Fueled by versatility, smart merchandising, and value for today’s health- and budget-conscious consumers, peanuts are shining in the produce department. PRODUCE BUSINESS PHOTO

Peanuts are evolving into a protein-powered destination category.

Peanuts are much more than a mere bag of shells. A year-round part of the diet in the U.S., a large portion of peanuts are eaten as snacks and in peanut butter, according to the American Peanut Shellers Association. They’re also consistently included in the menus of the foodservice industry.

The fact that peanuts are versatile in various cuisines and their incorporation into on-trend dishes that click with diverse consumer preferences plays a key part of the consumption trend.

“Peanuts are no longer a seasonal or secondary item in produce; they’re becoming a true destination category,” says Eric Boonshaft, director of marketing at Hampton Farms in Raleigh, NC. “The most effective marketing strategies lean into experience and nostalgia, while keeping a modern, clean look. In-shell peanuts especially benefit from storytelling around sports, family gatherings and everyday snacking.”

Roxana Ehsani, MS, RD, CSSD, LDN, Registered Dietitian nutritionist and board-certified sports dietitian, recommends people buy peanuts because they contain a mixture of healthy fats, fiber and plant protein. “They make for a nutritious snack over a processed food, such as chips, and provide you a trio of nutrients to support overall health.”

Eating peanuts as a snack, continues Ehsani, located in Miami, “can help support healthy blood sugar levels thanks to their combo of nutrients, (such as) fat, fiber and protein.” They also contain micronutrients like biotin, vitamin E, and B vitamins.

UPDATE YOUR MARKETING

Even with the most insatiable appetite for them, one way to help keep peanuts front and center among consumers is spot-on marketing. Tailoring marketing strategies to address consumers’ evolving needs — those of Millennials and Gen Z, in particular, both of whom increasingly opt for peanuts as a protein-rich snack — is paramount.

“Gen Z has a growing interest in protein and low sugar foods, which aligns perfectly with the 7 grams of plant-based protein and 0 grams of sugar that peanuts deliver.”
— Dena Malsom, National Peanut Board, Marietta, GA

“Gen Z has a growing interest in protein and low sugar foods, which aligns perfectly with the 7 grams of plant-based protein and 0 grams of sugar that peanuts deliver,” says Dena Malsom, vice president of marketing and communications at the National Peanut Board in Marietta, GA.

MERCHANDISING ANOTHER KEY

Merchandising is another key driver of peanut sales. Josh Christensen, vice president of marketing at Genius Gourmet, Coeur d’Alene, ID, says secondary placements, endcaps, produce-adjacent snack zones and front-of-store features, “appear to create incremental lift versus static shelf placement.”

He says seasonal storytelling, such as back-to-school, new year wellness, summer travel and sports moments, “can refresh the set without changing core SKUs.”

A strong in-store presentation highlights the versatility of peanuts in the produce department.
A strong in-store presentation highlights the versatility of peanuts in the produce department. PHOTO COURTESY HAMPTON FARMS

“The most successful merchandising strategies focus on visibility and simplicity,” says Hampton Farms’ Boonshaft. Large-format dump bins in produce, cross-merchandising near beer and beverages, and secondary placements near front-end or seasonal displays all drive impulse purchases.

Boonshaft notes retailers are finding success with themed displays: “Game Day Snacks,” “Backyard BBQ Essentials,” or “Healthy Everyday Snacking.”

“Clear signage highlighting protein content, freshness and simple ingredients helps reposition peanuts as a produce item, rather than just a packaged snack,” he says.

Peanuts are showing rising repeat purchases and loyalty, according to 2025 Nielsen Consumer NIQ data, creating opportunities for peanut-centric brands to unlock growth using merchandising strategies that focus on driving both penetration and buy rate, reports the American Peanut Board.

Appealing to specific lifestyles can also increase impact and success, especially when integrating across marketing tactics from digital in-store, brand pages, display ads, social, recipes, influencers and other paid media.

Meantime, the palate’s never far from any conversation involving peanuts — or any food, for that matter.

“Peanuts remain one of the most accessible and affordable protein sources in the produce department.”
— Eric Boonshaft, Hampton Farms, Raleigh, NC

“Younger consumers and families are also experimenting more — they’re looking for bold flavors, but still want recognizable, clean ingredients,” explains Boonshaft. “Offering a mix of traditional and adventurous flavors allows retailers to appeal to multiple demographics within the same display.”

WHO’S BUYING

Various demographics, with wide variations seen among different racial and ethnic groups, influence which peanuts are consumed in the U.S., reports Expana, which provides commodity price data, forecasts and intelligence.

The rates of the consumption of peanuts varied by race and ethnicity, according to a study presented at the 2025 American Academy of Allergy, Asthma & Immunology/World Allergy Organization Joint Congress. Non-Hispanic white participants report 50% to 100% higher consumption than non-Hispanic Black or Mexican American participants.

RELIABLE VALUE

On another front, you’re likely all too aware that inflation and broader economic pressures are touching nearly everything — peanuts included.

“From both supplier and retailer perspectives, peanuts have become a reliable value item during inflationary periods,” says Boonshaft. Compared to many center-store snacks, peanuts offer a strong price-per-serving and nutritional value, which resonates with cost-conscious consumers.

“Shoppers might cut back on dining out, but they’re still entertaining at home — and peanuts fit perfectly into that shift,” he adds.

For retailers, peanuts offer strong margins, long shelf life, and minimal shrink, making them a smart category to expand even during economic uncertainty.

And let’s not overlook peanut butter. Mari Fassett, founder and chief executive, MARIMIX Crunch-Baked Snackmix, explains, “Peanut butter is one of the smartest value ingredients in snackmix — it delivers big flavor and staying power without a premium price. Even in an inflationary environment, we’ve seen peanut butter pricing essentially flat year-over-year with supply remaining steady and demand very resilient.”

3 of 9 article in Produce Business February 2026