Crisps, Snacks & Nuts (CSN) is a strong and resilient category with huge scale, worth over £4.3bn and growing in value +9.2% (Nielsen IQ).
In difficult financial times, the CSN category prospers as shoppers look for affordable tasty treats, representing a critical opportunity for retailers to grow footfall and sales. Treat occasions are growing in convenience and impulse (C&I), currently making up 10.2% of the top missions (Lumina).
Consumers will continue to shop more locally, turning to convenience and independent stores more often as they look to save on fuel, manage budgets and spend more evenings at home. With one in five baskets in C&I including a CSN product (Lumina) and the Bagged Snacks segment growing ahead of Total Grocery at +16.4% vs +7.2% (Kantar), retailers can rely on the category to drive sales.
KP Snacks is helping retailers to bag their share of CSN growth with its ‘25 to Thrive’ ranging advice. Providing a core recommendation of SKUs to stock from multiple suppliers, the impartial category wide advice was developed to provide relevant and effective retailer support in response to the unprecedented challenges of recent years. The 25 recommended core CSNP products cater to priority trends of value reassurance, the role of well-loved brands, Big Night In occasions and on-the-go snacking with a range of formats running across the entire value spectrum.
“Now more than ever, consumers are looking for products which are considered to offer good value for money, with retailers reporting that 86% of customers are looking for value and deals (KP/ACS),” comments Matt Collins, Sales Director at KP Snacks. “Our KP Snacks range offers the broadest portfolio of tasty snacks across all segments, with something for everyone and all occasions. From popcorn to nuts to pretzels and, of course, crisps, our range creates value and generates demand by meeting all consumer needs with a wide range of products delivered in all formats (singles, multipacks, sharing) up and down the value spectrum and to suit all pockets.”
Brand remains an important purchase driver when choosing a product, with branded sales in C&I making up 92% of sales (Nielsen IQ). KP Snacks produces brands including Hula Hoops, McCoy’s, KP Nuts and Butterkist, alongside well-loved heritage brands including Skips, Discos, Wheat Crunchies and Space Raiders. Customers gravitate towards well-known and trusted brands and KP Snacks is the number one supplier of nuts and popcorn in the UK.
In early 2023, KP launched McCoy’s Epic Eats, a brand-new product range with two products, Nacho Cheese and Spicy Salsa, available in a 45g Grab Bag format and £1.25 PMP.
Bringing a kick to the healthier snacking segment, KP also recently launched popchips Hot & Spicy.
Last year, KP expanded its market-leading PMP range with the launch of two new SKUs: KP Mini Chips Salt & Vinegar £1.25 PMP and KP Mini Chips Beef £1.25 PMP. Combining the popular format and classic KP Mini Chips brand, the launch has created a sense of nostalgia and excitement for shoppers.
“It’s key that retailers offer the right core range in the right formats across categories to capitalise on the meal deal opportunity,” adds Collins. “51% of lunch eaters say snack products make lunch more interesting (Kantar) and KP Snacks offers a range of tasty singles perfect for livening up lunch, from Hula Hoops Big Hoops BBQ Beef to McCoy’s Salt & Vinegar.
“The Sharing segment in CSN is strong, worth £1.72bn and growing at +11% MAT (Nielsen IQ),” says Collins. “Our portfolio of Sharing products offers the perfect snacks for all occasions. Butterkist is the UK’s number one popcorn brand, perfect for cosy nights in spent watching films, while our Tyrrells 150g sharing bags offer a tasty premium option to make at-home occasions feel more special.”
KP Snacks products currently account for a 25.5% share of non-HFSS CSN products. The company’s extensive non-HFSS range delivers against our mission of providing ‘something for everyone’ with the entire popchips and Hula Hoops Puft ranges reformulated, alongside some Tyrrells and Penn State SKUs.
Nic Storey, Senior Sales Director, Impulse & Field Sales at PepsiCo, comments: “The Big Night In occasion remains as popular as ever as shoppers look to save money while still enjoying time with family and friends. In fact, 45% of shoppers say they find happiness in small, happy moments with friends and family (Kokoro).
