U.S. Confectionery Market Size, Share, Growth Analysis, By Product(Chocolate Confectionery and Sugar Confectionery), By Distribution Channel(Hypermarkets/Supermarkets, Convenience Stores, Specialty Chocolate Stores and Online), By Region - Industry Forecast 2024-2031

U.S. Confectionery Market size was valued at USD 36.8 billion in 2021 and is poised to grow from USD 38.2 billion in 2022 to USD 55.4 billion by 2030, growing at a CAGR of 4.8% in the forecast period (2023-2030).

Confectioneries, in particular chocolate and candies, gummies, and jellies, have been very well-liked among customers in the U.S. in recent years. Consumers today seek out delicious confections in a variety of flavors that are of a high caliber. Over the forecast period, this factor is anticipated to fuel the growth of the American confectionary market.

The American confectionery industry has been resilient over the pandemic. Sales of the U.S. confectionery companies exceeded USD 36.70 billion in 2020, even in the midst of the COVID-19 pandemic and the ensuing globally economic crisis. This surge is partly because of American customers' renewed interest in the confectionary seasons after a tumultuous 2020 due to lockdowns. Sales of chocolate and candies increased by 11% in 2021 compared to 2020, according to the NCA's third annual State of Treating study, which was published in 2022. This increase was attributed to consumers' increased attention to the holidays, sharing and gifting, and emotional well-being.

Additionally, about 47% of consumers occasionally buy confectionery items they believe to have a "better-for-you" profile, though how that determination is made varies greatly across demographic groups. Around 66% of Americans have looked up candy gifting, baking with candy, or other inspirational ideas on social media. Additionally, approximately 75 percent of customers concur that it's critical for chocolate and candy businesses to provide a range of serving sizes. The market is expanding nationwide as a result of these incidents.

Due to the rising demand for plant-based confectionery, items that are free of milk and gelatin are already appearing on store shelves. The number of vegan chocolate confectioneries opening new products is rising nationwide. For instance, Katjes, the second-largest gummy candy brand in Germany, made a 100% plant-based portfolio expansion to the United States in February 2022. Katjes USA has had a national listing at Walgreens since its May 2021 launch, and additional retail listings are scheduled for spring 2022. Direct-to-consumer services are also provided by the brands.

The growth of the industry as an entire is being driven by rising new product launches. For instance, in April 2021, the producer of chocolate bars and peanut butter cups, Skinny-dipped, will enter the candy market. Skinny-dipped also produces coated almonds, peanuts, and cashews. Four new products from the company include milk chocolate and dark chocolate peanut butter cups, a dark chocolate salted caramel bar, and a dark chocolate almond bar. The confections, which use a mixture of maple sugar, cane sugar, and allulose, have up to 79% less sugar than top brands and are made without stevia or sugar alcohols specifically for consumers that are becoming more educated about the use of sugar alcohols and their link to gut health.