Dive Insight: Tracey Massey, the president of Mars Chocolate North America, shared with Fortune that the candy industry’s pledge to reduce sugar is a groundbreaking collective step towards health and wellness. This strategic move is particularly astute for the confectionery sector, especially since Mintel’s 2017 Consumer Trend report highlighted the “backlash against sugar” as a key consumer concern. Interestingly, despite growing skepticism towards sugar, consumer enthusiasm for candy remains strong, with around 5,000 new candy products launched in 2016, resulting in nearly an additional $1.5 billion in sales. Nevertheless, there is a significant consumer shift towards low-sugar options or candies sweetened with natural alternatives like stevia and monk fruit, which is increasingly being acknowledged by manufacturers.
A survey conducted by NPR involving 102 CPG companies revealed that 18,000 products were reformulated last year, which is double the number from 2015. By pledging to ensure that half of their individually wrapped products contain 200 calories or fewer by 2022 and by prominently displaying calorie information on packaging, companies such as Mars, Nestlé, Lindt, Ferrara Candy, and Ferrero are demonstrating their commitment to customer nutrition and supporting healthier consumer choices. It will be intriguing to observe whether other leading candy manufacturers will make similar commitments or if these five companies will pursue further initiatives.
For instance, Nestlé has developed an innovative method to restructure the sugar molecule, enabling them to reduce sugar content by up to 40% without sacrificing sweetness. This technology has the potential to transform the candy industry if adopted by other brands, and Nestlé plans to introduce products using this quicker-dissolving sugar in 2018. As the industry navigates these changes, it’s essential to consider the broader implications, including potential health impacts like nausea related to excessive sugar intake or calcium citrate interactions. The evolution of these strategies will be pivotal in shaping consumer perceptions and preferences moving forward.