Winning with Biscuits - Annual Biscuit Review 2020 - Pladis
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Winning with
Biscuits
Annual Biscuit
Review 2020
Contents The purpose of this review Foreword Well, it’s clear that adaptability
remains key for retailers,
Performance review This review has been produced by pladis from Well, what a roller coaster of a year 2020 was wholesalers and foodservice
independently generated data and, as far as possible, for the Grocery industry! operators, as our trading
2 2020 on a page is a true and impartial view of the segments, environment continues to
4 Performance of Core manufacturers, brands and trends shaping the Biscuits Last January, almost nobody could have change due to the pandemic.
category in the year ending December 2020. predicted the devastating impact COVID-19 Biscuits will also be one of
Snacking Categories
would have worldwide, nor just how quickly 16 categories affected by the
5 What happened in 2020?
6 What were the trends?
Executive summary the pandemic would profoundly alter consumer
and shopper behaviour.
Government’s intentions to
further regulate products deemed
The importance of biscuits in a pandemic • UK biscuit sales were worth £2.96bn in retail during UK suppliers and retailers, large and small, faced to be high in fat, sugar or salt content
2020, bought by 99.5% of all GB households. challenges aplenty as we hastily adapted in the (HFSS). Navigating these challenges will require
8 How has the pandemic changed a renewed focus on collaboration between
the way we consume biscuits? • Total category growth was the strongest in over five face of rapidly changing shopper needs. First by
years: +7.2% or +£212m in value sales. This was driven solidifying supply chains as worried Brits added manufacturers and retailers.
10 Biscuit occasions changed in 2020 by star performances in sub-categories: Chocolate a few extra items to their trolleys and baskets, Read on to see how value for money, ‘treat
11 Brits bought biscuits more often, Biscuit Bars (+11.5%), Everyday Biscuits (+15.1%), then through facilitating the roaring demand for yourself’ occasions, increased interest in NPD
and spent more each trip Everyday Treats (+11.9%) and Special Treats (+9.2%). online delivery slots and local shopping via the and a big Christmas will be important consumer
Product performance • Sweet Biscuits remains the largest part of the convenience channel. trends as we progress through the year.
12 Core thrived during 2020 category with sales worth £2.4bn (+6.6%). Within this: And that was just the start. With months of What’s also clear is the renewed weight of the
14 Biscuit NPD was worth £45m in 2020 • Classic ‘biscuit barrel’ sectors like Chocolate multiple national lockdowns, regional core. In 2019’s Annual Review I suggested the
Biscuit Bars, Everyday Biscuits and Everyday restrictions and a tier system for the grocery importance of core products to the biscuit
16 Best-in-class innovation and execution industry to contend with, it’s no wonder so category should never be underestimated.
Treats grew as consumers enjoyed more hot drink
Channel trends moments (+9.5%) and meals at home. many of us were feeling exhausted by the time And by focusing on the core fixture, optimising
December rolled around. product range and following our ‘Better Biscuits’
20 The pandemic had a BIG impact • A challenging start to the year meant premium
on shopping channels Unsurprisingly, all this change marked a merchandising principles, retailers would be well
options suffered initially, then Special Treats equipped to unlock a significant sales opportunity.
22 Focus on online bounced back as consumers treated themselves significant shift in the way British people
during evenings at home, lacking out-of-home shopped for biscuits. This hasn’t changed. In fact, with the core
24 Online biscuit buying
alternatives. representing 84% of last year’s category growth,
The role of biscuits for the retailer While some sub-categories lost out – the eating
it’s more important than ever before.
• The largest sector of Sweet Biscuits – Healthier occasions for some on-the-go healthier biscuits,
26 Sweet Biscuits is a ‘Profit Booster’ category Biscuits (£576m) – suffered because shoppers like breakfast biscuits, practically disappeared The findings of this Review will be an essential
The health agenda swapped out-of-home eating for in-home overnight when the first national lockdown was resource for anyone who sells biscuits,
28 Healthy eating breakfasts during the first national lockdown and announced – overall, biscuits began to play an whether that’s across a nationwide portfolio of
many worked from home for the rest of the year. increasingly important role in our lives. superstores, or in a single convenience outlet
29 2021: Prepare for changes to rules and regulations Breakfast bars were particularly impacted (-20%), catering to residents of one local area. And, with
but weight management products increased in This delivered the strongest Biscuits category
30 Making the fixture smarter the category due to touch £3 billion towards the
importance to the sector. growth for more than five years, as the category
Seasons and events end of 2021, there’s clear cause for us to work
boomed in terms of both value and volume sales,
• pladis leads Sweet Biscuits with a growing market together to amplify the category and maximise
32 Seasonal Biscuits hitting £2.96bn (+7.2%).
share of 24.5% (+1.5ppts). potential growth.
