The global peanut butter products market size was valued at USD 11.1 billion in 2022 and is projected to expand at a CAGR of 5.5% from 2023 to 2030. The growth is attributed to the increasing consumer preference for healthier, convenient, and vegan food products. Moreover, the rising trend of creating nut butter-based snacks and smoothies is driving the demand for these products. Furthermore, the rising number of health-conscious consumers is leading to an increased demand for peanut butter products.

The increasing use of these products in the food industry is propelling the demand. Peanut butter is used in various recipes, such as cakes, cookies, smoothies, sauces, and ice creams, which are gaining immense popularity. It is also found in various bakery products, such as muffins and pies, which are gaining traction. Moreover, the rising demand for nut-based snacks is expected to boost the market growth.

Innovative product launches are anticipated to drive the market growth. For instance, in January 2021, JM Smucker’s announced the launch of a new type of peanut butter spread called Jif Power Ups. The product is available in three flavors – creamy, crunchy, and honey cinnamon. Furthermore, the growing demand for vegan food products is creating opportunities for players in the market. For instance, in December 2021, Nuts ‘N More launched a new vegan almond butter with a blend of pea protein, flaxseed, and chia seeds.

Furthermore, the rising popularity of plant-based diets is driving the demand for peanut butter products. Consumers are increasingly opting for plant-based foods due to the health benefits and high nutritional value associated with them. Demand for these products is expected to increase further in the coming years as consumers become more health-conscious.

In addition, the increasing demand for organic peanut butter is driving the market growth. Organic peanut butter is made from organic peanuts and is free from artificial flavors, preservatives, and other additives. Moreover, the rising trend of snacking is expected to drive the demand for peanut butter products in the coming years.

The crunchy peanut butter segment is expected to witness the highest growth rate over the forecast period. Peanut butter that is crunchy contains more peanuts and is considered to be the healthier option than smooth peanut butter. Furthermore, the rising health consciousness among consumers is driving the demand for crunchy peanut butter. According to a survey conducted by the American Peanut Council in 2020, 79% of Americans prefer crunchy peanut butter over smooth.

The natural peanut butter segment is expected to witness the fastest growth rate over the forecast period. The increasing awareness regarding the health benefits of natural peanut butter among consumers is driving the demand for this product. Natural peanut butter is produced without any artificial sweeteners, hydrogenated oils, or preservatives. Furthermore, easy availability of natural peanut butter in retail stores and online platforms is expected to drive the market growth.

The supermarkets and hypermarkets segment held the largest market share of over 44.2% in 2022. The growth of the segment is primarily driven by the rising consumer preference for supermarkets and hypermarkets as a primary source to purchase food products. Consumers prefer to purchase food products from these stores due to the convenience of shopping, availability of discounts, and wide product selection. In addition, these stores also provide a reasonable selection of products and assist customers in making rapid purchasing decisions for the required peanut butter product.

The online segment is estimated to expand at the highest CAGR of 10.4% over the forecast period. The increasing penetration of the internet and the growing number of online stores are driving the growth of the segment. The trend of online shopping is increasing rapidly due to the availability of a wide range of peanut butter products at competitive prices and the convenience of shopping from the comfort of home. Moreover, companies are launching online websites to increase their brand visibility among consumers. For instance, in December 2022, Crazy Richards launched an online store to offer a wide range of peanut butter products.

The conventional segment accounted for the largest revenue share of 81.3% in the year 2022. The increasing availability of peanut butter products in retail stores, supermarkets, and hypermarkets has increased the popularity of conventional peanut butter. Consumers prefer conventional peanut butter because of its low cost and diverse flavors. Furthermore, the natural ingredients of conventional peanut butter, such as peanuts, oil, sugar, and salt, make it healthier than other peanut butter products. The increasing health consciousness among consumers is also driving demand for this segment.

The organic segment is anticipated to expand at the highest CAGR of 8.2% over the forecast period. The increasing demand for organic peanut butter is due to its premium quality, which is free from artificial colors, preservatives, and flavors. Furthermore, the increasing awareness about the health benefits of organic products is propelling the demand for organic peanut butter. The growing trend of plant-based diets is also contributing to the growth of the segment. Additionally, the increasing demand for organic peanut butter from health-conscious consumers is also driving growth.

