Growth for the category in 2010 showed a hike of 5.6 per cent on 2009, reports the Financial Times, citing the figures from the consumer trends specialist.
The latest market data puts the value of the sector at £2.4bn
A key driver for the buoyancy in the savoury snacks segment is the large sharing pack category, including brands such as Doritos, and these were also reported to have experienced strong growth.
The ‘sharing’ packs, reports the FT, saw a hike of 12.5 per cent on the previous year, with the category valued at £608m. And analysts argue that this good sales peformance can be explained by the increase in home-based entertainment – a long-term trend augmented by the recession.
And today saw UK snack food manufacturer Zetar reporting that its sales of added-value premium snacks were up by more than 50 per cent and were expected to grow significantly this year, as it posted an increase in first-half profits of 10 per cent.
But the group said that its natural snacks margins were reduced by 'unprecedented' raw material cost increases.
In its interim results, Zetar said its half-year pre-tax profit from continuing operations declined to £1.73m from £2.05m last year. However, adjusted profit before tax increased 10 per cent to £2.44m from £2.21m a year ago.
CEO Ian Blackburn said the result was particularly good in view of rising input costs and “demonstrated the value of the business's focus on innovation and product development.”
And based on current indications of trading at Easter, the group said it expected to deliver earnings for the full year in line with market expectations.