Peanut Butter Market

Peanut Butter Market Outlook

The peanut butter market is in line to be valued at USD 8,040.9 million by 2034. This is a rise from the 2024 value, which is predicted to be USD 5,470 million. The progress of the market is expected to be steady for the forecast period, happening at a CAGR of 3.9%.

The growing health consciousness is a major factor supporting the market expansion. The market is driven by increasing health consciousness and demand for high-protein dietary items among millennials and younger generations.

The rising cases of chronic illnesses such as high blood pressure and heart disease are expected to generate opportunities in the peanut butter market, as customers are worried about their health. Shifting lifestyles lead to more desire for quick meals, helping along the progress of the industry.

Key Market Highlights

• Sale of peanut butter is multiplying through its positioning as a healthy food option. The lack of preservatives in the product is also helping its demand among the natural crowd, as is the popularity of plant-based diets.
• Clean-label, non-GMO and gluten-free versions of the product are climbing in popularity as consumers grow more conscious of their dietary intake.
• Peanut butter is thriving online as a considerable number of consumers are shifting to buying food products from e-commerce websites.

Attributes	Details
Peanut Butter Market Value in 2024	USD 5,470 million
Market Value in 2034	USD 8,040.9 million
CAGR from 2024 to 2034	3.9%

Peanut Butter Market Analysis During Historical Period and Forecast Period

The historical period saw stable progress for the peanut butter industry, even with fluctuating consumer preferences, as health consciousness continued to build in people’s minds.

Attributes	Details
CAGR from 2019 to 2023	3.8%

Short-term Analysis (From 2018 to 2022):

During this time, the peanut butter industry expanded steadily, owing to increased health consciousness and the launch of novel product varieties. Robust peanut butter demand, spurred by shifting consumer preferences and an emphasis on natural ingredients, resulted in increased market penetration.

Mid-term Analysis (From 2023 to 2028):

Progress in the mid-term is emphasized to be propped up by sustainability and organic trends. Manufacturers are advised to keep coming up with distinctive products to capture a larger share of the market.

Long-term Analysis (From 2028 to 2033):

Over the long term, the adoption of plant-based diets is supposed to be significant, which is set to be a benefactor for the industry. Technological advancements in food technology are also a notable advancing factor. In the long term, a significant amount of financial resources are expected to be poured into research and development.

Key Drivers of Growth in the Peanut Butter Market

Rising Urbanization and Disposable Income Propel Market Growth for Peanut Butter

With the increasing cases of obesity, people are opting for healthier breakfasts and snacks. The expanding urbanization and rising disposable incomes are compelling the market’s value to increase.

The increased frequency of chronic illnesses such as high blood pressure and heart issues restricts the peanut butter market growth. The growing awareness of the health benefits of peanut oil and butter is a major factor propelling the market demand.

Interplay of Convenience and Health in On-the-Go Food Preferences

The trend of on-the-go-food options is projected to rise. Nowadays, many people lack cooking skills and have a higher level of digital literacy, leading them to seek easily accessible, nutrient-dense food. This has been attributed to the current trend of food-on-the-go, which is also stimulating the demand for peanut butter.

Category-wise Outlook

Crunchy Peanut Butter to Hold a Significant Market Share by Product Type

the crunchy peanut butter segment is set to dominate the peanut butter market, holding a 42.0% market share in 2024.

Leading Product Type	Crunchy Peanut Butter
Segment Share	42%

• There is a rising preference among consumers for the nutty texture that crunchy peanut butter offers.
• The crunchy peanut butter's appeal originates from its capacity to satisfy various consumer tastes.
• The product's broad appeal among peanut butter lovers is driving the segment’s growth.

Rising Sales of Peanut Butter through B2C Distribution Channel

Leading Distribution Channel	B2C
Segment Share	72.5%

The B2C distribution channel is predicted to reign supreme in 2024, with an anticipated share of 72.5%. Factors ennobling the segment are:

• Packaging is playing a vital role in consumer interest in the product, as convenient packaging and sizing are making the product even more attractive.
• Both physical stores and internet sites are housing large stocks of peanut butter, making B2C sale easy.
• Nuclear families are relying heavily on convenient breakfast items like peanut butter, boosting the B2C segment.

Country-wise Analysis

The peanut butter sector is examined through the lens of prominent nations like the United States, Germany, the United Kingdom, India, and China. The different factors influencing demand across these countries are also looked at.

Countries	CAGR through 2034
India	5.3%
China	4.3%
United States	3.2%
Germany	2.7%
United Kingdom	2.2%

Peanut Butter Industry in India

The industry in India is set to progress at a CAGR of 5.3% for the forthcoming decade. Some factors influencing demand are:

• As an increasing percentage of the Indian population remains chronically online, the e-commerce presence of the product is being increased to fuel sales in India.
• Mammoth vegetarian population of India offers up a lucrative consumer base for stakeholders.
• Healthy snacking is increasing in prominence in India, with peanut butter-assisted meals being looked upon as a wholesome breakfast or snack option.

Peanut Butter Industry in China

China's market is expected to develop at a CAGR of 4.3% through 2034.

