Standing out in the snack aisle
In addition to innovation, product renovation is another key to standing out in the snack aisle, according to the company, which recently launched a new packaging design and format for its Lance sandwich crackers. Consumers are overwhelmed by the number of snack choices available, Mr. Lee said, and improvements in packaging or product quality may help brands maintain relevance.
“For you to continue to stand out in a busy category you’ve got to have renovation that allows your brands to stay relevant, stay current,” Mr. Lee said. “That may be improving the packaging, may be improving the quality, may be improving the positioning or other consumer benefits that they’re looking for to really stay relevant.”
As a mid-sized company, Snyder’s-Lance is well-positioned to respond to consumer trends quickly to capture growth opportunities, Mr. Lee said.
“(We) continue to look for additional new ideas that may come from ourselves, our consumers, our customers or our retailers, to make sure we’re leveraging the scale that we’ve got as a mid-sized company along with the nimbleness to really be able to act quickly and execute efficiently,” he said.
For fiscal 2015, the company raised the lower end of its guidance. Management now expects net revenue to be in the range of $1.69 billion to $1.72 billion from the previous estimate of $1.68 billion to $1.72 billion. Estimates for earnings per diluted share are now $1.11 to $1.19 from the previous estimate of $1.09 to $1.19.“Overall for 2015 so far our new innovation is off to a very successful start with strong retail acceptance driven by our D.S.D. distribution capability that allows us to get our great new products to the shelf very quickly and provide efficient merchandising for high visibility,” Mr. Lee said.