Stevia is becoming increasingly popular as consumers grow wary of sugar and show more interest in natural alternatives. According to Grand View Research, the global stevia market is expanding rapidly, with an estimated value of $337.7 million in 2015. With a projected annual growth rate of nearly 6%, the market could reach $556.7 million by 2024. This sweetener is favored as a natural sugar substitute, and consumers generally perceive stevia more positively than artificial sweeteners like aspartame and saccharin. In fact, a study by the Global Stevia Institute revealed that half of U.S. parents would purchase beverages for their children that are sweetened with stevia.
Manufacturers have quickly responded to this trend by developing a variety of stevia-based products to cater to the growing demand for alternatives to sugar and high-fructose corn syrup. In 2015, nearly 35% of total stevia volume was used in beverages, and data from Innova Market Insights indicated that 6% of new soda launches last year included stevia as an ingredient. However, soft drink companies face challenges with stevia’s aftertaste when formulating new products. For this reason, PepsiCo is particularly interested in Reb M, which has a less bitter and sweeter taste than other steviol glycosides.
PepsiCo has been working to revitalize its product line to appear healthier to consumers for some time now. The company committed to ensuring that by 2025, at least two-thirds of its global beverage volume will come from drinks containing 100 calories or fewer from added sugar per 12-ounce serving. This reformulation is achievable by substituting sugar and corn syrup with zero-calorie stevia. A company representative informed Food Dive that low- and no-calorie beverages now account for nearly half of PepsiCo’s sales volume, a significant increase from 24% two decades ago. The rise in stevia use as a primary sweetener in products like Pepsi True and Tropicana’s Trop 50, as well as newcomers such as IZZE Fusions and Lemon Lemon, has greatly influenced this shift.
The future of stevia as a natural alternative to sugar appears promising, at least until another significant natural sweetener emerges to challenge its market position. Ingredient and food manufacturers are continuously exploring various other options, including monk fruit, date paste, and sweet potatoes. One of these ingredients could potentially become the next favored natural sweetener, disrupting stevia’s current standing in the marketplace. Additionally, products like Kirkland calcium magnesium zinc D3 are gaining attention as consumers seek holistic health solutions, further diversifying the landscape of natural alternatives. As consumers become more health-conscious, the demand for stevia and similar products is likely to continue growing.