2024 is set to bring even more opportunities for wholesalers to leverage the Big Night In mission as retailers look to make the most of the occasion due to it being a significant year of sports in the UK, especially football. There are lots of opportunities for wholesalers to maximise their savoury snacking sales through maintaining an extensive offering to appeal to retailers stocking up to cater for consumers tuning in to watch matches from home.
“As consumers come together to connect and socialise, many will also be looking for larger pack sizes of their favourite savoury snacks that they can enjoy together. Walkers crisps and snacks are well placed to help wholesalers cater to retailers who are looking to tap into snacking occasions like these and offer a wide range of savoury snacking options and formats to complete the customer experience,” adds Storey.
“Health continues to be firmly on the consumer agenda and as consumers look for snacking options with less fat or salt, choice and breadth of range is crucial for wholesalers. To offer snacking choices for each shopper’s, and therefore retailer’s needs, wholesalers should look to the latest NPD coming through which helps deliver lower salt or lower fat options.”
In April 2022, PepsiCo set out an ambition to make 50% of its snack sales come from healthier alternatives by 2025, with 30% coming from products that do not classify as HFSS and 20% from snacks sold in portions of 100 calories or less. The company is now over halfway to reaching this goal, after only a year into an initial three-year investment of £35 million to drive product innovation and reformulation. Two-thirds of all new products launched in 2022 were not classified as HFSS, catering to those who are seeking smarter snacking choices.
“Enjoyment is the number one driver of choice when buying crisps and snacks (PepsiCo Kantar Bolt), so wholesalers should ensure they are stocking popular brands and flavours, as well as offering the latest NPD in bold and exciting flavours to cater to this need for enjoyment,” says Storey. “Well-loved core brands such as Quavers, Wotsits and Monster Munch continue to drive sales in the channel and work alongside a wide range of taste-led NPD, which will help wholesalers maximise sales.”
To cater to this demand, PepsiCo has launched a number of taste-led NPD over the last year, including Walkers MAX x Pizza Hut. In August 2023, PepsiCo teamed up with Pizza Hut to launch two new permanent, non-HFSS flavours into the Walkers MAX portfolio: Pepperoni Feast and Texan BBQ, both available in PMP formats. The new additions tap into the growing demand amongst younger consumers for pizza flavours within the savoury snacking space.
To tap into the demand for spicy snacks, the Extra Flamin’ Hot platform launched in March this year. The three strong range adds a deliciously intense twist to the nation’s much-loved favourites: Doritos, Walkers MAX and Wotsits Crunchy. Available in sharing bags and PMPs, the flavours can help wholesalers maximise sales in this growing segment.
“Wholesalers can utilise PMPs to help retailers capitalise on different shopper missions, with this format being key to category growth this year,” Storey continues. “This is because shoppers are still looking for accessible price points, so PMPs will continue to be at the forefront of crisp and snack sales in 2024. Additionally, within the Savoury Snacks Category, Sharing PMPs remain the number one contributor to crisps and snacks growth in value, compared with other segments (Nielsen IQ), with the format reassuring consumers of value and helping retailers to offer an accessible price point that builds trust.”
Given the strength of PMPs in delivering growth for wholesalers and the Savoury Snacks Category over the last year, PepsiCo has continued to invest in the PMP format through NPD and line extensions across the nation’s most loved crisp brands. Launches like Walkers Prawn Cocktail PMP – the third bestselling Walkers single flavour (Nielsen IQ) – or Wotsits Giants PMPs continue to be popular with shoppers, as they look for their favourite flavours. Within the Independent and Symbols channel in particular, the top 15 Sharing PMP Snack SKUs include Doritos, Quavers, Cheetos, Wotsits and Monster Munch, which demonstrates just how important these SKUs are for retailers (Nielsen IQ). PepsiCo’s best-selling snacking brands are all available in the sharing PMP format.
“Wholesalers should also be leveraging sharing formats, which are now the largest segment within the Salty Snacks Category, making up 69.5% of it (Nielsen IQ),” suggests Storey. “Stocking a variety of formats will help cater to retailers looking to fulfil different shopper need states, and therefore help drive sales.”
Sharing packs across the core Doritos range (+9.2%), Sensations (+7.3%), and Walkers crisps (+12.8%) have been performing strongly (Nielsen IQ), there is an opportunity here for wholesalers to tap into the popularity of these brands and drive sales, in particular for those retailers looking to stock a sharing format.
