Experts predict that the value of the global snacks and candy market will grow to $242.53 billion by 2028 at a CAGR of 3.8 percent. Not bad for an industry that is forever battling against the demonization of sugar and accusations of fueling the obesity crisis.
That said, the candy and snack food industry has seen a lot of changes over the last few years. These are partly because of the COVID-19 pandemic. But also because of trends that were emerging long before the pandemic started.
Let’s take a look at some key recent candy and snack food industry changes to find out more!
1. Staying In Is the New Going Out
As you can see if you click here, there’s a lot of coverage about how the COVID-19 pandemic affected the sale of candy and snacks. While gum sales declined, sales of chocolate, candies and salty snacks increased.
The increasing popularity of entertaining at home was already a pre-pandemic driving force in the snack food industry. Millennials in particular were more likely to load up on family-size bags of chips, popcorn, and nuts for a movie night with friends than head out every weekend.
But when staying in became an obligation rather than a choice, stress-eating foods such as sweets and salty snacks were even more in demand.
2. The Digital Default
Another trend that existed before the pandemic but has since accelerated is that of online shopping. Neighborhood convenience stores can still boost their revenue with candy and snack food near the checkout. But this practice became less lucrative for larger retailers since fewer families were entering the store.
As such, it became more important for big-box grocery stores to highlight candy and snack categories on their online shopping menu. And the snack food industry responded by offering more wholesale candy and snacks, multipacks, and combination products such as candy mixes for them to sell.
3. Increasing Health Awareness
Increasing awareness of health and wellness in the population has encouraged the candy and snacks industry to release more sugar-free versions of classic favorites. Many emerging brands use natural food coloring where possible, while there are all kinds of innovative new products such as Nākd bars committed to using whole food ingredients in their snacks.
Alongside wholesale snacks and candy packs intended for sharing, the industry has also responded to the call for more miniature single-serve packs with a specific calorie limit. These allow for greater portion control when impulse buying sweet treats and salty snacks on the go.
Recent Changes in the Snacks and Candy Industry
As this quick round-up shows, the snacks and candy industry is nothing if not resourceful.
While many industries suffered during the pandemic and beyond, candy and snack food sales have never been better. And even though certain emerging trends seem to challenge an industry based on indulgence and impulse-buying, snack food brands always find a way to respond.
Want more updates and advice? Be sure to check out our other blog posts for all the latest on everything from city breaks to party planning!