One of the largest groups of consumers of chewing gum is smokers. Thus, the declining smoking population in the country is negatively impacting sales, as there is less demand for a post-cigarette breath freshener.
Due to the shifts in consumption habits, the conventional positioning of chewing gum may prove insufficient and threaten sales. In order to overcome this threat, producers are being pressured to come up with innovative positioning and products to retain consumers who may be interested in switching to substitutes like peppermint lollipops.
Due to increasingly hectic lifestyles, consumers are increasingly opting for products that can be consumed on the go. Conventional chewing gum fits with this demand trend as it allows consumers to snack in a relatively fast and healthier way, if the product is advertised as sugar-free.
While the direct competition to chewing gum from other types of snacks is limited, bubble gum is under increasingly strong competition from pastilles, gums, jellies and chews. Large confectionery producers like Laima invest in low sugar, natural juice-based jellies.
The competitive landscape of gum is concentrated in Latvia. Wrigley Scandinavia continued to dominate retail value share in 2018, benefiting from its wider brand offer (Orbit and Hubba Bubba), established presence and recognisable name in the market.
Innovation is mostly coming from brands present in sugar confectionery, including pastilles, gums, jellies and chews. Sugar confectionery brands like Fini have appealed to a young audience by offering colourful and chewable candies in flexible packaging (flexible plastic bags).
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This industry report originates from Passport, our Packaged Food market research database.