• Westernization of Chinese eating habits is extending to breakfast and as such Chinese people are more likely to opt for breakfasts incorporating peanut butter.
• Demand for organic and natural snacks is on the rise as a greater number of Chinese people are following healthy diets. Clean-label foodstuff too is preferred as cases of contaminated food products have come in the news in the country.
• Inherently flexible Chinese cuisine allows for a plethora of ingredients from all over the world to be a part of fusion meals, including peanut butter.
• Peanut butter brands in China are drawing in younger consumers by the employment of creative strategies, like collaborating with social media influencers.

Peanut Butter Industry in the United States

The United States peanut butter market is anticipated to display a sluggish CAGR of 3.2% through 2034.

• The United States peanut butter industry experiences a sharp increase in demand for natural and organic peanut butter substitutes due to rising health consciousness.
• Online shopping for food products in the United States is harking closer to becoming the norm, which is widening the distribution network set up for suppliers.
• Consumers in the United States are giving the thumbs up to sustainable packaging and peanut butter brands are obliging them by producing eco-friendly packaged products.

Peanut Butter Industry in Germany

The German peanut butter business is expected to expand at a 2.7% CAGR through 2034.

• Premium peanut butter distribution channels are growing in Germany due to the expansion of specialized shops and organic markets.
• Fair trade certificates and ethical sourcing methods increasingly influence purchasing choices in the German peanut butter market.
• The increasing inclination of German consumers towards freshness and personalization is observed in the DIY peanut butter-making trend at home.

Peanut Butter Industry in the United Kingdom

The peanut butter sector in the United Kingdom is expected to evolve at a weak 2.2% CAGR through 2034.

• Creative packaging designs and portable formats cater to the United Kingdom’s fast-paced consumer base.
• The rising popularity of peanut butter as a healthy snack results from health-conscious advertising and influencer endorsements from fitness professionals.
• The sustainable sourcing methods gain traction and impact customer preferences and brand loyalty, driving market growth.

Competitive Analysis

With numerous established competitors, the peanut butter business is extremely competitive. The well-established brands, extremely effective production methods, and distribution networks are driving the market’s progress. Other options, including almond butter and other nut butter substitutes, are available to consumers. Product differentiation is a key concern for industry players, with the strategy vital for them to distinguish themselves.

Notable Advancements

Company	Details
Zotac Gaming	February 2022 saw Zotac Gaming release a peanut butter built made especially for gamers. The world's first gamer's peanut butter. REAL freeze-dried blueberry and strawberry are added into trademark peanut butter.
Snickers	A mouthwatering limited-edition Snickers Creamy Peanut Butter bar was introduced in Australia in February 2022. Encased in the rich, delectable Snickers chocolate that fans have come to adore, the limited-edition Snickers Creamy Peanut Butter bar is made with actual peanut butter, silky smooth caramel, and the pure goodness of freshly ground peanuts.
Obsidian Peanut Butter Stout	In January 2022, Obsidian Peanut Butter Stout launched in 2022. Deschutes brewed it with milk sugar and peanut butter to give it that smooth texture. As whiskey and peanut butter are considered ideal American goods, an authentic American Stout would be the perfect vehicle for delivering them.
Chobani	In September 2021, Chobani announced that it is planning to join Chobani Ends Child Hunger’s peanut butter section.

Vital Peanut Butter Manufacturers

• Procter & Gamble
• Unilever
• The J.M. Smucker Company
• Hormel Foods Corporation
• Boulder Brands Inc.
• Kraft Canada Inc.
• Algood Food Company Inc.
• Kellogg Company
• Conagra Brands, Inc.
• Kraft Foods
• Mars, Inc.
• Oetker Group
• The Hershey Company
• Unilever Plc
• Associated British Foods plc
• Others

Table of Content

• 1. Executive Summary
• 2. Market Overview
• 3. Market Background
• 4. Global Market Analysis 2019 to 2023 and Forecast, 2024 to 2034
• 5. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Product Type
  • 5.1. Smooth Peanut Butter
  • 5.2. Crunchy Peanut Butter
  • 5.3. Chocolate Peanut Butter
• 6. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Distribution Channel
  • 6.1. B2B
  • 6.2. B2C
    • 6.2.1. Hypermarket/Supermarket
    • 6.2.2. Convenience Stores
    • 6.2.3. Mass Grocery Retailers
    • 6.2.4. Specialty Stores
    • 6.2.5. Online Retailers
• 7. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region
  • 7.1. North America
  • 7.2. Latin America
  • 7.3. Western Europe
  • 7.4. Eastern Europe
  • 7.5. South Asia and Pacific
  • 7.6. East Asia
  • 7.7. Middle East and Africa
• 8. North America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 9. Latin America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 10. Western Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 11. Eastern Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 12. South Asia and Pacific Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 13. East Asia Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 14. Middle East and Africa Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 15. Key Countries Market Analysis
• 16. Market Structure Analysis
• 17. Competition Analysis
  • 17.1. Procter & Gamble
  • 17.2. Unilever
  • 17.3. The J.M. Smucker Company
  • 17.4. Hormel Foods Corporation
  • 17.5. Boulder Brands Inc.
  • 17.6. Kraft Canada Inc.
  • 17.7. Algood Food Company Inc.
  • 17.8. Kellogg Company
  • 17.9. Conagra Brands, Inc.
  • 17.10. Oetker Group
• 18. Assumptions & Acronyms Used
• 19. Research Methodology