Pretzel Market

Global Pretzel Market Size (2024 to 2032)

The Global Pretzel market size was valued at USD 7.36 billion in 2024, and it is estimated to reach USD 9.48 billion by 2032, with a registering CAGR of 3.22%.

Pretzel is a type of baked bread that is produced from dough, regularly formed into a twisted knot. Pretzels have their origin in Europe, accepted among monks in the early middle ages. The conventional pretzel shape is a non-symmetrical marking frame. It is made with the finishes of a long interlocking dough strip and then twists once more in particular. Pretzels are available in a wide variety of sizes and shapes on the market with a shiny outer surface appearance. The mixture of salt and lye is considered the most widely recognized flavor for pretzels. Sugars, seeds, coatings, chocolate and nuts are among the alternative condiments for pretzels. The pretzel can be hard or delicate, among which the hard ones have a longer duration of use, while the delicate ones are consumed shortly after preparation. Pretzels have become a component of popular culture, both as a staple food and in its remarkable form of harnessed wind that has generated points of view, thoughts and other phenomena. 

Pretzel Market Current Scenario

The pretzel is extremely popular in Southern German-speaking areas and those of Switzerland, Alsace, Austria and the United States. In other nations like Hungary, a softer version is prevalent and is named Perec consumed with salt syrup and cheese, Romania it is a well-known street food called Covrigi and in Sweden, it is small in size with chocolate applied all around and known as Kringlor.   

Moreover, the snack industry is growing rapidly because of changing consumption habits. Among people, the pattern of having snacks at home is a driving factor for the pretzel market growth. Also, the hunger for twisted and salty refreshments has considerably increased irrespective of inflated material costs. Despite these constraints, buyers have raised their pretzel procurement by 1.7 per cent. Also, it attained overall sales of 2.2 billion dollars, a major 17.2 per cent growth due to the blend of moderate increase in consumption and noticeably higher prices. In 2023, all the prominent players in the traditional pretzel industry witnessed sales rise with sales of 633 million dollars by Snyder’s of Hanover coming at the top. It saw an impressive 15.1 per cent growth.  

A mix of everyday classics and new bold choices will gain more traction in the coming years. Around the world, customers have struck with their core products but are looking for unique items. Currently, buyers are avoiding spending money on restaurant dinners and prefer consuming more. However, the situation in the industry is not that bad and the intermediate market customers are still buying expensive or premium grocery foods and snacks. In future, inflation will play a major role and with the start of student loan repayment, it is projected to remain a key impact on the people spending. This is particularly true for millennials.  

MARKET DRIVERS 

In recent years, rapidly changing tastes and preferences, as well as consumer lifestyles, have created a strong dependence on practical snacks like pretzels. In addition, with the expansion of the food industry, pretzels are increasingly sold in many catering establishments and points of sale. Also, leading manufacturers launch a wide variety of pretzels with different flavors, ranging from butter and mustard to honey, barbecue, Parmesan, and garlic. They also introduced frozen pretzels and frozen pretzel dough that require no preparation. On top of that, with an increase in the number of health-conscious consumers, manufacturers have begun to develop all-natural, cholesterol-free, trans-fat, and gluten-free products enriched with essential vitamins and minerals. Also, they have adopted innovative and unique packaging solutions with resealable lids that help preserve freshness and extend the shelf life of the contents. One of the main reasons for the growth of the global pretzel market is the increase in the number of people with diabetes. Pretzel is considered a healthier snack and is consumed primarily by health-conscious customers. The growth in the consumption of meals is one of the main drivers of the pretzel business. In the United States, a significant percentage of the population consumes at least one pretzel once a day. With the rise of the craft beer movement, craft pretzel shops are opening their doors to offer customers the option of combining beers with pretzels.

The demand for healthy snacks is increasing due to the rising number of unhealthy populations. The increasing popularity of meals among the young people has increased the need for healthy eating habits and is likely to spur demand for pretzels. Pretzels are considered a healthier alternative due to the presence of healthier ingredients. For healthier snacks and reduced use of artificial starch, ingredients like tapioca, potato, sweet potato, wheat, and corn are used in this market, depending on the availability of materials. The increasing use of ingredients that absorb relatively less percentage of oil satisfies the demand for healthier snacks and stimulates the world pretzel market. The growing demand from developing countries is also a factor in boosting the global pretzel market. However, intense competition from other food snacks on the market is supposed to hamper pretzel business growth during the outlook period.

MARKET RESTRAINTS  

The concurrent rise in raw material costs coupled with supply chain disruptions are hindering the growth of the pretzel market. 

In recent times, food inflation has significantly spiked. Firstly, due to COVID-19 and its effects followed by the Russia-Ukraine war in February 2022. Both factors surged the food prices globally by more than 17 per cent. Goods and workforce shortages, increased freight insurance and other costs are some examples of things that affected the industry’s progress. Apart from this, the regional conflict started in the first quarter of 2022 and this led to price hikes in almost all the industries like oil and gas, food and beverages, power, etc. Ultimately the burden of all these elements is transferred onto the end customer, derailing the market expansion.  

