State of the Industry 2026: Chips deliver on textures, flavors
Producers are experimenting with innovative tastes and formats.



Chips are about as American as apple pie, and although the category didn’t grow much in terms of sales recently, producers are still experimenting with different flavors, proteins, and better-for-you formats in order to attract customers. Additionally, although shoppers are becoming more intentional about what they snack on, and how they spend their hard-earned money, they still want the crunch and savoriness of the snack, even those who are on GLP-1 medications.
Market data
The chips category was stagnant over the past year, according to Circana data from the past 52 weeks, ending on May 17, 2026.
The potato chips category as a whole took in $11.7 billion, with leaders including Frito Lay, which brought in $6.4 billion with a 1.3% decrease in sales; Kellanova (now owned by Mars) with $1.5 billion and a 2.5% decline; and private label, with $1.1 billion and a .8% drop.
Most of the category unfortunately suffered a decrease in sales, with the exception of Inventure Foods Inc. ($232 million, a staggering 126.1% increase); Herr Foods ($191.9 million, a 14.6% uptick); and Barcel USA ($116.2 million, 5.9% growth).
The apple chips category took in $23.8 million and grew by a healthy 19.2%. Bare Foods took the crown, with $14.5 million in sales and a 44% uptick, and private label followed, with $3.7 million and a 31.5% increase. Rind Foods rounded out the top three, bringing in $2.8 million but also experiencing a 31.5% decline.
Looking back
“Consumers are becoming more intentional about what they snack on but still want chips that deliver the texture and flavor that makes snacking worthwhile,” says Jason Wright, founder and CEO of Wilde. “Ultimately, taste still leads every purchasing decision, which is the foundational metric that we stick to at Wilde. If it’s not something you’re going to reach back for more of, it’s not worth it.”
Credit: Wilde“Protein and general functionality continues to be a main undercurrent in the category, with legacy players coming out with protein-fortified versions of their offerings,” he continues. “That said, most brands are pumping protein into their existing chip format via whey or pea protein baked in or added on top. Wilde starts with protein as the first ingredient—all-natural chicken breast—and builds from there.”
Credit: WildeThe past year included the release of many protein-laden snacks—for example, Quest Nutrition added Dill Pickle Original Style Protein Chips to its lineup in April, its first new Original Style chip flavor in more than 10 years. Additionally, Khloe Kardashian’s Khloud brand debuted Protein Chips, expanding its product line past popcorn.
Credit: Vilore FoodsEdgar R. Vargas, growth director at Vilore Foods, notes for the company’s Totis brand, known for its potato chips and cheese puffs, it was a foundation-building year: “We saw health trends (i.e gluten-free, clean label) and bold, authentic flavors like Chili-Lime, Habanero, Chamoy drove the most meaningful consumer shifts. Some of the challenges we've seen, especially for smaller brands, included input cost inflation and trade spend competition.”
In April, the company launched Totis Kettle Cooked Plantain Chips in three flavors, including Sea Salt, Chili Lime, and Churro. The chips are gluten-free, vegan, and non-GMO. Additionally, the Churro flavor is notable as it has no real direct competitor on shelf, according to Vargas.
Credit: WildeInternational flavors have been hot this year: in late April, Lay’s introduced LTO globally inspired chips, both in the U.S. and other countries. The American flavors included Argentinian-Style Steak with Chimichurri, Brazilian-Style Garlic Sauce, and French Onion Soup. The global flavors ranged from Canadian Maple Caramel, to English Bangers and Mash, to Mexican Tacos, plus more.
Sameer Mehta, CEO and co-founder, Smash Kitchen (a BFY brand co-founded by actor Glen Powell), says while the company’s salty snacks line only launched earlier this year, the brand has been encouraged by the strong consumer response.
Credit: Wilde“We're seeing continued demand for snacks that deliver great taste while being made with recognizable, higher-quality ingredients. Among our lineup, flavors like Rosemary and Hot Honey BBQ Kettle Chips have resonated particularly well,” he shares. “More broadly, consumers continue to seek out snacks that feel indulgent while aligning with their desire for simpler ingredients and products they feel good about serving their families. We believe that balance of flavor and ingredient quality will continue to shape the category moving forward.”
Looking forward
Mehta expresses optimism about the future of the category, saying consumers continue to snack frequently, but they're becoming more intentional about what they buy.
Credit: Smash Kitchen“Interest in products made with recognizable ingredients, as well as brands that bring meaningful flavor innovation, continues to grow,” he notes. “One of the biggest opportunities for the category is accessibility. Historically, better-for-you products have often carried premium price tags, making them inaccessible for many shoppers. We believe the future belongs to brands that can deliver ingredient quality, great taste, and value simultaneously.”
The challenge for manufacturers will be balancing those expectations while navigating ongoing cost pressures and a highly competitive retail environment, he adds—the brands that can successfully deliver all three will be best positioned for growth.
Trend-wise, protein-forward snacking will absolutely continue growing, Wright believes. He’s also betting that consumers continue to become more knowledgeable and curious about what they’re eating, and in turn shine the mirror back on the brands they’re patronizing to expect ingredient transparency and quality.
However, one of the biggest challenges faced within the functional chip category—protein specifically—is the ongoing whey protein shortage and the pressure that’s creating throughout the supply chain, he specifies.
“Many brands rely heavily on whey isolates and concentrates, so supply constraints and rising costs are forcing companies to rethink pricing, sourcing, and formulation strategies,” Wright explains. “Because we create snacks from real protein sources and own and operate our manufacturing from start to finish, we’re not facing these same shortages and risks.”
Vargas is cautiously optimistic about the future, noting he believes mainstream commodity formats will likely stay soft, but specialty, multicultural, and better-for-you platforms have a clear runway.
“Some of the trends we expect to keep building momentum include bold global flavors, certified claims (i.e. non-GMO), and family/multi-size value formats,” he adds. “We foresee the biggest challenge being trade spend inflation. As large players defend share, they flood the market with promotional support that makes it harder for emerging brands to compete for display and feature activity without similar budgets.”
We’re at an interesting moment in food, Mehta notes, in that consumers care more about ingredients than ever before, but they also aren't willing to sacrifice taste or pay a significant premium.
“At Smash Kitchen, we've built the brand around the belief that families deserve products made with ingredients they can feel good about at prices they can actually afford,” he relates. “Delivering on taste, ingredient quality, and value has been our focus from day one, and we believe that's where the industry is headed as well.”
Consumers are becoming much more ingredient-conscious, Wright adds: “It’s no longer enough to simply market a product as ‘high protein’—people want to know where that protein comes from and how minimally processed it is. I think brands built around real, whole-food ingredients will ultimately be in the strongest position moving forward.”
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