Liquor Confectionery Market

Liquor Confectionery Market Value and Growth:

Liquor Confectionery Market size was valued at approximately USD 547 million in 2023 to grow at a compound annual growth rate of 5.2% from 2023-2028.

Liquor Confectionery Market Overview:

Liquor confectionery is the market in which the confectioneries such as candy, gums, and chocolates are infused with alcohol. The burgeoning demand for liquor confectionery among consumers due to the increasing awareness about innovative techniques being used in liquor-filled confectionery along with traditional techniques promoting the launch of new products is expected to drive the market. The new and innovative solutions to develop products in this market coupled with the availability of a variety of flavors have boosted the market growth of liquor confectionery because they cater to the different taste preferences and choices of consumers across the globe.

Recent Developments in the Global Liquor Confectionery Market:

Barry Callebaut has recently acquired American Almond Products Co. which will enable the former to expand and grow its product line further, over the coming years.

Liquor Confectionery Market Growth:

The growth factors of the market are highly attributable to the factors of convenience along with the inclination of consumers towards handmade liquor confectionery. This is propelling the market forward. Brand recognition plays a crucial role in the category growth of the market.

Liquor Confectionery Market Drivers:

The consumption of chocolate has been on an upswing in many countries such as the United States where in general, Americans are believed to consume 2.9 billion pounds of chocolate every year. This upward-rising trend in the consumption of chocolate acts as an ancillary which promotes the liquor confectionery market.

• There has also been a rapid increment in the adaptation of alternative forms of alcohol consumption. Resultantly, a lot of consumers have shifted their spending on liquor confectionery, thereby boosting the market further.

• New product launches with different flavors in the chocolate, candies, and gum category have positively influenced the growth of the market. The demand for handcrafted liquor confectionery and premium liquor chocolates for gifting purposes has also gone up which has driven the market growth further.

• The majority of the global liquor confectionery market growth can be attributed to factors such as convenience and consumer preference for handmade liqueur confectionery, which will drive demand even higher.

• Brand awareness will be important for category growth, but the market will shift more toward the premium category, followed by the gifting culture evident in developed economies. Despite the fact that the covid-19 pandemic slowed consumer packaged product sales during its early stages, confectionery-based products, including alcoholic beverages, have seen significant growth as a result of the preference for snacking during the lockdown as well as cravings for sweet products at times.

• Similarly, the global lockdown has resulted in repeated purchases of confectionery items, which will help liquor confectionery businesses in the long run.

Liquor Confectionery Market Restraints:

The price fluctuations in the raw materials used in the production process act as a hindrance to the growth of the liquor confectionery market. The product mostly falls under the premium category; hence, they are priced higher. The high price of liquor confectionery can act as a restraint to the growth of the market across the globe.

REPORT COVERAGE:

Liquor Confectionery Market Segmentation: 

By Product:

• Chocolates

• Candies & Gums

Based on product, the Liquor Confectionery Market can be bifurcated into two categories namely Chocolates and Candies and gums. Sales in the chocolate segment are projected to gain momentum over the forecast period. These chocolates are being preferred by consumers as gifting options across the globe. 

Further, surging preference and demand for premium liquor chocolates is anticipated to augment the growth in the market in the coming years.

By Distribution Channel:

• Supermarkets/Hypermarkets

• Speciality Stores

• Online

The Liquor Confectionery Market can be categorized into three segments based on the distribution channel. They are Supermarkets/Hypermarkets, Specialty stores and Online. Supermarkets/Hypermarkets held the largest share in this segment due to the easy availability of a variety of products. The consistent quality of chocolate, ready packaging, and in-store promotions being offered at the supermarkets and the hypermarkets can also be considered as the driving forces behind their dominance.

However, the online segment has been gaining traction and is expected to grow at an exponential rate during the forecast period with a CAGR of 6% approximately.

Liquor Confectionery Market Regional Analysis: 

• Europe

  1. The U.K.

  2. Germany

  3. Switzerland

  4. Belgium

Europe is the largest market for liquor confectionery in the world with Germany contributing the maximum share. Within the liquor confectionery category, Europe is more likely to emerge as a centre for the premium category, mostly related to higher brand penetration and higher customer acceptance. In countries such as Britain and Belgium, confectionery sales have been on the rise, with an increase in the demand for premium liquor chocolate targeted toward a specific set of consumers. The number of private-label chocolatiers in the United Kingdom is also growing, with more specialized and artisanal products being launched to meet the consumers’ demand in the premium liquor chocolate category.

Consumers have an inclination towards premium liquor chocolates in most of the countries in this region such as Belgium, Germany, Switzerland etc. The consistent quality of chocolate, ready packaging, and in-store promotions being offered at the supermarkets and the hypermarkets have been pushing the market forward in Europe. The trend of organic liquor confectionery is creating lucrative opportunities for the liquor chocolate manufacturers to tap the potential markets thus, opening the doors for the new entrants to enter the market with innovative, organic, and flavoured confectioneries, thus enhancing their revenue mixes, by gaining advantages over the others.​

• Asia Pacific

  1. China

  2. India

  3. Japan

  4. Australia

The Asia Pacific region is likely to witness significant demand due to an increase in awareness and adaptability of innovative products in chocolates and candies consisting of liquor. China is the dominant country in the Asia Pacific region due to the increasing demand for international and unique confectionery products such as gummies and chocolates in this region. In response to this trend, manufacturers are investing in acquisitions, and collaborations to expand their production facilities in China. Such developments are anticipated to bode well for the market in the coming years.

• North America

  1. The U.S.

  2. Canada

  3. Mexico

The U.S holds the maximum portion of the North American market owing to the growing interest in innovative liquor-based food products which is encouraging manufacturers to improve their product portfolios by including distinct and unique flavours in liquor confectionery. 

• Latin America

  1. Brazil

  2. Argentina

• Middle East & Africa

  1. South Africa

  2. Saudi Arabia

Liquor Confectionery Market Key Players:

1. Hershey's 

2. Ferrero SpA 

3. Mondelez International 

4. Toms Gruppen 

5. Liqueur Fills 

6. Abtey Chocolate Factory 

7. Neuhaus 

8. Mars 

9. Brookside 

10. Booz Drops