With the upgrading of consumption, traditional foods are becoming increasingly healthy, and candies are also beginning to upgrade in a healthy direction. Currently, the entire candy industry is trying to find new creative breakthroughs, such as functionality, vegetarian nutrition, and sugar reduction, which has also become a key part of the candy industry's innovation trend.

Functional Candies

In the category of candies, functionality is a very promising direction for development. Although the market share of functional candies is currently small, their health benefits remain a growth point that cannot be ignored.
According to data from the China Industry Research Institute, the sales market for functional candies has grown significantly in the domestic market, and it is expected that the functional candy market will exceed 8.6 billion yuan in 2022. According to NBJ data, global sales of functional candies doubled in just four years (2014-2018).
Among functional candies, jelly is particularly popular. Tmall's consumption data shows that in 2020, functional jelly became the fastest-growing health product dosage form among young groups such as the post-90s and Generation Z. Currently, there are products such as vitamin and mineral jelly, DHA jelly, yeast zinc jelly, probiotic jelly, melatonin jelly, and collagen jelly on the market.
The emergence of functional candies is an extension of traditional candy brands to high-end product categories, and it also represents a higher-level and multi-level demand from consumers for candy products.

Sugar-Free Candies

With the increasing emphasis on health, the trend of "low-sugar, no-sugar" is coming, so consumers also have requirements for candy products—not only nutritious and healthy, but also low in sugar.
Against the backdrop of sugar reduction becoming a global trend, the daily demand for traditional candies has gradually decreased. According to the "2019-2023 Candy Industry In-depth Market Research and Investment Strategy Recommendation Report," China's candy production in 2017 was 3.31 million tons, down 6.0% from 3.52 million tons in 2016; in 2018, China's candy production dropped to 2.88 million tons, a year-on-year decrease of 13.0%, and the decline further widened.
To this end, many companies have launched sugar-free lollipops, such as Xufuji Dr. Bear sugar-free lollipops, Three Squirrels Little Deer Blue sugar-free lollipops, and Fangtang sugar-free lollipops. The development of sugar-free candies is worth looking forward to.

Vegetarian Candies

Plant-based product claims are another important consumer trend in the candy market. Data shows that from 2016 to 2020, the compound annual growth rate of candies claiming to be vegetarian was 17%, while the compound annual growth rate of candies claiming plant-based ingredients more than doubled last year.
Candy manufacturers are removing ingredients such as dairy products, gelatin, and carmine to meet the growing demand for plant-based products, which are not only considered healthier but also more ethical and sustainable. For example, the Canadian candy brand Yumy Bear's low-sugar vegetarian jelly uses plant-based ingredients to replace gelatin.

In recent years, with the diversification of consumer health needs, many candy manufacturers have made the research and development of new products that meet consumer needs a top priority, and the continuous stream of innovative products has injected new vitality into the candy market. Riding on the "health" express train, the candy industry is steadily moving forward.