Diving Into Salty, Healthy Snack Trends
The snack category continues to thrive with growth and innovation, even as inflation remains a concern and consumer snacking preferences evolve
The salty and healthy snack segments in particular are rapidly gaining attention from consumers as they continue to search for the next big snack trend
Within the salty segment, crackers and potato chips are popular across all age groups, while on the better-for-you f r o n t , f r u i t s a r e m o r e p o p u l a r w i t h shoppers aged 18-34 (67%) and 35-54 (71%) than with older demographics, a c c o r d i n g t o 8 4 5 1 ° ’ s “ C o n s u m e r Digest: Snacking Trends May 2024.”
Other healthy or salty snacks that shoppers report eating are tortilla chips ( 5 7 % ) , p o p c o r n ( 5 7 % ) , v e g e t a b l e s (48%), nuts (54%), yogurt (51%), pretzels (44%) and granola bars (43%). The report also found that compared to one year ago, 31% of respondents are b u y i n g m o r e h e a l t h y / b e t t e r - f o r - y o u snacks, 27% are checking ingredients more and 12% are buying more organi c / n a t u r a l s n a c k s . C u s t o m e r s m e nt i o n e d a v o i d i n g h i g h - f r u c t o s e c o r n syrup (49%), artificial sweeteners (40%), hydrogenated oils/trans fats (34%) and sugar (34%) when buying snacks.
W i t h t h e s e e v o l v i n g s n a c k i n g habits in mind, c-store retailers are prioritizing the reset of their snack aisles to stay ahead of new trends.
Salty Snack Sales
Within the salty snack category, potato
c h i p s r e m a i n t h e t o p p i c k f o r c o nsumers For the 52 weeks ending June 16, potato chips earned $2 43 billion in dollar sales, resulting in a 6 3% increase, a c c o r d i n g t o C h i c a g o - b a s e d m a r k e t research firm Circana The unit sales for potato chips stayed steady, with only a
0 4% increase for the same period
Pretzels, too, saw an increase in dollar sales Pretzels reached $381 million in dollar sales, a 4 6% increase for t h e 5 2 w e e k s e n d i n g J u n e 1 6 , p e r Circana However, pretzels’ unit sales decreased by 3% for that same time frame, which could be caused by the 7 8% increase in the price per unit
“I believe unit sales will continue to go down if retail continues to increase,” said Mike Jackson, Category Manager
f o r H i g h ’ s , w h i c h h a s 5 9 s t o r e s i n Maryland, Delaware and Pennsylvania “I think the retails on some items have hit their breaking point Even nationally known brands have taken a hit in unit sales due to the ever-increasing retails.”
Regardless of inflation, new trends are making their way into convenience stores.
“We are seeing a lot of new flavors in the salty snack category. Spicy and fiery flavor profiles are still expanding,” said Jackson. “There have also been some interesting flavor limited-time offers that have come out this year.”
Additionally, consumers are still looking for the opportunity to save money while purchasing their snacks.
“While customers are still willing to spend money on snacking, they are more intentional about their purchase s , ” s a i d A l y s s a N o r e e
approximately 270 locations across five states. “We need to be able to deliver the products they are asking for at a v a
secure future purchases ”
Jackson, as well, mentioned that customers are looking for deals “Items such as chips have become so expensive, customers are looking for smaller packages and lower retails to satisfy their cravings,” he said
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Better-For-You Snacking Trends
Healthy snacks, however, have been seeing some mixed results regarding sales.
Granola bars reached $65.5 million in dollar sales, a 6.9% decrease for the 52 weeks ending June 16, noted Circana. The unit sales for granola bars also declined 13.1% for the same period.
