DUIVEN, THE NETHERLANDS — The U.S. coconut water market is expanding as mainstream players diversify product lines in an effort to extend their reach, according to Innova Market Insights.

Product introductions during the past year include a coconut water version of the Rockstar energy brand and protein fortified products from Nature’s Best and Coco Libre. Flavored products featuring coconut water with lemonade, espresso coffee, chocolate and chili extract also have been introduced in the United States, Innova said.

“With sales of traditional carbonates and still drinks relatively static in many markets, the industry appears to be turning to coconut water, which seems well placed for the task of driving growth with its exotic image, unusual flavor and natural hydration properties,” said Lu Ann Williams, director of innovation at Innova Market Insights. “These features, along with the fact that the leading multinational soft drinks companies are already taking an active role, suggest that the sector is on course for significant further development.”

Consumer interest in coconut water appears to be rising in Europe, where the United Kingdom has seen high levels of new product activity in recent months, Innova said. Recent new product introductions in the U.K. have followed the direction of the U.S. market, with Vita Coco introducing orange and lemonade varieties and Zico introducing a 1 liter format.

Innova forecasts that coconut water market development activity will extend into Europe as manufacturers promote the beverage’s all natural market position and the fact it features calcium, magnesium and potassium.