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PG Web Extra: Still on the Sauce

12/4/2014

A major trend in the sauce and meal solution category, as in many other center store categories, is an emphasis on "clean-label" products, as exemplified by Victoria Fine Foods' redesign of the label that appears on its jars of authentic pasta sauce, in which the ingredients appear front and center.

"Victoria has conducted multiple rounds of consumer research to arrive at their new label design, which features their all-natural ingredients on the front of the label, in addition to qualifiers such as 'no preservatives,' 'no water' [and] 'no paste,'" says Don Davide, chief strategy officer for the Brooklyn, N.Y.-based company.

The reason for the redesign, according to Davide, is simplicity itself. "We found through research that consumers are increasingly more concerned about the ingredients in the foods they are shopping for," he explains. "They want authentic, great taste, but they don't want to feed their families ingredients that they would not use at home themselves. This is why Victoria is unique: They not only use all-natural ingredients and feature them on the front of their label, but they also cook their sauces slowly in large kettles for a truly homemade taste. That is why Victoria's overall theme, which is featured on the front of their label, is 'Ingredients Come First.'"

Victoria's 12-SKU, 10-flavor line of premium pasta sauces adopted the new label in June 2014, and early indications are that it's a hit. "Since our advertising support and full launch just recently began in September 2014, sales results are looking positive across the line among all retailers for the September-October period," notes Davide, adding that the company has garnered "great feedback from customers about our sauce in terms of taste profile as well as quality of ingredients. We feel this is due to our label design, which clearly places our all natural ingredients on the front of the label for consumers to compare to other leading brands. We have found consumers value this information and ability to make a choice about what they are feeding their family."

In addition to periodic promotions, Victoria supported the label launch with TV advertising, radio advertising, free-standing inserts, shelf talkers, corrugated and pallet display programs.

Naturally enough, Victoria isn't the only company to make such a change. Pendleton, Ore.-based Barhyte Specialty Foods, maker of the Saucy Mama product line, has also embraced the idea of a clean label -- in both senses of the word. "We redesigned the labels to make them cleaner," says Marketing and PR Manager Colette Harris. "We added a different subtle color to each of the items to make them stand out on the shelf. While the Saucy Mama product line looks cohesive on the shelf, it’s also easier for customers to see that the products are different without reading details on the label."

Beyond a more streamlined look, however, "I think people will keep pushing the limits on new and unique flavors, as well as heading down the road to making the products as 'clean' as possible, with fewer preservatives and locally sourced ingredients," adds Harris.

And another Victoria – Ms. Hoke, COO of Irvine Calif.-based Victoria's Garden Grown – concurs with that assessment, tying shoppers' interest in purer products to a concern with the healthfulness of the foods they eat. "I think innovation is the name of the game, as well as cleaning up ingredient lists," affirms Hoke. "Consumers are demanding quality; they're getting better educated on what they should be putting in their bodies, and want food companies to meet the demand for what they care about -- the perfect combination of flavor and health."

Special Sauce

In their ongoing quest to add interest to meals, consumers are starting to look past everyday sauces and meal solutions to more exotic, upscale offerings, which can increasingly be found in conventional stores.

"While the overall pasta sauce category is flat to slightly down, the specialty sauce category is growing significantly because consumers are recognizing that specialty pasta sauce is a high-quality, nutritious meal that is very affordable for the whole family," notes Victoria Fine Foods' Davide. "Therefore, we believe the specialty sauce category will continue and perhaps accelerate in growth in the future. Our analysis shows that almost 70 percent of Victoria's growth has come from the value and mainstream brands, proving consumers' tastes and values have shifted."

These products often feature the unexpected, which may be just what's needed to engage a shopper's jaded palate. "Our La Famiglia DelGrosso specialty sauce line caters to the customer willing to spend more for the premium ingredients and thoughtfully produced recipes that make meals more memorable," says Michael DelGrosso, VP global sales and marketing at Tipton, Pa.-based DelGrosso Foods. "To that end, we have developed a new Alfredo sauce with cream, not water, as the first ingredient; high-quality cheese; and other premium ingredients to give a more homemade taste. We also launched a Sloppy Joe sauce, which is a bit of a throwback product, but we created a far more interesting flavor profile. Consumers will notice smoked paprika, chipotle and cinnamon, as well as Worcestershire sauce and Dijon mustard, all of which combine to give a sweet and smoky taste with layers of flavor."

According to DelGrosso, the Alfredo sauce is selling well at such venues as Publix, Sprouts and Giant Eagle, while the Sloppy Joe sauce is now available at many Kroger stores in Texas, and at press time was about to debut at Ahold USA's Giant Carlisle. The supplier also expects to roll out a Sloppy Joe sauce shipper program in time for football playoff season.

"Generally, we’ve seen sales growth throughout the entire specialty condiments category, perhaps because more people are cooking at home," suggests Harris, of Barhyte, which recently launched three wing sauces –- Honey Barbeque, Jamaican Jerk and Orange Habanero –- under its Saucy Mama brand. The new sauces "are actually incredibly versatile and recommended for lots of recipes-- not just wings," says Harris. "We had a food blogger contest earlier this year in which the contestants made dishes with the new sauces, and we had amazing recipe creations, from burgers to tacos to pastas and salads."

For his part, David Crocker, general manager U.S. mainstream retail, Central & South America at Hong Kong-based Asian sauce maker Lee Kum Kee, cites Specialty Food Association figures showing that a whopping 74 percent of consumers bought specialty food for various occasions. "While Chinese cuisine has quickly become part of the American culinary landscape, many consumers may still not be comfortable preparing it at home," he asserts. "Lee Kum Kee makes it easy for people to enjoy authentic, restaurant-quality Asian tastes and flavors at home, through its delicious line of savory Asian sauces and condiments."

This authenticity can serve as the basis for innovative products. According to Crocker, the company's Sriracha Chili Mayo and Ketchup "offer a new twist on a standard condiment. … Having produced our own Sriracha Chili sauce for many years, we are able to leverage that real flavor profile and ignite the flavors of traditional mayo and ketchup." He observes that "the new condiments add a lively bite to sandwiches, spreads, salad dressings, dips and sauce recipes."

As proof that this strategy of blending the traditional with the modern to create unique specialty items appears to be working, Crocker notes, "Sales and distribution growth [of the sriracha-flavored condiments] have been exceptional and above our expectations."

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