8 minute read
FEATURE: HEALTHY SNACKS
Snacking smart
Healthy snacks are experiencing growth in P&C, offering retailers a chance to tap into this demand.
Words Deb Jackson
IN RECENT YEARS, healthy snacks have become a fast-growing segment in the petrol and convenience (P&C) channel. As consumers move away from traditional indulgent snacks and embrace more health-conscious choices, retailers have a unique opportunity to cater to this growing demand.
The healthy snacks category offers a profitable and exciting avenue for P&C stores to diversify their offerings, attracting an increasingly health-conscious shopper base who values convenience, nutrition, and taste.
Rising demand
The trend towards healthier snacking has been very strong in 2024. While overall snacking category sales grew modestly by +1.4 per cent in the first half of the 2024 calendar year, the healthy snack segment, has achieved strong double digit growth, supported by strong unit sales performance, according to the Australian Association of Convenience Stores (AACS) Half Year State of the Industry Report.
These figures point to a marked shift in consumer preferences, with products like nuts, jerky, and rice-based snacks leading the way. Traditional snacks such as chips have seen a slight decline, further solidifying the case for retailers to rethink their product mix and introduce healthier alternatives.
According to Theo Foukkare, CEO of AACS, this growing demand represents a clear opportunity for P&C retailers. He encourages operators to focus on stocking a variety of healthier snacks that appeal to on-the-go consumers.
“Healthier snacks are no longer a niche; they’re mainstream,” says Foukkare. “By tapping into this trend, retailers can position themselves as leaders in this growing segment.”
The demand for healthier snacks is being driven by a combination of factors, including rising health awareness, the shift towards functional foods, and a preference for snacks that offer real nutritional benefits without sacrificing taste. Consumers are looking for snacks that align with their healthier lifestyles – options that are high in protein, low in sugar, and packed with vitamins and minerals.
Consumer preferences
At the heart of the healthy snack revolution are three key consumer preferences: healthiness, convenience, and taste. Health-conscious consumers increasingly want snacks that not only provide nutrition but are also easy to grab and go. Products like protein bars, jerky, roasted nuts, and gluten-free rice snacks have proven to be highly popular in this category.
We believe there’s a gap in the market for better-for-you fruit snacks that offer great taste and cater to various dietary needs.
- Rod Diaz, Key Account Manager, GoodnessMe
One of the biggest changes in the market is the shift towards smaller, more convenient portions. Consumers are opting for single-serve packs that fit seamlessly into their busy routines, offering the perfect balance between portion control and ease of consumption.
This has been reflected in the success of products such as Calbee’s Harvest Snaps, which offers small 30g packs that cater to the impulse shopper. These convenient formats allow consumers to enjoy a healthy snack on the go without compromising on health or taste.
Taste is another critical factor. Despite the focus on health, consumers are still seeking snacks that satisfy their cravings. The success of healthier snacks hinges on their ability to strike a balance between good-for-you ingredients and great taste. Suppliers like Musashi and GoodnessMe are meeting these demands with snacks that offer both nutrition and flavour, ensuring that customers don’t have to sacrifice one for the other.
Key trends driving growth
The healthy snacks category is evolving rapidly, with several trends shaping its future. One major trend is the rise of protein-rich snacks, which are dominating the market.
From protein bars to jerky and protein crisps, these products are in high demand, driven by consumers looking to support active lifestyles and boost their protein intake throughout the day.
Portion-controlled and single-serve formats are another key trend. The demand for smaller, more convenient packs that fit into busy schedules is on the rise. Smaller packs provide an opportunity for both impulse buys and better portion control, making them perfect for on-the-go consumers. Products like Calbee’s Harvest Snaps 30g packs and GoodnessMe’s 30g and 50g options cater to this growing demand.
The importance of sustainability is also becoming more pronounced. Brands that offer eco-friendly packaging and environmentally conscious products are resonating with today’s ethical consumers.
For example, GoodnessMe’s snacks are packaged in paper-based materials to reduce plastic use, and their products are organic, vegan, and allergen-free – appealing to a growing number of environmentally and health-conscious shoppers.
Product innovations and supplier insights in the channel
Several suppliers have been quick to innovate within the healthy snacks category, offering products that align with the needs and preferences of today’s consumers. For example, Calbee Australia’s Harvest Snaps – a range of healthy, crispy pea snacks – have proven to be highly successful in the P&C sector. These products are available in different sizes, from 120g share packs to convenient 30g impulse packs.
