Tortilla Chips Market Size, Share, Global Market Research and Industry Forecast Report, 2025 (Includes Business Impact of COVID-19)

                                          
Industry Insights, Market Size, CAGR, High-Level Analysis: Tortilla Chips Market


The global tortilla chips market size was valued at USD 20.28 billion in 2018 and is expected to register a CAGR of 4.41% from 2019 to 2025. Tortilla chips also known as tostadas and totopos are of Mexican origin. Changing lifestyle is the most influential factor driving the product demand and growth of this market.
Rising demand for on-the-go food due to hectic work schedules is also estimated to fuel the product demand. Furthermore, rising number working individuals across the globe is likely to have a positive impact on the product demand. To gain the maximum market share, companies promote their products through endorsements and TV and magazine commercials.
 

They are also investing in R&D to develop high-quality and healthy products, such as whole-grain and gluten-free chips with low sodium and fat contents. Phileas Fogg, Doritos, and Don Tacos are some of the key companies in the market. In addition, a variety of flavors is available in the market to suit consumer needs, which also supports market growth.
For instance, Frito-Lay’s, under the brand Tostitos, offers tortilla chips in several flavors. These flavors include black bean and garlic, jalapeno, lime, red pepper, salsa ranchera, and salsa verde. In addition, globalization has played a major role in the growth of this market.
                                                                
Product Insights of Tortilla Chips Market

Conventional product type held the largest market share of more than 93.0% in 2018. Easy availability of regular raw material over organic materials is expected to drive the demand for conventional tortilla chips. Moreover, conventional products are much cheaper than organic products. This is also likely to have a positive impact on the segment growth. However, the organic product segment is estimated to register the maximum CAGR from 2019 to 2025. Rising awareness regarding the benefits of consuming organic foods is likely to augment their demand, thereby supporting segment growth.
Distribution Channel Insights
Offline distribution channel accounts for the largest share of the global tortilla chips market. Reliability on offline stores and dependence on assisted shopping are the key factors driving the offline channels. In addition, easy availability of a variety of products from different brands and discounts offered by offline stores will boost the segment growth.
 

On the other hand, online segment is estimated to expand at the fastest CAGR from 2019 to 2025. This can be attributed to the availability of unique products at cheap prices. In addition, most of the online shopping spaces have collaborations with various banks and thus, provide unique offers. Moreover, online platforms offer various payment options and doorstep delivery services, which will contribute to the segment expansion.

Regional Insights of Tortilla Chips Market

North America is the largest regional market for tortilla chips. U.S., in particular, is the major consumer due to the strong presence of several prominent Ready-To-Eat (RTE) food brands, which have successfully commercialized their products across the globe. Asia Pacific, on the other hand, is expected to witness the fastest CAGR of 6.29% during the forecast years. This growth is credited to the easy product availability as a result of growing number of supermarkets and hypermarkets, as well as online grocery stores, in the region. Furthermore, increasing consumer disposable income levels and popularity of western cuisines are contributing to the region’s growth.

Market Share Insights of Tortilla Chips Market

Some of the key companies in the global tortilla chips market are Frito-Lay, Inc.; Mission Foods; Truco Enterprises LP; Herr’s; Trader Joe’s; GRUMA, S.A.B. de C.V.; Target Brands, Inc.; El Milagro, Inc.; and Utz Quality Snacks. Increasing demand for organic and healthy products is forcing companies to invest more in R&D. Thus, product innovation to cater to changing consumer demands is asserting the high competition among manufacturers.

Segmentations, Sub Segmentations, CAGR, & High-Level Analysis overview of Tortilla Chips Market Research Report
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For the purpose of this study, this market research report has segmented the global tortilla chips market report on the basis of product, distribution channel, and region:


Product Outlook (Revenue, USD Billion, 2019 - 2030)


Organic


Conventional


Distribution Channel Outlook (Revenue, USD Billion, 2019 - 2030)


Online


Offline