Table of Contents
Scope and Themes
-
- What you need to know
- Definition
- Data sources
- Sales data
- Consumer survey data
- Abbreviations and terms
- Abbreviations
- Terms
Executive Summary
-
- Market at a glance
- Impact of down economy minimal, unless things get worse
- New product activity has driven sales in the category’s largest segment
- Three companies dominate category sales
- Supermarkets still dominant channel, but others making gains
- Rising food prices account for much of the dollar sales growth
- Cracker new product development touches on broader food industry trends
- Heavy advertising
- Cracker usage high and varied
- The importance of flavor, texture and health
- Generating trial: the balance between familiarity and innovation
Insights and Opportunities
-
- Bring a solution orientation to crackers at retail, particularly supermarkets
- And now for something completely different
-
- Figure 1: Top flavors of new cracker launches, 2003-08
Inspire Insights
-
- Trend: Snack Society
- Snacking as a metaphor for consumers’ lives
- More than metaphorically, crackers can help us snack on life
- Trend: Premiumization and Indulgence
- Premium has to be indulgent, but indulgent doesn’t require premium pricing or positioning
- An affordable indulgence
Market Size and Forecast
-
- Key points
- New product activity driving sales in the category’s largest segment
-
- Figure 2: Total U.S. FDMx sales of crackers, at current prices, 2003-13
- Figure 3: Total U.S. FDMx sales of crackers, at inflation-adjusted prices, 2003-13
- Wal-Mart sales
Competitive Context
-
- Competition within the cracker category
- A better tasting alternative to better for you chips
-
- Figure 4: Past year snack food consumption, November-December 2008
Segment Performance
-
- Key points
- Marketer and consumer attention focused on “all other” segment
-
- Figure 5: Sales of crackers, segmented by type, 2006 and 2008
Segment Performance—“All Other” Crackers
-
- Key points
- New product activity keeps cracker eaters focused on “all other” segment
- Sales and forecast of “all other” crackers
-
- Figure 6: FDMx sales of “all other” crackers, at current prices, 2003-13
Segment Performance—Saltine Crackers
-
- Key points
- Lack of innovation and attention leads to declining consumption
- Saltines may prove counter-recessionary
-
- Figure 7: FDMx cracker dollar sales per pound, 2008
- Sales and forecast of saltine crackers
-
- Figure 8: FDMx sales of saltine crackers, at current prices, 2003-13
Segment Performance—Crackers with Fillings
-
- Key points
- Segment skews more adult as it declines
- Segment impacted by peanut product recall due to salmonella outbreak
- Sales and forecast of crackers with fillings
-
- Figure 9: FDMx sales of crackers with fillings, at current prices, 2003-13
Segment Performance—Graham Crackers
-
- Key points
- Segment leader looks to breakfast to reignite growth
- Growth opportunities through specific demographics
- Sales and forecast of graham crackers
-
- Figure 10: FDMx sales of graham crackers, at current prices, 2003-13
Segment Performance—Breadsticks
-
- Key point
- Rising prices prop up dollar sales in a declining category
- Line expansions to boost sales
- Sales and forecast of breadsticks
-
- Figure 11: FDMx sales of breadsticks, at current prices, 2003-13
Segment Performance—Matzoh Crackers
-
- Key point
- Passover defines matzoh segment
- Sales and forecast of matzoh crackers
-
- Figure 12: FDMx sales of matzoh crackers, at current prices, 2003-13
Retail Channels
-
- Key points
- Supermarkets still dominant, but many other channels compete with their own distinct propositions
-
- Figure 13: U.S. FDMx retail sales of crackers, by channel, 2006 and 2008
Retail Channels—Supermarkets
-
- Key points
- Crackers linked to both challenges and opportunities for supermarkets
-
- Figure 14: U.S. Food store sales of crackers, at current prices, 2003-08
Retail Channels—Other Retailers
-
- Key points
