Kinder Joy, M&M’S Caramel top IRI’s
list of 2018 New Product Pacesetters
Each product brought in more than $120
million last year, according to IRI data.
By Alyse Thompson // MANAGING EDITOR
K
inder Joy and
M&M’S Caramel
have topped the list
of IRI’s 2018 food
and beverage New Product Pacesetters,
the Chicago-based research firm
announced last month.
The 23rd annual ranking and
accompanying report highlight the
most successful new product launches
across food and beverage, non-food
and convenience store sectors. Smaller
companies continue to dominate the
list, and the most successful products
emphasize wellness and convenience.
Among food companies, indulgence
is in, with Kinder Joy and M&M’S
Caramel taking the first and second
spots with $124.4 million and $120.6
million in sales, respectively. Within the
non-food sector, beauty products bested
other categories, with 28 products
achieving Pacesetter status, while
enhanced laundry products held the No.
1 and 4 positions.
“The majority of 2018 New Product
(cont. from previous page)
we look forward to many more years
of success for Hershey with this major
investment and the establishment of a
new Roasting Center of Excellence.”
Hershey employs more than 1,000
people in Virginia, with the majority of
those jobs located at the manufactur-
ing facility in Augusta County.
“The Commonwealth of Virginia
and Augusta County have been part
10 CANDY INDUSTRY June 2019
008_News_06-19.indd 10
Pacesetters addressed at least one
of the overriding themes we’ve
observed over the past few years,”
says Joan Driggs, v.p. content and
thought leadership. “They’re upping
the consumer experience, delivering
against expectations and addressing
simplicity, either with ingredients,
convenience or sustainability.”
For the first time, products
developed by companies with annual
revenues under $1 billion represented
the majority of top-ranking brands,
accounting for 51 percent of the
products listed and representing 27
percent of Pacesetters revenues.
Companies with sales between $1
billion and $5 billion continued to have
declining representation, responsible
for just 27 percent of products and 19
percent of revenues, as compared to
35 percent and 26 percent five years
ago, respectively. Larger companies,
those with more than $5 billion in
revenues, accounted for just 22 percent
of Pacesetters products but 54 percent
of Hershey’s success for more than 35
years,” said Susanna Zhu, v.p., U.S.
supply chain, The Hershey Co. “We are
pleased to build on this partnership
with our plant expansion and
continue to make Stuarts Draft a key
to delighting consumers across the
United States and around the world
with our iconic products.”
The Virginia Economic
Development Partnership worked with
Augusta County and the Shenandoah
Kinder Joy and M&M'S Caramel have topped the
list of IRI's 2018 food and beverage New
Product Pacesetters.
of Pacesetters sales.
Winning companies are growing dol-
lar sales based on an enhanced under-
standing of consumer wants and needs,
capturing adjacent white space and/or
acquiring companies that have a dem-
onstrated strength in a particular niche.
Total 2018 Pacesetters’ first-year
sales dollars continued the decline
IRI has previously recognized —
revenues of winners collectively shrank
by $3.4 billion between 2012 and
2018. However, total IRI-measured
multi-outlet channels (not including
convenience store) sales grew 1.7
percent in 2018, following increases
of 1.2 percent in both 2017 and 2016.
This reflects improved understanding
of consumer behaviors, which results
Valley Partnership to secure the
project for Virginia. Northam
approved a $600,000 grant from the
Commonwealth’s Opportunity Fund
and a $400,000 performance-based
grant from the Virginia Investment
Performance program. Hershey
is eligible to receive sales and use
tax exemptions on manufacturing
equipment, as well as a Major
Business Facilities job tax credit for
new, full-time jobs created.
W W W. C ANDYI NDU S TRY.COM
5/22/19 4:09 PM
 in consumers remaining interested in new
products longer. 2018 New Product Pacesetters:
Sales momentum that in the past would
often dissipate after year one now continues Top 10 Food and Beverage Brands
into year two and beyond. Among 2017 Top (Total Year-One Dollar Sales, Multi-Outlet)
10 New Product Pacesetters, seven of the top
10 maintained or increased sales in year two. BRAND Unit Sales (in billions)
“Two driving forces are reshaping the CPG
Kinder Joy $124.4
landscape and are deeply reflected in this
M&M'S Caramel $120.6
year’s New Product Pacesetters,” said Larry
Levin, executive v.p., market and shopper Oui by Yoplait $100.5
intelligence. “Ecommerce is driving home Gatorade Flow $78.1
to consumers the value of convenience, and RXBAR $73.9
shoppers now expect convenience in the
Grown in Idaho $59.9
products themselves, in addition to how they
Mountain Dew Ice $59.9
purchase them and have them delivered.
Second, artificial intelligence and machine Lay's Poppables $51.6
learning are arming manufacturers and Ritz Crisp & Thins $49.1
retailers with new insights into consumers’ Duncan Hines Perfect Size for 1 $47.9
wants and needs, resulting in a new wave
of products that capture shoppers’ initial Source: Intro chart

interest and maintain that interest over the

longer term.”

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