The New Era of Functional Beverages and What Manufacturers Must Do to Help Brands Win

By Mauricio Mova, Founder & CEO, ArcTeaco
Winston-Salem, North Carolina, ArcTeaco, a functional beverage manufacturer and development partner, shares how the category is evolving and what brands need from modern manufacturing partners to succeed.
Functional beverages have moved from niche to mainstream. What used to be a small corner of the shelf, mushroom blends, prebiotic drinks, vitamin-forward teas, has become one of the most competitive spaces in consumer products.
As the category matures, brands are learning a hard truth: it's no longer enough to have a great idea. Brands need the operational ability to execute that idea, consistently, compliantly, and at scale.
That shift is changing the role of the modern beverage manufacturer. Contract manufacturing used to mean "run the product." Today, it must mean "build the product's path to market."
ArcTeaco was built for that reality.
Founded in 2014 in Virginia Beach, Virginia, and now headquartered in Winston-Salem, North Carolina, ArcTeaco focuses on functional drink development and manufacturing, helping brands go from concept to retail-ready product through an integrated model designed to reduce handoffs, compress timelines, and improve repeatable quality.
"The brands that win are the ones that can execute without breaking trust, on taste, quality, and reliability."
Mauricio Mova
Manufacturers must become true "idea-to-shelf" partners
The functional beverage boom has increased complexity across the production chain. It's not just about mixing ingredients; it's about ensuring the product can hold up in real-world distribution while still meeting consumer expectations.
To support that, manufacturers must deliver more than capacity. They must provide a structured, end-to-end system, including:
• Concept-to-finished product execution (not just production)
• Retail-ready thinking from day one (format, labeling, shelf story, and logistics)
• In-house creative support to help products look as strong as they taste
• Fulfillment infrastructure, including 3PL and drop-shipping capabilities, so brands can move fast
Taste is still the deciding factor
Functional benefits may get a consumer to try a drink once. Flavor is what earns the second purchase.
ArcTeaco's approach emphasizes quality and superior flavor profiles, supported by experience and continuous iteration as the market evolves.
Scale requires flexibility not just volume
ArcTeaco typically supports production ranges of 20,000 to 100,000 units, and multiple package formats including 7.5 oz, 12 oz, 16 oz, and 19.2 oz, giving brands options to match channel strategy and price points.
Compliance isn't optional in functional categories
ArcTeaco operates with attention to FDA requirements and GMP-aligned practices for supplement-style products, because in functional beverages, consistency and documentation are part of the product.
The real goal: enable brand breakthroughs
ArcTeaco has supported brands from early-stage development to major retail and distribution opportunities, helping build the operational readiness needed when growth arrives fast.
A mission beyond margins
"We are a Christian faith company. We believe in giving back to the community, not only operating for profit, but creating impact with our products for our stakeholders and for the people that consume our products."
Mauricio Mova

105 Akron Dr Winston Salem NC 27105

About ArcTeaco
ArcTeaco is a functional beverage development and manufacturing partner headquartered in Winston-Salem, North Carolina. The company helps beverage brands go from concept to retail-ready product through an integrated, end-to-end approach focused on flavor, quality, speed, and operational reliability.

This release was published on openPR.