Confectionery Market Size, Share, Growth, Report 2026 to 2035

Confectionery Market Size and Growth 2026 to 2035

The global confectionery market size was valued at USD 238.32 billion in 2025 and is expected to be worth around USD 358.84 billion by 2035, exhibiting at a compound annual growth rate (CAGR) of 4.2% over the forecast period 2026 to 2035. The confectionery market is expanding steadily due to evolving consumer preferences, product innovation, and premiumization.  An increase in the demand for indulgent products and expanding gifting culture during holidays and seasonal celebrations continues to propel market growth. Companies are focusing on product innovation by launching new flavors, healthier ingredients, and sustainable packaging in response to health-conscious and environmentally-minded consumers. Moreover, e-commerce and digital marketing have made candy easier to find, which has helped the industry grow and sell more around the world.

Additionally, key drivers of the confectionery market are changing lifestyles, an increase in disposable incomes, and the growing impact of Western snacking habits in developing parts of the world. The trend towards clean, organic, and sugar-free confectionery is also contributing to challenges to brands, as consumers exhibit an increased focus on health and wellness. Advancements in packaging technology and customisation further add to shelf appeal and consumer engagement. All of these factors continue to push growth throughout the market, while also fostering ideas and innovation across all categories - from chocolate and sugar confectionery to gum and specialty sweets.

Report Highlights

• The global confectionery market is projected to experience demand growth of around 5-6% in 2025, driven by premiumization, gifting occasions, and innovation in health-based confectionery.
• By Region, Europe is the largest region in the global confectionery market, holding 36.5% market share in 2025, supported by a long-standing chocolate culture, artisanal production, and premiumisation.
• By Product Type, the chocolate is the largest segment, holding 42% of the global confectionery market, driven by gifting occasions and the continual expansion of premium dark chocolate lines.
• By Distribution Channel, the supermarkets and hypermarkets are the dominant distribution channel, accounting for around 47% of global sales.
• By Age Group, the children segment has generated highest revenue share 48% in 2025.
• Major companies such as Hershey, Ferrero, Mondelez, Nestlé, Mars, and Lindt are all expanding their portfolios, introducing new product formats and sustainability initiatives.

What is confectionery?

Confectionery refers to food products that are sweet products made of sugar, chocolate or another sweetener and eaten for enjoyment or as a treat at the end of a meal. The function of confectionery is to provide pleasure and indulgence, replacing other potential meals that could be eaten as part of a more nutritional diet. Confectionery items may utilize ingredients such as cocoa, fruits, nuts, dairy, and flavoring agents. Confectionery can fit into a variety of forms, textures and flavors that differ by cultural preference or production processes.

Types of Confectionery:

• Chocolate confectionery - chocolate bars, truffles, pralines, and chocolate coated nuts or fruits.
• Sugar confectionery - candies, toffees, lollies, caramels, marshmallows, etc.
• Gum Confectionery - chewing gum and bubble gum products.
• Bakery Confectionery - sweet baked products such as pastries, cakes and cookies.
• Functional or Health Confectionery - sugar free, vitamin fortified, or energy rewarding candies.

How Medicated Confectionery is Powering Market Growth

The increasing popularity of medicated confectionery is notably influencing the growth of the confectionery market as consumers appreciation products that provide taste and functional health benefits. For example, lozenges, gummy bears with vitamins, and herbal candies all serve as delivery mechanisms for therapeutic ingredients (vitamins, probiotics, and extracts) in a tasty, easy consumable form. The increase in demand is due to an increase in the focus on wellness, immunity, and preventive health, specifically popularized among younger health-conscious consumers. Manufacturers are leveraging this opportunity by combining traditional confectionery appeal with medicinal and nutraceutical properties, leading to market expansion in the functional and health-centric snacking space.

