Western Grocer Serving the industry since 1916
By Karen Barr
The growth of the Canadian snack market includes a variety of sweet, savoury, and healthy products. In fact, Canada is a global leader in snack food, with volumes and revenues that continue to increase. How can grocers encourage consumers to continue to purchase snack foods? What are some of the trends in the marketplace?
“From Baby Boomers to Gen Z, people’s schedules are becoming increasingly busy, and consumers are searching for convenient, better-for-you snacks to take on the go. While each generation snacks differently, Gen Z is really standing out as they are embracing what’s being termed ‘passive wellness’ and leaning into crave-worthy, indulgent snacks,” says Lynsey Walker, vice president of marketing and communications at Canadian Health Food Association (CHFA), in Toronto, Ontario. “Convenience products without compromising on health was trending on the CHFA NOW trade show floor with many products featuring short ingredient lists but ensuring each ingredient included packs a punch.”
According to Statista, Canadians are showing a preference for more savoury snacks than sweet, a trend that retailers can leverage. In 2022 alone, 15.3 thousand metric tons of potato chips were imported into Canada, underscoring the demand for this category. With the market estimated to be worth over 13 billion US dollars, it’s clear that offering a diverse range of snack options is a strategic move for grocers.
Walker points to the trends she saw at CHFA NOW. “For those craving salty and savoury, Cheddie Crackers made with regenerative cheese and Humble Potato Chips new ketchup flavour we’re popular amongst the crowd.”
Then there are better-for-you kid-friendly tortilla chips from Garden Veggie Snacks, part of the Hain Celestial Group family of health and wellness brands, located in Hoboken, New Jersey. Made with five types of vegetables, including spinach, beets, red bell peppers, carrots, and tomatoes Garden Veggie Flavour Burst Tortilla Chips use only non-GMO corn, without artificial preservatives or flavours. Flavour Burst now comes in two delectable new flavours– Nacho Cheese and Zesty Ranch.
Ed Kaiser, senior director of marketing for snacks, explains the concept behind these colourful tortilla chips. “The snacks aisle is crowded with tortilla chips that are viewed as a guilty pleasure. Meanwhile, the few better-for-you tortilla chip options that are available are often marketed towards adults or specialty diets, such as Keto or low carb. Flavour Burst delivers on the unmet consumer need for a delicious, better-for-you snack that both kids and parents will reach for.”
The company has led a vigorous omnichannel brand-building campaign to promote the product as it started to appear on grocery store shelves this past February. Package sizes range from single-serve 56-gram bags for a quick snack and 170-gram bag for sharing.
Other popular Garden Veggie Snacks in the lineup include classics like Garden Veggie Straws, Garden Veggie Puffs, Garden Veggie Wavy Chips, and Garden Veggie Stacked Chips.
“We’ve seen that the modern snacker is leaning towards snacks that resonate with their lifestyle and health objectives,” says Peter Hanna, co-founder of Better Bovine, a company based in Toronto, Ontario, crafting high-quality, clean beef jerky made with only three ingredients — 100% grass-fed beef, salt, and pepper. “The market has also seen a surge in alternative meat products, but this influx has led to concerns about the quality and nutritional content of these products, As a result, there’s a renewed appreciation for whole-food options and minimally processed snacks, like ours, that provide transparency and simplicity in their ingredient lists.”
When it comes to top-selling products, Hanna points to Better Bovine’s signature Wagyu Beef Jerky and their Extra Lean Beef Jerky. “Our Extra Lean Beef Jerky offers a refined version of the classic, free from nitrates, preservatives, and sugar. Our Wagyu Beef Jerky, a customer favorite, boasts a dry-aged steak flavour and a tender texture that must be experienced firsthand.”
Then there are plant-based meat alternative protein rich snacks. “Our Snack Nut products, Blue Diamond brand almonds and Diamond brand walnuts are available to all consumers who seek tasty, nutritional, and conveniently packaged nourishment,” says Chuck Corrigan from CB Powell, located in Mississauga, Ontario. “Our top sellers are the Blue Diamond Smokehouse and Roasted Salted flavours, available in different popular pack formats. We also have the Diamond brand Salted Dark Chocolate Walnuts.”
As for new products, Corrigan points to the Diamond brand flavoured snack walnuts that have recently started to appear on retail shelves. “These products provide a whole new expansive dimension to the flavoured snack nut category.”
Still, Canadians do love their sweet snacks. According to statistics compiled in 2021 by the Sweets & Snacks Expo, Canadians spend 96 dollars per person on sweet snacks annually. This is above the global spend and translates to the average Canadian eating 5.8 kilos of sweet snacks yearly.
It may not be surprising to learn that chocolate was the largest category at 3.7 billion Canadian dollars, most of which, at 83.1 per cent, was purchased at a grocery store. The forecast predicts sales will continue to rise to 4.6 billion Canadian by 2026, with chocolate-coated nuts and fruit as healthier options at the forefront.
Hummingbird is a bean-to-bar chocolate maker located in Almonte, Ontario, owned by Drew and Erica Gilmour, former development and aid workers who loved working with farmers worldwide, from Afghanistan to Zimbabwe. “We craft our chocolate from sustainably sourced cacao beans in our Almonte factory rather than purchasing bulk chocolate. Our single origin bars have just three ingredients and highlight the natural flavours and terroir of each origin.”
