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    Features

    Snacks and Nutrition Bars Remain Key Part of Consumer Lifestyles

    Despite an increase in at-home cooking, snacks and bars are rebounding and brands are adapting.

    Snacks and Nutrition Bars Remain Key Part of Consumer Lifestyles
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    By Sean Moloughney, Editor01.26.22
    Snacking and cooking habits have shifted with more time spent at home and fewer people on the go. However, affordable, value-based products that can deliver health and nutrition, taste, convenience, and/or meet needs for comfort and emotional well-being will continue to gain customers.

    “The COVID-19 pandemic has driven consumers to increase at-home cooking and snacking. While this has benefited most snack categories, it undercut those options oriented towards meal replacement and eating on the go,” said Beth Bloom, associate director, U.S. food and drink reports, Mintel. “With re-emergence underway, bars are well positioned for a quick recovery and sustained five-year growth. In particular, bars have been at the forefront of BFY (better for you) snacking trends, functional foods, and specialized diets, especially those featuring plant-based proteins, which can help consumers get on track with wellness.”

    Return to Growth
    Mintel’s 2021 report on Snack, Nutrition and Performance Bars in the U.S., indicated that while category growth was slow but steady from 2014 to 2019, the arrival of the COVID-19 pandemic in 2020 led to a dollar sales decline of nearly 6%. Still, the market research firm valued the U.S. market at about $7 billion in 2020.

    “While instance of bar consumption remained fairly steady in the wake of the pandemic, less expensive snack bars held tighter to gains than more premium, specialized performance, nutrition, and weight loss bars,” the report noted.

    Mintel predicted a rebound in 2021 and is projecting fairly steady growth for the category through 2025 to about $8 billion.

    “Bars are well positioned with key demographics, such as 18-44 year olds and parents. Expanding consumption occasions and expanding low-sugar, all-natural, and plant-based protein bars can help appeal to these groups. Innovating in the domains of functional benefits, especially those related to immunity and other health benefits (heart, digestion, focus, stress reduction) can also expand the reach of bars and support ongoing market growth.”

    Household penetration of bars has reached 66% in the U.S., delivering on key consumer needs of convenience, taste, and indulgence. “However, brands will need to strengthen their value proposition to shore up some of the flight seen during the pandemic,” Mintel said. “Lack of value is the leading barrier to bar purchase among non-buyers, and a desire to save money is cited as the leading reason bar eaters reduced their bar consumption in 2020.”

    Brands can expand their reach by supporting consumers eager to improve their overall health, Mintel said. “Promoting low-sugar, all-natural and plant-based proteins can help make bars central to consumers seeking a more holistic, sustainable relationship to health, nutrition and the planet.”

    Snack Trends to Watch
    Consumers are proactively looking for positive food attributes like whole grains and fiber, and they’re exploring immune health more so than previously, according to recent surveys from the International Food Information Council (IFIC).

    In 2022, Americans are in search of more effective ways to manage their stress, whether it be pursuit of micronutrients like B vitamins and magnesium or macronutrients like whole grains and protein.

    IFIC predicted that nostalgia will play a role in how people approach food and nutrition this year. “All things simple and familiar will guide our food choices, whether it’s the recipes we follow or the snacks we reach for,” the organization said in a recent trend assessment.

    IFIC’s 2021 Food and Health Survey also found 42% of consumers believe their food choices have a moderate or significant impact on the environment, while seven in 10 said climate change sometimes influences their purchase decisions. 

    According to the food and nutrition consultancy New Nutrition Business, “nutrient density” is an emerging trend that will have growing influence on marketing and product development over the next five years.

    “The concept of foods being ‘nutrient-dense’ has been floating around for more than 20 years in nutrition circles, but it has moved on rapidly lately, legitimized by the term ‘nutrient density’ being used prominently in the new U.S. Dietary Guidelines,” said Julian Mellentin, director of New Nutrition Business. “Nutrient density has the potential to create value among the 25-30% most health-active consumers. And it’s such a simple concept that it’s also easy for mainstream consumers to embrace.”


    Yogurt: Plain and Plants
    On average, 57% of consumers worldwide regularly buy yogurt, although individual country rates vary from 32% in Indonesia to 78% in Spain, according to analysis from market research firm Innova Market Insights. Interestingly, 29% of consumers increased their consumption of yogurt in 2020, largely for health reasons, while 60% said their consumption levels were stable, and just 11% said they had decreased.

    Asia is the largest market with 43% of yogurt value sales; it is also seeing the most growth, Innova noted. The region is home to the top two individual countries in terms of value, with China a clear leader and Japan taking second place ahead of Brazil and the U.S.

    The growing popularity of non-dairy yogurt has had a big impact on the category, with 25% of consumers globally now eating plant-based spoonable yogurt and 22% enjoying plant-based drinkable yogurt. “Perhaps unsurprisingly, spoonable non-dairy yogurt is the most active sub-category in terms of innovation,” Innova said, “seeing new product launch activity grow by 9.6% (5-year CAGR to the end of Q3 2021). This compares with just 0.2% for the yogurt category as a whole.”

    Key themes driving innovation are largely the same for both dairy and non-dairy, but each is creating its own path. There is a strong focus on highlighting organic status, sourcing, clean label and provenance, with animal welfare issues increasingly important in dairy, and sustainability under the spotlight for non-dairy alternatives.

    Health is a driving factor, particularly added well-being attributes such as probiotics, immune support, and digestive benefits. Protein and fiber content remain important, along with sugar and fat reduction and free-from formulations. Research also indicates that consumers would be prepared to pay more for added health benefits.

    “With 20% of consumers in Innova’s survey being influenced by ‘made with real ingredients’ and ‘natural’ claims when buying yogurt, simple and clear ingredient lists will continue to be an area of focus,” the company said.   

    Sean Moloughney has been the Editor of Nutraceuticals World since 2012. He can be reached at SMoloughney@RodmanMedia.com.
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