North America held the largest share of the global peanut butter market in 2022 and is expected to witness significant growth during the forecast period. The growth in the region is primarily attributed to the rising demand for convenient food products, increasing consumption of high-protein diet, and the presence of several prominent manufacturers. Moreover, the increasing number of vegan population in the U.S. and Canada is likely to fuel the demand for peanut butter products. For instance, in April 2022, Jif launched a new peanut butter product that is fortified with plant-based proteins in the U.S.

Europe held the second-largest market share in 2022 and is expected to witness healthy growth in the coming years. This can be attributed to the increasing demand for vegan & gluten-free products, growing health consciousness among consumers, and the presence of several prominent manufacturers in the region. Moreover, the rising demand for organic peanut butter is a major factor driving the growth in the region. For instance, in May 2022, Whole Earth launched a new organic peanut butter product, which is free from additives.

In this part of the peanut butter products business plan, we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your peanut butter products business. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions
The main source of revenues for a peanut butter products business comes from retail sales and wholesale sales. Other possible sources of profit include online sales, subscription boxes, and special promotions.

Projecting Expenses
In this section, all the regular expenses related to keeping the peanut butter products business running will be described. The list of operating expenses includes raw material costs, packaging costs, labor costs, marketing costs, administrative costs, taxes, and other business-related expenses.

Some of the major companies operating in the peanut butter products market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In July 2022, J.M. Smucker Co. launched a new line of organic peanut butters.

– In August 2022, Unilever NV launched a new line of reduced-sugar peanut butter.

– In September 2022, Kraft Heinz Co. launched a line of peanut butter-flavored snacks.

Some of the prominent players in the peanut butter products market include:

– J.M. Smucker Co.
– Unilever NV
– Kraft Heinz Co.
– The Hain Celestial Group
– Conagra Brands, Inc.
– B&G Foods, Inc.
– TreeHouse Foods, Inc.
– Semper AB
– Peanut Butter & Co.
– Wild Friends Foods

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global peanut butter products market based on product type, distribution channel, and region:

1. Product Type Outlook (Revenue, USD Million, 2017 – 2030)

– Natural Peanut Butter
– Organic Peanut Butter
– No-Stir Peanut Butter
– Reduced-Fat Peanut Butter
– Others

2. Distribution Channel Outlook (Revenue, USD Million, 2017 – 2030)

– Supermarkets & Hypermarkets
– Online
– Others

3. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

[Q]: What are the Key Drivers of the Peanut Butter Products Market?
[A]: The peanut butter products market is driven by factors such as increasing health consciousness among consumers, rising demand for convenience food products, availability of various flavors and types of peanut butter, and the growing popularity of organic and natural peanut butter.

[Q]: What are the Key Players in the Peanut Butter Products Market?
[A]: Prominent players in the peanut butter products market include Conagra Brands, Inc., The J.M. Smucker Company, Unilever PLC, Kraft Foods Group, Inc., Hormel Foods Corporation, The Hershey Company, SunOpta Inc., and others.

[Q]: What are the Key Regions Contributing to the Growth of the Peanut Butter Products Market?
[A]: The North America region is projected to be the largest market for peanut butter products during the forecast period, owing to the presence of a large number of consumers, changing dietary habits, and the presence of key players in the region.

[Q]: What are the Trends in the Peanut Butter Products Market?
[A]: The peanut butter products market is witnessing an increasing demand for natural and organic peanut butter products. Manufacturers are introducing innovative peanut butter products, such as peanut butter powder, which is gaining traction among health-conscious consumers. Additionally, manufacturers are introducing peanut butter products with various flavors and ingredients, such as chocolate, honey, fruit, and nuts.

[Q]: What are the Challenges Faced by Peanut Butter Products Market?
[A]: The high cost of organic and natural peanut butter products is a major challenge for the peanut butter products market. Additionally, the presence of several substitutes, such as almond butter and cashew butter, is also restraining the market growth.