Chocolate

It is no wonder, given the massive boom in the plant-based milk and cheese industries, and the resulting need for dairy-free alternatives in other categories, that the vegan chocolate market is exploding globally. Boosted by international celebrities such as singer Billie Eilish and award-winning Canadian-US actor Noah Schnapp, dairy-free alternatives for chocolate products are receiving increasing attention and thus market potential.

While the conventional chocolate industry is notorious for its involvement in deforestation and other unsustainable practices, most vegan chocolate brands go beyond dairy-free chocolate in addressing environmental and ethical issues, e.g. by using fair trade certification. With studies showing that especially young consumers are looking for sustainably sourced products, there is a place for sustainable vegan chocolate on the mass market.

Vegan chocolate brands are found all over the world, from Brazil’s female-led brand Super Vegan to South Africa’s sustainably sourced chocolate brand De Villiers Chocolate, to the Vegan Chocolate Co. in Australia. The highest density of vegan chocolate companies is found in the UK, where innovative chocolate manufacturers such as Love Raw, Moo Free, and Prodigy, provide a wide range of vegan chocolate alternatives. Leading the way as UK’s number one vegan and free-from chocolate brand, NOMO offers plant-based chocolate flavors including customer favorite Caramel & Sea Salt.

The market for vegan chocolate is expected to reach USD 1.41 billion by 2028, registering a CAGR of 14.8% over the forecast period. In 2020, the molded bars product segment accounted for the highest revenue shares, as bar chocolates are the most consumed chocolate form in the world. There is particular demand within the vegan chocolate segment for dairy-free alternatives to milk chocolate bars, which many consumers believe are still insufficiently represented on the market.

Dark Chocolate Suitable for Vegans

In their natural form, chocolate bars can be plant-based, as some high-quality manufacturers limit their ingredients to chocolate liquor, sugar, cocoa butter, and vanilla. In many cases, dark chocolate bars happen to be “accidentally vegan” due to a higher cacao percentage and no added dairy ingredients, but are sold as ordinary chocolate without any special declaration. An example of this is the German chocolate company Ritter Sport, equipped with a dedicated vegan category since 2016, but has been making dairy-free chocolate for many more years without a label, including some of its dark chocolate bars and marzipan varieties.

High Demand for Vegan Milk Chocolate

As not all customers find vegan dark chocolate with a high percentage of cocoa delicious, vegan-friendly milk chocolate options must get some more attention in the mission to develop animal-free alternatives to dairy products. Among the first vegan chocolate manufacturers focusing on vegan options for milk chocolate is US-based startup Trupo Treats, a manufacturer of ethically sourced versions of iconic milk chocolate childhood favorites that are already familiar to the consumer.Major chocolate manufacturers are increasingly recognizing the demand for vegan milk chocolate, as, for example, German chocolate giant Ritter Sport announced to launch a new addition to its vegan milk chocolate line in 2021. With this launch, Ritter Sport intends to not only meet the need for vegan milk chocolate, but also the demand for high-quality chocolate with favorably few organic ingredients, as its vegan milk chocolate alternative called the ‘Vegan Pure Without Moo’ only contains sugar, cocoa mass, high-quality almond flour, and cocoa butter.

Other conventional chocolate manufacturers responding to the growing market potential for vegan milk chocolates include US multinational chocolate manufacturer Hershey’s, as it launched its first vegan chocolate made with oat milk in 2021. Moreover, US food giant Trader Joe’s launched its “Organic Almond Beverage Chocolate Bar” made with almond milk, while other ingredients are claimed to be identical to dairy milk, including cocoa butter, sugar, and cocoa mass.

What About White Vegan Chocolate Bars?

Another product that is hard to find in the assortment of vegan chocolate brands is white chocolate, as most bars are dark chocolate bars with a higher cacao percentage. For instance, vegan chocolate brand Super Vegan started after the founder couldn’t find delicious vegan white chocolate on the market. As of 2021, Super Vegan is offering 11 different variations of white chocolate made with plant-based milks and organic ingredients. Other offerings for delicious white chocolate variations include Love Raw‘s white chocolate bar White Cream Wafer, with market researchers predicting increasing demand for white chocolate alternatives that include options made with organic ingredients, while being animal-free and gluten-free.

