Europe Confectionery Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

Europe Confectionery Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

Europe confectionery market is projected to grow at a CAGR of 3.1 %, during the forecast period (2021-2026).

The spread of the COVID-19 pandemic has led to lockdowns in Europe and other international markets. During the lockdown, consumers rushed to shops to stockpile essential items to get through the pandemic. Confectionery may not be an essential item, but it is a source of indulgence and comfort that consumers look for in times of uncertainty. In Europe and the majority of the confectionery products are sold at supermarkets and other grocery shops. These retail outlets remain open, with e-commerce quickly gaining market share. Moreover, COVID-19 has also resulted in the generation of opportunities for many private label players to emerge in the markets, in order to cater to the inflated demand. Also, the demand for innovative snack products, such as snack bars, was consistently high in these developed countries, as snack bars are quick and convenient sources of nutrition and energy, thus further driving the market forward.

Over the medium term, consumers’ tastes and their inclination towards chocolates and sweets will be the reason behind the growth of the confectionery market. Increasing concerns for health and simultaneous increase in consumer’s craving for a variety of chocolates and candies will lead to the growth in the sales of low calories and sugar-free confectionery products.

Dark chocolates are known for controlling cardiac diseases and cholesterol owing to their richness in antioxidants and high coca content which boosts the market for chocolates confectionery. Product portfolio extensions and new brand launches from established players are significant factors that can fuel the market growth.

The consumer trend pertaining to better-for-you snacks gives candies, gums, chocolates, and snack bars made with functional ingredients an opportunity to scoop up their shares in the health and wellness product categories.​​ Functional confectionery continues to grab the interest of both companies and consumers who are looking forward to newer and value-added products.​ Thus, companies operating in the market are adding healthy ingredients to their brands, in an effort to differentiate themselves from the rest.​ Confectionery companies are formulating products with chia seeds, pomegranates, and sea salt.​ Sea salt and super fruits have shown continued growth in the functional confectionery category, as candy makers use on-trend ingredients, like pomegranate, cranberry, and acai, in innovative ways. ​​ ​ One of the most popular vehicles for functional ingredients is gum, which is being utilized for its appeal as a unique delivery system. Gums also improve the delivery of healthy ingredients. Mints and gums are also becoming popular sources for providing energy-based health benefits. Functional gum and mint products have focused on benefits, such as cavity prevention, mouth cleaning, and teeth whitening.​​ The increasing innovation in the functional confectionery sector is leading to the growth in the market.

The popularity of different types of confectionery products has been rising over the years in Russia. In 2018, according to World Food Moscow, Russians ate more confectionery since the end of the Soviet Union, and during this time, the average per capita consumption reached 25.5kg. The import industry of confectionery is strong in Russia; for instance, in 2017, the nation imported 25% more chocolates, baked treats, and sugar candies than the previous year. Also, the snack bar consumption volumes in the Russian Federation have been rising, with increasing interest toward healthy eating in the natives. The country has a high preference for EU-produced chocolates, which was earlier relying on United Kingdomraine. Germany is one of the largest suppliers of chocolate to Russia, exporting over 30%, followed by Poland and Italy. ​On the other hand, snack bar consumption volumes in the Russian Federation have been rising, with increasing interest toward healthy eating in the natives. The Russian snack bar market has been driven by the huge demand for specialty offerings, which are GMO-free, gluten-free, and devoid of artificial preservatives, dyes, flavors, and emulsifiers. For instance, Bite, which is a domestic Russian brand in fruit and nut bars, has been offering products that are completely natural, sugar-free, and enriched with protein, fiber, omega-3, and omega-6 fatty acids. ​

The confectionery market in Europe is competitive and dominated by some of the major companies such as Ferrero International SA, Mondelez International, Mars Incorporated, and Nestle SA. The market consist of several brands which have a long history in the market and traditional importance during festival season. Additionally, many of the confectionery companies are expanding their product portfolio by adding a new variety of products with enhanced nutritional content, new product format, and new packaging formats, to enhance their appeal among European consumers.

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