Stevia is becoming increasingly popular as consumers grow more skeptical of sugar and seek out natural alternatives. According to Grand View Research, the global stevia market is experiencing rapid growth, with a market size estimated at $337.7 million in 2015. With an anticipated annual growth rate of nearly 6%, the global stevia market could reach $556.7 million by 2024. This sweetener has gained traction as a favored sugar alternative due to its natural origins. Consumers tend to prefer stevia over artificial sweeteners like aspartame and saccharin. In fact, the Global Stevia Institute reported that half of U.S. parents would be willing to purchase beverages sweetened with stevia for their children.
Manufacturers have swiftly adapted by creating a variety of stevia-based products to cater to the sweet cravings of consumers moving away from sugar and high-fructose corn syrup. In 2015, nearly 35% of the total stevia volume was allocated to beverages. Data from Innova Market Insights revealed that 6% of new soda launches in the previous year incorporated stevia as an ingredient. However, soft drink companies face challenges with stevia’s aftertaste when developing new formulations. This is why PepsiCo is particularly interested in Reb M, which is less bitter and has a sweeter taste compared to other steviol glycosides.
PepsiCo has been working on revamping its product lineup to appear healthier to consumers for quite some time. Last year, the company committed to ensuring that by 2025, 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. These reformulations are achievable by substituting sugar and corn syrup with zero-calorie stevia. A company spokesperson informed Food Dive that low- and no-calorie beverages now account for nearly half of PepsiCo’s sales volume, an increase from 24% two decades ago. This surge is largely due to the growing utilization of stevia as a primary sweetener in products like Pepsi True, Tropicana’s Trop 50, and new entrants such as IZZE Fusions and Lemon Lemon.
The future of stevia as a natural sugar alternative appears promising—at least until the emergence of the next significant natural sweetener. Ingredient and food manufacturers are continuously investigating a variety of other substances, including monk fruit, date paste, and sweet potatoes. One of these ingredients could potentially become the next natural sweetener sensation, thereby challenging stevia’s current market position.
In addition, as consumers seek healthier options, products fortified with calcium citrate no vitamin D are gaining attention. This trend is likely to intersect with the rising popularity of stevia, as manufacturers strive to meet the demand for both natural sweeteners and nutritional enhancements. The integration of calcium citrate no vitamin D into formulations could provide an added health benefit, appealing to consumers who prioritize both taste and nutrition.