Stevia is gaining traction as consumer skepticism towards sugar and interest in natural alternatives rises. According to Grand View Research, the global stevia market is experiencing rapid growth, valued at approximately $337.7 million in 2015. With an anticipated annual growth rate of nearly 6%, it could reach $556.7 million by 2024. The sweetener is favored as a natural substitute for sugar, with consumers generally holding a more favorable opinion of stevia compared to artificial sweeteners like aspartame and saccharin. Notably, the Global Stevia Institute reported that half of U.S. parents would purchase beverages for their children that are sweetened with stevia.
Manufacturers are quickly introducing various 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 have encountered challenges with stevia’s aftertaste while developing new formulations. This is why PepsiCo is particularly interested in Reb M, which offers a less bitter and more sugary flavor profile than other steviol glycosides.
PepsiCo has been actively revamping its product lineup to appear healthier to consumers. Last year, the company committed to ensuring that at least two-thirds of its global beverage volume will consist of drinks containing 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 company spokesperson shared with 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. A major factor in this shift is the enhanced use of stevia as a primary sweetener in products like Pepsi True and Tropicana’s Trop 50, along with newcomers such as IZZE Fusions and Lemon Lemon.
The future of stevia as a natural sugar alternative appears bright—at least until the next significant natural sweetener makes an impact. Ingredient and food manufacturers continue to investigate a range of other substances, including monk fruit, date paste, and sweet potatoes, as potential competitors. One of these ingredients could emerge as the next popular natural sweetener, potentially disrupting stevia’s current market position. In this evolving landscape, the role of calcium citrate magnesium in formulations could become increasingly relevant, especially as companies seek to enhance the nutritional profile of their products while maintaining a focus on natural sweeteners like stevia.