Global Encapsulated Flavors and Fragrances Market Size is Anticipated to Acquire $10.5 Billion by 2028, At a 5.3% of CAGR

Houston, TX, July 11, 2023 (GLOBE NEWSWIRE) -- Zion Market Research has published a new research report titled “Encapsulated Flavors And Fragrances Market By Product (Flavor Blends, Fragrance Blends, Essential Oils & Natural Extracts, Aroma Chemicals), By Technology (Physical Process, Chemical & Physicochemical Process), By Encapsulation Process (Micro Encapsulation, Nano Encapsulation, Hybrid Technology, Macro Encapsulation), By End-Use (Food & Beverages And Toiletries & Cleaners), And By Region – Global And Regional Industry Overview, Market Intelligence, Comprehensive Analysis, Historical Data, And Forecasts 2022 – 2028” in its research database.

“According to the latest research study, the demand of global Encapsulated Flavors and Fragrances Market size & share in terms of revenue was valued at USD 7800 Million in 2021 and it is expected to surpass around USD 10.5 billion mark by 2028, growing at a compound annual growth rate (CAGR) of approximately 5.3% during the forecast period 2022 to 2028.”

What are Encapsulated Flavors and Fragrances? How big is the Encapsulated Flavors and Fragrances Industry?

The term "encapsulated flavours and fragrances" refers to the technique of encasing or entrapping volatile components, such as flavours and smells, inside of a coating that provides them with some level of protection. With the use of this encapsulation method, the flavours and smells can be maintained, their release can be controlled, and their stability can be improved.

Flavours and fragrances or that have been encapsulated find use in a wide variety of items and industries, including those pertaining to food and beverages, cosmetics, personal care products, and household goods. They are added to items to impart or accentuate particular aromas or tastes, to extend the shelf life of those products, and to offer controlled release over a period of time.

Encapsulated Flavors and Fragrances Market Coverage & Overview:

Encapsulation in flavor technology is the process of covering an active compound with a protective layer to protect the compound from evaporating, reacting, or migrating in food. The benefits of flavor encapsulation involve protecting key flavors from changing, delivering exceptional flavor impact in the final food product, providing visually & distinctly flavored particles, and other such assistance.

Fragrance encapsulation has tremendous application in the textile industry as they are applied on various products like cushions, sofa coverings, and curtains to provide aromatherapy as well as personal garments like scarves and ties, to name a few. The global encapsulated flavors and fragrances market employs various encapsulating techniques depending on the fragrance and wall material to form protective coatings such as spheres, capsules, or vesicles.

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Global Encapsulated Flavors and Fragrances Market: Growth Factors

The home decor segment has been growing exponentially in the last few years owing to the rise in the number of affordable and luxurious home care product manufacturers as well as the emergence of large-scale retailers. This is also coupled with increasing consumer databases in the clothing retail sector due to the rising population. Both of these segments are heavy consumers of encapsulated fragrances. With the hectic lifestyle led by a large section of the world population, there is a changing preference for easy-to-cook or ready-to-eat food items. This preference shift is aided by the rising disposable income of the consumer group and the presence of multiple healthy RTC or RTE items. This is propelling the use of encapsulated flavors where combination flavors have become more popular.

The confectionery section of the food industry is also witnessing a surge in demand especially floral flavors like lavender or rose. All of these reasons are anticipated to assist the global encapsulated flavors and fragrances market growth during the forecast period.

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It is difficult to provide an accurate figure for the size of the encapsulated flavours and fragrances business due to the fact that the size of the market can vary depending on a variety of factors such as the region, the application, and market trends. In spite of this, the global market for encapsulated flavours and fragrances has been showing signs of consistent expansion over the past few years.

The increasing demand for foods that can be prepared quickly, the shifting preferences of consumers towards unique flavours and aromas, and the requirement for increased product stability and shelf life are all factors that are contributing to the expansion of the business. In addition, the development of new technologies for encapsulating, as well as an increased emphasis on product innovation, have all contributed to the industry's overall growth in recent years.

Report Scope

Encapsulated Flavors and Fragrances Market: Trends

Clean label and natural ingredients: A prominent trend that is currently driving the market for encapsulated flavours and fragrances is the growing demand among consumers for products with clean labels and natural ingredients. Consumers are increasingly interested in purchasing goods that have straightforward ingredient lists and include a restricted number of artificial additives. As a consequence of this, there is a growing interest in encapsulated flavours and fragrances that are produced from natural sources and that make use of clean label encapsulation technology.

Health and wellness focus: The need for encapsulated flavours and scents in goods that enhance health and well-being is being driven by the wellness movement. Manufacturers are increasing the nutritional content and functional benefits of their products by encapsulating functional components including vitamins, probiotics, and herbal extracts. This trend is in line with the desire that consumers have for options and products that are better for their entire well-being and health.

