Sugar-Free Gummies Market Research Report - Forecast till 2030

Sugar-Free Gummies Market Research Report: Information by Type (Gummy Bears, Gummy Worms, Gummy Cherries, Gummy Rings and others), End-User (Children and Adults), Distribution Channel (Store-Based [Supermarkets & Hypermarkets, Convenience Stores and others] and Non-Store-Based) and Region (North America, Europe, Asia-Pacific and Rest of the World) - Forecast till 2030

ID: MRFR/F-B & N/7041-HCR | February 2021 | Region: Global | 111 pages         

Sugar-Free Gummies Market

Sugar-Free Gummies Market is expected to grow at a 6.90% CAGR and to reach USD 6.85 billion by 2030. 

Segmentation

By Type Gummy Bears Gummy Worms Gummy Cherries Gummy Rings others
By End-User Children Adults
By Distribution Channel Store-Based Non-Store-Based

Key Players

  • Ferrero S.p.A.-Trolli Brach's (Italy)
  • Church & Dwight Co. Inc.-Vitafusion (US)
  • Mondel─ôz International Inc.-Sour Patch (US)
  • Jelly Belly Candy Company-Jelly Belly (US)
  • Specialty Food Association Inc.-Candypeople (US)
  • August Storck KG-nimm2 (Germany)
  • Diamond CBD-Relax (US)
  • MBTKSA-Tropicana Slim (Saudi Arabia)
  • Mederer GmbH (Germany)
  • Albanese Confectionery Group Inc. (US)
  • Haribo of America Inc. (US)
  • Just Brands-JustCBD (US)
  • Katjes Fassin GmbH + Co. KG (Germany)
  • The Gummies Co (US)
  • Strictly CBD (US)

Drivers

  • Increasing demand for confectionery products
  • Product availability in online and offline retail stores
  • Increasing popularity organic gummies
  • Availability of various flavors
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Sugar-Free Gummies Market overview


The global sugar-free gummies market growth rate is projected to be 6.90% until 2030. The global sugar-free gummies market value should be USD 6.85 billion by 2030.


Sugar-free gummies are made using artificial sweeteners like Stevia, aspartame, neotame, etc...Since the sweeteners are lower in calories, it follows that the sugar-free gummies are also lower in calories. It’s this lower calorie content that’s making it popular among the global masses.


 


COVID-19


COVID-19 can be considered to be the post-modern world’s Black Death. While not nearly as catastrophic or deadly as Yesenia Persetis was in the 14th century, COVID-19 has claimed more than a few lives and wreaked havoc on the world’s political and economic systems.


Governments realized the dangers that COVID-19 posed to the world early on. That’s why they attempted to control its spread by imposing mandatory quarantines and lockdowns early last year. While these were temporary in nature, the effects that they had on most businesses around the world were definitely not. Most businesses were forced to either dramatically scale back production or temporarily halt operations in response to the lower demand for their brands.


Well, the companies in the global sugar-free gummies market managed to ‘buck the trend!’ Manufacturers faced no shortages of the sugar or the artificial sweeteners that they needed to make these gummies. Therefore, demand for these sugar-free gummies actually soared as people sought to make the most of staying in more often.


 


Market dynamics


Drivers


The world is becoming more health-conscious. People around the world are watching their weight. Part of this involves counting calories. Therefore, people are gravitating towards sugar-free gummies because they perceive these to be lower-calorie food that will not allow them to gain much weight. This is one of the key drivers of growth in the global sugar-free gummies market.


Kids, especially, are buying sugar-free gummies more often. In fact, their purchases accounted for USD 12.5 billion in global sales in 2018.


 


Opportunities


Various companies in the global sugar-free gummies market are noticing that more people want to buy these candies. They are responding by investing heavily in research and development. The result has been the development of organic sugar-free gummy candies and sugar-free gummy candies that come in a variety of flavors, shapes, and colors.


These companies are also expanding their product offerings. They’re introducing sugar-free dragees, fudge candies, candies, gums, peppermint drops, toffees, etc…


 


Restraints


What’s holding growth in the global sugar-free gummies market back is the fact that these candies tend to be much more expensive than their sugary counterparts. Additionally, there are many lower-priced substitutes that are equally satisfying available on the market.


 


Challenges


Perhaps the greatest challenge that companies in the global sugar-free gummies market face lie in innovation and marketing their brands at reasonable price points. These companies will have to market a wider variety of sugar-free confectionaries, but they will have to do this while keeping price points stable. This will make them affordable for most people around the world!


 


Cumulative growth analysis


The global sugar-free gummies market growth rate is projected to be 7.1% until 2025. The global market value should be USD 5.5 billion by 2025.


 


Technology analysis


Mondelez International Inc is a major American player in the global sugar-free gummies market. It’s an industry leader because it invested heavily in research and development. Thus, it was able to develop a wider range of healthier candies. Mondelez was able to tap into the market of health-conscious people. Hence, the company was able to build a sustainable competitive advantage.


 


Segment overview


By type


This segment can be grouped into the following sub-segments:



  • Gummy bears

  • Gummy worms

  • Gummy cherries

  • Gummy rings


The sub-segment that has the largest sugar-free gummies market share is the gummy bears. It’s also expected to record the highest CAGR for the time period that this report covers. Kids love to eat gummy bears, especially if they’re sugar-free. They also love the fact that these manufacturers sell these types of gummy bears. Some major sugar-free gummy bear manufacturers include:



  • Haribo of America

  • Jelly Belly Candy Company

  • Albanese Confectionery Group Inc


The sub-segment that has a substantial sugar-free gummies market share as well is the sugar-free gummy worms. They also come in a variety of colors, shapes, and sizes. However, what makes them especially appealing to the young is the colorful packaging that they are sold in.


