Fruit Snacks Market Research Report - Forecast to 2029 (Includes Business Impact of COVID-19)

                                          
Abstract, Snapshot, Market Analysis & Market Definition: Fruit Snacks Market 
Industry / Sector Trends

Global Fruit Snacks Market size was worth over USD 4.66 billion in 2018 and is projected to witness more than 8.4% CAGR from 2019 to 2025.

Growth of fruit snacks market is primarily attributed to shifting consumer preference for convenient and healthy on-the-go snacking options. Most of these consumers opt for fruit snacks as their meal substitute. Fruits contain essential nutrients such as vitamins, potassium, magnesium, and fiber which mitigates the risk of cardiovascular diseases, high blood pressure, and obesity. Also, rising health & wellness concerns coupled with hectic lifestyles, are anticipated to drive these changing food habits and accentuate industry growth over the forecast period.

Increasing demand for nutritional ingredients in food, beverages, sweets, savory, and dairy, industries is expected to accentuate the fruit snacks demand over the forecast period. The surge in consumer preference for nutrient enriched processed food in comparison with other regular processed food options will further support the product penetration.

Increasing geriatric population, increasing consumer expenditure supported by the growing count of supermarkets & hypermarkets have contributed to the business expansion. Increasing per capita expenditure on health and wellness will support the adoption of fruit snacks. Besides, rising disposable income in emerging economies such as North America and Europe coupled with an increase in population will fuel the demand for fruit snacks products.

Growth in digitalization field offers easy availability of information to consumers, thus increasing their awareness regarding healthy snacking choices. The population in developed economies are becoming increasingly aware of the benefits of consuming nutrient locked fruit snacks which are further fueling the market growth. Strict regulatory guidelines by governing bodies such as the USDA, FDA, and EFSA regarding product labeling and improving nutrient intake will proliferate the industry growth.

Rising technological advancements coupled with process innovations will foster the industry expansion. Manufacturers are adopting cutting-edge production and packaging technologies to fulfill customer expectations for snacks products without GMO and other unhealthy artificial ingredients. Market players are introducing a variety of healthy products such as freeze-dried fruits, and gluten-free trail mixes to attract patrons which will support business growth. However, high costs associated with the production of fruit snacks and stringent regulatory standards concerned with product quality would hamper the market growth to a certain extent.

Market Segmentation, Outlook & Regional Insights: Fruit Snacks Market

Global Fruit Snacks Market, By Type

Sweet and savory segment of fruit snacks market are expected to register over 8.5% CAGR up to 2025 owing to factors such as changing consumers lifestyles, increasing snacking among children & youth and attractive product launches such as drinkable jelly, gummy bears, jelly strips, etc. Freeze dried fruit chips are among the most minimally processed products in this segment. They are a concentrated and rich source of energy. Benefits such as storage convenience, longer shelf life and better nutritional value compared to other counterparts will boost the industry share for freeze-dried products over the forecast period.

Beverages accounted for more than 35% share in the overall market. Rapid growth in functional beverage consumption owing to increasing health concerns will drive the market for beverage snacks such as juice and smoothies in the forecast timeline. Increasing purchasing power parity coupled with increased millennial spending on health drinks, refreshments, and other premium beverages will boost the segment share.

Global Fruit Snacks Market, By Fruit Family

Mixed fruit snacks market will witness gains at over 7% up to 2025. The incorporation of mixed fruit pulp in snacks and refreshments is on the rise, owing the consumer demand for tropical flavored food products. Mixed fruits are used in variety of fresh and processed snacks including smoothies, puddings, jams, and juices. The industry has witnessed a trend of coating mixed fruit chips with chocolate to add an aesthetic appeal and taste to the product. thereby supporting segment growth.

Apple snacks is expected to witness noteworthy growth owing to its superior nutritional value along with low calorie and sodium content. Additional health benefits including balancing of blood sugar levels, reduced risk of cancer and rich source of dietary fiber will boost the demand for apple flavored snacks in the market. However, according to USDA, Global apple exports are projected to reduce in 2019 due to decrease in its production which may affect the segment share in the future.

