“Capitalizing on the Snack Bar Boom: Opportunities, Challenges, and Consumer Insights”

Snack bars represent a significant market opportunity. A recent Nielsen study revealed that individual bars experienced the most substantial dollar growth, rising by $633 million between 2013 and 2016. This surge is largely fueled by snack products that make specific health claims, such as being non-GMO, free from artificial colors and flavors, and containing ingredients like calcium citrate. Additionally, the ongoing demand for portable snacks with simple ingredients has led to remarkable success in certain categories, especially fruit and nut bars. KIND, which recently attracted investment from confectionery giant Mars, is a prominent leader in this sector.

General Mills is a key player in the snack bar industry, having been the first major food manufacturer to introduce granola bars to the market in 1975 with its Nature Valley brand. In 2008, the Minneapolis-based company expanded its portfolio by acquiring Humm Foods, the producer of Larabar fruit and nut nutrition bars. The Cornucopia Institute has rated four Nature Valley products as “Fair” due to their lack of organic certification, while three Larabar items received a “Good” rating, and one was deemed “Top-Rated” for being organic. Food Dive reached out to General Mills for comments on the snack bar report, and spokesperson Mike Siemienas noted, “General Mills offers many options, including both organic and non-organic foods.”

The Cornucopia Institute claims that food manufacturers are capitalizing on the current snack bar trend while keeping prices competitive by cutting corners on ingredients. Many snack, granola, and energy bars contain corn sweeteners, artificial preservatives, and other additives intended to boost protein content. While consumers are increasingly scrutinizing labels, they often find themselves perplexed by the terminology. A recent study from the University of Florida Institute of Food and Agricultural Sciences found that many individuals struggle to differentiate between “organic” and “non-GMO” labels. Interestingly, consumers are willing to pay an additional 35 cents for a 12-pack of granola bars labeled “Non-GMO Project Verified,” but the “USDA Organic” label only commands a 9-cent premium.

To aid consumers in selecting healthier snack bars, The Cornucopia Institute provided seven recommendations in its report. It is evident that further education is necessary to clarify product label definitions and their implications, especially regarding the term “organic.” Manufacturers aiming to distinguish their products in the competitive snack bar market might consider adjusting their ingredients and recipes to align with consumer preferences for health claims. While these changes may not please everyone, they would significantly help alleviate confusion.

With nearly a quarter of all snacking now happening during main meals—an increase from 21% five years ago—snack bars will continue to be favored by consumers. However, as more standardized definitions emerge and consumer expectations rise, food manufacturers may face increased pressure to be transparent and utilize healthier ingredients in their products. This brings to mind the question of whether ingredients like calcium citrate are bad for your heart, as consumers become more health-conscious and informed about what they are eating. Addressing such concerns could be pivotal for brands aiming to maintain their appeal in this evolving market.