Confectionery Market Size, Share, Segmentation, Trends, Growth Opportunities, and Forecast 2030

Global Confectionery Market- Industry Prospective:

The global confectionery market was worth around USD 187.9 billion in 2021 and is estimated to grow to about USD 240.4 billion by 2028, with a compound annual growth rate (CAGR) of approximately 3.5 percent over the forecast period. The report analyzes the confectionery market’s drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the confectionery market.

Global Confectionery Market: Overview

Foods high in sugar and carbs are referred to as confections. Chocolates, biscuits, bars, candies, mints, and other confections are among the items available. The behaviors, interests, and preferences of consumers are always changing. This has resulted in confectionary innovation, which is driving market expansion. To fulfill evolving customer preferences, manufacturers are expanding their product variety by integrating tropical fruit, organic herbal fillings, functional ingredients, and nut-based & exotic tastes in product formulations. Furthermore, in recent years, the practice of giving confectionery products such as chocolates, cookies, bakery items, and others has aided market expansion. Confectionery items are heavily purchased, thus brands are continuously developing novel engaging strategies to attract consumer attention.

COVID-19 Impact:

The COVID-19 pandemic has had a significant impact on the confectionery industry. During FY 2020, the strict rules and lockdown had repercussions on the confectionery industry, causing differential impacts on the supply of raw materials such as food ingredients, agricultural produce, and intermediate food products. The impact also resulted in disruption in trade & logistics, demand-supply uncertainty, iffy consumer demand, and availability of workforce at the industrial scale. Further, the sales declines as a consequence of diminished gifting and impulse spending among customers throughout the world were one of the primary issues that affected the confectionery Processing business during the shutdown.

Confectionery Market: Growth Drivers

Rise in demand for organic chocolate is boosting the growth of the market

Healthier snacking, coupled with simplicity and flavor, is a growing trend among buyers, and firms are responding with a big plan to cater to the increasing demand for healthier snacks. As a result, confectionery businesses are developing packaging that allows consumers to eat tiny quantities and save the remainder for later. Snack bars are also widely considered as a healthy alternative to chocolate or confectionery, and they have a strong image as a treat owing to product variety in terms of varied nutrients, such as proteins. For example, Mars Inc. launched "Goodness Knows," a new low-chocolate and low-calorie bar that is the first low-calorie bar in 20 years. Thus, all these factors coupled with the rise in the export of organic chocolates are fostering market growth. In addition to this, the growing trend of gifting confectionery products, rise in the retail market, online distribution channels, rising disposable income, and hectic lifestyle are also some of the key factors that are propelling the market growth.

Confectionery Market: Restraints

Raw material price fluctuations can affect market growth

Sugar and cocoa are two fundamental raw ingredients used in the production of confectioneries all over the world. Cocoa and sugar prices have fluctuated in recent years due to rapid changes in production and demand in the worldwide marketplace. Unfavorable weather conditions, labor availability, stock ratios, crop diseases, and other economic issues all impact cocoa and sugar yields, interfering with the seamless functioning of need and supply in the market. As a result, the average yearly price of raw materials ranges from low to high, resulting in excess or understock in the market for sugar and chocolate goods. As a result, raw material price changes are projected to impact overall demand in the future years.

Global Confectionery Market: Opportunities

Rise in sugar-free confectionery popularity in developed economies to fuel the market growth

Low-calorie items, including sugar-free confectionaries, are likely to drive the global confectionery market's modest rise throughout the forecast period. High sugar consumption is also a matter of concern across the world since it has been related to a variety of health issues. When it comes to sweets, many individuals opt for sugar-free products to avoid ingesting too much sugar. Artificial sweeteners and sugar alcohols are the most common sweeteners used in the production of sugar-free chocolate and gums. For example, Hershey, the largest chocolate company in the United States, offers sugar-free versions of popular brands like Hershey and Reese's that employ polyglucitol and maltitol instead of sugar. Thus, the growing inclination of the consumers towards a healthy lifestyle has led to the growing demand for sugar-free confectionery. Hence, sugar minimizing movement in the new products by the manufacturers may generate ample opportunities for market growth during the forecast period.

