WHOLESALE REPORT

There are fewer products introduced in the middle of winter, but there has been a flurry of corporate buy-outs and mergers.  Not too long ago, the Keebler Elves were  buying everything in sight; Austin Foods, Olde New England Fudge, and Sunshine Bakeries were all recently acquired. But now the Elves themselves have been gobbled up: Kellogg’s is buying Keebler for $3.6 billion.  In cash. That’s a lot of cereal!

PepsiCo is buying Quaker Oats, for $13.4 billion in stock, giving them the Gatorade line as well as Quaker Chewy Granola Bars. Oh, yeah; Pepsi also bought SoBe fruit beverages. Whew!

Two other corporate acquisitions in areas that may affect some distributors: Hershey has acquired Nabisco’s mints and gum business, getting Ice Breakers, Breath Savers, Care*Free, Bubble Yum, and others. Superior Coffee is now Sara Lee Coffee & Tea Food Services, capitalizing on the consumer familiarity with the Sara Lee brand name. 

There’s a new chip from Frito-Lay (which, by the way, is also part of PepsiCo); Cracker Barrel Sharp Cheddar Potato chips.   They also will be introducing an ‘upscale chip’ in the spring, named Bistro Gourmet.  There will be four varieties, such as Roasted Garlic & Herb.

Kellogg’s Snack ‘Ums (‘colossal crunch bursting with sweet flavor’) come in Big Rollin’ Froot Loops, Big Boomin’ Pops, and Rice Krispies Treats Krunch flavors.

Snyder’s of Hanover has changed the packaging on Sourdough Specials, Honey Mustard & Onion Pieces, and Mini Pretzels.  They have a more ‘upscale’ look to them (there’s that word again!).

Nabisco’s Chips Ahoy! also has new packaging.  Don’t let your customers be confused; they’re the same great cookies.  And their popular Life Savers has an Intense! Fruit Chews line, with tangy watermelon, tart green apple, sour lemon, and wild cherry. Same soft texture, new intense taste.

Have you seen Jeckles yet?  They’re bite-sized tortilla chips cut into a variety of shapes, from Procter & Gamble. The package is in Spanish and English, and there’s going to be a major marketing push from P&G.

M&M/Mars has a big hit with Twix; now there’s Twix Peanut Butter, created in direct response to demand for a peanut butter version.  And we’ve mentioned Crispy M&M’s before (crisped rice centers in traditional plain M&Ms); since their introduction their popularity has skyrocketed—they’re ranked right behind Kit Kats nationwide.  If you’re not vending them, give ‘em a try.

Hershey’s Kit Kat is now the third bestselling standard chocolate bar in America.  They’ve increased the size with the Big Kat.

For a very different type of nut, try GORBS from Blue Diamond.  The name stands for “Green Onion Roasted Blanched Slivered Almonds”. And that’s what they are.

Speaking of nuts, Kar’s has added a larger size for their Hot ‘N Spicy and Honey Peanuts flavors. They’ve started a new marketing campaign with the slogan ‘Kar is Driving’, and will be introducing new flavors as well.

Biscomerica has added Basil’s Cappuccino premium cookies, with cappuccino and chocolate chips in ‘attractive, upscale packaging’.  Hmmm ...do we detect a trend?

Many distributors report success with Twizzlers from Hershey (it’s the #1 licorice in North America!).  They’ll be excited to know that new Twizzlers Twist ‘n Fill has ‘two fruit flavors in every bite’—watermelon and cherry. The flavor inside the licorice is in the form of a goo, so be careful!