Global Fruit Snacks Market, By Distribution Channel

Mainstream stores hold a dominating share in the fruit snacks market. An increasing number of modern retail outlets including supermarkets and hypermarkets, etc. across all regions will support the segment share for the mainstream distribution channel. Rapid urbanization and steady growth in population will be coupled with highly competitive retailers will support the business expansion. For instance, the Indian government approved 51% FDI on multiband retail and 100% FDI on single brand retail which has prompted the interest of industry participants in this sector.

Germany Fruit Snacks Market, By distribution channel, 2025 (USD Billion)

Specialist stores distribution channel will witness gains at over 8.5% CAGR up to 2025. An increasing number of customers looking for brand-specific products will drive the sales of the fruit snacks through these stores. Personalized experience and assistance from representatives are among the key factors that will driving the sales figures through this medium. Adoption of new marketing strategies, better merchandising, coupled with adoption of the digital platform will foster the market share.

Global Fruit Snacks Market, By Region

North America accounted for more than 30% share in the overall market. Increasing inclination of millennials towards convenience foods that have a high nutritional portfolio will drive the fruit snacks market in this region. For instance; according to Agriculture and Agri-Food Canada, 94% consumers in the U.S. consume snack at least once in a day and 50% of consumers are likely to snack 2 to 3 times. Thus, incorporating healthy snacking habits will increase the penetration of fruit snacks in this region. Advancement in technologies, well-established cold chains, and distribution channel will further support the industry expansion.

Asia Pacific Fruit Snacks Market, By Country, 2025 (USD Million)

Asia Pacific is expected to account for over USD 950 million in 2025. The demand for fruit snacks market is mainly driven by economies such as China and India. This demand is supported by increasing health awareness among consumers regarding the nutritional content of the food. The popularity of processed food variety due to health benefits, and easy storage compared to fresh fruits will further augment the fruit snacks market. Additionally, increasing penetration of fruit snacks in the e-commerce sector will support the industry expansion.

Key Players, Recent Developments & Sector Viewpoints: Fruit Snacks Market

Global fruit snacks market is highly competitive due to the presence of various large, national. multinational, regional industry players. Key notable industry participants include Sunkist Growers, SunOpta, General Mills, Welchs and Kellogg. Companies adopt strategies including product innovation, new product launch, mergers and acquisition and product promotion strategies. For instance, SunOpta Inc. acquired Sunrise Holdings in 2015. The strategic acquisition of the company resulted in revenue growth and improved profit margin along with enhanced product mix. Other notable players in the industry include Crunchies Natural Food, Bare Foods, Crispy Green, Mount Franklin Foods, Flaper, Nutty Goodness, Whitewave Services, Paradise, and Tropical Foods, Ganong Bros Ltd, A.S. Watson Group, PT Monysaga Prima.

Industry Viewpoint

Global fruit snacks market is segmented by type, fruit family and distribution channel. The fruit snacks include sweet and savory, beverage, dairy, and other food items. Key factors influencing the market growth include increasing adoption of healthy snacking options coupled with rising disposable income among the population in emerging economies. Consumer awareness regarding the importance of fruit-based products and consuming food that includes organic ingredients will foster product demand. Further, rapid growth in the e-commerce segment will provide new growth avenues for the fruit snacks market.

Key Insights Covered: Exhaustive Fruit Snacks Market

1. Market size (sales, revenue and growth rate) of Fruit Snacks industry.
2. Global major manufacturers operating situation (sales, revenue, growth rate and gross margin) of Fruit Snacks industry.
3. SWOT analysis, New Project Investment Feasibility Analysis, Upstream raw materials and manufacturing equipment & Industry chain analysis of Fruit Snacks industry.
4. Market size (sales, revenue) forecast by regions and countries from 2019 to 2025 of Fruit Snacks industry.

Research Methodology: Fruit Snacks Market

  
Data collection and base year analysis is done using data collection modules with large sample sizes. The market data is analyzed and forecasted using market statistical and coherent models. Also market share analysis and key trend analysis are the major success factors in the market report. To know more please Request a Sample Report.
  
Demand Side Primary Contributors: OEMs, Industrial Professionals, Researches, Suppliers and Distributors, Group Purchasing Organizations, Associations, Insurers, Universities, Technological Writers, Scientists, Promoters, Investors among others.
  
Supply Side Primary Contributors: Product Managers, Marketing Managers, C-Level Executives, Distributors, Market Intelligence, Regulatory Affairs Managers among others.