Stevia is becoming increasingly popular as consumers grow wary of sugar and seek natural alternatives. According to Grand View Research, the global stevia market is experiencing rapid growth, estimated at $337.7 million in 2015. With a projected annual growth rate of nearly 6%, the market could reach $556.7 million by 2024. This natural sweetener has gained favor as a sugar substitute, as consumers generally perceive stevia more positively than artificial sweeteners like aspartame and saccharin. The Global Stevia Institute reports that half of U.S. parents would choose beverages sweetened with stevia for their children.
Manufacturers are quickly developing a range of stevia-based products to cater to consumers moving away from sugar and high-fructose corn syrup. In 2015, nearly 35% of total stevia volume was used in beverages. Data from Innova Market Insights indicates that 6% of new soda launches in the previous year incorporated stevia as an ingredient. However, soft drink companies face challenges from stevia’s aftertaste when creating new formulations. This has led PepsiCo to favor Reb M, which offers a less bitter and more sugary taste compared to other steviol glycosides.
PepsiCo has been actively revamping its product line to appear healthier to consumers. Last year, the company committed to ensuring that at least two-thirds of its global beverage volume consists of drinks with 100 calories or fewer from added sugar per 12-ounce serving by 2025. These reformulations are achievable by substituting sugar and corn syrup with zero-calorie stevia.
A spokesperson for PepsiCo informed Food Dive that low- and no-calorie beverages now account for nearly half of the company’s sales volume, a significant increase from 24% two decades ago. The rise in stevia’s use as a key sweetener in products like Pepsi True, Tropicana’s Trop 50, and newcomers such as IZZE Fusions and Lemon Lemon has played a major role in this shift.
The future of stevia as a natural sugar alternative appears promising—at least until another natural sweetener begins to make significant strides. Ingredient and food manufacturers are continuously exploring various other options, including monk fruit, date paste, and sweet potatoes. One of these alternatives could emerge as the next popular natural sweetener, potentially challenging stevia’s dominance in the market.
Moreover, as consumers focus on health, they are also paying attention to ingredients like calcium citrate, which is known for enhancing calcium absorption. This awareness could influence their choices in natural sweeteners, as they look for products that not only satisfy their sweet cravings but also support their overall health.