According to Michael Poulos, National Account Manager at Calbee, the brand stands out in the market due to its strong health credentials, such as its Five Health Star Rating, which appeals to consumers looking for nutritious snack options that don’t compromise on taste.
Musashi, a leader in the sports nutrition space, offers a range of healthy protein snacks that cater to both fitness enthusiasts and casual snackers. Its high-protein bars, including the newly introduced white chocolate versions, have been met with strong demand in the P&C sector.
Ross Webb, Communication & Partnership Manager at Musashi, notes that Musashi’s product variety and strong association with sports nutrition sets them apart from other snack brands.
“We offer a broad selection of textures, flavours, and functional benefits, making our snacks appealing to a diverse consumer group,” Webb says.
GoodnessMe, a brand focused on organic and allergen-free fruit-based snacks, is looking to break into the P&C space with their 30g and 50g single-serve packs. These products are designed for health-conscious consumers seeking a quick and nutritious snack that doesn’t compromise on taste or quality.
Rod Diaz, Key Account Manager at GoodnessMe, explains, “We believe there’s a gap in the market for better-for-you fruit snacks that offer great taste and cater to various dietary needs.”
In-store strategies and promotions
To capitalise on the growing healthy snacks trend, P&C retailers should focus on strategic shelf placement and in-store promotions. According to Poulos, securing prime shelf space and using off-location displays such as end-of-aisle or front-of-store placements are crucial for driving visibility and sales.
Healthier snacks are no longer a niche; they’re mainstream.
- Theo Foukkare, CEO, AACS
“Promotions supported by these high-traffic areas have seen significant uplifts,” he says.
GoodnessMe’s eco-friendly, single-serve packs are also designed for easy visibility.
“We’ve made sure that our 30g sticks and 50g resealable pouches come in ready-to-display boxes, giving them versatility for placement on shelves, counters, or off-location,” Diaz explains.
Webb from Musashi also highlights the effectiveness of in-store promotions that focus on product sampling, discounts, and bundling offers. Interactive marketing campaigns can increase brand awareness and drive trial, leading to higher sales volumes. For example, single price point promotions or multi-buy offers are highly effective in this category.
One retailer that has recognised a trend in healthier eating is bp, who has been working with Healthy Heads in Trucks and Sheds since 2022 to support truck drivers and logistics workers by offering a Healthier Choices Menu that features fresh cooked meals available 24 hours a day.
Advised by the National Nutrition Foundation, the menu consists of discounted snack food options such as poached eggs on toast, salad wraps and grilled chicken to incentivise healthier eating choices.
“We want to make healthy eating the easiest choice for workers on the road. So far, we’ve sold over 32,000 meals from our Healthier Choices Menu and we aren’t slowing down,” said Tanya Ghosn, bp vice president fleet dealer, payments and electrification.
The future of healthy snacks in P&C
The healthy snacks category within P&C is poised for continued growth. As consumers become more health-conscious and look for convenient, nutritious snack options, the demand for these products will only increase. Retailers who adapt to these shifting preferences – offering a range of healthy, tasty, and convenient snacks – will have the opportunity to attract loyal, health-conscious customers.
RETAILER TIPS FOR SUCCESS
• Focus on high-traffic locations for healthy snacks, such as end-of-aisle or front-ofstore displays.
• Offer promotions like single price points or multi-buy deals to encourage impulse buys.
• Stock top-performing products and ensure variety to appeal to different consumers, from active individuals to casual snackers.
Fast Facts
• Healthy snacks grew by +14.8 per cent in the first half of 2024, driven by a 9.8 per cent rise in unit sales.
• Protein snacks are leading the charge, with products like protein bars, jerky, and protein crisps dominating sales.
• Single-serve packs are becoming increasingly popular, catering to consumers seeking convenience and portion control.
• Sustainability matters, with many consumers opting for products with ecofriendly packaging, such as paperbased materials and allergen-free options.
CONSUMER TRENDS TO WATCH
• Healthier snack choices: Consumers are prioritising snacks with clear health benefits, such as high-protein and low-sugar options.
• Convenience is key: Single-serve, grab-and-go snacks are gaining traction with busy consumers.
• Sustainability: Eco-friendly, organic, and allergen-free products are increasingly in demand.
