SAN FRANCISCO – The global healthy-snack market is expected to reach a value of $32.8 billion by 2025, a compound annual growth rate (CAGR) of 5.1%, according to a new report by Grand View Research.
The study cited growing awareness of healthy snacking, as well as convenience and portability, as key factors behind the projected growth.
Still, the market will face some challenges. The study identified high manufacturing costs compared to traditional snacks and ensuing high selling prices as potential impediments. Differing regional regulation could also prohibit growth.
Here’s how four healthy-product types are expected to perform between now and 2025 …
Cereal and granola bars, which held 33.5% global market share in 2016, are expected to be the largest product segment going forward, according to the study. The segment will also experience the fastest growth, with a CAGR of 6.3% between now and 2025. Cereal and granola bars’ nutrition benefits, plus taste and portability, are factors contributing to demand.
With their emphasis on protein, nuts and seeds will see growing demand from vegetarians and nonvegetarians alike between now and 2025, according to the report. They are also consumed as a pre-workout snack, which is expected to contribute to demand as well.
Combined with dried fruit, the segment is expected to make up 27.2% of global market share in 2025. Demand is driven by the immediate energy boost and variety of flavors offered by these products.
Meat bars are expected to drive this category over the next eight years, according to the report, and the wide variety of products offered within the category is also an important factor for growth. The North America and Asia-Pacific regions in particular are expected to see increasing demand, the report said.
Trail mix accounted for 9.9% of global market share in 2016, the smallest of the five categories studied. Increased promotional activities by major players in the segment will affect demand in the next eight years, according to the report.
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