“Ferrero Disrupts Premium Chocolate Bar Market with New Ferrero Rocher Line; Schwan’s Aims for Frozen Pizza Leadership with Hearth & Fire; Kraft Heinz Launches Gummy Lunchables for Creative Mealtime Fun”
Ferrero is set to disrupt the premium chocolate bar market with its renowned Ferrero Rocher chocolates. The new range includes Milk Hazelnut, 55% Dark Hazelnut, White Hazelnut, and Milk Hazelnut and Almond varieties, each featuring a creamy filling filled with crunchy hazelnut pieces. The unique square shape of the bars, topped with a small dome, is reminiscent of the original Ferrero Rocher candy, inviting consumers to explore its layered texture. According to Ferrero, this new premium chocolate bar line was meticulously developed over three years by a team of 50, experimenting with 300 recipes to achieve the ideal flavor balance. Mark Wakefield, Senior Vice President of Premium Chocolate for Ferrero North America, stated, “For the Ferrero Rocher bar, we emphasized high-quality ingredients, such as delicious, crunchy hazelnuts and fine chocolate, combined with a premium design aesthetic, to create a product that is as pleasing to the palate as it is to the eye.” Although the bars are now reaching retailers across the U.S., they first launched in the U.K. last year. Ferrero Rocher made its debut in Europe in 1982 and arrived in the U.S. six years later. Notably, Ferrero procures approximately a third of the global hazelnut supply for its Ferrero Rocher bonbons, as reported by Forbes. The chocolatier is also famous for its other beloved chocolate-hazelnut product, Nutella.
The chocolate industry continues to be driven by indulgence and premiumization. A survey by Cargill last year revealed that a third of consumers reported increased chocolate consumption during the pandemic. Premium chocolate saw a 16% growth rate in 2021, compared to 10% for the overall chocolate category, as noted by Godiva CEO Nurtac Afridi in a recent interview with Food Dive.
Turning to the frozen pizza market, Schwan’s is vocal about its ambition to become the “No. 1 undisputed leader” in this category. The company is optimistic that its latest product will help achieve this goal. Schwan’s, which owns brands like Red Baron, Tony’s, and Freschetta, is introducing Hearth & Fire craft frozen pizza, made with high-quality ingredients such as roasted mushrooms, whole basil leaves, caramelized onions, mozzarella medallions, and goat cheese. Schwan’s recognizes that many consumers perceive frozen pizza as inferior in quality compared to their favorite local pizzerias, a challenge they aim to address with the Hearth & Fire line. The pizza crust undergoes a minimum of 20 hours of fermentation to enhance its flavor and texture, and it is cooked in an open flame at temperatures exceeding 1,000 degrees, mimicking traditional pizza ovens. To maintain its artisanal quality, Schwan’s vacuum seals the pizzas.
Initially, Hearth & Fire will be available at select Kroger locations in seven cities, with plans for broader distribution next year. Consumers in 15 states will soon have the option to purchase it online for home delivery. Since the introduction of frozen pizzas in the 1950s, the category has exploded, featuring hundreds of brands, flavors, formats, and price points. Recent trends show surging sales of frozen pizzas as consumers increasingly dine at home to save on rising costs. For the year ending August 7, sales reached $6.4 billion, marking a 6.7% increase from the previous year, according to IRI, a Chicago-based market research firm. Nestlé’s DiGiorno leads the category with nearly a quarter of sales, valued at $1.4 billion, followed closely by Schwan’s Red Baron at $1.1 billion and private labels with $806 million. The category is also experiencing a premium trend, with Sovos Brands recently introducing a line of brick-oven crust pizzas made with San Marzano tomatoes.
In the realm of fun and creativity at mealtime, Lunchables have been a staple for over 30 years, allowing kids to stack meat and crackers, create mini pizzas, and assemble nacho platters. Now, Kraft Heinz is partnering with Frankford Candy to introduce gummy versions of Lunchables favorites. The Gummy Lunchables Cracker Stackers resemble traditional lunch meat, cheese, and cracker combinations, while the Gummy Lunchables Pepperoni Pizza Kits include round “crusts,” red liquid sauce, and gummy mozzarella shreds and pepperoni slices. Molly Jacobson, Director of Business Development at Frankford Candy, expressed excitement about offering consumers a new way to engage with the Lunchables brand, stating, “We believe consumers will find that Gummy Lunchables are just as enjoyable to play with as they are to savor.”
Initially launched in the late 1980s to boost sales of Oscar Mayer bologna, Lunchables have maintained their popularity, despite criticism from nutritionists regarding their unhealthy options. Although the brand attempted to introduce healthier items, such as fruit and yogurt, these products did not resonate with consumers, resulting in a continued focus on classic offerings. Lunchables remain in high demand, having shown double-digit sales growth as children returned to in-person school following pandemic disruptions, making them increasingly hard to find in stores. The announcement of Gummy Lunchables indicated that consumers should look forward to other seasonal Kraft Heinz gummies in the near future, with the reassurance that these gummies will taste like fruit, not the original Lunchables components.
