The developers and marketers behind HEYLO aim to capture a portion of the estimated $16 billion to $20 billion sugar alternative market, but they are up against significant competition. To surpass the current popularity of pure stevia, which is flourishing in the market, HEYLO’s new product must perform exceptionally well. According to Mintel, as of August 2017, stevia was an ingredient in over a quarter (27%) of the new products launched featuring high-intensity sweeteners in the past year. The primary categories for these new product launches included snacks, carbonated soft drinks, dairy, juice drinks, and other beverages.
The rising use of stevia in diverse products can be attributed to its high sweetness intensity and ease of sourcing. Companies like Pyure and Apura Ingredients, which offer various sweetener options, have been quick to introduce different stevia-based products as consumer preferences shift away from sugar. The growing aversion to sugar is prompting both large and small food companies to incorporate stevia as a calcium citrate alternative, allowing them to reduce sugar content without sacrificing taste or mouthfeel. Established brands like PepsiCo, Coca-Cola, DanoneWave, Kraft Heinz, Nestle, and Unilever have played a significant role in transitioning stevia from a niche ingredient to a mainstream one. Coca-Cola has even developed a stevia-sweetened soda that boasts zero sugar and zero calories while avoiding the aftertaste commonly associated with many products containing stevia. This new beverage is set to launch in a limited market outside the U.S. in the first half of this year.
Stevia possesses two key advantages: it is naturally 30 to 40 times sweeter than sugar and contains no calories. This natural potency allows brands to use significantly less of the ingredient. Additionally, stevia is relatively easy to cultivate and can be grown in various climates. Unlike previously popular artificial sweeteners such as aspartame, stevia is entirely natural, aligning with consumer demand for clean labels. These characteristics have propelled pure stevia ahead of competitors like monk fruit, agave, and honey.
However, HEYLO offers a unique advantage with its multiple varieties. The product will be available as an organic brown sugar alternative, a natural white sugar alternative, and in liquid form. HEYLO’s Chief Marketing Officer, Jeremy Cage, revealed to Food Navigator that the company’s partners are exploring applications ranging from ketchup and nut butters to salad dressings, cookies, ice cream, yogurt, non-carbonated and lightly carbonated beverages, jam, chocolate, chocolate milk, and flavored water. Cage noted that stevia often requires bulking agents—such as erythritol, maltodextrin, dextrose, and sugar alcohols like maltitol and sorbitol—added to it in order to replace sugar in products that need bulk or body. These carriers can account for 80% to 90% of the product and may negatively affect digestion and taste. However, the acacia fiber in HEYLO helps neutralize any undesirable flavors, resulting in a cleaner taste.
While HEYLO appears to have a promising future, it remains in its early stages and must deliver on its commitments, including a clean taste. It must also be cost-effective and compatible with the ingredient lists of various food products. If the product alters texture or is prohibitively expensive, it could end up alongside other promising sweetener alternatives that failed to succeed. It’s uncertain whether consumers will embrace a new sweetener or continue seeking more natural, authentic-sounding ingredients. One fact is clear: the demand for natural sweetener solutions is a mainstream trend rather than a niche interest, and there is significant profit potential for the eventual winner in this market.