The chart shows a steady increase in the number of consumers, particularly among women, in the medicated confectionery category. Women increase steadily from 26% in 2018 to 39% in 2025, while men also show a less significant increase. Steady growth is indicative of a broader consumer shift towards functional and wellness-based confectionery products such as vitamin lozenges, herbal candies, and throat-soothing sweets. This increase in women, allowed to be more health-conscious and brand loyal consumers, is a major factor accelerating the broader confectionery market. It demonstrates medicated confectionery consumption being more than a niche but hits into an element of everyday snacking behavior in Germany, whereby indulgence meets the preventive health benefits, further fueling confectionery market growth.

Recent Major Milestones

• Rise of Functional Confectionery: The market for confectionery is experiencing significant growth as a result of the growing interest in sweets that claim to provide health or wellness benefits. Products containing proteins, vitamins, probiotics, or plant-derived ingredients are quickly becoming standard, which is allowing confectionery producers to attract a new consumer base (e.g., health-conscious adults, elderly) and demonstrate intrinsic value which enables them to charge more, or drive value beyond the experience of indulgence.
• Sustainability & Ethical Sourcing Becomes Standard: A second milestone is that environmental, ethical and traceability imperatives are now front-of-mind in the confectionery sector. Customers anticipate that companies will provide recyclable packaging or compostable packaging, as well as ethically sourced sugar and cocoa. Confectionery manufacturers perceive this as a means of attracting budget-minded shoppers, mitigating supply chain risks, differentiating from competitors, and capturing new and existing clientele, particularly in gifting and premium markets.
• Retail Channel & Packaging Innovation: The third milestone is the numerous innovations occurring in retail channels and packaging design, including premium formats, single-serve gift packs, flexible formats, sustainable materials, and a rapid expansion of online distribution. This drives the confectionery market as appealing packaging provides better visual appeal and convenience, promotes premiumization, online channels can reach consumers globally, and ultimately increases sales, particularly in emerging markets.
• Flavor & Format Innovation: Bold Experiences: Lastly, the confectionery market is driven by a wave of innovation in flavour and format: unusual flavour mash-ups, layered textures, plant-based/vegan formats, limited-edition runs. These innovations encourage consumers to purchase more frequently, justify price premiums, and differentiate brands in a crowded market, leading to further growth.

Market Dynamics

Market Drivers

Rising Demand for Premium and Functional Products

• Consumers are increasingly looking for premium products in the confectionery space that deliver both indulgence and health and wellness benefits. There is also a growing amount of functional confectionery infused with vitamins, minerals, herbal extracts, or probiotics. As health becomes a more significant consumer priority, manufacturers are innovating to balance taste with functional attributes that fulfill a product opportunity consisting of quality, health, freshness, and indulgence. These trends lead to a steady growth and diversification of the confectionery market, especially in the premium categories.

Expanding Online and Convenience Retail Channels

• The rapid growth of e-Commerce platforms and contemporary shopfronts has improved accessibility to confectionery products more than ever. For instance, online platforms provide brands global access, personalized gift packs and subscription boxes with sweets. Convenience stores and quick-service retail make impulse purchasing even easier. This ease of availability and digital access is contributing to a steady rise in the confectionery market, both in developed and developing countries.

Market Restraints

Growing Health Concerns Over Sugar Consumption

• The growing awareness of the detrimental health effects of excessive sugar consumption, such as obesity and diabetes, is a major barrier for the confectionery market. This worry has resulted in stricter governmental regulations and labeling processes for food and drink products that have been typical hindrance for producers of traditional candies to keep selling products. Candy manufacturers are therefore left with no choice but to either reformulate products, or create a new product line featuring sugar-free and low sugar products, to compete successfully in the marketplace.

Fluctuating Raw Material Prices

• The confectionery industry is heavily dependent on important ingredients such as cocoa, sugar, milk and nuts, which are often sensitive to price changes in a global marketplace. Price variability from global climate change, wars, and other supply disruption can create price instability that hurts profit margins. Price variablity can create problems for manufacturers, especially smaller manufacturers, because normally they cannot absorb or pass on the increases.

