Conscious snacking by health-savvy consumers

USA, Rockville MD, Aug. 05, 2022 (GLOBE NEWSWIRE) — According to Fact.MR, a market research and competitive intelligence provider, the global healthier snacks market is estimated to reach US$28.5 billion in 2022 and is expected to grow at an impressive CAGR of 6.7% over the forecast years 2022-2032. The remarkable health benefits provided by better for health snacks are the major reason for the rapid expansion of the market.

The COVID pandemic has accelerated consumers’ health awareness and had a significant impact on their food choices. The demand for conscious snacking has fueled the rapid adoption of Better For You (BFY) snacks. BFY snacks have gained immense popularity with consumers looking to avoid or minimize the severity of disease. Customers prefer healthier snacks with label claims that are considered healthier to promote health and, ideally, prevent disease. All these factors consistently establish a strong foundation for the healthier snacks market across the globe.

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Due to government initiatives, the market for healthier snacks will be quite large in a few European countries, especially in the UK. The UK government has passed legislation that restricts the placement and in-store advertising of certain HFSS (high in fat, salt and sugar) products. Originally scheduled to take effect in October 2022, the legislation was delayed due to the current economic climate and will now come into force in January 2024, paving the way for new opportunities for BFY snack makers.

What factor could limit the expansion of the market to some extent?

“Competition in the traditional snack market will slow the growth of the BFY market”

Growing consumer interest in healthier options is a major factor in the boom in the market for healthier snacks; however, there are market-wide challenges such as market competition from traditional snacks.

Non-healthier snack options, such as potato chips, salty snacks, dips, etc., which are increasing in number, could be a major barrier to people’s acceptance of healthier snacks. Healthy snack options such as fresh fruits and vegetables can also create fierce competition for producers of healthier snacks.

Moreover, the high cost of healthier snacks compared to traditional and healthy snacks could hamper the growth in demand for healthier snacks.

Lack of awareness and limited access to healthier snacks in the world could be another key factor restraining the growth of healthier snacks market to some extent.

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Key segments covered by the Better for you snacks Industry survey

  • By product type:
    • Baked snacks
    • Skipped snacks
    • Snacks Bars
    • Trail mix
    • Cookies
    • Cereals, Flakes & Seeds
    • Others (Yogurt, Ice cream)
  • Per Primary Ingredient:
    • oats
    • Potatoes
    • Vegetables (excluding potatoes)
    • Rice
    • Corn
    • Lenses
    • dairy alternative
    • Others
  • By sales channel:
    • On line
      • Brand websites
      • E-commerce platforms
    • Offline
      • Supermarkets/Hypermarkets
      • convenience stores
      • Specialty stores
  • By region:
    • North America
    • Latin America
    • Europe
    • East Asia
    • South Asia and ASEAN
    • Oceania
    • AEM

Competitive landscape

While protein-rich foods and health awareness are currently at the forefront of consumer concerns, there are several opportunities for manufacturers as customers seek out own-brand snacks. To achieve a number of dietary goals, such as reducing calories or gluten intake or improving nutrition, consumers are looking for unusual ingredients that can provide both nutrition and flavor.

Aligning with this behavior, well-known producers use health indicators such as plant-based, allergen-free, lactose-free, etc., to gain a solid foothold in the market. These types of claims add a positive impact on customers and greatly expand the market for the best for you.

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The key players in the Better for you snacks Market

  • Mondelez International, Inc.
  • The Kellogg’s Company
  • Nestle
  • B&G Foods
  • Warrell Creations
  • Frito-Lay from PepsiCo
  • Trufood
  • Velocity snack brands
  • Left Field Foods
  • rock canyon

Main takeaways from Better for you snacks Market research

  • The global market for healthier snacks is expected to grow at an impressive CAGR of 6.7% and reach US$54.3 billion by 2032.
  • The market recorded a CAGR of 4.2% between 2017 and 2021.
  • Under product type, cereals, flakes and seeds segment dominates the market and is valued at 8.3 billion US$ in 2022.
  • Europe led the global market with 29.7% market share in 2021.
  • Depending on the region, demand for healthier snacks is expected to increase at CAGRs of 4.8% and 9.7%, respectively, in North America and South Asia and ASEAN.

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