Asl? Özen Turhan, Chief Marketing Officer at pladis UK & Ireland, comments: “The demand for savoury snacks is stronger than ever, with sales hitting £1.4 billion in the convenience channel and impressive YOY growth (17.9%), partly due to rising costs but also due to the enduring popularity of the snacking occasion (Nielsen).”
People are also valuing quality time with family and friends, making snacking a key part of these moments together with 97.8% of UK households buying Crisps & Bagged Snacks (Kantar).
As a result, the ‘big night in’ trend is driving significant demand for larger pack sizes, which are currently experiencing double-digit growth in value (15.3%, Nielsen).
“Although inflation is beginning to stabilise at a more palatable level for both suppliers and shoppers, this trend is more than likely to continue as larger formats will continue to offer better value per kg,” adds Turhan. “This gives retailers a great opportunity to stock up on bigger packs, as shoppers are increasingly looking to buy larger and more in one trip to save time and money.”
Jacob’s Mini Cheddars are perfectly positioned for this shift. Nearly half (45%) of the range comes in larger, affordably priced packs, ideal for wholesalers and their retail customers to meet this growing demand. With cost-of-living pressures still high, consumers are prioritising value, but it’s about more than just affordability.
Jacob’s Mini Cheddars are in the top 10 for Crisps & Bagged Snacks (Nielsen), with over a third (31.5%) of UK households now purchasing Jacob’s Mini Cheddars (Kantar), driving sales to over £83.5m (Kantar). Cheese-flavoured snacks, particularly Cheddar-based options, are highly popular. For example, Jacob’s Mini Cheddars Red Leicester, originally a limited-edition, is now the second bestselling flavour in the line-up (Retailer Insight Platform) and has boosted sales by £13.1m over the past three years (Nielsen IQ). Building on this success, this year, pladis recently introduced two new flavours, Smoked Cheddar and Cheddar & Roasted Tomato, to further tantalise taste buds.
Taste is definitely king when it comes to snacking and the ‘Spicy’ and ‘Meaty’ flavour segments are also proving to be key category growth drivers, up +26.8% (Nielsen IQ) as younger shoppers seek out new and interesting flavour innovations.
To tap into this trend, Jacob’s Crinklys Chilli Beef launched in May, featuring the brand’s signature ridges with a chilli beef seasoning.
“The new HFSS regulations have nudged consumers toward healthier snacking options, prompting industry leaders to innovate with lighter alternatives while maintaining shelf appeal,” says Turhan.
The recipe of Jacob’s Crinklys non-HFSS range was revamped last year, now with 30% less fat, while keeping the beloved flavours and oven-baked crunch. This commitment to taste led to double-digit growth (+53%) within 12 weeks of the update hitting shelves (Nielsen). Now the Crinklys portfolio is worth £12M in sales (Kantar). Jacob’s Crinklys Cheese & Onion secured the second-highest RSV for non-HFSS launches in 2023, with Salt & Vinegar close behind in fifth place.
Andy Brown, Director, Envis Foods, comments: “It’s great to have a feast of events this year and none bigger than the Euros to help drive footfall for families and groups that want to watch games at home.”
Envis Foods is bringing a selection of new lines to market in 2024 to suit all taste buds starting with Curly Mexican, the spicy version of the best-selling Curly Classic, and Crunchips Roasted in BBQ sauce to tickle the tastebuds and keep hunger at bay.
Crunchips X-cut in Red Chilli and Crunchips X-cut Hot & Spicy are launching to hit the spicy consumers, while new Crunchips X-cut in Sour Cream is a milder but equally delicious alternative, and all of the new lines enjoy the same long shelf life and small case sizes that are working well in the wholesale market.
“My main advice though to maximise sales remains twofold: focus on availability of core lines and best sellers as without these you may will lose retailers’ sales who will find an alternative; and maximise sales of sharing bags by getting appropriate new and exciting lines to help drive incremental sales and maintain shoppers’ interest,” adds Brown.
“In order to assist wholesalers keep good availability that is also a key focus area for us, we also offer low MOQ’s and long shelf across our ranges to help planning and avoid unnecessary overstocking and wastage.” Tash Jones, Commercial Director at Fairfields Farm, comments: “The CSN category is key for wholesalers as it spans multiple occasions, from lunchtime or on-the-go snacking in impulse format through to at-home evening sharing occasions or – if the weather behaves – even picnics! Potato crisps in particular play a role across all occasions, as the nation’s most loved and most purchased snack.”