Popular Chocolate Classics Turning Vegan

A big trend within the vegan chocolate segment is the veganizing of popular chocolate classics to reactivate one’s childhood taste buds. Following this trend, confectionery giant Mars became the first major confectionery company to launch a vegan line with Galaxy Vegan in 2019. Continuing this strategy in 2021, the multinational company launched vegan Bounty and Topic chocolate bars. However, Mars has been overtaken in the development of a vegan Snickers bar, as Swedish startup Vegan Delights became the first company to launch a veganized Snickers bar with its Vegickers.

©Vegan Delights

Why Consumers Buy Vegan Chocolate

Apart from a dairy-free ingredient list, not containing any milk powder or milk fat, and advanced efforts regarding fair trade and sustainable practices, there is another reason to buy vegan chocolate. In order to help tackle health problems such as heart disease and Type 2 diabetes, many vegan chocolate manufacturers are making organic dark chocolate that is gluten-free, as well as free from refined sugar and palm oil. Therefore, vegan chocolate options from companies like Prodigy and HiP, without or with less added sugar and gluten-free, are the best chocolate options for anyone looking for health benefits in chocolates.In 2021, proof of the profitability of vegan chocolates was provided by the British company Moo Free, manufacturer of vegan chocolate bars and more vegan sweets. In its mission to make UK’s chocolate vegan, the company reported a 300 percent rise in online sales in 2020, as demand for vegan-friendly confectionary rose exponentially in the UK. The trend to shop online is likely to increase, as well as net profits in vegan sweets. In making chocolate vegan, chocolate manufacturers are responding to a growing demand for vegan chocolate, as more and more consumers are going to buy vegan chocolate over the next years.

LoveRaw launches at Albert Heijn and Shell in the Netherlands

Sweets & Snacks

LoveRaw Launches at Hundreds of Albert Heijn and Shell Stores Across the Netherlands

November 30, 2023

Fast-growing UK-based vegan chocolate brand LoveRaw has gained new listings at two Dutch retailers — Shell and the Netherlands’ largest supermarket chain, Albert Heijn. LoveRaw’s M:lk Choc Wafer Multipack will now be available at 250 Albert Heijn stores, while the brand’s Cre&m Wafer Bar will be available at 150 Shell locations in M:lk and White varieties. This is LoveRaw’s first nationwide listing outside the UK, though the brand was already available in the Netherlands at Holland & Barrett and Flink. Within the UK, LoveRaw is available at major national retailers such as Tesco, Co-op, Waitrose, and Ocado. The brand recently announced that it would be launching at SPAR stores internationally after joining the retailer’s Challenger Brand program, and has also just secured its first ever …

Organisations and brands:

Albert Heijn

LoveRaw

A close shot of woman hands splitting in two a peanut chocolate bar

Market & Trends

Vegan Chocolate Market to Be Worth $2Bn by 2032, Growing at 13.1% CAGR

November 14, 2023

According to a report by Allied Market Research, significant growth is expected for the vegan chocolate market over the coming decade, with the market value expected to rise from $585.8 million in 2022 to $2 billion in 2032 — a CAGR of 13.1%. Demand will be driven by an increased focus on sustainable and animal-friendly options, along with the perception of plant-based products as a healthier choice. However, the market could be restrained by a lack of production capacity, along with the difficulty of sourcing ingredients at a reasonable cost. Additionally, plant-based chocolate typically requires significant R&D due to the challenge of replicating the taste and texture of dairy-based products, and distribution is more limited than for conventional chocolate. To counter these challenges, the report …

Organisations and brands:

Allied Market Research

A woman with a transparent bag with many nucao chocolate bars inside

Investments & Finance

The Nu Company Secures Media Deal to Make Sustainable Chocolate the Norm in Germany

