Snacks & Con ectionery Snacks & Confectionery Susan Nash spoke to VI about how Mondele ¯z has been
innovating to meet consumer demand for crisps and snacks in formats they perceive to be more permissible. “This includes savoury snacks that deliver on taste while offering a less guilty way to snack. As a baked and light potato snac k, Ritz Crisp & Thin makes an ideal alternative to the traditional fried crisps, tapping in to this opportunity. The Ritz Crisp & Thin brand is worth £10.8m and continues to grow as consumers look for exciting new textures and lighter options. Over the past ten years, we have seen a growing trend where a quarter of consumer occasions in the crisp category have been lost as consumers move towards options that are more balanced in terms of health and wellness. Consequently, savoury snacks are on the up as sales of traditional fried potato crisps decline, and we launched Ritz Crisp & Thin t o cater to this increasing audience.”
and bringing together different flavours, textures and brands, which drive new consumers to the category.”
Bep Dhaliwal, trade communications manager at Mars Chocolate UK, advised operators: “Although employees are unlikely to bring confectionery into the workplace, we know that 72%of confectionery consumed at work is bought on impulse, creating an opportunity for additional sales for vending operators. In order to maximise this opportunity it is important to select the right range. Stocking the right range is key, as according to research 86%of people in the workplace would not make a purchase from a vending machine if their preferred confectionery was not available. 46%of confectionery is
consumed with a hot drink in the workplace, so there is a great opportunity to increase consumer spend on site by linking these two
HEALTH CONCERN key categories.”
S LIMIT CRISP CONSUMPTION
92%of consumers eat crisps/crisp-style snacks, according to the latest Mintel statistics (2016). The category remains a favourite, with more than six in ten eating crisps, crisp-style snacks and nuts once a r, Euromonitor’s SweetandSavourySnacksin
week or more. However,
theUnitedKingdomreport found that: “During 2015, there was ample confirmation that the popularity of crisps is diminishing among British con sumers as negative growth was registered in the r. The underlying reason for
category for the second consecutive year.
this decline in volume and value sales in the category essentially relates to the unhealthy image that the products categorised under crisps possess.”
Front-and-centre of the market for salty snacks is the question of health, and what manufacturers should do to position snacks within the bounds of what governments and consumers consider to be permissible foods for a healthy lifestyle. According to Mintel, rising p support sales, with quality cues appealing to f consumers stated that they would pay more for
three in ten. 24% o incomes should hel
adventurous flavours, particularly 16-34 year olds and high earners. “Despite the obesity crisis and the large swathes of the UK population trying to lose weight, UK adults have a rather relaxed attitude to crisps, with 82%agreeing that they are fine to eat as an occasional treat and more than six in ten eating them once a week,” said Amy Price, senior food and drink analyst at Mintel.
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Whilst health remains an on-going issue that is negatively impacting sales of crisps, it provides a boost to other segments with more positive health credentials, such as popcorn, meat snacks, and nuts. 35%of consumers report that they eat popcorn, and it is particularly popular among the young (16-44 year olds). Tony Goodman, CEO of Yumsh Snacks which manufactures Ten Acre hand cooked crisps and popcorn, commented: “Popcorn is enjoying enormous growth, due to its interesting flavours, and being increasingly viewed as a better-for- you alternative to other snacks." He als o highlighted the risin g popularity of ‘free-from’ products. “Consumers are increasingly choosing to follow a free from diet as a lifestyle choice, rather than having specific dietary requirements. It is crucial that vending operators are
responding to this growing demand, and stocking their machines accordingly. Ten Acre snacks, for example, are 'Free From Plus' that is, great tasting, plus gluten, dairy and MSG free; vegan, halal and
kosher - meaning that everyone can enjoy them regardless of their dietary requirements. Free from foods were once considered tasteless and expensive, but due to NPD and flavour innovation there has been a shift, with the category becoming much more mainstream.”
The vending industry seems to be constantly under fire for its supposed contribution to unhealthy eating habits in the UK. However, as the commentary from Jonathan Hart, chief executive of the AVA (page 10) and Joe Harvey from the Health Education Trust (page 28) shows, things are changing. With the rise of the ‘Internet of Things’ and consumer demand for convenience and cashless, vending has a key opportunity to capitalise on the market gap for automated retai l. And whilst issues of health and wellbeing have had and will continue to have a significant effect on demand for snacks, they will not diminish it – the habit of snacking is too deeply entrenched in the lifestyle of the British public. In order to continue to maintain ial success in the snacking sector, vending buyers should ey keep up with consumer demand for healthier snacks, alternatives to traditional fare like crisps and chocolate
r,
providing ensure th commerc
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