Pandemic Explosive Growth in American Food Industry.

Americans stuck at home snack food has become a valuable commodity for the pandemic stress consumer Frito-lay a subsidiary of Pepsico and one of the largest snack food makers has seen sales surge the company produces over 1200 different snacks including brands like Cheetos, Doritos lays smart food and ruffles in early 2021 Frito-lay north America announced 2020 fourth quarter net revenue of 5.4 billion dollars a 5 increase from a year earlier from a product perspective variety seems to be uh very important um people are seeking more snacks they’re snacking percent more right now than pre-pandemic the snacking industry uh you know was kind of growing low to mid single digits humming light right along and then the pandemic just gave it this explosive growth with the stay at home trends and it’s not just free delay it is seeing a boom in its snack business north American sales of savory snacks like chips popcorn and pretzels climbed to 56.9 billion dollars 2020 in 11 more than 2019 in stressful times people turn to snacking for comfort and kopit 19 has transformed kitchens across the US into giant vending machines so has coveted 19 put an end to the shift to healthier snacks.

The great depression in 1932 for a hundred dollars Charles Elmer doolin purchased a recipe a handheld potato ricer and over a dozen retail accounts from a corn chip manufacturer     selling corn chips out of his car by day and cooking out of his mother’s kitchen by night doolan soon expanded to the family’s garage and later to the west coast he named the business the Fritos company.

That same year Hermann lay  started a snack food delivery company in  Nashville Tennessee  by 1956 lay had more than 1000 employees and was the largest  manufacturer of potato chips and snack  foods in the US  the two men joined forces in 1961 to  form the frida lake company  and quickly made plans to expand even  further in 1965 Friday merged with Pepsicola to form  Pepsico  combining the soft drink giant with a  salty snack maker  the union made lays the first nationwide  potato chip brand  by 2008 Friday had a 57 share of the US  potato chip market  the company kept busy churning out new  recipes in 1966 Friday launched doritos tortilla chips  in 1981 the Tostitos brand and in 1992 it added  flamin hot flavoring to the menu  well this is in fact the number one for full stop flaming hot as a flavor  and Americans were consuming snacks like  never before  from the late 70s through the late 2000s  the number of people who had at least  one snack a day in the us surged  from 59 percent to 90 and the amount of  snacks they consumed  doubled free delay relies on a mix of  clever marketing schemes  social media influencers and celebrities  in 2019 the company enlisted chance the  rapper  and the backstreet boys a 2020 advert  starred  hip-hop artist post Malone and since the start of the pandemic  Frito-lay has made moves out of the  grocery store aisle  as well in may 2020 Pepsico launched  snacks.com  for consumers to purchase items directly  from the company.

According to a 2020 study by mondelez  international  about 90 percent of adults surveyed said  covid 19 has enticed them to snack more  about 60 percent of people said snacking  will be their new normal  after the pandemic ends that trend has  added a boost to the bottom line of most  of the biggest makers of snacks  including hostess brands Hershey kellogg  company  mondelez international nestle and of  course free delay  sales of snacks in north America reached 133 billion dollars in 2020 seven percent higher than a year earlier  with Americans turning to their kitchen  pantries for relief  hostess the maker of twinkies and ding  dongs saw a net revenue surge 15 in to 1 billion dollars due in part to the strong performance of  its vortman cookies  and hostess brands.

It’s just accelerated the in-home  behavior prior to the start of backyard  barbecue season and summer camping trips  Hershey saw a surge in the sale of milk  chocolate packs  used to makes mores Kellogg’s north  American snacks division which includes Pringles and Cheez-it  had organic growth of 3.3 percent in 2020 sales of 4.4 billion dollars mondelez  international  maker of Oreo cookies and Ritz crackers  saw net revenue increase by 2.8 percent to 26.5 billion dollars in 2020.  with a drop in demand for impulse  purchases at the checkout counter  nestle the maker of Kitkat saw weaker  demand in its chocolate division  offset by some momentum in the sale of  baking products  but it may have been free to lay that’s  all the biggest gains  with families stuck at home binging on  Netflix and snacking on potato chips and  popcorn  Frito-lay north America had 20 20 net  revenue of 18 billion 6.5 percent higher than a  year earlier