Dive Insight: Tracey Massey, president of Mars Chocolate North America, shared with Fortune that the candy industry’s pledge to reduce sugar marks its first collective announcement focused on health and wellness. This strategic decision is timely, especially given that Mintel’s 2017 Consumer Trend report highlighted the “backlash against sugar” as a major consumer concern. Despite growing distrust of sugar, consumer cravings for candy remain strong; approximately 5,000 new candy products were launched in 2016, contributing nearly $1.5 billion in sales. Nonetheless, the demand for low-sugar options, including soft chews enriched with calcium and sweetened with natural alternatives like stevia and monk fruit, is being taken seriously. An NPR survey of 102 CPG companies revealed that 180,000 products were reformulated last year—twice as many as in 2015.
By committing to ensure that half of their individually wrapped products contain 200 calories or fewer by 2022 and by clearly labeling calorie content on packaging, Mars, Nestle, Lindt, Ferrara Candy, and Ferrero are demonstrating their dedication to consumer nutrition and facilitating healthier choices. It will be intriguing to see if other major candy brands follow suit or if these five companies will introduce further initiatives. For instance, Nestle has innovated a method to restructure sugar molecules, enabling a reduction of up to 40% in sugar content without sacrificing sweetness. This breakthrough could potentially transform the candy landscape if adopted by other manufacturers, with Nestle planning to launch products featuring this faster-dissolving sugar in 2018. Additionally, the introduction of soft chews containing calcium could appeal to health-conscious consumers seeking both taste and nutritional benefits.