Bestselling snacks for crunchingly-good sales: Industry voice, NPDs, merchandising tips

Snacking is our national pastime- be it munching alone while at work or while binge-watching, or with friends and family at home parties. Snacks occupy a prominent space in our kitchen cabinets- where even early signs of scarcity can send the whole family into frenzy.

Biscuits and savoury snacks together form one of highest selling aisles in convenience stores with shoppers picking something or the other in almost every trip.

Over the five years through 2021-22, the biscuit production industry’s revenue is estimated as £3.4 billion, as per data by IBIS World. On the other hand, Mintel claims £4.75bn worth of crisps and savoury snacks were consumed by Britons in 2021.

Interestingly, unlike some other segments, lockdown measures and social distancing rules resulted in increased demand for snack foods. The momentum gained is still on. 

Suzie Carlaw, Head of Border, reveals how during pandemic, many of us reached for sweet treats to help us get through lockdown.

“Biscuits provided that special treat as a boost to brighten people’s days. This paved the way for special brands like Border Biscuits as many opted for the more premium option to treat themselves,” she told Asian Trader.

With biscuits and crisps being completely entwined in our lifestyle, their sales are only expected to rise and there is no downward trend anticipated here.

Jo Harwood, Sales Director at Burton’s Biscuit Company, points out how Britons are buying more in quantity and opting for premium options.

“The biscuit category has seen shoppers buying more per trip and trading up to more premium, treatier options alongside their everyday favourites. We are lucky to have some of the nation’s best-loved, heritage biscuit brands in our portfolio, and they are benefiting from shoppers’ and consumers’ increasing desire to give themselves a little treat,” Harwood said. 

On the other hand, Matt Collins, Trading Director at KP Snacks, believes that crisps and snacks aisle, holds the key to attracting more footfall in a convenience store.

“Crisps, snacks and nuts is a fast growing, priority category with a huge scale. Worth £3.5 billion and growing at +5 percent YOY, shoppers are spending an extra £100 in the category, +14 percent YOY,” Collins told Asian Trader.

What shoppers seek?

While snacks and biscuits continue to be a staple item in almost every shopping basket, the fact remains that the pandemic has altered the buying habits of consumers to a great extent.

Health

Health and wellness have been the main drivers behind snacking choices, claims a recent report from Glanbia Nutritionals, saying almost half of the shoppers (49 percent) who snack are more likely to choose healthy products.

“In the past two years we’ve seen a significant shift as shopper dynamics have changed, impacting the buying habits of certain formats. Impulsive on-the-go snacking purchases dropped as shoppers stocked up on bigger packs and looked for treats they could enjoy at home, particularly from those brands they know and love,” Susan Nash, Trade Communications Manager at Mondelēz International, told Asian Trader.

“We also saw a shift in the demand for certain types of biscuits with consumers shifting away from healthier biscuits towards sweet treats and familiar brands. During lockdown consumption focused on in-home and shoppers were looking for offers they could depend on and trust.”

However, as restrictions eased, on-the-go occasions have recovered which in turn is helping to drive more sales of healthier biscuits, cereal bars, and on-the-go snacks.

With shopper habits constantly evolving, Nash strongly recommends retailers to stock a wide range of both on-the-go and single serve products to suit impulsive shoppers as well as larger formats and multipacks for sharing or in-home occasions.

Health is on Britain’s mind like never before. Shoppers nowadays are scouting for ingredients like oats and other wholegrains so that their snacks too sync in with their healthy diet.

BelVita, for example, is well placed to help retailers take advantage of these continued long- term trends as the UK’s leading healthier biscuit brand and the only biscuit range with proven slow-release carbohydrates.

Cadbury Nuttier is bringing consumers a more permissible treat with whole fruit, nuts and a hint of indulgence, packing wholesome ingredients into the simplest combinations, which crucially deliver both nutritionally, and on taste.

Lisa Manning, Category and Insights Manager at Border Biscuits, too sees focus on self care and holistic health as one of the rising trends.

“Building on this renewed interest in health following the pandemic, increasingly shoppers are finding ways to increase self-care and wellness that go beyond restrictive diets or fitness regimes. There’s a real opportunity for brands to play a role in how they make the consumer feel – both physically and psychologically,” Manning told Asian Trader.