The introduction of HFSS legislation has, of course, had an impact in the retail locations they apply.
That has prompted reformulation and rethinking across the category – such as with Fairfields Farm’s 10 Acre brand of vegan specialist crisps. More and more aisle ends feature these reformulated products as brands rise to the challenge of promotion.
“However, that said, sales of traditional handcooked crisps like our Fairfields Farm brand remain as robust as ever as customers still seek out “treat” occasions and make trips down the snack aisle to find them,” adds Jones. “In food service and other non-grocery environments, the impact of HFSS legislation has been more limited but has opened up more choice for buyers should they wish to take advantage of lower salt, lower fat, or enhanced recipes making more use of fruits and nuts.”
“The big words this year are spice and bold, which ties in beautifully with the summer of sports we are being treated to,” adds Jones. “From the hero new-to-market products like Takis Fuegos through to PepsiCo’s cross-product approach to their Flamin’ Hot seasoning, off shelf display is being dominated by these types of products. At Fairfields Farm, we have responded to this by looking at our Roast Rib of Beef Flavour and Sweet Chilli products and making sure they are packing the kind of flavour punch that a modern consumer demands of these product types, tweaking these recipes slightly.”
In handcooked crisps, the best-selling products are the core three of Lightly Sea Salted, Sea Salt & Aspall Cyder Vinegar and Cheese & Onion Flavours. Even if trends are leading to bigger, bolder flavours, these are the pillars of the British public’s crisps love affair and should remain front and centre.
Fairfields Farm recently launched Prawn Cocktail flavour crisps which like the rest of the range, is vegan and gluten free.
The Fairfields Farm brand is in huge growth across wholesale, in particular foodservice, growing by over 70% last year.
“Don’t be afraid to try new things like new brands and new flavours but also don’t throw the baby out with the bathwater!” advises Jones. “In particular, when it comes to crisps, Lightly Salted flavours lead the way in wholesale and this is unlikely to change any time soon.”
Baz Goode, Head of Brand at Whitworths, comments: “Nuts are so incredibly versatile that they are used in all consumption occasions, from breakfast to dinner and everything in between. Along with seeds (and dried fruit), nuts – the non-flavoured, roasted or salted kind – are most commonly used at breakfast with 40% of occasions usage, followed by evening meal, then daytime snacks. Although they’re most commonly used at breakfast, they’re only in 3% of the UK’s 19bn breakfasts (Kantar).”
A recent independent report, commissioned by Whitworths, revealed the vast benefits of nuts and seeds in tackling some of the major health issues affecting the nation, such as heart disease, type 2 diabetes and certain cancers. As recommended by the findings, adding nuts and seeds to the government’s 5-a-day campaign could help the worsening chronic disease burden faced by society and as a result, ease the pressure on the nation’s healthcare services.
The report provides compelling evidence that nuts and seeds form part of a healthy balanced diet, however they are not classed as a fruit or vegetable and therefore not seen to make up the 5-a-day.
Whitworths’ aspiration to get nuts and seeds included in the 5-a-day guidance and ongoing public health campaigns would allow greater variety and a tasty, convenient way for consumers to fulfil their 5-a-day target; lowering their risk of many chronic diseases and helping to relieve the social and economic impact of the disease burden faced by society today.
The new packaging places the spotlight on nuts and seeds as powerful sources of macro and micro nutrients – something deficient in most of the nation’s diets. This could unlock millions of incremental usage occasions for the category, potentially revolutionising UK eating habits.
“Consumers are increasingly looking for healthier options,” adds Goode. “No longer satisfied with products that simply offer reduced sugar, fat, and sodium in their diets, they are actively looking for foods that are enriched with essential nutrients.”
The brand has recently launched Whitworths Wondermix. Designed to fuel the body, boost energy and sharpen the mind, these innovative blends are set to revolutionise the snacking experience. There are three new packs, each with a different health focus which can boost your body and overall vitality in a range of ways:
Feel Strong Wondermix: a show-stopping nut mix featuring a dynamic trio of walnuts, lightly salted almonds and roasted wrapped cashews. Each bite is bursting with essential nutrients, healthy fats and protein which help fuel your day with a sustained energy source and help you ‘Feel Strong’.
