PORTLAND, Ore. -- Despite the buzz around better-for-you products, convenience-store customers are still looking to satisfy their indulgent cravings. Because of this and other cross-channel candy consumerism, the global confectionery market, which was valued at $184 billion in 2015, is projected to reach $232 billion by 2022.
According to Eswara Prasad, team lead of chemicals and materials at Allied Market Research, the firm behind the release of the new data, the growth could have been even better.
"Growth in health awareness and fluctuation in cost and availability of raw materials such as cocoa products are some of the factors that hinder the growth of the confectionery market," Prasad said in the report Confectionery Market by Type: Global Opportunity Analysis and Industry Forecast, 2014-2022. "The rise in demand for sugar-free, low-calorie and organic products boosts the market expansion."
Led by the chocolate segment, which dominated the market in 2015 with more than one-third revenue share, the global confectionery industry can credit several factors for the growth in revenue:
- Product innovation
- Rise in gifting trends
- Retail market expansion
- Strong marketing campaigns
- Economic growth
- The rise of disposable incomes
Manufacturers are diversifying their confectionery offerings with the addition of organic herbal fillings, exotic flavors and functional ingredients. Chocolate's growth is attributed to the introduction of organic ingredients, alcohol flavors, nuts like hazelnut and unusual fruits.
Other key findings include:
- Dark chocolate is expected to show the highest growth rate in the chocolate confectinery market with a compound annual growth rate (CAGR) of 4.3%.
- Mints are projected to grow with a CAGR of 3.6%.
- Europe and Asia-Pacific collectively contributed more than half of the share to the global confectionery market revenue in 2015.
Allied Market Research is a market research and business-consulting wing of Allied Analytics LLP based in Portland, Ore. It provides global enterprises as well as medium and small businesses with market research reports and business intelligence solutions.