Hershey IDs Multi-Packs as 'Next Growth Frontier' Per Consumer Feedback
The Hershey Co. has identified growth opportunities within multi-packs, using consumer insights to create more convenient packaging that drives household penetration.
Multi-packs represent a $20 billion-plus opportunity with a 94% household penetration across total snacking categories, said Hershey director of enterprise multi-packs Shannon Wilkinson, in a company blog post.
- Over 70% of consumers refuse to substitute multi-packs for alternative pack types.
- Within the salty snacks segment, multi-packs account for approximately 16% of all salty snack sales, totaling around $6.7 billion annually.
This reflects a shift in how consumers are purchasing and enjoying snacks, she said, prioritizing convenience, portion control, permissibility and portability. It’s an offering that resonates with diverse consumer segments, appealing to both households with kids and those without, particularly as it suits a large group of people and can be used for parties and children’s school lunches.
A Collaborative, Tech-Driven Approach
The company has invested in automation to accelerate efforts, allowing Hershey to produce multi-packs with flexibility for future scaling. For this effort, Hershey works cross-functionally, bringing together its supply chain teams with its S/4, consumer insights and candy, mint and gum brand teams.
Also read: The Hershey Company is undergoing continued digital enhancements supported by an ERP implementation
Hershey is also working closely with its retail partners to help create multi-pack displays that drive traffic during key stock-up events, such as back-to-school shopping.
"They want to make the consumer shopping experience better, and we are co-creating alongside them to discover those unmet needs and create solutions," said Wilkinson, who added that multi-pack innovations stem from recognizing consumer and retailer needs and leveraging enterprise and category management expertise to fuel demand through new pack types at various price points and during prime activation windows.
