BY MICHAEL JOHNSEN
BATTLE CREEK, MICH.—Overall, meal replacement bars generated more than $539.2 million in sales for the 52 weeks ended April 20 across food, drug and mass channels (minus Wal-Mart) according to Information Resources Inc., representing relatively flat category growth of 1 percent. But if you tease out what could be defined as “diet bars,” bars supplied by such manufacturers as Abbott Laboratories and its Zone Perfect brand, Kraft with its South Beach Diet bars or Kellogg with its Special K Protein bars, not to mention such long-standing diet bar offerings as Unilever’s Slim-Fast or Atkins, you get a much different story.
Sales of the top five “diet bars” make up 27. 6 percent of all sales in the category and are growing at a clip of 9. 7 percent. Only Clif Bar and Nestlé USA’s Power Bars rank as high in sales in those top five bars, and they’re both arguably positioned against an already-fit, already-working-out athletic demographic, not dieters.
According to Joe Mueller, director of sales for Kellogg’s new health and wellness division, there are three distinct customers shopping the meal replacement area: those shopping the aisles for pro-tein-and-carbohydrate-heavy sports nutrition bars, nutrition-rich adult nutrition bars and lower-calorie diet bars.
And while it’s the diet bar consumer who’s spending the most in that category today, retailers are still risk-averse after the low-carb craze that grew meal replacement shelf allotments by several linear feet and then abruptly crashed.
That may be part of the reason why the rationalized, post-low-carb meal replacement
After the low-carb crash, several makers of diet bars are revamping thier approach in order to boost sales.
Top five diet bars
Dollar percent
Bar sales* change
Zone Perfect $52.4 – 8.2% Kellogg’s Special K Protein 29. 4 139. 9 Slim-Fast Optima Meal-on-the-Go 23. 6 – 6. 7 Kraft South Beach Diet 23. 3 2. 8 Kashi Go Lean 20. 1 9. 6
Total (for these five bars): 148. 8 9. 7
Total meal-replacement category 539.2 1.0
*in millions
Source: Information Resources Inc. for the 52 weeks ended April 20across food, drug and mass channels (minus Wal-Mart)
bar sets of today oftentimes represent a hodge-podge of the best-selling offerings.
But leading bar makers say to optimize the category retailers should be thinking in terms of three clearly delineated segments—sports, adult and diet. “That way you can actually provide information around that category,”
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PLYMOUTH MEETING, Pa. — Forecasting potential allergens in far-away vacation spots or for business trips just got a little easier. Pollen.com, a division of Surveillance Data Inc., earlier this month announced the addition of two new features to its site, pollen history and two-city comparison, for people who suffer from seasonal allergies.
Pollen history provides a 30-day allergy index history by ZIP code. The proprietary index assigns a weighted value to such key factors as the pollen count, weather and wind speed and direction. Visitors can use the chart to track whether allergy conditions are increasing or decreasing over time. In the near future, the site will introduce a 90-day look back function, which will be the most extensive pollen history available on the Web.
The two-city comparison chart allows Pollen.com visitors to compare the pollen intensity in their own area with that of another location for the next four days by plugging in the two ZIP codes. The chart that pops up displays bar graphs showing the pollen severity levels in the two locations for each day.
“When people with allergies travel on business, vacation or relocate, they want to know how the expected pollen levels in other areas compare with what they’re currently experiencing,” stated Glenn Connery, manager of the application development/Web group for SDI. “Our two-city comparison helps people plan their medication use and their outdoor activities a little better. The comparison feature has also been used by parents whose children have allergies and are going away to college in a different city.”
Pollen.com will soon expand both pollen history and two-city comparison to include breakdowns of specific pollen sources such as trees, plants and grasses.
GREEN BAY, Wis. — Enzymatic Therapy in June began shipping a new line of six organic supplements called True Organics, the only supplements to feature the USDA organic seal, with another eight supplements to come by the end of the year, said Dave Betrus, Enzymatic vice president of customer development.
It’s a more-natural natural supplement. For example, Enzymatic’s calcium supplement is made from actual egg shells versus other minerals. “For people who really want pure organics, this is a good alternative,” Betrus said. “Even though
you’re taking a supplement that claims to be natural, there could be chemicals in there just on account of the ingredients that are sourced.”
The USDA organic seal on Enzymatic Therapy True Organics means at least 95 percent of the product is organically produced—no pesticides or harmful chemicals.
The products will carry a premium position in the marketplace, given the added expense in sourcing the organic ingredients, Betrus noted, priced some 10 percent to 15 percent higher than the top-tier brands.
RONKONKOMA, N.Y.— NBTY last month proposed buying troubled private-label manufacturer Leiner Health Products in a deal worth $230 million plus the assumption of certain liabilities..
The proposed buyout of Leiner, which filed for bankruptcy protection March 10, was subject to higher or better offers, but as of June 9, there were no other offers.
If no better offer is submitted, the purchase transaction
is expected to close no later than September.
In March, Leiner filed its second bankruptcy in seven years, and is also emerging from a manufacturing scandal, in which the company last month pled guilty to mail fraud and forfeited $10 million to close the chapter on a U.S. Department of Justice investigation into Leiner’s now-closed Fort Mill, S.C., production facility.
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