Artificial Sweetener Market to Hit the US$ 19 Billion Mark by 2026
Heightened concerns about health and fitness are coercing consumers into spurning sugar and high-calorie food products, which opened a new window of opportunities for artificial sweeteners. In 2018, the global market for artificial sweeteners was valued at over US$ 13 billion, and with the rapidly expanding health-conscious consumer base, their demand is expected to increase at a health rate in the coming years. Stakeholders in the food & beverage industry are leveraging the positive consumer perception of artificial sweeteners. Furthermore, the US FDA has also approved five artificial sweeteners for production, which include saccharine, Acesulfame, Aspartame, Sucralose, and Neotame. This is expected to drive a considerable shift from sugar to artificial sweeteners in the food industry, ultimately pushing the market to surpass a valuation of US$ 19 billion by 2026.
Key Factors Shaping Artificial Sweeteners Market
Artificial Sweeteners to Aid Water Pollution Management
Artificial sweeteners are found in several products that help in maintaining sufficient calorie intake. Such products range from yogurt to diet soda. However, artificial sweeteners also have applications beyond maintenance of human health.
- Sucralose, a type of artificial sweetener, is largely used as a tracer in water pollution management as it does not easily degrade. It has a major role in identifying pollution hot spots as well as possible source of contamination, which assists in management of pollution levels. This ability is essential to maintain and regulate the quality of water, including potable and surface water.
Increasing Usage in Food & Beverage Industry to Propel Growth
Artificial sweeteners have almost replaced sugar in the beverage segment, specifically in carbonated beverages. Properties of artificial sweeteners such as natural profile and clean label are driving the artificial sweeteners market. Additionally, in soft drinks, the quantity of sugar used is reduced without affecting appearance and taste, which enables manufacturers in the beverage industry to replace sugar with artificial sweeteners. Artificial sweeteners are widely used in bakery, confectionery, and dairy products. As usage of artificial sweeteners reduces production costs and leads to better economy of scale, the artificial sweeteners market is expected gain momentum through the forecast period of 2019-2026.
Diabetic Patients Show Preference for Artificial Sweeteners
In 2016, the incidence of obesity among adults in the U.S. was nearly 40%, according to the CDC. This means that more than 93 million adults were living with obesity. Consumers with obesity suffer from high levels of diabetes, cholesterol, blood pressure, and risk of heart diseases. Management of obesity requires strict dietary changes. More than 30 million people in the U.S., accounting for an astonishing 9.4% of the country‘s population, had diabetes in 2015, according to the National Diabetes Statistics Report, published in 2019 by Centers for Disease Control and Prevention. Type 2 diabetes is the most common form. Health-conscious consumers prefer sugar-free, fat-free, and gluten-free products as a preventive measure against these diseases. Additionally, rise in consumption of artificial sweeteners by diabetes-inflicted consumers is anticipated to boost demand for artificial sweeteners.
- Strategic Marketing to Play Key Role in Boosting Sales
Consumers hold a great deal of admiration and respect for actors, sports players, and famous individuals from various fields. These celebrities endorse various artificial sweetener brands. As a result, individuals easily trust these brands and are persuaded to buy these products. This imitation of influential personalities largely drives sales and bolsters artificial sweeteners market revenue.
- Sugar free, brand that is quite popular in the artificial sweetener market in India, is promoted by Parineeti Chopra and Sanjeev Kapoor, which boosts sales
Increasing Usage in Pharmaceutical Industry Anticipated to Boost Revenue
Sucralose is a commonly used artificial sweetener in the pharmaceutical industry. Liquid and chewable medications that are usually very unpleasant in taste are made easier to ingest with the addition of sucralose. Sucralose is affordable, does not leave an aftertaste, and can act as a preservative and antioxidant while it enhancing viscosity of liquid medications. As a result, sucralose is expected to grow rapidly in the product type segment with a CAGR of ~6% in the forecast period (2017-2026).
Artificial Sweeteners Market Structure Analysis
- The global artificial sweeteners market is fragmented on account of the presence of numerous local and regional players dominating the market.
