The French Fries Market is estimated to be valued at USD 15.00 billion in 2023 and is expected to exhibit a CAGR of 4.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
French fries are a popular snack around the world, made from potatoes and deep-fried until crispy. These fries are widely consumed due to their addictive taste and convenience. The increasing trend of fast food consumption and the growing popularity of food outlets, such as quick-service restaurants and food trucks, are driving the demand for French fries.
Market Key Trends:
One of the key trends in the French Fries Market is the growing demand for organic and healthier alternatives. With the rising health consciousness among consumers, there is an increasing demand for organic French fries that are free from artificial additives and preservatives. Companies are expanding their product portfolio to include organic French fries to cater to the growing demand and capture a larger market share. Organic French fries are made from organically grown potatoes and are prepared using natural ingredients, making them a healthier choice for consumers.
Porter’s Analysis
Threat of New Entrants: The French fries market has a moderate threat of new entrants. While there may be a low barrier to entry in terms of setting up a French fries production facility, the market is already dominated by established players. These key players have strong brand recognition and economies of scale, making it difficult for new entrants to compete on price and distribution.
Bargaining Power of Buyers: The bargaining power of buyers in the French fries market is moderate. Buyers, such as fast-food chains and restaurants, have the ability to negotiate prices and terms with suppliers to some extent. However, the concentrated nature of the market means that buyers may have limited alternatives when it comes to choosing suppliers, giving suppliers some leverage.
Bargaining Power of Suppliers: The bargaining power of suppliers in the French fries market is moderate to high. Potato suppliers hold significant power as they can dictate prices and quality standards. Additionally, suppliers with unique or patented varieties of potatoes may have even greater leverage. However, large French fries manufacturers may have multiple suppliers or long-term contracts, allowing them to exert some control over pricing.
Threat of New Substitutes: The threat of new substitutes in the French fries market is low. French fries are a staple in the fast-food industry and have a strong consumer demand. While there may be alternative snacks or side dishes available, such as onion rings or sweet potato fries, they do not pose a significant threat to the popularity and market share of French fries.
Competitive Rivalry: The competitive rivalry in the French fries market is high. The market is dominated by a few major players, including McCain, JR Simplot, Lamb-Weston, and Aviko. These companies compete on factors such as price, quality, and distribution network. Additionally, the market is characterized by ongoing product innovation and marketing efforts to gain a competitive edge.
Key Takeaways
The Global French Fries Market Demand is expected to witness high growth, exhibiting a CAGR of 4.7% over the forecast period from 2023 to 2030. This growth can be attributed to the increasing popularity of fast food and quick-service restaurants globally. The convenience and widespread availability of French fries as a side dish contribute to their growing demand.
In terms of regional analysis, North America is the fastest-growing and dominating region in the French fries market. This can be attributed to the presence of major fast-food chains and high consumer demand for convenient and quick meals. The United States, in particular, represents a significant market for French fries due to its large population and food culture.
Key players operating in the French fries market include McCain, JR Simplot, Lamb-Weston, Aviko, Farm Frites, Ore-Ida, Cascadian Farm Organic, Alexia Foods, Trader Joe's Fan, Checkers & Rally's, and Arby's IP Holder. These companies have established themselves as leaders in the industry, leveraging their strong brand recognition and extensive distribution networks to maintain their market share.
Read More- https://www.newsstatix.com/french-fries-market-size-share-demand-and-forecast-analysis/
