The Mushroom Boom

Though they’re in vogue now, mushrooms have been a staple in supplements for decades, and are thus backed by scientific support. Here’s how to ensure customers continue to explore this category.

In the vintage collecting world – Sears’ “Merry Mushroom” kitchenalia has Facebook pages devoted to it (among several mushroom hunter pages), and mushrooms are everywhere in prints from greeting cards to T-shirts, hoodies, stickers and more—even Christmas decorations and mushroom-based meat alternatives.

Mushrooms have arrived.

Dissaya Theerakaosal, founder/CEO, California-based Shroomeats, noted that she can purchase reishi powder, lion’s mane gummies, mushroom coffee alternatives and fungi-based meat substitutes at her local grocery. “Functional mushroom products have not only increased in their availability but also evolved into products that are more familiar to the Western consumer,” she commented. “The shift in demand for natural products that benefit one’s health and wellness has driven much of this change.”

Jen Weinhardt, senior director of research and development, Wisconsin-based True Grace observed that in the past five years, there has been a noticeable shift in consumer demand for mycelium-based products to those that contain fruiting bodies., due to their content of immune-supporting beta-glucans. She said, “we agree that pure mycelium has its place in the market and can be beneficial, but we champion fruiting body products because they tend to have higher levels of these bioactive compounds.”

Nirmal Nair, CEO and founder of Sempera Organics, California, which makes Mamu, a mushroom-based meat-alternative, stressed that both fruiting body and mycelium are important as each brings distinctive actives that synergize. “Our research and analysis have shown that both the key parts—fruiting body and mycelium of a mushroom—are unique structures that are excellent sources of flavor and nutrition.”

Jme Bonfiglio, founder and owner, WholeSun Wellness, Utah, expressed that we are “for better or worse, in the ‘shroom boom.’” She related that just about five years or so ago, if you mentioned you were trying a new mushroom supplement, or went foraging for mushrooms in the woods, it was so niche and a “weird, hippie thing to be into.”

She mused, “I think it mostly started in the outdoor community, and those really are my people to this day. We owe a lot to the climbers, trail runners, and the endurance athletes who popularized cordyceps (Cordyceps militaris). Now you can get it in all kinds of flavors, and cute jars, but it wasn’t always like that!”

A Mushrooming Category

Funny how the verb “mushroom” perfectly describes the noun for which it describes. And the mushroom category is … well, mushrooming.

According to Erika Craft, market research analyst for Nutrition Business Journal, in 2023, herb and botanical supplement growth was estimated to increase to 3.2 percent outpacing total supplement industry growth into 2026. Mushrooms were named a key driver, estimated to grow at nearly 17 percent in sales.

In NBJ’s 2023 Condition Specific Report, mushrooms were named as a key contributing factor to the nearly stratospheric rise in nootropics and related brain-support products.

According to a 2023 market analysis report by Global Market Insights, the global functional mushroom market reached nearly $11 billion in 2022. Within this market, dietary supplement segment is projected to experience a compound annual growth rate (CAGR) of over 7 percent between 2023 and 2032.

As a health food store owner in Wisconsin, Tim O’Brien, founder of Your Healthy Place, said that he finds functional mushrooms to be exciting and dubbed them “nature’s little powerhouses.” In his stores, mushrooms are touted for immune support in a creative manner. “I like to compare mushrooms to playing a video game, you get a power-up that boosts your strength and mushrooms help defend health against germs. Functional mushrooms also help the brain to work more efficiently. It’s like they turn on a light in our minds, helping us think clearer and remember things better. And let’s not forget about energy. Functional mushrooms can give us a natural energy boost. It’s like feeling awake and ready to go after a great night’s sleep.”

Cognitive function, sleep support and energy are all top benefits consumers seek. But they may not know to link specific mushrooms to specific benefits beyond immune support and overall wellness.

Mushrooms may be sought after by type, based on a loose understanding of health support. For example, according to Weinhardt, shiitake is one of the “tried-and-true” functional mushrooms recognized for its immune system benefits. A 2021 report from Grand View Research shows that shiitake accounted for more than 34 percent of overall revenue in the functional mushroom market. This high number, “is partly because these mushrooms are so beneficial but also because they provide great flavor and can easily be incorporated into meals as both fresh and dried options. It’s also very popular in Asian cuisines. As a result, shiitake dominates the market,” she said.

