What Canadians are seeking when reaching for the snack drawer
Product trends may come and go and consumer motivations may evolve and change, but no matter what, you can count on Canadians to reach for a little something to bridge the gap between meals.
“The one thing that doesn’t change is that people love to snack,” says Jenny Longo, vice-president, private brands at Longo’s. It’s a perspective backed by research from Statista indicating the Canadian snack market will generate more than US$8.8 billion in revenue in 2024—and grow by more than 5.6% annually through 2029.
While guilty pleasures such as chips and chocolate never seem to go out of style, several trends are adding depth and complexity to the snack landscape and driving innovation. Near the top of the list is a change in the way consumers are parsing out their calorie intake through the day
“People are not sitting down to the traditional three meals each day,” says Lynsey Walker, VP of marketing and communications at Canadian Health Food Association (CHFA). “They’re looking for snacks to fuel them through their day in a different way.”
Nicole Bleiwas, vice-president of marketing for Riverside Naturals, producer of snack brands such as MadeGood, agrees. “The line between meals and snacks continues to blur,” she says. Bleiwas cites a study by research firm Circana indicating adult consumers snack 3.5 times per day and children under 18 do so 4.9 times per day.
Afternoon is prime time for snacking, adds Bleiwas, but snacks accompanying or replacing breakfast or in the hours after dinner are also popular.
As with most aspects of consumer behaviour, inflation is exerting pressure on snacking. Research from Innova Market Insights reveals 48% of consumers in Canada and the United States cite personal finances as their top concern. That’s up 5% from 2023. More than half (61%) of respondents also said they noticed rising snack prices, and 37% of those surveyed have sought out cheaper options.
READ: Canadians will embrace 'conscious consumption' in 2025
“Inflation and its impact on personal finances are top-of-mind for consumers in the U.S. and Canada, with many adjusting their purchasing behaviour to seek out more affordable snack options,” says Lu Ann Williams, global insights director at Innova Market Insights.
But that doesn’t mean Canadians are compromising on snacks. Experts agree that customers are increasingly seeking brands offering health benefits, responsible global citizenship and affordability—without sacrificing taste.
“There’s a lot going on in the world in terms of global affairs, climate change and issues like that, and people are feeling stress,” says CHFA’s Walker. “Something we’re predicting going into 2025 is consumers looking for moments of joy and sensorial experience of food. Little glimmers throughout the day.”
Here are some trends manufacturers and retailers should consider as they look to provide those glimmering moments:
Getting healthy: what’s in
Consumers are looking for more health benefits from their food, and snacks are no exception. According to research from Innova, more than half of the global population is willing to sacrifice at least a little bit of indulgence in exchange for snacks that are natural and healthy. Specifically, 61% of consumers in Canada and the United States who look for specific ingredients in their snacks look for protein, while 48% look for fibre.
“Demand for healthy and nutritious snack options has increased 8% since 2020,” says Paul Hogan, general manager for Conagra Brands International, citing 2023 research from Ipsos FIVE.
Hogan adds that snackers’ preferences tend to change throughout the day, as they look to products that provide hydration, mental focus and an energy burst in the mornings and afternoons and seek indulgence and comfort at night.
Protein and healthy fats are near the top of the list for customers at Summerhill Market, according to Brad McMullen, co-owner and president of the Toronto-based grocery chain. McMullen says Quest Chips—a high-protein, low-carb, low-sugar snack—are strong sellers at his stores. He also reports an uptick in sales of dried fruit, suggesting consumers are looking for a dose of sweetness from a natural source.
READ: Consumers seek balance between health and indulgence when it comes to food, report says
Gail Castillo, head of insights, North America for AB World Foods sees ingredients such as seaweed and chickpeas as an indication that international influence and health are intertwined. “If you look at things like seaweed snacks, they’re getting so popular that people are even giving them to their kids.”
Getting healthy: what’s out
Innova’s research, however, also suggests that what’s not in the product still carries more weight. In fact, the top two attributes that define “healthy” in the minds of Canadian and U.S. snackers are: no artificial ingredients (39%) and no additives or preservatives (37%). “Consumers in the U.S. and Canada define a snack as being healthy by what’s not in them—no artificial ingredients and no additives or preservatives,” says Williams.
This includes dairy-free, nut-free and gluten-free options, according to Longo. “We’ve seen an increase in requests for snacking options that are dairy free or allergen free,” she says. Longo lists vegan cupcakes, gluten-free mini muffins and nut-less clusters among the private-label snacks it has developed in recent years.
This is where Peter Higgins, president at Choxco, sees an opportunity to fill a need. The B.C.-based company produces a line of chocolate cup snacks with various flavoured fillings, with only four grams of sugar and a short-and-natural list of ingredients. “Where we fit in is simple and clean ingredients,” he says. “No artificials of any kind.”
Higgins says past trends towards sugar-free led to a wave of products made with artificial sweeteners, which did not address flavour or health. He says today’s customer doesn’t want to turn away from sugar entirely. “The way we term it is, people are on a sugar budget,” he explains. “This is where the four grams of sugar fit in. I’m not having a chocolate bar with 30 grams of sugar, I’m having a cup that has four.”
Snacking for a cause
Canadians also want their snack brands to make a positive impact in the world, particularly when it comes to the environment. A 2023 survey from Agriculture and Agri-Food Canada found 70% of Canadian consumers seek foods that are produced sustainably.
Sustainability is also a priority at Choxco, which has partnered with Repurpose, a company focused on mitigating the impact of plastics. “We’re certified plastic-neutral, so we recover as much plastic from the environment as we use,” says Higgins, adding that Choxco also emphasizes sustainable cocoa farming.
“I think those efforts do resonate with consumers. We all want whatever we buy to represent our values,” he says.
Sustainability isn’t the only cause snackers have rallied around. At Summerhill Market, McMullen says the Purplesful Snacking popcorn brand, which donates 25% of profits to charities that support health, nutrition and education programs for children, is a popular item. “We’ve had good success with it,” he says. “It’s a product with a charitable angle that tastes great.”
Yet, CHFA’s Walker warns of a gap b etwe en intention and consumer behaviour. She believes financial factors are preventing shoppers from wielding their purchasing power for good causes.
“We talk about the ‘say-eat gap,’” Walker says. “People say they want to align themselves with responsible brands, but the cost is prohibitive. Being able to close that gap is a place of opportunity.”
This article was first published in Canadian Grocer’s November 2024 issue.
