Desserts Market – Global Industry Size, Share, Trends, Opportunity and Forecast, By Type (Frozen Desserts, Baked Desserts, Dairy Desserts, Confectionery Desserts, Others), By Application (Food Service, Bakeries, Cafes, Household), By Region & Competition, 2020-2030F

Global Desserts Market was valued at USD 143.63 billion in 2024 and is expected to grow to USD 193.56 billion by 2030 with a CAGR of 5.16% during the forecast period. The global desserts market is experiencing significant growth driven by evolving consumer preferences for indulgent, convenient, and innovative sweet treats. With changing lifestyles and the increasing demand for ready-to-eat products, consumers are seeking more variety and convenience in their dessert options. Additionally, the rise of online sales platforms and the growing popularity of desserts across different age groups are further contributing to market expansion. Companies are focusing on developing unique flavors, healthier alternatives, and premium offerings to cater to diverse consumer needs. The market is also witnessing innovations in packaging, making desserts more accessible and appealing to a broader audience.

According to U.S. Department of Commerce data, U.S. e-commerce sales and their share of total retail sales reached new highs in 2024. E-commerce penetration hit a record 22.7% for the year, maintaining a trend where online sales have consistently accounted for at least 20% of total U.S. retail sales since 2020.

Key Market Drivers

Changing Consumer Preferences and Lifestyles

One of the primary drivers behind the growth of the global desserts market is the significant shift in consumer preferences and lifestyles. As global consumers become more health-conscious and time-pressed, their approach to dessert consumption has evolved. People now seek more convenience and accessibility when it comes to indulging in sweet treats. Ready-to-eat desserts, including packaged cakes, pastries, ice creams, and puddings, have gained immense popularity due to their ability to provide instant gratification. Furthermore, the increasing demand for innovative dessert options, such as fusion desserts or those with unique flavors and textures, reflects a desire for new experiences.

Simultaneously, there has been an increased inclination toward healthier dessert alternatives. With growing awareness of health issues like obesity and diabetes, consumers are demanding low-calorie, sugar-free, and plant-based desserts that cater to specific dietary preferences, including gluten-free, dairy-free, and vegan options. This shift in preferences has driven manufacturers to innovate and create a variety of desserts that meet these evolving demands while still offering indulgence.

The average American consumes approximately 34 teaspoons of sugar daily equivalent to over 500 calories which amounts to more than 100 pounds of sugar per person annually. This significant rise in sugar consumption over the past century has been a key driver of sustained demand in the desserts market, as consumers continue to indulge in sweet products across various categories.

Growing Popularity of Desserts in Foodservice and Retail Channels

The growing popularity of desserts in foodservice and retail channels has significantly contributed to the expansion of the global desserts market. In the foodservice industry, an increasing number of restaurants, cafes, and fast-food chains are offering dessert menus with diverse options. Whether it’s a traditional dessert like tiramisu or innovative offerings like molecular gastronomy desserts, foodservice outlets are constantly innovating to attract dessert enthusiasts. Additionally, many restaurants are creating themed dessert experiences or offering dessert pairings with beverages, such as wines or specialty coffees, to enhance the consumer experience.

The rise of dessert-focused establishments, such as specialized dessert bars or cafes, is another noteworthy trend. These establishments offer a wide range of creative, high-quality, and indulgent desserts, which has significantly contributed to the dessert consumption culture in both developed and developing markets. This trend has made desserts more prominent as a dining experience, leading to their integration into various social and cultural contexts.

The proportion of households consuming traditional Indian sweets three or more times a month grew from 41% in 2023 to 51% in 2024. Additionally, 56% of households reported consuming cakes, biscuits, ice creams, shakes, chocolates, and similar products at least three times a month, with 18% indulging daily. This increasing frequency of sweet intake is a key driver propelling the growth of the market.

Innovation and Product Diversification

Innovation and product diversification are key drivers behind the growth of the global desserts market. Manufacturers and food developers are continuously exploring new flavors, ingredients, and preparation methods to cater to the diverse tastes and preferences of consumers. The advent of fusion desserts that combine different global flavors or incorporate unconventional ingredients is a significant trend. For example, the blending of traditional dessert elements with international flavors such as matcha, salted caramel, or exotic fruits has captivated the attention of adventurous consumers.