33 Christmas 2020: A year like no other The performance of Biscuits last year also
• McVitie’s is the biggest brand – worth £461m with 2020 showed us change can be swift in the
34 Restrictions on festive celebrations reaffirmed the importance of the core to this Grocery industry, but also confirmed the guiding
22% share and strong growth of +11.2%. vast category. More time at home prompted
35 Key events in 2021 principle we know to be true: the Biscuit category
• Savoury Biscuits also had a successful year (worth extra hot drink moments, and consumers chose is built on the solid foundations of its core range.
36 Best-in-class execution biscuit barrel favourites from sub-categories like
£554m, +9.5%). And, as the number one biscuit supplier, since
Implications for 2021 Everyday Biscuits (+15.1%), Everyday Treats (+11.9%) almost a quarter of biscuits purchased (24.6%) are
• Growth of in-home lunching (+40%), particularly and Chocolate Biscuit Bars (+11.5%) to pair with
38 Challenges for 2021 and beyond benefitted savoury crackers like Jacob’s Cream pladis brands, we believe there is yet more growth
their cuppa. In fact, the Top 10 biscuit SKUs became to be tapped into.
40 2021 Biscuits Category Crackers (+16.7%). so important to consumers last year that they
42 Summary • pladis leads Savoury Biscuits with a 25.1% share represented £1 of every £5 spent in the category.
Scott Snell
44 Sources (+0.4ppts). So, what can we learn from the year that was? Vice President of Customer
45 pladis contacts • Jacob’s is the top savoury biscuit brand, worth And what can we take forward into 2021? pladis UK & Ireland
£82m, +18.1%.
Annual Biscuit Review 2020 1
Performance review
2020 On a page
OOH spend returning Regional differences A Christmas like no other
Easing of restrictions over Rising infection rates meant the Uncertainty around
2020
summer saw hospitality reintroduction of restrictions Christmas didn’t
venues open up dampen spending
This led to regional
was a year like Schemes such as performance differences as It was the biggest
no other for Eat Out To Help Out areas in higher tiers (Midlands, December on record
drove return of Out Of North of England) saw greater (£11.6bn, +11.7%) with
Accidental grocery sales. Changing channels Home spending, leading growth, as did Wales during record Christmas growth
stockpiling Lockdown and to a dip in Grocery growth their firebreak lockdown
Shoppers stayed
As the pandemic restricted living local in lockdown #1
news broke, lots of saw the UK reset This benefitted the
worried shoppers the way it shops. Convenience sector,
added a few extra
but the reduced
items to their
footfall had a
baskets (not bulk-
knock-on effect on
buying) leading to
high-street stores
empty shelves
March 2020
Fewer, bigger trips Online shopping boom was the biggest
The return of the weekly
shop! National lockdown
Grocery shopping online
began to grow month of take-home
meant shoppers used fewer
stores, visited less often
and bought more per trip
Media reports of
struggles to get delivery
grocery sales
They avoided frequent top-
spots turned into stories
of retailers increasing ever seen!
up shops and often went capacity and prioritising
midweek to avoid queues vulnerable shoppers
2 Annual Biscuit Review 2020 3
Performance review What happened in 2020?
Top 3 fastest
Performance of Core growing grocery 2020 saw the strongest Biscuits category growth for over five years, in both value and volume.
Snacking Categories categories in
grocery
Chocolate Biscuit Bars and Everyday Biscuits and Treats were the key drivers of category
growth, as a result of more in-home consumption. Seasonal and Healthier suffered due to
social restrictions and changing behaviours.
The 2020 pandemic had a significant impact
on Brits’ grocery shopping. As we ate and
drank at home, it is unsurprising that
alcohol, home cooking and frozen foods saw
the greatest growth in value. Alcohol Frozen food
Being in-home also led to increased
snacking. The category grew by +8.7% with Home cooking
and baking
biscuits, crisps and chocolate confectionery Average price per
the key contributors to growth. unit: £1.12 (+1.8%)
Volume: Value:
Performance of Core Snacking Categories 699mn KG (+6.7%) £2.96m (+7.2%)
Bagged Snacks 12.0% Total Core Snacking Growth +8.7%
Chocolate Confectionery 11.7%
Biscuits 7.4%
Children’s Savoury Everyday Everyday Chocolate Special
Sugar Confectionery 5.7% Seasonal
We consumed more Biscuits (9.5%) Treats Biscuits Biscuit Bars Treats
Biscuits
in-home snacks so (1.7%) (11.9%) (15.1%) (11.5%) (9.2%)
(-0.4%)
larger packs drove
major volume growth
Cakes and Pastries 1.3% Healthier Winning and losing segments
Biscuits
(-5.2%)
4 Annual Biscuit Review 2020 5
Performance review For the first lockdown I just
What were the trends? ate everything in sight. If
I went shopping I bought
nice, good biscuits because I
wanted something to make
More at-home consumption me feel better. Angela
Home-working and lockdown changed how we bought and consumed biscuits.
