Frozen Snacks What’s Cool in Snacking

THE FROZEN SECTION OFFERS A PLETHORA OF NOSHING OPTIONS.

By Barbara Sax

ueled by product innovations that are a direct response to consumer dining habits and health trends, the frozen snack category is having a strong year. Frozen snack consumption has seen nearly a 7% growth rate over the past year, according to data from Chicago-based IRI, as consumer eating habits have shifted and the lines between snacking and mealtime have continued to blur.

“Millennials, particularly older Millennials, are the No. 1 accelerator for growth in the frozen snack category,” says Braelyn Davis, co-founder and CEO of San Diego-based frozen food maker Planet Based Foods, who notes that convenience and easy preparation are top priorities for consumers in this demographic “as they juggle work, family and active social lives.”

Dollar sales of frozen appetizers and snack rolls were up more than 12% for the 52 weeks ending Nov. 27, 2022, IRI data shows. Sally Lyons Wyatt, EVP and practice leader for client insights at IRI, observes, however, that while dollar sales in the segment remain strong, unit sales and volume are starting to decelerate.

Beyond Borders

Wyatt notes that international flavors and foods are fueling category growth in handheld frozen snacks. “Unique flavors and brand-licensing flavors are really hot,” she says. “It’s all about exploration, and what makes frozen beneficial is it allows consumers to explore different cuisines without having to cook them or go to a restaurant and spend a lot of money. Flavors and cuisines in frozen snacks is really where it’s at.”

Products such as Bibigo’s mandu dumplings and Minh’s eggrolls “are growing like wildfire on unit sales,” adds Wyatt, pointing to double-digit sales increases.

Mintel research shows that 67% of U.S. consumers would like to see frozen snacks with more diverse, internationally inspired flavors, and 73% choose Mexican as the international cuisine of choice to eat at home or in a restaurant.

Speaking of Mexican food, this past summer, Chicago-based Kraft Heinz refreshed its Delimex line with flavor-enhanced recipes and nearly double the filling, as well as updated packaging. The changes were rolled out across the brand’s Beef Corn Taquitos, Chicken Corn Taquitos, Chicken and Cheese Flour Taquitos, Beef and Cheese Flour Taquitos, and Beef and Cheddar Rolled Tacos.

Among other types of food, seafood appetizers, which saw strong growth during COVID, have continued to be popular with consumers, according to John Baxter, VP of retail sales and marketing at Baltimore-based Phillips Foods & Seafood

Key Takeaways

Frozen snack consumption has risen as consumer eating habits have shifted and the lines between snacking and mealtime have continued to blur.

International flavors and foods are fueling category growth in handheld frozen snacks, with younger consumers more open to these items.

Restaurant-branded frozen snacks have long proved popular, while plant-based options are on the rise.

Restaurants. “We have seen continued growth in the category in 2022, and the many new options we developed during the past two years have led to more placements and a broader base of distribution,” says Baxter.

Baxter notes that younger consumers are more open to new flavors and cultural tastes, and new products such as the company’s Shrimp Potstickers, Clam Oreganata Flatbread and Shrimp Sriracha Flatbread hit that target. “We have tried to bring a little something different with each offering,” he adds. “We certainly have an advantage connecting with trends, due to our foodservice business.”

Restaurant-branded frozen snack products have long proved popular. In just one example of this, Columbus, Ohio-based fastfood brand White Castle and Bellisio Foods, in Minneapolis, recently teamed up to launch Castle Bites, bite-sized snacks made of 100% real beef and onions wrapped in a crispy golden crust. The product comes in hamburger and cheeseburger varieties.

Well Planted

Millennial consumers are also a key driver behind growth in the plant-based segment of the frozen snack category. “Millennials are igniting demand for plant-based frozen foods because they are making values-driven choices and want products that deliver on sustainability and health claims,” notes Planet Based’s Davis. In response, more products featuring better-for-you and simple plant-based ingredients are entering the category.

For example, Planet Based has been expanding distribution of its hemp-based, vegan, gluten-free Southwest Taquitos and Original Taquitos, which debuted in November and are now available at 700 Kroger stores. Davis says that the company plans to add more hand-