The last couple of years brought a significant change in the approach towards frozen snacks and appetizers. While products in these segments were seen mainly as a great option for quick bites or for entertaining guests, they are quickly turning into a meal-like solution. Adding to this trend was the working-from-home phenomenon and the closure of foodservice, but a question now arises: are these products still linked to snacking occasions?
In terms of figures, the frozen snack food market is expected to grow by USD11.30 billion, progressing at a CAGR of over 6% until 2024, at the end of the forecast period. The data comes from Technavio, which recently released its Frozen Snacks Market – Growth, Trends, and Forecasts (2020 – 2024) report. According to the study, the rise in the launch of products is one of the major factors propelling market growth. However, factors such as frequent product recalls will hamper the market growth. Vendors are increasingly launching products in the frozen meat snacks segment, and these launches have a positive impact on the global market. Vendors operating in the global frozen snack food market are concentrating on introducing highly nutritious frozen snacks. Regionally, APAC will offer several growth opportunities to market vendors during the forecast period, as the increasing consumer demand for frozen snacks and the expansion of the distribution capability of vendors will significantly drive the frozen snack food market. 35% of the market’s growth will originate from APAC during the forecast period, with China and Japan as the key markets.
From Snacks to Meals
Mintel’s US Frozen Snacks Market Report 2021 states that frozen snacks are seldomly used as snacks or for entertaining, as ”less than a quarter of consumers serve the products while entertaining, and 55% of people who bought pizza bites/rolls say frozen snacks make a good light meal. Indeed, frozen snacks are much more likely to be a lunch solution, but beyond lunch, frozen snacks have yet to penetrate other dayparts significantly, and brands could draw inspiration from restaurants that encourage small plates and appetizers as meals.” Mintel data shows that while many food and drink category sales are nearly back to normal, sales of frozen snacks followed up their growth in 2020 with even more growth (4%) in 2021. Frozen snacks have become a more regular part of the shopping list, yet still have room to expand in occasions beyond lunches or snacks, the report states.
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