveraging Beverages Holdings’ core competencies of branding, innovation and winning in-store,” said Alton Johnson, Bossa Nova CEO. “We will be positioned to take advantage of our new partner’s world class supply chain to both vertically produce and distribute our superfruit beverages with the highest possible quality.”

AriZona Beverages, Woodbury, NY, most recently forged a partnership with Twinlab Corporation to create a new beverage called Rescue Water. Twinlab’s laboratories created an advanced vitamin formula, meant to help increase active fluid replacement and also help to balance nutrient absorption in the body. Each of the four fruity flavors corresponds with a unique healthy purpose: The   L-theanine, green tea extract and lemon balm extract in the Berry Blend work in harmony to help the body deal with daily stressors and relax; the Lemon-Lime formula is designed to provide a boost in energy, with a blend of guarana extract, green tea extract and natural caffeine—this beverage intends to enhance endurance and fuel focus; Orange Citrus’ blend is meant to help the body with detoxification by supporting liver function and replenishing the body with necessary nutrients like alpha lipoic acid, green tea extract, milk thistle extract and L-glutathione; to combat free radicals and support immunity, the Pomegranate Punch formula contains a blend of arabinogalactin, green tea extract and elderberry extract.

AriZona’s Rescue Water line contains no preservatives, artificial colors or artificial flavors. The beverage is sweetened with Reb A, a natural sweetener that comes from stevia plants, and contains zero calories. Rescue Water has just 25 calories per 8-oz. serving.
   
Serving the “smaller” crowd, late last year the company debuted AriZona Kidz teas, which contain 100% of the recommended daily intake for vitamin C and 60 calories. The product is available in Lemon flavor.

In March, the Hain Celestial Group, Melville, NY,  launched its Celestial Seasonings organic Kombucha fermented tea beverages line. The product combines kombucha’s naturally occurring enzymes, probiotics and antioxidants with all-natural functional ingredients. The five Kombucha flavors include Meyer Lemon Ginger, which contains prebiotics, ginger and meyer lemon; Superfruit, which contains vitamin C, acai, goji and pomegranate; Berry Guava, which contains green tea extract, B vitamins and huckleberry, blueberry and guava; Pomelo Citrus, which contains B vitamins, ginseng and pomelo; and Tropical Blend, which contains spirulina and mango.
 
Jamba Juice, a restaurant retailer of food and beverages offerings, has launched three new yumberry or yangmei superfruit products. These include Super Yumberry Classic Smoothie, Berry Yumberry All Fruit Smoothie and Yumberry Topper Ideal Meal.

The retailer said that the yumberry superfruit, derived from Asia, is filled with antioxidants to “help the body neutralize the damaging effects of free radicals.” Berry Yumberry, which is the company’s new antioxidant-filled all fruit smoothie, is made with yumberry juice, blueberries, mangos and peaches.

The Super Yumberry Classic Smoothie blends yumberry juice with strawberries, peaches, sorbet and ice. The Yumberry Topper Ideal Meal is a blend of yumberry juice, blueberries, strawberries, bananas, non-fat yogurt, a touch of soymilk, topped with organic granola and bananas. The meal boasts of being a “good source” of protein, fiber and ALA omega 3s.

In May, Designer Whey, Carlsbad, CA, released its 16-oz. protein water, available in Orange Mango, Cranapple, Blue Raspberry and Pomegranate Fruit varieties. Helping to curb hunger cravings with just 60 calories, 5 grams of fiber, 0 grams fat and 12 grams of Designer Whey protein, Protein Water “is perfect for those looking to maintain and embrace a healthy lifestyle,” the company says.

Herbal Water, a leader in herbal infused flavored water, recently formed a strategic collaboration with Sunsweet Growers, Yuba City, CA. In addition to making an equity investment in Herbal Water, Sunsweet will collaborate in the marketing, sale and distribution of Ayala’s Herbal Water to help meet increasing consumer demand in the market for healthy flavored waters. Its latest offering is Lemon Verbena Geranium.

In announcing the new alliance, pediatrician and Herbal Water creator and founder, Dr. Ayala, said, “Consumers today are more health conscious than ever. They want natural and organic products and Sunsweet and Herbal Water both recognize this increasing demand. Our new partnership taps into that growth to lead the naturally enhanced flavored water category.”

Using the tagline “Dream Responsibly,” Sarpes Beverages launched Dream Water and Dream Water shots in the latter half of 2009. Dream Water, the company says, is the first water that “helps you relax and fall asleep via its functional ingredients”—GABA, melatonin and 5-HTP.
 
Vitila Brands, LLC, has launched Tranquila, a 2-oz. alternative beverage that contains proprietary blends of immune-enhancing vitamins, minerals and herbal extracts. The product is available in Green Tea-Lemon flavor and comes in two formulas—Original is designed for daytime use to help balance mood, while PM contains melatonin.

Blue Sky Beverage Company, a division of Hansen Beverage Company, Corona, CA, has launched Blue Sky Free, a line of all-natural, zero-calorie soda sweetened with Truvia brand stevia. The product is available in five different flavors: Root Beer, Cola, Ginger Ale, Lemon Lime & Cherry Vanilla Creme.

