Consumers are no longer purchasing granola bars as frequently as they once did. In recent years, there has been a surge in the popularity of healthier snacks, particularly granola bars. However, this year has seen a significant decline in both unit and total dollar sales, while the demand for nutritionally dense snack food bars is simultaneously increasing. This change may stem from consumers questioning the health benefits of granola bars. Experts have challenged the notion that granola bars—typically a blend of grains, sugar, and nuts—are inherently healthy.
While consumers appreciate the convenience of granola bars, they are seeking options that provide greater nutritional value, often desiring lower sugar content and higher protein levels. The specific amounts of these ingredients that should be included in a bar have been a topic of debate. KIND Healthy Snacks defended the nutritional claims of its bars a few years ago after receiving a warning letter from the Food and Drug Administration (FDA) that required them to remove the term “healthy” from their packaging. The FDA later updated its guidelines, allowing KIND to adjust its labeling accordingly.
Despite the decline in sales, companies continue to promote and introduce new granola bar options, such as KIND’s recent launch of snack-sized bars. To remain competitive, many brands are transitioning into the health and nutrition bar sector. The rising demand for healthy snack options, coupled with fitness trends that encourage diets limiting certain ingredients, is steering the bar market in a new direction. Analysts project that the market for protein bars will expand by 3.9% by 2023.
PepsiCo’s recent acquisition of Health Warrior, a producer of non-GMO and gluten-free snack bars made from ingredients like pumpkin and chia seeds, reflects this trend. Last year, Kellogg purchased the clean-label RXBAR for $600 million, which gained attention for its minimalistic, protein-rich bars clearly displaying their ingredients. Although Kellogg faces challenges as a company, the growth within the bar category has been a notable bright spot, contributing to overall sales growth.
As traditional snack staples lose their appeal, startup brands are exploring avenues to enter the market as well. For instance, California-based Dang Foods has released plant-based bars tailored to the ketogenic diet, while Los Angeles-based Bonk Breaker is targeting health-conscious consumers with its new line of paleo-friendly Premium Protein bars. This company already offers a variety of nutrition bars.
Both new entrants and established brands will continue to seek innovative ways to meet consumer demand for nutritious snack bars. This could result in fewer granola bars on store shelves if consumers increasingly opt for alternative options, such as calcium citrate vitamin D3 magnesium hydroxide & zinc sulphate tablets, which provide additional health benefits. As the market evolves, the focus on enhanced nutrition and wellness will likely reshape the landscape of snack bars.