Cookie and cracker sales have been lackluster lately as consumers grapple with the food inflation of the past couple of years, but producers are working to give snackers what they want, which is exciting new flavors and formats, exceptional quality along with better-for-you (BFY) benefits.

“The cookie and cracker categories have seen new entrants providing limited-time offers (LTOs), co-licensed, new forms, flavor-forward products, as well as functional benefits,” said Sally Lyons Wyatt, global executive vice president and chief advisor consumer goods and foodservice insights, Circana. “The benefits include claims like grain-free, gluten-free, 1 gram of sugar and 10 grams of protein, etc. LTOs continue to be fan favorites, and we have seen them in market with movie tie-ins and co-licensing. Lastly, bolder flavors have been introduced to enhance fan favorites like cheese.”

Sales of cookies rose 3.8% in dollar sales — reaching $11.4 billion — for the 52 weeks ending July 14, but unit sales remained relatively flat, slipping 0.2%, according to Circana. The $10.9 billion cracker market saw sales increase 3.1%, but unit sales dropped 2.2% for the same period.

“Despite economic challenges and inflationary pressures, the cookies and crackers categories are not experiencing a downturn in sales but rather are displaying flat growth,” said Pooja Lal, analyst, US foodservice reports and Mintel Menu Insights. “Brands can work toward growing sales by focusing on innovation and consumer engagement.”

New crackers launched between April 2023 and March 2024 included a variety of healthful claims, including 42% that are free of GMOs, 37% with no additives or preservatives, 24% gluten-free, 23% vegan and 12% organic, according to Innova Market Insights. BFY claims in the cookie and cracker categories are gaining traction, Lal said.

“In the cracker category, consumers are looking for a balance between indulgence and BFY features,” she explained. “Healthier attributes such as low sodium, whole grains and all-natural ingredients are important to buyers. Flavor innovation is also crucial, with six in 10 snackers prioritizing taste. Recognizable and natural ingredients are particularly appealing, with 74% of consumers preferring crackers with familiar components.”

Rustic Bakery, Petaluma, Calif., takes pride in its clean label, organic artisanal crackers that are developed by chefs. 

“We want that back label to be anything that avoids the lab words,” said Dan Mader, chief executive officer at Rustic Bakery. “We’re basically taking water, salt and flour. Part of this is made into a starter, part of it gets made into flatbread, and we bring it together. We talk a lot about taking these simple things and making extraordinary items out of them.”

The company’s sourdough flatbread crackers are made with a 19-year-old starter that was used when the products were created in 2005. 

Winning cracker claims usually include clean labels and skew toward those avoiding certain ingredients, Lyons Wyatt said. 

“A few examples include products with no/low/less saturated fat claims growing dollars at 15.6%, and volume sales up 4.8%,” she said. “Cracker products with gluten-free claims saw growth across all three metrics (up 5.3% in dollars and 3.4% in volume). We have seen growth in products with no/low cholesterol claims, no/low/less sugar claims and natural sweetener claims. Multigrain cracker claims have been getting a boost from consumers with dollars up 2.3%, and volume up 4.9%.”

Functional benefits are driving growth in the cookie category as well, Lyons Wyatt said.

“Cookies with protein claims have seen dollar sales increase 13.6%, and volume sales increase 19.9%,” she said. “Cookies with natural sweetener claims grew 11.6% in dollar sales and 12.6% in volume sales, while no-sugar claims also grew across dollars, up 2.2%, and volume sales up 3.4% for the 52 weeks ending Aug. 11. We continue to see cookies with vegan/vegetarian claims grow, up 6.5% in dollars and 11.9% in volume sales.”

Both cookies and crackers benefit from familiar health benefits such as protein and fiber claims while maintaining good taste and convenience, Lal said.

“For cookies, there’s a growing interest in BFY options with 34% of consumers interested in healthier cookies, although some skepticism remains about the health benefits cookies can offer,” she said. “Innovations like grain-free versions and those with higher protein or plant-based ingredients are expanding the market. Brands are evolving as consumers seek a multi-faceted approach to eating that can serve more than one purpose.”

C. Krueger’s Finest Baked Goods, Blacklick, Ohio, sells cookies that are non-GMO and preservative-free, an important distinction for the company that launched in 2018. It recently started offering a chocolate chip vegan cookie.

“We are finding that our business is benefiting from our cookie fans that are gluten-free and vegan,” said Aaron Sharpe, national wholesale manager. “The healthy kick is up and coming.”

Mavericks Snacks, Santa Monica, Calif., produces cookies and crackers with a variety of BFY attributes like reduced sugar, whole grains, free from artificial ingredients and Non-GMO Project verified. The company is interested in reinventing classic snacks for today’s families.

 “Our plant-based, lower-in-sugar cookies were made with families in mind, encouraging them to indulge guilt-free with crave-worthy flavors and feel-good ingredients,” said Melissa Ader, brand activation manager, Mavericks Snacks. “Our newest innovation to hit the market — nostalgic, better-for-families sandwich crackers baked with 8 grams of whole grains per serving — are now available in both a Peanut Butter and Cheddar Cheese variety.”

The company is responding to changing consumer attitudes, said Tina Pate, vice president of marketing at Mavericks Snacks.

“In the past year, there’s been a palpable shift in family snacking — largely driven by the demand for healthy options that are just as convenient and craveable as their mainstream counterparts,” she said. “At Mavericks, we don’t believe in families having to compromise, and we foresee this trend of ‘healthful indulgence’ with a twist of nostalgia to continue flourishing.”

Kelli Watts, founder and CEO of Savor Patisserie, Dallas, which sells a wide variety of macarons and meringue cookies, is seeing a trend toward more health-conscious decisions when it comes to snacking.

“Consumers are moving away from wanting an enormous frosted cookie and toward something lighter that will complement their healthy lifestyle,” she said. “Our meringues are perfect because they are only 2 calories each, gluten-free, dairy-free and fat-free.” 

This article is an excerpt from the October issue of Baking & Snack. To read the entire feature on Cookies & Crackersclick here.