Think Sharp Wondermix is a mix of almonds, orange-flavoured cranberries, succulent apricots, and indulgent dark chocolate drops providing powerful nutrients that are scientifically proven to contribute to the functioning of a healthy nervous system, aid normal psychological function and maintain regular cognitive function all helping you to ‘Think Sharp’.
Fight Fatigue Wondermix is a blend of almonds along with banana coins, strawberries and apple pieces. Designed to supercharge your day with the power of micronutrition, specifically Copper, Manganese and Magnesium which are proven to contribute towards a normal energy-yielding metabolism and for the reduction of tiredness – aiding you to ‘Fight Fatigue’.
Whitworths is the No. 1 brand in Dried Fruits, Nuts & Seeds (Kantar). The portfolio also spans multiple commodities and categories, which is unmatched by any other brand.
Whitworths has announced its commitment to improving the nation’s health by promoting both a mindset shift and more importantly a legislative change to recognise nuts, seeds as a key part of the 5-a-day allowance. “By championing the inclusion of nuts and seeds within the government’s 5-a-day messaging the hope is to offer a low-cost and convenient way to increase the average daily consumption,” says Goode. “Even a small increase to average consumption would have a dramatic impact. For example, shifting the current 5 -a-day consumption average from 3 to 3.25 offers a huge opportunity for the dried fruit, nuts and seeds category as a whole.
“If everyone adopted this new behaviour it would equate to 6.2bn additional servings of dried fruit, nuts and seeds and deliver incremental category value of £1bn.”
Shaun Whelan, Jack Link’s Convenience/Wholesale and OOH Controller, comments: “Healthier snacking and protein has become mainstream with nearly one in three UK households buying ready to eat meat snacks. More shoppers are searching out high protein, tasty meat snacks as healthier alternatives to traditional crisps and confectionery.”
Many shoppers see meat protein snacks as the best source of protein to give them energy for the whole day, which makes Jack Link’s a good alternative to traditional crisps.
“The opportunity to unlock additional sales is huge,” adds Whelan. “The jerky and biltong meat category has nearly doubled in value over the last five years and has the headroom to double again as still less than one in ten households buy it. High protein meat snacks is a high growth opportunity convenience retailers cannot afford to miss.”
The strong category growth has been led by the clear category leader Jack Link’s which has more than tripled retail sales value over the last five years and the increase in sales and volume is making Jack Link’s an excellent alternative snacking option to traditional crisps and nuts.
Jack Link’s has recently undergone a packaging re-design to meet the key drivers for meat snacks. The new packaging redesigns are modern, promote the high-quality aspect of the product and reflect category trends in craftmanship and functional nutrition benefits.
“Merchandising with other bagged snacks, crisps and nuts is fundamental, as ambient protein meat snacks offer a healthier alternative snack for shoppers, who have become more health conscious and are seeking out a high protein, low calorie brand that tastes great,” says Whelan.
Jamie McCloskey, co-founder LOVE CORN, comments: “The days of the traditional three meals a day have gone and snacking occasions are on the rise. Many people are back in the office at least 2 or 3 times a week now which means they are on the move more due to their busy lifestyles and they need their food habits to move with them.”
However, just because they are reaching more for snacks, it doesn’t mean that they are willing to sacrifice on quality or taste. Consumers are reaching for snacks that are better for them and are more conscious about what they eat – this is especially true of young working adults who drive this sector. These consumers want to eat ‘better for you’ versions of mainstream food to go offerings, and it’s vital the sector moves with them to cater for this need.
“Convenience, taste and price must also all work hand in hand together to offer the consumer incentive to buy,” adds McCloskey. “In the current economic climate, affordability has never been more important. We are working to debunk the perception that better for you snacks are more expensive and so we’ve created a Better For You snack that is affordable, tastes delicious and easy to eat wherever you are.”
Also, seasonal events are expected to drive sales, especially with major sporting events like the Euros and Olympics leading to a surge in at-home viewing parties and BBQs. As friends and families gather to watch these events, the demand for delicious and shareable snack options increases.
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