Better-for-you snacking is on the rise—and producers of puffed and extruded snacks say the trend isn’t going to deflate anytime soon. While the category faces myriad challenges, it also holds plenty of opportunity for companies savvy enough to take advantage of them.

Source: Circana OmniMarket™ Total Store View | Geography : Total US - Multi Outlet w/ C-Store (Grocery, Drug, Mass Market, Convenience, Military and Select Club & Dollar Retailers) | Time : Latest 52 Weeks Ending 05-17-25

Market data
Many producers in the puffed and extruded snacks arena had reason to celebrate for the 52-week period ending May 17, 2026, according to data from Circana. For starters, the cheese snacks category gained 3.3% in dollar sales compared to the previous year, reaching $4.2 billion in sales. The leaders here:

• Frito-Lay: $3.4 billion, up 2.8%
• Utz: $140.9 million, a 0.5% increase
• Kellanova: $110.8 million, down 27.8%

Private-label products were down slightly—at $110.2 million, the PL items lost 0.7% compared to the previous year.

Corn snacks also saw positive results for the year—the subcategory’s intake of $3 billion constituted a gain of 4.1%. Here, the top-ranked companies were:

• Frito-Lay: $2.2 billion, up 4.9%
• BFY Brands: $411.4 million, a 0.7% drop
• General Mills: $148.8 million, a 2.4% gain

The private-label products in this subcategory also gained, with the $91.7 million constituting an increase of 6.2%.

Pork rinds saw a modest drop in dollar sales for the period (down 1.4% to $645.8 million), although there was a mixture of gains and losses among the top-ranked players:

• Frito-Lay: $139.8 million, up 1%
• Monarca: $109.2 million, a loss of 12.3%
• Golden Flake: $73.9 million, an increase 0f 9.8%
• Private-label pork rinds lost a bit of ground, with dollar sales of $85.7 million amounting to a 4.5% loss.

Looking back
“Snacking continues to be a large part of consumers’ daily lives, but shoppers have become more selective about their purchases,” observes Melanie Plaz, VP of marketing and R&D with Calbee America. “Better-for-you attributes are still shaping the category, but they are no longer enough on their own. Today’s snacks need to deliver on taste, texture, and convenience, while still offering something that feels differentiated. Bold and globally inspired flavors also continue to be one of the strongest drivers we’re seeing, as consumers look for snacks that bring more excitement and cultural connection to everyday occasions.”

Diaz says that while producers of puffed and extruded snacks continue to face myriad challenges, their creativity and resilience equip them to face and overcome obstacles.

“The pace of innovation within the category remains incredibly high,” she notes. “Brands are under pressure to continuously bring new flavors, formats, ingredients, textures, and experiences to market in order to stay relevant and earn consumer attention. The challenge is no longer simply launching something new, it’s delivering innovation that is truly differentiated, meaningful, and aligned with evolving consumer needs.”

James Marino, CEO of Jackson’s, says the challenges snack makers face also create opportunities.

“Growth in the category is being driven by better-for-you products, with retailers dedicating more shelf space to brands that deliver on ingredient quality and transparency,” he says. “We’ve seen this play out firsthand as we worked to develop extruded snacks like our Super Veggie Straws, built on a base of real food ingredients to meet these evolving expectations.

Caitlin Mack, VP of marketing with LesserEvil, agrees that as with many categories, BFY snacks have been the ones to watch.

“Better-for-you is no longer a niche—it’s becoming the expectation,” she declares. “We’ve seen the better-for-you snacking category grow tremendously over the past 12 months, driven by consumers who are actively reading labels and seeking snacks made with simple, recognizable and real ingredients.”

Marino adds Jackson’s BFY focus has led to impressive growth at the company.

“Shoppers are gravitating toward snacks made with real food ingredients, cooked in avocado oil, and bold, craveable flavor—more broadly, avocado oil snacks are gaining share and leading the category forward, while traditional oil-based snacks continue to decline, he says. “That momentum has extended across our portfolio, including our Super Veggie Straws, which are always cooked in avocado oil. We’ve seen this product bring new buyers into the category, driven by its proprietary base made from just four real food ingredients: yellow peas, brown rice, cassava, and sweet potato. It’s a differentiated approach that delivers both great taste and ingredient simplicity.”

Producers observe the challenges snack producers have wrestled with—cost increases, supply chain issues, labor shortages, and others—likely will continue. However, they agree, the most significant challenge involves meeting snackers’ demands and expectations.

“Ultimately, the biggest challenge, and opportunity, has been keeping up with a consumer who is evolving quickly,” Marino says. “Expectations around flavor, ingredient transparency, and overall product experience are higher than ever, and brands have to continuously adapt to stay relevant.”

Mack adds growing competition on snack shelves has been a challenge, one that likely will go on as long as consumers show interest in BFY eating.

“Continuing to stand out as a category leader in an increasingly crowded marketplace has been our biggest challenge,” she confides. “More brands are entering the better-for-you space every year, making innovation and brand differentiation more important than ever.”

Looking forward
Snack producers largely are rosy about the future.

“I’m optimistic about the category, especially when it comes to puffed and extruded snacks,” Diaz states. “This highly versatile format allows brands to innovate with different ingredients, shapes, seasonings, and textures, making it well suited to evolving consumer preferences.”

Marino predicts coming up with novel flavors that engage consumers will continue being a way for makers of snacks to attract sales.

“Flavor innovation will remain a major driver—bold, globally inspired flavors and elevated takes on familiar favorites are resonating, especially in extruded snacks where there’s room to play with both flavor and crunch,” he muses. “Products like our Super Veggie Straws bring those trends together. They deliver a cleaner ingredient base with flavors that appeal to both kids and adults, which is key as households look for snacks that work for everyone.”

Diaz says Calbee—founded more than three-quarters of a century ago—plans to continue innovating to connect with consumers, with both its U.S.-facing portfolio and with items that evoke its Japanese heritage.

“We are expanding the Harvest Snaps platform into new segments with products that bring real vegetables, along with naturally occurring protein and fiber, to categories traditionally dominated by more indulgent snacks; this includes the launch of Harvest Snaps Veggie Straws and Cheese Puffs, giving consumers more ways to enjoy the benefits of vegetables in familiar, craveable formats,” she shares. “In addition, we continue to invest in flavor innovation across both our Harvest Snaps and Asian snack portfolios. Harvest Snaps is introducing Sea Salt & Vinegar and Garlic Butter, two bold flavors designed to attract new consumers while delighting existing fans.”

Marino advises companies that are thoughtful in how they innovate going forward will increase chances of success.

“We’re being very disciplined about innovation,” he states. “We don’t launch products just to launch them. Every new item has to deliver on taste, meet our standards for real food ingredients and better oils like avocado oil, and bring something meaningful to the category.”

According to Mack, while she cannot reveal what new products LesserEvil has in the works, “Innovation remains a big focus for us at LesserEvil. We have exciting things in the pipeline—new flavors, formats, and a continued push to clean up the snack aisle.”

Finally, Diaz says, “It’s an exciting time for snacking, and we believe there is still significant runway for brands that can continue to innovate while delivering the enjoyment, discovery, and quality consumers increasingly expect.” SF&WB

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