BAKERY REVIEW
R E P O R T
Has the snacking segment transformed? How about its future? By Dawinder Pal
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he answer to the first question is a resounding—YES! Snacking, as a practice and sector, has transformed completely since the first mention of the virus. Health was a priority pre-pandemic, but being locked at home which continuing to maximise work output has put immense strain on us all. The result’s that we’ve fallen back on old habits that provide comfort. Hence, our snacking behaviours have been invariably affected.
India has always been a snacks consuming market. Why there is a shift towards healthy snacking in India? In India In these uncertain times, snacks offer us that transient feeling of comfort that’s so rare. In 2020, the industry experts noticed that the pandemic’s effects had led to a drastic change in Indian eating norms. The usual practice of three-square meals a day has been replaced by a multiple snacking culture. In December 2020, Mondelez’s Annual State of Snacking study also mentioned how two-thirds of Indians snacked more since the pandemic broke out—77% of all surveyed would rather snack than eat complete meals. Kantar’s data further supported this finding with its own research, saying the volume of the category had expanded remarkably, by over 8% in the matter of a year till May 2020; accruing an additional 12% by April-May 2021. Today, people maybe finally, gradually emerging from lockdowns but it’s unlikely that there’ll be a snacking slowdown. With the hybrid work model gaining increasing favour, consumption of snacks is headed in a singular direction—up.
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In the US In the US too, a similar trend has been noticed. Since people are home-bound, they’re cooking most meals, including snacks, at home. When they do order out, it’s usually food articles they can’t cook at home, for example, global and comfort foods such as Mexican and Asian cuisines andspecially-crafted beverages and ice creams.Before the pandemic upended m atte rs , as p e r a USA - b as e d 2 0 2 0 Information Resources, Inc study, snacks were transforming into a functional mealreplacement option for as much as 44% of consumers. Now, however, snacking was back to becoming all about indulgence and convenience.
What about the future of snacking? The future for the snacks segment seems bright indeed, with a few key emerging trends: Health consciousness will be a huge factor in choosing snacks. One key change to drive the industry will be a keener focus on clean eating; people may check
the health meter of snacks before making purchases. Snacks having high-protein and vitamin-rich qualities will be selected over others. Industry players should pay heed to this cognisable shift in consumer trend and follow it to capitalise on the burgeoning clean, mindful snacking culture. Healthy snacking segment observing similar trend in food category. Healthy segment is booming across all food categories. Traditional snacks will always rule. As a culture, we’re enamoured by traditions; same is the case with our love for namkeens. Our teens have inherited this trait and are driving its high sales—namkeens comprise 50% of all salted snacks. It’ll continue to rule the leader-board, with sales expected to expand in double digits. In non-metro cities and small towns, people are connected with typical taste palate. For them, traditional snacks would always be the first preference. B ra n d e d p ro d u cts w i l l h ave m o re consumer trust than non-branded varieties. Of all snacks purchased today, over 65% falls under the branded category as against almost 40% in the pre-COVID times. Hence, the branded segment is poised to expand as consumers are extremely health conscious. They’ll happily pay a premium for branded snacks than cheaper ones, wherein ingredients and the health quotient is suspect. Snacking is growing again and its growth is fuelled by mindful and clean eating. The industry has reason to celebrate if they’re ready to capitalise on these trends. The author is the Head of Marketing of the leading FMCG Company, Bikanervala Foods Pvt ltd, With over 13 years of experience in diverse business categories, Dawinder has been instrumental in shaping up ‘Bikano”
Apr-May ’22