+40% home More value from Likely to continue
Good for Savoury
lunching large pack*1 in 2021 Biscuits won
because they
played two
roles during Treating
the pandemic
Good for Everyday
More in-home +9.5% hot drink Biscuits, Everyday
Decline in Healthier
breakfasts occasions Treats and Chocolate
Biscuit Bars
Store
Shifting attitude to health
Social restrictions and financial pressures increased entertainment at home, leading to growth Cupboard
in Premium and Treat segments. Staples
*1 Biscuit Barrel and Chocolate Biscuit Bars
*2 i.e. Breakfast Biscuits
Traditional OOH Likely to continue
segments*2 declined due to ongoing WFH
I’ve been trying to be a
bit healthier with some
of the snack options
2020 saw we’ve been buying.
biscuits playing Rich Tea biscuits is a
Recovered when
Food for health dipped shoppers re-focused an increasingly new addition. Zoe
during stockpiling on calorie control important role in
Briton’s daily lives
6
Out of Home
improved as
The importance of restrictions
biscuits in a pandemic eased and kids
How has the pandemic changed went back
the way we consume biscuits? to school
The new healthier Entertaining and treating More hot drinks More meals at home
Furlough led to decline in Premium Health Premium initially suffered during the Biscuit barrel products As consumers had more
stockpiling phase as shoppers prioritised benefited as a result of lunches at home, categories
Segments traditionally eaten out of home,
everyday volume lines increased consumption such as Savoury Crackers and
such as Breakfast Biscuits, declined
of hot drinks as we spent Chocolate Biscuit Bars grew
However, with increased social restrictions,
Increased awareness of the risks of obesity more time at home
we saw growth of Special Treats as
contributed to growth of calorie control bars,
consumers treated themselves in-home
savoury snacking crackers and rice cakes
I like having biscuits in.
Nice couple of biscuits
Weight management NPD Large packs dunked in my coffee or
tea. Sometimes I’ll get
Fewer OOH occasions drove Boredom and Fewer trips to the supermarket, a bit peckish before
a decline in Healthier desire for evening combined with more in-home tea so I’ll have them.
treats meant consumption led to large packs It’s just picking. Dave
However, weight control
strong growth growing in importance for shoppers
products remain important
8 Annual Biscuit Review 2020 9
The importance of Brits bought biscuits more often,
biscuits in a pandemic and spent more each trip – making
Biscuits occasions changed in 2020 biscuits a valuable category for
We know Britain is a nation of biscuit lovers, with 99.5% of the population buying every year.
retailers to keep in stock
But 2020 saw the way we buy and eat biscuits change.
-28% less sweet
O M E LU N C H E S
biscuits consumed IN-H
for Carried Out
Lunch occasions
Driven by On average, shoppers +28m more Average shopper spent
bought biscuits 47 shopping trips £104.55 on biscuits,
Chocolate times during 2020 contained £6.91 per year
fe m + Biscuit Bars (2.3 packs per trip) biscuits more than 2019
at or 16
ur e l 3m
ed un
d
bi ch
Cri kers ature
Cra es fe ore
sc es
rea nd
Driven by Everyday
ds
ui
m
a
ts Biscuits, Everyday
Treats, CBBs and
lun +91m
+648M Savoury Crackers
spb
and Crispbreads
c
ch
MORE BISCUIT
OCCASIONS
IN 2020
Biscuits are
+12% increase universally loved,
year on year with all demographics
enjoying biscuits.
