Pladis to focus on core range

By James Ridler contact

- Last updated on GMT

Pladis is to refocus its business around its core range in balance with NPD
Pladis is to refocus its business around its core range in balance with NPD
McVitie’s-owner Pladis is to rebalance its business to focus on its core range of products, as it identifies a £330m opportunity for the biscuit sector.

Commenting on Pladis’ choice to focus on its core brands for new product development (NPD), managing director for the UK Nick Bunker said: “In NPD there might be a million ideas in which 20 come to market, 10 that will be big ideas and 10 will be incremental.

“We’re being more choiceful about some of the incremental stuff and using the effort, resources and investment from those products and using it in on our core.”

The core biscuit category was worth £2.6bn in the 52 weeks ending 30 December 2018 – up £33m from the previous year – according to Kantar Worldpanel.

Core biscuit sales

Customer marketing director Stuart Graham said: “Core biscuit sales continue to come predominantly from a relatively small collection of household favourites, with £4 out of every £5 spent on biscuits in convenience coming from around just 8% of the total number of products available, so stocking the right range is absolutely vital.

In it’s 2018 annual Biscuit Review, Pladis identified the opportunity for the industry to add £330m of additional biscuit sales over the next three years by tapping into an anticipated £1.2bn rise in snacking over the same period.

“This year’s review drills down into the key areas where retailers of all shapes and sizes need to concentrate, from the best-sellers in Everyday Biscuits and Treats, through to the must-stock Christmas, Healthier and Savoury Biscuits that are most likely to capture shoppers’ attention and inspire purchase,”​ Graham added.

Key drivers

In the review, Pladis identified five key drivers for snacking growth in 2019. These were balance, sustain, discovery, indulgence and togetherness – see the box below for more details.

“Nine out of 10 shoppers now claim to snack multiple times per day, whilst one in 14 (7%) forego meals altogether and simply rely on snacks to keep them going, so it’s essential that retailers are stocking the right biscuit formats and products to help inform purchasing decisions,”​ Graham explained.

“It’s also important that retailers think about the type of shoppers that are coming into their stores, so that they can dial up the key growth drivers accordingly.”

Key drivers in snacking

  • Balance:​ Consumers looking for healthier products and choosing products with natural ingredients over a ‘light’ version
  • Sustain: ​Snacks to help consumers last longer without a traditional meal and to keep energy levels up throughout the day
  • Discovery: ​Innovation, with a particular focus on flavours inspired by street foods
  • Indulgence: ​Taste is more important that healthiness with new products blurring the line between retail and foodservice
  • Togetherness: ​Eating snacks together with friends and family

Related topics: Business News, NPD, Ambient foods

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