The U.S. potato chips products market was valued at USD 7.2 billion in 2022 and is projected to expand at a CAGR of 6.7% from 2023 to 2030. The rising demand for healthier snacks, the growing health-conscious population, and the rising trend of snacking are some of the key factors driving the growth of the market. The increasing availability of a wide range of potato chips products, such as crunchy, flavored, and baked chips, is expected to further drive the growth of the market during the forecast period.

In addition, the rising demand for natural potato chips products with fewer additives is estimated to boost the market growth. Furthermore, the growing popularity of online retailing, along with the increasing availability of potato chips products through e-commerce platforms, is expected to fuel the growth of the market. Moreover, the growing demand for organic, gluten-free, and vegan potato chips products is expected to create lucrative opportunities for the market in the coming years.

Moreover, the market is witnessing a surge in the demand for innovative flavors, such as cheddar, sour cream and onion, and jalapeno. The manufacturers are focusing on developing innovative and healthy potato chips products to expand their consumer base. For instance, in November 2021, Frito-Lay, a subsidiary of PepsiCo, launched a new line of snack chips, called Off The Eaten Path, which features a variety of flavors such as Sea Salt & Cracked Pepper, Roasted Red Pepper, and White Cheddar.

The key players active in the U.S. potato chips products market are focusing on product launches, expansions, and collaborations to increase their market presence. For instance, in August 2021, McCain Foods announced the expansion of its manufacturing facility in Burley, Idaho, to increase its production capacity of potato chips products. Furthermore, in December 2021, Utz Quality Foods announced the launch of its new line of potato chips products, called Variety Bites, which offers a mix of flavors in a single bag.

The growing popularity of potato chips products among the health-conscious population due to its low-calorie content is expected to drive the market growth. Furthermore, the growing number of health clubs and gyms across the United States is expected to fuel the demand for low-calorie snacks. Additionally, the easy availability of potato chips products through retail outlets and e-commerce platforms is expected to create lucrative opportunities for the market in the coming years.

The plain salted segment led the market and accounted for a share of around 38.9% in 2022. Increasing demand for healthy snacks in the U.S. is driving the growth of the market. According to an article published by Statista in January 2019, 65% of consumers in the U.S. preferred plain salted potato chips as their favorite snack. Moreover, the segment is the most popular among all age groups and is anticipated to generate maximum revenue in the near future.

The flavored segment is expected to expand at the fastest CAGR of 7.5% over the forecast period. Growing demand for flavored potato chips among consumers is driving the growth of the segment. According to an article published by the University of California-Davis in October 2020, flavored potato chips are increasingly becoming popular among consumers in the U.S., as they offer a variety of flavors to suit different taste preferences. Furthermore, increasing health-consciousness among consumers and rising demand for healthy snack products are also driving the growth of the segment.

The supermarkets and hypermarkets segment captured the major share of over 48% in the U.S. potato chips products market in 2022. The growth of the segment is mainly driven by the rising consumer inclination towards supermarkets & hypermarkets as a primary source to purchase potato chips. According to a study by National Potato Council in 2020, the U.S. potato chips market sales exceeded USD 8.4 billion in 2019, with almost two-thirds of sales stemming from supermarkets and hypermarkets. This is due to the wide availability of potato chips products from multiple brands in these stores.

The convenience stores segment is anticipated to expand at the highest CAGR of 9.7% over the forecast period. The growth of this segment is mainly attributed to the rising demand for convenience foods among consumers. Furthermore, the rising number of convenience stores in the U.S. is also expected to fuel the segment growth over the forecast period. According to the National Association of Convenience Stores (NACS), the convenience store industry in the U.S. generated approximately USD 650 billion in total sales in 2020.

The U.S. potato chips products market is dominated by the ready-to-eat segment, which accounted for a revenue share of 66.4% in the year 2022. The rising demand for convenience food products in the U.S. is driving the growth of this segment. The increasing number of working women and single-parent households in the U.S. has increased the demand for convenience foods, such as ready-to-eat potato chips. Moreover, the increasing trend of snacking among the U.S. population is driving the demand for ready-to-eat potato chips.