However, over 45% of all
inc Gre
t h
es it
biscuits consumed are by
g w re adults aged 55+
+1 rea ates r +310m biscuit
0 s t La th mo s occasions from
oc 4m e wi ow on age 55+
ca m th
sio ore gr 81m asi In 2020 we saw consumption
+ cc
ns
K
o grow across all age groups, with
C
O
A
M
households coming together to
R
N SN
IN G enjoy their biscuits +20.5% growth in
G I N younger consumers
SN EN
AC
K EV (16-24yrs)
Driven by Driven by
Everyday Biscuits Special Treat
10 Annual Biscuit Review 2020 11
Product performance I buy Chocolate Digestives
weekly. I always get the
Top 10 biscuit brands
Core thrived during 2020 same size pack. I think it’s
habit, I just go to my ‘go
to’ section in the aisle
and pick them up.
Top 10 biscuits brands
Value %
Brand Trading Company Biscuit Category Value Sales Change YA
+12.1% growth
McVitie’s Chocolate
1 pladis Uk Everyday Treats 104,517,102 20.5
Digestives
2 KitKat Nestlé Rowntree Chocolate Biscuit Bars 89,987,334 21.4
84%
3 McVitie’s Jaffa Cakes pladis Uk Everyday Treats 54,843,943 4.9
Category growth
4 McVitie’s Digestives pladis Uk Everyday Biscuits 51,060,408 25.6
5 Oreo Cookies Mondelēz International Everyday Treats 39,522,719 23.1
6 McVitie’s Rich Tea pladis Uk Everyday Biscuits 34,590,624 16.8
£1 of every £5
spent in category
Belvita Breakfast
7 Mondelēz International Healthier Biscuits 32,299,352 -15.3
Soft Bakes
8 McVitie’s Club pladis Uk Chocolate Biscuit Bars 31,128,320 17.2
I normally only
McVitie’s Chocolate ever buy Rich Tea
9 pladis Uk Everyday Treats 30,769,759 18.2
Hobnobs or Digestives, and
I do like McVitie’s.
I’ve tried other
10 Nakd Bar Lotus Bakeries Healthier Biscuits 30,599,936 -21.7 makes but they’re 6.6m more packs
of McVitie’s
not as successful.
Chocolate
Digestives sold
in 2020!
12 Annual Biscuit Review 2020 13
I noticed there were
Product performance
new flavours of Jaffa
Cakes and a new flavour
of custard creams...
Biscuit NPD was worth £45m in 2020 they caught my eye.
New twists on
classic lines
performed well
Flavour innovation saw Media attention on risks
strong shopper uptake of obesity led to more
weight management and
pladis innovates the
Trusted brands drove
excitement in-home
calorie control lines most in the category
and accounts for 26%
of all branded launches
Top New Product Development (NPD)
Slimming KitKat
Malteser Biscuits
World HiFi Bar Honeycomb 11.4%
Kellogg’s Rice
Cadbury Bournville Fox’s Viennese
Krispie Squares
Fingers Selection
Chocolate Orange
11.4% of Sweet
Kellogg’s Rice McVitie’s Biscuits sales came
Cadbury
Fingers orange
Krispie Squares Chocolate Digestives from NPD in 2020
Birthday Cake Seasonal Edition
McVitie’s Twix
M&M’s Biscuits
VIBs Salted Caramel
1/3 of incremental My girls like trying
category growth new things, and I like
McVitie’s Jaffa Cakes Flipz Strawberry
Fibre One Protein came from pladis them to try new things
Pineapple Cheesecake
so I wouldn’t be averse
to paying a bit more
McVitie’s Bahlsen Choco than normal.
KitKat Senses
Best of British Leibniz Baileys
Sweet Biscuits has
grown £51m over 5 years
through branded NPD
14 Annual Biscuit Review 2020 15
Product performance
Best-in-class innovation
and execution
2020 saw best-in-class in-store execution for biscuits across the trade. In Q1 the activation of
McVitie’s’ partnership with Team GB featured touchpoints across shoppers’ path to purchase.
Also – given the category’s impulse nature and its expandability vs other categories – we saw
biscuits within retailer campaigns such as Sainsbury’s ‘Treats’ bay and Tesco’s Big Brands event.
WIGIG
Team GB ActivationProduct performance Biscuits NPD was supported across the trade. Notably, Asda’s support
of McVitie’s V.I.Bs NPD launch in Q3 helped drive strong sales uplifts.
Best-in-class innovation
and execution
Asda implemented solutions to drive in-aisle engagement,
installing digital bays across 27 stores. Stores also featured larger
pack sizes to support shoppers’ desires and help them stock up.
