The Global Sugar Confectionery market is set to grow at a 4.03% CAGR, driven by rising disposable incomes and population growth in emerging countries.
The report identifies and discusses recent developments in sugar confectioneries across the globe. This report not only provides the facts, figures, and forecasts but also has a detailed study about the COVID effect on the industry. As the name suggests, this sweet-tasting item is loved by all age groups across the globe. The market has been growing at a steady pace on account of the high demand from middle-class consumers. This market is divided into different product types such as Hard Boiled Sweets, Plain Mints, Caramel/Toffee, Chewy, Novelty, Licorice, Sugar-free, and Others; Children, Adults & Geriatric, in terms of age group; based on sales channel: Supermarket/Hypermarket, Convenience Stores, Pharmaceutical & Drug Stores, E-commerce & Others; and by region & country. The rising popularity of these sugar-filled confectioneries is popular among all age groups owing to their pleasant taste and plethora of different flavours. Additionally, the rising gifting trend to loved ones on special occasions is further boosting the demand. The downside to this is the growing awareness of the health benefits of dark chocolate and stiff competition from local manufacturers. In response to this, the leading players came up with organic candies and natural-flavoured candies, which boosted the sugar confectionery market.
According to the research report "Global Sugar Confectionery Market Outlook, 2029" published by Bonafide Research, it is expected to grow at a CAGR of 4.03% over the forecast period. The major market drivers are the rise in disposable income and an increase in the population in emerging countries. With the changes in consumer preferences over time, the players have been actively involved in the introduction of different variants like low-calorie and fibre-rich. Also, there has been a significant increase in the investments directed towards the promotional activities, point of purchase advertising campaigns, and social media marketing, which has been an added advantage to the industry's growth. On the other hand, the increased health focus along with the increasing incidences of diabetes at an early age is the major restricting factor for further growth. This has also led to an increased demand for sugar-free confectioneries without flavours getting distorted. The leading companies are focusing on improving their global position by enhancing their product lines and through mergers and acquisitions. Understanding the changes in lifestyles, companies are now innovating and introducing new products to cater to the customers' growing needs.
Asia-Pacific dominates the market and is the largest and fastest-growing market in the animal growth promoters industry globally
Download SampleMarket Drivers
Innovation in Product Development: Continuous innovation in flavors, shapes, and packaging drives consumer interest and expands market opportunities. Companies innovate with new ingredients, natural flavors, and functional benefits (e.g., sugar-free, fortified with vitamins) to cater to changing consumer preferences and health concerns.
Market Challenges
Health and Wellness Concerns: Rising awareness of health issues related to excessive sugar consumption poses a challenge to traditional sugar confectionery products. Regulatory pressures and consumer demand for healthier alternatives drive manufacturers to innovate with reduced sugar, natural sweeteners, and healthier formulations.
Supply Chain and Sustainability Issues: Ensuring a stable supply of raw materials like sugar, cocoa, and natural flavors amidst fluctuating prices and environmental challenges (e.g., climate change, land use) presents logistical and cost challenges. Increasing consumer awareness of sustainability issues drives demand for ethically sourced ingredients and environmentally friendly packaging.
Market Trends
Premiumization and Artisanal Products: Growing demand for premium and artisanal sugar confectionery products that offer unique flavors, high-quality ingredients, and superior sensory experiences. Consumers are willing to pay a premium for products that are perceived as gourmet, handmade, or crafted with care.
Digitalization and E-Commerce: Expansion of e-commerce platforms facilitates easier access to a wide range of sugar confectionery products globally. Digital marketing and online sales strategies enhance consumer engagement, product visibility, and market penetration, particularly among younger demographics.
Chewy gum is leading in the sugar confectionery market primarily due to its enduring popularity among consumers of all ages.
Based on the product type, the chewy confectionery segment is highly common and will lead the sugar confectionery market in 2023. Without a doubt, diabetes is one of the fastest-growing health challenges of the 21st century, which is also a root cause of different health issues. Through the forecasted period, the sugar-free segment is expected to grow at an anticipated growth rate of 9.63%. The 20-55 age groups lead the market in terms of age group. This is to revive old memories, and they have more power to spend. Globally, this segment has been showing a marginal incline over the period and is also expected to be the fastest-growing segment in the forecasted period. Following this, the geriatric age group segment showed a considerable incline in the market in the historic period. Caramel and toffee candies are known for their chewy texture and rich, buttery flavor. They often include variations like caramel-filled chocolates or caramel-coated nuts, appealing to those who enjoy sweet, creamy treats. Soft, fluffy marshmallows are typically enjoyed on their own or as an ingredient in desserts like s'mores or hot chocolate. They come in different shapes, colors, and flavors, offering a light and airy confectionery option. These products are primarily designed to freshen breath and are available in various forms such as mints, breath strips, and lozenges. They often feature strong mint flavors and sugar-free options for dental health-conscious consumers.
Supermarkets and hypermarkets lead because they offer a wide range of confectionery products, including various brands and flavors, in a convenient shopping environment.
The market is dominated by the convenience store segment by sales channel. The toffees, candies, and lollipops are placed near the billing counter, which leads to impulsive buying by consumers. The attractive packaging and the bulk buying that saves costs further propel the buying needs. Followed by this, was the supermarket/hypermarket segment, which triggers the impulsive purchase decision of the customer through strategic placement. E-commerce platforms have become increasingly popular for purchasing sugar confectionery. They offer convenience, extensive product ranges, and the ability to compare prices and read reviews, attracting a broad range of consumers. Specialty Stores include candy shops, gourmet food stores, and specialty confectionery stores that focus specifically on offering high-quality and unique sugar confectionery products. They cater to consumers seeking premium and artisanal options. However, through the forecasted period, the e-commerce sales channel is expected to gain popularity given the number of internet portals coming up. The segment is expected to be growing at an anticipated CAGR of 8.36%, backed by the growing preference for discounts.
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North America leads in the sugar confectionery market is its substantial consumer demand driven by cultural preferences and high disposable incomes, fostering a thriving market environment for a wide range of confectionery products.
North America leads the sugar confectionery market, with the US as the leading country. Retail growth drives the demand in the European sugar confectionery market. In the Asia-Pacific region, it is driven by the rising population and disposable incomes coupled with their traditional customs of eating sweets on every occasion. Retail and e-commerce sales are increasing, with major market players emphasising campaigns to drive market growth even further. The pandemic moderately affected the sugar confectionery market due to declining demand for snacks and sweets. Various manufacturing and industrial trade restrictions hampered the sugar confectionery industry's production and demand. However, the rising inclination and willingness of consumers to spend more on food items to relieve stress over the counter helped spur marginal growth in sugar confectionery.
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