Global Flavored Syrups Market Size (2023-2030)

The global flavored syrup market is estimated to be $42.4 Bn in 2021 and is projected to grow at a CAGR of 4.9% from 2022 to 2027.

Industry Overview

Flavored syrups are made up of a simple sugar syrup that has natural or artificial flavorings mixed in it. Depending on the requirement, a sugar substitute can also be utilized. Flavored syrups are used in a wide range of foods and beverages, including coffee, pancakes, waffles, tea, cake, ice cream, and so on. Berry, peach, vanilla, hazelnut, butterscotch, almond, mint, chocolate, strawberry, and even toasted marshmallow are some of the flavors that are available in the market. Rising demand of flavored syrups contributes to the amplified growth of global syrup market. The market beholds a high market demand owing to dairy and frozen product applications wherein flavored syrup serves as a taste enhancer and as a sweetener. Thus, the global flavored syrup market is poised to witness a significant growth as the consumers’ preference for artificial or natural taste enhancer in fast and convenience foods is escalating at pace.

COVID-19 Impact on Global Flavored Syrups Market

The outbreak of Covid-19 has hit almost every industry in various ways. As a consequence of the lockdown and restrictions that were imposed during the pandemic, majority of populations lost their jobs and this affected their financial status which necessitated them to spend on daily essential commodities while the demand for many non-essential products witnessed a slowdown.

However, the Flavored Syrups industry is now gaining traction with rising R&D activities and increasing cases all over the world. A prevailing healthy growth rate anticipates due to the recovery in the economies of most developing nations, pushing the flavored Syrups market towards its post-COVID levels.

Market Drivers

• Increasing Consumer Preference towards Processed Food:

Rampant expansion of processed and convenience food sector remains a key growth engine for flavored syrups market. Since working professionals have less time in the morning, these syrups serve to season ready-to-eat breakfast products for them. In addition to their use as breakfast toppings, these syrups also push the demand for bakery products.

• Other Factors:

The leap in disposable income levels of consumers and the surge in the food and beverage industry are among the factors that are driving the growth of the flavored syrup market. Rising bakery and dairy consumption is further increasing demand globally.

Market Restraints

Associated Health Complications:

The development of greater predilection for healthy diet among consumers due to which low-calorie processed foods are gaining traction in recent times. The added sugars in some flavored syrups may lead to health complications like diabetes, cardiac disorders, high blood sugar, diabetes, and gastrointestinal disorders.

Synthetic sweeteners are estimated to witness reducing sales through 2029 in view of their high sugar content which is dangerous for hyperglycemia patients. In the baking and confectionery industries, syrups form a part of product preparation, which leads to children and the young population consuming these items, which is detrimental to their health and wellbeing. These factors are set to act as restraining factors for flavored syrups from growing.

Disruptions in Supply Chain due to COVID-19:

During the pandemic, the supply chains of the flavored syrup manufacturing industries were disrupted as there were restrictions on trade of necessary ingredients across nations. This is a significant restraint for the growth of the flavored syrup market in recent years.

FLAVORED SYRUPS MARKET REPORT COVERAGE:

Segment Analysis

The global Flavored Syrups market is segmented based on types of flavors, taste, application, distribution channel and regional growth and region.

Global Flavored Syrups market – By Flavors

• Fruit
• Chocolate
• Vanilla
• Coffee
• Herbs and Seasonings
• Butterscotch
• Hazelnut
• Others

Fruit flavored syrup marked a significant growth during the forecast period, while vanilla flavored syrup was up XX% to close in on a valuation of $XX Bn. Growing consumer preference for syrups with high fruit content has been a major factor driving the manufacturers to introduce wide varieties of syrups infused with natural ingredients.

The chocolate flavored syrup segment is projected to grow at the highest CAGR by 2027. The growth can be attributed to its industrial application in bakery products, production of chocolate-flavored dairy drinks, frozen desserts, ice creams, chocolate confectionery, and chocolate-flavored beverages.

Global Flavored Syrups market – By Application

• Food
• Beverages
  1. 1.  
  • Cocktail
  • Soda
  • Lemonades
  • Flavored Wines
  • Iced Teas
  • Coffee-based Drinks
  • Others

Beverages accounted for a share of more than XX% in 2021. Beverages, especially cocktails, flavored-wines, hot and cold beverages, and soft drinks are some of the common products that contain flavored syrups as a taste and sweetness enhancer ingredient contributing to the largest share in the market.

