CSP Magazine

Snacks: Sweet Snacks 2014

Where the Gains Are

C-store sales, 52 weeks ending Dec. 29, 2013

Convenience store sales of baked sweet snacks reflected the tumult of the Hostess implosion in 2013, with unit figures for bakery snacks, doughnuts and muffins dropping. Cookies posted another strong year of sales growth—dollars and units both up around 6%, according to IRI—while the pastry, Danish and coffeecake segment also enjoyed strong gains in 2013, driven by strong growth for the top five brands.

SegmentC-store sales
($ millions)
PCYAUnit volume
(millions)
PCYA
Bakery snacks$631.2-8.9%504.5-4.9%
Cookies$615.56.3%591.36.1%
Pastry/Danish/
coffeecakes
$608.59.8%492.88.6%
Doughnuts$504.5-12.2%356.5-6.3%
Muffins$143.7-1.4%86.9-5.5%

Source : IRI


Category Management Tip

Consumers make their snack decisions based on the time of day, their mood and whether they are looking for a small nibble or something more substantial, according to research by General Mills. The key to merchandising the sweet-snacks section is to organize it by segment (cookies, bakery, and treats) and by brand, placing alike items together to make it easy for consumers, says Kelly Fulford, category development manager for General Mills Convenience. “For example, retailers can group nonchocolate sweet items together, and then transition into bakery-type items, leading into the more chocolate/indulgent offerings.” She advises retailers to group and organize cookies by brand and flavor.


Pastry, Danish and Coffeecake Trends

C-store sales, 52 weeks ending Dec. 29, 2013

With strong sales for all of the top 10 brands, pastry, Danish and coffeecakes grew dollar sales nearly 10% in 2013, according to IRI. The absence of Hostess allowed several brands and manufacturers to stretch out and pick up share.

Pastry, Danish and Coffeecakes by Brand    
BrandC-store sales
($ millions)
PCYAUnit
volume

(millions)
PCYA
Bon Appetit$181.924.8%101.618.1%
Little Debbie$126.930.7%177.822.4%
Mrs Freshley’s$44.544.7%37.034.0%
Private label$36.144.4%26.250.1%
Bimbo$32.813.6%19.39.1%
Total (including brands not shown)$608.59.8%492.88.6%

Source: IRI

Market Share by Brand  
BrandDollar sharePoint change
Bon Appetit29.9%3.6
Little Debbie20.9%3.3
Mrs. Freshley’s7.3%1.8
Private label5.9%1.4
Bimbo5.4%0.2
Others30.6%NA
Market Share by Manufacturer  
ManufacturerDollar sharePoint change
Bon Appetit Danish Inc.30.9%3.8
McKee Foods Corp.20.9%3.4
Bimbo Bakeries USA Inc.10.7%0.3
Flowers Foods Specialty Group8.0%2.2
Private label5.9%1.4
Others23.6%NA

Source: IRI

Bakery-Snack Trends

C-store sales, 52 weeks ending Dec. 29, 2013

In 2012, Hostess was the No. 1 bakery snack brand in c-stores, according to IRI, but in 2013 the rankings scrambled. Former No. 2 Little Debbie from McKee Foods was the top-selling brand in this segment last year, followed by Tastykake and Bon Appetit, IRI reports.

Bakery Snacks by Brand    
BrandC-store sales
($ millions)
PCYAUnit volume
(millions)
PCYA
Little Debbie$130.154.3%158.644.4%
Tastykake$75.951.6%48.150.7%
Bon Appetit$70.620.5%39.814.2%
Mrs. Freshley’s$39.6164.4%30.4140.1%
Private label$33.464.4%27.260.6%
Total (including brands not shown)$631.2-8.9%504.5-4.9%

Source: IRI

Market Share by Brand  
BrandDollar sharePoint change
Little Debbie20.6%8.4
Tastykake12.0%4.8
Bon Appetit11.2%2.7
Mrs. Freshley’s6.3%4.1
Private label5.3%2.4
Others44.6%NA
   
Market Share by Manufacturer  
ManufacturerDollar sharePoint change
McKee Foods Corp.23.8%9.3
Tasty Baking Co.19.0%5.7
Bon Appetit Danish Inc.12.0%3.2
Bimbo Bakeries USA Inc.8.8%2.3
Flowers Foods Specialty Group8.6%6.2
Others27.8%NA

Source: IRI


Cookie Trends

C-store cookie sales rose more than 6% in 2013, according to IRI, with eight of the top 10 brands seeing strong gains. Frito-Lay’s GrandMa’s brand added a few hundredths of a point in share. It also contributed four of the top 10 cookie SKUs in 2013, according to Nielsen figures.

