Nestlé launches chilled candy-like snack as an afternoon uplifting


Dive brief:

  • Nestlé is launching “bombs” of chilled snacks made from premium creamy nut butters and premium chocolate, the company said in a statement. The Nestlé Rallyes Nut Butter Bombs – currently available in Brownie Almond Butter and Salted Cashew Butter, with a variety of Raspberry Peanut Butter coming in early 2022 – are being touted by the company as an afternoon pick-me-up or reward.
  • The world’s largest food maker said the rallies had no artificial flavors, colors or preservatives and less added sugar than leading chocolate and nut butter candies. A pack of three has a suggested retail price of $ 2.49.
  • Michael Darman, chief innovation officer at Nestlé USA, said giant CPG was looking for categories where it didn’t have a major presence but could tap into the needs of unmet consumers. “We don’t call ourselves a wellness bar. We don’t claim any functional benefits or anything like that, but we also try to show that there are better ways to get your indulgence,” he said. he declared.

Dive overview:

Nestlé has reshuffled its portfolio in recent years to focus on faster growing and healthier offerings such as ionized water through purchase of Essentia, acquisition of herbal brand Sweet Earth and the addition of Freshly, a supplier of fresh produce. prepared meal delivery services. At the same time, it ditched its billion-dollar US ice cream and candy business to fund this expansion.

But the introduction of Rallyes, touted by the company as an indulgence, shows that the Switzerland-based CPG realizes that people aren’t always going to turn to a healthier offering and sometimes just want a snack that makes them feel good. feel good. Nestlé is convinced that a fresh and chilled offer will appeal to consumers by offering them a more appealing alternative to the bars found in the center of the store which often have a long list of sometimes unrecognizable ingredients.

“This is something that they are looking for their indulgences and that they can’t find at the moment, which means that they are either on the sidelines, or they choose not to indulge, or they are they go back to the central aisle, ”says Darman. “The rallies are part of the other [Nestlé] acquisitions in the sense that we are really trying to engage with consumers who are more attentive and more selective about their options. We have to be able to let them enjoy the treat and not feel bad afterwards. “

Nestlé highlighted data from the Hartman Group which estimates that 74% of consumers say “indulging” is the main way they look for a pick-me-up. While Nestlé doesn’t go so far as to say the new treats are healthy, it positions the product as a better option noting that it has less added sugar than other brands of nut butter chocolate candies.

The new indulgence touches on many trends impacting the food space today. It uses real chocolate and real peanut, almond and cashew butter. It is touted by Nestlé as a on-the-go option for the on-the-go consumer who spends more time snacking than ever before. And the requirement that bombs must be refrigerated helps them retain their freshness and flavor.

According to Mintel data cited by snacking giant Mondelēz in 2019, the U.S. chilled snack segment generated $ 20 billion in annual sales and accounts for one-third of the total snacking market. In that space, healthier snacks, such as nutrition bars, nut and fruit wrappers, yogurt and hummus, accounted for around $ 7 billion in sales.

The prospect of potentially even greater revenues in the future has prompted several large CPGs to enter the chilled nut bar space.

Kind announced in 2020 that they are offering their very first Nut Butter Protein Bar for sale in the refrigerated section. That same year, nut butter maker Justin’s, owned by Hormel Foods, entered the chilled bar category with the almond butter protein bars. And a year earlier, MondelÄ“z International bought a controlling stake in Perfect Snacks, the maker of organic, non-GMO protein bars and snacks made from nut butter.

Darman said Nestlé does not view rallies as competing with offerings that prioritize wellness because they target authorized indulgence. The candy shape of its bombs also gives consumers the option of sharing the treat or consuming it themselves over a period of time.

“There really is an unmet need, even with these brands,” he said.

Nestlé has tried chilled snacks before, but Rallyes is the first single chilled snack product to have the company name on the label.

He currently sells edible cookie dough and Toll House bites in stores. Nestlé also launched in September 2018 an organic, non-GMO probiotic snack bar made with granola and Greek yogurt, which it discontinued two years later. Darman said chilled snacks are “an attractive space” and a Nestlé could increase its presence by going forward with additional products.

Rallies are currently sold at Hy-Vee and direct to consumers on the product website. Darman added that Nestlé is in talks with other retailers and plans to expand into large grocery chains and convenience stores next year.


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