July 21, 2024
Bacon Market

The Increasing Demand For Convenience Snacks Set To Accelerate Growth In The Bacon Market

Market Overview:

The bacon market involves the production, processing, distribution, and sales of processed pork belly made from cured or smoked pork cuts. Bacon products provide easy snacking options with their savory flavor and are frequently used as ingredients in sandwiches, burgers, pasta dishes and many more culinary creations. The rising popularity of bacon among younger consumers and the growth in foodservice industry continue to boost overall market demand. Additionally, manufacturers are leveraging various flavors, nutrition, and preservative-free clean label trends to expand their product portfolios and attract more consumers.

Market Dynamics:

The increasing preference for convenience snacking is a major driver for the bacon market. Changing lifestyles and busy schedules leave consumers with little time for elaborate meals, fueling the demand for easy to consume snacks. Bacon products provide an on-the-go snacking solution. Additionally, the growth of the foodservice industry serves as another key driver. Foodservice establishments ranging from restaurants, cafes to convenience stores extensively feature bacon dishes and sandwiches on their menus. The growing demand from these channels continually supports market revenue. However, health concerns regarding excessive sodium and fat content in processed meats pose a challenge. In response, manufacturers are focusing on reducing sodium and developing leaner bacon options made with vegetarian diet-fed pigs.

The global Bacon Market Size is estimated to be valued at US$ 24937.01 Mn in 2023 and is expected to exhibit a CAGR of 3.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Segment Analysis

The bacon market is dominated by the retail segment, accounting for over 60% of the global market share in 2023. The retail segment includes bacon sales through hypermarkets, supermarkets, convenience stores, and other retail channels. Bacon is considered a staple ingredient in many households globally and finds wide usage in recipes. Hence, most consumers prefer grocery shopping for bacon from retail stores where they can buy in small quantities as per their needs.

PEST Analysis

Political: The bacon market is governed by regulations related to animal welfare, environmental protection, and food quality and safety set by regulatory bodies like FDA and USDA. Stricter norms regarding antibiotic usage and carbon emissions can impact production costs.
Economic: A strong economy and rising disposable incomes drive higher meat consumption including bacon. The market is positively influenced by the growing food service industry. However, an economic slowdown could impact demand from food retail and foodservice sectors.
Social: Changing dietary habits and focus on health and wellness have led to a rise in flexitarian or vegetarian diets globally impacting meat intake. However, bacon is still enjoyed in many cultures and considered a flavor-enhancing ingredient.
Technological: Automation of slaughtering and processing has increased production capacities. Advances in packaging using vacuum skin packaging and modified atmosphere packaging help extend bacon shelf life.

Key Takeaways

The global bacon market is expected to witness high growth, exhibiting CAGR of 3.1% over the forecast period 2023 to 2030, driven by rising popularity of convenience foods incorporating bacon. The market size for bacon is estimated to reach US$ 31207.93 Mn by 2030.

Regionally, North America dominated the bacon market in 2023 with over 35% market share owing to large pork production and strong demand from food chains and households in countries like US and Canada. Asia Pacific is expected to be the fastest growing market for bacon exhibiting 4.2% CAGR during the forecast period due to rising breakfast consumption and popularity of western cuisines in major countries like China, India and Vietnam.

Key players operating in the bacon market are Hormel Foods Corporation, Tyson Foods Inc., The Kraft Heinz Company, WH Group Limited, JBS SA, Fresh Mark Inc., Seaboard Corporation, Maple Leaf Foods, Hill Meat Company, Peer Foods Group Inc., Kunzler & Company Inc., and Jones Dairy Farm. These players are focusing on capacity expansion, new product launches catering to ethnic cuisines and investments in sustainable production to strengthen their market position.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it