U.S. Healthy Snacks Market Size To Reach USD 5.3 Billion By 2025

July 30, 2018

The U.S. healthy snacks market size is expected to reach USD 5.3 billion by 2025 as a result of increasing demand from young consumers. Customers prefer healthy snacks due to time constraining lifestyle. Rising awareness regarding benefits of healthy snacks for health and wellness is anticipated to further fuel market growth over the forecast period. In addition, manufacturers are now offering numerous healthy snacking options to fulfill dietary requirements such as sugar-free, low salt, and low cholesterol.

Rising expendable income and spending capacity owing to modernization are projected to fuel market growth for healthy snacks in U.S. Similarly, increasing consumer awareness about nutrition, health, and wellness is expected to drive the market. Rising adoption of dried fruit snacks due to changing lifestyle is likely to fuel market growth over the next few years. However, high cost of production due to volatile raw material prices coupled with stringent regulations is expected to hinder market expansion in near future.

The U.S. Food and Drug Administration (FDA) is building a new food safety system based on prevention. It is creating a process to get this work done. Congress has established specific implementation dates in legislation. The funding the agency gets each year, which affects staffing and vital operations, will affect how quickly FDA can put this legislation into effect. FDA is committed to implement the requirements through an open process with opportunity for input from all stakeholders.

Rising investment to develop innovative products and high quality heathy snacks focused on reducing the use of product differentiation is expected to drive the U.S. healthy snacks market over the forecast period. Rising awareness among customers on account of various awareness campaign launched by government, non- government organizations, and brands is likely to further drive the demand over the forecast period.

There is high demand for healthy snacks in mature economies. The cereal and granola product segment is expected to drive the market over the forecast period. Rising awareness and emphasis on quality products are anticipated to propel product demand in the region. Increasing spending capability of consumers is anticipated to further drive the market over the forecast period.

Fluctuation in prices of raw materials owing to high demand is expected to impact buying pattern over the forecast period. Rising investment in strategic mergers and acquisitions by major players to develop low-cost manufacturing process coupled with adherence to stringent compliance is expected to augment market demand over the forecast period.

Government regulations in developing economies emphasize on natural, organic, and raw materials to manufacture healthy snacking products. This is expected to drive market growth over the forecast period. Rising emphasis by regional governments from mature economies like North America to strictly adhere to the FDA directives for manufacturing healthy snacks is likely to bode well for market expansion in near future.

The U.S. healthy snacks market is fragmented with presence of regional and international companies. Key market players include General Mills; Mondelez International, Inc.; PepsiCo Foods; Nestle S.A.; B&G Food Inc.; and The Kellogg. A few companies are integrated across various stages of value chain. Companies including The Kellogg Company, Nestle SA, and General Mills manufacture healthy snacks and also sell them directly through online stores. Integration across numerous stages of value chain results in continuous raw material supply and low manufacturing cost.

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Hexa Research has segmented the U.S. healthy snacks market report based on product:

Segmentation by Product
    • Cereal & Granola Bars
    • Nuts & Seeds
    • Meat
    • Dried Fruit

Key players analyzed:
    • General Mills, Inc.
    • Mondelez International, Inc.
    • PepsiCo Foods
    • Hormel Foods Corporation
    • Kind LLC
    • Tyson Foods, Inc.

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