Emily maker too sees health consciousness as a key growth factor.

“The focus on public health following the pandemic, as well as the government’s new restrictions on crisps and snacks with high fat, sugar and salt (HFSS) will mean brand’s that have healthier credentials, such as EMILY, will lead growth,” Adam Draper, Managing Director- Nurture Brands- told Asian Trader.

EMILY Rainbow Roots vegetable crisps (Sharing 80g and Impulse 30g) are, as Draper claims, a “real hidden gem for the independent trade”.

Vegan

Rise of veganism is evident everywhere. So in this aisle too.

Seabrook’s Loaded Bite range is a perfect vegan snacking option so retailers should make sure they stock it well. The baked maize snacks are gluten free, suitable for vegetarians and bring a modern twist to everyday snacking. The newly launched crispy bite-sized Loaded Bites is available in Sour Cream and Onion flavour in a 6x16g multipack, 55g £1PMP and 90g sharing bag.

Dafna Bonas, founder of Indie Bay Snacks, believes “natural” and “vegan” will continue to drive snacking in the coming times.

“We expect being ‘natural’ to continue to be the biggest driver in snacking. Alongside this, ‘vegan’ has seen phenomenal growth which will continue. This has meant there is a focus on brands that have ‘good in’, rather than just ‘bad out’. Consumers are more aware of some of the tricks previously used, where products have been overly processed or contain artificial ingredients,” Bonas told Asian Trader.

Indie Bay snacks with benefits are leading the way in the market- they are natural, contain no additives and are made with spelt flour which is naturally high in protein.

PMPs and sharing

Sharing formats, which got a boost during the pandemic, is still performing well.

“Over the course of the pandemic, we saw shifts in shopper behaviour and changing consumer demand, boosting Sharing formats which continue to perform strongly. Customers gravitate towards well-known and trusted brands with 41 percent of CSN sales going through the top 5 brands, and many of our KP Snacks’ brands are excelling,” Collins revealed, adding that both Tyrrells Sharing and popchips sharing are growing constantly.

£1 PMPs have also seen significant growth in the last few years and this format will stay increasingly relevant post pandemic. 

KP Snacks offers retailers 25 PMPs across the KP family and continuously looks to add value with both variety and promotion.

Like Collins, Scott Snell, Vice President of Customer at pladis UK & Ireland, also anticipates that PMPs will be a trending format throughout the year ahead as shoppers tighten purse strings.

“Mounting financial pressures will have an impact on many households in the year ahead. Alongside soaring energy bills, inflationary increases to the weekly shop means that now, more than ever, Brits will be seeking good deals on groceries – and PMPs will play a key role in driving higher volume sales for independent retailers, as products in this format are perceived to represent good value,” Snell told Asian Trader.

Brits will be seeking good deals on groceries – and PMPs will play a key role in driving higher volume sales for independent retailers, he said, urging retailers to stock up on a full range of Jacob’s Mini Cheddars PMPs– especially now, when shoppers are being savvier than ever before.

Another consequence of this is that Brits will have less disposable income to spend on evenings out – meaning the big night in will remain a popular occasion throughout the year. Therefore, expect sales of larger formats – such as sharing bags and multipacks – to remain buoyant, Snell said.

With trends like Big Night In expected to stay, premium snacks are also expected to become more sought after ones.

“Instead of indulging in a cake from a café for example, we may see consumers looking to trade up on their weekly shop. With Border Biscuits, we can offer a premium product, at a reasonable price, that consumers can trust to deliver on taste and quality,” Manning said, adding that with chocolate being the top flavour, chocolate biscuits are increasingly perceived as a more indulgent and premium option.

Collins from KP Snacks acknowledges that there is a high demand for premium lines as consumers look to replicate night out experiences at home with 46 percent of shoppers are more inclined to trade-up to premium food and drink options.

Tyrrells is a premium sharing brand, perfect for making those in-home occasions feel more special. Perfectly paired with a cold beer, KP Nuts has strong credentials in sharing occasions. 

Pork Snacks are also seen performing well as consumers continue to enjoy the ultimate pub snack at home – a behaviour encouraged by pub closures in lockdown.

