Sugar reduction, defined as zero sugar, sugar free, low sugar, sugarless, and no added sugar, is growing share compared to the total candy category. It’s also considered an important characteristic when consumers are looking for new food and beverage products. This report provides insight into current growth and opportunities for sugar-free confections.

Market Overview 

• Sugar-free chocolate and non-chocolate candy outpace traditional counterparts in both dollars and volume growth. In pounds, sales of sugar-free chocolate have doubled since 2017, while sales of sugar-free non-chocolate candy remain flat.

Drivers of sugar-free chocolate’s growth include innovation and more items on the shelf.

• Sugar-free candy commands a price premium, although sugar-free chocolate shoppers are more sensitive to price than sugar-free non-chocolate buyers. Sugar-free non-chocolate shoppers are less sensitive to price.

• Shoppers who buy sugar-free candy have an overall higher basket ring than non-sugar-free candy buyers. Most sugar-free candy buyers purchase through grocery, drug and mass channels.