Bigger Pack Better Value
Big Pack Deals Biscuit Fixturisation VIB launch
(Tesco) (Asda) (Asda)
18 Annual Biscuit Review 2020 19Channel trends
The pandemic had a BIG impact Biscuits share
on shopping channels 2 0
tain contin
ains
20 g ues
overindexes vs. core
snacking in discounters
o re h (Ix. 112) and online (Ix. 114)
l i kely t growt Supermarkets,
erce rop but
m m
eCo e may d This presents a Convenience and
r Online were the big
Sha key opportunity lockdown winners,
larly
nd
rticu
– pa me for retailers in with Online most likely
a
c re
dem
ased hielding
s
at ho these channels to retain 2020 gains
n
to i oppers
pa
due
city tired sh Less need to stay local, more need to seek
to leverage the
a
ter c
Grea from ol
der r
e
value therefore other channels take priority Biscuits category
and
s t aying al
Online rs oc
ppe ng l
Sho pporti
su Remains primary channel, but online and
discounters will steal share
OH
by O e
Convenience d r iven n-hom
wth ng i
Gro d movi
p e n
s Due to increased planning
and less out of home
Supermarket Covid impact Expectations consumption, in 2020 we
on 2020 for 2021 saw shoppers conducting
more main shop missions
ore
Lost e st in both supermarkets and
and out as s n g mor ct)
wen h ngi & Colle convenience channels
Discounters t les oppers , bri
s of v e use (Click
ten isited a s
cre tiative s
- als fe
o la wer st ill in i
ck o o s i o n w new in
f on res s s ,
line
ce
Re penin
o
g
The reset in missions in
High
High Street stre
e the Convenience channel
limi t store
ted
foot s close
fall d,
presents an opportunity
for a refreshed range to
meet different needs
Dec
lini
will ng high
affe s
ct th treet f On the go Top-up shop
em o
furt otfall
her
20 Annual Biscuit Review 2020 21Channel trends
Focus on online
The first UK lockdown increased demand for online groceries.
1/4
Growth in online eCommerce grocery share Record numbers (¼ of GB
accelerated by pandemic grew +5ppts to 13.5% households ) now buy online
2020
2019 15
10
5
January February March April May June July August September October November December
The record growth in online has led to an evolved shopper profile.
1/3
Growth has come through Retired shoppers now A changing customer
older shoppers buying groceries online base to satisfy
2020
2019
50
2010
40
30
20
10
Pre-family Young family Middle family Family Older Empty Nesters Retired
0-4 years 5-9 years 10+ years dependents
22 Annual Biscuit Review 2020 23Channel trends
Online biscuit buying Online biscuit
buyers are
The online shopping mission is highly habitual and task
habitual 94% Retailers must find
creative ways to
and rely on
focused, but the impulse nature of the Biscuits category disrupt shoppers’
means it can be forgotten online.
favourites
journeys so they
consider NPD
Biscuits purchases 30% baskets contained
were products unplanned biscuit
bought before purchases
Online baskets
with biscuits
are valuable but 1/3 Retailers must work
they’re not yet a with manufacturers
regular buy to help shoppers find
product online via
clear pack imagery
3.2 snacking categories Online biscuit buyers 10.6x average online biscuit and descriptions
in online baskets had no biscuits in their buy vs. 39x offline
vs. 1.2 buying offline last shop
Unless I click on the
offers and then I
might think “Oh, we
can have something
different this week”. The demographic
Retailers must offer
But the standard dip- of the online 38% the right range across
in-your-tea biscuits shopper is evolving
are pretty much the online channels to
same every week, meet needs of
so there’s no real the changing
decision made. 31% penetration 28% current online New online biscuit shopper profile
of online biscuits biscuit buyers who are buyers who are 65+
shoppers ‘lockdown newbies’
24 Annual Biscuit Review 2020 25The role of biscuits for the retailer
Sweet Biscuits is a
‘Profit Booster’ category When I’m shopping
for biscuits there is
a bit of excitement
that I might find
If we can tempt people to spend a little more, this is an opportunity for retailers.
something new.
The Sweet Biscuits category drives spend
Shoppers are more Balanced with
likely to increase a need for Did you know?
spend because: availability
Promotions Innovations Impulse
Most important factors when
shopping for biscuits:
How can retailers make the most of this ‘Profit Booster’ status?
Range Price Quality
More important for biscuits than
other categories in store:
Premium ranges NPD and Theatre Promos to
to take advantage range rotation and drive average
of trade-up to excite stand-out weight of
opportunities shoppers in the aisle purchase Innovation Offers Enjoyment
26 Annual Biscuit Review 2020 27Last year I
remember a TV
The health agenda 2021: Prepare for changes to rules
campaign that said
kids’ snacks should
be 100 calories. So
Healthy eating that’s what I look
for for my daughter.
and regulations
Health and healthy eating gained more attention in 2020. Products that are deemed to have high fat, sugar or salt (HFSS) content have featured in policy
Shoppers have sought to improve their diets with lower calorie considerations of the Government. In 2020, consultations were held with the intent to restrict
or lower fat options, and are likely to continue to do so in 2021. promotion and advertising of such products, including biscuits, from 2022.
