Savoring Sweet Opportunity Snack And Candy Vending Trends

I attended the Sweets & Snacks Expo last month at McCormick Place in Chicago. VT has attended this show, but I hadn't for more than a decade. For those unfamiliar with this event, it's sponsored by the National Confectioners Association and was launched as the All Candy Expo in 1997. Renamed Sweets & Snacks Expo in 2010, it now represents all the major U.S. distribution channels of confectionery and snack products. More than 650 candy and snack producers display their wares to more than 16,000 industry professionals.

As fitness-conscious as I am and with beach season upon us, I was determined not to "eat my way through the show." Much to my surprise, I was greeted with goodies ranging from dark chocolate-enrobed fruit, cranberry, almond, chocolate and toasted oat snackable squares to crunchy pretzels combined with hummus and savory Mediterranean delicacies made from nutritious beans and olive oil. I would not need to break for lunch! And that was fortunate, since the number of interesting exhibits exceeded the amount of time I could devote to exploring the show.

Of course, the varied range of snacks grabbed my interest from a gustatory standpoint, and the thought of prospective new advertisers always intrigues me, so I'm excited to learn more about products that can be sold to advantage by operators of vending machines and micromarkets, and maybe even family entertainment centers. Many of the products I sampled are vertically packaged and would fit comfortably in standard vending machines.

Consumers today are demanding "healthier" snacks that combine sweet and savory flavors and on-the-go appeal with main-meal attributes. For me, this isn't a new concept; I have been enjoying Doritos and M&M's sandwiches since high school. While I still enjoy them on rare occasions, I have moved on to dark chocolate-covered almonds sprinkled with sea salt paired with Prosecco. The point here is that the perception that snacks are "bad for you" is influenced by your definition of a snack. And since perception is reality, it's great to know that our industry is participating in the redefinition process.

This evolution inspired a new "Knowledge Series" that was offered for the first time at the Expo. Leading experts provided perspective on the current economic climate, the health and wellness megatrend and the nation's changing demographics in three short, high-impact presentations. A "Retailer Impact Forum" then explored ways to get ahead of the biggest drivers of change in "bite-size" portions.

Workplace refreshment operators have been told for decades that they need to think like retailers rather than technicians, so the Sweets & Snacks seminars had good crossover value. It comes as no surprise that, with the well-publicized health benefits of cocoa flavanols as antioxidants, the "chocolate-for-snacking" category is growing. According to Mars Chocolate, consumers seek "permissible indulgence" in their snacking options, and are looking for satisfying confections that pair chocolate with other delicious feel-good ingredients (see P. 30). Suppliers are responding with new packaging and merchandising options for vending and micromarkets.

What may surprise some are the products created with novel ingredient combinations and packaged in formats appealing to grab-and-go snackers. Historically, this development might have been foreseen. Candy was a dominant category well into the second half of the 20th century; vending industry old-timers will recall the onset of single-serve salty snacks (other than peanuts) in the early '70s, and their role in the triumph of the glassfront machine over its more limited predecessors. Right through the 1960s candy was packed in lunchboxes to provide a burst of energy in mid-afternoon. This was logical at a time when widespread hunger was a national problem. Federal food policy strove, with bipartisan support, to increase the availability and reduce the cost of sufficient daily caloric intake.

From that perspective, the current attack on "calories" can be seen as a reaction to the success of that policy. In an age when it is too easy to consume more calories that one needs, it's reasonable to expect demand to shift toward "less but better."

Our industry is well positioned to meet that demand. The old $1 "price ceiling" is largely gone, though some market segments are more price-sensitive than others and it's important to keep their needs in mind. But the ability of today's equipment to deliver a wider product selection at an extended range of prices can accelerate vending's slow but steady movement into the retailing mainstream, and allow us to combine our strong reputation for convenience with a new appreciation of our value and variety.