When it comes to gut health, Yakult is one of the category’s true pioneers. Back in 1935, founder Dr Minoru Shirota was already promoting the benefits of gut health and functional drinks.
Since then, the probiotic fermented milk drink maker has expanded into a worldwide operation, serving Asia, Oceania, the Americas and Europe.
Yakult came to Europe in 1994, setting up its headquarters in Almere, just outside Amsterdam. Today, this facility produces 3.6 million bottles of Yakult every day for distribution across 13 European markets, including the Netherlands, the UK, Germany, France, Italy and Spain.
With annual revenues exceeding ¥486.4bn (about US$3 billion), the gut health firm now serves 40 countries and regions worldwide, with approximately 38 million bottles consumed every day.
The rise of functional health
Since Yakult’s inception, the functional health space has become very crowded; with several strong players launching their own gut health drinks, yoghurts and kefir offerings.
In the UK alone, NielsenIQ data shows the functional drinks market is now worth £100 million in value sales.
Tellingly, the number of British consumers actively seeking functional benefits when choosing a drink has nearly doubled since 2024, rising from 13% to 24%.
The rise of functional food and drink has been prompted by several factors, as Yakult’s new UK and Ireland managing director, Shinji Yamaguchi, explains: “Consumer understanding of gut health has grown significantly in recent years.
“We attribute this to several factors, including scientific advancements, greater media coverage and the rise of social media, podcasts and influencers, which have helped bring discussions around the gut microbiome into the mainstream.
“There has also been a broader shift towards prevention and proactive wellbeing. As a world leader in probiotic science, with the authority of more than 90 years of research, Yakult was responsible for building awareness of the category long before it became a mainstream topic.”
Winning with today’s consumers
While Yakult benefits from a longstanding history, the competition for market share in gut health and function is fierce.
Danone is among one of its strongest competitors, with its Actimel product a probiotics market leader.
Founded in 1919, Danone had already established itself as a market leader in France before expanding its corporate footprint to the UK in 1983.
Alongside Yakult, its roots are also firmly grounded in scientific research, with its founder Isaac Carasso inspired by work of Nobel Prize winner Élie Metchnikoff who many refer to as ‘the father of innate immunity’. It was this that led him into studying the benefits of yoghurt in the fight against child malnutrition.
The established name, scientific background and broad portfolio have no doubt helped to tip the scales in Danone’s favour in this saturated market.
Today, the diary giant has almost 90,000 employees, with products sold in over 120 markets. In 2025, it generated €27.3 billion in sales – a 4.5% climb on a like-for-like basis.
This compares to Yakult’s approx. 2,900 workforce and consolidated net sales of ¥486.4 billion (around $3.05BN) for the year ended 31 March 2026. This represents a 2.7% decline year on year. Operating profit for the group also fell by 18.4%.
Although Japan remains Yakult’s largest market, contributing around 47% of group sales, international markets are providing the main growth opportunities for the group.
Europe, specifically, is doing well; with sales increasing 4.7% year-on-year to ¥12.7 billion ($78.8M) in FY2025. Still, operating profit took a hit across the continent, moving into the red to a loss of ¥91 million ($572K).
While the numbers aren’t wholly positive, Yamaguchi hasn’t expressed concerns.
Taking the helm of Yakult’s UK & Ireland division earlier this year, following Hiroaki Yoshimura’s move to Yakult Europe, he told Food Manufacture that he is, in fact, excited about the opportunities the gut health boom presents.
“The biggest opportunity is that gut health is no longer a niche conversation. Retailers, consumers and the wider media are engaging with it much more broadly through information, products and everyday lifestyle choices.”
For Yamaguchi, the focus for Yakult will continue to be on straightforward, well-substantiated claims.
“Science has been at the heart of Yakult since Dr Minoru Shirota founded the company in 1935,” he adds.
“His pioneering research into bacteria and their relationship with the gut continues to guide everything we do today.”
Our data shows that consumers are most responsive to functional benefits they already understand, such as protein, vitamins and gut health, while unfamiliar or complex functionality faces greater scepticism.
Lumina Intelligence
It’s a sound strategy, with Lumina Intelligence data underscoring the value of ‘clear labelling’ and ‘simple benefit framing’ in maintaining consumer confidence in functional claims. This is especially true as scepticism toward processing increases, with the public seeking accessible and familiar concepts.
Investing into Europe
With its sights set firmly on developing its European market further, Yakult has been investing into its Netherlands HQ; recently opening a research facility next to one of the country’s leading universities.
“Alongside continuous investment in production capabilities, Yakult has strengthened its research presence in Europe with the establishment of its European R&D Centre in Wageningen, the Netherlands,” Ken Nishikawa of the Yakult European R&D Centre tells Food Manufacture.
“Establishing our first global R&D centre outside Japan in Wageningen offers a rare and valuable opportunity to collaborate directly with world-class scientists and companies in the fields of food, nutrition, and life sciences.
“From here, we will develop new product concepts, address diverse consumer needs, and build future growth through innovation.”
The business has already launched one new product into Europe, with its plant-based Yakult Vitals hitting shelves this year.
The soy-based drink is enriched with vitamin D, calcium, magnesium and zinc, and designed to support immunity and digestion.
According to corporate communications manager, Dr Kate Synnott, Vitals is part of a plan to grow Yakult’s range and invite new consumer groups to the brand.
This launch represents a shift in Yakult’s strategy which has long focused on its hero probiotic product. The new fruit-based drink comes in 200ml cartons rather than the classic 65 ml bottle in three flavours: strawberry, mango and passionfruit; and focuses on vitamins and minerals.
In this tough but certainly lucrative functional foods sector, it’ll be interesting to see how Yakult Europe performs over the next few years as it develops its portfolio further under new leadership.