Restrictions on Restrictions on Restrictions on
location-based promotions TV advertising volume-based promotions
19% (of 35 yrs+) 25% more
say healthier eating is influenced
the biggest change in by health when
their behaviour since grocery shopping The impact of HFSS regulations could potentially be
the pandemic began £1.6bn for snacking, with £267m from Sweet Biscuits
-£1.6bn
More than
4 in 10 Britons
are trying to
lose weight
via diet and
exercise -£267m
(15% of
The traffic
total sales)
light system is
something I use,
but I also look at Total Grocery Sweet Biscuits
the % of sugar, fat
etc. When buying
healthier bars I
wouldn’t want
any of those to be
over 15%.
80% concerned about 83% concerned about
mental health physical health
28 Annual Biscuit Review 2020 29The health agenda Sainsbury’s pioneered
the development of
Making the fixture smarter Healthier Alternatives
in 2018, blocking all
Fixtures need to positively support the health agenda.
key brands together
at the start of their
merchandising flow
Provide information and Highlight healthier Speed up buying
nutritional suggestions to alternatives process and
help decision-making on shelf avoid walkaways
Sainsbury’s Healthier Alternatives with Under 100 Calories barker
Gullón
Maryland
Sugar Free
McVitie’s
Lights
Free’ist
Siro
30 Annual Biscuit Review 2020 31Seasons and events Seasonal Biscuits
Christmas 2020: A year like no other While Christmas 2020 was different, the brands that focused on
gifting and sharing were the strongest performers.
Top 10 Seasonal Biscuit Brands
1 McVitie’s Victoria Assortment 6 Paterson’s Shortbread Fingers
Last-minute rule Shoppers spent A record Christmas for
changes disrupted more on groceries grocery sales, OOH sales 2 McVitie’s Family Circle 7 Cadbury Snowy Fingers
plans across the UK from mid-October transferred in-home
McVitie’s Chocolate
3 Jacob’s Cracker Selection 8
A different story for biscuits Digestives Seasonal Edition
Fox’s Fabulously
4 9 Fox’s Chocolatey Selection
Biscuit Selection
-8%
5 Oreo Seasonal Assortment 10 Carr’s Savoury Assortment
Shoppers held off buying Decline YoY in Seasonal Novelties brought
treats while awaiting clarity assortments due to fewer social in new buyers 2020 NPD featured twists on well-loved classics
on Christmas plans occasions and gifting opportunities driven by NPD
McVitie’s Chocolate
Digestives Seasonal Edition
Bahlsen Choco Leibniz Baileys
McVitie’s Jaffa Cakes
Orange and Cranberry
Normally I have bought 10 We had a limited Oreo Seasonal Assortment Tin
or 12 boxes of biscuits to selection of biscuits
gift to elderly relatives and this year. Normally Oreo Crackin’ Cookies Selection Box
neighbours, but I didn’t do that comes from the
that this year. Donna older generation like
grandparents and
aunties, but they
weren’t going out to
the shops. Paul
32 Annual Biscuit Review 2020 33Seasons and events Key events in 2021
Restrictions on festive celebrations We can expect to see a release of pent-up demand for seasonal events in 2021 – especially
Christmas – as people make up for missed time and celebrate with friends and family. Biscuits
2020 saw subdued festivities due to Government regulations and safety concerns can play a key role so retailers should ensure they feature the right products at the right time.
January New Year, New You
64% Not seeing as
49% Not entertaining
29% Not as interested 2021: Great
many people as much in Christmas
February Valentine’s Day expectations
Six Nations
March Mother’s Day
April Easter
I missed
celebrations
this year so
May National Biscuit Day
I will enjoy
Christmas Retailers to prepare
2021 more.
June for rise in at-home/
outdoor celebrations
Wimbledon
(BBQs, picnics) as
July restrictions ease
For the first time ever, we Olympics
didn’t gift biscuits at all. We
normally get a box or two August Summer
back but no, nothing this year.