Gummy cherries come in two colors:  red and green. They are shaped like two cherries that are stuck together. Both adults and kids love this type of sugar-free gummies.


Gummy rings are fruit-flavored gelatin candies. They come in a variety of flavors. Some of these include watermelon, blueberry, raspberry, and orange. Most gummy ring manufacturers also market organic gummy rings.


 


By end-user


This segment can be grouped into the following sub-segments:



  • Kids

  • Adults


Kids are the main consumers of sugar-free gummies. They are expected to have the highest CAGR in this segment for the time period that this report covers. Manufacturers know this and that’s why they package their candies in colorful packaging that’s eye-catching. They also make these gummies in a variety of flavors.


Adults love sugar-free gummies. This sub-segment is also growing fast. The adults who love to eat sugar-free gummies are diabetic ones. They find that they can satiate their sugar cravings without experiencing dangerous spikes in blood sugar levels.


 


By distribution channel


This segment can be grouped into the following sub-segments:



  • Store-based

  • Non-store based


The store-based sub-segment has the largest market share. Many supermarkets, hypermarkets, and convenience stores sell sugar-free gummies. Most people buy their sugar-free gummies in stores.


COVID-19 turned the world upside-down last year. It also made peoples’ lives much more hectic. People turned to e-commerce portals to do much more shopping and this trend is here to stay. Hence, sales of sugar-free gummies online have been increasing dramatically.


 


By region


The global sugar-free gummy market can be broken down into the following regions:



  • North America

  • The European  Union

  • Asia-Pacific

  • The Rest of the World


The North American region has the largest market share. Obesity is a national epidemic in North America and this is why people are gravitating towards eating sugar-free foods. These are perceived to be foods that help with weight loss.


The retail sector is growing rapidly in North America and this is spurring growth in the sugar-free gummies market.


People throughout the European Union want to eat healthily. They are buying many more sugar-free gummies because they think that it’s healthier food. Many European companies are responding by marketing sugar-free gummies.


The Asia-Pacific region has the highest sugar-free gummies market growth rate for the time period that this report covers. People are growing wealthier throughout the Asia-Pacific region and the middle classes are exploding. Candies are popular in many Asian nations and e-commerce is taking off in this region.


Diabetes is also becoming more of a problem throughout the Asia-Pacific region and this is driving demand for sugar-free gummies.


Ecommerce is taking off throughout the rest of the world. Additionally, distribution networks are becoming more sophisticated and people are wanting to eat candies that they perceive to be healthier. All of these factors are driving sugar-free gummies market growth throughout the rest of the world.


 


Regional analysis


See Market segmentation region explanation.


 


Competitive landscape


The global sugar-free gummies market is highly competitive. It’s also fragmented due to the  high concentration of companies in the industry. The market is fairly lucrative and has a respectable CAGR for the near term. There are also a few barriers to entry into the industry.


Companies are finding that they can remain competitive only if they invest heavily in research and development. That’s the only way that they can develop the innovative products that will allow them to create the sustainable competitive advantage that they need to remain financially viable.


Companies are also finding that they can remain competitive if they enter into strategic partnerships with or merge with/acquire other successful companies in the industry.


Mederer GmBH is a successful Geman company. It is an industry leader because it invested heavily in research and development. Thus, it was able to develop and market those products that gave it the sustainable competitive advantage that it needed to remain financially viable.


 


List of companies



  • Ferrero S.p.A.-Trolli, Brach's (Italy)

  • Church & Dwight Co. Inc.-Vitafusion (US)

  • Mondel─ôz International, Inc.-Sour Patch (US)

  • Jelly Belly Candy Company-Jelly Belly (US)

  • Specialty Food Association, Inc.-Candypeople (US)

  • August Storck KG-nimm2 (Germany)

  • Diamond CBD-Relax (US)

  • MBTKSA-Tropicana Slim (Saudi Arabia)

  • Mederer GmbH (Germany)

  • Albanese Confectionery Group Inc. (US)

  • Haribo of America, Inc. (US)

  • Just Brands-JustCBD (US)

  • Katjes Fassin GmbH + Co. KG (Germany)

  • The Gummies Co (US)

  • Strictly CBD (US)


 


Recent developments



  • Haribo recently launched a new line of sea-shaped sugar-free gummies in many European nations.

  • Many candy manufacturers have been investing heavily in the global sugar-free gummies market


 


Report overview


The global sugar-free gummies market growth rate is projected to be 7.1% until 2025. The global market value should be USD 5.5 billion by 2025.


Kids are by far the most prolific consumers of sugar-free gummies. The desire for people to eat healthier is driving market growth throughout the world. However, these gummies tend to be more expensive and there are lots of lower-priced substitutes available on the market.



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Frequently Asked Questions (FAQ) :

Sugar-free gummies market is projected to grow at a 6.90% CAGR between 2020-2030.

North America is expected to dominate the sugar-free gummies market.

Sugar-free gummies market is predicted to touch USD 6.85 billion by 2030.

Children segment will lead the sugar-free gummies market.

Gummy bears will dominate the sugar-free gummies market.