The global medicated confectionery market is growing at a CAGR of 3.8% during the forecast period (2020-2025).
- The market is mainly driven by the rising consumer preference towards a healthy lifestyle coupled with a shift in consumer taste preference and rising spending on confectionery products. Also, increasing prevalence of cough, cold, throat irritation and others remedy in the form of functional confectionery over the last few years. In addition, investments made by various industries High product innovation by the leading players such as sugar-free and organic chocolates are further contributing to the growth of the global market. In addition, frequent product launches play a vital role in the growth of the market. For instance, in April 2017, Mondelēz International, owner of a popular medicated confectionery brand Halls launched Halls XS Honey Lemon, a new flavor to reinforce its Halls XS variant’s presence in Singapore.
- However, the decreased availability of the sugar substitutes and development of artificial sweeteners have shifted preferences of consumers towards artificial sweeteners and is thus restraining the market.
Key Market Trends
Increasing Demand For Fortified/functional Confectionery
Demand for fortified/functional confectionery products has been witnessed with an increasing trend owing to the demand for the presence of active ingredients such as antacids, vitamins, and herbal extracts that are used to prevent maladies. Herbal confectioneries, which include ingredients such as guarana, ginsengs impart energy while extracts, such as green tea, superfruits provide antioxidants that boost immune is gaining attraction due to natural and organic nature and its health claim. Also, rising seasonal allergic rhinitis – hay fever, is responsible for 400 million people falling sick, globally, and about 40-60 million Americans suffering from the disease, which can be cured with these methods are on high demand.
Asia Pacific to drive the global medicated confectionery market
China dominates the medicated confectionery market in Asia-Pacific, which is followed by Japan. Asia-Pacific medicated confectionery market size is growing at a faster rate. Increased demand for herbal infused products due to its health benefit is driving the market. Medicated confectionery has high demand mainly during winters due to the increased influence of cold and cough. Despite the economic slowdown on consumer goods in China, medicated confectionery has performed well. Also, with the increasing internet penetration, the online market for the purchase of confectionery products including medicated confectionery has seen rapid growth globally in the last 3-4 years. This category has attracted a few vertical specialists like Amazon, Walmart, Carrefour, etc. who are riding on increasing e-retailing growth and vying for a significant pie in online market space.
The global market for medicated confectionery is fragmented, owing to the presence of domestic players in different countries. Emphasis is given on the merger, expansion, acquisition, and partnership of the companies along with new product development as strategic approaches adopted by the leading companies to boost their brand presence among consumers. For instance, in September 2017, Baker Perkins, a company that supplies confectionery equipment to confectionery companies developed new technology for the functional and medicated confectionery sector in the form of ServoForm Mini. It has easier and palatable methods to develop gummy, jellies, lollipop, and hard candies format for vitamins, minerals, and supplements. With this machine, the company can increase its production capacity from 200 to 2000 Kg per hour without changing the process.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- Report customization as per the client's requirements
- 3 months of analyst support