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Balancing Act

Sweet and savoury treats appear to be fairly recession proof as suppliers and caterers continue to be innovative and responsive to dietary choices. John Porter reports.

It's official, or at least as official as any pronouncement on public health can ever be. The new Health Secretary Andrew Lansley reckons "it is perfectly possible to eat a Mars bar or a bag of crisps, or have a carbonated drink if you do it in moderation, understanding your overall diet and lifestyle".

While that statement will no doubt send shivers of outrage through the army of health lobbyists who have spent the past few years working to convince us that snack food is the root of all evil, his view will be welcomed by caterers and their customers.

The Minister went on to say that "it is not about good food and bad food, it is about good diet and bad diet", but also made it clear that he expects companies that supply crisps and chocolate to play their part in giving people the information they need to make responsible dietary choices.

The industry points out that it has already been doing its bit. Pepsico UK, owner of crisps market leader Walkers, as well as spin offs including the upmarket Sensations range and the all natural Red Sky brand, launched a health report in March this year.

It sets out the progress the company has made so far – the salt content in the core Walkers range has reduced by 55% since 2005, with saturated fat reduced by 70% in 2006.

There are also pledges for the next few years, including a commitment that 50% of savoury snacks will be baked or include 'positive nutrition' – such as the Sunbites brand which contains wholegrain – by 2015.

PepsiCo UK president Richard Evans says: "In recent years, PepsiCo UK has responded to public health concerns by tackling the core of its business, reducing salt and saturated fat on crisps and snacks, and building strong no sugar cola brands. We've achieved a great deal, but we're committed to going further.

Transforming the business won't be easy but the changes we propose are real and achievable."

Much of the group's NPD reflects this commitment. The latest Red Sky flavour is sea salt and Suffolk cider vinegar, which the company claims to be the first natural vinegar potato chip in the market. Sensations, which were reformulated last year to be made without MSG, artificial colours and preservatives, added a roasted tomato and aromatic spices flavour this year.

Nick Stuart, commercial manager of UBUK – owner of brands such as KP and McCoys, says: "Some consumers don't necessarily want to have to make a conscious decision about buying and eating healthier products. They're looking for nutritional improvements to their old favourites, and want manufacturers to make every effort to produce products that fit into their daily lives and help achieve a healthier balance."

He also makes the point that caterers need to take the state of consumers' finances into account, as well as their health. Nielsen figures show the bagged snacks market growing at 5% a year ahead of the total snacking market.

"Snacks are one of the last areas that people look to cut back on as they are seen as a relatively inexpensive treat. In foodservice, consumers who economise on buying a meal at work or college may still supplement their packed lunch with a treat such as a bag of McCoys.

"We are hoping to see the economy continue to improve and expect that we will see a slow but steady recovery. The adult sharing sector is set to continue to grow so foodservice operators should be sure to make the most of this by stocking the right ranges such as sharing bags."

The lunchbox trend is also growing, he says. "Foodservice operators should prepare for this by offering meal deals for customers."

The resilience of the snacking sector is encouraging new players to move into foodservice. Warburtons, well known for its bread and bakery products, recently launched ChippidyDooDaa baked pitta chips and SnackaDoodle wholegrain snacks.

Also expanding its presence in the sector is Cranberry Enterprise, best known for its stands at railway stations selling snacks. Its range of grab bags includes nuts, fruit and coated products made with chocolate and yogurt. Director of sales Trevor Stroud says: "Consumers want to eat healthily but often the choice they make at point of sale is different. Our products tread a line between healthy snacks and indulgent treats – consumers may pick chocolate covered macadamias on one occasion and mixed raw nuts on another."

Its range crosses the divide between bagged snacks and confectionery, and this difference between consumer aspirations and how they actually behave is also commented on by Nikki Adamo, head of marketing at Nestlé Professional.

"Over the last few years there has been a significant change in how the consumer behaves. We now not only look for a delicious treat, but we want to know if the bar we're tucking into is made with natural ingredients, and how it fares against other snacks in calories and saturated fats. Research also shows we don't always act on this information, but it has certainly become more important to consumers to have access to these facts."

Bep Sandhu, trade relations manager with Mars, which supplies foodservice market leader Twix, says: "With long term sales growth, the confectionery market is worth more than the crisps and fizzy drinks markets combined."

Brands drive the foodservice sector, with 70% of confectionery bought on impulse. Sandhu says 42% of customers buy a snack before lunch "but confectionery is consumed at different times during the day".

While caterers should ensure they have all the market leaders on display, Cadbury's trade communications manager Kate Harding says that NPD is an extremely important factor in driving sales for retailers "because it creates interest, variety and excitement". She says Cadbury invests heavily in its launches to ensure customers have maximum support to drive sales by raising awareness of new lines.

Last year it launched bitesize Clusters, Caramel Nibbles, Cadbury raisins and peanuts in resealable pouches, and recently it added Crunchie Rocks. It has also expanded its fairtrade range with Cadbury Dairy Milk chocolate buttons.

Bringing things full circle back to savoury snacks, comedian Harry Hill is also supporting fairtrade with his own brand of fairtrade nut snacks, Harry's Nuts!, developed with nut specialist Liberation Foods.

Hill makes no money from the products, which benefit smallholder farmers in Malawi, Mozambique and other countries. He says: "I've been heavily involved in getting the taste right for Harry's Nuts! and with the pack design. I'm working with Liberation and it's great that the company is run to benefit the farmers and their families."

Words John Porter