• Dairy and Frozen Desserts
  • Smoothies and Frappes
  • Dessert Drinks
  • Others

Dairy & frozen desserts application in the flavored syrups market is expanding owing to its usage in smoothies, desserts, frappes, flavored milk, yoghurts, milkshakes, whipped creams, and others. It imparts a distinct flavor profile to the products.

Global Flavored Syrups Market – By Taste

• Sour
• Sweet
• Salty
• Savory
• Mint
• Others

The savory flavored syrup market is the largest segment of the flavoring syrup market segmented by taste, accounting for XX% of the total in 2021. This form is becoming more popular in sweets, shakes, bakery items, and ice creams. Due to its extensive usage in beverages, the savory form is projected to grow at the fastest CAGR in upcoming years. Furthermore, this form is increasingly being utilized in meat dishes, salad dressings, and the manufacture of cupcakes and pancakes in bakeries, among other applications. Food markets for savory flavored syrups, such as spicy and herb, are driving the demand for this market.

Global Flavored Syrups Market – By Type of flavoring ingredient

• • Natural
  • Artificial / Synthetic

Essential oils or chemicals derived from spices, fruits, vegetables, bark, buds, leaves, meat, seafood, poultry, and dairy products, among other sources, are used to create natural flavours. Chemical mixes of synthetic flavours that taste and smell like natural flavours are known as artificial flavours. Alcohols, esters, ketones, pyrazines, phenolics, and terpenoids are the most commonly employed chemical flavouring compounds. Alcohol has a bitter, medicinal flavour, whereas ester is fruity, ketones and pyrazines have a caramel flavour, phenolics are smoky, and terpenoids have a citrus or pine flavor.

Global Flavored Syrups Market – By Distribution Channel

• Direct Channels
• Online Channels
• Supermarkets and Hypermarkets
• Departmental Stores
• Convenience Stores
• Specialty Stores
• Others

Online Channels segment is expected to be the fastest growing segment in the flavoring syrup and concentrate market, at a CAGR of xx% during 2022-2027.

Global Flavored Syrups Market- By Region

• North America accounted for the largest share due to consumers’ high demands for convenience and ready-to-eat foods. The market in this region is projected to reach $XXBn by 2027 and is projected to grow at a CAGR of 5% from 2021 to 2027. The flavored syrup companies in this region are continuously enhancing the overall business processes and product portfolio to meet the rising demand from beverages, dairy & frozen desserts, confectionery, and bakery producers.
• Europe Flavored Syrups Market is projected to be worth $XX billion in 2021 growing at a CAGR of 3.82% from 2021-2027. The market has been propelled forward by rising consumers’ demand for packaged food.
• Asia-Pacific – Asia Pacific Flavored Syrups Market is estimated to be $XX Bn in 2021. It is anticipated to reach a valuation of $XX Bn in 2027.  Food and beverage sector in the Asia Pacific will see the highest growth rates due to the desire for new and advanced products. A rise in new products developed and launched in the food and beverage industry has also accelerated the pace of progress. In addition, better regulations in emerging economies such as China and India will also fuel the growth of the global flavored syrups market.
• Rest of the World – Middle East flavored syrups market is anticipated to be $XX Bn in 2021 and is estimated to reach $XX Bn by 2027.

Key Players of the Global Flavored Syrups Market

1. Sensient Technologies Corporation
2. Kerry Group PLC
3. Sensory Effects, Inc
4. Concord Foods, LLC
5. The Hershey Company
6. Archer Daniels Midland Company
7. Starbucks Corporation
8. The J.M. Smucker Company
9. Stirling Flavors, LLC
10. Midwest Syrup Company

Recent Development in the Global Flavored Syrups market

• Torani Announces its 'Flavor of the Year' for 2022, kicking off its First-Ever Flavor Campaign in December 2021.
• Jul-2021: MONIN launched Energy Boost. This energy boost includes natural caffeine, low calories, and zero sugar.

• February 2021, Monin. introduced strawberry rose flavoured syrup. Strawberry rose flavour adds a scarlet hue while it carries notes of candied strawberry and soft rose in sip and bites of the products in which it is used. It is ideal for recipes including lattes, teas, cocktails, lemonades, sparkling waters, dressings, desserts, among others.