Global Hot Chocolate Market - 2022-2029

Global Hot Chocolate Market - 2022-2029

Market Overview

The global hot chocolate market is valued at USD XX million in 2021 and is forecasted to reach USD XX million by 2029, growing at a CAGR of XX% during the forecast period (2022-2029).

Hot chocolate is produced with milk, hot water, or even cream and is sometimes known as melted chocolate or sipping chocolate. Vanilla, cocoa butter, and other tastes are among the ingredients. Hot chocolate is also utilized as a treatment for stomach and liver problems, as well as a unique beverage. Vegan hot chocolates are a prominent trend in this market. Cocoa is high in polyphenols, which provide a variety of health advantages. Polyphenols are antioxidants found in nature that have been shown to improve blood flow, reduce inflammation, and lower blood pressure. Consumer awareness of chocolate's health advantages is a major driver of the market.

Market Dynamics:

Increased demand for flavored hot chocolate and the growth of coffee shops

The rising demand for flavored hot chocolate and the growing number of coffee shops drive the worldwide hot chocolate market. Shortly, the growing trend of personalized giving is expected to enhance the demand for hot chocolate. Over the projected period, technical improvements such as utilizing cocoa powder with various tastes are expected to propel the worldwide hot chocolate market's growth. Dark chocolate consumption has been linked to a lower risk of cardiovascular disease due to healthy fats and flavonoids, both of which are thought to lower blood pressure and bad cholesterol levels. According to the Wellness Creative Co., the gym sector in the United States was worth USD 32.3 billion in 2018, up from USD 30 billion in 2017. This is projected to rise even more over the projection period as people become more aware of their health. As a result, demand for hot chocolate is likely to be influenced by people's changing lifestyles and increased awareness of the health benefits associated with its use over the forecast period. Due to growing knowledge of the negative effects of sugar, major industry players produced nutrient-enriched chocolate products. In the coming years, the rise of hot chocolate is likely to be aided by an increase in cafés in emerging economies. Starbucks, for example, is rapidly expanding in China, due to country's vast tea-drinking populace. To capitalize on this opportunity, the company plans to open around 600 outlets per year. Consumer preferences for nutritional items are likely to shift as a result of increased cardiovascular disease rates and an increase in the number of weight-loss programmes, boosting demand for hot chocolate as a healthy option. Furthermore, a surge in the amount of health awareness films posted by fitness enthusiasts on social media platforms such as YouTube and Facebook is expected to raise the demand for hot chocolate.

Market Segmentation:

Flavor taste hot chocolate is expected to dominate the market in the year 2021

The many variants of flavors added to the original recipe are referred to as the flavor taste of hot chocolate. Mint, caramel, hazelnut, and pumpkin spice are just a few of the tastes used. When these complementing flavors are added to a drink, it frequently improves the whole experience, thus driving the market forward.

The offline distribution channel segment had a significant share of more than XX percent during the predicted period. In the coming years, high product availability at supermarkets, hypermarkets, and convenience stores is likely to benefit hot chocolate sales through the offline channel. While the popularity of online sales channels is gradually increasing, approximately 83 percent of consumers prefer the offline channel because it allows them to feel, touch, and taste the product, resulting in hot chocolate sales being driven by the offline channel. The high visibility of the product at supermarkets, hypermarkets, and convenience stores is a crucial factor favoring hot chocolate sales through the offline channel. Furthermore, the growing number of retailers in countries like India, China, and Brazil would benefit market growth in the next years. Walmart, for example, operated 21 stores in India as of May 2018 and plans to open roughly 50 more by the end of 2023.

Geographical Penetration:

Asia-Pacific is expected to be the dominating region during forecast period

In 2021, Asia Pacific accounted for XX percent of worldwide sales. Cocoa consumption can aid in preventing diabetes, obesity, and stress. The key factor likely to boost demand for hot chocolate in the future years is rising consumer knowledge of the health advantages of cocoa. Furthermore, due to changing eating patterns and a desire for chocolate drinks, an increase in the number of fast service restaurants in India and China is likely to open up opportunities for hot chocolate shortly.

North America is expected to grow at a CAGR of XX percent during the projection period. The rise in chronic conditions in the region, such as diabetes, cardiovascular disease, and obesity, is predicted to lower the demand for chocolates, notably hot chocolate. Recent studies have shown that eating chocolate lowers the risk of cardiovascular disease due to flavonoids, which increase the flexibility of arteries and veins, resulting in a surge in demand for hot chocolates in the region.

Competitive Landscape:

Nestle, Mondelez International, The Hershey Company, Mars, Incorporated, Chocoladefabriken Lindt & Sprüngli AG, Xucker GmbH, Cocosutra, HARIBO of America, Inc., Twinings (Associated British Foods plc), and Valrhona Inc. are some of the major manufacturers of hot chocolate. Due to the presence of a few significant companies, the industry is extremely consolidated. Consumers all across the world are adopting healthier eating habits as a result of which they are consuming less sugar. Major retailers have been pushed to introduce sugar-free items as a result of this trend. Furthermore, due to increased disposable income in emerging economies, corporations are focusing on expanding their geographical reach with the production of nutrient-enriched products.

COVID-19 Impact:

Positive impact on the global hot chocolate market

The demand for hot chocolate is growing rapidly, which has a considerable impact on manufacturing. Furthermore, the influence of COVID-19 has revealed significant changes in production, demand, prices, and market growth. Hot chocolate is also utilized as a treatment for stomach and liver problems and a unique beverage. Vegan hot chocolates are a prominent trend in this market. With the growing popularity of plant-based chocolate, it's the ideal opportunity to elevate the hot chocolate category from a purely hedonistic beverage to one that promotes health and wellness. These beverages are also high in vitamins and minerals and have low fat, making them perfect for people with slow digestive systems. Another significant trend is rising consumer demand. In England, for example, hot chocolate nearly surpassed both coffee and tea. Compared to the previous year, one of the biggest retail chains, Harrods, reported a double-digit revenue increase in hot chocolate goods. As a result of its health benefits, hot chocolate demand soared during COVID-19.

Why Purchase the Report?

Understand the current market scenario and viability of global hot chocolate over the forecast period

Visualize the composition of the hot chocolate market in terms of type, distribution channel to identify major players, growth potential, and market strategies

Identify the key regulations prevailing in the market and understand their impact on the market over the forecast period

Understand the key business factors such as market competition, product pricing, new product developments, and patent filings pertaining in the market

What we offer?

PDF report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study

Excel data sheet with valuable data points of the global hot chocolate market– Regional and Country level segmentation

Product mapping in excel for the key products of all major market players

Market Share Analysis covering business revenues ($) and revenue share (%) of key market players

The global hot chocolate market report would provide an access to approximately 45 market data tables, 45 figures and 180 pages

Target Audience:

Chocolate Manufacturers

Food & Beverages Industries

Industry Investors

Education & Research Institutes

Research Professional