PepsiCo Launches Good Notes Veggie Snacks

With PepsiCo’s innovation hub The Hive, the global snack and beverage brand has sowed the seeds of innovation. Now, it’s time to start harvesting.

Last week, the Hive launched its second product, a line of savory dried vegetable snacks called Good Notes. The line is currently available on Amazon and Walmart.com in two SKUs — Herby Mustard Garlic Beets and Chile Lime Adobo Carrots — in four-count packages of 1.4 oz resealable bags for $14.99, or roughly $3.75 per pouch. The line will also be sold on Kroger.com in the coming months.

In a brand overview shared with NOSH, the snacks were described as having bold taste profiles and a crunchy texture, and as positioned to serve as either a stand alone snack or a compliment to dishes such as salads and soups.

One thing that’s missing from the brand’s packaging or online listings — any mention of PepsiCo’s involvement.

Good Notes has been in development for over a year, and follows The Hive model of ongoing consumer engagement and testing to validate product development. In late 2020 the brand began testing sponsored Instagram ads to see if the general concept of vegetable snacking resonated with consumers, but did not yet have a product fully developed. The version shown in social media ads not only had different packaging but also featured SKUs that did not make the final cut — such as ginger lemongrass green beans. Earlier this summer, the Good Notes team also did a free giveaway via social media, offering followers free taste tests of the product — which was shipped in unbranded packaging.

With positive results from each test in hand, the team moved forward with an online exclusive launch this month, with retail set to follow later this year or in early 2022 if the product line again receives positive feedback.

Vegetable based snacks is not a new concept in and of itself, with several other companies trying to use the bulk bin staple as a jumping off point for a lifestyle brand. One close competitor is Rhythm Superfoods, which has dried vegetable chips and clusters in flavors such as Ranch. That brand counts fellow multinational company General Mills as one of its investors and recently inked a partnership with former Chosen Foods owner Sesejal in order to streamline its supply chain.

Ironically, with Good Notes, PepsiCo will also be in competition with itself. The company acquired fruit and vegetable snack brand Bare in May 2018. Unlike Good Notes, which seems to be aimed squarely at a younger, flavor-seeking consumer, Bare has typically stuck to more neutral flavors for its vegetable chips, such as Sea Salt, and less of a bold, whimsical packaging.

Still, at times it’s been difficult for PepsiCo to launch and support health focused products within its core portfolio, with brands such as Bare and Health Warrior struggling to find a home. Through The Hive, PepsiCo has worked to carve out a space where these types of products can instead succeed. In 2019 the group launched almond and dried cheese snack line Hilo Life as a direct-to-consumer brand, and its strong performance has earned it placements at brick and mortar retail and more SKUs like almond-based chips.

Hannah Brooks, the senior Pepsi executive who oversees The Hive, told NOSH in March that the division had been restructured to focus on Pepsi’s own brands, rather than nurturing smaller brands inside of the portfolio.

“[We’re] trying to mirror how small brands may approach these fast-growth, emerging spaces,” Brooks said in March. “Really thinking about what the consumer wants and making that come through in an authentic way.”

While Hilo has aimed squarely at low-carb or keto consumers, the focus for Good Notes is perhaps a bit less clear. Though it has a short and simple ingredient list, both SKUs have under 3 grams of protein and over 300 mg of sodium, 20 grams of carbohydrates, and 10 grams of fat. Eating dried carrots and beets may make it easier for consumers to get a serving of vegetables , but the question remains just how much better the line is then eating a clean label potato chip.

Both product’s packaging currently sport callouts that one serving contains a full cup of vegetables and that they are vegetarian with no artificial flavors. Online, the carrots and beets also include callouts for being “an excellent source” of Vitamin A or Vitamin K, respectively.

But perhaps an incrementally better-for-you snack (with the flavors of a chip) is the way to get consumers to eat their veggies. According to Packaged Facts, the pandemic (and its emphasis on health and wellness) has made more consumers interested in better-for-you snacking. At the same time, the group found that 31% of consumers have increased their snacking during the pandemic.

“Consumers are buying more better-for-you snacks that have health claims or label claims perceived to be healthier to improve health and hopefully ward off illness,” Packaged Facts found. “Snacks with claims that are better-for-you feature good taste, indulgence, and convenience while being healthier than standard snacks by virtue of nutrition or portion sizes.”

PepsiCo declined to comment for this story.