“Healthy snacks, which generally had a slightly higher retail anyhow, have seen quite a decrease in units so far in 2024,” said Jackson. “I expect the u n i t d e c r e a s e t o c o n t i n u e i n 2 0 2 5 unless manufacturers figure out a way to lower prices ”
On the bright side, other healthy snacks are seeing growth in sales at cstores Fruit rolls/bars/snacks earned $300 million in dollar sales, resulting in a 7 9% increase for the 52 weeks ending June 16, according to Circana
Nutritional/intrinsic health value bars also saw an 8 3% increase in dollar sales and a 2 2% increase in unit sales for the 52 weeks ending June 16, noted Circana
Once GetGo began to evaluate its healthy snack offerings, it started to see growth in sales
“In 2023, we remerchandised our bar/breakfast set to dive deeper into t h e t h e m e
doing really well The right assortment in that set will be the key to growth ”
At High’s, Jackson has also seen the flavor innovation trend trickle into the healthy snack category
“There have also been some interesting flavor additions to the perceived healthy product lines The new Pringles Harvest Blends lineup would be an example of this,” said Jackson
To keep salty and healthy snack sales growing, retailers are doubling down on bringing in new and innovative snacks for consumers to try
GetGo has been leaning into its
private-label snacks and introducing new ones when possible “
and top-selling items in the assortment We are also completing macro store resets to better allocate space to sales throughout the store For example, many stores will gain space for the salty category on the warehouse side,” explained Noreen.
High’s is trying to combat lost sales due to inflation. The convenience store chain has begun bundling snacks with beverages to offer reduced retail across two of its most popular categories.
“
o m e smaller packages to keep retails down as much as possible,” said Jackson. “Some items that have become too
d from our sets and replaced with lowerretail items.”
All in all, as long as flavors and products continue to be introduced in the healthy and salty categories, inflation will not stop these snacks from seeing even more growth going into 2025.
“Categories like healthy and salty snacks are inundated with new brands. Some of these are true winners and contributing positively to the growth of the categories Retail strategies need to find the balance between proven brands and brands that are offering something new and eye-catching,” said Noreen
Alcohol Consumers Angle for Singles, Variety
A l c o h o l , p a r t i c u l a r l y b e e r , h a s l o n g been a convenience store staple, and over the years, variety and ever-revolving flavors have become draws for the category Very few segments are affected by fads and new trends like alcoholic beverages
“There is very little brand loyalty anymore as new drinkers entering the segment are looking to try different styles/flavors across a range of products and seem to be looking for flavorf
n change their buying habits based on the occasion they are buying for ”
New brands are constantly emergi n g , p a r t i c u l a r l y w i t h s e l t z e r s a n d ready-to-drink (RTD) cocktails. And the popularity of certain flavors will determine their longevity.
Growth Drivers
At GPM Investments, which operates 1,543 stores under multiple banners, customers are reverting to pre-COVID lifestyles and trends. For instance, the premium segment is leveling off and super premium beers are rebounding.
Additionally, as this continues, single-serve options are outperforming m u l t i p a c k s , w h i c h , M a b r y n o t e d , i s changing the sales mix and driving dollar sales decline but pushing margin percentages upward.
Even small and midsized packs of beers – six-packs, eight-packs and 12packs – are receiving hits in both the premium and value segments
Inflation might be a factor in the trading down from packs to singles
T h e e c o n o m i c p h e n o m e n o n i s a l s o c o n t r i b u t i n g t o s w i t c h i n g t o m o r e affordable brands and fewer trips
7-Eleven, which operates, franchises and/or licenses more than 13,000 stores across the U S , also sees singles growth
“(This) addresses pressure on customers’ wallets, allows trial without a large financial commitment, and allows for variety with mix-and-match multiples promotions,” said Ryan Schemmel, P r o d u c t D i r e c t o r , A l c o h o l , 7 - E l e v e n Schemmel has also noticed an increase in the adoption of 16-ounce beer multipacks
Mabry noted imports and full-flavored malt beverages, too, are gaining share Hard teas, in addition to the single-serve flavors, contribute to flavored malt beverage (FMB) growth
“For hard teas, the leading brand continues to see double-digit growth with newer brands all showing positive signs and adding to the growth of the category,” Mabry further expanded
Hard seltzers are also still bringing in customers at GPM, even though they
are declining overall
“In states where it is legal, there is continued movement toward RTD beverages, which is taking customers from all segments (beer/wine/liquor) The RTD category is expected to increase as more brands try to enter the segment It will probably follow a similar pattern to seltzers in that there will be a lot of new brands, however only a handful of them will contribute to the majority of sales,” Mabry added
Heading into fall, summer flavors will take a backseat to craft’s flavor-forward products at GPM
“It is craft singles that are driving unit growth, but dollar decline in the craft category,” said Mabry
The 19.2-ounce craft singles have become the preferred craft package, and customers who like to try different brands can do so at a reasonable cost.