Halo Labs, New York, NY, has launched Code Blue Recovery Drink, an all-natural beverage designed to help the body combat dehydration, replenish vital nutrients, remove harmful toxins and reduce inflammation. The product contains Sustamine, L-alanyl-L-glutamine, as well as agave nectar, prickly pear juice, N-acetyl cysteine (NAC), vitamins A, C, B12 and B6, as well as calcium, magnesium and potassium.
 
Looking to play in the protein segment, Hauppauge, NY-based Country Life Vitamins, launched Biochem 100% Whey Ready to Drink, which contains 16 grams of protein and 6 grams of fiber. This gluten-free, low-glycemic product is available in Berry, Tropical and Orange Cream flavors.

A pioneer in non-dairy probiotic shots, NextFoods, Boulder, CO, introduced GoodBelly BigShot 50, which contains 50 billion live and active cultures of Lactobacillus Plantarum 299v (Lp299v). Designed to protect the immune system and maintain digestive health, one 2.7-oz. single serving shot can be taken during digestive flare-ups, pre- and post-antibiotic treatment or during periods of feeling particularly run down, according to the company.
 
Sambazon, San Clemente, CA, has launched Antioxidant Elixir, a premium nutritional juice line that contains potent antioxidants, including 600% of the recommended daily value of vitamin C. Sweetened naturally with agave, the beverages contain a blend of acai, acerola and organic botanical extracts. Acai Berry, Acai Passionfruit and Acai Blackberry flavors are available.

The Isopure Company, LLC, Hauppauge, NY, has launched Isopure Plus—a new line of clear, fruit-flavored protein drinks. Each 8-oz. serving contains 15 grams of whey protein (30% of the daily value). The beverages are available in Alpine Punch and Grape Frost flavors.

Using new beverage dispensing technology, Specialty Beverage and Supplement, Inc, introduced JOJO Good Energy Drink. Cap infusion technology releases flavors into the 100% spring water with a twist of the cap. Ingredients include a proprietary blend of B vitamins and amino acids, antioxidants, pomegranate, acai berry, green tea extracts and Cognizin citicoline.
 
Looking to capitalize on strong wellness trends, XanGo, LLC, Lehi, UT, has released eleviv, a dietary supplement that contains a proprietary botanical blend to help balance the body and restore vigor, a balanced state of physical energy, mental acuity and emotional well-being. XanGo’s patent-pending formula combines Eurycoma longifolia (tongkat ali) with citrus peel extract, green tea extract and L-theanine.

MonaVie (M)mūn is the latest creation from MonaVie, Salt Lake City, UT. The product contains a blend of 19 fruits as well as the proprietary immune-supporting ingredient Wellmune. Four ounces of MonaVie (M)mūn contain 250 mg of Wellmune, which has been clinically shown to help strengthen the body’s natural immune defenses and promote overall well-being. MonaVie (M)mūn features an exclusive proprietary blend (MVūo²)—an antioxidant complex featuring the superfruits acai and maqui. MonaVie (M)mūn is also a “good source” of zinc, vitamins A, C and E, as well as B vitamins.

Next Generation Beverage, LLC, New York, NY, unveiled Sin Vitality Drink, Sin-Free (Sugar-Free) Vitality Drink and Serenity Zen Beverage. Sin Vitality Drink contains a blend of vitamins, caffeine, natural flavors and a “distinct power formula,” according to the company. Serenity Zen Beverage contains a blend of vitamins, natural flavors and extracts along with a relaxing “tranquil formula,” with zero calories, sugar or carbohydrates. The beverages are packaged in 8.4-oz. cans.

POM Wonderful, Los Angeles, CA, debuted POMx Antioxidant Recovery, which contains a combination of concentrated POM Wonderful 100% pomegranate juice and POMx. Designed to meet the recovery needs of trained athletes, the product contains polyphenol antioxidants from the “Wonderful” variety of pomegranate, which recent research has shown can help speed muscle recovery and reduce muscle soreness following strenuous exercise, the company says.

Zola, San Francisco, CA, has added Zola LIGHT Acai and Zola Acai Daily Wellness Shot to its line of Brazilian superfruit beverages. Zola LIGHT Acai is a low-sugar, low-calorie beverage sweetened with stevia, which contains just as many antioxidants (more than 4000 ORAC per bottle), omega 3, 6 and 9 EFAs and energy as the company’s Original Acai Juice, but with 50% less sugar and nearly 50% fewer calories. Zola Acai Daily Wellness Shot is a liquid dietary supplement that provides a full dose of antioxidants in each 1-oz. shot through a blend of acai and acerola.

Maverick Brands, Palo Alto, CA, has released Flat Belly Protein Shake, which contains 22 grams of whey protein and nine essential amino acids. The low-calorie shake is sweetened with Fruit-Sweetness, a 100% natural, zero-calorie fruit concentrate made from monk fruit (lo han guo). Flat Belly Protein Shake is also an “excellent source” of vitamin C and iron.

Tahitian Noni International, Provo, UT, has introduced Tahitian Noni Extra, a new bioactive beverage that contains 16 different iridoids. The product features a blend of noni, blueberry and olive iridoids, which the company claims boost energy and endurance, support joint health, aid recovery, promote heart health, enhance the immune system and help protect against oxidative stress. Noni Extra provides 60 mg of iridoids per 60 ml serving.              
Nutraceuticals World Webinar Series:

If you missed our webinar on Functional Beverages, you’re in luck! You can download the archived version by visiting the “Webinars” section of our website, or going to www.nutraceuticalsworld.com/contents/webinars.