Premium Snacks Market Size
|Study Period:||2018 - 2028|
|Fastest Growing Market:||Asia-Pacific|
*Disclaimer: Major Players sorted in no particular order
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Premium Snacks Market Analysis
The Global Premium Snacks market is projected to register a CAGR of 4.8% during the forecast period, 2022-2027.
Low sales volumes brought on by the COVID-19 epidemic, along with supply-side problems related to certification and quality, had an effect on the premium snack market. The majority of employed people eat upscale snacks. However, as consumers were forced to stay indoors, snacking became a common habit, mostly among the adult and younger populations, and it affected the snack food market.
Rapid urbanization and industrialization in the first part of the 20th century, and growth in inheritance have led to an increase in disposable income for millennials, who make up a significant portion of the market for premium products. The aforementioned elements, along with others like product quality, are the factors driving the premium snack market. The expansion of online retailers is boosting sales of premium snacks. E-commerce makes it simple to purchase products made in remote locations. In turn, this has considerably aided in the expansion of the market for premium snacks worldwide. On the other hand, offline store contributions have dropped significantly. This is a result of internet retailers competing with one another. For instance, in February 2020, PepsiCo acquired Be & Cheery, one of the biggest online snack businesses in China, from Haoxiangni Health Food Co. The purchase of Be & Cherry is a significant step toward the Company's objective of becoming the top consumer-focused food and beverage company in China.
A paradigm shift in consumer behavior patterns may lead to the emergence of a premium snack food as a replacement for full-fledged meals. As empowered consumers increasingly look for enjoyable, nourishing, and sustainable foods to support their on-the-go lifestyles, premium snacks are evolving to meet changing demands. The demand for portability and convenience is driving an increase in snacking, and premiumization is encouraging innovation and diversity in fresh, healthier, and more efficient snacks. To appeal to international palates, localization encourages the use of strong, spicy flavors as well as exotic products, which is boosting regional markets' growth.
Premium Snacks Industry Segmentation
A premium snack is a small portion of food serving that is consumed in between meals. Premium Snacks have qualities that improve customers' perceptions of a product and make them willing to pay more. The Premium Snacks Market is segmented by type into frozen snacks, savory snacks, fruit snacks, confectionery snacks, bakery snacks, and other types. By distribution channel is segmented into supermarkets/hypermarkets, convenience stores, specialty stores, online retail stores, and other distribution channels, and by geography market is segmented into North America, Europe, Asia-Pacific, South America, and Middle-East and Africa. For each segment, market sizing and forecasts have been done on the basis of value (USD million).
|By Distribution Channels|
|Online Retail Stores|
|Other Distribution Channels|
Premium Snacks Market Trends
This section covers the major market trends shaping the Premium Snacks Market according to our research experts:
Increasing Premiumization in Confectionery Snacks
Snack categories differ dramatically in terms of premiumization. With great results in channel and packaging, chocolate confectionery dominates on this front by a significant margin. Conversely, when it comes to premiumization, savory snacks lag behind all other categories. Innovative premium confectionery snacks are now easily accessible. Premium snacks are competitively advantaged by notable developments including transparent procurement of rare ingredients and snacks that fit lifestyle requirements. In addition to a rising customer willingness to explore new products, there are more producers developing distinctive premium chocolate products, which is helping to drive the premium confectionery snacks market. For instance, Chocoladefabriken Lindt & Sprungli AG offers premium confectionery snacks under its brands such as Ghirardelli, Hofbauer, and Kufferle. In 2022, the company launched its new oat-based milk chocolate bars in the United States.
Retail outlets are seeing an increase in demand for super-premium snacks, which are being marketed and purchased more widely around the world. With the rise in disposable income, consumer are willing to spend more on premium snacks which offer health benefits. In many countries, presenting gifts has become more common. For business meetings, festivals, and events, premium confectionery snacks are given as gifts. This is fueling the premium snacks market.
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Europe Holds the Largest Market Share
Sales of premium snacks in Europe have increased, and a particular group of consumers has increased their need for premium chocolate snacks. Companies are also focusing on developing free-from and vegan snacks to capture the growing demand. In the region, there is a surge in the production of premium snacks. Chocoladefabriken Lindt & Sprungli AG owns 12 production sites in Europe. The French consumers’ preference for premium confectionery snacks led to an intense penetration of more gourmet snack products in Paris than in any other city in the world. European consumers are becoming increasingly health-conscious. Snacking for nourishment also plays a significant role in the daily diets of many consumers, with 33% of Europeans utilizing it to control calories as part of weight management and 22% using it to get through the day with sustained energy. Consumers who are snacking for nutrition choose foods and drinks with whole grains, fiber, protein, and healthy fats, especially those that contain little to no added sugar. Thus, healthier lifestyles are leading to changes in eating habits. This trend resulted in the development of premium healthy snacks. For instance, in 2021, British snack brand Perkier launched the UK’s first probiotic bar. The two bars, Blueberry with Dark Chocolate and Madagascan Vanilla with Dark Chocolate, contain two precision strains of probiotics, Bifidobacteria longum and Lactobacillus rhamnosus, which are proven to support immune health. Furthermore, consumers consider products containing distinct premium ingredients while purchasing premium snacks. Prominent French supermarkets, such as Carrefour and Monoprix, are trying to stock up on premium bio snacks ranges to cater to distinct consumer needs.
