Snack, Nutrition and Performance Bars
Essay by Aarthi Narayanan • June 27, 2017 • Research Paper • 559 Words (3 Pages) • 911 Views
Snack, Nutrition and Performance Bars - US - April 2017
What’s Struggling?
Weight loss brands shed sales
While the bars category overall continues to notch steady gains, bars positioned for weight loss continue to slide, a trend that reflects a broader shift in attitudes toward healthy eating away from weight loss as the singular focus and in favor of a more holistic view of health and nutrition. Total US sales of weight loss bars fell by 4.6% in 2016 and are down 13% since 2011. The segment’s top three brands, Kellogg’s Special K, Atkins, and Abbott Laboratories’ Zone Perfect, all experienced sales declines in 2016. Just 10% of adults report having purchased weight loss bars in the past three months.
Consistent with the trend in some other categories, such as prepared meals, diet bar brands are moving away from an exclusive focus on weight loss. Zone Perfect, initially developed to support a specific diet plan, now presents itself as a high-protein nutrition bar for energy throughout the day. Atkins Nutritionals now offers Atkins Lift, a high-protein bar for fitness enthusiasts. Special K Nourish bars are part of that brand’s efforts to align with self-empowerment: “the nutrition to help nourish you for what’s next.” It remains to be seen, however, whether these changes, as substantial and on-trend as they are, will be sufficient to reignite sales growth for these brands. All three have strong brand equities that may prove difficult to recast. In addition, the shift to general nutrition, fitness, and snacking opens them up to a far larger competitive set.
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Zone Perfect Oatmeal Chocolate Chunk Nutrition Bars are made with other natural flavors and contain 10g protein. | Atkins Lift Chocolate Chip Cookie Dough Protein Bar is described as a steady fuel source, with nutritious, high-quality whey protein and filling fiber. | Kellogg's Special K Nourish Caramel Almond Sea Salt Chewy Nut Bars are said to feature visible ingredients, delicious taste, and an abundance of goodness in every bite. The gluten-free bars contain no artificial flavors. |
Source: Mintel GNPD
PowerBar goes for brand reset
As CLIF BAR and Quest solidify their roles as growth drivers in the performance bars segment, PowerBar, a brand credited with establishing the performance bar segment, falls further behind. The brand, acquired by Post Holdings from Nestlé in 2014, saw MULO sales decline by 23% in the 52 weeks ending Dec. 25, 2016, to $44 million. Since 2011, sales are down by more than half. Post’s recent efforts to revitalize PowerBar include extending beyond the brand’s athletic-performance and training core and into snacking and launching protein bars that eliminate artificial sweeteners. Called PowerBar Clean Whey, the bars are sweetened with stevia. Marketing for the product is themed “Clean Start,” which might be seen as a metaphor for efforts to revitalize the overall brand.
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