The production orders in the United States were slowed down in 2023. As per the national purchasing manager’s indices, the market conditions are uncertain because industry players are reducing their manufacturing quantities and running down with current inventories. Moreover, the idle situation of the market also forced a few producers to shut down their factories to control costs. 

According to a study, the problems for the baking industry will remain the same in 2024 like lower margins and cash flows, higher procurement and raw material costs, propelling the sustainable development and availability of sufficient trained and skilled labourers. All these hurdles persist irrespective of company size and capability.  

In addition, the instability in sugar prices and supply and natural disasters are other factors restricting the growth of the pretzel market.  

REPORT COVERAGE: 

SEGMENTAL ANALYSIS

Global Pretzel Market Analysis By Type

The soft segment is projected to account for a major portion of the pretzel market. The shift in consumer choices and tastes, reliance on processed foods and the growing food sector are driving the growth of soft pretzels. Nowadays people prefer on-the-go snacks while going to work or returning home. Extended working hours and busy lifestyles are fuelling the growth of the soft pretzel. Furthermore, during Christmas, they are produced by soft gingerbread covered with chocolate.  

Global Pretzel Market Analysis By Content

The salted pretzels segment is expected to lead the category with a considerable share of the pretzel market. This is because it provides better healthier and more convenient options than others in the same class which offers a delightful crunch with little guilt. Also, it is high in fibre and carbohydrates and be consumed at any time and anywhere. Moreover, it has become the preferred choice for customers exploring easy and quick bit snacks due to its ready-to-eat nature. Besides this, the pretzels only require water, salt, flour and yeast. Hence this makes it a health-friendly food as well as influences the segment’s market growth.  

Global Pretzel Market Analysis By Distribution Channel

Both supermarkets and hypermarkets are preferred points for purchasing pretzels and are a significant revenue contributor to the market. The availability of a wide variety of bread products with a price tag and a small discount is propelling the expansion of the pretzel market. Also, people in the USA are shifting towards hard pretzels making it easy for the facilities to store them

REGIONAL ANALYSIS

Among all the regions, North America is the leading region of the world pretzel market. Pretzel is considered a healthier snack alternative, compared to other traditional snacks. They are low in fat and rich in nutrients. Most of the flour used is enriched with vitamins and iron, which helps stimulate the digestion process and increases metabolism. The United States is among the leading nations in terms of consumption and production of pretzels in North America. The introduction of healthy variations of pretzels, in a wide range of flavors, has been a critical factor, stimulating the growth of the global pretzel market in this region. Pennsylvania is the center of American pretzel production for hard pretzels and soft bread. About 80% of the hard pretzels produced in the United States are made in Pennsylvania. Americans eat more hard pretzels than soft pretzels. Germany is considered the birthplace of the pretzel. Hard pretzels sell better than soft pretzels because they have a longer shelf life. China and India have the potential to post substantial demand until 2022. High disposable incomes can spur this regional pretzel market growth.

KEY PLAYERS IN GLOBAL PRETZEL MARKET

Major Key Players in the Global Pretzel Market are Auntie, AnnesBoulder Brands, ConAgra, Frito-Lay, Herr Foods, J & J Snacks, Mars, Mr. Pretzel, Pretzels Inc, Snyders-Lance.

RECENT HAPPENINGS IN THE MARKET

• Peak Rock is a capital market company. It is the leading provider of pretzels. Pretzels offer a wide range of savory snack products as well as extruded snack products. It is a private equity and venture capital company. Pretzels have an excellent reputation for providing excellent customer service and exceptional product quality.
• Anne Beiler, better known as Aunt Anne, started her new pretzel business in 1988 at a Dutch farmers market in Pennsylvania. The airport and mall pillar have more than 1,600 outlets worldwide, with regional offerings such as a banana pretzel (England), a seaweed pretzel (Singapore), and a flavored pretzel with dates (Arabia Saudi).
• In November 2013, US snack maker J&J Snack Food Corp experienced a 19% annual revenue increase, mainly due to pretzel sales performance. Pretzels have been J & J Snack Food Corp's most prominent success over the past year, with increased demand resulting in the addition of new manufacturing lines. Sales to foodservice customers increased 8% in the fiscal year 2013 to $ 560,759,000, while sales of soft pretzels to the foodservice industry grew by 23% to $ 145,026,000.

DETAILED SEGMENTATION OF GLOBAL PRETZEL MARKET INCLUDED IN THIS REPORT    

This research report on the Global pretzel market has been segmented and sub-segmented based on type, content, distribution channel & region.       

By Type

• Soft
• Hard

By Content

• Unsalted Pretzels
• Salted Pretzels

By Distribution Channel

• Convenience Stores
• Supermarkets
• Hypermarkets
• Online Retailers
• Specialist Retailers
• Other Distribution Channels

By Region

• North America - the United States and Canada
• Europe - United Kingdom, Spain, Germany, Italy, and France
• The Asia Pacific - India, Japan, China, Australia, Singapore, Malaysia, South Korea, New Zealand, and Southeast Asia
• Latin America - Brazil, Argentina, Mexico, and Rest of LATAM
• The Middle East and Africa - Africa and Middle East (Saudi Arabia, UAE, Lebanon, Jordan, Cyprus)