Asia-Pacific Energy Bar Market - Segmented by Distribution Channel and Geography â€“ Growth, Trends, and Forecast (2018 - 2023)
The Asia-Pacific energy bar market is expected to reach USD 845 million by 2023 at a CAGR of 5.4%, during the forecast period. The Asia-Pacific energy bar volume sale surpassed 23 million Kg in 2015 with Japan the largest market. Energy and nutrition bar continued its growth during the forecast period.
Energy bar market includes sports nutrition bars and snack bars designated to meet both daily and sports nutrition needs. Increased demand for health & wellness snacking, increased demand for processed food, meal replacement, rising per capita income are various factors fueled the Energy Bar market growth.
High Protein Snack in Demand
Consumers are always on the move due to the busy lifestyle, which created a demand for convenient on-the-go snack option. The demand for a healthier snack is growing in the region with more preference for high protein and nutrition intact snack. About 40% of metro consumers in Indonesia seek snack that is rich in protein, with the ratio 38% in Thailand. India is the fastest growing market for energy bar consumption with sales forecasted at double-digit growth rate. The annual snack sales in Asia-Pacific are USD 46 billion, which is growing at 4% annually. Confectionery sales in the region surpassed a value sale of USD 38 billion in 2015, with snack bar witnessing the fastest growth rate. Taste and health consideration and consumers mainly drive the demand not willing to compromise on either. Asia-Pacific is lagging behind in protein nutrition. For instance, the global consumers buy an average of 18g a day from packaged food & beverage products while Asia bus only 9 g a day. Consumers in China, India, Indonesia, and Vietnam are looking for more protein their diet for muscle building, weight management/losing weight and satiety.
Innovation the Key Factor Accelerating Sales
Australia and New Zealand are the two significant markets driving energy bar market growth in Asia-Pacific. High protein innovation, convenient pack size and packaging material, as well as simpler ingredients on the label are on the rise among consumers. On-the-go snacking is the primary energy bar market trends. Recently the US Company launched new pack size energy bar in Australia under the naked bear brand, with bear illustration on the pack. The 65 g energy bar is available in twin pack offers value for money to consumers. Companies are innovating product targeted to sports and athletes that helps maximize the athlete performance and optimize endurance. Demand for natural ingredients and flavors, such as coffee, fruit free flavors, cinnamon, caramel, cocoa are becoming popular in the region.
Japan and Australia are the largest markets for energy bar market with combined sales holding more than 80% of the APAC sales. Energy bar market size in other countries are at the nascent stage with India recorded the fastest growth rate. Supermarket/hypermarket is the leading energy bar sales channel holding around 50% of the market share followed by convenience stores. Product promotion, discounts and offers in the supermarkets has triggered the energy bar market demand, offering tough competition to convenience and grocery stores. Many multination brands are entering the market through online retail offering future energy bar market opportunity. The number of C-Stores operated by top five retailers in the Philippines doubled in the past five years. Mini supermarkets and domestic players, such as D’Mart in India, SM Retail in Philippines, and VinMart in Vietnam are expanding their presence.