Sink your teeth into Hummingbird’s bean-to-bar chocolate bars, including Fleur de Sel, Orange Milk, Maple, and a delectable spicy Mayan. Also available are deliciously sweet and antioxidant-rich Dark Chocolate Covered Cherries.
According to more Sweets & Snacks Expo statistics, non-chocolate snacks are expected to increase by 3 per cent annually to reach 805 million dollars Canadian by 2026. Growth leaders in this category include mints, pastilles, gums, jellies, chews, and medicated confectionery. Grocery retailers currently make up 76.8 per cent of these sales.
When it comes to sweets like bakery items and ice cream, Walker says, “ We saw tons of exciting new flavours and innovation on the CHFA NOW trade show floor leaning into this trend but with better-for-you formulations, including Panela Lemon’s eatable cookie dough and Enlightened Ice Cream Bars made with Greek yogurt.”
Still, other consumers are looking for sweet treats without any added sugar. Natural Delights Medjool dates are grown in the Bard Valley, a 150-mile radius at the intersection of Arizona, California, and Mexico. In this date-growing oasis, where specific growing conditions are met, the emphasis is on water conservation, sustainable energy, and community connection. “Each date undergoes a stringent certification process to meet exacting standards, ensuring quality and consistency,” says Bridgette Weber, trade marketing manager of Natural Delights, from her office in Yuma, Arizona.
Coconut Mini Medjools have two simple ingredients—dates and coconut– with no added sugars and are available in tubes or pouches. Other flavours include Cocoa Pecan or Sweet & Salty Almond. “Medjool Date Strips with Tajin is our newest innovation. It has the perfect combo of sweetness and heat,” says Weber. The Tajin chili lime seasoning is what gives this product its kick.
How should grocers merchandise snack foods to encourage customers to buy? Michael Meyers, grocery specialist for Country Grocer, a grocery chain based on Vancouver Island, British Columbia, says, “ I like to block shelves with snack foods from top to bottom. A linear method may work in some stores, but I think blocking works best for customers to see everything without walking too far.”
Meyers shares further details. “Overall, I place subsections within categories. Within a block of snack foods such as cookies, I’ll place British and Dutch cookies together and then all the gluten-free cookies to give customers options. With traditional snack foods, I’ll put all the popcorn stand-up bags together, followed by chips. The traditional chips will be together, and then all the veggie chips and healthier options together.”
One key element that helps customers identify products in the snack section of Country Grocer is shelf talkers that indicate that a product is gluten-free, sugar-free, and more.
Providing a well-merchandised snack selection that includes sweet, savoury, and healthy options are what gives grocers a competitive edge when it comes to snack food sales.
Sidebar
Regenerative Cheese Please
Cheddies Crackers uses the highest quality whole block all-natural cheddar as the main ingredient. It took months of hand-rolling batches of crackers to find the perfectly balanced recipe available in three flavours: Classic Cheddar, Double Cheddar, and Spicy Cheddar.
Such a Humble Chip
Humble Potato Chips, based in Guelph, Ontario, uses locally farmed, organic potatoes cut with skins left on. Flavours include The Original, Sea Salt & Cider Vinegar, Creamy Dill, Smokey BBQ and the new Ketchup flavour.
Beyond Blue Corn
Garden Veggie Flavour Burst Tortilla Chips are exploding with the colours of the vegetable rainbow with the inclusion of spinach, beets, red bell peppers, carrots, and tomatoes. Reach for two new flavours: Nacho Cheese and Zesty Ranch.
Better Bovine
Better Bovine’s signature Wagyu beef jerky is made with 100% premium Japanese Wagyu grass-fed beef. A protein snack for anyone, including keto and paleo diets. Non-GMO, this snack is made without the use of any added hormones or antibiotics.
A Classic Nut
Blue Diamond Smokehouse Almonds is a top seller that was introduced back in 1958. Customers will buy them by the can and eat them by the handful. Be sure to stock up on this good-for-you protein snack.
California Dreaming
Sweet or salty? Take your pick with premium quality California-grown walnuts from Diamond. Think Himalayan Pink Sea Salt Walnuts, Hot Honey Walnuts, or Sweet Maple Walnuts. Indulgent protein-rich snacking.
Spicy Sweet
Hummingbird’s Mayan Spice bar honours the origins of cacao and chocolate. It’s a delicate balance of cinnamon, nutmeg, and chipotle in a 70 per cent dark chocolate. “It’s warming but not overwhelming,” says company co-owner Erica Gilmour.
Antioxidant Plus
Elevate your snacking game with tart whole cherries enrobed in award-winning bean-to-bar 70 per cent chocolate from Hummingbird. Double your antioxidants and pleasure. Chocolate-covered fruit is all the rage.
Straight from the Pint
Panela Lemon’s ready-to-eat, high protein, vegan Peanut Butter Chocolate Chip Cookie Dough is made with gluten-free oat flour, nuts, flax seeds, and natural sugars. Childhood memories abound.
Protein Enriched Frozen Treats
Enlightened Greek yogurt-based ice cream bars just launched two new flavours: Kookie Dough Greek Yogurt Bars and Fudge Brownie Greek Yogurt Bars. Cut down on sugar. Load up on protein!
More Sweet Heat
New from Natural Delights! Medjool Date Strips with Tajin have the natural sweetness of dates with the spicy flavour of Tajin lime seasoning. This sweet heat indulgence is available in 6, 10, or 18-ounce packages.
