Savory Snacks Market Analysis By Product (Potato Chips, Extruded Snacks, Nuts & Seeds, Popcorn), By Distribution Channel (Supermarket, Convenience Stores), By Flavor (Roasted/Toasted, Barbeque, Spice, Beef), And Segment Forecasts, 2018 - 2025

Industry Insights

The global savory snacks market size was valued at USD 94.30 billion in 2015 and is expected to grow rapidly on account of rising demand for healthy food. Growing consumer pro-activeness towards health problems has boosted the demand for these products as they comprise essential ingredients and possess familiar taste.

The savory snacks industry in U.S. is growing rapidly on account of millennials consuming snacks over traditional sit-down meals. The shrinking size of households in the country has boosted the snacking trend in the country which is expected to drive the demand for these products over the forecast period.

U.S. savory snacks market, by product, 2014 - 2025 (USD Billion)

Numerous regulations regarding the manufacturing of savory snacks are one of the major factors concerning the industry players. These regulations undergo a lot of variation according to the region in which the product is manufactured due to which manufacturers spend heavily on research and development to meet the food standards.

The market is characterized by the presence of established as well as local players. The increase in the number of local players has augmented the presence of private label products in this market. Major retailers have started selling savory snacks under their own brand name. The relatively low price of these products as compared to locally available products in the market is likely to drive their demand.

Product Insights

The product segments in the market comprise of potato chips, extruded snacks, nuts & seeds, and popcorn. Potato chips were the dominant product segment with a market size of USD 31.38 billion in 2015. The introduction of new flavors and roasted potato chips with health benefits is expected to have a positive impact on industry growth.

The demand for extruded snacks is expected to grow rapidly on account of rising fortification to include healthy ingredients. The increasing utilization of local savory snacks is expected to propel the demand for these products over the forecast period.

Flavor Insights

The major flavors in which savory snacks are offered around the world are roasted/toasted, barbeque, spice, and beef. The flavor is an important component of any savory snack as major industry players try to differentiate on the basis of flavor.

The flavor segments in the market are dominated by roasted/toasted, barbeque and spice. Barbeque was the predominant flavor in North America and European regions with a market share of over 23% in 2015. The demand for this flavor is slowly picking up in Asia Pacific and is expected to grow moderately over the forecast period.

Distribution Channel Insights

Convenience stores and Supermarkets/Hypermarkets are the preferred distribution channels with market shares of over 30%. Changing consumer preferences and availability of wide range of products in these formats is anticipated to have a positive impact on the demand.

Global savory snacks market, by distribution channel, 2015 (USD Billion)

Convenience is the major factor driving the demand for savory snacks. The distribution channel which provides consumers the utmost convenience would have the maximum preference. The service station distribution channel is expected to grow rapidly at a CAGR of 9.0% over the forecast period.

Regional Insights

Asia Pacific and North America held the largest regional share in the savory snacks market, in terms of revenue. The growth in Asia Pacific is driven by countries such as Japan and China. The consumers in these countries have started adopting healthier lifestyles on account of rising concerns about childhood obesity.

Savory snacks enjoy high demand in Europe as these products are consumed at various occasions by the population in this region. The industry is driven by countries such as the UK and Spain as the consumers engage in on the go eating as an instant energy booster in place of whole meals. The demand for savory snacks is also increasing rapidly in countries such as Netherlands, Norway, and Germany.

Competitor Insights

The industry is highly competitive owing to a large number of small and big players. The key industry participants are PepsiCo, Kraft Foods, Kellogg, and CALBEE. The other manufacturers are ConAgra Foods, Diamond Foods, The Hain Celestial Group, General Mills, Arca Continental and Blue Diamond Growers.

The industry participants in the savory snacks industry constantly engage in new product development and introduction of new flavors. The profitability of companies majorly depends upon effective marketing, well-trained sales force, and efficient operations. Manufacturers are diversifying their products on account of rising health concerns among the consumers.

Report Scope

Segments covered in the report

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the savory snacks market on the basis of product, distribution channel, flavor and region:

• Product Outlook (Revenue, USD Billion, 2014 - 2025)

  • Potato Chips

  • Extruded Snacks

  • Nuts & Seeds

  • Popcorn

  • Others

• Distribution Channel Outlook (Revenue, USD Billion, 2014 - 2025)

  • Supermarket/Hypermarket

  • Independent Retailers

  • Convenience Stores

  • Service Station

  • Others

• Flavor Outlook (Revenue, USD Billion, 2014 - 2025)

  • Roasted/Toasted

  • Barbeque

  • Spice

  • Beef

  • Others

• Regional Outlook (Revenue, USD Billion, 2014 - 2025)

  • North America

    • U.S.

  • Europe

    • UK

    • Spain

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South Africa

    • Brazil

  • Middle East & Africa