Daily Briefing (Insiders Only): How Omnichannel Sales Are Shaping Snacks
First it was snacking as a love language. Now, snack category savant Shauna Golden is diving back in to examine the relationship between the category and an omnichannel strategy.
Online snacking is a $30 billion opportunity, according to consumer intelligence company NIQ’s recent report, “Unwrapping Omnichannel Success.” Snack manufacturers must think outside the box or, rather, the brick-and-mortar store to remain competitive and capitalize on emerging trends.
“Whether they’re scrolling on the couch or seeking AI recommendations. The landscape is evolving and unlocking tremendous opportunities, from driving consumer interest and riding viral trends to creating the next big wave in snacking,” said Chris Costalgi, VP of Food Insights at NIQ, in the report.
Ecommerce Is Winning Brick-and-Mortar Sales: Online snack shoppers spend 1.7x more and buy, on average, 1.3x more units than their in-store peers per occasion. Sixty-seven percent of units that shifted away from in-store sales were purchased online with this trajectory suggesting consumers are seeking greater variety beyond flavor.
These findings signal a major opportunity amid today’s low-unit-growth operating environment, the report states. According to Costalgi, brands should optimize online platforms with a mobile-first mindset and use a push-and-pull strategy to build awareness.
Emerging Versus Traditional Channels: Though TikTok Shop’s future hangs in the balance, it’s clear the $1 billion+ social shopping channel is succeeding. TikTok Shop pulled in $124 million in snack sales alone during the 52-week period ending July 27, 2024.
But snack manufacturers must strategize beyond simply driving awareness to mine success and keep on top of online trends. Right now, only 37% of snack manufacturers say they feel well-prepared to respond quickly to emerging social trends, and less than half are allocating funds toward supporting those efforts.
Go Deeper: Inside The Love Language of Snacking
Snack makers send a signal: Which channels have given an unexpected boost to your sales strategy? Let me know at sgolden@bevnet.com.
