Snacking with meaning

The rise in snacking culture is well documented, but what are consumers snacking on? It turns out to be more nuanced than first thought. ADM ANZ category marketing manager, Melissa Przydacz, writes.

There are a few factors driving the evolution of snack bars and their ingredients, with each having a different level of importance depending on the demographic consuming them. 

Growing health consciousness

Research shows us that consumers are increasingly seeking snack bars that are high in fibre and protein, low in sugar, and made with functional ingredients like probiotics and botanicals. Plant-based, gluten-free, and organic options are also on the rise.

Furthermore, cereal bars, packed with whole grains, fibre, vitamins, and minerals, continue to hold a dominant share of the market.

In Australia, revenue in the snack food category is projected to reach $5.58 billion (US$3.69 billion) in 2025, with a compound annual growth rate of five per cent.

Lifestyle shifts and convenience

With rapid urbanisation and increasingly hectic routines, consumers are gravitating toward food options that fit seamlessly into busy lifestyles. The rise of “snacking anytime” culture has fuelled demand for on-the-go, meal replacement-style bars.

In Australia, and globally, convenient retail channels such as kiosks, convenience stores, vending machines, and online platforms are driving accessibility. These channels allow consumers to easily access clean-label and customisable snack options, supporting the trend toward effortless, anytime snacking.

Economic pressures and “micro-luxury” trend

With cost-of-living pressures mounting, consumers are turning to smaller, affordable indulgences. This “micro-luxury” trend reflects a desire for little treats that feel special but don’t break the budget.

Supermarkets are responding with smaller, trial-size packs that allow shoppers to explore new flavours without committing to full-size purchases.

Additionally, different age groups and consumer segments are driving demand in different ways globally. For example:

• Gen Z and Millennials: These generations are leading the shift towards snacking as a primary food source, often replacing traditional meals with energy-boosting bars. Mintel’s 2025 study into snacking found they prioritise convenience and are drawn to products with functional benefits like high protein, low sugar, and natural ingredients. And ADM’s 2025 Lifestyle & Trends survey found 70 per cent of Gen Z and Millennials globally are looking to increase protein in their diet, highlighting the opportunity for snack bars that combine nutrition with portability.
• Gen X: This group seeks a balance between health and indulgence, opting for snack bars that offer both nutritional value and satisfying flavours. They are increasingly mindful of sugar content and prefer products that align with their active lifestyles.
• Baby Boomers: This group treat snacking as a daily ritual, often enjoying one snack per day. They are open to premium, quality-driven options and are willing to pay more for snacks with natural ingredients, high protein, or low sugar. In fact, 81 per cent of Baby Boomers agree that snacking is about a multi-sensorial experience, encompassing taste, texture, aroma, and overall eating enjoyment.
• Families with children: Households with children under 19 are more likely to consume snack bars more than once a week. They look for products that are nutritious, convenient, and appealing to younger taste preferences, with 33 per cent of Millennial parents often seeking products that contain only recognised ingredients.

How are consumers shaping product innovation in health, flavour, and function?

Globally, nearly all consumers (96 per cent) now engage in mindful snacking behaviours, showing how much the snacking mindset has shifted from guilt to enjoyment. In Asia Pacific, almost one in two consumers prioritise products rich in health-boosting ingredients, underscoring how wellness has become a baseline expectation rather than a nice-to-have.

Today’s mindful snackers want more than just a quick energy hit. They’re looking for snack bars that balance health with enjoyment, offering added functionality such as gut health, immunity support, or stress management, while still delivering satisfying taste and texture.

At the same time, consumers are also seeking excitement in their snacking routines. New and playful flavour rotations, from nostalgic twists to globally inspired combinations, not only spark joy but also drive discovery and trial.

For proactive snackers who want variety without compromising wellness, these bold flavours offer a way to enjoy food as both nourishment and experience. In this context, innovation in flavour is more than just seasonal – it’s a strategic lever to engage consumers who are actively seeking snacks that delight and surprise. This is reinforced by the fact that 65 per cent of Australian consumers enjoy trying food and drinks that combine flavours and colours in unexpected ways.

Functionality is no longer separate from indulgence; rather, it is integrated into the overall eating experience. From high-protein bars with added fibre and probiotics to formulations that showcase native Australian ingredients or unique sensory textures, brands are responding to consumers who want variety, wellness, and enjoyment in every bite.

While health, flavour, and function play distinct roles, they are increasingly interdependent. Success in one area often depends on balancing the others. In this way, consumer expectations are not just influencing product features, they are reshaping the category, pushing innovation to create snack bars that deliver on health, taste, and purposeful function.

How can brands innovate to deliver on health, functionality, and sensory enjoyment?

Local brands can innovate in this evolving space by combining functional benefits with appealing sensory experiences. With the growing demand for functional foods, consumers are increasingly drawn to products containing naturally sourced and well-established ingredients, such as botanicals, which are often associated with supporting various aspects of health, including emotional well-being.

Globally, 28 per cent of consumers are adding botanical and herbal extracts in their diets, presenting opportunities for brands.

Fibre is also gaining traction for its role in digestive health and satiety. ADM’s Fibersol is a versatile soluble prebiotic fibre that not only supports healthy weight management and digestive wellness but can also reduce sugar by up to 30 per cent in certain formulations. This allows brands to deliver on both health and taste without compromise.

Equally important is the sensory aspect of snacking. With 81 per cent of consumers paying close attention to how their snacks taste and feel, flavour and texture cannot be an afterthought. Familiar favourites such as chocolate, peanut butter, and almond, paired with their reliable chew or crunch, offer comfort and wide appeal.

Conversely, novel and surprising combinations, featuring inventive flavour combinations like espresso, golden syrup, or fig and cherry, paired with unexpected textures from macadamia nuts or nougat, capture consumers’ imagination. Around 72 per cent of Australians value variety and new product innovation, reflecting the strong demand for novel and inventive snacks options.

By blending the familiar with the surprising, local brands can satisfy evolving expectations for health, functionality, and enjoyment, ensuring their offerings remain relevant and competitive in a crowded market.

This article first appeared in the August/September 2025 edition of Food & Drink Business magazine.