Year: 2018 and 2026
Market size: $7.8 billion and $9.9 billion, respectively
July 13 is National French Fry Day in the United States but most residents do not need an excuse to eat one of their favorite fried foods. Per capita, Americans eat an estimated 30 pounds of french fries per year. Today’s market size shows the total revenues for french fries in North America for 2018 and projected for 2026. The United States accounted for more than four-fifths of the North American market in 2018. Growth is expected due to the increasing consumption of convenience foods, fried foods, and fast foods. This growth will be tempered, however, by an increasingly health-conscious population. Fried foods are linked to obesity and cardiac problems. To appeal to these health-conscious consumers, companies have introduced low carbohydrate, air-fried, and baked varieties.
Frozen french fries dominated the market in 2018 and are expected to continue to do so through 2026. Revenues in this segment are also expected to experience the highest compound annual growth rate over this time period. Frozen french fries are easier to store and have a longer shelf life than the fresh-cut variety.
Consumers in the 20-35-year-old range accounted for the highest share of consumers in 2018. People of this age group tend to snack frequently and consume more fast food, packaged food, and ready-to-eat meals than other age cohorts mainly due to their busy lifestyles.
Quick-service restaurants held the highest market share in 2018, followed by other types of restaurants and institutions. The quick-service restaurant segment is expected to experience the highest compound annual growth rate through 2026 as more consumers prefer fresh food cooked in a short amount of time at an affordable price. In a survey conducted by Top, a marketing firm in San Francisco, consumers in the United States selected McDonald’s fries as their favorite, followed by Chick-fil-A, Five Guys, Wendy’s, and Arby’s.
To increase profitability and market share french fry manufacturers rely on new product launches, company acquisitions, and business expansion. Some major firms in the North American market (in alphabetical order) include Agristo NV, Alexia Foods, Aviko (Royal Cosun), Cavendish Farms, J.R. Simplot Co., Lamb Weston Holdings Inc., Luxfries BVBA, McCain Foods Ltd., Nathan’s Famous Inc., and Ore-Ida. McCain Foods produces one-third of the world’s french fries.
Sources: Sumesh Kumar and Roshan Deshmukh, “North America French Fries Market by Product (Regular and Frozen), Application (Below 18 Years, 20-35 Years Old, and Above 35 Years Old), and Distribution Channel (QSR, Institutional, Restaurants and Others): Opportunity Analysis and Industry Forecast, 2019-2026,” Allied Market Research Report Overview, January 2020 available online here; “North America French Fry Market Expected to Reach $9,948.3 Million in 2026,” Allied Market Research Press Release available online here; “National French Fry Day — July 13, 2021,” National Today available online here.Image source: StockSnap, “french-fries-salt-food-brown-food-923687,” Pixabay, September 4, 2015 available online here.