Top launch: Cadbury Hot Cakes - Premier Foods
This neat little launch has been selling like, ahem… hot cakes since its September unveiling, says Premier, which claims the range extension racked up £600k in its first few weeks. The company’s licensed Cadbury range is best known for its Mini Rolls, but this is a bid to tap Brits’s growing appetite for traditional-style puds and take the brand into the after-dinner market. Designed to be microwaved, the sponge sandwiches come in Butter Scotch and Double Chocolate. Hot stuff!
Small was beautiful for cakes in 2015. A surge in NPD, much of it snack focused, has brought a spectacular recovery for a sector that a year ago was reeling from a £21.5m loss.
The past year’s £30.4m growth is even more impressive considering the merest mention of sugar rings alarm bells these days. “Despite concerns about sugar and fat, retailers recognise consumers will not compromise on taste,” says Claire Ramsay, marketing director at Mrs Crimble’s. “If consumers are overtly buying cakes, they want an indulgent treat.”
They also want something new, and 2015 gave them just that. “The category has been crying out for new products and formats,” says Phil Ellis, marketing director at Premier Foods, whose star performers have included its licensed Cadbury Hot Cakes and Amaze Bites. “Cadbury Amaze Bites launched in October and hit £1m retail sales by mid November. That’s an incredible achievement. It brought a strong brand to the bites sector.”
But Premier’s greatest achievement was the turnaround in Mr Kipling, which is up £11.1m. “This year has seen more activity on the brand than ever, including sustained TV and promotional campaigns,” says brand director Matthew Cullum. New TV ads are set to hit screens early next year. NPD has been central for the brand, which Premier admits had been inactive for “too long”, with new formats for Mr Kipling snack packs being launched to replace six-packs with fours and nines, and Sharing Cakes rolled out to tap the teatime market.
One business that needs no convincing of the value of large cakes is Finsbury. It says its Disney’s Frozen celebration cakes have been among the standout performers in its booming Lightbody range, although low priced six-packs of character cupcakes have also driven high volume growth. Character licensing has also been a recipe for success for Finsbury’s Memory Lane traybacks, while its Thorntons range has been driven by a mix of large and bite-sized products, including the Little Temptations cake bites launched this year.
McVitie’s owner United Biscuits echoes others’ enthusiasm for small formats, as it allows cakes to cash in on more occasions. Range extensions have tapped seasonal events, says the company, adding its standout NPD has been the relaunch of McVitie’s Sticky Pudding Cakes. “Initial sales have been extremely encouraging,” adds a spokesman.
Also targeting new occasions is Soreen, which hopes its Breakfast Bakes can replicate the success of its Lunchbox loaves. And The Fabulous Bakin’ Boys - acquired last year by Daelmans Group - has set its sights on new opportunities in a bid to turn around a steep slump in sales. Rebranded as The Fabulous Bakers, it has expanded its line-up with popcorn bars and cereal bars.
| TOP 20 Cakes | SALES | |||||
| £m | change (£m) | change (%) | ||||
| Total volume change: 1.0% | Total Category | 1,088.90 | 30.4 | 2.9 | ||
| Total Own Label | 545.40 | –0.9 | –0.2 | |||
| 1 | 1 | Mr Kipling | Premier Foods | 166.2 | 11.1 | 7.2 |
| 2 | 2 | Cadbury | Premier Foods | 71.5 | 4.7 | 7 |
| 3 | 3 | McVitie’s | Ubuk | 36.5 | 0.7 | 2 |
| 4 | 4 | Soreen Cakes | Samworth Brothers | 35.4 | 5.3 | 17.8 |
| 5 | 6 | Lightbody | Finsbury Foods | 27.3 | 8.3 | 43.3 |
| 6 | 5 | Thorntons | Finsbury Foods | 22.1 | 2.4 | 12.2 |
| 7 | 8 | Mrs Crimbles | Stilleto Foods | 9.9 | 1 | 10.8 |
| 8 | 7 | Galaxy | UBUK | 7.5 | –2.2 | –22.9 |
| 9 | 11 | Balconi Cakes | Balconi | 7.1 | 0.6 | 9.7 |
| 10 | 15 | Memory Lane | Finsbury Foods | 5.7 | 1.1 | 23.8 |
| 11 | 12 | Lyons | Premier Foods | 5.5 | –0.7 | –10.8 |
| 12 | 10 | WeightWatchers | Finsbury Foods | 5.3 | –2.4 | –31.1 |
| 13 | 18 | Bonne Maman | Andros | 5.3 | 1.6 | 44.1 |
| 14 | 13 | Beverley Manor | Greencore | 4.9 | 0.1 | 1.2 |
| 15 | 14 | Brompton House | Brompton House | 4 | –0.8 | –16.9 |
| 16 | 17 | Fatherson | Fatherson Bakery | 3.8 | 0.1 | 1.3 |
| 17 | 16 | Twix | UBUK | 3.4 | –0.7 | –17.0 |
| 18 | 21 | Bobbys | Bobbys Foods | 3.3 | 0.5 | 16.5 |
| 19 | 20 | Happy Shopper | Booker Belmont | 3 | –0.1 | –4.5 |
| 20 | 9 | Fabulous Bakin’ Boys | Fabulous Bakin’ Boys | 2.9 | –5.9 | –67.1 |
Get 20% off the full category ranking. Click here and enter discount code NIELSENGROCER
No comments yet