Meat Snacks: 2013 Growth--5.6%; Future Potential--$250 Million

Published in CSP Daily News

Better-for-you product categories are growing at three times the rate of traditional packaged snacks, according to The Nielsen Co. And consumers are demanding real protein. Sixty-seven percent of the population said they are seeking protein daily, according to research by Nielsen and The NPD Group, and yet meat snacks have only 25% household penetration, showing a big opportunity for growth.

Convenience-store sales of jerky finally surpassed sticks in 2013, up 5.6% in the 52 weeks ending Dec. 28, according to The Nielsen Co. However, this is about one-half the growth rate of all other channels and a break from two previous years of double-digit growth. The difference in pace may be driven by competitive channels that have placed jerky at their front-end checkouts.

The trick for c-stores is to increase meat-snack purchase frequency and drive traffic into the store. A 5-point increase in this household penetration would equate to $250 million in sales.

Impulse opportunity: Consider adding single-serve jerky to draw more customers into the category. According to Nielsen, 41% of jerky units and one-quarter of sales are from single-serve packages, which have a lower price point—$3.99 vs. $6.99 for a multi-serving package—and encourage buyers of lower-priced snacks to trade up.CSP, Nielsen Co., Oberto Brands

Data presented by Stephen Oberto of Oberto Brands during CSP's 2014 Driving Impulse Sales Forum.

CSP, Nielsen Co., Oberto Brands

Click here to view more meat-snacks and jerky sales data

Related Topics: 
meat snacks, salty snacks