Global Snack Bar Market - 2024-2031

Overview

Global Snack Bar Market reached US$ 25.6 billion in 2023 and is expected to reach US$ 41 billion by 2031, growing with a CAGR of 6.06 % during the forecast period 2024-2031.

Changing consumer preferences towards healthier and more convenient snacking options promotes the various snack products in the market. The rise of on-the-go lifestyles has also contributed to the demand for portable snack solutions that offer both taste and convenience. Market dynamics are further influenced by innovative product development and strategic marketing efforts from key players.

KIND Snacks' March 2024 launch of adaptogen-infused bars highlights a key trend in the global snack bar market: the demand for convenient and health-focused products. As consumers seek snacks that provide stress relief and energy boosts, brands are increasingly incorporating functional ingredients to cater to fitness enthusiasts, busy professionals, and families, enhancing their appeal in a competitive landscape.

The labor force of 170,548,899 in the US in 2023 underscores the country's economic strength and consumer power, contributing significantly to North America's dominance in the snack bar market. A large, diverse workforce drives innovation, productivity, and consumption, fostering a robust market for convenient food options. The demographic trend, combined with evolving lifestyles and health-conscious consumer behavior, positions the US as a key player in the growing demand for snack bars.

Dynamics

Increasing Demand For Convenience Among Consumers

In today's fast-paced lifestyle, individuals are seeking quick, accessible food options that fit seamlessly into their busy schedules. Snack bars, with their portability and ready-to-eat nature, cater perfectly to this need, making them an attractive choice for on-the-go consumption. Additionally, the rise of health consciousness is reshaping the snack bar landscape, further fueling its growth.

Consumers are not only looking for convenience but also for nutritious choices that align with their dietary goals. This has led to an influx of snack bars made from natural ingredients organic components and those fortified with protein or fiber. Brands are capitalizing on this trend by marketing their products as wholesome alternatives to traditional snacks. As convenience and health converge, the global snack bar market is poised for continued expansion, reflecting changing consumer habits and preferences.

Innovative Product Launches

The global snack bar market continues to evolve with innovative product launches. For instance, in August 2024, think! Partnered with Jessie James Decker to introduce Think! MINIS Protein Snack Bars. This new line, featuring seven flavorful options, caters to the growing demand for convenient, on-the-go snacks that offer a balanced mix of macros without sacrificing taste. As consumers increasingly seek portable nutrition solutions these mini-sized bars mark a significant development in the market.

Similarly, the introduction of Fazer's limited-edition Taste the Future snack bar, featuring Solein, a novel protein developed by Solar Foods in January 2024, contributes to market diversification. This innovative, vegan-friendly snack bar incorporates Solein to enhance its nutritional profile with essential iron, often lacking in plant-based diets. As brands increasingly prioritize sustainability and nutrition, this collaboration highlights a trend toward using alternative protein sources.

Price Sensitivity

As consumers become more price-conscious, especially during economic downturns, they gravitate towards cheaper alternatives or generic brands, limiting the growth potential for premium snack bar offerings. The shift in preference can hinder brands that rely on higher price points to convey quality or uniqueness, forcing them to either reduce prices or enhance value propositions to maintain market share.

Additionally, price sensitivity can drive competitive pressure within the market. Brands may engage in aggressive pricing strategies, promotions, and discounts to attract budget-conscious consumers. It can lead to a race to the bottom, where profit margins shrink and innovation slows, as companies prioritize immediate sales over long-term brand loyalty and product development.

Segment Analysis

The global snack bar market is segmented based on ingredients, product type, packaging, distribution channel, and region.

High Need For Protein Foods

The global snack bar market is segmented based on product type into granola, protein, breakfast, and others. Protein bars are leading the way. Valued at around US$ 4.03 billion in the US, the high-protein segment featuring bars with at least 15 grams of protein has generated nearly US$ 1.5 billion in sales, reflecting an 8% annual growth, according to Glanbia Plc. This trend is fueled by increasing health consciousness among consumers.

