Guacamole Market Size, Share, and Industry Analysis By Flavor (Original/Unflavored, Mild, and Spicy), By End-use (Food Processing, Food Service, and Household), By Packaging Type (Glass Bottles, Pouches, and Plastic Containers), By Distribution Channel (B2B and B2C), and Regional Forecast, 2025-2032

Guacamole, also referred as 'guac', is one of the most popular Mexican dishes. It is an avocado-based dip, spread, or salad used in Mexican cuisine. It is a nutrient-dense spread that provides heart-healthy foods, rich in gut-friendly fiber and mainly includes avocados, salt, lime juice, tomato, and other ingredients. Guacamole is one of the emerging spreads gaining popularity among consumers who follow keto and vegan diet due to its low-carb, high protein and manufactured from plant-source ingredients.  

Increasing urbanization and growing population has accelerated the growth of the food industry through small- and large-scale fast-food businesses in developing countries. Owing to its nutritional richness, such as antioxidants, fiber, potassium, and healthy fats, the adoption of the product in snack applications, including sandwiches, burritos, and salads, is increasing. The changing consumer food preferences and shift toward a healthy lifestyle are the factors propelling the expansion of the global guacamole market.

The consumption of avocado has increased significantly in the U.S. over the past years and as per data provided by the U.S. Department of Agriculture (USDA), the per capita consumption of avocado increased from 5.3 pounds to 9 pounds in 2023. The popularity of guacamole in the U.S. has also increased.

The sudden outbreak of the COVID-19 pandemic has had a major impact on various industries, including the food industry. The eating preferences of consumers significantly changed, which resulted in a spike in demand for healthy foodstuffs. The forced closure of non-essential businesses along with on-trade food supply channels resulted in the adoption of household cooking practices, which further raised the demand for organic, healthy, and nutritious food products.

Guacamole Market Driver

Growing Consumption of Healthy Snacks to Drive the Market

Consumers are opting for healthy and wholesome foods in a quest to follow healthier lifestyles, majorly since the onset of the COVID-19 pandemic. Guacamole, being a continental dish, is preferably used to pair with other foods, majorly snacks such as tortilla chips, potato chips, veggies, meat jerky, avocado toasts, and stuffed eggs. It is often used to enhance the taste and nutritional value of breakfast foods. Avocado is a superfood that contains antioxidants, no cholesterol, a high quantity of fiber, and other vital nutrients that help to lower blood pressure and cardiovascular inflammation. Increasing consumer demand for organic food, rising awareness regarding nutritive diet, and growing demand for tasty snacks are some of the factors driving the market.

Guacamole Market Restraint

High Cost of Raw Material May Hamper the Market Growth

The major ingredient in guacamole is avocado. Avocado is majorly produced in Mexico and its by-products or value-added products including guacamole are manufactured in North America. Most of the countries are dependent on importing the product. The import charges, trade duties, and transportation costs additionally impact on increasing the product price. The consumers in developing economies including China and India are price conscious, which further restrict the expansion of the guacamole market growth.

Guacamole Market Opportunity

Rising Trend of International Cuisines to Foster the Demand

In the past few years, guacamole has gained popularity across the world due to its numerous edible uses. The rising popularity of Mexican cuisines across the world, along with the emergence of e-commerce, is driving the sales of the product by covering larger consumer groups. Consumers are intensively exploring exotic condiments, including snacks, dips, and other similar alternatives at restaurants, which is further anticipated to affect market growth over the upcoming years. The manufacturers are developing innovative food products with a variety of exotic flavors, new ingredients, and healthy formulae to introduce products for household cooking. Additionally, the multiple health benefits associated with guacamole consumption, along with the growing demand for Mexican cuisine, is expected to create numerous opportunities for market expansion.

Key Insights

The report covers the following key insights:

• Overview of Global Guacamole Market


• Supply Chain Analysis


• Regulatory Analysis


• Industry SWOT Analysis


• Key Industry Developments


• Qualitative Analysis Related to COVID-19

Segmentation

By Flavor	By End-use	By Packaging Type	By Distribution Channel	By Geography
Original/Unflavored Mild Spicy	Food Processing Food Service Household	Glass Bottles Pouches Plastic Containers	B2B B2C	North America (U.S., Canada and Mexico) Europe (U.K., Germany, France, Spain, Italy, Russia, and the Rest of Europe) Asia Pacific (Japan, China, India, Australia, Southeast Asia, and the Rest of Asia Pacific) South America (Brazil, Argentina, and the Rest of South America) Middle East & Africa (South Africa, UAE, and the Rest of the Middle East & Africa)

Analysis by Flavor

By flavor, the market is divided into original/unflavored, mild, and spicy.

The original or unflavored segment holds the largest share of the market. The original flavor of guacamole is typically exuded from quality avocados and lime. The traditional recipes used for preparing guacamole include lime juice, tomato, onion, garlic, and pepper. The classic flavor of guacamole provides the dip with a delicious taste that perfectly paired with Mexican cuisine.

The spicy segment is anticipated to expand at a promising growth rate owing to the rising demand for party appetizers among adults. Furthermore, the companies are increasingly focusing on innovations in spicy guacamole products to make food tastier, which is likely to push the segmental demand in the upcoming years. Furthermore, the growing popularity of spice-infused snacks and the increasing adoption of fusion cuisines are expected to drive the segmental expansion.

