Cholula Launches Salsas & Seasonings In Bid to Breakout From Hot Sauce
Cholula is aiming to leverage its best-selling hot sauce to extend the brand into a variety of Mexican food products, starting with salsas and seasonings.
The McCormick-owned brand’s new salsas are now available in 12 oz jars in Original, Salsa Verde and Smoky Chipotle varieties, while the 1 oz seasoning packets are in stores in Original, Smoky Chipotle and Chili Garlic.
Cholula’s first-ever category expansion will align with the core product by “using many of the same iconic ingredients,” according to a press release. The launch comes shortly after the introduction of Cholula Reserva Tequila & Lime, which is staking its claim at the first widely available 100% agave tequila premium hot sauce.
In a move that CPG brands are increasingly exploring, Cholula is also releasing a limited edition streetwear collection in collaboration with UPRISERS, the details of which will be announced soon.
“For three generations Cholula has served as the perfect staple to bring authentic, fresh Mexican flavor to any dish,” said Valda Coryat, North America Vice President of Marketing for McCormick & Company, in a press release. “We’re excited to expand beyond the sauce category and into the mainstream Mexican aisle to deliver that delicious flavor and balanced heat to passionate Cholula fans in new and exciting ways. Flavor runs in the Cholula family and our salsas and taco seasoning mixes are no exception to the motherload of mouthwatering taste we bring to each and every recipe.”
The product expansion represents the most significant step forward for Cholula since its $800 million acquisition by Hunt Valley, Maryland-based McCormick, which is targeting $75 million in cost savings this year, including through job cuts and involuntary retirements. Despite its claim as the “#1 Mexican Hot Sauce in the World,” per Euromonitor data, the brand has lagged behind rival Tapatio – which launched its own ketchup earlier this week – in leveraging and licensing its IP to grow into other categories and product types.
It also reflects the continued popularity of legacy Mexican CPG products within a changing consumer landscape. Last month, Coca-Cola-owned Topo Chico announced the launch of a new three-SKU, juice-sweetened sparkling drink line called Sabores, along with a new tequila-based RTD cocktail through its beverage alcohol partnership with Molson Coors.