Non-Alcoholic and New Brands
One trend that isn’t going away among c o n s u m e r s i s t h e p r o c l i v i t y t o w a r d health and wellness. And for some, this transfers into the alcoholic beverage category.
“We’ve seen conflict between alcohol consumption and the growing emphasis on health and wellness, particularly among younger consumers. Millennials and Gen Z are increasingly prioritizing their physical and mental health, leading many to reevaluate their drinking habits,” said Evan Shirley, Associate Partner at Clarkston Consulting.
Due to this, some non-alcoholic beers, wines and cocktails are becoming more mainstream
Athletic Brewing Co is a popular brand among non-alcoholic beer
“(The company) represents 19% of the domestic non-alcoholic beer market,” said Shirley, referencing NielsenIQ data “They recently acquired one of the largest brewing facilities in San Diego, signaling confidence in its ability for continued growth ”
Case sales for non-alcoholic beer increased 17 1% for the 52 weeks ending July 14, reported market research f i r m C i r c a n a D o l l a r s a l e s j u m p e d 23 2% Non-alcoholic wine drinks also saw growth for the past year
Following this trend, alcohol is seeing some competition from new-age soft drinks Functional soda, enhanced w a t e r , c i d e r , k o m b u c h a a n d m o r e appeal to health-conscious customers seeking flavorful alternatives to alcohol, noted Shirley
Non-alcoholic beverages aren’t a solution everywhere, however
Although the segment is growing, it’s a small segment of overall sales, noted Mabry “And in a small-format set they will not contribute enough dollars for the shelf space required ”
In the adult beverage category, non-alcoholic options aren’t the only i n t e r e s t i n g s e g m e n t t o w a t c h Innovation is everywhere in this space
For example, Mabry has noticed m a n y c r o s s o v e r b r a n d s w i t h n a m e recognition such as Mountain Dew, Lipton, Arizona and Topo Chico that will drive initial trial, as well as celebrity brands Taste will be the factor that brings repeat purchases
“It usually takes a full year to really know if a brand can make it You always want to experiment with new brands to get the initial trial and then see where consumers land to determine brand longevity Seltzers are a prime example; a lot of brands entered the space with some hanging on, but it’s primarily two brands at the top,” Mabry said
Looking ahead, he believes imports and FMBs will drive growth, and singleserve options will gain trial for emerging brands RTDs and wine-based smallformat packages will also expand
7-Eleven, having seen a popular trend centered on party wine such as Buzzballz and Beatbox, is also witnessing more entrants into this emerging space.