October 23, 2023

SevenAccelerator announces a media investment in the nu company, the German food tech behind the vegan chocolate brand, nucao, known for its organic and fair trade sourced chocolate and environmentally friendly packaging. An early-stage venture capital arm of the German mass media and digital company ProSiebenSat.1 Media and part of SevenVentures, a leading TV media investor, SevenAccelerator makes individually tailored investments in consumer-focused startups developing sustainable products. The media deal will give nucao advertising exposure through ProSiebenSat.1’s TV and digital media to expand the brand’s awareness and distribution channels across Germany, stated the VC. Additionally, nucao will leverage the expertise of the digital group to reach and engage with specific target audiences to develop its marketing strategy. Becoming the standard Nucao’s advertising campaign on TV and …

Organisations and brands:

Nucao

SevenAccelerator

the nu company

Lindt USA Launches Vegan LINDOR Truffles Made From Oat Milk

October 12, 2023

Swiss chocolatier Lindt has expanded its dairy-free range in the US with vegan versions of the popular LINDOR truffles. The chocolates are available in two varieties — Oatmilk and Dark Oatmilk. They are described as providing a “smooth, melting chocolate experience in a finely crafted premium oatmilk chocolate shell”. “These chocolate candy truffles are the perfect chocolate indulgence for those who do not consume dairy products but still crave a premium chocolate experience,” says Lindt on its website. “Each plant-based, nondairy chocolate truffle is made with premium ingredients, including the finest cocoa and gluten-free oats. These individually wrapped Lindt LINDOR truffles are the perfect size to enjoy anytime, anywhere.” The truffles can be found US-wide at stores such as CVS Pharmacy, Albertsons, and Safeway, with …

Organisations and brands:

Lindt

Sweets & Snacks

Plant-Based Chocolate Brand LoveRaw to Launch at SPAR Stores Internationally

October 4, 2023

LoveRaw, a plant-based chocolate brand based in the UK, is set to launch at SPAR stores internationally after being accepted into the retailer’s Challenger Brand program. SPAR is one of the world’s largest food retailers, with almost 14,000 stores in 48 countries and more than 14.7 million customers served daily. Through the program, SPAR will help LoveRaw gain access to new regions, facilitating the company’s overseas growth. Other challenger brands in the program include Oatly and ethical chocolate producer Tony’s Chocoloney. To qualify, companies must typically be growing faster than their established competitors, with a proven track record of success in at least one market. LoveRaw said it had worked hard to meet the strict criteria for entrance into the program, with the process taking …

Organisations and brands:

LoveRaw

Products & Launches

Trupo Treats Introduces Vegan Versions of Classic Candy Bars

October 2, 2023

Trupo Treats, a Colorado-based vegan confectionery company, has unveiled a new product line: Trupo Treats Vegan Versions. This new line aims to cater to the growing demand for vegan and gluten-free candy bars reminiscent of childhood favorites. To kickstart the launch, the company has set a pre-order sales target of at least $50,000.00 by November 1, with a push goal of $100,000 in prelaunch sales, and the bars will only be produced if the target is met. But as of this morning, the company is already halfway to meeting its initial goal. Brian Trupo, co-founder of Trupo Treats, acknowledged the shift in strategy, stating on LinkedIn, “Throughout Trupo Treats history, we tried to conceal how ‘vegan’ our products looked in order to attract the masses, …

Organisations and brands:

Trupo Treats

Hershey Canada Debuts ‘Hershey’s Oat Made’ Bar Created with Oat Flour

September 26, 2023

Hershey Canada, a wholly-owned subsidiary of The Hershey Company, has officially introduced its first plant-based chocolate bar: Hershey’s Oat Made. Carly Cowman, brand manager at Hershey Canada, states, “Hershey’s Oat Made bars are everything you love about milk chocolate… except the milk. Our product development team did an unbelievable job delivering the smooth and creamy texture that we know Canadians love and expect from HERSHEY’S in our first-ever plant-based bar.” This new chocolate bar is available in two flavors – Creamy and Almond & Sea Salt, and offers the classic smooth and creamy taste that Hershey’s is known for with a fully vegan formulation. The core ingredient of these plant-based bars is oat flour, and they are Non-GMO Project verified and free from artificial flavors. …

Organisations and brands:

Hershey's

Products & Launches

Dr. Bronner’s Launches New Oat Milk Chocolate Line Made with Regenerative Organic Ingredients

September 19, 2023September 12, 2023

Dr. Bronner’s, the American producer of organic soap and personal care products, announces the launch of its new Oat Milk Chocolate line. The new line features three flavors: Crunchy Hazelnut Butter, Creamy Mocha Latte, and Golden Milk Chai. In 2021, Dr. Bronner’s entered the vegan chocolate market as a result of its efforts to support ethical practices for palm and cocoa farmers in eastern Ghana. The new chocolate is made with a blend of Regenerative Organic Certified ingredients, including cocoa from Ghana and Ivory Coast, coconut sugar from Indonesia, and cocoa butter from Congo, according to the company. “Our new plant-based Oat Milk Chocolate offers the smooth, creamy texture and sweetness milk chocolate lovers desire,” said Michael Bronner, president of Dr. Bronner’s. In addition to its commitment …

Organisations and brands:

Dr. Bronner's

Sweets & Snacks

LoveRaw Chocolates Launch at Almost 3,000 Tesco & Co-op Stores UK-Wide

August 2, 2023

Plant-based chocolate brand LoveRaw has announced that its Peanut Caramel Bar and M:lk Choc Wafer Multipack will be launching at 2,804 Tesco and Co-op locations across the UK. The Peanut Caramel Bar — a vegan faux Snickers bar — will be available as part of Tesco’s lunchtime Meal Deal at 1150 Express stores and 650 Tesco Extra locations from August 7. LoveRaw’s Cre&m Wafer Bar is already available as part of the Meal Deal in M:lk and White Choc varieties. The Peanut Caramel Bar will also launch at 550 Co-op stores from August 28, stocked alongside the Cre&m Wafer Bar in Milk Choc and Salted Caramel varieties. Additionally, LoveRaw’s Milk Choc Cre&m Wafer Multipack will become the first of the brand’s products to launch in …

Organisations and brands:

LoveRaw

Sweets & Snacks

Learn These Market Challenges to Boost Your Plant-Based Chocolate Sales

July 17, 2023

Although the plant-based chocolate sector is expanding, it faces several barriers and challenges that threaten growth. These include supply issues, competition, cost, labelling restrictions (a growing contention), and the big hitter – taste. Fortunately, with the right strategy, you can work to overcome many of the industry’s greatest challenges. In its recent New Food Hub article, ProVeg International uncovers the most significant barriers to the plant-based chocolate industry as well as recommendations on how to overcome them. Increasing confectionary competition One key point highlighted in the article is how increasing competition from other confectionery products affects chocolate sales. Indeed, overall chocolate consumption has decelerated in some developed markets, like Europe and North America, while growth in emerging markets has also begun to slow. This deceleration …

Organisations and brands:

ProVeg

Sweets & Snacks

Galaxy Launches Vegan Salted Caramel Bar as Category “Shows No Signs of Slowing”

July 17, 2023

Chocolate brand Galaxy (owned by Mars Wrigley) has launched a new plant-based option in the UK — the Vegan Salted Caramel bar. The bar is made with hazelnut paste and is filled with salted caramel. It is said to feature a comparable taste and texture to Galaxy’s original salted caramel bar, along with a similar packaging design. The new product has been launched in response to growing demand for free-from confectionery; Galaxy’s existing vegan range now makes up 43% of the free-from chocolate block category. The brand introduced its first line of dairy-free flavours — Caramelised Hazelnut, Caramel & Sea Salt, & Smooth Orange — in 2019. This was followed by Crumbled Cookie and Smooth Mint flavours in 2020, then vegan white chocolate last year. …

Organisations and brands:

Galaxy

Sweets & Snacks

Cocoa-Free Choc Ice Cream by WNWN Wins Award at Häagen-Dazs Start-Up Innovation Challenge