Sustainability and eco-friendly solutions: Both consumers and businesses are increasingly concerned about the environment's ability to support future generations. In the sector of flavours and perfumes, there is a growing demand for encapsulation solutions that are both environmentally benign and sustainable. For encapsulating purposes, many businesses are investigating biodegradable and environmentally acceptable materials, such as natural coatings and polymers derived from plants. Additionally, major factors in this sector include lowering the amount of trash produced by packing and improving production procedures in order to have a smaller negative impact on the environment.

Fusion and innovative flavor combinations: Consumers are increasingly interested in trying out new flavour combinations and fusions of flavours. By offering controlled release profiles and allowing for the combination of a wide variety of flavours, encapsulated flavours provide chances for the creation of one-of-a-kind flavour experiences. This pattern may be observed in the rise of fusion cuisines, the introduction of novel flavours in snacks, and the production of beverages with unusual flavour combinations.

Convenience and on-the-go products: People are getting more and more interested in goods that are easy to take with them. Encapsulated flavors and fragrances play a vital role in enhancing the convenience and sensory experience of such products. Encapsulated flavours and scents are often used in single-serve drinks, portable snacks, and pre-packaged meals to give them a fresh taste and smell.

Digitalization and consumer engagement: The digital age has changed how consumers interact with companies and decide what to buy. Influencer marketing, online reviews, and social media all have a big impact on what people want. Companies that make encapsulated flavours and fragrances are using digital tools to connect with customers, get feedback, and make experiences that are more personal. Digital technologies also make it possible for businesses to run targeted marketing efforts and reach more customers.

Global flavor and fragrance exploration: Consumers are growing more exploratory in their tastes for flavours and aromas, and they are interested in trying new cuisines from around the world and trying new scents. Flavours and perfumes that are encapsulated provide businesses with the ability to include unusual flavours and scents in their products while also maintaining the products' stability and a controlled release. This tendency is observable in the increased availability of food and beverage items with an international inspiration, as well as personal care products with aromas that are distinctively derived from different parts of the world.

Encapsulated Flavors and Fragrances Market: Segmentation Analysis

The global encapsulated flavors and fragrances market is classified based on product, technology, encapsulation process, end-use, and region. Based on the product, the global market is divided into aroma chemicals, natural extracts & essential oils, fragrance blends, and flavor blends. The technology segment is split into chemical & physicochemical process and physical process. By encapsulation process, the market is categorized into macro encapsulation, hybrid technology, nano-encapsulation, and micro-encapsulation. The end-use segment comprises food & beverages and toiletries & cleaners.

The global Encapsulated Flavors and Fragrances market is segmented as follows:

By Product

• Flavor Blends
• Fragrance Blends
• Essential Oils & Natural Extracts
• Aroma Chemicals

By Technology

• Physical Process
• Chemical & Physicochemical Process

By Encapsulation Process

• Micro Encapsulation
• Nano Encapsulation
• Hybrid Technology
• Macro Encapsulation

By End User

• Food & Beverages
• Toiletries & Cleaners

 Browse the full “Encapsulated Flavors And Fragrances Market By Product (Flavor Blends, Fragrance Blends, Essential Oils & Natural Extracts, Aroma Chemicals), By Technology (Physical Process, Chemical & Physicochemical Process), By Encapsulation Process (Micro Encapsulation, Nano Encapsulation, Hybrid Technology, Macro Encapsulation), By End-Use (Food & Beverages And Toiletries & Cleaners), And By Region – Global And Regional Industry Overview, Market Intelligence, Comprehensive Analysis, Historical Data, And Forecasts 2022 – 2028” Report at https://www.zionmarketresearch.com/report/encapsulated-flavors-fragrances-market

Competitive Landscape

Some of the main competitors dominating the global Encapsulated Flavors and Fragrances market include - 

• International Flavors and Fragrances (IFF),
• Ingredion Incorporated,
• Givaudan,
• Firmenich Incorporated,
• Cargill Inc,
• Tate & Lyle PLC,
• Symrise AG,
• Sensient Technologies,
• Royal DSM,
• Kerry Group

Key Insights from Primary Research:

• According to the analysis shared by our research forecaster, the Encapsulated Flavors and Fragrances market is likely to expand at a CAGR of around 5.3% during the forecast period (2022-2028).
• In terms of revenue, the Encapsulated Flavors and Fragrances market size was valued at around US$ 10.5 billion in 2021 and is projected to reach US$ 10.5 billion by 2028.
• Low Internet penetration in emerging markets is expected to hinder market growth.
• Growth in the public / private healthcare segment can be driven by increased awareness of healthy lifestyles worldwide.
• Market participant initiatives are supported by favourable political framework conditions of governments in many North American countries.

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Key questions answered in this report:

• What is the market size and growth rate forecast for Encapsulated Flavors and Fragrances industry?
• What are the main driving factors propelling the Encapsulated Flavors and Fragrances Market forward?
• What are the leading companies in the Encapsulated Flavors and Fragrances Industry?
• What segments does the Encapsulated Flavors and Fragrances Market cover?
• How can I receive a free copy of the Encapsulated Flavors and Fragrances Market sample report and company profiles?