Health-conscious innovation is another crucial aspect of the desserts market. The development of low-sugar, low-calorie, and nutrient-rich desserts, such as those made with alternative sweeteners, superfoods, or plant-based ingredients, allows consumers to indulge without compromising their dietary needs. Companies are also increasingly using sustainable and ethical ingredients, such as fair-trade chocolate or organic fruits, to appeal to environmentally conscious consumers.

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Key Market Challenges

Health Concerns and Dietary Restrictions

One of the biggest challenges faced by the global desserts market is the increasing consumer focus on health and wellness. As consumers become more health-conscious and aware of the negative effects of sugar and unhealthy fats, they are more cautious about their dessert choices. Rising concerns about obesity, diabetes, heart disease, and other lifestyle-related health issues are prompting many individuals to reduce their consumption of traditional desserts, which are often high in sugar, calories, and artificial additives. This is particularly evident among younger generations, who are more likely to adopt healthier eating habits.

The challenge for dessert manufacturers lies in finding a balance between satisfying consumers’ desire for indulgent treats and addressing their concerns about health. While there is an increasing demand for healthier dessert options, including low-sugar, low-calorie, or plant-based alternatives, these products often face challenges related to taste, texture, and consumer acceptance. For instance, many sugar substitutes or low-calorie ingredients can alter the flavor or texture of traditional desserts, potentially reducing their appeal.

Rising Ingredient and Production Costs

The global desserts market faces a significant challenge in managing rising ingredient and production costs. The prices of key ingredients such as sugar, chocolate, dairy products, and fruits have been volatile due to a variety of factors, including climate change, supply chain disruptions, and fluctuating commodity prices. For instance, adverse weather conditions, like droughts or floods, can negatively impact agricultural yields, leading to shortages and increased costs for raw materials. Additionally, transportation and logistics issues, particularly in the wake of global disruptions such as the COVID-19 pandemic, can further raise costs and affect the timely delivery of ingredients.

These increased costs can significantly impact profit margins for dessert manufacturers, especially smaller companies that may not have the same economies of scale as larger players in the market. In some cases, manufacturers may need to increase the prices of their products to offset the rising costs, which could deter price-sensitive consumers, especially in emerging markets where disposable incomes are lower. At the same time, many dessert companies are also dealing with pressure from consumers to maintain competitive prices, making it a delicate balancing act to offer quality products while controlling costs.

Key Market Trends

Health-Conscious Desserts and Alternative Ingredients

As consumers become more health-conscious, there is an increasing trend toward healthier desserts that cater to specific dietary needs. The growing awareness of lifestyle-related diseases such as obesity, diabetes, and heart disease has led many individuals to seek out dessert options that are lower in sugar, calories, and unhealthy fats. This trend is reflected in the rising demand for low-sugar, sugar-free, or reduced-calorie desserts, such as those made with alternative sweeteners like stevia, monk fruit, or erythritol. Additionally, desserts made with natural sweeteners, such as honey or maple syrup, are gaining popularity among health-conscious consumers.

In line with this, plant-based, gluten-free, and dairy-free desserts are becoming more common as consumers with dietary restrictions seek indulgent yet safe alternatives. Vegan desserts, which do not contain animal-derived ingredients, are in high demand, particularly in regions with a growing plant-based food movement. Manufacturers are responding by creating a diverse range of plant-based desserts, including dairy-free ice creams, vegan cakes, cookies, and pastries. The popularity of keto-friendly desserts, made with low-carb, high-fat ingredients, is also growing, as more consumers adopt the ketogenic diet for weight management and overall health.

Customization and Personalization

Customization and personalization are emerging trends in the global desserts market as consumers seek more tailored and unique dessert experiences. Whether it’s choosing specific ingredients, flavors, or even the size of a dessert, personalization is becoming a significant driver of consumer choice. This trend is especially evident in the rise of customizable desserts, such as build-your-own cupcake or ice cream bars, where consumers can select from a variety of toppings, sauces, and base flavors.

In addition to individual customization, personalized desserts are also gaining popularity for special occasions such as birthdays, weddings, and corporate events. Consumers are looking for unique, bespoke desserts that reflect their personal preferences or fit the theme of the event. This has led to the rise of artisanal and bespoke dessert businesses that offer customized cakes, cookies, and pastries tailored to specific requests, from flavor combinations to intricate designs.

Fusion and International Flavors

The global desserts market is witnessing an exciting trend in fusion and international flavors, where traditional desserts are being blended with flavors from different cuisines around the world. This trend reflects the growing interest among consumers in exploring new tastes and culinary experiences. Fusion desserts combine ingredients, techniques, and flavors from different cultures, resulting in innovative and unique offerings. Examples include matcha-flavored cheesecakes, churro waffles, or mochi ice cream—a blend of Japanese mochi and Western ice cream.