- Target leads growth among other retailers
-
- Figure 15: U.S. Other retailer sales of crackers, at current prices, 2003-08
Market Drivers
-
- Price, not volume, driving cracker sales increases
-
- Figure 16: FDMx cracker dollar sales per pound, 2005-08
-
- Figure 17: FDMx cracker dollar sales per unit, 2005-08
- Rising food prices have impacted crackers, but recent declines may halt increases at the shelf
-
- Figure 18: Average retail food costs, selected products, 2008
- Private label poised for success
Leading Companies
-
- Key points
- Kraft maintains leadership but sees share slip
- Kellogg steady in number two position
- Pepperidge Farm sees share growth beyond Goldfish
- Manufacturer sales of crackers
-
- Figure 19: Manufacturer sales of crackers in the U.S., 2007 and 2008
Brand Share—“All Other” Crackers
-
- Key points
- Relative lack of market share movement masks extensive, ongoing new product activity among major competitors
- Taste and texture outweigh health and wellness
- Brand sales of “all other” crackers
-
- Figure 20: Selected brand sales and market share of “all other” crackers in the U.S., 2007 and 2008*
Brand Share—Saltines
-
- Key points
- Nabisco Premium leads branded competition by a wide margin
- Private label presence greater than any other segment
- Brand sales of saltines
-
- Figure 21: Selected brand sales and market share of saltine crackers in the U.S., 2007 and 2008
Brand Share—Crackers with Fillings
-
- Key points
- Nabisco’s segment-leading share has slipped
- Lance holds onto a niche, gains share
- Kellogg brands will bear the brunt of peanut butter recall
- Brand sales of crackers with fillings
-
- Figure 22: Selected brand sales and market share of crackers with filling in the U.S., 2007 and 2008
Brand Share—Graham Crackers
-
- Key points
- Kid’s grahams losing traction in competitive kid snack market
- Nabisco sees breakfast as growth opportunity for graham crackers
- Brand sales of graham crackers
-
- Figure 23: Selected brand sales and market share of graham crackers in the U.S., 2007 and 2008
Brand Share—Breadsticks
-
- Key points
- Mostly small competitors share the breadstick market
- A little innovation could go a long way
- Brand sales of breadsticks
-
- Figure 24: Selected brand sales and market share of breadsticks in the U.S., 2007 and 2008
Brand Share—Matzoh Crackers
-
- Key points
- Exceedingly ill-timed production delay impacts Manischewitz Passover market share
- Brand sales of matzoh crackers
-
- Figure 25: Selected brand sales and market share of matzoh crackers in the U.S., 2007 and 2008
Natural channel/SPINS
-
- Cracker sales at natural channel outlets
-
- Figure 26: Natural product supermarket sales of crackers, at current prices and inflation-adjusted prices, 2006-08
- Implications
- Natural channel sales by segment
-
- Figure 27: Natural product supermarket sales of crackers by segment, 2006 and 2008
- Leading Brands
- Natural channel sales of crackers by organic
-
- Figure 28: Natural product supermarket sales of crackers by organic, 2006 and 2008
- Natural channel sales of crackers by gluten-free
-
- Figure 29: Natural product supermarket sales of crackers by gluten-free, 2006 and 2008
- Natural channel sales of crackers by raw
-
- Figure 30: Natural product supermarket sales of crackers by raw, 2006 and 2008
Brand Qualities
-
- Ritz boasts taste and versatility alongside fun
- An affordable luxury
- Bring on the fun
- In a word, Cheez-It means cheese
- Goldfish driven by optimism, variety, and Pepperidge Farm halo
- Optimism
- Variety
- The Pepperidge Farm Halo
Innovation and Innovators
-
- Cracker new product development touches on broader food industry trends
- Flavor and texture remain primary
- Health and wellness
- Convenience
- Natural and organic
- Environmentally friendly
- Private label
- New flavor varieties from leading brands
- Gourmet flavors
- New crackers from non-cracker brands
- Crackers that put new twists on familiar forms
