The benefits of functional mushrooms and which ones to buy

The crossover between the wellness and artisan food and drink sectors has been one of the most prolific changes within the speciality industry in the last five years.

This move by consumers, towards ingredients and products claiming to improve their overall wellbeing, aiding mental clarity, anxiety, sleep, energy and the symptoms of menopause, is thought to be a hangover from Covid lockdowns. When the world was ‘on fire’ being able to manage how we felt through what we ate became the last bastion of control many of us had over our daily lives.

Never before has there been such drive and focus by mainstream brands to help shoppers achieve their health goals – whatever they may be.

Adaptogenic and functional mushrooms (alongside UPFs, gut health and protein) have become a huge part of the conversation, and the fodder of in-depth discussions on popular podcasts, TV and radio shows.

And they haven’t peaked yet, say analysts. According to Grand View Research, the global functional mushroom market size was valued at $31.71 billion in 2023, with an expectation it will grow by 11.2% in the period between 2024 and 2030.

What are functional mushrooms?

Although most edible mushrooms, say nutritionists and scientists, have benefits for health, there are some which have been picked out, promoted and marketed for specific reasons.

These include their proclivity to support stress relief and anxiety, the immune, endocrine and digestive systems, focus, clarity and energy.

Research continues around the world to investigate the impact the compounds found in these functional mushrooms could have on a number of health conditions.

What are the most popular types of functional mushrooms and what are their benefits?

Reishi: Also called the lingzhi mushroom, is known as the ‘divine fungus’ in China, having been feted by the country’s most enlightened emperors. The mushroom – which has an earthy, savoury, slightly bitter flavour – is commonly used for its supposed anti-inflammatory properties, and reported support of the liver, kidneys and nervous system. “Reishi is really good for anyone that has bad joints or issues sleeping,” says Bristol Fungarium founder Tom Baxter. “Reishi is the one that’s good for menopause and anxious teens too. But you can’t take it if you’re on blood pressure medication!” That’s because it’s showing strong results of lowering blood pressure in users, who are noticing its impact within just a few weeks. Those with high blood pressure and heart conditions thinking of using reishi should first consult their doctor.

Shiitake: Probably the most commonly eaten of the so-called functional mushroom collective, used regularly by chefs and home cooks. Shiitake mushrooms are prized for their umami, savoury flavour and meaty texture. Native to East Asia, they’ve been used for a long time in both Chinese and Japanese traditional medicine, being high in Vitamin D and blood sugar-levelling polysaccharides, and useful for supporting energy, digestion, and the immune system. Shiitake’s soluble fibres and apparent ability to lower cholesterol are a source of ongoing interest in medical science. 

Turkey Tail: Unfortunately, this functional mushroom doesn’t taste anything like turkey, but its broad fan shape and concentric pattern give it the appearance of a turkey tail – hence the name. Also known as ‘yunzhi’, it has a chewy texture and earthy, mild flavour. The mushroom is often talked about in cancer circles, and has been used alongside Japanese cancer treatments for decades, possibly because of the presence of compounds within it considered to support the immune system. Turkey Tail is used by some to help with upper respiratory issues and inflammation.

Tom adds it’s showing promise in the field of gut health too.

Maitake: Meaty, earthy, peppery, salty – some even say citrussy – maitake (or hen of the woods) is a prized culinary mushroom usually found growing on oak trees, but also increasingly being cultivated on commercial farms.

An adaptogenic mushroom, it’s high in Vitamin D and some B vitamins, and is said to be packed with polysaccharides which could aid the immune system, blood sugar regulation and hormonal imbalances.

Lion’s Mane: This functional mushroom is absolutely everywhere - in soft drinks, coffees, tinctures, teas, baked goods. It’s the poster child for the functional mushroom movement, and is loved by chefs, who are paying huge sums for Lion’s Mane, using it as a flavoursome, toothsome substitute for protein when cooking for vegetarians and vegans – owing to its sweet, nutty, almost seafood-like taste. Headline-grabbing Lion’s Mane has an other-worldly appearance, somewhere between a delicate crystal formation and a pom-pom. It’s been used for centuries by Buddhist monks to aid relaxation, and studies are ongoing into its benefits for anxiety, supporting healthy neural cells in the brain, boosting immunity, and reducing inflammation.