Tayto Group offers leading brands- Mr Porky, Midland Snacks and Real Pork Co. The trio are a great way to go for high margin, VAT-free sales.

Bestsellers and New Launches

KP Snacks has a broad portfolio across all segments, with something for everyone and all occasions. Its snacks are consumed by over 20 million households and its diverse portfolio has delivered 48 percent of category growth in the last five years.

KP has recently launched McCoy’s Sizzling King Prawn in a £1 PMP format, capitalising on prawn being the fastest growing flavour within the category.

KP’s PMP range was recently expanded with the addition of three of the most popular flavours of premium snack brand Tyrrells – Lightly Salted, Sea Salt & Cider Vinegar, and Mature Cheddar & Chive.

Butterkist is the nation’s favourite popcorn brand. Its latest addition, the new Crunchy Orange Chocolate flavour toffee popcorn, bridges the gap between popcorn and chocolate confectionary to offer a sweet and irresistible snack.

Other bestselling shopper-favourite products are Jacob’s Mini Cheddars (worth £12m in convenience) and Jacob’s Twiglets (worth £1m in convenience). These products’ longstanding popularity offers retailers assurance that they will sell-through.

Snell informed that Jacob’s Mini Cheddars brand has reached record heights, with sales now worth £92.6m (+27 percent). 

“This is thanks to a combination of the brand’s portfolio of core shopper favourites, as well as a continued pipeline of exciting trend-led innovation that’s enhanced appeal amongst younger adults during occasions like evening snacking like boundary-pushing innovation like Jacob’s Mini Cheddars Sticks, which launched last year,” Snell said, adding that retailers should make Jacob’s Mini Cheddars a key focus when it comes to their crisps and snacks fixture.

Jacob’s Mini Cheddars PMP line-up has been expanded to include sharing bags of Jacob’s Mini Cheddars Sticks Grilled Cheddar & Sizzling Steak. Jacob’s Mini Cheddar Crunchlets are also a recent launch and are available in multipacks and sharing bags (RRP: £1.50) as well as in PMP format (RRP: £1).

One of the UK’s biggest brands Walkers, through its recent new campaign, is reminding customers of its diverse offering – which includes crisps, snacks, ridged, and baked. Supported with a multi-million TV and digital campaign, the advert demonstrates how different people enjoy the assorted range in their own unique way.

To further lure shoppers, PepsiCo has brought Walkers and Doritos to offer shoppers the chance to win over 1,000 package holiday vouchers in partnership with easyJet holidays. Running from February to May, the campaign will see an on-pack promotion of the competition, as well as a holiday-themed packaging makeover on best selling products across both ranges.

Furthermore, PepsiCo is expanding its Wotsits range with the launch of a brand-new addition Wotsits Crunchy. Rolling out to the convenience channel in 60g £1 RRP PMPs from April 11, the duo of deliciously crunchy snacks is available in two flavours- Really Cheesy and Flamin’ Hot, further enabling retailers to offer their shoppers the variety they crave.

Katherine Cook, Walkers Snacks Marketing Manager at PepsiCo, acknowledges customers’ eagerness to experience new textures and flavours.

“We know there is an appetite for crunchier snacks, especially when it comes to sharing as 95 percent of shared snacking occasions are based around this texture. Wotsits Crunchy range aims to help retailers tap into this segment, and also bring new shoppers to the Wotsits brand who may have previously felt a yearning for that irresistibly crunchy texture.”

OREO – the world’s number one biscuit– has unveiled a new collaboration with the biggest superhero of all time ahead of the highly anticipated film, ‘The Batman’. This world-class partnership will see an unmissable promotion rolling out across key OREO products both on-pack and off-pack.

Elsewhere, celebrated French biscuit brand, LU, has launched four delicious biscuit varieties in the UK. Le Petit Chocolate, Le Petit Beurre, Le Petit Biscotte, and Le Petit Citron will offer customers a quintessential taste of France.

To tap the premium section, Border Biscuits is adding three new products to its portfolio – Dark Chocolate Orange Bar, Dark Chocolate Orange Biscuit and Dark Chocolate Raspberry Biscuit. The family-owned biscuit brand is aimed at becoming the UK’s number one ‘accessible premium’ biscuit, thereby  unlocking a category opportunity worth £190m to retailers.