- A touch of Americana in a play for authenticity from Nabisco
Advertising and Promotion
-
- Overview
-
- Figure 31: Media expenditures for selected cracker brands from Brandweek’s Superbrands report, 2008
- Variety of ways into the cracker eating experience
- Cracker ads to kids created in context of concern over childhood obesity
- Ritz, in strategic evolution, looks to capture benefit of fun
-
- Figure 32: Kraft/Ritz checkers television ad, 2008
- Wheat Thins ads celebrate the wholesomeness of its main ingredient
-
- Figure 33: Kraft/Wheat Thins television ad, 2008
- Who’s cheesier? Cheez-It and Kraft go to extremes for cheesy taste
-
- Figure 34: Kraft/Macaroni & Cheese Crackers television ad, 2008
- Figure 35: Kellogg/Cheez-It Crackers television ad, 2008
- Continuing characters personify Goldfish brand values
-
- Figure 36: Pepperidge Farm/Flavor Blasted Goldfish Crackers television ad, 2008
- Town House Flipsides launch ad blends product story
-
- Figure 37: Kellogg/Town House Flipsides television ad, 2008
Cracker and Snack Usage
-
- Most households use crackers
-
- Figure 38: Household usage of crackers, January-September 2004, May 2005-June 2006, April 2007-June 2008
- Crackers among the most widely consumed salty snacks
-
- Figure 39: Past year snack food consumption, by gender, November-December 2008
- Kids in the household drive use of crackers and other snacks
-
- Figure 40: Past year snack food consumption, by age, November-December 2008
- Figure 41: Past year snack food consumption, by children in HH, November-December 2008
How and How Often
-
- Crackers put to use as more than just topping carriers
-
- Figure 42: How crackers are consumed, by gender, November-December 2008
- Marketing opportunities for the ages
-
- Figure 43: How crackers are consumed, by age, November-December 2008
-
- Figure 44: How crackers are consumed, by children in HH, November-December 2008
- Cracker eaters eat many different types of crackers, but saltines are still the most widely used
-
- Figure 45: Types of crackers consumed, by gender, November-December 2008
- Kids spur consumption of more types of crackers among adults
-
- Figure 46: Types of crackers consumed, by children in HH, November-December 2008
- Frequency of cracker eating consistent across age groups
-
- Figure 47: Frequency of cracker eating, by age, November-December 2008
What Consumers Want…in a Cracker, at Least
-
- Flavor and texture top the list of important cracker characteristics
-
- Figure 48: Importance of various cracker characteristics, by gender, November-December 2008
-
- Figure 49: Importance of various cracker characteristics, by age, November-December 2008
- On the whole, crackers viewed as a (not-so-un) healthy snack alternative
-
- Figure 50: Attitudes towards crackers, by gender, November-December 2008
- Healthfulness is only moderately important in cracker selection
-
- Figure 51: Importance of cracker health/nutrition, by gender, November-December 2008
- Gluten free
- Marketing the health factor
- Older adults more focused on health, younger adults on natural and organic
-
- Figure 52: Importance of cracker health/nutrition, by age, November-December 2008
- Familiarity and habit compete with the desire for something new
-
- Figure 53: Attitudes towards crackers, by gender, November-December 2008
-
- Figure 54: Attitudes towards crackers, by children in HH, November-December 2008
New Product Trial
-
- Familiarity gives established brands the inside track on new product trial
-
- Figure 55: Impact of professional recommendation/suggestion on new product trial, by children in HH, November-December 2008
- Family and friends influence new cracker trial
-
- Figure 56: Impact of personal request/recommendation on new product trial, by gender, November-December 2008
-
- Figure 57: Impact of personal request/recommendation on new product trial, by children in HH, November-December 2008
- In the end, tasting is believing. A coupon might help too.
