Baking & Snack - June 2023 - 34

BAR NONE
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by Beth Day
Since the pandemic disrupted consumer needs for onthe-go
snacks, which typically drove snack and nutrition
bar purchases, bars have experienced some noteworthy
changes. Over the past couple of years, consumers rediscovered
bars as a healthy, affordable and convenient
snack choice, creating significant opportunities for continued
growth in the category. To capitalize on this momentum,
bar producers must take a balanced approach
to innovation, promotion, price and bold flavor profiles.
Seventy-five percent of current bar buyers anticipate
maintaining or increasing purchases in 2023, according to
the Mintel " Snack, Nutrition and Performance Bars " 2023
US report. Consumers are influenced by inflation, hybrid
work schedules and general burnout. However, bars are a
crowded category that fans the flame of competition.
" Brands that can strike the balance between innovation
and familiarity while maintaining great taste will
come out on top, " Sydney Olson, senior food and drink
analyst, Mintel, said in the report.
Circana sales figures for the 52 weeks ending March 26
show that a 19% price per unit rise is fueling the dollar
growth for bars, although unit growth declined by 8%.
Overall, snack manufacturers are capturing consumer
dollars, but they face headwinds with unit and volume
softness. The growth in the category is driven by a combination
of factors, including price increases and pack sizes.
" By putting in place the right price and size architecture,
producers can capture those consumers trad34
Baking & Snack June 2023 / www.bakingbusiness.com
ing down to stay in the category while purchasing the
same brand, and those trading up who find the price per
ounce to be more affordable or have the income to afford
the price point for larger sizes, " said Sally Lyons Wyatt,
executive vice president and practice leader, client insights,
Circana.
Bar subcategories such as Energy, Cereal and Granola
bars are showing 9% to 10% dollar growth, according to
Circana's sales data. The All Other Snack Bar subcategory
posted 49.4% dollar growth. Ms. Lyons Wyatt noted
that while several of these bar makers are entrepreneurial
startups, it is likely that some of the larger manufacturers
are zeroing in on functional benefits that consumers
are looking for and winning with this approach.
Seeking functional nutrition
Bars fall into two categories: better-for-you (BFY) bars
that are nutritious and support diet and health goals,
and permissible indulgence. The latter may not have the
desired health claims, but consumers perceive them as
healthier because of their ingredients.
Granola bars are seen as both BFY and a permissible
indulgence, with the subcategories All Other Snack/
Granola Bars and All Other Granola and Nutritional
Bars driving growth, Ms. Lyons Wyatt said.
Granola and snack bars consistently prove their versatility,
offering energy and nutrition suitable for any time
of day, whether consumers are on the go or need a quick
These snack products are well-suited to meeting many consumer
needs, including functionality, taste and affordability.
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Baking & Snack - June 2023

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