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Flavoured syrup market could succeed $6.6 billion in value by end of 2021

flavoured syrup

Fact.MR, a market research and competitive intelligence provider, has published a new report anticipating that the global flavoured syrup market will succeed $6.6 billion in value by 2021 and expand to a CAGR of 5 per cent between 2021 and 2031. 

North America consumes the most flavoured syrup, owing to its large urban population. The overall demand for flavoured syrup has grown in the past few years, due to growing demand for customised flavours in food and beverages. 

While household demand for flavoured syrup is triggered by the growing consumption of soda, cocktails and bakery products, its demand in food processing is driven by an increased demand for specialty bakery and confectionery products. 

Also, a constant surge in urbanisation has prompted customers to try food ingredients at home. However, the expansion of the food services sector and a rising culture of eating breakfast out have elevated demand for ingredients like flavoured syrup. 

Put simply, consumer trends across the world suggest that consumers now tend to take their regular meals outside of home due to their hectic schedules. Whereas, out of passion for cooking, they are also preparing innovative cuisines at home. 

A transformation in consumer habits in both scenarios have proved beneficial for flavoured syrup manufacturers. 

Some of the key takeaways from the Fact.MR market study include: 

  • South Asia is estimated to witness major growth over the forecast period, accounting for over 9 per cent CAGR. 
  • In 2020, North America held the highest market share of around 34 per cent, followed by Europe. 
  • In 2020, North America and Europe together accounted for over 60 per cent of global demand for flavoured syrup. The European market is expected to offer over $5.1 billion as an absolute dollar opportunity over the next ten years. 
  • Fruit flavoured syrup commanded highest revenue share of 38 per cent in 2020, while the market for vanilla flavoured syrup is estimated to witness the fastest growth. 
  • In terms of end use, revenue through dairy product manufacturers is expected to grow by 60 BPS. 

“New flavours and ‘natural’ positioning of products are key for the success of flavoured syrup manufacturers,” a Fact.MR research analyst said. 

Consumers are constantly drifting towards sugar-free products, indicating ingredients labelled sugar-free are likely to gain string foothold at the cost of high-sugar ingredients. 

Some manufacturers of flavoured syrup have already started to populate their portfolio with sugar-free variants, and it is highly likely that around one-third of the demand will come from the sugar-free category.  

View the full report, “Flavoured Syrup Market” by Fact.MR, here. 

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