Inside Functional Nutrition: What CPGs and Foodservice Need to Know About Consumer Trends and AI Execution
What if your next best-seller is already trending—and you’re just not seeing it fast enough? Functional food trends aren’t bubbling under the surface anymore—they’re shaping mainstream consumer behavior, product expectations, and retail strategies in real time. According to global market reports, the functional food category was valued at $337.85 billion in 2024 and is expected to reach $359.81 billion by 2025. Some forecasts predict a rise to over $793 billion by 2032, growing at more than 10% annually. The U.S. alone could reach $117 billion in that time. Functional nutrition is no longer niche—it’s rewriting the rules of what sells, how fast, and why.
Shoppers today want much more than standard nutrition. Many rely on items geared toward Gut health food trends, cognitive function ingredients, and hormone balance nutrition. They also show interest in fungi-based products, with a notable focus on Lion’s Mane mushroom benefits. In parallel, producers are modernizing their processes by using AI in functional food development. That shift helps them track real-time consumer signals, predict demand, and launch new items with less guesswork.
What Tastewise data reveals about consumer demand for functional ingredients
Functional food trends aren’t just about buzzwords anymore. Consumers are actively seeking ingredients that do something—support their focus, digestion, or hormonal health. While the category is wide, certain foods are leading the conversation across social, recipes, and menus.
Let’s look at three demand areas defining Functional nutrition right now—cognitive support, gut health, and hormone balance—and what Tastewise data tells us about where the market is headed.
1. Cognitive function ingredients
Lion’s Mane and matcha lead the mental clarity race
Consumers searching for focus and mental performance are gravitating toward natural ingredients like Lion’s Mane mushrooms, matcha, and dark chocolate. These are showing up most often in drinks, snacks, and café items.
According to Tastewise data, Lion’s Mane mushroom benefits dominate conversations in the functional mushroom space. Consumers talk about mushroom coffee, mushroom juices, and “steak-style” vegan dishes made from Lion’s Mane. The social share for mushroom coffee alone is 7.8%, and it’s 469x more likely to appear with other functional dishes. Menu data confirms the rise, with mushroom coffee listed in nearly 9% of menu items tracked—often alongside Reishi and Chaga.
Matcha, another cognitive function ingredient, is also on fire. Matcha latte is one of the fastest-growing menu items year-over-year, up +4953%. The L-theanine + caffeine combo in matcha appeals to consumers seeking calm focus—without the crash. In social content, it often shows up in conversations tied to alertness, “clean energy,” and better workflow.
The takeaway? Products that promise sharpness and sustained energy—especially in drinkable formats—are driving consumer curiosity and menu adoption.
2. Gut health food trends
Fermented drinks are gaining menu space and consumer attention
Gut health has become one of the most discussed drivers in functional eating. Consumers aren’t just buying into vague claims—they’re engaging with specific, probiotic-rich foods like kefir, kombucha, kimchi, and sauerkraut.
Kefir in particular is gaining momentum. Tastewise data shows a 17.26% YoY growth in social share and strong correlations with other fermented wellness products. The top consumer needs driving conversation around kefir include “healthy” (44%), “gut health” (33%), and “probiotics” (32%). Dishes like kombucha, sauerkraut, and infused waters are frequently mentioned alongside kefir—indicating a broader shift toward fermented ecosystems.
Kefir’s restaurant presence is also growing. On menus, it appears most often in smoothies, soups, and specialty drinks. Water kefir is 4659x more likely to appear with other gut-focused items, suggesting that both consumers and chefs are seeing it as a foundational wellness ingredient.
If you’re developing for gut health, this isn’t the time to play it safe. The market is primed for bold fermentation-forward launches with clear digestive claims.
3. Hormone balance nutrition
Adaptogens like ashwagandha are driving beverage innovation
The rise of adaptogens reflects a deeper consumer desire for hormone and energy regulation—without synthetic solutions. Ashwagandha, in particular, is becoming a favorite in functional lattes, smoothies, and protein snacks.
