What’s Next in Gluten-Free

With the increasing demand for gluten-free products in the natural and specialty space, businesses need to stay updated on the latest trends and opportunities in this market. We are going to explore the state of the gluten-free market and highlight retail consumer insights, key trends, and growth opportunities for businesses to capitalize on. Moreover, we explore the performance of labeled gluten-free products in key categories like Performance Nutrition, Alcohol, Skin Care, Pet Treats, Snacks, and more.

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Sales of labeled gluten-free items are up but the number of units sold is down. This is in line with the broader food & beverage market and what it really means is that the increase in sales is being driven by the increase in price. But, when we take a look at what type of price increase, we’re seeing for the entire food & beverage category, we notice that labeled gluten-free products are seeing a smaller price increase relative to all products within food & beverage.

So, in the short term, this still means that they’re more expensive and that we’ve seen some people switching to either larger sizes or private brands. But in the long term, the premium of the labeled gluten-free and some of these other natural attributes is really shrinking that price gap, making the long-term outlook for these gluten-free products really strong.

Many labeled gluten-free products also carry other certifications or attributes, such as Vegan, Certified B Corp, or contain Super Mushrooms, according to the data. This indicates that consumers are increasingly seeking products that align with multiple lifestyle choices and preferences. For instance, products that were labeled gluten-free and organic saw a +6.6% increase in year-over-year sales. Additionally, functional ingredients that offer health benefits are gaining traction in the gluten-free market, suggesting a shift towards more health-conscious choices among consumers.

The plant-based market is another segment that intersects with the gluten-free market. The data highlights that consumers are looking for cleaner labels and allergen-friendly options in plant-based products, including those that are gluten-free. Particularly in the Frozen Plant-based Meat Alternatives subcategory, labeled gluten-free products saw a +11.2% increase in year-over-year sales, while those not labeled gluten-free saw a -2.7% decrease in sales. This presents an opportunity for businesses to develop innovative plant-based, gluten-free products to cater to the growing demand for these choices.

The gluten-free market presents significant opportunities for businesses in the natural and specialty space. By staying updated on the latest trends and opportunities using reliable data, businesses can innovate and cater to the evolving preferences of gluten-free consumers. From expanding into new product categories to aligning with other attributes and capitalizing on the plant-based trend, there are ample growth opportunities for businesses in this market. Understanding these trends and consumer preferences is crucial for businesses looking to succeed in the ever-changing gluten-free market.

CPG brands can use information like this and other data from SPINS to stay ahead of the curve and meet evolving consumer demands for gluten-free products.

1. Incorporating gluten-free products. By doing so, they can tap into the demand for the popular diet.
2. Differentiating their products to appeal to consumers who are looking for innovative ways to add to or change their diets.
3. Explore new categories. By incorporating keto friendly ingredients they can offer new and innovative products to add to a retailers mix.
4. Leveraging SPINS data. Insights like these help brands identify growth opportunities, track category performance, and optimize product offerings.

Retailers can use the information to make informed decisions about their product offerings, marketing strategies, and category management. Here are a few ways they can use this information:

1. Identify growth opportunities. Retailers can use SPINS data to identify growth opportunities in the gluten-free market and adjust their product offerings accordingly. By stocking popular gluten-free products and exploring new product categories, retailers can tap into the growing demand.
2. Cater to consumer preferences. Retailers can use the information to cater to consumer preferences by offering a variety of gluten-free products that meet different needs and tastes.
3. Highlight gluten-free options. By doing so, they can differentiate themselves from competitors and appeal to consumers who prioritize sustainability.
4. Optimize category management. By tracking category performance, identifying trends, and adjusting their product offerings they can stay ahead of the curve and meet evolving consumer demands for gluten-free products.