Calendar year Segment. Meat snacks $88.29 $ % Nutritional $49.07 $ %
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1 Where the Gains Are, 52 weeks ending Dec. 29, 2013 of salty snacks were a mixed bag in 2013, judging by IRI figures. The largest segment, potato chips, saw units off 2.6%, and cheese and corn snacks both lost unit volume as well. On the upswing: tortilla/tostada chips, snack nuts, pretzels, trail mixes and ready-to-eat popcorn, among others. Subcategory Potato chips $1, % % Dried meat snacks $1, % % Tortilla/tostada chips $ % % Other salted snacks (no nuts) $ % % Snack nuts $ % % Cheese snacks $ % % Crackers $ % % Corn snacks (no tortilla chips) $ % % Sunflower/ pumpkin seeds $ % % Pretzels $ % % Nutritional snacks/trail mixes $ % % Ready-to-eat popcorn/ caramel corn $ % % Pork rinds $ % % Toasted corn nut snacks $ % % Chocolate-covered salted snacks $ % % Customer in Focus According to its 2013 report on salty snacks, Packaged Facts reports that there are 50 million consumers who often snack between meals and agree that salted snacks are my favorite snack. Within this group, 14.2 million are healthy salty snackers, preferring salty snacks and also usually only snack on healthful food. They exercise frequently, seek out foods with healthful ingredients and do not see a conflict between craving salty snacks and pursuing a healthy snacking diet. Distributor Data: Snack Shipments Calendar year 2013 Shipments of snacks from distributor McLane were largely up in 2013, with meat snacks, nutritional bars, chips and nuts all among the gainers. Segment APSW** (in dollars) APSW (dollar growth) Meat snacks $88.29 $ % Nutritional $49.07 $ % Other salty snacks $38.71 $ % Chips/pretzels/rinds $32.46 $ % Nuts $31.76 $ % Cookies $30.55 $ % Crackers $15.52 $ % Trail mix $15.01 $ % Seeds/kernels $12.93 $ % Packaged popcorn $2.66 $ % Miscellaneous Snack s, 52 weeks ending Dec. 29, 2013 Source: McLane Co. C-store unit sales of trail mixes rose 15.1% in 2013, while chocolatecovered salted snacks were up 19.8%, according to IRI. Planters nutritional snack/trail mixes $ % % Snak Club nutritional snack/trail mixes $ % % Private-label nutritional snack/ trail mixes $ % % Frito Lay nutritional snack/trail mixes $ % % Flipz chocolatecovered salted snack $ % % brands $ % % ** Average shipments per store per week *** Warehouse-delivered salty snacks only 88
2 Latest Quarter: -Snack s, 13 weeks ending Dec. 29, Snack s (non-dsd), 52 weeks ending Dec. 29, 2013 The last quarter of 2013 saw a 2.6% increase in unit sales of salty snacks, with all of the top 10 s enjoying gains, according to IRI c-store figures. tortilla chip (3.375-oz.) $ % % Lay s Classic Potato Chip (2.875-oz.) $ % % tortilla chip (11.0-oz.) $22.6 N/A 5.4 N/A Ruffles Cheddar & Sour Cream potato chip (2.875-oz.) $ % % Cheetos Flamin Hot cheese snack (3.75-oz.) $ % % (2.625-oz.) $ % % tortilla chip (3.375-oz.) $ % % Cheetos cheese snack (3.75-oz.) $ % % (4.375-oz.) $ % %.4 $1, % % Cheetos cheese snack (3.75-oz.) $ % % s According to IRI figures shared by General Mills, direct-store-delivery (DSD) salty-snack sales rose nearly 4% in 2013 to hit $3.9 billion, with units up 0.7%. warehouse salty-snack sales grew 4.6% to reach $1.8 billion, with units up 1.1%. -Snack s by Dollars*** Gardetto s Original Snack Mix (5.5-oz.) $ % Sunshine Cheez-It Original Cracker (3-oz.) $ % General Mills Chex Mix (traditional, 3.75-oz.) $ % Wonderful Pistachio Whole (5-oz.) $ % Combos Pizzeria Pretzel (6.3-oz.) $ % s $1, % -Snack s by Units*** Keebler Peanut Butter Sandwich Cracker (1.8-oz.) % Planters Peanuts Regular (1.75-oz.) % Keebler Peanut Butter Sandwich Cracker (1.8-oz.) % Sunshine Cheez-It Original Cracker (3-oz.) % Keebler Club Cheddar Cheese Sandwich Cracker (1.8-oz.) % s 1, % Sources: IRI, General Mills Inc. Percent increase in tortilla-chip dollar sales in 2013, according to IRI 89