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Premium Snacks Industry Overview
The global premium snacks market is highly competitive, mostly in developed nations, where a sizable number of snack food production companies are in operation to supply the limited population. Chocoladefabriken Lindt & Sprungli AG, Donutopia Berco's Popcorn, The Kellogg Company, and Uniliver are a few of the main companies in the premium snacks food industry. These companies are developing new tastes, fancier packaging, broadening their target markets, and bolstering their distribution networks in an effort to increase their market share. To meet rising customer demand and gain a competitive edge in the industry, the major players are concentrating on new product developments, expansions, partnerships, mergers, and acquisitions. For instance, In February 2021, Kellogg Company opened a new design studio to complete its global innovation suite, the new Design Studio for employees. The company's Innovation Suite at the Kellogg Institute for Food & Nutrition Research, on its Battle Creek headquarters campus, now includes the 40,000-square-foot studio. Additionally, it has the renowned Kellogg Center for Culinary Innovation, the Center for Sensory and Consumer Discovery, and Innovation Engine Room.
Premium Snacks Market Leaders
Chocoladefabriken Lindt & Sprungli AG
The Kellogg Company
*Disclaimer: Major Players sorted in no particular order
Premium Snacks Market News
- In May 2022, Kellogg's launched innovative packaging to improve its products' shelf appeal. In collaboration with international brand transformation company Landor & Fitch, Kellogg's is introducing a new appearance for its line of snacks.
- In September 2021, PepsiCo has declared that for the first time they have launched a “Zero-Staff”, AI-Powered Snack Store in Dubai at Expo 2020. The new AI-Powered store is designed to cater to shoppers’ needs and is secure and contactless.
- In April 2021, Mondelez International and Olam Food Ingredients have announced a partnership to establish the largest sustainable commercial cocoa farm in the world in Asia. The strategy is based on the accomplishments of Mondelez International's renowned initiative for sustainable sourcing. Future cocoa farming model for 2,000 hectares to improve farmer livelihoods, the environment, and local communities.
Premium Snacks Market Report - Table of Contents
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Porter's Five Force Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 By Type
5.1.1 Frozen Snacks
5.1.2 Savory Snacks
5.1.3 Fruit Snacks
5.1.4 Confectionery Snacks
5.1.5 Bakery Snacks
5.2 By Distribution Channels
5.2.2 Convenience Stores
5.2.3 Specialty Stores
5.2.4 Online Retail Stores
5.2.5 Other Distribution Channels
5.3 By Geography
5.3.1 North America
18.104.22.168 United States
22.214.171.124 Rest of North America
126.96.36.199 United Kingdom
188.8.131.52 Rest of Europe
184.108.40.206 Rest of Asia-Pacific
5.3.4 South America
220.127.116.11 Rest of South America
5.3.5 Middle East & Africa
18.104.22.168 Saudi Arabia
22.214.171.124 South Africa
126.96.36.199 Rest of Middle East & Africa
6. COMPETITIVE LANDSCAPE
*List Not Exhaustive
6.1 Most Adopted Strategies
6.2 Market Share Analysis
6.3 Company Profiles
6.3.1 Chocoladefabriken Lindt & Sprungli AG
6.3.2 The Kellogg Company
6.3.4 Berco's Popcorn
6.3.5 Unilever PLC
6.3.6 PepsiCo Inc.
6.3.7 Mondelez International
6.3.8 Conagra Brands, Inc.
6.3.9 Mars Incorporated
6.3.10 General Mills Inc.
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. IMPACT OF COVID-19 ON THE MARKET
Premium Snacks Market Research FAQs
What is the study period of this market?
The Premium Snacks Market is studied from 2018 - 2028.
What is the growth rate of Premium Snacks Market?
The Premium Snacks Market is growing at a CAGR of 4.8% over the next 5 years.
Which region has highest growth rate in Premium Snacks Market?
Asia-Pacific is growing at the highest CAGR over 2018 - 2028.
Which region has largest share in Premium Snacks Market?
Europe holds highest share in 2021.
Who are the key players in Premium Snacks Market?
Chocoladefabriken Lindt & Sprungli AG, Donutopia, Berco’s Popcorn, The Kellogg Company, Unilever Plc are the major companies operating in Premium Snacks Market.
Premium Snacks Industry Report
Statistics for the 2023 Premium Snacks market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Premium Snacks analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.