“We understand what consumers want, and our trusted brand and track record in innovation mean we’re in the perfect position to deliver it. We’re already outperforming the market in a growing category, and the brand repositioning will help retailers benefit from increased sales in the accessible premium category,” Paul Parkins, Managing Director at Border Biscuits, told Asian Trader.

Crisp and savoury aisle is also going to witness a wave of new products.

CHIKA’S is set to launch ‘Yummy’ Puffed Corn Snacks in April. Available in two mouth-watering flavours, tangy ‘Cheese’ and zingy ‘Fire Grill’, these light and tasty puffed corn snacks contain no artificial ingredients and are always baked (not fried).

Scott Cooper, Managing Director, CHIKA’S Snacks, revealed that the maker is seeing increasing drive for value as consumers look for “wholesome snacks” that are full of flavour, with a strong value proposition too.

“Our new ‘Yummy’ Puffed Corn Snacks (launching in April) offer new, exciting flavours and taste sensations for all the family to enjoy, but are also great value for customers and shoppers alike,” Cooper told Asian Trader.

Available in convenient 27g grab bag and 55g sharing bag formats, this new range will be available at nationwide cash and carries as well as wholesalers. 

Seabrook Crisps is yet another best selling product that is said to be growing at 32.2 percent YOY, making its owner Calbee UK the sixth biggest CSP manufacturer in the country. Now a £74m brand, its popularity can be ascertained by the fact that it is now purchased by almost nine million households. 

“Our 6x25g multipack range performs exceptionally well with a brand value of £63m, penetration rate of 28 percent and a total of 58 million packs sold. The product is available in a variety pack containing Sea Salted, Salt and Vinegar and Cheese and Onion, as well as single flavour multipacks across a range of our core flavours,” Jon Wood, commercial director of Calbee UK told Asian Trader.

Calbee UK has come up with a product specifically aimed at kids to help tackle childhood obesity. Peppa Pig Cheesy Lentil Puffs, under the Seabrook masterbrand, are baked and not fried, are vegan and vegetarian friendly with only 82 calories per 18g bag. 

Available in a 5x18g multipack with all green and amber GDAs, the tasty new HFSS compliant product is perfect for children’s lunch boxes as well as at home snacking.

Another offering by Calbee UK is an innovative new range of plant-based products launched last year called Harvest Snaps brand. Good news is that it too falls below the proposed government HFSS restrictions. 

“The exciting new range for the UK is based on extensive research into the ‘better for you’ shopper’s needs. The vegetable and pulse-based snacks provide a healthy alternative to traditional fried crisps and snacks, being baked not fried, with under 100 calories per portion,” Wood told Asian Trader.

Available in two flavours- Sour Cream & Chive Lentil Rings and Thai Sweet Chilli Lentil Puffs- Harvest Snaps meets consumer demand with a variety of pack formats.

Meanwhile, Tayto Group’s Golden Wonder is celebrating 75 years as a much-loved British snacking icon.

“On our 75 th birthday, we wanted our devoted consumers to be part of the celebration by giving them just what they want – their favourite flavours in packs that bring back wonderful memories – as well as offering them the opportunity to create some new memories,” Matt Smith, Golden Wonder’s Marketing Director, explained. 

The promotional packs are available now and the campaign is being promoted across social, digital and trade channels. Tapping into continuing consumer interest in spicy flavours, Golden Wonder have launched a Spicy Thai Ringos into their successful £1 PMP range.

“With a real kick and less than 100 calories per serving like the rest of the Ringos range, Spicy Thai delivers on the Golden Wonder’s brand promise of ‘more punch per crunch’,” Smith said.

Indie Bay Snacks’ Pretzel Thins Lightly Salted 24 is also a huge hit among Britons, which is growing at 140 percent. They are not only healthy and vegan, but are also delicious, having recently won Great Taste 2021 awards.

HFSS

The introduction of high in fat, sugar or salt (HFSS) restrictions in October 2022 is set to hit volume sales of crisps and savoury snacks at the end of 2022 and into 2023. The main impact will come from store location restrictions, which are likely to reduce opportunities for impulse sales, but also restrictions on advertising affecting the visibility of HFSS products. 