Key Offerings:

• Market Size & Forecast by Revenue | 2022−2028
• Market Dynamics – Leading Trends, Growth Drivers, Restraints, and Investment Opportunities
• Market Segmentation – A detailed analysis By Product, By Technology, By Encapsulation Process, By End User, and By Region
• Competitive Landscape – International Flavors and Fragrances (IFF), Ingredion Incorporated, Givaudan, Firmenich Incorporated, Cargill Inc, Tate & Lyle PLC, Symrise AG, Sensient Technologies, Royal DSM, Kerry Group, and others.

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Encapsulated Flavors and Fragrances Market Opportunities

Increasing demand for convenience: There is an increasing demand for encapsulated flavours and fragrances in various food and beverage applications as a result of the rise in popularity of ready-to-eat and easy-to-use goods, as well as the hectic lifestyles that accompany these preferences. Encapsulation allows for the controlled release of flavours and perfumes, which improves the overall sensory experience of products and makes them more convenient to use.

Functional food and beverage sector: The desire for functional foods and beverages, which can provide additional advantages to one's health, has been growing recently. The technology of encapsulation makes it possible to include flavours and scents in functional items including nutritional supplements, fortified beverages, and functional snacks. This opens up prospects for the development of novel products that mix useful components with aromas or flavours that are encapsulated.

Customization and personalization: More and more, customers want customised services, and that includes smelling and tasting products. The technology of encapsulation makes it possible to personalise flavours and smells, which enables manufacturers to provide consumers with a wide variety of options and respond to their own preferences. The ever-expanding market for personalised beverages and gourmet food products is a great example of this growing tendency towards personalization.

Expansion in the cosmetic industry: In the field of cosmetics and personal care products, fragrances are a very important component. Encapsulated fragrances provide a number of benefits, including extended aroma release, stability, and a greater compatibility with various formulations. It is probable that there will be an increase in demand for encapsulated fragrances as cosmetic producers continue their efforts to offer long-lasting, high-quality products that provide customers with a distinctive sensory experience.

Advancements in encapsulation techniques: Encapsulated flavours and fragrances are the subject of ongoing research and development activities, which are focused on enhancing encapsulation processes in order to increase the stability, release qualities, and overall efficiency of these substances. The use of natural or environmentally friendly materials in cutting-edge encapsulation techniques like nanoencapsulation and microencapsulation is becoming increasingly popular. Because of these improvements, businesses now have the opportunity to create encapsulated flavour and fragrance solutions that are both environmentally responsible and technologically innovative.

Growing demand in emerging markets: The encapsulated flavours and fragrances market is growing in emerging economies as a result of increased disposable incomes, increasing urbanisation, and shifting consumer preferences. There is a great growth opportunity for producers to tap into these locations and offer a wide choice of encapsulated flavour and fragrance options as these markets continue to develop and consumers become more aware of encapsulated products.

E-commerce and direct-to-consumer sales: The expansion of direct-to-consumer sales channels and e-commerce platforms gives a platform for manufacturers to reach a broader customer base. Flavours and perfumes that are encapsulated can be easily included into a wide variety of items, including those that are offered online. Utilising digital marketing tactics and e-commerce platforms can assist businesses in capitalising on the growing demand that customers have for encapsulated flavours and perfumes. This demand comes straight from consumers.

Regional Analysis:

The global encapsulated flavors and fragrances market is expected to be dominated by North America during the forecast period. As per reports submitted by FMI, the USA is expected to garner 75% of the regional market share by 2028. This is in accordance with the rising inclination toward flavored and multi-grain food items aided by the presence of large-scale retailers and the high spending capacity of the general population.

Europe is projected to contribute significantly to the global market wherein Germany is anticipated to generate the highest revenue because of the rising pharmaceutical sector in the region.

Asia-Pacific to grow with a high CAGR in the global market because of technological advancements in regions like Japan, China, and India. Japan is expected to register the highest regional market share.

 By Region

• North America
  • U.S.
  • Canada
  • Rest of North America
• Europe
  • France
  • UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America

Recent Developments

• In March 2022, with AI techniques at the forefront, Symrise lifts the curtain on flavor development. Symrise offers proprietary digital techniques like predictive modeling to help flavor designers use Artificial Intelligence. They assist in the screening of the current Symrise inventory and the identification of suitable ingredients for the specialists to employ in the creation of a flavor.
• In December 2021, Givaudan introduced PlanetCaps™, a fragrance encapsulation invention. It is the first of its kind to hit the market and is for fabric softeners that provide a long-lasting fragrance sensation in a biodegradable and bio-sourced delivery method.

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FREQUENTLY ASKED QUESTIONS

• Which key factors will influence encapsulated flavors and fragrances market growth over 2022-2028?
• What will be the value of the encapsulated flavors and fragrances market during 2022-2028?
• Which region will contribute notably towards the encapsulated flavors and fragrances market value?
• Which are the major players leveraging the encapsulated flavors and fragrances market growth?

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