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Kombucha Market

Kombucha is rich in micronutrients and probiotics, it is made from the combination of sugar, tea, and living culture called a symbiotic culture of bacteria and yeast (SCOBY), and it is a healthy beverage used for detoxification, controls liver cell toxicity, digestion and weight loss.

With the proliferation of tea across the globe, Kombucha reached Russia and Germany where it was called Kombuchaschwamm and Kambuchain the early 20th century. Consumption of Kombucha gradually declined,owing to the shortage of sugar and tea supplies with the outbreak of World War II. However, the global kombucha market is expected to witness substantial growth over the forecast period, owing to rising healthcare awareness, increasing consumption of probiotic drinks and increasing demand for fortified food and beverage products. Moreover, increasing disposable income has significantly contributed to the growth of global kombucha market.

The market players present in the Kombucha market will leverage opportunities present in the market, over the forecast period by adopting various market strategies, such as Mergers & Acquisitions, Partnerships, Product Launch, Collaboration and others. Some instances are:

  • In July 2017, Goodmore Ltd. launched six new flavors of kombucha, and the product has been launched via retail chains in North America.
  • In August 2017, KeVita Ltd., a leading brand of kombucha launched two new flavors roots beer and blueberry basil for European and North America markets.

Some of the major players present in the market are enlisted below:

  • GT's Kombucha
  • Brew Dr. Kombucha
  • Buchi Kombucha
  • Celestial Seasonings
  • HIGH COUNTRY
  • KeVita
  • Kombucha Wonder Drink
  • Kosmic Kombucha
  • Live Soda Kombucha
  • NessAlla Kombucha
  • Red Bull
  • Reed's
  • The Humm Kombucha
  • Townshend's Tea

 

Key buying criteria adopted by consumers in the global Kombucha market

Price

Price is an important factor that influences the consumer’s buying behavior in the Kombucha market. The price of the product in the market depends upon various parameters such as flavor, weight, and the brand. The buyers may pay a higher price for branded products, and preference for flavor significantly impact the prices of kombucha drink, as flavored kombucha drinks are expensive than traditional/non flavored kombucha drinks.

Labelling

Proper labelling of the kombucha products makes a significant impact on buying behavior of the customer/consumer. The microorganism, nutrition content, date of manufacturing and expiry must be listed on labels to make the product fully informative. Further,in healthy beverages, consumers are more tend to compare the shelf-life and nutritious value of the product. Apart from all these, labelling of the product also plays an important role in advertising, as it is a source of information that is easily approached by consumers, which eases the communication process with consumers about product benefits and other features/properties.

Flavor

Kombucha is commercially available in many flavors in the market. Major flavors present in the market are coconut, apple, citrus, mango, flowers, herbs, berries, spicesand others. Preference for flavors thus plays an important role in to analyze the buying behavior of a product.

The growth factors of the Kombucha Market are weighted more than restraintswhen compared for market estimation, but a mere impact of restraints on the market will hinder the market growth on various parameters. A brief description of a market restraint is described as:

Rising incidences of beverages recall

Rising incidences of beverages recall is a major restraint for the food & beverage industry. Globalization of production and distribution of beverages have increased the variety of products in the market—a platform with a wide variety of choices for consumers. But, also increased the product recall incidences, owing to strict regulation and testing parameters related to the usage of ingredients in the product. For instance, the Food and Drug Administration (FDA) has imposed strict rules and regulation for quality control for food & beverage companies. Also, the number of food recalls by the food standards Agency U.K.increased by 78% in 2015 as compared to 2014. In 2014, the number of food recalls in the U.K. was 89, which increased to about 159 in 2015.

Kombucha Market

Vibranz Beverages recalled kombucha tea, due to the presence of alcohol with more than 0.5 % from the stores. Also, during 2011-2017, GT’s kombucha product settled a class-action, due to misrepresenting alcohol, sugar and other ingredients on the kombucha product.  By this settlement Whole Foods Market and Millennium products Inc. who misrepresented alcohol and other contents of the GT’s kombucha product have to pay $8.25 million to settle kombucha class-action lawsuit.

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