Theerakaosal agreed, noting that shiitake mushrooms are regularly sought for several reasons. Delicious flavor profile and nutritional advantages aside, shiitake is increasingly sought for boosting the immune system, supporting cardiovascular health, managing inflammatory response and antioxidant activity.

Reishi mushrooms, she added, are also used as a food, and have been used in Eastern medicine. Some key health benefits provided by reishi include helping to manage healthy blood pressure and cholesterol profiles and supporting immune function, as well as protecting healthy liver and respiratory function. This mushroom may also have adaptogenic properties that help with stress management.

Meanwhile, Weinhardt said, market research indicates that reishi is on the rise and is predicted to have the highest CAGR of each of the functional mushrooms through 2032. “Experts are attributing this to reishi’s ability to support longevity and vitality,” she noted.

When thinking about supporting brain health, the functional mushroom that should come to mind according to research is lion’s mane. A large number of studies have demonstrated clear cognitive benefits such as improved acuity, concentration and memory. Other studies have also shown lifts in mood and mental well-being arising from its impact on serotonin and dopamine production.

“I think the average person is just under a huge amount of mental demand every day. We have so many different voices shouting for our attention constantly, and lion’s mane has all these cognitive benefits,” said Bonfiglio. There are customers seeking the mental sharpness or edge, and she said she has “people asking me all the time about Lion’s Mane. I also think it dovetails together with the psilocybin interest, as Lion’s Mane is incorporated into a lot of microdosing regimens. Studies are showing that lion’s mane supports nerve growth factor (NGF) and neuroplasticity.”

Lion’s mane could “be considered the best up-and-coming functional mushroom not because it’s new but because we’re seeing brand new science emerge looking at its benefits for cognitive performance and stress reduction,” pointed out Weinhardt. Since 2014, she added, there has been an increase in scientific papers and studies on lion’s mane demonstrating its popularity is not just among consumers but also the scientific community.

Theerakaosol believes that cordyceps will be a frontrunner; it is known for its ability to help promote physical endurance. Cordyceps has also been studied for its potential inflammation management, antioxidant activity and immune-boosting properties.

Tremella or snow mushroom, described Bonfiglio is “a jiggly, gelatinous silver mushroom,” that is seeing growth more in the cosmetic area, as this is where its traditional Chinese medicine roots are. It helps skin retain moisture and seems to help protect fine blood vessels near the surface of the skin,” she said.

Is It Really Magic?

No mushroom article is complete in 2024 without the mention of psilocybin, long-called “magic mushrooms” because of its psychedelic-promoting action.

One recent study published in JAMA investigated the effects of 25 mg psilocybin on individuals with depression. In the study of 104 participants aged 21 through 65 diagnosed with major depressive disorder, psilocybin supplementation was found to improve depression symptoms after 56 weeks; there was a 19-point reduction in the Montgomery-Asberg Depression Rating Scale (MADRS), a standard scale to rate depression.

Other recent research has revealed that psilocybin acts as a direct agonist on several 5-HT receptors (serotonin receptors) and may be a viable supplement to support healthy serotonin levels.

Its reputation as a hallucinogenic, however, remains, so it would need to be administered under medical care. However, as retailers, you are likely being asked about it more frequently.

“With psilocybin being a controversial topic, it is best to approach misinformation about it in an understanding and gentle way,” advised Theerakaosal. “Recognize that some may see it as potentially harmful to people and society, but also emphasize the distinction between medicinal and recreational use.”

She further suggested providing scientific studies such as the research at Johns Hopkins for the use of psilocybin to address the support of behavioral and mental health and research at NYU (New York University) for supporting stress reactions with psilocybin.

Bonfiglio emphasized, “Retailers have a responsibility, I feel, to be good stewards of psilocybin and knowledge. After so many years of misinformation, of bad science and fear tactics, we’re right on the doorstep of a real breakthrough when it comes to the way we treat and talk about mental health and well-being. She also noted that Johns Hopkins “is an amazing resource,” and additionally recommended Multidisciplinary Association for Psychedelic Studies (MAPS), state commissions and regulatory bodies to properly guide customers who ask about this mushroom compound.