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Swipe Fees Tally $224 Billion in 2023
The MPC, in collaboration with its consulting firm CMPSI, recently revealed new data which showed that swipe fees from big banks and card networks totaled $224 billion last year – nearly a third more than previously believed T h e n e w S t a t e o f t h e I n d u s t r y Report released by CMSPI shows that credit and debit card s w i p e f e e s t o t a l e d $224 billion in 2023 That compares with $172 billion reported t h i s s p r i n g b y t h e Nilson Report, a trade publication that follows the card industry and is the most widely quoted source of data on swipe fees In addition, CMSPI said Visa and Mastercard credit card swipe fees averaged 2 94% of the transaction amount l a s t y e a r , c o m p a r e d w i t h a 2 2 6 % reported by Nilson
formed in 2023
Typically ranging from 2-4%, swipe fees are most merchants’ highest operating cost after labor and have to be built into pricing The total amount collected has more than doubled over the p a s t d e c a d e a n d t h e f e e s d r i v e u p prices by about $1,700 a year for the
with over $1,100
b a
Nilson numbers
Congress is considering the Credit Card Competition Act, which is aimed at reducing swipe f
y price-fix swipe fees charged by banks that issue cards under their brands, and a
While Nilson does not specify what swipe fee components are included in i t s n u m b e r s , C M S P I s a i d i t s f i g u r e s include interchange fees, which go to c a r d - i s s u i n g b a n k s ; n e t w o r k f e e s , which go to card networks like Visa or Mastercard; and processing fees, which go either to a merchant’s “acquirer” b a n k o r a t h i r d - p a r t y p r o c e s s o r Interchange, the largest of the fees, accounts for $143 billion of CMSPI’s 2023 total
CMSPI’s report was prepared in collaboration with its Insights Advisory Council, a panel made up of representatives of major merchants that was
processed over other networks that could do the job with lower fees and better security
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assets to enable cards they issue to be processed over at least two unaffiliated networks – Visa or Mastercard plus a competitor like NYCE, Star or Shazam That would make networks compete over fees, security and service and is expected to save merchants and their customers $16 billion a year F
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Blink Charging (Cont’d from p 1)
i n c r e a s e f o o t t r a f f i c , i n c r e a s e d w e l l time (89% of drivers make a purchase while charging), build brand loyalty, add a new revenue stream and posit i o n y o u r b u s i n e s s a s a s u s t a i n a b l e leader
CRSD: How will businesses attract new customers?
MB: As a business boasting EV charg-
new Chewy Stix name Made with the s a m e g
y chewy taste that customers love, the n e w n a m e a n d p a c k a g i n g c r e a t e a promising opportunity for continued expansion and success in the convenience store channel
Optimized Packaging to Drive
Further Convenience Store Success
The name and packaging updates were d e v e l o p e d w i t h N i e l s e n ’ s c o n s u m e r
communications With a robust two watts of transmit power, the PKT-300 provides loud and clear Kenwood quality audio, even in high noise environments. The bright LCD display is easy to read in low light situations. The option to change frequencies or upgrade to 16 channels further extends the versatility of the PKT-300.
Features
• Compact, Lightweight Design & Operating Ease: Compact enough to carry anywhere with ease, the PKT-300 has a distinctively ergonomic form that’s easy to hold and operate. It weighs 4.87 ounces (138 g) with the rechargeable Liion battery and control buttons, which are simple to use with PTT, MON, MENU, CALL, UP and DOWN operations.
• T w o W a t t s o f T r a n s m i t P o w e r :
U S Retailers (Cont’d from p 1)
a b l e t o k e e p b o t h c u s t o m e r s a n d employees happy With the growth of e-commerce, customers of every brand c o n s i s t e n t l y f i n d n e w , c o m p e t i n g options online
“Retail and consumer products companies are finding that comprehensive, customer-centric strategies are essential,” said Sunder Pillai, ISG Retail & CPG practice leader “They are partnering with providers to plan and execute these strategies while controlling costs ”
Following pandemic-era disruptions, the mix of online and brick-andmortar outlets continues to change, and consumer behavior is still evolving, the report says Companies need more data, with better analysis, to accurately monitor and predict demand and inventory and personalize customer experiences
ing as an amenity, you’ll be able to attract new customers as the number of EV drivers grows, as well as build brand loyalty with existing drivers EV d r i v e r s h a v e a m u l t i p l i c i t y o f a p p s (including Blink’s mobile app) to locate chargers Once your business or store has their chargers up and running, your chargers register on these apps, easily leading EV drivers right to your storef r o n t E V c h a r g i n g i s c
y becoming more convenient for drivers, with chargers accepting multiple forms
research revealed that the Chewy Stix
marks among shoppers, 78% and 79%
core attributes: positive expectation of the texture, as well as sweet and sour and fruit flavor cues on the new packs
The updated packaging highlights the flavor and texture of the candy, emphasizing the delightful combination of sour and sweet and fruit flavors consumers love The switch from cellophane bags to more modern pillow
D e s i g n e d t o b e e a s y - t o - u s e , t h e portable has a full two watts of power for clear voice quality in noisy environments, yet it’s extremely lightweight (4.87 ounces).
• Programmable Channels: Users can modify each of the six or 16 preset channels to any of the 99 pre-stored frequencies.