Cordyceps: Sci-fi fans and gamers will recognise this fungus from hit show The Last of Us, where it used humans as zombie ‘hosts’. Thankfully this is pure fiction – our bodies are too hot to harbour and support the growth of cordyceps spores.

But we can eat them and reap the benefits. The strange finger-like fungus is prized in the wellbeing sphere for boosting energy and mood. It’s even been given the moniker ‘Himalayan viagra’ for its effects on libido!

Any functional products you stock should make it clear consumers must consult their doctors if they have health concerns.

What is the best functional mushroom?

Eating any edible mushroom is beneficial, says Tom. “All the studies I’ve seen show if people eat mushrooms, be it men or women, two times a week, they could see 30% lower incidences of pretty much every cancer. Just eat more mushrooms!”

A handy tip (for retailers to pass on to consumers) is that leaving mushrooms on a sunny windowsill, gills up, helps to increase the amount of Vitamin D they synthesise.

Other than this, shoppers should choose functional mushroom products that align with the health issue they’re hoping to support – be it reishi for stress, or cordyceps to add more va-va voom to their day – always consulting a doctor if they have a medical condition or concern.

Are functional mushrooms expensive?

It really depends on the type – though all functional mushrooms, due to their current highly-prized status, cost more than the average button or chestnut variety. Bought fresh they can fetch around £6 or more per 150g, while powdered and supplement versions could be £15 to £25, and more potent tinctures typically cost upwards of £30.

What’s the best way to consume functional mushrooms?

“The most effective formats are often concentrated extracts found in powders, capsules or tinctures,” says nutritionist Nichola Ludham-Raine, “because they deliver consistent doses of the active compounds. That said, adding mushroom powders to drinks (like coffee, matcha or hot chocolate) is a popular and palatable option.”

They can also be incorporated, she adds, into smoothies, energy bites or even baking. “Cooking with functional mushrooms is possible, but you’d typically need larger amounts or long simmering to get a therapeutic effect.”

Who shouldn’t eat functional mushrooms?

As we’ve already stressed, anyone adding functional products to their diet should first consult their doctor if they have specific health complaints or an existing diagnosed medical condition. Functional foods can interfere with some medications.

Get on board with the functional mushroom trend

Many of the founders of premium functional mushroom brands have been inspired by their own health journeys.

Silvia Mocsari, founder of Honey Heaven (which infuses raw functional mushrooms into its organic Mushrooms in Honey blend) has been using medicinal mushrooms since she was just 18.

“I always knew about the benefits associated with mushrooms, but it is only recently that the market has been ready to accept the concept,” she says, adding that as attitudes changed, it became clear it would be worth combining functional fungi with raw honey. “We decided that if we were going to do it, we wouldn’t do it by halves, but instead make the most powerful formula possible, using all seven adaptogenic mushrooms. This made it the strongest mushroom supplement on the market at the time of launch back in 2023.”

Young foodpreneur Darwin Fletcher is acutely aware of the impact what we eat can have on our bodies, being neurodiverse and epileptic. The founder of Quirky Monkey says he’s always had to be mindful of what he puts into his body, and from a young age noticed how certain ingredients supported focus, boosted energy and helped him manage stress.

That curiosity sparked a journey of studying and learning about functional mushrooms, with his brand launching with a range of mushroom teas, coffees and hot chocolates in 2022.

Some functional mushroom brands are the result of a pivot in an existing business or enterprise.

The Foundry Brew Pub in Canterbury decided to grow functional mushrooms using warmth generated from the distillery’s heat-capture system, and waste from the production process.

“We began with Blue Oyster and Black Pearl mushrooms. They’re not only delicious, but they’re also quite forgiving, which was definitely a plus for us as we were learning,” director Jon Mills says. “Now we’ve managed to cultivate Lion’s Mane, which is incredibly exciting. As we scale up, we’re looking forward to perfecting the growth of even more varieties.”

