Flavored Syrup Market

Flavored Syrup Market Outlook for 2024 to 2034

The flavored syrup market is estimated to be valued at USD 57,230.9 million in 2024. It is expected to rise to USD 81,200.0 million by 2034. The global market is projected to grow at a CAGR of 4.00% during the forecast period.

Key Market Drivers

• Increasing consumer preferences for diverse and unique flavors in food and beverages
• The growing popularity of specialty coffee and tea beverages, including flavored lattes, iced coffees, and artisanal teas
• The global expansion of the beverage industry, including both non-alcoholic and alcoholic beverages
• Convenience and customization offered by flavored syrups to consumers to modify their beverages according to their taste preferences
• Growth in the foodservice sector, including restaurants, cafes, and bars providing a diverse and appealing menu
• Continuous innovation in terms of new flavors and product formulations by manufacturers
• The development of flavored syrups with natural and organic ingredients, as well as those with reduced sugar content
• The increasing globalization of food and beverage trends, along with the influence of different cultures

Attributes	Key Statistics
Flavored Syrup Market Value (2024)	USD 57,230.9 million
Anticipated Market Value (2034)	USD 81,200.0 million
CAGR (2024 to 2034)	4.00%

Consumption Analysis of the Flavored Syrup Market

• Beverage enthusiasts who enjoy experimenting with different beverages, such as coffee, tea, and cocktails, form one of the largest consumer groups in the global flavored syrup market. This group also includes coffee aficionados and tea lovers.
• People who enjoy creating customized beverages at home, including flavored sodas, mocktails, and homemade coffee creations, contribute significantly to this market. They use flavored syrups in recipes for cakes, desserts, and sauces.
• Bars and restaurants also consume a substantial amount of flavored syrup. These units incorporate unique and flavorful cocktails and mocktails in their menus, which can only be made using these syrups.
• Health-conscious individuals are another consumer segment in this market. These individuals seek flavored syrups with natural or organic ingredients, as well as those with reduced sugar content.
• Younger demographics, in the urban and semi-urban setups, are one of the emerging consumer bases in this market. These individuals are drawn to the Instagram-worthy food and beverage experiences.
• Consumers who seek gourmet and specialty food items also seek flavored syrups for beverages and culinary applications.

Historical Analysis of the Flavored Syrup Market

The flavored syrup market generated an estimated revenue of USD 44,909.51 million in 2019. In the span of four years, the market grew at a pace of 3.80% CAGR. Several reasons can be attributed to this growth.

Historical Market Valuation, 2019	USD 44,909.51 million
HCAGR (2019 to 2023)	3.80%

The market heavily relies on a multitude of factors, including changes in consumer spending habits, disposable income levels, and consumer preferences for indulgent or value-added products. Trends in the broader beverage industry also influence the market. Besides this, the growth of the hospitality and foodservice industries, including restaurants, cafes, and bars, impacts the demand for flavored syrups.

In the past few years, the market has seen a series of ups and downs. During the pandemic, as the world faced sudden shutdowns, the demand for non-essential commodities such as mocktails and cocktails plunged. This negatively affected the global market revenue. The shutdown of restaurants and the hospitality sector worldwide resulted in a sudden and substantial reduction in the consumption of beverages.

However, as the world got accustomed to the new normal, things gradually began to pace up. As economies recovered, the foodservice sector rebounded, positively impacting the market. As the world continues to focus on health and wellness, the demand for flavored syrups with natural and healthier formulations is likely to drive the market.

Restraining Factors Adversely Affecting the Flavored Syrup Market

The market is anticipated to surpass a global valuation of USD 81,200.0 million by the year 2034, with a growth rate of 4.00% CAGR. While the market is expected to experience substantial growth, several restraining factors could adversely affect its development:

• As the world pushes toward healthier dietary habits, there are increasing concerns over high sugar intake through these syrups. Consumers all over the world prefer sugar-free syrups, which is impacting sales of traditional ones.
• The ongoing trend of clean eating, including natural and clean-label products, is deterring a substantial amount of consumers from choosing flavored syrups. Concerns about artificial colors and preservatives have led to a decline in demand.
• The market is also becoming very competitive due to the influx of numerous companies. This has led to cut-throat competition, lower profit margins, crowding of products, and unnecessary dumping.
• Increasing regulations related to food safety, labeling, and ingredient sourcing can pose challenges for flavored syrup manufacturers.

