Health-Conscious Snacking Gains Ground: Better-for-You Snacks Market to Reach USD 54.4 Billion by 2035

The global Better-for-You (BFY) Snacks Market is forecasted to grow from USD 40.9 billion in 2025 to USD 54.4 billion by 2035, registering a CAGR of 2.9%. The shift in consumer behavior-especially among Millennials and Gen Z-towards healthier, ethically sourced, and functional snacks is driving the market's momentum. With a growing focus on holistic wellness-encompassing physical, mental, and social health-the BFY category is being redefined by innovation and transparency.

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Market Trends Highlighted:
• Health and Wellness Redefined: The COVID-19 pandemic reshaped consumer priorities, accelerating demand for snacks that support not only physical health but also mental and emotional well-being.
• Millennials and Gen Z Leading the Charge: These generations prefer snacks that align with clean-label values, ethical sourcing, and functional benefits like protein content, fiber, probiotics, and mental wellness support.
• Rapid Product Innovation: Brands are introducing diverse formats such as air-popped chips, baked crackers, organic fruit bites, and fortified snack bars that cater to the demand for low-sugar, high-protein, gluten-free options.
• Offline Still Dominates, But E-commerce Surges: Despite the digital boom, offline retail channels will account for approximately 72.5% of total sales in 2025. However, e-commerce is rapidly gaining traction, expanding accessibility for niche and emerging BFY brands.
• Clean and Sustainable is Key: Consumers are increasingly valuing transparency, clean ingredient lists, eco-friendly packaging, and sustainable sourcing. Brands investing in these areas are building stronger loyalty and trust.
• Mental & Social Wellness: BFY snacks are increasingly seen as part of a holistic lifestyle approach, supporting not just nutrition, but also emotional well-being and social connection, as noted by experts like Brian Choi of the Food Institute.

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Key Takeaways of the Report:
• Market Size (2025): USD 40.9 billion
• Market Size (2035): USD 54.4 billion
• CAGR (2025-2035): 2.9%
• Leading Growth Drivers:
o Rising health consciousness
o Innovation in functional snacking
o Influence of younger demographics (Millennials & Gen Z)
o Increased focus on sustainable and transparent sourcing
• Top Product Categories:
o Fortified and protein-enriched bars
o Baked and air-popped savory snacks
o Organic and fruit-based snacks
o Gluten-free and low-calorie options
• Dominant Sales Channel: Offline (72.5% share in 2025), though digital platforms are growing fast.

Regional Market Outlook:

United States (CAGR: 3.0%)
The U.S. continues to lead in BFY snack innovation. Demand for organic, plant-based, and high-protein snacks is driving growth. E-commerce and direct-to-consumer models are key contributors.

United Kingdom (CAGR: 2.8%)
The UK market is expanding due to rising awareness around clean labels and fortified products. Regulatory efforts to limit sugar and salt content are boosting product innovation.

European Union (CAGR: 2.9%)
Regulatory focus on nutrition transparency and food labeling is encouraging brands to invest in clean, functional snacks. Online grocery platforms are enhancing product availability.

Japan (CAGR: 2.8%)
Japan sees growth through portion-controlled, nutrient-rich options tailored to its aging population. Snacks supporting gut health and immunity are in demand.

South Korea (CAGR: 3.0%)
BFY snack trends are booming, influenced by rising wellness awareness. Antioxidant-rich, sugar-free, and vegetable-based snacks are especially popular, driven by a strong digital and
retail ecosystem.

Competition Outlook:
The BFY snacks landscape is marked by intense innovation, partnerships, and acquisitions.

Company Profile
• Nestlé
• The Kellogg Company
• Unilever
• PepsiCo
• Mondelēz International
• Hormel Foods Corporation
• Dole Packaged Foods, LLC.
• Del Monte Foods, Inc.
• Select Harvests
• Monsoon Harvest

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Top Segments Studied in the Better-for-You Snacks Market by Category

By Type:
• Bakery Snacks
• Candy
• Confectionery
• Sweet Frozen Treats
• Fruit Snacks
• Savory Snacks

By Sales Channel:
• Offline Sales Channel
o Supermarkets/Hypermarkets
o Departmental Stores
o Convenience Store
o Other Sales Channel
• Online Sales Channel
o Company Website
o E-commerce Platform

By Region:
• North America
• Latin America
• Europe
• East Asia
• South Asia
• Oceania
• MEA

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