July 7, 2023

British company WNWN Food Labs has won ‘Best Demo’ at the Häagen-Dazs Start-Up Innovation Challenge, after showcasing how its cocoa-free vegan chocolate could be used to make ice cream. In the final phase of the competition on June 13, WNWN presented its developments in the category of ice cream with the lowest carbon footprint. The company had developed nine preparations, including three varieties of chocolate hazelnut ice cream — one encased in a WNWN chocolate shell with WNWN choc chips inside, one in a tub, and one in the form of bite-sized pieces. As well as winning the Best Demo award, WNWN has been named as one of three finalists in the lowest carbon footprint category; the others are France’s YUMGO and Denmark’s Agrain. A …

Organisations and brands:

WNWN Food Labs

KitKat Plant-Based return to Australia for a limited time

Image courtesy of Nestlé

Sweets & Snacks

KitKat Plant-Based Returns to Australia Following Extraordinary Demand Online

June 14, 2023

Nestlé announces the official relaunch of a limited edition of KitKat Plant-Based in Australia — after extraordinary demand online. The famous bar will be available exclusively at Coles stores nationwide and at KitKat Chocolatory online while stocks last. Melanie Chen, Head of Marketing Confectionery at Nestlé, said, “You asked, and we delivered! KitKat Plant Based is one of our most requested products and we are so excited to be able to bring this vegan-certified treat back for everyone to enjoy for a limited time.” A break with vegan milk According to Nestlé, this vegan-certified bar offers the same indulgent taste that people love but without dairy. It combines KitKat’s crispy wafer, thinly crushed between layers of rice milk-based chocolate, made with Rainforest Alliance-certified cocoa. Last September, Nestlé announced …

Organisations and brands:

KitKat

Nestlé

Sweets & Snacks

Why Do Consumers Want Plant-Based Chocolate?

May 29, 2023

The plant-based chocolate industry is skyrocketing – with the global industry expected to reach US$4 billion by 2032. But why? What consumer drivers are causing market growth? In its latest New Food Hub article, ProVeg International investigates the main consumer drivers for the expanding plant-based chocolate industry. With this knowledge, businesses can better understand how to approach the segment and target audiences, and how to design, merchandise, and market successful products. Health and intolerances One of the most significant consumer motivations for dairy-free chocolate products is, perhaps surprisingly, health. Rising health consciousness is driving consumers’ search for healthier snacking alternatives and higher-quality chocolate. This is leading them to plant-based chocolate products, which are perceived as being healthier than conventional dairy-based varieties. Indeed, research shows that 86% …

Organisations and brands:

ProVeg

Sweets & Snacks

James Cadbury’s H!P Launches Oat Milk-Based Crunchy Orange Chocolate Bar

May 10, 2023

British plant-based chocolate brand H!P (Happiness !n Plants) has unveiled a new product, the Crunchy Orange chocolate bar. Developed in response to consumer demand, the bar combines oat milk-based chocolate with natural orange flavouring and crunchy waffle cone pieces. The cocoa used is single-origin, sourced from Colombia. Sold in plastic-free packaging, H!P’s products are said to have a 50% lower carbon footprint than conventional milk chocolate. They are described as “a firm favourite with Gen Zers and millennials”. “Timeless classic” Earlier this year, H!P launched three new bite-size chocolates in sharing pouches — Caramel Crunch Peanuts, Peanut Butter Truffle Bites, and Chocolate Buttons. Other products in the range include bars in the flavours Cookies No Cream, Salty Pretzel, and Salted Honeycomb. H!P was founded by …

Organisations and brands:

Happiness in Plants

Market & Trends

13.6% CAGR Expected for South Korean Vegan Chocolate Market as Plant-Based Diets Grow in Popularity

July 3, 2023May 5, 2023

A report by Expert Market Research has predicted that the South Korean vegan chocolate market will grow with a significant CAGR of 13.6% through to 2028. The market is being driven by high rates of lactose intolerance in the country, which is leading manufacturers to develop dairy-free alternatives. Rising demand for healthy, clean-label products is also a factor; some consumers are opting for plant-based chocolate as it is cholesterol-free. Meanwhile, many younger consumers (Millennials and Gen Z) are increasingly aware of animal welfare issues and the environmental impact of animal agriculture. Rising disposable income and improved living standards are also boosting sales of vegan chocolate. As a result, an increasing number of Korean facilities are producing plant-based chocolate, and many manufacturers are expanding their ranges. …