Category-wise Insights

Synthetic Flavored Syrups Gaining Popularity Despite the Natural Products Trend

Regardless of the general population's ongoing inclination toward clean-labeled and natural food products, synthetically flavored syrups have retained their dominance in the global market. Synthetic flavored syrups are in great demand as they offer consistent flavor profiles, cost-effectiveness, and versatility in a wide range of applications. They can also be precisely engineered to achieve a consistent taste, flavor intensity, and quality.

Attributes	Details
Top Sourcing	Synthetic
Market share in 2024	34.00%

Based on the sourcing, synthetic flavored syrups dominate the global market with a share of 34%. Compared to natural syrups, artificially flavored syrups also come with an extended shelf life. This makes it easier for commercial and household setups to store and transport these syrups effectively. Flavored syrups are also gaining popularity due to their cost-effectiveness compared to natural ones.

Coffee-Flavor Dominates the Flavored Syrup Market Globally

One in every two adults in the world starts their day with a brewing cup of coffee. However, with increasing concerns about the ill effects of excessive coffee consumption, consumers are opting for coffee substitutes, especially coffee-flavored beverages. This has substantially increased the demand for flavored syrups that closely resemble the taste of coffee, making them a must-have in both home kitchens and professional settings.

Attributes	Details
Top Flavor Type	Coffee
Market share in 2024	13.00%

On the basis of flavor, coffee-flavored syrups dominate the global market with a remarkable share of 13%. This popularity is also attributed to the ever-growing coffee culture and the desire for diverse taste experiences.

The adaptability of these syrups, where they can be incorporated into various applications, like hot and cold beverages, desserts, cakes, pastries, etc., has also brimmed with appeal and contributed significantly to the widespread adoption of coffee-flavored syrups.

Country-wise Insights

The section provides an analysis of the flavored syrup market by country, including Australia, Germany, the United States, China, and Japan. The table presents the CAGR for each country, indicating the expected growth of the market in that country through 2034.

Countries	CAGR (2024 to 2034)
Germany	6.50%
China	5.50%
The United States	4.50%
Japan	4.00%
Australia	3.40%

Flavored Syrup Market in Germany

Germany is one of the leading countries in this market. The German flavored syrup market is anticipated to retain its dominance by progressing at a CAGR of 6.50% till 2034.

The German market, like the international one, has witnessed a shift toward healthier alternatives. This has boosted the demand for nutritious beverages and shakes in the general German population. Flavor is an essential component in these syrups, thus augmenting sales for these products.

Germany’s rich culture of food is another reason behind the increased demand for flavored syrups, as the use of flavored syrups is not limited to beverages, it can also be used in various dishes such as pancakes, pastries, and other desserts.

Flavored Syrup Market in China

In the Asian region, China leads the flavored syrup market. The market in China is anticipated to retain its dominance by progressing at a CAGR of 5.50% till 2034.

Western food and beverage trends have had a significant influence on the Chinese general population. This has opened new ventures for the foodservice sector in China to incorporate milkshakes, coffee-flavored beverages, and smoothies in their offerings, amplifying the growth of the flavored syrup market.

China’s growing middle-class population and rising disposable incomes have also led to an increasing demand for premium and innovative food and beverage products. All these factors have collectively skyrocketed the significance of flavored syrups in the Chinese marketplace.

Flavored Syrup Market in the United States

In the North American region, the United States dominates the market. The United States flavored syrup market is anticipated to exhibit a CAGR of 4.50% till 2034.

