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Industry News
August 30, 2026 7 min read

The Rise of Functional Beverages: Why More People Are Looking Beyond Alcohol

For generations, going out for a drink has largely meant one thing: alcohol. But that is beginning to change.

Across the United States, a growing number of consumers are exploring beverages that offer something different from the traditional beer, wine, or cocktail experience. People are looking for drinks that fit their lifestyle, their social plans, and the experience they want to have—without necessarily making alcohol the centerpiece.

This shift is helping fuel the rapid growth of the functional beverage category, and kava is becoming an increasingly visible part of that conversation.

A Growing Market for Drinking Differently

A recent Axios San Antonio report on the functional beverage boom highlighted just how quickly this category is expanding.

According to NielsenIQ data cited by Axios, functional beverages generated approximately $31.3 billion in U.S. sales over the previous year, representing an 11% increase year over year and a 147% increase over four years.

Those numbers point toward something bigger than a temporary beverage trend. Consumers are increasingly interested in beverages based on the experience they are looking for—whether that means relaxation, energy, social connection, or simply trying something new.

Instead of asking, "Do I want alcohol or soda?", people are beginning to ask a different question:

"What kind of experience do I want from my drink?"

That change in mindset is creating opportunities for beverages and businesses that would have been considered niche only a few years ago.

Kava Finds Its Place in the Conversation

Kava is particularly interesting in this evolving beverage landscape. Traditionally consumed throughout the Pacific Islands, kava has a long cultural history as a beverage associated with gathering, hospitality, ceremony, and social connection.

Today, kava is finding a new audience in the United States. One example highlighted by Axios is Kava Cantina, a San Antonio business built around alcohol-free botanical beverages. Kava Cantina describes its concept as creating a place where people can relax, socialize, celebrate, and explore alternatives to alcohol.

The important part of this trend isn't necessarily that people are trying to eliminate every traditional beverage. Rather, consumers are looking for more choices.

Someone might enjoy a cocktail on one night and choose a kava beverage on another. Someone else might be taking a break from alcohol, exploring a sober lifestyle, or simply want to go out with friends without drinking alcohol.

The common denominator is choice.

The Social Experience Is Changing

One of the most interesting aspects of the functional beverage movement is that it isn't simply about what's inside the glass. It's about what happens around the glass.

People still want to meet friends. They want music, conversation, laughter, entertainment, dates, celebrations, and places where they can unwind after work. For many people, alcohol has traditionally been attached to those experiences. But it doesn't have to be.

The emergence of kava bars and alcohol-free social spaces suggests that there is growing demand for environments where the social experience comes first and alcohol is optional—or absent altogether.

That is an important distinction. A kava bar isn't simply a place to buy a different beverage. It can be a place to gather.

Why This Matters for Kava Bars

The growth of functional beverages creates an interesting opportunity for businesses built around kava. Rather than positioning kava solely as an alternative to alcohol, kava bars can become part of a larger movement toward intentional drinking and social connection.

That can appeal to a surprisingly broad audience:

  • People who don't drink alcohol
  • People who are taking a break from alcohol
  • People who are sober-curious
  • People who want to moderate their alcohol consumption
  • People who simply enjoy discovering new beverages
  • People interested in traditional botanical beverages
  • People looking for a different kind of social environment

This broader audience is one reason the functional beverage movement is worth watching.

It's About More Than a Trend

The rapid growth of functional beverages doesn't necessarily mean that traditional alcoholic beverages are disappearing. Instead, it suggests that consumers are becoming more comfortable with having options.

The same person might choose a beer at one event, a cocktail at another, and kava at another. What is changing is the assumption that every social occasion needs alcohol.

For kava bars, that represents an exciting opportunity. Kava offers something different: a beverage with deep Pacific roots, a unique preparation and flavor profile, and a social tradition that predates today's modern functional beverage movement by generations.

The growing interest in kava is therefore not simply about following the latest wellness trend. It's also about introducing more people to a beverage and culture that many Americans have never experienced.

The Future of the Beverage Industry May Be About Choice

The functional beverage market is growing rapidly, and businesses like Kava Cantina demonstrate that there is an emerging market for dedicated alcohol-free and botanical beverage experiences. As consumers continue to experiment with what they drink—and why they drink it—the beverage industry may increasingly become less about choosing between alcohol and non-alcohol and more about choosing the experience that fits the moment.

For kava, that could mean an exciting future. And for consumers, it means something even simpler:

More choices. More experiences. More ways to get together.

At Bula Bar, we believe that's something worth raising a shell to.

Sources & Further Reading

Note: Functional beverages and botanical products can vary significantly in their ingredients and effects. Information about beverages containing kava should not be interpreted as medical advice or as a claim that kava diagnoses, treats, cures, or prevents any disease.

Tags: Kava Functional Beverages Sober Curious Industry News