Consumers are spending more on snacking annually across all channels and on-the-go, individual items are growing right along with it. According to Nielsen, on-the-go snack items have a household penetration of 98 percent and are purchased 22.3 times per year. Additionally, annual per household spending has climbed to $133. This growing segment fits the lifestyle of busy Millennials and with their rising spending power and household size, they are likely to drive further gains in the next few years.
Snacking is popular and all channels are benefitting. In today’s world, snacking crosses just about all departments of the store, from produce and dairy to meat snacks and nutritional bars. Many retailers are finding ways to leverage the snacking trend to drive new consumption occasions and new dollars. Whether looking at household penetration, the number of annual trips or the total household spend, grocery, convenience and club are seeing growth. Annual spend is highest for grocery, at nearly $70, a gain of 1.3 percent over the prior year, according to Nielsen. The total store snacking category boasts consistent year-to-year growth. Nielsen found that between 2013 and 2016, the compound annual growth rate (CAGR) was +3.4 percent. During this same period, they measured an expansion in assortment from 619 items on average to 710 UPC-coded snacking items — an increase of nearly 100.
Importantly, just about all snacking groups across the store increased sales. Whether produce snacking, dairy, baked goods or the more traditional salty snacks, cookies and crackers.