Hawkins Watts sees opportunity in changing snack demands
New Zealand’s snacking and biscuit categories generate more than $1.5 billion in annual grocery sales, creating significant opportunities even as consumer expectations continue to change.
Hawkins Watts marketing manager Gail Gillard says the scale of the established categories means even relatively modest growth can be commercially significant.
“Snacking is firmly embedded in the daily lives of New Zealanders, and even low single-digit gains across categories of this size represent significant opportunity,” says Gillard.
One area attracting increasing attention is functional snacking. Valued at around $30 million and delivering double digit growth, the segment remains small compared with mainstream snacking but reflects growing demand for products offering benefits beyond taste and texture.
Gillard says shoppers are increasingly looking for added value through protein, fibre, lower-sugar formulations and natural ingredients, while still expecting snacks to deliver on enjoyment.
The trend towards what Hawkins Watts describes as “healthy indulgence” reflects the changing expectations. Consumers are increasingly looking for nutrition and enjoyment in the same product, while comfort and stress-related consumption continue to influence purchasing decisions.
Interest in satiety is another factor shaping development, alongside global flavours and products with authentic ingredient stories.
Hawkins Watts business manager, health and nutrition, Sandra Murray says these changing demands are placing greater emphasis on the ingredients and technologies available to manufacturers.
“For manufacturers, balancing health, flavour, texture and affordability in a single product is no easy task,” says Murray.
She says functional fibres, clean-label texturising systems, natural flavours and colours, alternative protein sources such as high-protein yeast extracts, and salt and sugar reduction technologies can help manufacturers respond to changing expectations without compromising sensory or nutritional appeal.
Further influences are expected to emerge as the category develops. Hawkins Watts says the possibility of mandatory Health Star Rating adoption could place greater scrutiny on nutritional profiles.
The growing use of GLP-1 weight-management medications could also influence demand towards smaller portions, higher protein content and products offering greater satiety and nutrient density.
Murray says these trends, combined with continuing cost-of-living pressures, mean manufacturers face the challenge of delivering health, enjoyment and value at the same time.
Hawkins Watts combines market insight, ingredient expertise and technical capability to support food manufacturers through product development. Its upgraded Auckland R&D facility includes specialist flavour development capabilities and is supported by experienced food technologists.
The company says this allows it to work with manufacturers to translate changing consumer trends into commercially viable products.
Sponsored content: For more information phone 09 622 2720, email sales@hawkinswatts.com or visit www.hawkinswatts.com.