- Key players operating in the artificial sweeteners market are increasing their presence in the global market through strategies like mergers, acquisitions, and alliances with local or medium-scale companies in the artificial sweeteners market. These players are also launching new products to cater to changing demands from consumers.
- Some of the major players in the artificial sweeteners market are Nestlé S.A., Tate & Lyle PLC, Wilmar International Limited, Ingredion Incorporated, E.I Dupont De Numours and Company, Cargill Inc., Associated British Foods Plc., Archer Daniels Midland Company, Ajinomoto Corporation Inc., Raizen S.A., and many others.
Food & Beverage Industry Gobbles 70% Revenue Share
Many nutrition studies and research decry the hazards of sugar and its contribution in prevalence of various lifestyle diseases have had a significant impact on the use of artificial sweeteners in the food & beverage industry. In 2018, artificial sweeteners worth US$ 9.5 billion were consumed by the global food & beverage industry, accounting for nearly 71% revenue share of the artificial sweeteners market. While stakeholders in the food & beverage industry remain the target customers for market players, pharmaceuticals industry is also expected to emerge as a preeminent consumer of artificial sweeteners in the coming years. Leading market players are expected to foray into the pharmaceuticals industry with innovative pharmaceutical sweetening agents to capture new growth opportunities in this landscape.
Asia Pacific excluding Japan Leads the Pack
Consumers’ awareness about the negative health effects of consuming sugar remains the linchpin of the regional market for artificial sweeteners, in both developing and developed economies. Yet, with a mounting number of consumers, especially the young population, making healthier food choices than ever, the demand for artificial sweeteners is significantly high in the Asia Pacific region excluding Japan (APEJ). The region accounts for more than one-fourth revenue share of the global market, and will continue to create profitable sales opportunities for artificial sweetener manufacturers in the coming years.
* This data is only a representation. Actual data may vary and will be available in report.
Aspartame Remains Sought-after
Aspartame is one of the most commonly used ingredient in artificial sweeteners, as it is much sweeter than sugar and thereby, more cost-efficient than any other artificial sweeteners. Furthermore, its use as a tabletop sweetener is boosting the direct sales of aspartame. Manufacturers in the artificial sweeteners market are also aiming to target pharmaceutical manufacturers to meet the increasing demand for aspartame as a flavouring and sweetening agent in medicines. However, ambiguities about the carcinogenic properties of aspartame may impact its demand in the coming years, which is likely to triggering market players to resort to newer ingredients of artificial sweeteners.
Aspartame is the most commonly used artificial sweetener
Demand for sucralose may pick pace in the coming years
Food & beverage remains the largest end user
Pharmaceuticals industry to create new opportunities
Beverages account for maximum consumption
Bakery goods emerge as a lucrative application
How Growth will Unfold
Consumers’ inclination towards diet drinks has been influencing the sales of artificial sweeteners as sweetening as well as flavouring agents in the beverage industry. Increasing sales ‘sugar-free’ soft drinks remains among the leading driving engines for the growth of the artificial sweeteners market in the beverage industry. However, their applications in baked goods and confectionery products are expected to encourage manufacturers to diversify their product range to suit the changing end user demands. By 2026, the consumption of artificial sweeteners in beverages and bakery goods are expected to hold equal revenue share of the global market.
* This data is only a representation. Actual data may vary and will be available in report.Click Here To Know How The Growth Will Unfold
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Artificial Sweeteners Market Analysis 2019 - 2026
A recent market study on artificial sweeteners market published by Future Market Insights offers global industry analysis for 2012 - 2018 & opportunity assessment for 2019 - 2026. The study offers a comprehensive assessment of the most important market dynamics. After conducting a thorough research on the historical, as well as current growth parameters of the artificial sweeteners market, relevant information on growth prospects of the market is obtained with maximum precision.
Artificial Sweeteners Market Taxonomy
The global artificial sweeteners market is segmented in detail to cover every aspect of the market and present complete market intelligence to readers.
