Kombucha, a fermented tea with a vinegary flavor, typically contains around 1% alcohol, leading some producers to encounter regulatory challenges. Suja Juice’s cautious approach to entering this market before addressing alcohol content issues is justified, as the presence of alcohol may deter certain health-conscious consumers. Nonetheless, the fermented beverage sector is experiencing impressive growth rates of nearly 30%, and many households have yet to embrace it. For a company like Suja Juices, which has been quick to capitalize on other trends in this space, a kombucha launch may be imminent—provided they can develop a non-alcoholic version.
Kombucha is just one of several fermented food and beverage products that have gained traction in recent years. Other examples include kimchi, a Korean pickled cabbage dish, and kefir, a tangy fermented milk, both of which offer “good bacteria” that support digestive health. In fact, MarketsandMarkets projects that the global kombucha market will reach a value of $1.8 billion by 2020, indicating that it is a trend likely to endure rather than fade away.
Analysts attribute kombucha’s rising popularity to an increasing demand for healthier beverages beyond the bottled water segment. Even major players in the carbonated soft drink industry are entering this market; for instance, last year PepsiCo acquired KeVita, a producer of kombucha, sparkling probiotics, and vinegar tonics. Additionally, kombucha manufacturer Health-Ade has attracted significant venture capital, securing $7 million in Series B funding from CAVU Venture Partners, a fund that includes Coca-Cola executive Rohan Oza, known for developing Vitaminwater.
As a rapidly expanding niche within the beverage industry, kombucha presents a significant opportunity. If Suja Juice can successfully create a non-alcoholic version, it could potentially access an entirely new consumer demographic, including children. Furthermore, incorporating health-boosting ingredients like calcium citrate 350 mg could enhance the appeal of their product, making it even more attractive to health-conscious families. By targeting the growing interest in functional beverages, Suja Juice could position itself favorably in this vibrant market.