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Top 3 Factors Driving Global Alternative Sweetener Market

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Published on : May 19, 2016

The increasing demand for natural sugar substitutes and the increasing sugar prices are amongst the prime factors fuelling the growth of the alternative sweetener market. In addition, the increasing demand for low-calorie healthy food products will also augment the growth of the market. Apart from the above factors, the other prime factors fuelling the growth of the market have been elaborated as under: 

  • Shifting Demand for Natural Alternative Sweeteners: In addition to the shift towards alternative sweeteners, the consumers are also attracted towards natural ingredients in place of synthetic sweeteners. Thus, the consumers looking to satiate their sweet cravings will emphasize on natural ingredients. Presently, natural sweeteners including stevia hold a very small share of the market. Although, market leaders such as PepsiCo and Coca-Cola have been shifting their focus towards stevia. The latter launched Coca-Cola Life having sugar-stevia blend, while the former introduced PepsiCo launched its drink Pepsi True.
  • Soaring Prices and Volatile Production of Sugar Pressurizing Companies to Emphasize on Alternatives: Owing to a number of calamities such as droughts within Brazil, etc., the sugar production has been highly hampered. In addition, the appreciation of the U.S. dollar has also lowered the prices of sugar. Thus, high preference has been given to sugar alternatives to make up for the volatility in the sugar production and prices
  • Obese and Diabetic Population, Key Drivers for Market Growth: There has been an exponential growth in the obese population globally. In a similar way, approximately 1.5 mn deaths have been caused due to diabetes as per 2012, as per the WHO. This is why a number of healthcare professionals have been making people conscious on these two diseases. As a result, consumers globally are now making an effort to opt for healthier options and are also eliminating the excess sugar from their diets. This has in turn increased the demand for alternative sweeteners. Thus, alternative sweeteners have become a key part of the low-calorie food market. 

The alternative sweetener market in North America is presently the largest market and the growth of the global market is dependent on the rise of these sugar substitutes in other densely populated markets.

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