A Sweet Alternative

3/21/2015

Syrup and honey are becoming increasingly ubiquitous. While they traditionally have been associated with a handful of applications — syrup for topping waffles and pancakes and honey as a sweetener and flavoring in tea and on bread — they now are being positioned for a wider range of uses.

For example, pure maple syrup now is being promoted by producers as a sweetener in coffee, tea, cereal and oatmeal; as a topping for pizza; as a glaze for salmon and vegetables; and as an ingredient in baked goods such as muffins and cakes. Honey, meanwhile, is being endorsed as an ingredient in energy bars and energy drinks, sweet-salty snacks, beers, smoothies, barbecue sauce, granola, ham, pudding and porridge. Merchandisers of pure syrup and honey also are targeting the expanding base of health-conscious consumers who are seeking natural sweeteners.

“There is a growing interest by shoppers in eating healthier and more sustainable foods,” says Matthew Gordon, executive director of the Waterbury Center, Vt.-based Vermont Maple Sugar Makers’ Association. “Corn syrup is getting beat up in the media because of its contribution to obesity and diabetes. That perception in consumers’ minds is helping the maple syrup sector.”

Margaret Lombard, CEO of the Firestone, Colo.-based National Honey Board, adds that consumers want to know the origin of their food and how it is made.

“They want foods with a clean label and are comparing honey with other sweeteners,” she says.

An opening for organic

Producers also are seeking to make pure maple syrup and honey more attractive by launching additional varieties. Arnold Coombs, director of sales and marketing for Bascom Family Farms Inc., a Brattleboro, Vt.-based maple syrup producer, says more retailers are merchandising organic maple syrup and adding darker syrups with stronger tastes.

He notes that industrywide inventories of organic syrup are increasing as more producers convert to organic farming in response to growing consumer demand. More than half of Bascom Family Farms’ production will soon be for organic offerings, and its organic sales are growing at a double-digit rate, Coombs says.

Contributing to added interest in organic syrup is the relatively small 5 percent to 7 percent price difference between organic and conventional varieties, he states.

“More consumers also are learning about the other health properties of pure syrup, such as being a source for antioxidants,” Coombs notes.

Indeed, a stated marketing aim of the Spencerville, Ont.-based International Maple Syrup Institute is to increase general awareness of the nutritional and health benefits of maple syrup compared to other commonly used sweeteners. Strategies include spotlighting the vitamins and minerals in pure maple syrup, including manganese, riboflavin, zinc, magnesium, calcium and potassium.

Store brand marketers, meanwhile, should emphasize such wellness benefits — along with the fact that pure maple syrup is rich in antioxidants — on both product labels and via in-store signage, says Emma Marvin, director of marketing for Butternut Mountain Farm, a Morrisville, Vt.-based maple syrup producer.

It also is important for retailers to accentuate the many potential uses of syrup to appeal to the large base of consumers who don’t eat waffles or pancakes because they don’t have time for a sit-down breakfast, Marvin states.

“Private label merchandisers should highlight the attributes that have people thinking of maple syrup beyond the breakfast table,” she states.

Retailers could demonstrate alternatives by situating syrup next to products such as salads or seafood in which it can serve as a sweetener, Marvin adds.

A shelf standout

In addition, it is important for retailers to offer unique selections that set store brands apart from national brands. That includes uncommon flavors outside of pure maple syrup.

Cliff Beahm, vice president of sales for Griffin Food Co., a Muskogee, Okla.-based producer of syrups containing corn syrup, notes that Griffin, for instance, is marketing praline, cinnamon roll and butter pecan syrups and recently developed bacon syrup.

“Just being a national brand equivalent is not good enough,” he states. “Adding value that goes beyond price will generate greater sales.”

Such value also includes offering store brands in bottles that pour more easily or are available in a plethora of sizes, he says.

Beahm adds that it is crucial for retailers to heavily promote their store brands to counter national brand merchandising. Effective vehicles include newspaper advertising and in-store displays that feature a variety of store brand breakfast components — including syrup and pancake mix — on an end cap. In addition, product labels should prominently feature the flavor and features of an item — for example, sugar-free — and the quality of the label also must match or exceed that of the national brand, he states.

Create a honey haven

Offering assortments of private label products that differ from the national brands also is an effective product development tactic for honey.

Geri Birks, project manager for Smitty Bee Honey Inc., a Defiance, Iowa-based producer, says such items could include packages that contain both honey and complementary foods such as peanut butter, as well as diverse flavors.

“There is an opportunity for more unique flavors like orange blossom, mesquite and honey blends,” she states. “Many shoppers are not aware that there are different varieties and that not all honey tastes the same.”

Retailers also could attract attention to store brand honey by merchandising it in unconventional packaging. Possibilities include smaller bottles for persons who do not regularly consume honey, and glass containers that highlight higher-end offerings.

Among the in-store vehicles that could effectively spotlight selections are shipper displays in aisles, shelf talkers and cards that describe the various roles of honey, including as an ingredient in an abundance of foods, Birks states. She adds that retailers could give private label honey greater visibility by situating products adjacent to national brands in a variety of store locations.

In addition, Lombard recommends situating private label honey next to areas that contain complementary impulse items, including near the cheese case, in the tea aisle, with jams and jellies, and alongside sweeteners in the bakery aisle. Offering tips on honey usage via recipe booklets and in-store sampling also will help create demand, she notes.

“Understanding consumer preferences toward natural products and sharing information about how such products are sourced provides great opportunities for retailers to build confidence around store brands,” Lombard adds.

Focus on flavor

Indeed, Denise Miller, chief operating officer of Burlington, Wash.-based honey marketer Henry’s Humdingers, notes that tangy flavors will further enable retailers to generate greater interest in store brands.

“Private label has a lot of equity with consumers, and many are likely to pick an unconventional store brand product and give it a try,” she states. “More shoppers are seeking savory ingredients for use in meat recipes or even mixed drinks.”

Henry’s Humdingers’ honey flavors include spicy pepper and ginger, chipotle chile and cinnamon, habanero and lime, and spicy red pepper and garlic.

Offering a wide selection of honey and syrup is a key way for store brand marketers to draw attention to their products. But it is important that the range of choices does not confuse consumers.

An interest in demystifying the selection process led the USDA to recently implement a maple syrup grading system with color and flavor descriptors. The system matches international standards and is intended to make it easier for consumers to identify the different varieties of products.

The four categories are Golden — Delicate Taste, Amber — Rich Taste, Dark — Robust Taste, and Very Dark — Strong Taste.

“It will allow consumers to select the maple syrup that best fits their use and flavor preference,” Marvin says. “And it also brings pure maple syrup in line with other specialty products such as olive oil, chocolates and beer, which already use flavor descriptors.”

By taking on additional duties as a tasty ingredient in a multitude of recipes, syrup and honey are creating attractive merchandising opportunities for marketers of store brands. Retailers that effectively leverage the items in response to shoppers’ strong interest in variety, flavor and health and wellness will be in position to generate sweet returns.

Do consider adding organic pure maple syrups options.

Don’t be afraid to differentiate via flavors for store brand syrup and honey.

Do suggest new uses by cross-merchandising syrup and honey with complementary foods.

Don’t forget to educate shoppers about the health benefits of pure maple syrup.

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