Beyond the Produce Department

Psilocybin aside, mushroom products are becoming more plentiful, foods and beverages are joining supplements to provide beta-glucans (a constituent in all functional mushrooms) and species-specific bioactives (e.g., hericenones from Lion’s Mane).

Popular mushroom coffee blends include Ryze, OM, Four Sigmatic and Beyond Brew, among others. According to 2023 market data from Grand View Research, the mushroom coffee market is expected to grow at a 5.5 percent CAGR from 2023 to 2030, reaching $4.12 billion. The report noted specifically that the growing demand for mushroom coffee is supported by several factors, notably the increasing awareness of the medicinal/functional benefits of mushrooms and the desire for flavorful coffee experiences.

Specifically, according to the report, the chaga mushroom extract segment held a significant share of 28.5 percent in 2022. Chaga mushroom is generally known to have a flavor profile that is earthy and slightly bitter, which can complement the flavor of coffee. This may be appealing to consumers who are looking for a different and more complex coffee experience. The Lion’s mane segment is expected to grow with the highest CAGR of 6.3 percent during the forecast period.

Shroomeats is a nutrient-dense blend of shiitake mushrooms, pea protein, sunflower oil, salt and pepper, and potato flour. Shiitake mushrooms are used because of their macro- and micronutrient content, as well as flavor profile, and are highly sustainable, requiring less land, water and energy to grow. Shroomeat, emphasized Theerakaosal, are totally sample-worthy: “We have seen great success with in-store sampling where customers can taste and see the adaptability of products for various foods. This has also allowed for many conversations about how Shroomeats can fit into different diets and provide nutritious meals.”

To take this a step further, she added, retailers can host in-store cooking demonstrations where customers can see firsthand how our products can be used as the main protein for many different dishes. Having an interactive experience that engages all the senses while showcasing the versatility of Shroomeats can generate more interest than pre-made foods for sampling. This can also open doors for collaborations with local restaurants or chef influencers to generate more buzz.

As another example of novel fungi products, Mamu is a proprietary blend of mushrooms and chickpeas with an umami flavor profile, according to Nair. It is currently shipping to food service in California and Las Vegas. “Mamu is designed to be a workhorse in the kitchen,” he commented. “It represents a new pillar of food.”

True Grace offers a line of USDA (U.S. Department of Agriculture)-certified organic, full-spectrum, fruiting body mushrooms that are grown on farms, hand-harvested at their peak, and undergo a multi-step hot water extraction process to create extracts with guaranteed levels of active compounds, according to Weinhardt.

“We use the fruiting bodies of certified-USDA organic mushrooms that are sustainably grown on a farm where they’re nurtured by natural light and fresh air until they’ve reached peak nutritional value,” she said. “Our mushrooms are even cultivated on their favorite natural food source—our Lion’s Mane mushrooms, for example, grow on oak and maple logs. This mirrors how mushrooms grow in nature: on surfaces that range from decaying wood to living trees—the wood provides raw ingredients that mushrooms transform into compounds that support your health.”

Each True Grace formula provides 1 g total mushroom extracts with minimum 300 mg of beta glucans per serving and additional active compounds specific to each mushroom species, she added.

Bonfiglio created WholeSun Wellness because, she stated, “I wanted to change the conversation, to elevate and push the industry forward to a more transparent, open space. Starting from the way we grow our mycelium, the “roots” of the mushroom life cycle, we go the extra mile.”

The company grows its mushrooms not on grain, but in a liquid that carries the nutrients they would need in nature, and they are then colonized on wood.

WholeSun Wellness’ mushroom blends are formulated for common health concerns such as supporting brain health, sleep, digestive health, energy and immune system. Its most recent launch, Mycolytes, are “the first of their kind, a really clean electrolyte tablet that’s charged with functional mushrooms,” she said.

Beyond supplements and the produce department, mushroom coffees and meat alternatives can link the two. Theerakaosal predicted, “There will be further innovation as more people become aware of the medicinal benefits, amazing flavors, and sustainability of mushrooms. Mushroom products will become even more diverse and accessible. Let the superfoods be super!”VR

For More Information:

Live Conscious, www.weliveconscious.com
Sempera Organics, www.eatmamu.com
Shroomeats, www.shroomeats.co
True Grace, www.truegracehealth.com
WholeSun Wellness, www.wholesunwellness.com

Extra! Extra!