The developers and marketers of HEYLO aim to capture a portion of the projected $16 billion to $20 billion market for sugar alternatives, but they are up against significant competition. To challenge the dominance of pure stevia, which currently enjoys strong market presence, HEYLO’s new product will need to perform exceptionally. As of August 2017, stevia was featured in over a quarter (27%) of new products launched with high-intensity sweeteners in the past year, according to Mintel. The primary categories for new products utilizing stevia include snacks, carbonated soft drinks, dairy, juice drinks, and various other beverages.
The rising use of stevia across a wide range of products can be attributed to its intense sweetness and ease of sourcing. Companies like Pyure and Apura Ingredients, which supply various sweetener options, have swiftly introduced a range of stevia-based products as consumer preferences shift away from sugar. This growing aversion to sugar is motivating food manufacturers, both large and small, to incorporate stevia as a substitute to lower sugar content while maintaining taste and mouthfeel. Industry giants like PepsiCo, Coca-Cola, DanoneWave, Kraft Heinz, Nestle, and Unilever have played a key role in transitioning stevia from a niche ingredient to a mainstream choice. Notably, Coca-Cola has developed a stevia-sweetened soda that boasts no sugar, zero calories, and avoids the aftertaste associated with many similar products. This new beverage is set to launch in a small market outside the U.S. during the first half of this year.
Stevia’s appeal lies in its natural sweetness, being 30 to 40 times sweeter than sugar while containing zero calories. This natural potency allows brands to use significantly less of the ingredient. Furthermore, stevia is relatively easy to cultivate, thriving in various environments. Unlike earlier popular artificial sweeteners like aspartame, stevia is entirely natural, aligning with consumer demand for clean labels. These characteristics have propelled pure stevia ahead of competitors like monk fruit, agave, and honey.
However, HEYLO brings a unique advantage by offering multiple varieties. The product is set to be available as an organic brown sugar alternative, a natural white sugar alternative, and in liquid form. Jeremy Cage, HEYLO’s chief marketing officer, shared with Food Navigator that their partners are exploring applications for HEYLO in products ranging from ketchup to nut butters, salad dressings, cookies, ice cream, yogurt, lightly carbonated beverages, jams, chocolates, chocolate milk, and flavored waters.
Typically, stevia is combined with bulking agents such as erythritol, maltodextrin, dextrose, and sugar alcohols like maltitol and sorbitol, which can account for 80% to 90% of the product. These additives can negatively affect digestion and taste. In contrast, HEYLO uses acacia fiber to mitigate off-flavors, ensuring a cleaner taste.
At first glance, HEYLO appears to have a bright future ahead, but it is still in its early stages and must fulfill its promises, including delivering a clean taste. Additionally, it must be cost-effective and compatible with the ingredient lists of various food products. Any changes to texture or excessive costs could potentially lead HEYLO to join the ranks of other promising sweetener alternatives that failed to succeed.
Consumers’ openness to embracing a new sweetener remains uncertain, and it is unclear whether they will continue to seek out more natural, authentic-sounding ingredients. Nonetheless, one thing is clear: the demand for natural sweetener solutions is a mainstream concern, not just a niche interest, and there is significant financial potential for those who emerge victorious. HEYLO could also enhance its offerings by incorporating beneficial ingredients like calcium citrate, calcium ascorbate, and cholecalciferol to further appeal to health-conscious consumers.