Market Trends of Potato Chips Industry
Rising Popularity of Snacking Products
Potato chips are one of the most convenient food options for people to keep pace with their busy lifestyles. It shortens the meal preparation time and can be served as a quick snack or part of the meal. Crisps are savory snacks that are particularly popular in Western countries. They constitute a significant part of the snack food market. Product variety, a mix of regional snack flavors, changing consumer lifestyles, and growth in distribution channels are major factors contributing to increasing sales of potato chips across the world.
Additionally, players have been offering healthy or fortified potato chips in the market due to the ongoing healthy snacking trends. For example, Prataap Snacks Ltd offers Omega-fortified potato chips under its Yellow Diamond brand. Additionally, in May 2022, upcycled sweet potato chips, known as Uglies Sweets, were added to the Uglies Kettle Chips product line. The sweet potatoes used to make the chips were kettle-cooked in small batches and mildly salted. According to the manufacturer, these chips were a good source of vitamin A, free of gluten, validated by the Non-GMO Project, kosher, vegan-friendly, and made in a facility without nuts.
Furthermore, owing to fast-paced lifestyles and the need for a quick meal or snack among adults, there has been a growing demand for healthy and convenient food that can be consumed instantly. Potato chips are beneficial as they can be easily available and carried around for consumption. These factors have been propelling the market growth.
Asia-Pacific Remains the Fastest Growing Region
The consumption levels for potato chips vary extensively across regions across the world and have a massive scale in the salty snacks category. Asia-Pacific was the fastest-growing region due to the rapid growth of modern distribution channels, such as supermarkets and hypermarkets. Changes in lifestyles, technological improvements, increased investment in developed countries of the region, and a taste preference contributed to the rise of the potato chips industry.
The growing popularity of snacks in Asian countries compelled regional players to adopt strategic advancements to gain a competitive edge in the snack food market. For instance, the Universal Robina Corporation acquired Snack Brands Australia to gain a competitive advantage to its reputation in the market. The product and packaging innovation strategies are further expected to drive the growth of the potato chips market in Asian countries. The local players from Singapore are launching exotic flavors of potato chips, owing to the demand for the same in the local market. This factor is majorly driving the potato chips market in the Asia-Pacific.
