hears this question from consumers: “Are your wine gums suitable for vegetarians?” Until recently, the answer was no. It’s widely known that the traditional gelatin used as the binding agent in wine gums and other confection gummies is animal-based, but that is changing. Waterbridge listened to customers and worked with food scientists to replace gelatin with modified potato and tapioca starch. Use of beeswax precludes classifying the product as vegan. However, they are suitable for vegetarians and contain no animal by-products. As established companies shift their ways, many new confection players are differentiating themselves from the outset with plant-based offerings. For instance, The Yumy Candy Company is a health-conscious low-sugar plantbased confectionery company based in Vancouver. Its portfolio of healthier gelatine-free candies just got picked up by The Hudson Group, one of North America’s largest travel retail chains operating more than 1,000 stores across the U.S. and Canada. “While vegan claims were once predominantly used as secondary or tertiary claims in combination with other ‘free-from’, organic or health positionings, they are now coming to the fore as a primary focus,” according to research from Innova Market Insights.
Case in point: Dare’s Real Fruit Gummies put their “certified plant based” differentiator front and centre, as emphasized in a recent cheeky ad campaign: “Zero animals harmed. But we beat the pulp out of fruit.” Not just for vegans This is in keeping with the widespread shift of animal-free products further into the mainstream, with numerous global consumer surveys showing people are interested in plant-based foods across different categories. It not only appeals to vegan or vegetarian consumers, but also a much broader audience of so-called flexitarians. Consumers are embracing plantbased snacking for a number of reasons and companies are paying attention (Exhibit 1). In 2020, 67% of all new products with ‘plant-based’ claims were launched outside of the usual dairy and meat alternatives sectors, with confectionery being a primary focus, according to Innova. A growing number of milk-free and gelatin-free chocolate confectionery products are hitting store shelves, some being new twists on old favourites. In 2021, Nestlé launched KitKat V, what it calls “a great-tasting, no-compromise vegan version of KitKat.” Alexander von Maillot, head of confectionery at Nestlé, said at the time: “ One of the most common requests we see on social media is for
EXHIBIT 1
SHUTTERSTOCK.COM
Extremely/very important drivers for consumers making plantbased food/beverage choices ( Source: HealthFocus International) PROMOTES HEALTH
61 %
HELPS PREVENT DISEASE
57 %
TASTE PREFERENCE
57 %
COST
56 %
BETTER TREATMENT OF ANIMALS
55 %
EATING CLEAN
53 %
MORE ENERGY
53 %
LIFESTYLE PREFERENCE
51 %
ENVIRONMENTAL / SUSTAINABLILTY
48 %
CCentral.ca
The global vegan chocolate confectionery market size is expected to reach $1 billion by 2027, rising at a market growth of 12.3% CAGR during the forecast period, according to data from Research and Markets a vegan KitKat, so we’re delighted to be able to make that wish come true. This is for everyone who wants a little more plant-based in their life when they treat themselves!” While total confectionery launches rose at a CAGR of less than 2% from 2016 to 2020, those with vegan claims increased at 17% CAGR. “More dynamic still were confectionery launches under the simpler ‘plantbased’ banner, with introductions more than doubling in 2020 alone,” according to Innova. On the back of the successful 2019 launch of a vegan version of its Galaxy bar, in 20021 Mars gave two more of its most iconic chocolate bars—Bounty and Topic—a vegan makeover. The products were both gluten-free, but vegan got top billing. Don’t leave it to chance Flipping a coin on plant-based confection is not an option. Suppliers are already getting on board, and consumers are voting with their purchasing power. The only question that remains for distributors and c-store operators is how far/fast you want to move to make room for and promote this burgeoning sub-category of confectionery products. CSNC Darren Climans is a foodservice insights professional with close to 20 years’ experience partnering with broadline distributors, CPG suppliers, and foodservice operators. His practice is to understand issue-based decisions by taking a data-driven approach to strategic decision making.
Convenience Store News Canada
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May | June 2022
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