Confectionery Market Insights | Evolving Consumer Preferences

1. Confectionery Market | Regional & Segment Analysis Report Overview: The global confectionery market is on a steady growth trajectory, expected to climb from approximately USD 287.4 billion in 2024 to aroundUSD 413.3 billion by 2034, registering a compound annual growth rate (CAGR) of 3.7%. The expansion is driven by several robust trends: rising disposable incomes in emerging regions, growing demand for indulgent treats, and an uptick in product innovation particularly in flavors, formats, and health-conscious ingredients. While traditional chocolate and sugar confectioneries remain dominant, newer segments like vegan chocolates, sugar-free candies, and premium artisan products are drawing consumer interest. However, recent challenges have influenced market dynamics. For instance, cocoa prices have surged due to supply constraints stemming from adverse weather and crop disease in West Africa, the world’s primary cocoa source. The spike in raw material costs is pressuring manufacturers, who are passing those costs on to consumers through higher shelf prices. Simultaneously, consumer behavior is adapting some are swapping out premium brands to more affordable ones or reducing purchase frequency. Despite these headwinds, the overall market tone remains optimistic, underpinned by the enduring appeal of confections as affordable luxuries that perform well even during economic slowdowns. Key Takeaways:  oIn 2024, the global Confectionery market was valued at USD 287.4 Billion oBy product type, the chocolate confectionery held a major market share of 44.4% in 2024 oBased on distribution channel, the supermarkets/hypermarkets distribution channel dominated the global Confectionery market with market share of 47.2% in 2024 oAmong the age group analysis, the 19 to 34 years segment has led the market in 2024 with 38.7% market share. oIn 2024, Europe dominated the global market with the highest revenue share of 39.2%.

2. Download Exclusive Sample Of This Premium Report: https://market.us/report/confectionery-market/free-sample/ Key Market Segments: Based on Product Type Chocolate Confectionery oDark oMilk oWhite Sugar Confectionery oBoiled Sweets oMints oLollipops oToffees, Caramels & Nougats oPastilles & Jellies oOthers Gum oChewing Gum oBubble Gum Based on Distribution Channel Supermarkets/Hypermarkets Convenience Stores Specialty Stores

3. Online Retail Others Based on age group Up to 18 Years 19 to 34 Years 35 to 44 Years Above 45 Years Drivers: One of the major forces propelling the growth of the confectionery market is the increasing disposable income among consumers in both developed and developing countries. With higher earnings, more people are indulging in treats that were once considered luxury or occasional buys. Urbanization is also playing a crucial role, as it brings global products into the hands of new consumers, introducing them to a wide variety of sweets, chocolates, gums, and specialty items. In addition, changing lifestyles have led to a greater demand for on-the-go snacks and comfort foods, where confectionery plays a prominent role. Cultural traditions and festivals also continue to fuel sales be it chocolates during Valentine’s Day, sweets during Diwali, or candies at Christmas. These seasonal peaks consistently contribute to revenue spikes across different regions. Opportunities: The confectionery market is full of opportunities that go beyond traditional chocolate and candy bars. One of the most promising areas is the health-conscious segment. As more consumers look for reduced-sugar, low-calorie, or all-natural sweets, brands have a chance to innovate with plant-based ingredients, natural sweeteners like stevia, and added-functional benefits such as vitamins or probiotics. These types of products not only address health concerns but also help brands stay relevant with changing dietary preferences. Vegan and allergen-free confections are gaining momentum, too, making treats accessible to those with specific lifestyle or health needs. Another big opportunity lies in premiumization—consumers are willing to pay more for artisan chocolates, organic sugar- based products, or ethically sourced ingredients with a compelling brand story. In addition, regional customization is opening doors in emerging markets. Brands can cater to local flavor preferences like saffron and rose in the Middle East, or chili and mango in Latin America to connect better with local consumers. E-commerce and direct-to-consumer models are also revolutionizing how confectionery is marketed and sold. Restraints: While the confectionery market remains strong, it is not without its challenges. One of the biggest risks currently affecting the industry is the volatility of raw material prices, especially

4. cocoa and sugar. Climate change, unpredictable rainfall patterns, and plant diseases especially in cocoa-producing nations in West Africa have led to severe supply shortages and price hikes. These cost pressures are being passed on to manufacturers and, ultimately, to consumers. High prices may lead some consumers to either reduce their confectionery consumption or switch to more affordable alternatives. This could especially affect the premium segment, where price sensitivity is lower, but not immune. Another risk is regulatory: many governments are taking a firmer stance on high-sugar and high-fat products, implementing stricter labeling laws, sugar taxes, and even advertising restrictions targeted at children. Changing consumer behavior is also posing a long-term risk. As more people grow aware of the negative health impacts of excessive sugar, especially among younger and middle-aged consumers, there’s growing scrutiny of confectionery’s nutritional profile. If brands fail to reformulate or reposition their products to meet these expectations, they risk losing market share. Trends: One of the most noticeable trends in the confectionery market is the growing shift toward health and wellness-focused products. Consumers today are more informed and conscious about what they eat, and this has pushed confectionery brands to rethink their ingredients and formulations. There’s a significant rise in demand for sugar-free, low-calorie, and organic products. Functional confections those that offer added benefits like vitamins, probiotics, or energy boosts are also gaining popularity. Vegan and plant-based treats are no longer niche but are moving into the mainstream, attracting consumers who follow dietary restrictions or simply prefer cleaner labels. Along with that, there's rising demand for allergen-free and gluten-free options to cater to sensitive consumers. This health-driven trend has changed the way brands position their products, shifting messaging from indulgence alone to guilt-free enjoyment and well-being. Another strong trend is the premiumization and personalization of confectionery. Consumers, especially millennials and Gen Z, are willing to spend more on experiences, even in small categories like candy and chocolate. This has led to the rise of artisan products, limited- edition flavors, exotic ingredient combinations, and high-end packaging. Gifting culture is also influencing this trend, with beautifully packaged sweets becoming popular presents for occasions like holidays, birthdays, or corporate events. Meanwhile, digital transformation is reshaping how people shop for and engage with confectionery. Brands are leveraging social media trends, influencer collaborations, and e- commerce platforms to launch customized bundles, subscription boxes, and even augmented reality packaging. These shifts show that confectionery is not just about taste anymore—it’s about experience, identity, and emotional connection with the product. Market Key Players: Mondelez International, Inc. Nestlé S.A. Ferrero International SpA

5. The Hershey Company Mars, Incorporated Meiji Co., Ltd. Chocoladefabriken Lindt & Sprüngli AG Pladis Global HARIBO GmbH & Co. KG Perfetti Van Melle Ezaki Glico Co., Ltd. Lotte Wellfood Co., Ltd. Barry Callebaut Group AUGUST STORCK KG General Mills Inc. Other Key Players. Conclusion: The outlook for the confectionery market remains upbeat. Despite short-term disruptions like soaring cocoa costs driven by West African production challenges long-term structural trends support continued expansion. Consumer interest in healthier options, premium experiences, and sustainable practices presents rich opportunities for brands willing to innovate. Yet, success will require a balanced strategy: managing raw-material volatility through supply chain resilience and hedging, adapting to evolving regulation and consumer health trends, and leveraging technology from crop to consumer. Companies that combine creative product development, ethical sourcing, and savvy digital engagement are best positioned to thrive in this dynamic landscape.