Global Snacking Trends for the Food & Beverage Industry – Part 1
The global snack market was estimated at ~$2141 billion in 2020 and is expected to reach ~$308 billion by 2025, growing at a CAGR of 8%. Snacking industry trends are heavily influenced by the overarching healthy and responsible food movement. The mindset toward maintaining fulfilling, yet wholesome diets is further encouraged by the multitude of products available at the consumers’ disposal. Consumers are snacking more frequently and are looking for different snacking options to cater to those different occasions.
- The lockdown and dining restrictions across the globe have led to an enormous demand for snacking options. Restrictions on leaving the home and not being able to dine in restaurants have caused consumers to choose snacks as a medium of dealing with mentally and emotionally taxing experiences.
- As per a survey conducted by Mondelēz International, nearly 9 out of 10 adults either increased (46%) or maintained (42%) their snacking habits during the pandemic. This trend is expected to continue as consumers view multiple small snacks throughout the day as an alternative to consuming fewer, larger meals.
Work-from-home (“WFH”) models are carving out a new opportunity for companies to pursue snack products that are consumed more frequently. Catering to remote workers that are now eating at home more often, different variants of snack products are being offered to lure consumers to their brands. Examples include:
- Snacknation introduced a new work-from-home wellness box that provides a wide variety of healthy snacking options at a reasonable price, giving the consumer the pleasure of both savory and sweet snacks.
- Similarly, Walkers UK launched a new flavor of chips, Nando’s chips flavored with Peri-Peri Chicken, in partnership with the popular food chain.
- US-based ParmCrisps and Bridge Lane Wine introduced a snack box that offers a pairing of cheese and wine.
- While consumers are focusing on their health, they still have a soft spot for both salty snacks and feel-good snacks. The taste factor provided by snacks like chips, popcorn, pretzels, and snack crackers has piqued consumer interest in new variants.
- According to IRI, the salty snacks segment reported growth of 6.9% for the past 52 weeks ending May 17, 2020, reaching a total of $26.7 billion in sales.
- Per IRI, the crackers category grew 5.9% to $7.8 billion. According to the Packaged Facts “U.S. Food Market Outlook 2020”, consumers are striving towards indulgent foods that are full-flavored, such as crackers.
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