Potato chips: Key market research findings
- Availability of different varieties and flavors drives market growth
- Americas dominate the market geographically
- Key vendors – Calbee Foods, Herr, Intersnack Group, PepsiCo, Snyder’s-Lance, and UTZ Quality Foods
Technavio’s market research analysts expect the global potato chips market to grow at a CAGR of more than 4% between 2016 and 2020. The availability of different varieties and flavors is the primary driver for growth in this market. Most leading vendors are introducing a multitude of flavors and variants of potato chips. Manufacturers are also focusing to develop new products in terms of unique and unusual shapes. For example, Jays Snacks chips, by Synder’s Lance, offers a variety of formats like Jays Potato Chips, Jays Ridges Potato Chips, Jays Waves Potato Chips, and Jays Kettle Cooked Potato Chips. At present, the Americas occupy almost 46% of the market to dominate the global potato chips market. The acceptance of quick meals such as burgers and sandwiches is one the major factors driving the market in the Americas. The rising number of flavors and increasing demand for quick snacks are some of the factors that will propel growth in the potato chips market in the Americas by 2020.
The new market research report from Technavio presents a breakdown and analysis of potato chips segments based on the distribution channel.
“Innovative marketing initiatives by vendors is an upcoming trend in the market. The increased competition in the global potato chips market coupled with numerous product launches has propelled several companies to focus on employing aggressive marketing tactics to break through the competitive clutter and gain market shares. For instance, Lays rolled out a promotion where fans had to create custom digital bags of Lay’s potato chips, featuring photos of their favorite summer moments. Besides, international snacks and potato chips vendors follow an integrated marketing communication approach and use traditional print media and social media such as YouTube and Facebook to sell their products,” says Vijay Sarathi, Lead Analyst, Food & Beverages, Technavio Research.
During 2015, the supermarkets and hypermarkets segment accounted for more than 73% of the overall market share to dominate the global potato chips market. The supermarket and hypermarket segment consists of retail stores such as Walmart, Kroger, and Target. This segment of the market is flourishing due to the availability of a variety of products under one roof. The convenient locations of supermarkets and hypermarkets is also a contributing factor to the growth of this segment of the potato chips market globally.
The key vendors in the market include Calbee Foods, Herr, Intersnack Group, PepsiCo, Snyder’s-Lance, and UTZ Quality Foods. The global potato chips market is a highly fragmented market with numerous vendors, both global and regional. Vendors compete on the basis of brand recognition, product differentiation, technology, portfolio, and pricing to gain a competitive edge over their peers. The current market has suppliers of varying sizes, some of whom specialize in specific commodities while others have larger financial resources. The competition between vendors is expected to intensify during the forecast period due to the introduction of new flavors. Survival and success of the vendors will depend on their ability to distinguish product offerings by offering clear and unique value propositions.
A more detaile analysis is available in the Technavio report, Global Potato Chips Market 2016-2020.
Potato chips: Key market research findings
- Availability of different varieties and flavors drives market growth
- Americas dominate the market geographically
- Key vendors – Calbee Foods, Herr, Intersnack Group, PepsiCo, Snyder’s-Lance, and UTZ Quality Foods
Technavio’s market research analysts expect the global potato chips market to grow at a CAGR of more than 4% between 2016 and 2020. The availability of different varieties and flavors is the primary driver for growth in this market. Most leading vendors are introducing a multitude of flavors and variants of potato chips. Manufacturers are also focusing to develop new products in terms of unique and unusual shapes. For example, Jays Snacks chips, by Synder’s Lance, offers a variety of formats like Jays Potato Chips, Jays Ridges Potato Chips, Jays Waves Potato Chips, and Jays Kettle Cooked Potato Chips. At present, the Americas occupy almost 46% of the market to dominate the global potato chips market. The acceptance of quick meals such as burgers and sandwiches is one the major factors driving the market in the Americas. The rising number of flavors and increasing demand for quick snacks are some of the factors that will propel growth in the potato chips market in the Americas by 2020.
The new market research report from Technavio presents a breakdown and analysis of potato chips segments based on the distribution channel.
“Innovative marketing initiatives by vendors is an upcoming trend in the market. The increased competition in the global potato chips market coupled with numerous product launches has propelled several companies to focus on employing aggressive marketing tactics to break through the competitive clutter and gain market shares. For instance, Lays rolled out a promotion where fans had to create custom digital bags of Lay’s potato chips, featuring photos of their favorite summer moments. Besides, international snacks and potato chips vendors follow an integrated marketing communication approach and use traditional print media and social media such as YouTube and Facebook to sell their products,” says Vijay Sarathi, Lead Analyst, Food & Beverages, Technavio Research.
During 2015, the supermarkets and hypermarkets segment accounted for more than 73% of the overall market share to dominate the global potato chips market. The supermarket and hypermarket segment consists of retail stores such as Walmart, Kroger, and Target. This segment of the market is flourishing due to the availability of a variety of products under one roof. The convenient locations of supermarkets and hypermarkets is also a contributing factor to the growth of this segment of the potato chips market globally.
The key vendors in the market include Calbee Foods, Herr, Intersnack Group, PepsiCo, Snyder’s-Lance, and UTZ Quality Foods. The global potato chips market is a highly fragmented market with numerous vendors, both global and regional. Vendors compete on the basis of brand recognition, product differentiation, technology, portfolio, and pricing to gain a competitive edge over their peers. The current market has suppliers of varying sizes, some of whom specialize in specific commodities while others have larger financial resources. The competition between vendors is expected to intensify during the forecast period due to the introduction of new flavors. Survival and success of the vendors will depend on their ability to distinguish product offerings by offering clear and unique value propositions.
A more detaile analysis is available in the Technavio report, Global Potato Chips Market 2016-2020.
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