On-the-go produce snacks are a billion-dollar business for retail grocers — and the category continues to grow at a pace other store departments would envy.
That’s the conclusion of a new study by U.K.-based Nielsen Holdings PLC, which has its U.S. headquarters in New York.
The on-the-go produce snacking category is worth $1.1 billion and has posted a compound annual growth rate of more than 10% every year between 2012 and 2016, according to Nielsen. By contrast, during that period, many other areas of the store have struggled to grow.
In that four-year span, 900 new items were added to the category, 600 of which were individual servings of fresh-cut fruit. The study also found that many suppliers and retailers are reaping the benefits of combining produce with other items, e.g. nuts and dips. Sales of mixed fruit items paired with a non-fruit item, for instance, came close to the $117 million in sales of mixed fruit in the 12 months ending May 27.