The counterpart to salty snacks — sweet snacks and bars — is an essential c-store category driven in part by impulse purchases and innovation.
Dollar and unit sales of snack bars, granola bars and clusters have increased (13.3% for dollar sales and 0.6% for unit sales). Within the segment, nutritional/intrinsic health value bars have grown over breakfast/snack bars and granola bars.
This shows that even within a typically indulgent category, some customers are still looking for healthy options, and nutritional bars are a popular avenue to take.
“Increasingly there is an emphasis on products that can find the balance between indulgence and health. Examples include plant-based products, gluten-free products, protein cookies and pastries, non-GMO products, zero-sugar cookies, etc.,” revealed John Benson, a partner in the restaurants, hospitality and leisure practice at AlixPartners.
Finding popular healthier options is not the only method c-stores should take in 2024, however.
According to Benson, those who choose to buy a sweet snack from a c-store are likely eating it within the hour.
To boost these impulse buys, showcasing products with bright and compelling packaging to draw the customer’s eye is an ideal strategy for retailers to take in 2024, as well as offering products with fun flavor combinations or new twists.
“In 2024, we expect there to continue to be efforts to differentiate packaged sweet snacks with c-stores focusing on premiumized, local and specialized brands and continued product and packaging innovation,” said Libby Angst, a senior vice president in the restaurants, hospitality and leisure practice at AlixPartners.
Natalie Goldsmith, category manager for Beck Suppliers, which operates 31 FriendShip Store locations in Ohio, noted the importance of packaging, as well.
“Items promoting different characters on their product will be attractive to kids and adults alike,” she said.
Additionally, Angst is increasingly seeing innovative packaging that provides added functionality — for example stand-up pouches with a resealable top.
Impulse purchasing can also be achieved through product innovation, “but convenience stores can continue to win in the category by offering and promoting seasonal flavors and holiday items,” said Angst.
Promotional Opportunities
Benson recommended that c-store retailers combine value and impulse.
“Product bundling and promotions … and private-label products can be effective in driving category sales,” he said.
Goldsmith, too, believes promotions are necessary for success this year, and FriendShip Stores has already been running promotions on sweet snacks.
“We run everyday promotions on our bars and do rotating two-month promotions on different sizes of other sweet snacks,” she said. Due to this and the chain’s variety of sweet snack and bar options, sales have been up, and Goldsmith hopes the trend will continue.