Snack Savvy: Making the Most of the Snack Food Boom

The snack category is growing rapidly, and manufacturers’ offerings have evolved to meet new consumer demands. According to market researcher Circana, salty snack sales grew to $28 billion in 2022 (up 16%) and are projected to reach $38 billion by 2028, according to Mintel.

The newest trends in snack foods can be broken down into four key areas: more people are eating snacks as meals; companies are using bold, unique flavors to differentiate their snacks; consumers want better-for-you, more sustainable snack options; and companies are putting new twists on traditional brands—often creating mini-versions of their greatest hits.

More Snacking, Fewer Meals.

At Pack Expo 2023 in Las Vegas, David Walsh, vice president of membership and communication for the trade group SNAC International, discussed the most significant trends driving the snack category, according to an article in Food Business News. He noted that 49% of consumers snack three times (or more) per day. This is an 8% increase over the last two years, fueled primarily by Millennials and Generation Z.

These younger-trending demographics are “most likely to replace a meal with a snack, as 92% replace at least one meal a week with a snack,” Walsh said. “And, as their buying powers increase…it’s leading to more dollars going into the snack category.”

Walsh added that the nighttime daypart is the best opportunity for companies to jump on this trend. Because cravings for calorie-dense foods tend to peak at night, be prepared to see snacks catering toward the late-night snack attack.

Flavors to Differentiate.

Consumers are also craving spicy flavors with a twist—in other words, not just heat—with specific types of peppers (think ghost pepper or chipotle, with additions like hints of lime). Walsh noted that spicy offerings post strong growth across multiple snack categories.

But it’s not all spice. Sweet snacks, with such flavors as berry, cinnamon, and chocolate nut, are also on-trend, with lime and tangy citrus varieties seeing growth, as well.

Global flavors and multi-cultural fusion mixes are also trending upward, including flavor influences from Latin America, Asia, and the Middle East. Walsh opined that the “growing global influence is here to stay.”

Better-For-You & Sustainability.

Consumers have become more savvy and are increasingly familiar with ingredients and their functionality. These consumers also tend to have strong preferences, according to Kasey Farrell, senior manager, R&D, product intelligence SPINS, in her presentation, “Clean Label Trends & Consumer Purchase Behavior,” given at Global Food Forums’ 2023 Clean Label Conference.

In 2022, SPINS saw significant growth in sales of products with specific health and wellness attributes—including snack products. Snacks as a category is not typically known for health and wellness attributes. However, products recognized as “clean” are doing well across the category, noted Farrell.

Snack options that are plant-based are also performing well. An evolving category that has catered mainly to vegan or vegetarian consumers, plant-based is now poised for greater growth—as some 50% of shoppers practice flexitarian diets, Farrel stated. Another trend to watch is that of alternative proteins in snacks that have typically been meat-based, such as jerky, meat sticks, etc.

Packaging matters, too. Said Farrell, “Some 86% of shoppers are more likely to purchase a product based on its packaging. Four of five people would buy more sustainable packaging options, if given the choice. And 76% have made an effort to purchase more sustainable products in the past year.”

Twist on Old Favorites: Mini Snacks.

Some companies are going with mini versions of their tried-and-true brands. For example, General Mills is refreshing its portfolio of household name-brand cereals with fresh takes on snack versions, according to a Food Dive article. It notes a 2017 Mintel study that indicates 43% of U.S. consumers regularly eat cereal as a snack.

“Sometimes the best new innovation is the smallest one,” Mindy Murray, General Mills’ Senior Marketing Communications Manager, stated in a 2023 press release. “There’s such a love right now for full-size things that have been shrunk into mini versions, and we realized we could do the same with our cereals.”

Making mini versions also helps consumers who want to limit their intake of salt, sugar, or calories. PepsiCo’s Frito-Lay launched bite-sized mini versions of the ever-popular Doritos, Cheetos, and SunChips. Campell Soup’s Goldfish brand has also come out with tinier versions of their already-mini goldfish-shaped snacks.

Conclusion

The ever-growing snack category is creating opportunities for food manufacturers to be innovative and creative. Whether it’s mini versions of old favorite snacks, bold new flavor combinations, healthier options, or more sustainable packaging—now is the time to get savvy about snacks.