Market Trends of Premium Snacks Industry
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.
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.