Market Opportunities

Innovation in Plant-Based and Clean-Label Products

• As plant-based diets rise and clean-label foods grow in popularity, confectionery brands have an opportunity to leverage these changing consumer preferences. The vast majority of consumers are now actively looking for brands with ingredient transparency, natural sweeteners, and dairy-free or vegan-friendly options. This presents opportunities for brands to build differentiation in the increasingly competitive landscape based on sustainable and ethical offerings, extending their consumer base and aligning with global health and environmental movements.

Rising Demand in Emerging Economies

• India, China and Brazil are rapidly urbanizing, their disposable incomes are rising, and they've adopted Western lifestyles and, consequently, they are consuming more confectionery. Flavors adapted to local preferences, smaller sizes, and suitability to a budget will facilitate entry into these markets. This represents a major opportunity for growth on the part of both the global and local confectionery manufacturer.

Market Challenges

Intense Market Competition and Brand Saturation

• The confectionery market is extremely competitive, characterized by incumbents as well as an increasing number of locals offering similar products. The number of competitors in the market creates a saturated environment that generates confusion, so companies are faced with the burden of investing robustly in the areas of branding, innovation, and marketing. As a result, sustaining customer loyalty, and very often brand loyalty, in an extremely competitive environment is a persistent struggle.

Sustainability and Ethical Sourcing Pressure

• Confectionery brands experience higher consumer demand for transparency and ethical responsibility, especially with cocoa and palm oil, creating a duty to establish that these ingredients are sourced sustainably. Following the brand's sustainability policies is expensive and complex for brands. Companies that cannot satisfy consumer demand will lose reputation and consumer trust, which is a primary obstacle to long-term sustainable growth.

Regional Analysis

The confectionery market is segmented into various regions, including North America, Europe, Asia-Pacific, and LAMEA. Here is a brief overview of each region:

Europe Confectionery Market: Innovation Hub around Ethical Sourcing and Clean label trends

• The Europe confectionery market size was valued at USD 86.99 billion in 2025 and is expected to reach around USD 130.98 billion by 2035.

Europe is a leading region due to its long history of premium chocolate production and the artisanal craft of chocolate. Countries such as Switzerland, Belgium, Germany, and the U.K. have dominant shares of product innovations, research, and all-time export value. There are patterns emerging in Europe around clean-label confectionary, organic forms, and lower sugar formats. This has been a result of an EU-driven health focus, changing dietary behavior, as well as developing trade markets, which will continue over time. Sustainability is an area of focus, indicated by the investment by brands into fair-trade cocoa sourcing, recyclable packaging, and carbon-neutral manufacturing processes. In addition, vegan and plant-based forms of confectionary are increasing throughout most of Western Europe as the region moves towards a more sustainable offering and links to global wellness trends.

Recent Developments:

• Ferrero Group implemented a carbon-neutral initiative across its European supply chain in 2024.
• Nestlé increased the expansion of its plant-based KitKat line due to positive consumer interest and demand.
• The European Union began offering guidance on how to reduce sugar use in the formulation of confectionary products.

North America Confectionery Market: Mature Market Driven by Premiumization and Functional Sweets

• The North America confectionery market size was estimated at USD 68.64 billion in 2025 and is projected to surpass around USD 103.35 billion by 2035.

North America is one of the most mature and important region, with strong brand presence, product innovation, and premiumization already underway. Consumers are buying more dark chocolate, sugar-free confectionery, and functional confectionery containing vitamins, collagen, or plant-based ingredients in the U.S. and Canada. Seasonal sales around Halloween, Christmas, or Valentine's keep consumers interested in confectionery. Sustainability and ethical sourcing are also gaining traction as consumers want to know where cocoa and ingredients originate. North American manufacturers are focusing on digital marketing and e-commerce to bolster extensibility and consumer engagement while adding direct-to-consumer capabilities.