I normally buy them as extra
gifts for people at school, September Back to School
the receptionist etc, but the
school asked us not to take
presents in. Joanne October Halloween
Christmas 2021: People
89% of UK shoppers November Diwali likely to plan more
claimed to have missed seasonal celebrations
out on at least 1 social Christmas to make up for 2020
activity over Christmas December New Year, New You
due to COVID-19
34 Annual Biscuit Review 2020 35Seasons and events
Best-in-class execution
Seasonal events featured strongly across the trade
in 2020 – and 2021 offers even more potential.
Deli Express Cross-Siting Sports Relief Execution Christmas Back to School
(from top to bottom: Morrisons and Tesco) (from top to bottom: JS and Sainsbury’s) (from top to bottom: Asda, Morrisons and Tesco) (Sainsbury’s)
36 Annual Biscuit Review 2020 37Implications for 2021
Challenges for 2021 and beyond
Covid-19 Brexit Recession
Likely impact:
Financial/Economic Impact on Shoppers:
1
What they buy:
Switching to cheaper
Increased focus Increase brands and own label
on health in online
39%
2
Higher levels of Where they shop:
unemployment Desire to seek value will
Concerned about impact increase discounters’ share
on grocery shopping [#1
3
concern: price rises] Advance planning:
Changing working Importance of speed
dynamics and ease of shop Controlling spend means
less impulse buying
4
91% Frequency of shop:
Financial/Economic Impact on Shoppers: Going less often allows
Declining
financial less pick-up opportunities
Say it’s important
confidence
to actively make savings
40% 95% on groceries
Work affected Concerned about
during lockdown economic outlook
2/3
External factors will have
greatest impact on FMCG
62% 34% Who seek savings Savvy performance until mid-2022
spending
are actively watching behaviours
grocery spend Frugal shopping habits to
Concerned about Concerned become the norm after
financial security about job security turbulent 2020
38 Annual Biscuit Review 2020 39Implications for 2021
2021 Biscuits Category:
Projected Growth +0.6%
Biscuit Barrel : Everyday Biscuits
(EDB) and Everyday Treats (EDT) Special Treats
Will play larger role due to Will see good H1 growth as we Core Biscuit
increased WFH and hot drink annualise poor performance Barrel, Savoury
occasions, but will struggle to during 2020 stockpiling and CBBs were the
annualise heavy % growth seen
in 2020 stockpiling In-home evening treating key contributors
will stay important, growth to growth during
likely in Christmas run-up stockpiling and
(more socialising) will play a more
important role
Chocolate Biscuit Bars (CBB) within the
This fast growing segment category in 2021
of 2020 will be increasingly Healthier Biscuits
important, though growth
likely to slow Likely slow start to 2021 with
heavy declines in January,
but recovery expected later
in year as normal life resumes
Kids / Novelty Biscuits Weight management to play
a larger role in the category
Struggled in 2020 as
families ate together
Likely to recover with
return to schools in 2021 Savoury Biscuits
Like Biscuit Barrel, will play
larger category role due to WFH
and more in-home lunching
Seasonal
Its strong growth during 2020
A key category growth driver stockpiling will be challenging
- shoppers will make up for a to annualise
scaled-down 2020 Christmas
40 Annual Biscuit Review 2020 41Implications for 2021 Pent-up demand for
newness will benefit NPD
Prepare for a big
Christmas in 2021
Innovation with the biscuits category is really 2020 gave us a Christmas like no other. As a
important for category growth. We expect result, we can expect to see a release of pent-up
Increased savvy Growth of the shoppers’ desire to try something new will demand for seasonal events as people make up
shopper behaviour online channel be high in 2021. for missed time and celebrate with friends and
family. Christmas 2021 will be BIG.
Following a challenging 2020, we will see the true Online shopping took a giant leap in 2020,
financial impact of the pandemic coming through, accelerated by increased demand and Action for retailers: List biscuits NPD with
with savvy shopping behaviours taking hold subsequent increased retailer capacity. We prominent display and feature to encourage Action for retailers: Prepare for a rise in at-home/
among those who have been impacted the most. anticipate continued growth in 2021, making shoppers to buy into something new. outdoor celebrations such as BBQs and picnics as
online a key battleground to win in. The older restrictions ease. As we move into the Christmas
For these constrained shoppers, value will be demographic driving online growth aligns season, stock key gifting and treating biscuit lines
top of mind, and we’ll likely see more shopping with the core biscuits consumer, but we to take advantage of shopper demand.
