The global biscuits market is projected to grow at a CAGR of 4.26% to reach US$143.173 billion by 2025, from US$111.469 billion in 2019. The rising trend of healthy snacking and the increasing per capita food consumption as well as the convenience which is imparted by the biscuits innovative packaging are the primary drivers for the global biscuits market growth during the forecast period. Additionally, the rising health awareness and its acknowledgment by the market players are incentivizing them to invest more in product innovation and development thereby facilitating the expansion of product portfolio, thus, aiding in the global biscuit market growth. The aforementioned has also emerged integral to competition among industry players which further allow them to focus on enhancing the efficacy of their entire value chain. With regards to the APAC region, it should be noted that consumers of the emerging economies are proactively willing to move away from their known brands and experiment with regional flavors as well as the healthier options as exemplified by the launch of high-protein biscuits, addressing the need for more protein-based food and drink by companies like Hershey and United Biscuit. The other health value benefit is that digestion which is being increasingly offered by digestive biscuits. This gradual shift in consumer preferences is also being captured by biscuit market players' tactful dissemination of information about their nutritional ingredients thereby increasing their brand visibility. Furthermore, as consumers are looking forward to less processed food, the players in the biscuit market are increasingly investing in the inclusion of natural ingredients.
Moreover, the aspects such as the increasing availability of disposable income due to the growing middle-income group along with expanding urban aspirations are fueling the premiumization of low-calorie indulgences that are increasingly being exemplified products with inclusions such as nuts, fruits and so on. Whereas in certain established markets like those of the occident where the association of biscuit with tea and coffee has been inseverable for the consumers are less inclined to experiment and experience a new sensation and are more prone to settle for the most dependable products that they are aware of. This has also led to biscuit makers attempting to shift the consumers away from their regular preferences with out-of-the-box offerings as exemplified with Pladis’ Flipz, launched in June 2019 which is milk and dark chocolate pretzels designed to capitalize on the growing appetite for sweet and savory combinations. Further, as an effect of changing lifestyle that is ubiquitous consumers are inclined towards biscuits that offers the conveniences of bite-sized treats that deliver the ultimate taste. To this end, Mondelez had launched their Joyfills the same year during August. Along the same lines, the launch of Choco Leibniz Snack Packs and Choco Moments range by Bahlsen GmbH & Co. KG. further reaffirms the endeavor by market players to appeal to customers with new ideas who are intrinsically driven by habits. The launch was coupled with a media campaign, in-store sampling, and smartphone app coupons to facilitate the consumer-habit disruption close to the point of purchase among others since the majority of biscuit purchases are unplanned.
While the above provides a panoptic view of the consumers’ purchasing proclivities and the market players’ innovative endeavors, the biscuit market segment has witnessed a plethora of development in recent times. In May 2018, it was reported that Private label manufacturer Biscuit International, owned by French private equity firm Qualium Investissement,had acquired Northumbrian Fine Foods (NFF), the UK’s largest gluten- and milk-free sweet biscuit manufacturer from CriSeren Foods to expand its product offering and geographical footprint in both the UK and EU. In September 2019, it was reported that Burton’s Biscuit Company has acquired Paterson Arran, one of Scotland’s leading independent food companies, broadening its product portfolio as well as to sustain its growing presence in the biscuit market. This is the second major acquisition by the Burtons during 2019 that was succeeded by the acquisition of Thomas Fudge’s, the premium sweet and savory branded and own-label biscuit manufacturer, which bakes Marmite products under license, from private equity rm Livingbridge. In January 2020, it was reported that Burton’s Biscuit Company has launched Maltesers Biscuits. In May 2020, it was reported that Edita Food Industries S.A.E was about to enter the Egyptian biscuit market with the launch of a new product, Oniro to create a new revenue stream for the company, among others. In June 2020, it was reported that Arnott’s Biscuits Limited launched three products namely: Lamington flavored Iced VoVo; Mud Cake flavored Shortbread Cream and Salted Caramel Tart flavored Scotch Finger, which has been Australia’s favorite desserts. Albeit being faced with tough competition from other kinds of snacks, biscuits are recognized and appreciated for its ability to satiate both yearnings and hunger and through innovative formulation and premiumization, the market for biscuits will be poised to attract more consumers resulting in a healthy growth during the forecast period.