The ongoing trend of crafted beer and customized beverages is one of the primary reasons for the growth of the market in the United States. Flavored syrups play a significant role in creating specialty coffees, cocktails, and artisanal drinks. These syrups also provide a customizable and adaptable option, catering to the varied tastes of American consumers. All these factors have collectively contributed to the growth of this market.

Flavored Syrup Market in Japan

Japan is another country in the Asian region that is leading the market. The Japanese flavored syrup market is anticipated to register a CAGR of 4.00% through 2034.

Japan has a rich tradition of consuming tea. The Japanese have been having tea since the beginning of time. In the last few decades, there have been tremendous modifications in the way the Japanese people consume tea. The use of flavored syrups in teas and desserts, such as matcha lattes and Japanese sweets, has contributed to their popularity in the Japanese market.

Flavored Syrup Market in Australia

Australia is another country that is leading in the flavored syrup market. Australian demand for flavored syrup is projected to rise at a 3.40% CAGR over the next ten years.

Australia is one of the most visited countries in the world. Every year, millions of tourists flock to the continent to experience a pleasant vacation. The brilliant hospitality industry of Australia, including cafes and restaurants, has embraced flavored syrups to enhance the overall beverage and culinary experience. This has driven consumer awareness and demand for flavored syrups.

Competitive Landscape

The global flavored syrup market is highly concentrated, with prominent players such as Monin Inc., Sensient Technologies, The Hershey Company, Tate & Lyle, Kerry Group, etc.

Key companies in the market are engaged in the production of sugar-free syrups for health-conscious customers. International players are likely to manufacture organically flavored syrups to meet consumers' rising desire for natural food additives. There is a substantial number of small players, too, in the market. These brands cater to the demands of local consumers.

Recent Developments

• In August 2023, Jordan's Skinny Mixes launched a new naturally sweetened Pumpkin Spice syrup, offering zero calories and sugar. The flavor, curated with natural ingredients, elevated beverages to new heights.
• Recently, IHOP and Kraft Heinz joined forces to launch a pancake-inspired coffee line featuring Signature Blend, Chocolate Chip, and Buttery Syrup flavors, extending the iconic restaurant chain's CPG offerings.
• In March 2023, Torani, a flavor industry leader for almost a century, introduced Torani Kettle Corn Syrup, blending sweet and salty for a familiar yet delightfully unexpected flavor in its extensive lineup.

Key Companies in the Market

• The Hershey Company
• Monin
• Torani
• DaVinci Gourmet
• Fuerst Day Lawson (FDL)
• Kerry Group
• Sensient Technologies Corporation
• Concord Foods
• Mocafe
• Amoretti
• Ghirardelli Chocolate Company
• Tate & Lyle PLC
• Jordan's Skinny Mixes
• Sweetbird
• 1883 Maison Routin
• Nestlé S.A.
• Walden Farms
• Jordan's Skinny Syrups
• Sunny Sky Products
• R. Torre & Company (Monin)

Market Segmentation

By Flavor:

• Fruit
• Chocolate
• Vanilla
• Coffee
• Herbs & Seasonings

By Application:

• Beverages
• Diary & Frozen Desserts
• Confectionery
• Bakery

By Flavor Type:

• Sweet
• Salty
• Sour
• Savory
• Mint

By Product type:

• Natural
• Synthetic

By Region:

• North America
• Latin America
• Europe
• Asia Pacific
• MEA

Frequently Asked Questions

How Big is the Flavored Syrup Market in 2024?

The global flavored syrup market is estimated to be worth USD 57,230.9 million in 2024.

What is the Sales Forecast for Flavored Syrup through 2034?

The market is expected to reach USD 81,200.0 million by 2034.

At What Rate is the Market Expected to Grow?

The market is growing at a CAGR of 4.00% from 2024 to 2034.

Who are the Key Manufacturing Companies for Flavored Syrup?

Some of the key players in the market are Monin Inc., Sensient Technologies, The Hershey Company, Tate & Lyle, Kerry Group, etc.

Which is the Preferred Flavored Syrup in the International Market?

Coffee-flavored syrup dominates the market with a revenue share of 13%.