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Home › Food›CPG


BETTER-FOR-YOU BRANDS ARE DISRUPTING THE SNACKS CATEGORY

By Audrey Altmann
Published: April 21, 2022


(Image credit: PeaTos)

Sign up for Consumer Brands SmartBrief today, free.

While healthier foods and beverages have been trending for several years, these
types of products have become even more relevant to consumers since the onset of
the coronavirus pandemic. The snacks industry has long been dominated by legacy
brands, but many startups and challenger brands are disrupting the category.

“A key factor is the easy access to information,” said Nick Desai, founder and
CEO of pea-based snack brand PeaTos. “The proliferation of the internet and
tools like Google have made information on food products and their link to our
health and well-being a mainstream topic of discussion which led food companies
and regulators to revisit and upgrade their way of thinking.”

As consumers thought more about health, they also found that functional foods
and beverages could be used to address specific health concerns and boost
overall wellness.

“Innovative food and beverage brands — many of whom were born online — are more
holistic lifestyle brands,” said Shaunak Amin, founder and CEO of SnackMagic.
The customizable snack and swag service recently launched its consumer packaged
goods data insights platform, CPGpulse.




“TASTE IS ALWAYS KING”

Although consumers are seeking better-for-you snack alternatives, almost no is
willing to sacrifice delicious flavors in their new options.

“Taste is always king,” said Amin. “Brands should strike the right balance
between marrying good taste with function, innovative brand messaging and
sustainability.”

Product taste is also a chief concern for PeaTos, which recently reformulated
its line of snacks to be dairy-free, also making the brand entirely vegan.

“PeaTos has always looked to bridge the gap between our desire for tasty and fun
snacks with our desire to be better about nutrition, which sometimes seem to be
competing interests,” said Desai. “We want to eliminate that trade-off.”

Amin reports that SnackMagic’s CPGpulse data shows that customers are
enthusiastic about trying new food products, but most shoppers are still seeking
out the most common categories: cookies, confections and savory crunchy brands.
He cited the top savory brands, according to the platform, as Kibo Foods, Air
Cheese and Love Corn, with Kibo’s chickpea chip as a specific example of an
innovative product in an already well-known category.

“It’s important to explore new flavors but have a familiar form factor,” said
Amin.




DATA INSIGHTS AID SNACKS BRANDS

Desai reports that PeaTos has experienced growth during the pandemic, and many
new customers have connected with the brand online, which has allowed for more
frequent and direct communication. This contact helps the brand continue to
deliver products that consumers are seeking.

In order to help meet the needs and desires of snacking shoppers, CPGpulse
offers brands – as well as retail buyers and investors –  information on several
topics, such as first-party commerce performance, reviews and the ability to
move product.

“All this combined helps brands use our platform to experiment quickly with new
flavors and marketing attributes,” according to Amin. 

He added that the company also has the capability to do A/B testing with
prototype packaging as well as product testing via its SnackDrop sampling arm,
allowing brands to make changes before larger-scale manufacturing and marketing
efforts.

“Consumers are turning to their food and drink as fuel to get through their busy
lives and brands have taken notice,” said Amin.

Recent related stories:


 * Ideas in food and beverage: Six trends for 2022
 * Cooking today: Ideal meal aspirations and challenges
 * Health and wellness 2022: Navigating consumer aspirations, approaches

_____________________________________

If you liked this article, sign up for SmartBrief’s free email newsletter from
the Consumer Brands Association. It’s among SmartBrief’s more than 250
industry-focused newsletters.

Tags ⋅ healthy snacks ⋅ snacks ⋅ PeaTos ⋅ SnackMagic ⋅ CPGpulse ⋅ better-for-you




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