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Apple Cider Vinegar Market

Avenues of Growth in Apple Cider Vinegar Market Go beyond the Health & Wellness Trend

Gone are the days when apple cider vinegar was only known for its benefits in facilitating weight loss and maintaining blood-sugar balance. While apple cider vinegar is one of the most commonly used ingredient in natural remedies as well as food products, manufacturers are exploring ways to broaden the width of its end-uses and industrial applications.

Apple cider vinegar sales have increased by around 4% per annum since 2015, reaching US$ 836 million in 2018, and dynamics of apple cider vinegar market have ceased to revolve around its health-promoting properties. Marketing campaigns to promote apple cider vinegar as the secret of celebrities and popular health fanatics will continue to remain on the cards for market players. However, in the future, apple cider vinegar manufacturers are likely to expand their horizons by launching products to appeal to the young demographic, which resonates not only with their health aspirations but encompasses wider elements pertaining to beauty and personal care.

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Apple Cider Vinegar: From a Niche Segment to Mainstream Product

There is enormous untapped potential for apple cider vinegar in sectors other than the traditional streams—health & wellness, and food & beverage. Leading players in the apple cider vinegar market are foraying into pharmaceuticals, personal care & cosmetics, and dietary supplements.

Personal care & cosmetics industry is emerging as one of the fastest-growing end-use segment for the apple cider vinegar industry. Manufacturers are capitalizing on consumer inclination towards natural ingredients in cosmetics and personal care products. Apple cider vinegar is also becoming an integral part of consumers’ skin and health care beauty regimes, which creates new opportunities in the personal care & cosmetics industry.

Manufacturers are exploring ways to improve functional characteristics as well as the taste of conventional apple cider vinegar by introducing innovative flavors. The trend of introducing novel ingredients, such as green tea, ginger, and walnuts, in apple cider vinegar is purveying among market players as specialty beverages with functional ingredients are gaining immense popularity. These innovations in the apple cider vinegar market are in sync with broader trends impacting the food & beverage sector, notably the spurt in veganism and growing consumer preference for natural and clean label.

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Product Diversification – The Key Strategy for Players in Apple Cider Vinegar Market

Growing consumer inclination towards health and wellness products has led to market fragmentation and pricing pressures. Apple cider vinegar market players are tinkering with their product and marketing strategies to maintain their respective market shares. From mergers & acquisitions to effective marketing communications, the apple cider vinegar market players are likely to pull out all the stops in the near future.

Global giants in the food & beverage industry, such as PepsiCo Inc. and The Kraft Heinz Company, are prioritizing merger & acquisition-based strategy in lieu of investing in their own production facilities. Large companies are also wielding their influence in the global beverage industry to collaborate with small businesses in the apple cider vinegar landscape and expand their geographical footprint.

Apple cider vinegar manufacturers are focusing on cutting their dependency on outsourcing raw materials from apple farmers. Growing own apple orchards to improve product quality and slash manufacturing costs is emerging as a winning strategy for manufacturers in the apple cider vinegar industry. In addition, manufacturers are focusing on maintaining transparency of source rowing in order to improve consumer loyalty by virtue of homegrown apples used in the apple cider vinegar production.

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Effective packaging—traditionally, the X-factor in food & beverage product positioning—continues to be a primary focus area for apple cider vinegar manufacturers. Considering the fact that the target audience of apple cider vinegar comprises conscientious consumers, brands have been cautious to include sustainable and recyclable materials in their offerings. The use of packaging to effectively communicate the health benefits and nutritional information of apple cider vinegar remains a key marketing strategy of the manufacturers.

Growing Application of Apple Cider Vinegar Fuel Demand Opportunities for Manufacturers

Apple cider vinegar is gaining impetus across worldwide health enthusiasts owing to plethora of advantages it offers. It is widely utilized for weight loss purpose and maintenance of blood sugar levels. Owing to the extensive use of apple cider vinegar in various natural remedies and food products, vendors in global apple cider vinegar market are projected to gather lucrative avenues in the forthcoming years.

Several companies across the global apple cider vinegar market are focused on discovering various new industrial applications and end-uses of apple cider vinegar. To achieve this motive, they are increasing cash in-flow toward research and development activities. Apart from this, many vendors are concentrated on strengthening their marketing strategies. This move is helping stakeholders in growing awareness regarding various applications of apple cider vinegar, and thereby increasing their sales.

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