Tastewise data shows that conversations about ashwagandha are up +20.65% year-over-year. The leading drivers? “Energy” (28%), “stress relief” (27%), and “adaptogens” (26%). Functional drinks are the most common application, with menu items like moon milk, golden milk, and smoothies showing strong correlations to ashwagandha-based products.
Moon milk, for example, is 771x more likely to appear on menus where ashwagandha is present. It’s a powerful signal: consumers aren’t just seeking single-ingredient fixes—they’re engaging with functional rituals that combine multiple benefits (stress relief, energy, mood) in one product.
Smoothies, protein shakes, and calming teas that support hormone balance nutrition are proving to be strong formats for adaptogen-based innovation. These drinks are also easy to extend into RTD, powder, or bar formats.
Why functional beverages Are leading the nutrition revolution
Tastewise’s Functional Nutrition in 2025 Survey reveals a powerful consumer shift: energy and focus are now the top drivers for choosing functional foods, with 61.6% of respondents seeking these benefits. Lion’s Mane tops the list of preferred functional ingredients, far outpacing others like ashwagandha. When it comes to trust, consumers overwhelmingly prioritize scientific backing (3.8x more than social media trends), and innovation is most welcomed in functional beverages—such as nootropic drinks and mushroom lattes.
Interestingly, while consumers value claims around immunity, digestion, and stress reduction, they most desire products that improve focus and cognition. Only 3.4% of respondents want functional nutrition integrated into foodservice, signaling a missed opportunity for that channel.
Functional foods by benefit
Not all functional foods are created equal—consumers today are shopping by outcome. Whether they want better focus, smoother digestion, or hormonal balance, they’re actively looking for ingredients that match those goals. Below is a breakdown of trending functional foods organized by health benefit, along with their primary appeal to consumers.
| Health Focus | Ingredient | Benefit to Consumers |
| Cognitive & Mood Support | Lion’s Mane Mushrooms | Memory, focus, mental clarity |
| Omega-3-rich fish (salmon, etc.) | Brain function, mood regulation | |
| Matcha | Calm alertness, steady energy | |
| Dark Chocolate (70%+) | Brain blood flow, mood support | |
| Energy & Performance | Beetroot juice/powder | Endurance, nitric oxide boost |
| Maca root | Stamina, energy balance | |
| Chia seeds | Long-lasting energy from fiber and omega-3s | |
| Quinoa | Complete plant-based protein and complex carbs | |
| Gut & Digestive Health | Kefir | Probiotics, digestive wellness |
| Kimchi / Sauerkraut | Fermented, gut microbiome support | |
| Prebiotic foods (garlic, banana) | Fuel for probiotics, gut diversity | |
| Bone broth | Gut lining repair, collagen support | |
| Immunity & Inflammation | Turmeric + black pepper | Anti-inflammatory curcumin |
| Ginger | Digestive support, immune boost | |
| Elderberry | Immune system defense | |
| Miso | Fermented, probiotic-rich | |
| Hormone Balance & Longevity | Flax seeds | Estrogen balance via lignans |
| Ashwagandha | Cortisol reduction, adaptogen for stress | |
| Green tea | EGCG antioxidants for cellular health | |
| Seaweed | Iodine for thyroid function |
What CPGs should do with this info
Consumers are telling you exactly what they want—CPGs just need to act on it faster.
- Create by benefit, not by format. Start with the outcome (focus, gut health, hormone support), then match ingredients and delivery systems. For example, don’t just make another bar—make a stress-support bar with ashwagandha and green tea extract.
- Label clearly and claim confidently. Shoppers are looking for callouts like “supports memory” or “boosts gut health.” These messages should be front and center on-pack and in digital channels.
- Pair ingredients with proven context. Matcha is booming in latte form. Kefir works well in smoothies. Ashwagandha thrives in evening drinks. Use consumption moments to shape innovation.
