There are some easy wins when it comes to growing your crisps, snacks and nuts sales with healthier options and varying pack formats vital, but never forget that flavour is the most important purchase driver of all.
Over the past few years – coronavirus not withstanding – the large weekly shop has been in decline, with 90% of UK shoppers now visiting a convenience store more often. As a result, the convenience market has been flourishing, a trend accelerated by the current pandemic.
This creates a huge opportunity for the convenience sector when it comes to crisps, snacks and nuts as Matt Collins, Trading Director at KP Snacks, explains: “Bagged snacks remain a vital driver of growth within convenience and demand shows no sign of slowing. Crisps, snacks and nuts are worth £3.3bn and over the last five years KP Snacks have delivered +£142m RSV in growth to the category which is almost one-third of overall category growth and the biggest growth contribution of any single supplier.”
In 2019, KP Snacks delivered £50m of the £96m category growth (vs Pepsico’s £2.5m) and the KP Snacks portfolio is currently growing in value at +6.2%, ahead of the overall category at +2.7%.
“Following on from the success of our largest NPD to date, McCoy’s Muchos, in 2020 KP Snacks launched McCoy’s Fiery Steak,” says Collins. “The launch was inspired by the iconic McCoy’s Steak flavour with a bold punch of heat to spice up the nation’s favourite snacking occasions. McCoys Fiery Steak are available in Grab Bag and PMP formats for example.”
2019 was also the most successful year ever for Hula Hoops. Sub brands Hula Hoops Puft and Hula Hoops Flavarings helped to move Hula Hoops from number five to number four spot in bagged snacks. Hula Hoops Flavarings, which launched in mid-2018 to extend beyond lunchtime into sharing occasions, joins a brand portfolio that has also extended into permissible snacking with Hula Hoops Puft which, at under 72 calories per pack, is one of the lowest calorie snacks in the market.
But what are the key factors driving growth? Collins explains: “The number one category driver is taste, and we are in the business of making great tasting snacks that serve a number of customer and shopper occasions, across all snacking segments (crisps, snacks, nuts, popcorn), delivered in all formats (singles, multipacks, sharing) and up and down the value spectrum.”
PMPs are also important in convenience, with 83% of retailers saying PMPs sell faster than non-PMPs. Many products in the KP Snacks range available in PMP.
Collins offers these tips to maximise sales:
Must Stock Ranging: stock a strong core that covers the top selling lines which will deliver category growth – 60% of sales go through the top 50 best sellers.
Make your fixture easy to shop: blocking similar type products together such as ridged crisps will make it easier for your shoppers to find what they need
Drive impulsive purchases: 38% of shoppers buy something from a secondary sighting. Make use of impactful branded display and POS such as stackers and dump bins to drive basket spend.