PO Box 1
Long Lane
Liverpool L9 7BQ
Tel: 0151 525 3661
Fax: 0151 530 3400
Key personnel
Managing director
Lorna Davis
Sales director
Gordon Grant
Marketing director
Graham Hunter
Key brands
Twiglets
Thai Bites
Cheeselets
Cream Crackers
Tuc
Cheddars
Ritz
Jacob's is clear in its opinion that the repeated launch of me-too products have driven unit prices down.
Marketing director Graham Hunter says: "When truly innovative products are launched, other manufacturers quickly copy the concept creating a price war. These duplicated products are competing for the same eating occasion and therefore not increasing the total market but driving down the unit price.
"Jacob's leading snack product, Twiglets, is positioned as a premium adult snack and can command a higher price per bag when compared with crisps thus increasing the overall value of the category."
Hunter believes that innovations that provide a real point of difference and have true customer value are of importance to retailers and customers alike. He says: "The most successful innovations succeed in growing the number of eating occasions and thus the total value of the category."
Hunter also believes that retailers have many tools at their disposal to encourage consumers to buy other brands.
He says: "This can be done by cross promotion between categories and targeted link promotions where there are clear product synergies. Successful examples of such promotions include spicy snacks, for example Curry Twiglets, with alcoholic drinks such as lager, and also healthy snacks such as rice snacks with bottled water."
Hunter comments that another effective method is to use in-store sampling. "Some manufacturers provide unique sample packs, particularly for new product launches."
He advises that retailers may also see benefits from dual siting of complementary products. Where space is at a premium, merchandising solutions can make this possible.
"For example clip strips and dump bins allow dual siting of snacks near to soft and alcoholic beverages to encourage impulse purchase. Clip strips are soon to be available to allow dual siting of Twiglets near to soft and alcoholic beverages. to encourages impulse purchases.
As the category demands more space in most outlets, clear segmentation within the category is key to making the area easier to shop and persuade the customer to spend time browsing."
Jacob's Bakery is to put over £1.5m behind the launch of Thai bites, a rice snack designed to cash in on the nation's enthusiasm for healthy eating.
Hunter says: "Thai Bites are not just for the health conscious. Although low in fat, the excellent taste delivery makes the product as appealing to teenagers eating on the go' and those looking for something to eat whilst watching the football as those watching their weight."
Thai Bites come in three flavours Oriental Spice, Sweet Herb and Lightly Salted. Retailers are encouraged to site the bags with snacks, dual sited where possible near the chiller with dips.
The launch support for Thai Bites, which will be on shelf from the end of September, forms part of the Jacob's Cracker brands' £6m total ad spend this year. Promotional activity in 2001 will include an extensive national press campaign and a major sampling programme.
Jacob's Crackers marketing manager Cath Pickering says: "The launch came as part of an ongoing effort to make the brand more contemporary. It follows the introduction of the Italian Crackers and Herbs & Spice lines in 1999 and the sponsorship of Who Wants To Be A Millionaire that ended in February 2000.
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