The frozen segment is anticipated to expand at the highest CAGR of 10.2% over the forecast period. The increasing number of frozen food products being offered by major players, such as McCain Foods, has increased the availability of frozen potato chips in the U.S. Moreover, the increasing demand for frozen potato chips from foodservice outlets, such as restaurants, fast-food chains, and cafeterias, is also driving the growth of this segment.

North America held the largest share in the global market in 2022 and is expected to remain dominant throughout the forecast period. This is attributed to the high consumption of potato chips in the region, especially in the United States. Furthermore, the leading manufacturers in the region, such as Frito-Lay and Kettle Brand, are continuously introducing new flavors, textures, and packaging designs to attract the customers. For instance, in October 2021, Kettle Brand launched the first-ever line of plant-based vegan potato chips, made with cassava and coconut oil, in the U.S.

Europe is expected to witness the second-highest growth in the coming years. This is attributed to the rising consumer preference for healthier snacks and the growing demand for potato chips in the region. Moreover, the presence of a large number of potato chips manufacturers, such as Walkers, Pringles, and Golden Wonder, is further driving the growth of the market in the region. In addition, growing investments by companies in the region to expand their production capacity is expected to spur the market in the coming years. For instance, in November 2021, Walkers announced the construction of a new potato chips production facility in England.

In this part of the U.S. Potato Chips 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 potato chips business. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions
The main source of revenues for a potato chips business comes from sales of the product, online orders, and sales through distributors. Here you will find a list with a description of each of them and other possible sources of profit such as wholesale sales and sampling programs.

Projecting Expenses
In this section, all the regular expenses related to keeping the U.S. Potato Chips Products business running will be described. The list of operating expenses includes ingredients and materials, packaging, labor costs, advertising, transportation, and others.

Some of the key companies operating in the U.S. potato chips 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 August 2022, Frito-Lay launched its new flavor of potato chips, the Sweet & Tangy BBQ chips.

– In October 2022, Kettle Brand launched a new line of organic potato chips.

– In November 2022, Utz Quality Foods launched a new line of organic potato chips.

Some of the prominent players in the U.S. potato chips market include:

– Frito-Lay North America, Inc.
– Kettle Brand
– Utz Quality Foods
– Herr Foods Inc.
– Pringles
– Boulder Canyon Foods
– Lay’s
– Cape Cod Potato Chips
– Golden Flake Snack Foods
– Cape Cod Potato Chips

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 U.S. potato chips products market based on product, distribution channel, and region:

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

– Plain
– BBQ
– Sour Cream and Onion
– Others

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

– Supermarkets & Hypermarkets
– Specialty Stores
– Online
– Others

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

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

[Q]: What is the Growth Prospects of the U.S. Potato Chips Market?
[A]: The U.S. Potato Chips market is expected to witness a CAGR of 5.8% over the forecast period. This growth is driven by factors such as the increasing demand for convenience food, a shift in consumer preferences towards healthier snacks, and the rising popularity of flavored potato chips.

[Q]: What are the Key Drivers of the U.S. Potato Chips Market?
[A]: The key drivers of the U.S. potato chips market include the increasing demand for convenience food, a shift in consumer preferences towards healthier snacks, and the rising popularity of flavored potato chips.

[Q]: Who are the Major Players in the U.S. Potato Chips Market?
[A]: Major players in the U.S. potato chips market include Frito-Lay, Kettle Foods, Inc., Utz Quality Foods, Inc., Cape Cod Potato Chips, and Herr Foods, Inc.

[Q]: What is the Regional Outlook for the U.S. Potato Chips Market?
[A]: The U.S. potato chips market is expected to witness the highest growth in the North American region due to the rising demand for convenience food, a shift in consumer preferences towards healthier snacks, and the rising popularity of flavored potato chips.

[Q]: What are the Future Opportunities in the U.S. Potato Chips Market?
[A]: Future opportunities in the U.S. potato chips market include the introduction of new flavors, the use of organic ingredients, and the development of sustainable packaging solutions.