Industry Analysis & Industry Trends
Volatile input prices, changing consumer trends and a saturated market are just some of the changes facing the Snack Food Manufacturing industry. Over the five years through 2014-15, volatile commodity prices, rising competition and increasingly health-conscious consumers switching to healthier alternatives are expected to constrain industry revenue growth. Over the five years through 2014-15, industry revenue is expected to increase by an annualised 1.3% to total $2.4 billion. In 2014-15, revenue is expected to increase by 1.6%.
The industry's major players have faced falling profit margins, increased competition from private labels and stagnating domestic demand, particularly in the salty snacks segment, which has historically been the most profitable... purchase to read more
Industry Report - Industry Key Buyers Chapter
The Snack Food Manufacturing industry exhibits a medium level of market share concentration, with the top four players accounting for just under 50.0% of industry revenue. The product lines of larger players, such as Frito-Lay and Snack Foods Limited, tend to comprise mid- to low-value, high-volume products. However, over the past five years, larger players have also broadened their product offerings to include high-value products such as gourmet potato chips. Smaller firms on the other hand, have tended to focus on niche markets supplying speciality products of high value, but with shorter production runs and hence lower volumes.
Despite the presence of smaller firms, the Snack Food Manufacturing industry is moving towards large-scale concentrated production... purchase to read more