Raise The Bar

Retailers that wish to grow sales of store brand snack and meal bars should look to natural and customized formulations — and, potentially, savory blends.

Nowadays, consumers will find a crunchy or chewy bar option to suit just about any grab-and-go eating occasion. Cereal, granola and fruit-and-nut bars, for example, make breakfast or snack time an on-the-fly cinch, while high-protein, high-fiber bars help to nourish the body in the absence of a more traditional lunch or dinner.

Nima Fotovat, general manager of Shandiz Natural Foods, Markham, Ontario, says consumers' busy lifestyles and their need for convenience are driving overall growth in the bar category.

"However, bars are becoming more targeted to specific groups," he explains. "There are bars for men, women, children, athletes and dieters, as well as bars that are appropriate for certain dietary needs such as gluten-free, soy-free, dairy-free and vegan."

Trends with traction

Looking forward, Fotovat expects the slant toward specific target audiences only to increase.

In its Global New Product Database's Quarter 2/Quarter 3 2011 Category Insight, "Cereal, Energy & Snack Bars," global research firm Mintel International notes that male-specific marketing featuring sports, fitness, endurance, adventure and strength could help attract specific male groups, while health- and wellness-related themes seem to resonate more with women. For child-oriented bars, Mintel suggests introducing products with fun packaging and clearly stated health credentials to attract parents and children alike.

Fotovat also points to strong consumer interest in natural formulations as a trend expected to continue within the category.

"Naturally nutritious ingredients are becoming more important to the consumer than traditional fortification, and clean labels are also important," he says. "We believe the emphasis on ingredients such as whole grains, nuts, seeds and superfruits will continue to grow."

Health-minded add-ins such as fiber and protein for appetite control and vitamin D also are expected to continue to grow in popularity among consumers, adds Chris Schmidt, consumer health industry analyst for Euromonitor International, Chicago. And higher-end producers could find growth opportunities in whole-grain bars, as well as rice- or soy-based gluten-free and non-GMO varieties.

In addition, Fotovat says Shandiz anticipates that sustainability factors, already important to many consumers, will continue to grow in importance in relation to the segment.

"The consumer is increasingly considering sustainability factors when making purchase decisions," he says.

Trends on the horizon

One potential trend to watch is that toward savory snack bars. Recognizing that some consumers skip the bar category entirely because they dislike the sweet taste (or wish to avoid sugar and other sweeteners), Chicago-based Journey Bar this year debuted the Journey Bar lineup of whole-grain savory nutrition bars — "Travel Bars" — in flavors such as Mesquite Barbecue, Parmesan Romano and Wasabi Ginger.

And Mintel's category insight suggests the folks at Journey Bar might be on to something.

"Occasional press stories highlighting the high sugar and energy levels of some of the bars have affected the bars' health credentials negatively in recent years," the company says. "New flavor variations or twists on established flavors can provide stand-out shelf appeal for consumers."