When Hormel Meals spent $3.35 billion 4 years in the past to purchase Kraft Heinz’s snack nut portfolio, a lot of the eye was paid to the crown jewel of the transformative deal: Planters nuts.
And for good purpose. Planters was nearing $1 billion in gross sales and would instantly develop into one among Hormel’s best-selling merchandise, surpassing different portfolio staples corresponding to Spam, Jennie-O turkey and Justin’s peanut butter.
However included within the combine was a model Hormel seen as underappreciated and one it was assured it may flip round.
The model was Corn Nuts, a crunchy snack created through the Nice Melancholy for bars and taverns. For years, Corn Nuts appeared to lack route as Kraft Heinz prioritized investing in its better-selling cousin Planters, which prompted the smaller model to languish.
“There was a recognition that this was sort of like a diamond-in-the-rough-type scenario the place you had a very easy enterprise in corn and a whole lot of alternative for development,” mentioned Patrick Horbas, market director for Corn Nuts and Planters, who got here to Hormel from Kraft Heinz following the acquisition. “With a bit of little bit of focus, consideration and extra pleasure, it might be one thing greater than it was.”
Non-compulsory Caption
Courtesy of Hormel Meals
When the now 89-year-old model was acquired by Hormel in 2021, it had a dominant presence in comfort shops however lacked significant publicity in different channels, corresponding to grocery, the place it may faucet into rising client curiosity in snacking. The merchandise additionally had largely saturated markets within the western U.S., near its residence state of California.
Hormel was decided to get Corn Nuts into extra stores and broaden its attain to different elements of the nation, such because the East Coast. It additionally got down to deepen its deal with innovation. Considered one of Corn Nuts’ Most worthy property is the snack’s capacity to hold taste on account of its distinctive form.
The model has 4 predominant flavors — Unique, Ranch, BBQ and Chile Picante Con Limon. Hormel goals to introduce a brand new limited-time Corn Nuts taste yearly that faucets into an current market pattern earlier than figuring out whether or not to scale it, Horbas mentioned. Kickin’ Dill, Loaded Taco and Mexican Avenue Corn are just some limited-time choices which have develop into everlasting fixtures in Corn Nuts’ lineup.
“A corn kernel is a good canvas for lots of issues,” Horbas noticed. “It’s at all times powerful when you’ve got so many flavors that may go on one thing, you must assume it by way of.”
Since buying the Corn Nuts model, Hormel “has seen robust momentum throughout key metrics,” together with family penetration, gross sales, quantity and distribution, in keeping with an organization spokesperson.
Hormel is exploring different alternatives for the model. In Might, it ventured past its conventional providing for the primary time with Corn Nuts Partially Popped, combining the signature crunch of the snack with the sunshine, ethereal texture of popcorn.
Horbas mentioned Hormel may take Corn Nuts additional past the enduring crunchy kernel and into different kinds.
“It’s a bit of dangerous,” Horbas mentioned about increasing Corn Nuts into new codecs. “The upside is way bigger, too, however you’re introducing one thing new. It takes much more schooling within the area. It takes much more trial of the product. However I might say these issues are at all times on our thoughts.”
When Hormel Meals spent $3.35 billion 4 years in the past to purchase Kraft Heinz’s snack nut portfolio, a lot of the eye was paid to the crown jewel of the transformative deal: Planters nuts.
And for good purpose. Planters was nearing $1 billion in gross sales and would instantly develop into one among Hormel’s best-selling merchandise, surpassing different portfolio staples corresponding to Spam, Jennie-O turkey and Justin’s peanut butter.
However included within the combine was a model Hormel seen as underappreciated and one it was assured it may flip round.
The model was Corn Nuts, a crunchy snack created through the Nice Melancholy for bars and taverns. For years, Corn Nuts appeared to lack route as Kraft Heinz prioritized investing in its better-selling cousin Planters, which prompted the smaller model to languish.
“There was a recognition that this was sort of like a diamond-in-the-rough-type scenario the place you had a very easy enterprise in corn and a whole lot of alternative for development,” mentioned Patrick Horbas, market director for Corn Nuts and Planters, who got here to Hormel from Kraft Heinz following the acquisition. “With a bit of little bit of focus, consideration and extra pleasure, it might be one thing greater than it was.”
Non-compulsory Caption
Courtesy of Hormel Meals
When the now 89-year-old model was acquired by Hormel in 2021, it had a dominant presence in comfort shops however lacked significant publicity in different channels, corresponding to grocery, the place it may faucet into rising client curiosity in snacking. The merchandise additionally had largely saturated markets within the western U.S., near its residence state of California.
Hormel was decided to get Corn Nuts into extra stores and broaden its attain to different elements of the nation, such because the East Coast. It additionally got down to deepen its deal with innovation. Considered one of Corn Nuts’ Most worthy property is the snack’s capacity to hold taste on account of its distinctive form.
The model has 4 predominant flavors — Unique, Ranch, BBQ and Chile Picante Con Limon. Hormel goals to introduce a brand new limited-time Corn Nuts taste yearly that faucets into an current market pattern earlier than figuring out whether or not to scale it, Horbas mentioned. Kickin’ Dill, Loaded Taco and Mexican Avenue Corn are just some limited-time choices which have develop into everlasting fixtures in Corn Nuts’ lineup.
“A corn kernel is a good canvas for lots of issues,” Horbas noticed. “It’s at all times powerful when you’ve got so many flavors that may go on one thing, you must assume it by way of.”
Since buying the Corn Nuts model, Hormel “has seen robust momentum throughout key metrics,” together with family penetration, gross sales, quantity and distribution, in keeping with an organization spokesperson.
Hormel is exploring different alternatives for the model. In Might, it ventured past its conventional providing for the primary time with Corn Nuts Partially Popped, combining the signature crunch of the snack with the sunshine, ethereal texture of popcorn.
Horbas mentioned Hormel may take Corn Nuts additional past the enduring crunchy kernel and into different kinds.
“It’s a bit of dangerous,” Horbas mentioned about increasing Corn Nuts into new codecs. “The upside is way bigger, too, however you’re introducing one thing new. It takes much more schooling within the area. It takes much more trial of the product. However I might say these issues are at all times on our thoughts.”