Cookies by Brand     
C-store sales, 52 weeks ending Dec. 29, 2013    
BrandC-store sales
($ millions)
PCYAUnit volume
(millions)
PCYA
GrandMa’s$93.88.6%97.09.3%
Nabisco Oreo$39.95.5%28.32.4%
Little Debbie$35.021.2%63.619.5%
Private label$33.52.3%33.33.3%
Nabisco Chips Ahoy!$31.616.7%17.718.4%
Total (including brands not shown)$615.56.3%591.36.1%

Source: IRI

Cookie Dollar Share by Brand  
BrandDollar sharePoint change
GrandMa’s15.2%0.3
Nabisco Oreo6.5%0.0
Little Debbie5.7%0.7
Private label5.4%-0.2
Nabisco Chips Ahoy!5.1%0.5
Others62.1%NA

Source: IRI

Cookies by UPC    
C-store sales, 52 weeks ending Dec. 28, 2013    
UPCC-store sales
($ millions)
PCYAUnit sales
(millions)
PCYA
GrandMa’s Peanut Butter (2.875-oz.)$21.41.3%21.91.6%
GrandMa’s Chocolate Chip (2.875-oz.)$17.93.7%18.33.8%
Oreo Smile (2.0-oz.)$15.89.5%17.06.1%
Chips Ahoy! Mini (3.0-oz.)$12.7-1.8%8.3-9.6%
Nutter Butter (1.9-oz.)$12.62.5%13.80.6%

Source: Sources: The Nielsen Co., Kellogg Co.

Doughnut Trends

C-store sales, 52 weeks ending Dec. 29, 2013

McKee Foods’ Little Debbie brand topped the ranking of top-selling doughnut brands in c-stores in 2013, with 22.7% of dollar sales, according to IRI. Share was fairly fractured in the segment, with no one brand topping 30%.

Doughnuts by Brand    
BrandC-store sales
($ millions)
PCYAUnit volume
(millions)
PCYA
Little Debbie$114.726.1%140.424.0%
Krispy Kreme$64.7-11.1%21.9-30.2%
Mrs. Freshley’s$59.3185.1%38.7150.6%
Private label$58.544.3%44.650.9%
Tastykake$39.9107.4%21.6103.9%
Total (including brands not shown)$504.5-12.2%356.5-6.3%

Source: IRI

Market Share by Brand  
BrandDollar sharePoint change
Little Debbie22.7%6.9
Krispy Kreme12.8%0.2
Mrs. Freshley’s11.8%8.1
Private label11.6%4.5
Tastykake7.9%4.6
Hostess Donettes5.8%-23.7
Mrs. Baird’s5.7%2.2
Other21.7%NA
   
Market Share by Manufacturer  
ManufacturerDollar sharePoint change
McKee Foods Corp.22.7%6.9
Bimbo Bakeries USA Inc.15.0%3.1
Krispy Kreme Doughnut Co.13.5%0.6
Flowers Foods Specialty Group11.8%8.1
Private label11.6%4.5
Other25.4%NA

Source : IRI


Customer in Focus

According to recent research by Packaged Facts, 28% of consumers agree strongly or somewhat that they are cutting back on their consumption of breads and baked goods because of concerns about wheat flour, while 23% are eating less because of worries about gluten. In this same survey, 60% of consumers strongly or somewhat agree that they look for whole-grain or multigrain products. Meanwhile, 38% strongly or somewhat agree with the statement that they are buying fewer shelf-stable baked goods.

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