Facing a surplus of mushrooms, the business most recently started making a tincture, with testing at Greenwich University showing promising results. “We’ve got a very high-quality product,” Jon adds.

One of the best known and most respected functional mushroom producers in the UK, also born out of necessity and adapting, is The Bristol Fungarium. Founder Tom Baxter was a vegetable and herb farmer who’d foraged for mushrooms both in the UK and overseas for many years. He introduced mushrooms to the farm seven years ago as a way to increase production in farming’s traditional ‘hunger gap’ months – growing to now produce around 2 tonnes per month, while investing heavily in the UK’s most dynamic mushroom-testing labs. Here, work is ongoing into understanding the compounds within functional mushrooms, including their efficacy and potency. “We know what’s in our products,” he says proudly of the range of organic tinctures and cocoa drinks. 

“I’ve always been aware of the use of functional mushrooms,” Tom continues. “I used to live in China, and they’ve got a very long medicinal use there. In the UK they’re not recognised by regulators to have any medicinal value, and you can’t make any claims.” Tom thinks this is something that will need to be assessed in future as herbal products including chamomile, for example, are able to claim they can help with relaxation. His position is that parity is needed across the categories.

Why are functional mushrooms so popular right now?

“There’s a whole movement,” Tom continues, “looking back at nature and what’s available. A lot of people are looking for something to believe in. They’re under stress and have a lot of existential issues. The things they can control are how people relate to them, or what they put in their own bodies.” And that includes functional products. “People are beginning to prioritise themselves,” he adds.

A number of patients undergoing cancer treatment are also looking to functional mushrooms as supportive ingredients alongside chemotherapy. While these products are not a silver bullet, Tom says, 25% of his customers are on a cancer journey.

“There’s been a real shift in how people approach their wellbeing – especially since the pandemic,” Darwin concurs. “Consumers are becoming more curious, more informed and more intentional. People are exploring ingredients that were once considered niche or unfamiliar. Once you start reading, it’s hard not to wonder: why wouldn’t I include these ingredients in my daily routine?” 

But, he adds, the products must be “truthful, credible and, most of all, taste great”.

Former professional rugby player and Fourfive founder, Dom Day, says he’s noticed a real shift in the UK towards holistic diets too. “Wellness has become a bigger priority now than ever before, with people take a much more proactive approach to their health. There’s a growing demand for natural solutions that support focus, energy, immunity, sleep and stress management. Functional mushrooms fit perfectly into this shift, offering powerful benefits. Plus, innovation in formats – like capsules, powders and drinks – has made them easier to incorporate into daily routines.”

Stefanie Joy Daniels, CEO of Life Begins at Menopause, thinks the shift towards seeking natural methods of health support, such as functional mushrooms, is a huge area of growth, especially as consumers place greater value on natural products. “These incredibly therapeutic organisms have been used for centuries in traditional medicine, and modern research is only just scratching the surface of their potentially huge benefits,” she explains, adding that celebrities and social media influencers have had a big impact on the appeal of functional ingredients and products, too.

‘Biohacking’ (using food and specific ways of eating to ‘hack’ into better health, is also more in the public sphere, says Nichola, who adds that functional mushrooms’ adaptogenic and immune-modulating properties have drawn those investigating their own health into the mushroom world.

Health food and supplement giant Holland & Barrett reports sales of mushroom products as being 150% up year on year. “Mushrooms have been a cornerstone of traditional practices in Asia for thousands of years,” says commercial trends and acceleration lead, Niamh McCormack. “Today, as consumers increasingly seek out ancient ingredients and holistic approaches, these fungi are experiencing a major resurgence.”

We know, Niamh adds, mushrooms are rich in bioactive molecules – taking Lion’s Mane as an example. “At the same time, emerging research points to a wide spectrum of other potential benefits,  from supporting immune function, to cognitive performance, though this is not proven. While further robust clinical studies are needed, early findings are promising, so it’s no surprise that they have found a fresh relevance in the modern day.”