• Four-Digit Seven-Segment LCD With B a c k l i g h t i n g : T h e l a r g e f o u r - d i g i t seven-segment display makes it easy to check on both channel and signaling information. There is also a three-level icon in the LCD to indicate how much battery power is left.
• Powerful Battery: The 2200 mAh lithium-ion battery lasts through multiple shifts without recharging. Ready to use, right out of the box.
• V e r s a t i l i t y : C u s t o m i z e y o u r r a d i o beyond the basic menu with programming software that allows full configu-
Changing business requirements are driving companies to the cloud for both scale and cost savings
To meet consumer demands for seamless experiences spanning online and in-store shopping, U S retail and C P G f i r m s a r
inventory management and order fulfillment systems, ISG says They are also implementing customer data platforms that combine multiple data sources and use AI to make recommendations With help from extended reality (XR) consultants, brands are using AR and VR for
instance, virtually trying on clothing
Fragmented data privacy laws in t h e U n
cohere into stronger national regulations on data collection, storage and use, the report says Enterprises are responding by adopting data gover-
of payment In short, you’ll significantly expand the number of eyeballs that have visibility into your location And it gives them a specific reason to go there
CRSD: What are the first steps toward adding EV charging to your business?
bags in a matte finish enhances both look and practicality Launching this early 2025, the new Chewy Stix will be available in 7-ounce packs in the Mixed Fruit, Raspberry and Green Apple flavors
Same Trusted Recipe and Deliciously Chewy Taste
The new and improved Chewy Stix line features the same, trusted recipe and delightful combination of sweet, fruitflavored stix with a sour filling that customers adore
r a t i o n o f b u t t o n s a n d o p t i o n s T h i s enhances usability, compatibility and reduces operator errors by restricting access.
T h e P K T - 3 0 0 c o m e s w i t h a b a t t e r y , charger, AC adapter and swiveling belt
c l i p h o l s t e r . T h e t w o - p i n c o n n e c t o r
w o r k s w i t h p o p u l a r a c c e s s o r i e s f o r a d d i t i o n a l v e r s a t i l i t y . T h e P K T - 3 0 0
Portable Radio comes with a standard two-year warranty. All accessories and options carry a one-year warranty.
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O r d e r s c a n b e p r o c e s s e d q u i c k l y a n d a c c u r a t e l y , b e c a u s e w e m a i n t a i n a l a r g e i n v e n t o r y o f K e n w o o d U S A t w ow a y r a d i o s a n d a c c e s s o r i e s . W e h a v e a s o l i d h i s t o r y o f e s t a b l i s h i n g a n d d e v e l o p i n g s u c c e s s f u l K e n w o o d b u s in e s s t w o - w a y r a d i o d e a l e r s b y h e l pi n g o u r d e a l e r s s u c c e e d a n d g r o w .
O u r d e a l e r s c o u n t o n u s f o r s a l e s t r a i n i n g a n d s u p p o r t , r e s p o n s i v e c u st o m e r s e r v i c e , t e c h n i c a l a s s i s t a n c e , m a r k e t i n g a n d p r o m o t i o n s , l o g i s t i c s s o l u t i o n s , r e p a i r s e r v i c e , w a r r a n t y s u p p o r t a n d m o r e . Y o u c a n t r u s t t h a t C u t l e r Communication Sales will do everything we can to become your most reliable and valuable source for two-way radio products and information.
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Increasing regulation of sustainability measures, such as waste reduction and eco-friendly packaging, are increasing the use of tracking and reporting tools
Automation is boosting the efficiency of retail and CPG operations through tools such as robotic wareh
steps to maintain the human touch where necessary, ISG says With learning management systems, some are helping employees develop skills for the new environment
T h e r e p o r t a l s o e x p l o r e s o t h e r trends in the U S retail and CPG industry, including the rising use of robotic
employee scheduling
The 2024 ISG Provider Lens Retail & C P G S e r v
It names IBM and Kyndryl as Leaders in
Darrell Lea (Cont’d from p 1)
Cutler (Cont’d. from p. 1)
