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New grape varieties drive quality pressures in snacking

Table grapes are now capturing a share of fresh fruit snacks (valued at $2.745b for Mar-23) and raising the competitive bar for other fruits.

This is driven by changing the varietal footprint through investment, time, and commercial alignment and has resulted in better taste, texture, and home shelf-life, leading to increased demand in both volume and value, and is reflected in stronger prices. The early season repeat purchase patterns in Australia are up, overcoming the previous Achilles heel of early season discouragement that had historically lost them 20% of their household shopping trips.

As retailers look to accommodate the stronger demand, it has increased the performance pressure on other fresh fruit categories. Late-season apples and summerfruit may be impacted by this trend, with reduced eating quality failing to meet consumer expectations. This could drive an irreversible substitution at this time of year.

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