Snack World - May 2012 - 24

S TA T E O F T H E I N D U S T R Y R E P O R T

but if they can simultaneously make consumers feel good about what they or their children eat, that gives brands an added edge,” observed John Rodwan, editorial director, BMC Information Services, a division of Beverage Marketing Corp. “Hence the many 100-Cal packs or products without high-fructose corn syrup or much salt,” Mr. Rodwan added. “Not every snack needs to be exclusively healthy, but an air of virtuousness doesn’t hurt.” Many snack products are seasonal in nature. Better Made Snack Foods, Detroit, MI, introduced tortilla strips and two salsa dips in 2011 just in time for Cinco de Mayo. “We’ve been considering adding a new tortilla product and salsas for a while and these two go together quite well,” said Mike Schena, COO of Better Made Snack Foods. “From what we’ve seen so far, people are really enjoying them.” As owner of the Top 5 tortilla chip brands, Frito-Lay North America, Plano, TX, dominates this category even more so than in potato chips. These five brands — Doritos, Tostitos Natural, Tostitos Scoops, Tostitos and Santitas — account for more than 72% of tortilla chips’ dollar sales in supermarkets, drug stores and mass merchandisers, excluding Wal-Mart, according to SymphonyIRI Group scan sales data. Doritos remains the king of the tortilla chip category, raking in nearly $800 million annually, according to SymponyIRI, and its sales jumped sharply this past year, increasing 10.3%, after ticking up only 1.6% the previous year. Frito-Lay launched several new Doritos products this past year, including Doritos Tapatío, which adds the distinct hot sauce-flavor to its top-selling Nacho Cheese-flavored tortilla chips. “We understood through insights we gathered through social media that there was a trend happening with Tapatío,” said Holly Deal Ramage, R&D scientist, Frito-Lay North America. “As we developed the idea, we wanted to define the Tapatío consumer: Where are they coming from and what are their purchasing behaviors? “So we received good insight about a consumer habit and worked against it to capture the habit and create a fully developed product,” she continued. “We partnered with the company that makes the hot sauce and were able to launch

three flavors that were Tapatío-inspired. In this case, we were able to find the right partner and give the product authenticity.” This spring, the company rolled out Doritos Jacked, which are 40% larger in size and thickness. Available in Enchilada Supreme and Smoky Chipotle BBQ varieties, Doritos Jacked tortilla chips deliver intense flavors upfront followed by a twist of spice or tanginess, according to Frito-Lay. Even more recently, the company introduced its Doritos Dinamita tortilla chips that are rolled into a taquito-like shape. With flavors such as Chile Limon and Nacho Picoso, Doritos Dinamita pack a zesty punch and offer flavors often found in Latin America cuisine. John Compton, CEO of PepsiCo, parent company of FritoLay, called the Dinamitas “edible sticks of dynamite,” at the Consumer Analyst Group of New York Conference in February. Frito-Lay also is benefiting from the natural food craze. Tostitos Natural tortilla chips’ sales increased more than 126% this past year to become the second-largest brand after Doritos, but it may have been partly at the expense of its more traditional chips, as Tostitos and Baked Tostitos chips’ sales fell more than 53% and nearly 15%, respectively. Shearer’s Foods, Inc., Brewster, OH, offers all-natural Tangos brand tortilla chips, which offer some healthier attributes such as being lower in sodium, and depending on the flavor, the brand’s tortilla chips include items such as flaxseed, blue corn and fire-roasted vegetables. Old Dutch Foods, Roseville, MN, recently came out with All Natural Blue Corn Restaurante Style tortilla chips, as well as Old Dutch Restaurante Style Salsa Bowls, which are bowlshaped bite-size tortilla chips for dipping. The company also rolled out Sweet Chili and Sea Salt and Lime varieties of its Dutch Gourmet Whole Grain tortilla chips. Herr Foods, Inc., Nottingham, PA, also launched a tortilla chip product promoting the better-for-you attributes. Herr’s Sesame Rice tortillas chips feature high-fiber brown rice and sesame seeds that are naturally rich in copper, calcium, magnesium and iron. — Shane Whitaker

BROUGHT TO YOU BY FUCHS NORTH AMERICA, HEAT AND CONTROL, J.R. SHORT, MINSA, PRINTPACK, INC., AND TNA NORTH AMERICA

Snack World

May 2012

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Snack World - May 2012

Table of Contents for the Digital Edition of Snack World - May 2012