This trend is particularly popular in multicultural societies, where people are more open to experimenting with flavors from different culinary traditions. Consumers are increasingly looking for new and exciting dessert options that go beyond traditional offerings like chocolate cake or vanilla ice cream. For example, desserts incorporating flavors such as coconut, mango, lychee, and pandan (a popular Southeast Asian flavor) are becoming increasingly common in Western markets.

Segmental Insights

Type Insights

Frozen desserts was the dominating segment in the global desserts market, driven by their popularity and convenience. Ice creams, frozen yogurts, sorbets, and gelato have become staple treats across various regions, appealing to a broad consumer base. The rise of innovative flavors, plant-based alternatives, and low-calorie options has further boosted the segment's growth. Additionally, frozen desserts' long shelf life and ability to be easily distributed globally contribute to their market dominance. The growing demand for premium and artisanal frozen desserts, along with increased availability through online platforms, continues to strengthen the segment’s leading position.

Application Insights

The food service segment was the dominating force in the global desserts market, driven by the increasing demand from restaurants, cafes, and quick-service chains. This segment benefits from the rising popularity of dining out, with consumers seeking indulgent dessert experiences in both casual and fine dining settings. The growing trend of dessert-focused establishments, like dessert bars and cafes, further fuels this dominance. Additionally, innovations in dessert offerings, such as customizable and Instagram-worthy options, are attracting more consumers to food service establishments. The ability to cater to large groups and create unique dessert experiences enhances the segment’s prominence in the market.

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Regional Insights

​ ​North America remains the dominant region in the global desserts market, driven by a strong consumer culture of indulgence and innovation. The United States, in particular, leads in both retail and foodservice segments, with high demand for a diverse range of desserts—from traditional cakes and pies to frozen treats and artisanal options. The region also benefits from a well-established supply chain, robust distribution networks, and significant disposable income, allowing consumers to frequently indulge in premium and customized desserts. Additionally, the influence of social media and food trends further propels the popularity of new and innovative dessert concepts.

Recent Developments

• ​In Feb 2024, ​Perfect Day and Unilever launched Breyers Lactose-Free Chocolate ice cream, featuring Perfect Day’s precision-fermented dairy protein. This innovation offers a creamy, lactose-free indulgence with a reduced environmental footprint. Available in 48-ounce tubs nationwide, it aligns with growing consumer demand for sustainable, animal-free dairy alternatives.

• In April 2024, CitraPac is expanding its product range by introducing a new line of frozen yogurt desserts under its Nature’s Premium label. The Dessert Pearls feature a yogurt base combined with various textures and flavors, including shortbread cookie crumbles for cookies and cream and strawberries for strawberry cheesecake.

• In Sep 2024, ​ITC Sunfeast Baked Creations launched its first Bakery Café in Whitefield, Bengaluru, marking a shift from cloud-kitchen to omnichannel presence. Located within the FabIndia Experience Store, the café offers a curated selection of croissants, bagels, pastries, celebration cakes, and Sunbean Gourmet Coffee.

• In Oct 2024, ​Nestlé Toll House introduced a new dessert concept called Cookie Nachos, developed in collaboration with former NFL quarterback Peyton Manning. The Cookie Nachos Kit includes chocolate chip cookie dough, various morsels, tortilla chip-shaped cookie cutters, and a gift card for toppings.

Key Market Players

• Unilever PLC
• General Mills Inc.
• Sara Lee Frozen Bakery
• Nestlé S.A.
• The Kraft Heinz Company
• Dunkin' Brands Group Inc.
• Mondelez International Inc.
• Danone S.A.
• Campbell Soup Company
• Blue Bell Creameries

Report Scope:

In this report, the Global Desserts Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

•   Desserts Market, By Type:

o   Frozen Desserts

o   Baked Desserts

o   Dairy Desserts

o   Confectionery Desserts

o   Others

• Desserts Market, By Application:

o   Food Service

o   Bakeries

o   Cafes

o   Household

• Desserts Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   Asia-Pacific

§  China

§  Japan

§  India

§  South Korea

§  Indonesia

o   South America

§  Argentina

§  Colombia

§  Brazil

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

§  Turkey

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global Desserts Market.

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Global Desserts Market report with the given market data, Tech Sci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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