Analysis by End-use

By end-use, the market is categorized into food processing, food service, and household.

The food service segment is expected to account for a major share of the guacamole market. Rapid urbanization in developing economies coupled with an increasing working population has flourished the demand for the food service industry. The growing food service industry is likely to drive the product sales globally. Additionally, rising disposable incomes, coupled with the increasing number of working women, are expected to augment the food service segment growth.

The household segment is anticipated to grow significantly due to the rising adoption of guacamole in snack products such as bakery, tortillas, and breadsticks. Cooking, which has emphasized the consumers' demand for quick meals with easy and healthy recipes. The ordinary working class is opting for nutritious foods prepared using wholesome ingredients and most economical way to prepare food. Therefore, manufacturers produce consumer-friendly products that are healthy, nutritious, and easy to cook. The emergence of innovative foodstuffs that can be easily included in household meals and paired readily with breakfast snacks is accelerating the segment growth.

Analysis by Packaging Type

By packaging type, the market is subdivided into glass bottles, pouches, and plastic containers.

The plastic containers segment is expected to lead the market during the forecast period. The plastic material is extensively used in packaging owing to its flexibility, cost-effectiveness, and lightweight. It offers resistance to splintering and provides efficient protection against food damage. The growing demand for online food delivery and increasing consumption of packed foodstuffs has encouraged manufacturers to adopt effective packaging solutions. The rising demand for effective plastic containers for food packaging is expected to offer numerous opportunities for the expansion of the segment in the market.

The pouches segment is anticipated to grow significantly in the near future. The pouches are used mainly for flexible packaging of perishable food products to reduce food wastage. They are easy to customize, durable, lightweight, and offer reliable food protection. Moreover, the manufacturers opt for pouch-based packaging for dips and spreads as it is convenient to use, easy to dispense, and cost-effective.

Analysis by Distribution Channel

Based on distribution channel, the market is divided into B2B and B2C.

The B2B segment holds the largest market share, which is directly linked to the increasing sales at hotels, restaurants, and cafeterias. The growing consumption of breakfast items, including sandwiches, soups, and salads, which are often paired with healthy dips and spreads is further expected to accelerate the segment growth. Moreover, the wide availability of products and accessibility to special offers to attract a larger consumer base, along with the on-going trend of dining at restaurants, hotels and resorts, is propelling the segmental expansion.

The B2C distribution channels comprises hypermarkets, supermarkets, specialty stores, convenience stores, online retail stores, and others. The increasing household consumption of Mexican cuisine and snack products, including nachos and tortillas, are further driving the demand for the products from the B2C segment. The emergence of e-commerce has surged the consumption of food & beverages to a greater extent, propelling the growth of the B2C distribution channel during the forecast period.

Regional Analysis

By region, the market has been studied across Europe, North America, Asia Pacific, South America, and the Middle East & Africa.

North America is expected to hold a major share of the market during the forecast period. The region is highly concentrated with health-conscious population due to which there is growing awareness regarding healthy food intake practices. Consumers are actively looking for foods that are functional and seeking food options for holistic well-being. Due to the nourishing properties of avocados, guacamole has gained popularity across the region. The region is one of the largest consumers of and producers of avocados in the world. The growing expansions of the food industry and increasing demand for healthy and appetizing food alternatives are the factors that fueling the market expansion.

The Asia Pacific is anticipated to grow significantly over the next few years owing to the increasing adoption of Western culture, growing consumer demand for health-efficient foodstuffs, and rising disposable income in developing countries of the region.

Key Players Covered

The global guacamole market is highly concentrated, with leading players focusing on widening their product distribution channel through e-commerce and launching new varieties in the potential markets. Some of the key players are increasingly emphasizing industrial investments, business expansions, and the adoption of new marketing strategies to increase their sales and revenue. Moreover, the companies are involved in technological innovations in the food & beverages segment to serve the consumer demand.

The report provides the profiles of the following key players:

• Hormel Foods Corporation (U.S.)


• Calavo Growers, Inc. (U.S.)


• Casa Sanchez SF (U.S.)


• SABRA DIPPING CO., LLC, (U.S.)


• Woolworths Group Limited. (Australia)


• Conagra Brands, Inc. (U.S.)


• B&G Foods, Inc. (U.S)


• Avo-King International, Inc. (U.S.)


• SNOWCREST (U.S.)


• Westfalia Fruit (Pty) Ltd (U.S.)


• Ventura Foods, LLC, (U.S.)

Key Industry Developments

• In June 2024, MegaMex Foods, LLC, the leading producer of Mexican food products, announced the launch of a new refrigerated guacamole variety through its popular brand called Wholly Guacamole. The company aimed to recreate restaurant-quality products for household consumption.


• In February 2023, Flagship Food Group, LLC, a global manufacturer of diversified food products, announced the acquisition of Yucatan Foods, LLC, the leading manufacturer and distributor of packaged avocado-based food products. The company is looking forward to innovating its complementary product range by adding some impactful cross-promotional plans to its prominent product, Hatch Valley green chile and salsa, tortillas, chips, and guacamole.