Continued flavour innovation and reformulation are expected. 

“At Mondelēz International we have a strong track record of offering more portion control options and developing lower sugar recipes for some of our most iconic brands, as part of our ongoing commitment to help tackle obesity and help consumers lead healthier lifestyles,” Nash said.

HFSS is expected to impact crisps and biscuits sales though not to a large extent. Nuts are excluded from the restrictions, so could get more in-store prominence.

Harwood from Burton’s Biscuit Company believes that HFSS will not touch weekly shopping lists and will only impact impulse sales.

“Biscuits typically feature in most shoppers’ weekly shops, so we expect footfall down the main aisle will remain largely unaffected. However, HFSS will undoubtedly impact impulse sales of biscuits,” Harwood said.

“We predict the biggest impact will be felt from shoppers on a top up mission, popping in for a few items who may have previously picked up a pack on impulse when they see biscuits on a gondola end on promotion,” he said.

Burton’s best selling brand portfolio includes Maryland, bought by one in four households, Jammie Dodgers, Paterson’s, the established shortbread brand in the UK and Wagon Wheels.

Merchandising tips

Indies have freedom and agility over what to stock and what to skip, something which can be used as a trump card in this aisle by stocking unique products.

“My experience of the independent retail sector is that offering a point of difference versus the big grocery chains can attract new shoppers. EMILY snacks and crisps are predominantly sold into the independent trade and offer a unique proposition that can differentiate your range from the traditional brands in grocery,” Draper said.

Impulse sales are starting to bounce back. Value for money is increasingly important as many consumers are concerned about their financial situations.

To ensure the category is easy to shop, Manning advises retailers to use clear signposting to highlight sub-categories such as premium biscuits. This will make it easier for shoppers to find desired products.

Smith from Tayto Group banks on PMPs for quicker, hassle-free and guaranteed sales.

“Shoppers in Convenience are concerned that they will pay inflated prices for shopping locally and PMPs assure them that this isn’t the case. An additional benefit is that it makes it quicker for shoppers on a ‘grab and go’ mission as they don’t have to search for a shelf ticket – the price is right there on the pack,” Smith told Asian Trader.

The success of PMPs is borne out by their dominance of savoury snack sales in symbols and independents. As Smith explains, “PMPs account for over half of sales, showing that they are essential for the independent retailer at key price-points- entry (30p), mid (39p) and sharing (£1).”

Retailers can also tap some sales by smartly highlighting the health quotient of some products.

Independent retailers can focus on the core benefits for consumers rather than brand blocking. That way, consumers will also be able to quickly find what they want. 

Indie Bay Snacks suggests using shelf-markers like ‘Under 100 cals’, placing the stock next to like-minded brands that appeal to similar consumers as well as alongside other category products too to promote cross-impulse purchase.

Retailers can also maximise sales by pushing pork scratchings.

“Consumers looking for their big night in, day-out or home entertaining supplies, will be visiting the BWS fixture. With over 80 percent of scratchings being consumed with a drink, hanging pork snacks clipstrips with BWS will capture impulse sales without taking up precious shelf or floor space,” suggested Smith from Tayto Group.

Wrap

After the very turbulent couple of years, snackers are now turning to healthier options. However, for most people (73 percent of consumers, as per Mintel) taste still overrides health factors.

With the lifting of government restrictions and the resurgence of office working, on-the-go occasions are set to make a big comeback in 2022. The good news is, convenience stores typically have longer opening hours and are in opportune, accessible locations, meaning independent retailers are perfectly placed to cash in on grab-and-go occasions, Snell said.

The crisps, snacks and nuts sector is seeing price rise due to higher production costs, including ingredients, energy, packaging and delivery, and fewer promotions due to high demand and supply-chain disruption. In these tough times, retailers should note that shoppers will look for trusted, well-known brands as they look for reassurance from their purchases. 

With economic and political uncertainty in the air, consumers are looking to cheer themselves up with little treats. At the same time, today’s consumers are much more selective in their choices so they are gravitating towards natural and less processed options so it is better to stock something for everyone.