Recent Developments:

• Hershey launched "better-for-you" plant-based chocolate bars and low-sugar versions in 2024.
• Mars introduced recyclable packaging for some of its largest brands, including M&M’s and Snickers as a part of sustainability.
• Expansion of functional and medicated confectionery lines, such as vitamin gummies and energy chews, was made in retail chains across the United States.

Asia-Pacific Confectionery Market: Fastest-Growing Region Fueled by Urbanization and Local Flavors

• The Asia-Pacific confectionery market size was reached at USD 56.48 billion in 2025 and is forecasted to grow around USD 85.05 billion by 2035.

The APAC is the fastest growing region driven by rapid urbanization, disposable incomes that are rising, and westernization of snacking. Consumers in China, India, Japan and Korea are testing their comfort levels with flavour profiles of traditional tastes, and or styles of ingredient such as matcha, mango, and sesame, which have been fused into modern confectionery styles. Younger demographics and increased gifting culture during holidays like Diwali, Lunar New Year, and Valentine's Day support even higher sales growth as new gifting occasions emerge. Portfolio innovation continues to respond to the growing demand for sugar-free, organic, and vegan options among health-focused millennial consumers. Local brands are gaining traction with culturally inspired flavors while multinational brands are establishing bases to fulfill cost efficiency and local tastes.

Recent Developments:

• Mondelez has built a new chocolate manufacturing site in India to cater to growing regional demand.
• Japanese brands have introduced functional confectionery items made from collagen and probiotics to capitalize on wellness consumers.
• Online candy and chocolate delivery sites expanded into China and Southeast Asia, significantly increasing digital sales in 2025.

Confectionery Market Share, By Region, 2025 (%)

LAMEA Confectionery Market: Emerging Market with Growing Urban Influence

• The LAMEA confectionery market was valued at USD 26.22 billion in 2025 and is anticipated to reach around USD 39.47 billion by 2035.

The LAMEA region is projected to emerge as a growth frontier due to levels of growing urbanization and improved retail infrastructure impacting social convergence. So much of this development is based around Latin America with countries like Brazil and Mexico playing key roles creating strong local confectionery traditions as well as having an expanding middle class. The Middle East is seeing demand for premium gifting chocolates or haram products in the Gulf, particularly the UAE and Saudi Arabia. The African confectionary market is being influenced by investments into productive local capacity and access to affordable brands, however the market can experience a limitation with raw materials and imports. There still exists a large quality confectionary opportunity acting as value addition, particularly around localized supply chains or e-commerce enabled channels.

Recent Developments:

• Mondelez successfully test expanded operations in Egypt and South Africa to support regional supply chains.
• Brazil has seen local confectionery producers develop lower sugar confectionary as well as tropical flavors for health-conscious consumers.
• The Greater Gulf region experienced an increase in premium chocolate gifting products or certified haram products during Ramadan 2025.

Segmental Analysis

The confectionery market is segmented into product type, age group, distribution channel, and region.

Product Type Analysis

Chocolate segment is dominating in the confectionery market due to its widespread popularity, premiumization, and continuous innovations in flavor and texture. The segment can easily appeal to all consumers from kids to adults and all occasions from everyday indulgences to gifting. Global brands utilize sustainability as a reputable cocoa source, artisanal quality, and luxury packaging to enhance brand affinity. The addition of functional and dark flavors with moderate sugar levels has also established chocolate as the dominant player in the dessert category.

Medicated confectionery is the largest emerging segment, mainly driven by growing interest in wellness-focused sweets. Products such as throat lozenges, vitamin-infused gummies, and herbal candies are generating interest among health-conscious consumers who want functional benefits from eating sweets. Growing demand for immunity-boosting products, sugar-free products, and plant-based products is also boosting the growth of this emerging segment.

Age Group Analysis

Children segment leads the market with have the highest consumption of confectionery due to their desire for sweet, colorful, and fun formats. This continues to drive turnover of confectionery products, particularly chocolates, jellies and toffees. Brands aimed at children continue to appeal to them using character-based packaging, limited editions and interactive marketing campaigns to maintain some level of sales volume. Regardless of parents being concerned about sugar consumption, children continue to be the most engaged consumer demographic to confectionery categories worldwide.

