Set Your Store Brand Apart
Walk into any grocery store right now, and you are bound to see pumpkin spice-flavored products in numerous aisles — even in categories that have no traditional connection to pumpkin. The seasonal flavor combination can help to differentiate traditional products ranging from coffee to cheesecake and, thereby, attract consumer interest. Of course, pumpkin spice is just one of a virtually endless assortment of flavor and ingredient additions or combinations that retailers could use to create unique and exciting store brand products.
“The right flavors and ingredients can drive differentiation and start building the perception that the retailer is not a follower, but a leader in new flavors and products,” says Kim Holman, director of marketing for St. Francis, Wis.-based Wixon, a flavors and seasonings company.
More than that, flavors and ingredients also help retailers build relationships with customers.
“The right flavors help private label marketers create exciting, winning food brands that appeal to every shopper in the store — not just bargain hunters who shop for price,” says Lori Miller Burns, director of marketing for Marietta, Ga.-based Arylessence, a fragrance and flavor company. Retailers that work to understand their shoppers and their unique tastes will be able to develop “the right foods and flavors to emotionally connect to the shopper and build a relevant, meaningful and attractive food brand that generates customer loyalty and positive sales growth,” she adds.
Think global
One way to get shoppers excited about store brand offerings is via the use of flavors with an ethnic or global twist.
“Exotic tastes and flavors are very popular with consumers today — in fact, the more exotic the better,” Burns says, adding that her company is seeing sweet tropical flavors from South America and Asia paired with “hot, spicy notes” from Asia. That particular flavor combination offers not only an on-trend taste, but also an experience.
“It’s a flavor sensation that’s notable not just for the contrasting tastes — but also for the ‘space of time’ over which the taste sensation happens,” she says.
Examples of such pairings, according to Burns, include habanero and chipotle spices paired with fruit such as mango and guava, cayenne pepper paired with coconut, jalapeño partnered with lime, and chili married with mango.
When it comes to Asian fare, flavors from Southeast Asia, including Thai, Vietnamese and Malaysian, in particular, are popular right now, with 56 percent of chefs polled for the National Restaurant Association’s “2014 What’s Hot Culinary Forecast” citing that region as a hot one for cuisine. But Latin flavors are also growing.
“Look for Brazil to continue to be in the spotlight with the American cup just ending this summer and the Olympics around the corner,” Holman says, adding that Peruvian and Argentinean flavors are getting more attention, too.
Tying in with many of the Asian and Latin flavor trends is the trend toward spicy and hot flavors, in general.
“This ‘heat’ is coming in the form of gourmet peppers, moving beyond the jalapeño pepper and providing more diverse offerings, such as sriracha, ghost pepper, poblano and many more,” Holman says.
Despite the move toward ethnic or spicy flavors, there’s still a place on the shelf for regional American flavors, however, with “southern,” “New Orleans-style” and “Philly-style” remaining popular menu and retail claims, according to Holman. And there’s also still room for more classic flavors.
“Vanilla is being discovered by those who love barbecue as a ‘secret’ ingredient in the tastiest sauces,” says Beth Bitzegaio, sales manager at Waukegan, Ill.-based Nielsen-Massey Vanillas, which manufactures a range of vanillas and flavors for consumer, wholesale and industrial uses. “Traditional flavors are being used in non-traditional ways; for instance, rose water and orange blossom water are not just for cuisines of the Mediterranean and North Africa, but are being used in beverages, savory seafood recipes and even cocktails.”
Add some sophistication
Foods aren’t the only grocery products seeing new, sometimes exotic flavors. On the beverage front, epicurean-inspired flavors are gaining traction.
“Oak and tobacco flavors are showing up in hand-crafted whiskeys and other spirits,” says John Wilson, marketing manager at Edison, N.J.-based Allen Flavors, which offers beverage development services and ingredients.
Oak flavors are also showing up in beverages that aren’t alcoholic, with Woodbury, N.Y.-based AriZona Beverage Co.’s introduction this summer of bottled iced teas featuring hints of oak flavor. AriZona Oak Reserve teas are brewed with American Oak Chips, and even come in bottles resembling oak barrels.
“Connoisseurs will love its sophisticated tea notes and smooth oaky finish,” notes a press release for the new teas.
Consumers who love oaky wine and spirits might be inclined to gravitate toward that profile when it comes to their favorite non-alcoholic beverages, Wilson notes, pointing out that oak could be just the beginning.
“We will most likely see more wood flavors such as cedar in the near future,” he says.
Add veggies
Vegetables are also moving into the beverage space, according to the Global New Products Database from global market research firm Mintel, which shows the launch of more than 100 vegetable-based drinks between August 2013 and August 2014.
“With 55 percent of people globally making a conscious effort to eat as many vegetables as possible, the so-called ‘healthy halo’ of vegetable-based beverages makes them a hit with all types of consumers,” says Douglas Rash, group vice president of global sales at Lakeland, Fla.-based Treatt, a flavor and fragrance provider.
But vegetables are also showing up in more foods.
“Manufacturers are trying to add fruits and vegetables across categories to impact health perceptions of a product,” Holman says.
Keep it simple
While consumers might want sophistication or excitement from flavors, when it comes to ingredients themselves, what they really want is simplicity.
“Consumers want to see ingredients that are easy to read and understand,” says Cathy Peterson, principal scientist for value-added ingredients at Edina, Minn.-based SunOpta, a global ingredients and raw materials provider for foods and beverages. “They want to be able to understand what the ingredient is and what it is made from,” she says, pointing out that the use of “oat fiber” on a label communicates better with consumers than a label that lists “maltodextrin.”
Beyond just a cleaner ingredients label, specific simplicity-focused health claims that continue to appeal to consumers are “natural,” “whole grain,” “low calorie” and “gluten-free.” To offer the less-processed foods that customers are wanting to buy, many manufacturers and retailers are turning to clean-label starches and fibers, which allow foods to have the taste and texture that consumers are expecting, but without the confusing list of unrecognizable ingredients.
According to Peterson, such products include natural fibers from oat, rice and soy; organic and non-GMO milled corn products; and roasted seeds.
“We have seen tremendous growth in our portfolio of milled corn products, as well as our naturally processed, organic and non-GMO vegetable oils,” Peterson says.
Some starches are even going beyond just a cleaner label and providing the opportunity to have additional health-related claims on the package.
“An example is Hi-Maize resistant starch, which acts as a fiber, but also has some real demonstrated health benefits for energy management and blood sugar management,” says Evan Hyman, private label marketing manager at Westchester, Ill.-based Ingredion, a global ingredient provider with a focus on starches, sweeteners and nutritional ingredients.
Partner with suppliers
If the range of starches, fibers, flavors and other ingredients — and all their capabilities — seems confusing, retailers might want to consider working with an ingredient (and/or flavor) company to find the right solutions for their store brand items.
“Product development for retailers is not an exact science,” Hyman says. “Every retailer is different, and even if a retailer has a product development team, they may just be managing the supplier base and making product development recommendations.”
Whatever the ingredients or flavors, retailers shouldn’t be afraid to get creative when it comes to store brands. While sticking with the tried and true might seem safest, it could leave customers with the perception that the store brand is boring.
“Human nature is curious and likes to find and try something new and interesting,” Holman says. “And if it is good, then they get to talk about it with their friends and family and will also be back — because if they found something new and different the first time, then it could happen again.”