SNAC World - Official State of the Industry 2020 - 36

CHEESE SNACKS

STATE OF THE INDUSTRY

THE REAL DEAL

c

Cheese snack
snacks are driven by consumers who seek indulgence as well as real cheese flavors. The category posted
an increase of almost $18 million in sales for the first
three months of 2020 ending March 15, at the start of
the coronavirus (COVID-19) pandemic, as compared with
2019. Cheese snacks saw tremendous growth with sales
topping $2 billion for the 52 weeks ending June 14, 2020,
according to IRI's quarterly retail sales report for the US
snacking market.
While indulgence was a huge driver during the pandemic, trends for healthier snacks are resuming. Cheese snack
brands offering baked products with clean labels and real vs.
processed cheese flavorings with great taste also did well
with consumers, according to IRI's sales data. For example,
the Cheetos Simply brand from PepsiCo's Frito-Lay, Plano,
Texas, increased dollar sales by 20.9%.
Nottingham, Pa.-based Herr Foods' cheese snacks posted
9.1% growth, according to IRI. Herr Foods Good Natured
Selects White Cheddar Puffs are baked, not fried, and made
with real cheese.
"We certainly saw growth in indulgent snacks, such as potato chips and cheese curls during the pandemic," said Jim
Herr, senior vice president of marketing and R&D, Herr Foods.
"While we expect demand for these items to remain
strong, it is likely that BFY will increase, as well as demand for
new and exciting products," Mr. Herr said.
Taste drives choice the most, according to Packaged
Facts' "US Food Market Outlook 2020," updated in June.
Continued flavor experimentation with bolder, spicier, unique
and unexpected combinations, as well as ethnic flavors, will
appeal to consumers who seek products that offer enhanced
taste experiences.
Real cheese snacks like crisps and bars are growing.
They satisfy multiple consumer preferences with appealing
attributes. Brands, like Sonoma Creamery, Sonoma, Calif.,
and ParmCrisps resonated with consumers as evidenced by
tremendous growth in dollar sales, increasing 40.0% and a
whopping 93.4% respectively.
ParmCrisps, Montclair, NJ, feature flavors such as

UTZ-CHEESE SNACKS

2018-2019

2019-2020

Dollar sales this 52-weeks compared
to the same period last year ($mil)

$65.5

$82.3

An increase of

36

SNAC WORLD 2020

25.7%



SNAC World - Official State of the Industry 2020

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SNAC World - Official State of the Industry 2020 - 1
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