There is a need for convenient, nutrient-dense snacks, particularly amid rising concerns about protein deficiency, especially in children. The World Health Organization highlights that 25% of children globally suffer from protein-energy malnutrition, underscoring the urgent need for accessible protein sources. As consumers seek healthier options, protein bars are becoming popular for their versatility and convenience. This growing demand for nutritious, on-the-go protein bars in the snack market.

Geographical Penetration

High Demand For Convenient Food Products in North America

North America dominates the global snack bar market with the thriving convenience industry that achieved total sales of US$ 859.8 billion, as per the data from the National Association of Convenience Stores (NACS). In-store sales alone reached US$ 327.6 billion, with food service playing a significant role in this success. The increase in average basket size to US$ 7.80 highlights a growing consumer preference for premium snack options that emphasize convenience and quality. Moreover, the convenience store sector's capacity to innovate and expand its food service offerings, especially in prepared foods.

With food service accounting for 26.9% of in-store sales and contributing 37.3% to total in-store profits, the region's commitment to improving customer experience through a wide range of enticing snack bar products is likely to sustain market growth. As consumers increasingly demand convenient, high-quality snacks, North America is well-positioned to maintain its dominant role in the global snack bar market.

Competitive Landscape

The major global players in the market include General Mills Inc., Kellogg Company, Mars Incorporated, Mondelez International Inc., Nestle SA, Halo Foods Limited, PepsiCo Inc., Associated British Foods, Abbott Laboratories, and Lotus Bakeries Corporate.

Russia-Ukraine War Impact

The Russia-Ukraine war disrupted supply chain management and raised ingredient costs. The conflict has caused shortages and price hikes for essential components in snack bar production. Logistical challenges have further strained transportation routes, leading to delays and increased freight costs. These factors contribute to inflationary pressures, making snack bars more expensive and potentially shifting consumer habits toward more affordable alternatives.

Consumer preferences overall are evolving with a growing emphasis on health and sustainability worldwide. Many consumers are preferring toward nutritious snack options, prompting brands to focus on organic and ethically sourced products. In the global market, various companies started innovating by reformulating recipes and diversifying their supply chains to mitigate risks.

By Ingredients

• Whole Grains
• Nuts and seeds
• Dried Fruit
• Others

By Product Type

• Granola bars
• Protein bars
• Breakfast bars
• Other Snack bars

By Packaging

• Single Serve
• Family Packs

By Distribution Channel

• Supermarkets and Hypermarkets
• Convenience Stores
• Specialty Stores
• Online Stores

By Region

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In July 2024, Upcycled Foods, Inc. and Act Bar introduced a new line of premium snack bars that cater to health-conscious consumers seeking wholesome options with a positive impact. These Upcycled Certified, vegan, and non-GMO bars feature ReGrained SuperGrain+, a nutritious ingredient made from leftover grains from beer brewing, rich in plant protein, dietary fiber, and prebiotics.
• In April 2024, Ready, a rapidly growing active nutrition company known for its popular Clean Protein Bars, announced the launch of its new Kids Whole Grain Protein Bars. With support from global athletes like Giannis Antetokounmpo and Aaron Donald, Ready aims to Fuel the Family by offering innovative snacks designed for children's nutritional needs.
• In August 2024, Think! Partnered with Jessie James Decker to introduce Think! MINIS Protein Snack Bars. This new line, featuring seven flavorful options, caters to the growing demand for convenient, on-the-go snacks that offer a balanced mix of macros without sacrificing taste.

Why Purchase the Report?

• To visualize the global snack bar market segmentation based on ingredients, product type, packaging, distribution channel, and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel spreadsheet containing a comprehensive dataset of the snack bar market, covering all levels of segmentation.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global snack bar market report would provide approximately 70 tables, 68 figures, and 214 pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies