According to Technavio, the sugar-free beverages and food market is expected to grow by USD 40.13 billion from 2022 to 2027 at a compound annual growth rate of 9.53 percent.
Consumer interest and knowledge of health and well-being have driven the market to expand, with natural derived sweeteners being a consumer preference, of which Stevia is a popular choice. Stevia is a popular sugar substitute due to its availability and low-calorie, naturally derived content.
Active compounds of Stevia are nearly 150 times sweeter than sugar but have a negligible effect on blood glucose levels. Due to the increasing demand for Stevia, manufacturers have focussed on launching new products containing these sugar substitutes.
The supermarket or hypermarket segment will be significant. Supermarkets and hypermarkets offer high product volumes, which gives them higher buying power and helps retail outlets implement competitive pricing strategies. This will enable consumers to buy sugar-free food and beverages at discounted rates.
The drive for natural sweeteners has also been borne from lower consumer acceptance of ambiguity in product labelling, with the safety and knowledge of artificial sweeteners turning consumers off of products that contain them. Clarity and cleaning labelling are all features that attract consumer interest and will become increasingly important as consumers become more knowledgeable and concerned with their health and well-being.
This is coupled with ongoing research and consumer awareness of the health concerns of artificial sweeteners.
For instance, in a study, the risk of metabolic syndromes from artificial sweeteners was compared between two groups. One group comprised people who consumed sugar-sweetened beverages, and the other group consumed artificially sweetened beverages.
Results suggested that the risk was similar for both groups. In particular, women who consumed more than two sugar-sweetened or artificially sweetened beverages a day were found to have a significantly greater risk for coronary heart disease.
Artificial sweeteners are used in diabetic food to lower the calorie content. Many people limit their consumption of sweeteners because of the adverse health effects. Hence, the negative health effects of artificial sweeteners will affect the sugar-free foods and beverages market. Manufacturers must balance consumer interest in sugar-free with sweeteners aligned with consumer health concerns, which may pose significant challenges for the food and beverage industry.