around as they look for the best value for money. must ensure biscuits – as an impulse category
– aren’t missed off that shopping list. Don’t forget the core
Action for retailers: Ensure value for money is Shoppers turned to trusted brands and
clearly communicated at fixture, and ensure bestselling products in the Biscuit category
shopper needs are met through availability of
Action for retailers: Online retailers must find
creative ways to disrupt shoppers’ journeys –
during 2020, and many fell back in love with Be prepared for changes
value lines. nudging them to add their regular biscuits to
traditional ‘biscuit barrel’ products which
perfectly complement a cuppa. With more WFH
to rules and regulations
their online basket – and consider NPD which predicted post-pandemic, the continued surge A wide range of products, including biscuits,
is often missed in the online environment. in ‘hot drink moments’ will maintain momentum are likely to be affected by the Government’s
for the core biscuit category,including Everyday intentions to further regulate products that are
In-home indulgence Biscuits and Everyday Treats. deemed to have high fat, sugar or salt content
(HFSS). We expect to hear more about the
will continue
Healthier will surge Action for retailers: Focus on correct space
proposed measures and their implementation
soon. In 2021, we will start the preparations
The recession is unlikely to impact all shoppers
equally. For those middle classes who have been back to growth once allocation for bestselling branded biscuit for any potential changes in where and how
saving money during lockdown, we will see an
openness to trade up and treat themselves and
lockdown eases products. Convenience retailers should prioritise
stocking the Top 10 biscuit lines, as 80% of sales
shoppers will buy biscuits as a result.
their family, particularly at social events. For Health took a back seat during 2020, but as come from 8% of products in this channel.
those less financially secure, smaller in-home lockdown eases we expect to see the usual Action for retailers: Throughout 2021, working
treats and nights in will replace more expensive January Health Kick a little later this year. With with manufacturers to identify changes and
out-of-home occasions. media attention on obesity, weight management is their potential impact to the Biscuits category
likely to be top of mind for many consumers. will be key. Be prepared for these changes by
focusing on bringing the fixture to life through
Action for retailers: Premium biscuit options in-aisle theatre and engagement, as well as
will still be relevant for those shoppers wanting Action for retailers: Prioritise weight management ensuring space is allocated to best performing
to treat themselves. Ensure a strong range of biscuits to help meet evolving health needs. products to avoid out of stocks.
Special Treats to meet these needs. Look for ways to support shoppers in store with
education about healthier choices.
42 Annual Biscuit Review 2020 43Sources: For all category
PAGES enquiries please
Nielsen Total Biscuits Market - 52we 02.01.2021 2-3, 6-9, 12-15, 20-21
contact:
Kantar Total Take Home Grocery Sales - 52we 27.12.20 2-5, 20-21 David Costello
Head of Category & Planning
Kantar - Total Core Snacking - 52we 27.12.20 4-5
david.costello@pladisglobal.com
Kantar Total Biscuits Market - 52we 27.12.20 6-11
Laura Molyneux
Kantar Total Biscuits Usage - 52we 04.10.20 6-11 Category Controller – Channels
laura.molyneux@pladisglobal.com
pladis - Watch Me Think Shopper Research - 2020 6-9, 12-15, 29, 32-34
Stephanie Mewse
Nielsen Total Biscuits - OSF Analysis 9 Shopper Insights Controller
stephanie.mewse@pladisglobal.com
Kantar Incrementality Study - Sweet Biscuits - 2016-2020 (14-15) 14-15
Kantar ‘What we can expect from 2021’ (20,21) 20-21
Kantar Take Home Grocery Sales - Full year 2010 vs.
For all media
52we 29th Dec 19 vs. 52we 27th Dec 20 (22)
22
enquiries please
pladis ShopperCentric eCommerce Biscuits Path to Purchase Research 2020
Shopper Intelligence - Sweet Biscuits - 2020
24-25
26-27
contact:
Csaba Babak
Nielsen State of the Nation Homescan Survey 2021 28, 34, 38 Corporate Communications Manager
csaba.Babak@pladisglobal.com
Kantar Covid Attitudinal Study - 12/52 we 17 May 2020 vs 12/52 we 19 May 2019 28, 38
Kantar Global Barometer, Wave 8 August 2020 28
Ipsos Mori Health Survey Survey - October 23rd- November 6th 2020 28
Nielsen Sweet Biscuits OSF Analysis - 13 x 4we periods to 21st March 2020 29
Kantar Total Take Home Grocery Sales - Seasonal Analysis- 20we 27.12.20 32-33
Nielsen Total Biscuits Market - 20we 02.01.2021 32-33
IGD ShopperVista, 6th and 7th Jan’21.
34
Base: 1,750 UK shoppers who celebrated Christmas
44@pladis_Global
pladis Global
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