Diamond Foods Thrives in Tough Times
Diamond Foods Inc., a branded food company specializing in processing, marketing and distributing culinary nuts and snack products, announces that its initiatives to improve the distribution of core snack items in the grocery channel, gain new snack distribution outside grocery and reinvigorate growth in the microwave popcorn category have resulted in the achievement of three key milestones during the current quarter.
In grocery stores, sales of Emerald snacks grew 22 percent for the four-weeks ended Nov. 29, 2008 and surpassed $5 million, the highest one-month total since the brand's introduction in 2004. This resulted in a market share gain of 120 basis points to 6.5 percent. Since the company's mid-September acquisition of the Pop Secret microwave popcorn brand, Pop Secret sales have grown 7 percent over the prior year period and the brand's market share is now 24 percent.
In the non-scanning value channel, Emerald's new line of 100-Calorie portion control products will reach national distribution levels just four months after being introduced to the market. This is a result of being authorized for inclusion in the snack aisle at an important mass merchandise account beginning in January 2009.
Lastly, Emerald has improved its penetration in the non-food channel. Emerald snacks, including its Glazed Walnuts and Almonds, Deluxe Mixed Nuts and Smoked Almonds, can now be purchased on board three major U.S. airlines, as well as a number of highly visible retail shops located in airport terminals.
"We are very encouraged by the growth of our snack business as we approach the half-way point of our fiscal year," says Michael Mendes, president and CEO, Diamond Foods. "We continue to strengthen the quality of distribution, and introduce innovative, high quality products and packaging in order to attract consumers to the category. We are also well-positioned with regard to the current economic climate and are successfully reaching consumers in more value-oriented channels where they are shopping more frequently."
In grocery stores, sales of Emerald snacks grew 22 percent for the four-weeks ended Nov. 29, 2008 and surpassed $5 million, the highest one-month total since the brand's introduction in 2004. This resulted in a market share gain of 120 basis points to 6.5 percent. Since the company's mid-September acquisition of the Pop Secret microwave popcorn brand, Pop Secret sales have grown 7 percent over the prior year period and the brand's market share is now 24 percent.
In the non-scanning value channel, Emerald's new line of 100-Calorie portion control products will reach national distribution levels just four months after being introduced to the market. This is a result of being authorized for inclusion in the snack aisle at an important mass merchandise account beginning in January 2009.
Lastly, Emerald has improved its penetration in the non-food channel. Emerald snacks, including its Glazed Walnuts and Almonds, Deluxe Mixed Nuts and Smoked Almonds, can now be purchased on board three major U.S. airlines, as well as a number of highly visible retail shops located in airport terminals.
"We are very encouraged by the growth of our snack business as we approach the half-way point of our fiscal year," says Michael Mendes, president and CEO, Diamond Foods. "We continue to strengthen the quality of distribution, and introduce innovative, high quality products and packaging in order to attract consumers to the category. We are also well-positioned with regard to the current economic climate and are successfully reaching consumers in more value-oriented channels where they are shopping more frequently."