What’s the most popular functional mushroom?

Without a doubt, across the board, those inside the industry say consumers can’t get enough of Lion’s Mane. It’s emerged as one of the most sought-after mushrooms for Holland & Barrett customers, says Niamh, adding that Reishi is another customer favourite. It is, “showing promise for immune support, with one study (Chen et al 2023) suggesting regular supplementation may enhance immune markers such as white blood cells and antibodies”.

The fact that Lion’s Mane has been adapted into such a wide range of formats – including creamy functional coffees, sodas and gummies – has a lot to do with its success.

“There is growing demand for alternative, plant-based ingredients,” says Elliot Webb, founder of Urban Farm-It, which offers a farm-to-door supply service for retailers of its organic fresh or dried mushrooms. “Lion’s Mane, in particular, offers something unique and exciting for consumers who are looking to explore new flavours and textures. The UK market has not had access to locally grown gourmet mushrooms, with a high percentage being imported. We are proving that locally grown produce, especially Lion’s Mane, has huge consumer demand – they just couldn’t access it before, because no one was doing it!”

For farm shops who think functional products are a bit too ‘out there’ for their shoppers, adding fresh Lion’s Mane mushrooms to their vegetable selection could be a way to dip their toes into the trend, Elliot thinks. Perhaps bring in a local chef to demonstrate the myriad ways the ingredient can be incorporated into everyday cooking. “It has a unique texture and rich flavour, making it a great plant-based alternative to seafood or meat.” Its soft, tender consistency, he continues, makes it delicious when grilled, pan-fried or added to soups, stir fries and pasta dishes. 

Why should retailers be including functional mushroom products in their listings?

“We believe the mushroom market is still in its growth phase,” says Niamh. “As awareness grows and research develops, we expect mushrooms to become a staple in more wellness routines, with continued expansion, not just in consumer demand, but also in the variety and innovation of products available. We expect to see growth in this category via innovative formats like snacking, ready-to-drink beverages and powders.”

Silvia thinks retailers who don’t invest in functional foods such as mushrooms could miss out on one of the market’s biggest trends – and the sales boost it could bring. “Demand is very high,” she says, with Dom agreeing it’s a fast-growing category, appealing to a wide audience, from athletes, to wellness seekers.

It’s not just a passing trend, adds Darwin. “It’s a shift in consumer preferences that’s here to stay. As more people become health-conscious and seek alternatives, we are likely to see them grow. Black Sheep Coffee, for instance, is the first UK coffee shop chain to offer a Lion’s Mane Mushroom Coffee, which is truly forward-thinking. They offer something unique -  a blend of taste and potential benefits that aligns with the growing demand for mindful, functional products.” This is an opportunity, Darwin thinks, to cater for a more informed audience.

How to choose the best quality functional mushroom products

The quality of functional mushrooms comes down to strength and provenance, says Tom. Unlike many other brands, The Bristol Fungarium tests its products, despite there being no requirement to do so – something he thinks needs to change, as the efficacy of some products is questionable due to there being little active compounds within them. He anecdotally cites a study where only a quarter of the functional mushroom products tested contained the Reishi they promised. “So, people were just buying a brown powder!” The only test that is a must in the UK is for heavy metals. And that leads Tom onto the subject of provenance.

“If you’re interested in decent quality food, you want to know where your products started life.” Many functional mushroom products originate in China where, he reflects, there’s a lot of heavy metal pollution. “The reality of the geology of China is it has more heavy metals in the soil,” he explains. “If you chuck pollution on top of whatever we see in the lab results with Chinese products, the majority of them have every heavy metal in them. In small amounts – but every one is there. Whenever ours is tested, there’s zero.”

There are exceptional mushroom products to be sourced from China, Tom adds, it’s just that the testing doesn’t exist to separate the good from the bad. “There’s actually a reason to be interested in the provenance of what you’re buying here. There are differences.” European-grown mushrooms, he adds, contain fewer heavy metals.

Will you be adding functional mushrooms to your listings this year? Those in the know will certainly have them on their radar.