-
- Figure 58: Impact of advertising/promotional techniques on new product trial, by gender, November-December 2008
Race and Hispanic Origin
-
- Cracker penetration lower for Hispanic and Asian households
-
- Figure 59: Household usage of crackers by race/hispanic origin, January-September 2004, May 2005-June 2006, April 2007-June 2008
- Hispanics’ cracker use reflects attention to health and wellness issues
-
- Figure 60: Importance of cracker health/nutrition, by race and Hispanic origin, November-December 2008
- Importance of food in Hispanic homes reflected in cracker attitudes
-
- Figure 61: Attitudes towards crackers, by race and Hispanic origin, November-December 2008
Cluster Analysis—Samplers, Singulars, Explorers
-
- Samplers
- Who they are
- Opportunity
- Singulars
- Who they are
- Opportunity
- Explorers
- Who they are
- Opportunity
- Cluster characteristics
-
- Figure 62: Cracker clusters, November-December 2008
- Figure 63: Past year snack food consumption, by cluster, November-December 2008
-
- Figure 64: Frequency of cracker eating, by cluster, November-December 2008
- Figure 65: How crackers are consumed, by cluster, November-December 2008
-
- Figure 66: Types of crackers consumed, by cluster, November-December 2008
- Figure 67: Importance of various cracker characteristics, by cluster, November-December 2008
-
- Figure 68: Importance of cracker health/nutrition, by cluster, November-December 2008
- Figure 69: Attitudes towards crackers, by cluster, November-December 2008
-
- Figure 70: Impact of personal request/recommendation on new product trial, by cluster, November-December 2008
- Cluster demographics
-
- Figure 71: Cracker clusters by gender, November-December 2008
- Figure 72: Cracker clusters by age, November-December 2008
- Figure 73: Cracker clusters by household income, November-December 2008
-
- Figure 74: Cracker clusters by race/Hispanic origin, November-December 2008
- Cluster methodology
Custom Consumer Groups
-
- Younger Hispanics offer growth possibilities and line extensions
- Types eaten and attributes value
-
- Figure 75: Past year cracker consumption and select types of crackers, consumed by Hispanic origin and age, November-December 2008
-
- Figure 76: Importance of various cracker characteristics, by Hispanic origin and age, November-December 2008
-
- Figure 77: Importance of cracker health/nutrition, by Hispanic origin and age, November-December 2008
IRI/Builders—Key Household Purchase Measures
-
- Overview of crackers
- “All other” crackers
- Brand map
-
- Figure 78: brand map, selected brands of “all other” crackers, by household penetration, 2008
- Brand leader characteristics
- Key purchase measures
-
- Figure 79: Key purchase measures for the top brands of “all other” crackers, by household penetration, 2008
- Saltine crackers
- Brand map
-
- Figure 80: Brand map, selected brands of saltine crackers, by household penetration, 2008
- Brand leader characteristics
- Key purchase measures
-
- Figure 81: Key purchase measures for the top brands of saltine crackers, by household penetration, 2008
- Crackers with fillings
- Brand map
-
- Figure 82: Brand map, selected brands of crackers with fillings, by household penetration, 2008
- Brand leader characteristics
- Key purchase measures
-
- Figure 83: Key purchase measures for the top brands of crackers with fillings, by household penetration, 2008
- Graham crackers
- Brand map
-
- Figure 84: Brand map, selected brands of graham crackers, by household penetration, 2008
- Brand leader characteristics
- Key purchase measures
-
- Figure 85: Key purchase measures for the top brands of graham crackers, by household penetration, 2008
Appendix – Detailed Brand Sales “All Other” Crackers
-
-
- Figure 86: Detailed brand sales and market share of other crackers in the U.S., 2007 and 2008*
-
Appendix – Other Useful Consumer Tables
-
-
- Figure 87: Types of crackers consumed, by age, November-December 2008
-
- Figure 88: Frequency of cracker eating, by gender, November-December 2008
-
- Figure 89: Frequency of cracker eating, by children in HH, November-December 2008
-
- Figure 90: Importance of various cracker characteristics, by children in HH, November-December 2008
-
- Figure 91: Importance of cracker health/nutrition, by children in HH, November-December 2008
-
- Figure 92: Attitudes towards crackers, by age, November-December 2008
-
- Figure 93: Impact of personal request/recommendation on new product trial, by age, November-December 2008
-
- Figure 94: Impact of advertising/promotional techniques on new product trial, by age, November-December 2008
-
- Figure 95: Impact of professional recommendation/suggestion on new product trial, by gender, November-December 2008
-
- Figure 96: Impact of professional recommendation/suggestion on new product trial, by age, November-December 2008
-
- Figure 97: Impact of advertising/promotional techniques on new product trial, by children in HH, November-December 2008
-
Appendix – IRI/Builders Panel Data Definitions
-
- IRI Consumer Network Metrics
Appendix: Trade Associations
Back to top