Organisations and brands:

Expert Market Research

Marketing & Media

LoveRaw to Launch Major Billboard Campaign to Promote Vegan Faux Snickers Bar

May 4, 2023

This summer, UK chocolate brand LoveRaw will launch what it describes as its biggest OOH advertising campaign yet, promoting the brand’s new plant-based faux Snickers bar. With advertisements on billboards, bus stops, and more, the campaign will feature slogans such as “When we said we were making a plant-based one, they all sn:ckered at us” and “Don’t sn:cker because it’s plant-based”. LoveRaw hopes that the ads will reach millions of consumers. The new bar launched last month and consists of roasted peanuts, nougat, and caramel, all coated in LoveRaw’s signature vegan milk chocolate. It is free of palm oil and artificial ingredients. Other LoveRaw chocolates include Nutty Choc Balls, Cre&m Wafer Bars, Peanut Butter Cups, and M:lk Chocolate Bars. The brand has attributed much of …

Organisations and brands:

LoveRaw

Sweets & Snacks

NOMO Launches Vegan Cookie Dough Bar, Reports Valuation of Over £9.5M

April 24, 2023

UK vegan chocolate brand NOMO announces the launch of the Cookie Dough Bar and reports impressive growth figures. NOMO is now worth £9,523,446, making it the UK’s top vegan and free-from chocolate brand. This figure is up 22.3% compared to a year ago. The company is double the size of its nearest competitor, and accounts for 16% of the UK vegan and free-from chocolate category, according to the founders. NOMO’s new bar features cookie dough encased in vegan milk chocolate, and is the brand’s biggest bar yet, making it ideal for sharing. The launch is a response to the success of NOMO’s seasonal cookie dough products; the Cookie Dough Reindeer was the best-selling free from impulse buy in its debut year, while the Cookie Dough …

Organisations and brands:

NOMO

LoveRaw launches vegan peanut caramel bar

Products & Launches

LoveRaw Expands Plant-Based Chocolate Range With Peanut Caramel Bar

April 13, 2023

UK vegan chocolate pioneer LoveRaw has unveiled its newest product, the Peanut Caramel Bar. The vegan treat is made with roasted peanuts, nougat, and caramel, coated in LoveRaw’s signature m:lk chocolate. Like the rest of the brand’s chocolate range — which includes Nutty Choc Balls, Cre&m Wafer Bars, Peanut Butter Cups, and M:lk Chocolate Bars — the new product is dairy and palm oil-free, with no artificial ingredients added. The Peanut Caramel Bar will be available at DDC Foods, Wholesaler Epicuirum, and online on LoveRaw’s website from April 28th. Innovative plant-based chocolate Founded in 2013 by Manav and Rimi Thapar, LoveRaw has seen exponential success with its unique product portfolio and strong brand identity. In 2020, it debuted the world’s first vegan wafer bar, the …

Organisations and brands:

LoveRaw

Image: ProVeg International

Sweets & Snacks

Plant-Based Chocolate Set to Outpace Growth of Conventional Products

April 3, 2023

New data shows that, in terms of growth, the plant-based chocolate sector is expected to outpace the conventional chocolate industry in the coming years. In its latest New Food Hub article, ProVeg International dives into the global chocolate industry, giving an overview of the opportunities available in the plant-based chocolate sector. The growth of the plant-based chocolate industry is multifaceted. Remarkably, new research shows that plant-based chocolate confectionery launches comprise the fastest-growing trend in the chocolate industry, up 71% (Global, CAGR October 2017–September 2018 vs October 2021–September 2022). According to Innova Market Research, the top three fastest-growing, chocolate-confectionery ingredient launches are all plant-based, with oats up 78%, coconut fat up 74%, and erythritol up 64% (Global CAGR October 2017–September 2018 vs October 2021–September 2022). Plant-based …

Organisations and brands:

ProVeg

The vegconomist-newsletterinformation for decision-makers

The vegconomist-newsletter
information for decision-makers