Global Savory Snacks Market To Reach $138 Billion By 2020, Says Canadean
The global savory snacks market will rise from US$94.5 billion in 2015 to US$138.2.billion by 2020, representing a compound annual growth rate (CAGR) of 7.9%, according to consumer insight firm Canadean.
The company’s latest report states that such growth is expected to come mainly from developing countries in the Asia-Pacific and Eastern European regions, with CAGRs of The global savory snacks market will rise from US$94.5 billion in 2015 to US$138.2.billion by 2020, representing a compound annual growth rate (CAGR) of 7.9 per cent, according to consumer insight firm Canadean.
The company’s latest report states that such growth is expected to come mainly from developing countries in the Asia-Pacific and Eastern European regions, with CAGRs of 113.7 per cent and 7.3 per cent, respectively, while the Latin American region is expected to register a more moderate CAGR of 3.2 per cent.
According to Rashmi Mahajan, analyst for Canadean, “Rising urbanisation levels and busier lifestyles are impacting the eating habits of consumers, who are increasingly replacing main meals with more flexible, light, and convenient snacking options.
"Changing consumer preferences and the growing trend of ‘snackification’, which represents a significant portion of everyday eating routines, is driving the demand for portable and on-the-go formats.”
Big opportunities exist in large, populous developing countries with low per capita consumption levels, such as China (0.8 kg of savory snacks per person in 2015) and India (1 kg), compared to the high levels of consumption in developed countries such as the US (9.5 kg) and the UK (7 kg).
Canadean’s analysis reveals that the health and wellness trend has impacted the eating habits of consumers in developed markets, who tend to base their snacking choices on nutritional value and quality.
In this way, consumers are trading up and spending more on premium varieties of snacks. Consumers in emerging countries including Brazil, China and India, on the other hand, mostly base their snack choices on value and experimentation.
Mahajan continues: “Despite the regional differences in snacks consumption, innovation in flavors remains an important differentiating factor globally, as consumers across all ages opt for products offering new and unusual consumption experiences.
Examples include nacho chips in papdi chaat flavour in India, maize snacks in a tangy fruit chutney flavour in South Africa, popcorn in strawberry and cream flavour in the UK, and potato chips in chocolate chilli flavour in France.”
According to Canadean, the global savory snacks market is highly fragmented, with the top five brands holding less than 16 per cent market share.
Lay’s, Doritos, Pringles, Cheetos, and Ruffles were the leading brands with the highest market share in 2015.
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