- Use this table to prioritize R&D. Not all ingredients are equally trendy. Use data to focus on fast-moving, high-engagement items like mushroom coffee (Lion’s Mane) or kefir-based beverages before your competitors do.
Need to validate which ingredient trends are growing fastest in your category? Platforms like Tastewise help you track ingredient-level demand in real time, so your functional product pipeline stays relevant.
Accelerating progress with AI in functional food development
Keeping an eye on so many trending needs demands real-time insight. That’s where AI in functional food development helps. Modern platforms monitor online recipes, social posts, restaurant menus, and shopper feedback. This data reveals which benefits draw the most interest—whether it’s cognitive function ingredients, improved digestion, or specific claims around hormone support.
The same technology also streamlines product testing. Ideas that show strong social engagement can be tested in smaller markets. Teams gather feedback quickly, then refine recipes in short cycles rather than waiting months. Producers who rely on these insights can roll out items at the exact moment they pique consumer attention, avoiding delays that might cause missed opportunities.
Large food expos highlight these quick shifts. For instance, Expo West has showcased a surge in functional mushroom coffees and adaptogen-forward drinks. Many of these launches went from concept to shelf in record time because they were guided by data.
AI Tools for functional nutrition
Modern tools don’t just help track demand—they help bring it to life. AI now supports menu planning by identifying which functional ingredients pair well together, which dishes are gaining traction across channels, and how to position new formats based on what’s already working in-market.
Need to launch a gut-health product for busy professionals? AI can analyze social data and restaurant menus to recommend a kombucha smoothie with trending add-ins. Trying to turn an underused adaptogen into a hero? Recipe engines can pull in format inspiration from user behavior—like when to serve, how to flavor, and what other claims to include on-pack.
This Chia Almond Coconut Pudding was developed using real-time insights into trending formats and benefits. It’s plant-based, functional, and pairs chia’s energy and gut health benefits with consumer-loved flavors like coconut and almond.
For CPG teams, this isn’t just R&D support—it’s execution strategy. With the right AI tools, you can go from insight to product brief to shelf-ready format with speed and confidence.
Why it matters for CPG brands
The rise of Functional nutrition is not a single-item phenomenon. It spans mushrooms, fermented goods, adaptogenic herbs, and more. Shoppers pay close attention to label claims. They want to know if a coffee blend includes Lion’s Mane or if a bar has prebiotics for digestion. They want evidence-based solutions.
CPG brands and retailers gain an advantage by studying tastewise data or other real-time information channels. They see which dishes are gaining traction. They notice that “mushroom coffee” is on more menus or that kefir has a double-digit increase in social growth. They can act on these signals and focus on line extensions or brand-new launches.
This speed is vital. Trends shift in weeks rather than years. AI in functional food development offers a nimble approach, shining a spotlight on which benefits resonate right now. That knowledge turns into well-timed product releases.
Looking ahead
Analysts predict ongoing momentum for Functional nutrition. Consumers are not satisfied with generic claims about wellness. They want solutions that address gut health, hormone stability, and brain function in direct ways. They also expect variety, from daily snack bars to superfood beverages.
Mushrooms, fiber-rich foods, and probiotic products will likely remain top picks. At the same time, new ingredients may rise from smaller niche segments. As soon as that happens, brands that rely on constant consumer data can adapt. The more flexible a brand is, the easier it becomes to stay in front of shifting trends.
The future of Functional nutrition looks bright. Demand for Gut health food trends, Lion’s Mane mushroom benefits, and hormone balance nutrition all show robust signs of growth. Together with cognitive function ingredients, they create fresh opportunities for CPG innovators. By using AI in functional food development, companies can generate solutions faster, meet urgent shopper needs, and refine their offerings with greater accuracy.
This blend of real-time insights, fast product cycles, and strong market demand has made functional products a top priority for many brands. Now is the time to harness that momentum and expand product portfolios with evidence-backed solutions that match today’s expectations.