To know more about this report, request a FREE sample copy.

Report Scope:

Confectionery Market: Challenges.

Traceability and need for flexibility in supply chain challenges the market expansion

The capacity to trace any foodstuff through all phases of the food chain is a critical component of both administration and information. Each stakeholder in the supply chain, from farmer and breeder to manufacturer, distributor, and retailer, must be able to trace goods movements back and forth. Each instance should take one stride forward and one step back. This should include the ability to identify the source of all dietary inputs in order to take remedial actions appropriately and safely. In addition to this, product lifecycles are smaller than they were previously. There is a trend toward ongoing product innovation and package modifications to promote products. As the number of product changes rises, so does the number of portfolio changes. Inventory levels are low, and fast-moving consumer products are moving at a quicker rate than ever before. To manage this, flexibility in the supply chain is required which serves as a major challenge to the market growth along with the traceability factor.

Confectionery Market: Segmentation

The global confectionery market is segmented as product type, price point, age group, distribution channel, and region. By product type, the market is bifurcated into mints, hard-boiled sweets, gums & jellies, caramels & toffees, chocolate, fine bakery wares, medicated confectionery, and others. Based on age group, the market is categorized into adults, children, and geriatric. The price point segment of the market is divided into luxury, mid-range, and economy. The distribution channel of the market is segmented as convenience stores, supermarket/hypermarkets, food services, pharmaceutical & drug stores, e-commerce, duty-free outlets, and others.

Recent Developments

• In March 2022, Chewters Chocolates, a Canadian confectionery company, has made a significant investment in cutting-edge product inspection technology to improve its packaging line competency to "world-class standards”.
• In March 2022, Pharmactive Biotech Products, located in Madrid, has entered the gummies flavor market with Aged Black Garlic+ (ABG+), which they describe as a sweet,' social' taste that is odor-free and so perfect for functional gummies.

Confectionery Market: Regional Landscape

Europe to account for the highest market share during forecast period

In 2021, Europe accounted for the largest portion of the global confectionery market, with over 35 percent of the share. Due to their expanded taste preferences and permissive eating habits, people are increasingly seeking quality and premium chocolates over sugar confectionery goods. One of the primary causes that are becoming important motivators to eat confectioneries in their daily routine is the mix of work-life, health concerns, and individual wishes among consumers. Consumers are requesting specialized and personalized chocolates in the market, such as "melt-in-the-mouth" feel chocolate, "quality-for-chocolate," and others, resulting in increased confectionery sales in the region. In several European nations, including Germany, Austria, and United Kingdom it is the most popular snack. Asia Pacific is the world's second-largest and rapidly growing confectionery market, with enormous potential for chocolate product consumption. The rise of the regional market is mostly due to rapid urbanization, rising disposable income, a youthful & dynamic population, and the simple availability of confectioneries in consumer packs.

Global Confectionery Market: Competitive Landscape

Major players functioning in the global confectionery market include Nestlé S.A., Mars Inc., Ferrero Group, Mondelez International, Inc., Meiji Co., Ltd., Chocoladefabriken Lindt & Sprüngli AG, The Hershey Company, Ezaki Glico Co., Ltd., Pladis, and Haribo GmbH & Co. K.G.

The global confectionery market is segmented as follows:

By Age Group

• Children
• Adult
• Geriatric

By Product Type

• Hard-boiled Sweets
• Mints
• Gums & Jellies
• Chocolate
• Caramels and Toffees
• Medicated Confectionery
• Fine Bakery Wares
• Others

By Distribution Channel

• Supermarket/Hypermarket
• Convenience Stores
• Pharmaceutical & Drug Stores
• Food Services
• Duty-free Outlets
• E-commerce
• Others

By Price Point

• Economy
• Mid-Range
• Luxury

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa