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The Rise of Functional Coffee: A New Trend in the Beverage Industry

11/23/2025, 11:48:02 AM

Overview of Functional Coffee

Functional coffees, which incorporate ingredients like mushrooms, protein, and collagen, are gaining popularity as consumers seek beverages that offer health benefits beyond caffeine. Zak Haddad, who opened Sipp coffee shop in Chorlton, Greater Manchester, in late 2023, has included mushroom coffees on his menu, offering four types of mushroom powders that promise various health benefits. This trend reflects a broader shift from niche wellness products to mainstream coffee offerings.

Market Growth and Consumer Interest

The demand for functional coffees has surged, with health food chain Holland and Barrett reporting a near doubling of its mushroom coffee range over the past year. Starbucks has also entered the market, introducing barista-made protein coffee in the U.S. and pre-made protein coffee in the UK. According to food research company Tastewise, the number of mushroom coffees on UK coffee shop menus has increased by 30% in the last year. Nutritionist Eli Brecher notes that consumers are increasingly interested in well-being and energy stability, making functional coffees an appealing option.

Key Players in the Functional Coffee Market

Black Sheep Coffee has been a pioneer in the functional coffee sector, launching a "functional health" latte range that includes a lion's mane latte, which has become their bestseller. Chief Operating Officer Ben Fenton reports that customers add functional ingredients to about 15% of their orders. The additional costs for these enhancements can accumulate, with prices varying by location; for instance, adding a shot of lion's mane at Black Sheep in Birmingham costs 99p.

Consumer Experiences and Perspectives

While some consumers, like Mariam Begum, actively seek out functional coffees, others remain unaware of the trend. Begum incorporates collagen into her daily coffee routine, while Lauren Devlin, a former competitive power-lifter, expresses interest in trying functional coffees if they were available. The taste of functional coffee, such as lion's mane, is often described as subtle, with many consumers finding little difference compared to regular coffee. However, some report feeling enhanced focus and reduced anxiety after consumption.

Confusion and Misconceptions

Despite the growing popularity, there remains confusion about functional coffees. Andrew Salter, co-founder of Dirtea, highlights that many consumers mistakenly associate mushroom coffees with psychoactive substances. In reality, the mushrooms used, like lion's mane, are non-psychoactive and are believed to offer cognitive benefits.

Conclusion: A Trend with Potential

The rise of functional coffee signifies a shift in consumer preferences towards beverages that promote health and well-being. As more coffee shops and chains adopt these offerings, the trend is likely to continue growing, appealing to a demographic increasingly focused on health-conscious choices.

Verbatim Quotes

  • “Functional coffees are shifting from niche wellness corners into the mainstream,” — Eli Brecher, Nutritionist
  • “And customer response to the drink has been "far beyond" what the company expected.” — Ben Fenton, Chief Operating Officer, Black Sheep Coffee
  • “I'm awake, but I'm not jittery,” — Ana Richardson, Functional Coffee Consumer