3 Snack-Nut and Seed Trends, 52 weeks ending Dec. 29, 2013 of nuts continued to chug along in 2013, with unit sales up 2.7%, according to IRI. Seed unit sales fell nearly 10%, although some of the top-selling brands Spitz, Bigs saw generous gains. Snack-Nut s Planters $ % % Frito-Lay $ % % Frito-Lay Munchies $ % % Wonderful $ % % Munchies $ % % Seed s $ % % David $ % % Frito-Lay $ % % Spitz $ % % Giants $ % % Bigs $ % % $ % % Potato-Chip Trends Potato-chip unit sales fell for the second year in a row, according to IRI c-store figures, with one-half of the top 10 brands seeing declines in unit volume. Potato-Chip s, 52 weeks ending Dec. 29, 2013 Lay s $ % % Ruffles $ % % Pringles $ % % Lay s Kettle Cooked $ % % Munchos $ % % Latest Quarter: s, 13 weeks ending Dec. 29, 2013 $1, % % Lay s Classic Potato Chip (2.875-oz.) $ % % Ruffles Cheddar & Sour Cream Ridged (2.875-oz.) $ % % Lay s Classic Potato Chip (10-oz.) $11.9 N/A 2.9 N/A Lay s Barbecue Potato Chip (2.875-oz.) $ % % Lay s Sour Cream & Onion Potato Chip (2.875-oz.) $ % % s $ % %.5 Percent jump in dollar sales of chocolatecovered salted snacks in 2013, per IRI data 90
4 Other -Snack Product Trends** In the large, catchall other salty snack segment, Funyuns led as the top-selling brand in c-stores and contributed the top-selling, according to IRI. Other -Snack s, 52 weeks ending Dec. 29, 2013 Funyuns $ % % Munchies $ % % General Mills Chex Mix $ % % Chester s $ % % Gardetto s $ % % brands Latest Quarter: s, 13 weeks ending Dec. 29, 2013 $ % % (2.625-oz.) $ % % (4.375-oz.) $ % % Munchies Cheese Fix snack mix (8-oz.) $ % % (6.5-oz.) $ % % (5.75-oz.) $6.7 N/A 3.4 N/A (including s $ % % Tortilla-Chip Trends While the venerable Doritos brand contributed more than 63% of c-store tortilla-chip snack sales, many brands further down the ranking saw strong growth in Bimbo Bakeries Barcel Takis Fuego units were up nearly 13%, and its 4-ounce Barcel Takis Fuego Hot Chili Pepper & Lime cracked into the top five tortilla-chip s, according to IRI. Tortilla-Chip s, 52 weeks ending Dec. 29, 2013 Doritos $ % % Barcel Takis Fuego $ % % Doritos Sabritas $ % % Doritos Jacked $ % % Tostitos Scoops $ % % (including Latest Quarter: s, 13 weeks ending Dec. 29, 2013 $ % % (3.375-oz.) $ % % (11.0-oz.) $22.6 N/A 5.4 N/A (3.375-oz.) $ % % Barcel Takis Fuego Hot Chili Pepper & Lime (4-oz.) $ % % (11.0-oz.) $10.3 N/A 2.5 N/A (including s $ % % Cross-Category Opportunity Research by Management Science Associates that examined two years of POS data and two months of total store transaction data at three midsize c-store chains found that salty snacks are most often part of large baskets. Indeed, 86% of salty-snack transactions included another category, with 68% of baskets including salty snacks having three or more items. Foodservice has a natural affinity for the category: Potato chips, tortilla chips and other salty snacks were among the top 10 items included in a foodservice market basket. ** Does not include nuts 91
5 Cheese-Snack Trends More than 92% of cheese-snack sales in c-stores in 2013 came from one brand: Cheetos, according to IRI figures. The 3.75-ounce Cheetos Flamin Hot was the top-selling in the final quarter of the year. Cheese-Snack s, 52 weeks ending Dec. 29, 2013 Cheetos $ % % Cheetos Mix Ups $8.3 N/A 5.4 N/A Herr s $ % % Golden Flake $ % % Utz $ % % Latest Quarter: s, 13 weeks ending Dec. 29, 2013 $ % % Cheetos Flamin Hot (3.75-oz.) $ % % Cheetos (3.75-oz.) $ % % Cheetos (3.75-oz.) $ % % Cheetos (9.5-oz.) $8.0 N/A 2.3 N/A Cheetos Flaming Hot Limon (3.75-oz.) $ % % s $ % % Cracker Trends Cracker unit sales were relatively static in 2013, according to IRI. The Kellogg Co. s Cheez-It, manufactured by its Sunshine division, was the top-selling brand and supplied the top-selling last year. Cracker s, 52 weeks ending Dec. 29, 2013 Sunshine Cheez-It $ % % Keebler (filled) $ % % Munchies (filled) $ % % Combos (filled) $ % % Nabisco Ritz Bits (filled) $ % % brands Cracker s, 52 weeks ending Dec. 28, 2013 $ % % Cheez-It Original (3-oz.) $ % % Keebler Toasted Crackers with Peanut Butter (1.80-oz.) $ % % Keebler Cheese Crackers with Peanut Butter (1.80-oz.) $ % % Frito-Lay Munchies Peanut Butter (1.42-oz.) $ % % Keebler Club Sandwich Crackers with Cheddar (1.8-oz.) $ % % Source: The Nielsen Co., Kellogg Co. 4$ Sales of snack nuts in 2013, according to IRI million
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