Strong consumer commitment toward sweets and especially chocolates is not tiring down. As a result, the manufacturers in the chocolate industry are also facing high competition in terms of innovative test and wide reach. According to the researchers, the global chocolate market is expected to maintain a healthy growth rate in the years to come. This growth rate is mainly controlled by the growing demand from the emerging markets and dominance of the well established brands on the global platform. Innovative products and marketing strategies are also expected to create potential business opportunities for the key players in the market. Growing competition is expected to play key role in the development of the market.
Scope of Research in Chocolate Industry
Researchers segment the global chocolate market on the basis of its basic components, which include products, sales categories and geographic regions. Based on the types of products, the market is categorized into the three basic types of chocolate, namely, white, milk and dark chocolate. Based on the types of sales categories, the market is divided into seasonal, premium and everyday chocolate. Basic geographic regions of the market include North America, Asia, Europe and rest of the world.
According to the experts, changing business outlook of the existing manufacturers of the industry is creating major influence in the global market. Dominance of various well established chocolate brands across different parts of the world is a major boost for the industry. All these brands are creating innovative products with the use of unique ingredients and flavors, which is increasing their clientele. Growing demand and preference for organic products is also a key factor driving the market.
What Drives the Market?
Lower penetration and high untapped potential across the emerging markets, broad product portfolio, strong brand portfolio and fair trade policies are expected to create potential business opportunities for the chocolate industry. Major restraining factors for the market include lower growth rate in developed markets, cocoa supply dependency on West African countries, and unpredictable consumer preferences are some of the major challenges for the chocolate market.
Marketing strategies and manufacturing innovations are expected to play key role in the development of this market. Festival and seasons sales, health benefits of chocolates and consumer awareness towards them along with large variety of applications of the industry products are expected to provide vital traction for the chocolate industry. Despite the challenges like high prices of raw materials, industry is expected to witness strong growth.
The global chocolate market is estimated to grow at an estimated CAGR of over 2.7% to reach $98.3 billion in 2016. The products in this market hold more than 55% of the total shares in the confectionary sales. The Asia region is expected to drive the sales in the market with rising demand and introduction to new brands.