Snacks market forecasts core US market growth over next five years

Analysis of the US snacking market has placed its value at $172.5 billion in the past year, rising steadily to $193bn in value over the next five years, according to latest research, writes Neill Barston.

The study from the MarkNtel advisors data group forecast that there would be compound growth of around 2.18% during the next few years, amid key innovations for the sector around the world.

As the study asserted, changing lifestyles have heightened consumer awareness, meaning U.S. snacks market is witnessing record demand backed by significant growth components.

Confectionery Production reported on Sweets & Snacks expo earlier this year, which reinforced the strong level of growth for the segment, with small and larger market players keen to capitalise on opportunities within the space.

The fresh research found that in 2024, approximately 90% of Americans reported snacking several times a day, while 92% replaced at least one weekly meal with snacks and 7% regularly skipped meals entirely in favor of snacking options.

Moreover, nearly 50% of consumers now prefer snacks with functional ingredients, fueling a surge in plant-based and high-protein innovations that strongly appeal to Gen Z and millennials. For more information, visit marknteladvisors.com for additional samples.

Significantly, the study noted that protein-based and functional snack solutions are significantly propelling the U.S. snacks market, driven by rising consumer preference for nutritious, convenient options.

Linked to this, its findings showed that in 2024, sales of protein-fortified snacks grew 16.8% YoY, with whey protein and plant-based protein bars leading innovation. Functional products incorporating collagen, pea, and faba bean proteins, along with mushroom crisps targeting cognitive and gut health, are gaining momentum.

Major brands like Quest Nutrition and PepsiCo’s Evolve and Purely Naked lines report double-digit growth by tapping into the expanding plant-based protein consumer base, particularly in health-conscious regions such as California and Washington.

Futhermore, AI-led analytics have become a key driver of product differentiation in the snacks industry. Leading snack producers in US now use AI-driven flavor genome mapping to precisely anticipate consumer cravings.

For example, Mondelēz International reported a significant reduction in R&D time after adopting AI-based sensory platforms that analyxe extensive U.S. data on regional taste preferences. Similarly, Hershey’s Innovation Lab applies machine learning models to optimise sweetness levels without compromising texture.

Moreover, the study also highlighted a growing category of functional beverages and performance snacks that combined as dual-use products targeting the fitness market, with consumers reportedly willing to pay more for such ranges that can deliver perceived health or energy benefits.