- Acesulfame k
- Food and Beverages
- Direct Sales
- Other Applications
- Bakery Goods
- Sweet Spreads
- Confectionery and Chewing Gums
- Dairy Products
- North America
- Latin America
The executive summary of the report includes country analysis, proprietary wheel of fortune, demand-side and supply-side trends, and opportunity assessment. Also, It offers recommendations to help companies establish a solid foothold in the global artificial sweeteners market.
Readers can find a detailed segmentation of the overall artificial sweeteners market share in this chapter. This section also highlights the inclusions and exclusions, which will help readers understand the scope of the report.
Readers can find valuable information on the key segments within the market, besides relevant definitions in this chapter. The associated industry assessment is also carried out to study the artificial sweeteners market trends, market dynamics, trade analysis, and supply and value chain. Consumers’ perception on artificial sweeteners is explained in consumer survey analysis and social media sentiment analysis in this chapter.
This chapter studies the expansion of the artificial sweeteners market size across various segments. Based on product type, the market is segmented into aspartame, acesulfame k, saccharin, sucralose, and neotame. Based on end user, the artificial sweeteners market is segmented into food & beverage, pharmaceuticals, direct sales and other applications. Based on application, market is segmented into bakery goods, sweet spreads, confectionery and chewing gums, beverages, dairy products, and others. Based on region, the artificial sweeteners market is segmented into North America, Latin America, Europe, Asia Pacific, the Middle East and Africa, and Japan.
This chapter includes a detailed analysis of the growth exhibited by the North America market, along with a country-wise assessment that includes the U.S. and Canada. Readers can also find information on prevalent trends and regulations, in the North America market for artificial sweeteners.
Readers can find detailed information on prevailing trends that are impacting the growth of the Latin America artificial sweeteners market. Besides this, it includes results of pricing analysis. This chapter also examines the growth prospects of the artificial sweeteners market in LATAM countries such as Brazil, Mexico, Argentina, and the Rest of Latin America.
The chapter discusses various factors driving the market across Germany, France, Italy, Russia, the U.K., and the Rest of Europe.
This chapter includes a detailed analysis of the growth of the market in Asia Pacific, along with a country-wise assessment that includes China, India, Indonesia, Philippines, Australia & New Zealand, and the Rest of Asia Pacific. Readers can also find regional trends and regulations, affecting growth in countries across Asia Pacific.
This chapter provides information about how the market is anticipated to grow in major countries in the MEA region such as GCC Countries, South Africa, Turkey, and the Rest of MEA, during the forecast period 2019 - 2026.
This chapter includes a detailed analysis of the growth witnessed by the market in Japan. Readers can also find exclusive information on prevailing trends and regulations impacting the market’s growth in Japan.
In this chapter, readers can find detailed tier analysis and information on concentration of key players in the artificial sweeteners market along with their presence analysis by region and product portfolio. Readers can also find a comprehensive list of all leading stakeholders in the market, along with detailed information about each company, which includes the company overview, revenue shares, strategic overview, and recent company developments. Some of the market players featured in the report are Nestlé S.A., Tate & Lyle PLC, Wilmar International Limited, Ingredion Incorporated, E.I Dupont De Numours and Company, Cargill Inc., Associated British Foods Plc., Archer Daniels Midland Company, Ajinomoto Corporation Inc., and Raizen S.A.
This chapter includes a list of acronyms and assumptions that provide a base to the information and statistics included in the artificial sweeteners report.
This chapter is intended to help readers understand the research methodology followed to reach conclusions and derive important qualitative and quantitative information, about the artificial sweeteners market.
How the research was conducted?
- C - Level Executives
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- Current Market Dynamics and Challenges
- Market Characteristics
- Market Performance and Growth Quadrants
- Competition Structure and Market Structure
- Strategic Growth Initiatives
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- Market Segment Splits and Authenticity
- Opinions on Market Projections and Validity Of Assumptions
- Industry Publications
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- World Health Organization
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