Snacks No Longer Just an Indulgence
According to “Snack Unwrap: The Insatiable Craving for Growth,” the latest report from Circana LLC, evolving consumer priorities, an increasing focus on health-conscious choices, and wider macroeconomic factors are significantly influencing snacking behaviors. The market research firm’s report also spotlighted the key role of innovation in growing the snacking industry.
“Snacking continues to play a vital role in consumers’ lives, meeting needs ranging from quick hunger fixes to indulgent cravings and wellness goals,” affirmed Sally Lyons Wyatt, global EVP and chief industry advisor for Chicago-based Circana. “While snacks have driven dollar sales growth for years, unit sales tell a more nuanced story, with declines in 2022 and 2023, a softened decline in 2024, and a renewed dip as 2025 begins. This underscores how consumer snacking habits are evolving. Brands have a significant opportunity to adapt by leveraging health trends, personalization and innovation to align with these shifting preferences and expectations.”
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Among the major insights in the report:
- Snacking Frequency Remains High: In spite of economic uncertainties, snacking is still an integral part of daily life for U.S. consumers. Almost half of Americans (48.8%) snack three or more times daily, a 2.7% rise year over year, with younger demographics (ages 18-44) leading the pack.
- Healthier Alternatives on the Rise: Consumers are increasingly looking for snacks that accord with their dietary and wellness goals. About 64.1% actively seek snacks perceived as “good for them,” a 7.4% increase since 2020. Categories such as yogurt, natural cheese chunks and high-protein options are seeing solid growth because of their nutritional content.
- Macroeconomic Influences Drive Value-Based Choices: Growing concerns about inflation and cost have resulted in more strategic purchasing practices, with consumers continuing to turn to multipack and variety options. Further, sales growth of private label snacks is surpassing branded products in several core categories.
- Innovation Spurs Consumer Demand: From functional snacks with health benefits to indulgent treats with nostalgic twists, brands appeal to a range of consumption needs. Viral flavor profiles, including ube, peri peri and matcha, are sparking curiosity, while brand collaborations are creating buzz-worthy products.
- Emerging Channels and Trends: Online sales of snacks continue to rise, with almost 50% of consumers saying that they bought snacks online in 2024. Convenience, flexible delivery options and price-surfing behaviors have all contributed to the increasing prominence of e-commerce in the snacking arena.
Added Wyatt: “Snacking has evolved beyond simply satisfying hunger; it has become less about impulse and more of a reflection of personal values, priorities and lifestyle choices. From the rise of health-forward products to the experimental exploration of bold flavors, brands must adapt quickly to meet consumer needs and keep pace with shifting trends.”
Circana provides technology, AI and data to fast-moving consumer packaged goods companies, durables manufacturers and retailers seeking to optimize their businesses. The company’s Liquid Data technology platform is powered by an expansive, high-quality data set and intelligent algorithms trained on six decades of domain expertise.