Confectionery Market Share, By Age Group, 2025 (%)

The adult segment of the confectionery market is growing rapidly due to changing lifestyles and incomes as consumers indulge more in the premium and functional confectionery segment. Consumers have also focused on premium, artisanal, low-sugar, or dark chocolate products and, medicated confectionery that supports their wellness into their lifestyles to reduce stress. A shift has started away from traditional sugary treats, toward premium flavor experiences and health-based alternatives. This has fostered opportunities in marketplace growth for adult confectionery and growing premium brand presence.

Distribution Channel Analysis

Supermarkets and hypermarkets are the most preferred point of distribution channel within the confectionery segment and for good reason. They usually have great product differentiation, shelf appeal, price promotions, and provide a huge assortment. Consumers enjoy the ease, and convenience of doing one-stop shopping where confectionery products are impulse purchases at checkout. Supermarkets and hypermarkets also provide a crucial part of the company's distribution partnerships for both local and global brands, providing key retailers to ensure ongoing visibility and market share.

Confectionery Market Share, By Distribution Channel, 2025 (%)

Online stores are the fastest growing distribution channel, fueled by digital transformation, lifestyle shifts in home delivery, direct-to-consumer (D2C) strategies, and as e-commerce becomes increasingly popular. Brands can reach more consumers, offer personalization, and bundle gifting or subscription boxes through e-commerce distribution. Social media marketing and influencer awareness has also provided visibility in engagement in online retail, showing potential as a key driver of future growth in the confectionery market.

Confectionery Market Top Companies

• The Hershey Company
• Mondelez International, Inc.
• Nestlé S.A.
• Ezaki Glico Co., Ltd.
• Meiji Co., Ltd.
• Mars Incorporated
• Ferrero Group
• Pladis
• Chocoladefabriken Lindt & Sprüngli AG
• Grupo Arcor
• Perfetti Van Melle
• Haribo GmbH & Co. K.G.

Industry Leaders’ Perspectives: Voices Shaping the Future of Confectionery (2025):

1. Supply-Chain Integrity & Sustainability

Francesco Tramontin, Vice-President for EU Institutional Relations at Ferrero Group states “Sustainability is not a standalone program anymore. Sustainability is a core focus for the confectionery industry.” He explains in an exclusive interview at the World Confectionery Conference 2025 that future competitiveness will be defined based on compliance with regulations such as the EU Deforestation Regulation (EUDR). He noted that in the case of EUDR, while the implementation was delayed by 1 year, companies are still on the hook and need to prepare now if there is demand and/or compliance expected by regulators. His thinking is that brands that focus on traceability and ethically sourced cocoa, and those that focus on transparency around products will position themselves for the future and gain consumer trust. Brands that do not will be faced with reputational risks as well as the risks of compliance.

2. Innovation Meets Consumer-Centric Values

As discussed at the Sweets & Snacks Expo 2025, consumers appear to be shifting from “indulging” in confectionery to “permission to indulge,” balancing flavours, textures and experience with health claims, ingredients and purpose. One practitioner suggested that consumers are less likely to accept products that are made up of “just sugar and flavour”, engage with brands that introduce new formulations with less sugar, plant based ingredients, functional claims or ethical sourcing. This means that slower supply chain issues or delayed product innovations will not suffice, the future winners will be fast players, who are imaginative with formulations and respect consumer centric values.

Market Segmentation

By Product Type

• Chocolate
• Mints
• Gums and Jellies
• Caramels and Toffees
• Fine Bakery Wares
• Medicated Confectionery
• Others

By Age Group

• Children
• Adult
• Geriatric

By Distribution Channel

• Supermarkets and Hypermarkets
• Convenience Stores
• Online Stores
• Others

By Region

• North America
• APAC
• Europe
• LAMEA