Campbell Soup Co. (NYSE:CPB) announced plans to launch more than 200 new products in fiscal 2015 to meet consumers’ changing tastes, preferences and needs.
During a presentation with investors, President and Chief Executive Officer Denise Morrison shared her perspective on the state of the packaged food industry and the consumer environment. Morrison and her management team also outlined the steps Campbell is taking as it aspires to become a profitable $10 billion company within the next five years by strengthening its core business and expanding into faster-growing spaces.
Morrison said, “In the last three years, we’ve been taking decisive action to reshape our portfolio and revitalize our growth trajectory, and you will see more of it in the future. We’re proceeding with a clear strategy and a sense of purpose that are squarely focused on the successful response to dramatic shifts in the landscape for our business, and we are confident that our strategy is moving us in the right direction.”
Campbell plans to strengthen its core businesses beginning with U.S. Simple Meals, which includes soup; revitalize its shelf-stable U.S. Beverages business, led by the V8 brand; deliver stronger growth at Pepperidge Farm; and stabilize its Australian business, including Arnott’s sweet biscuits.
To expand into faster-growing spaces, Campbell plans to drive breakthrough innovation; build its position in packaged fresh foods; expand in developing markets in Asia and Latin America; and increase the availability of its products in all channels.
Highlights for the coming fiscal year include:
Innovation in Packaged Fresh, an $18.6 billion category
Bolthouse Farms will launch its first Kids line in August, an innovative portfolio of Smoothies, Fruit Tubes and Veggie Snackers that provides parents with refrigerated fruit and vegetable snacks for their children. The 100 percent fruit juice Smoothies are an easy way for kids to get their fruit and provide 1.5 servings of fruit per bottle, in varieties such as Strawberry meets Banana. The squeezable Fruit Tubes are made with no added sugar and will come in flavors like Mango meets Banana & Pineapple. Smoothies and Fruit Tubes also come in non-dairy varieties. Veggie Snackers, in single-serve packs, will make eating fresh carrots fun with natural seasoning, in flavors like Carrot meets Ranch.
Bolthouse Farms will collaborate with its retail partners to install merchandising sections in produce departments to create a kids healthy snacking destination. This section will include “Bolthouse Farms Kids” products, as well as products from other companies, such as fruit cups and carrot dippers.
Expanding in the faster-growing organic category
To meet the growing demand for organic foods and to expand its offerings in the faster-growing premium soup segment, the company will introduce its first range of Campbell’s branded organic soups. Campbell’s Organic will launch in six delicious varieties, including favorites like Chicken Noodle, Tomato & Basil, Chicken Tortilla and Garden Vegetable. These ready-to-serve soups will be packaged in contemporary cartons that help preserve their fresh taste and goodness. The soups build on Campbell’s current organic offerings, including Swanson broth, Wolfgang Puck soups and Plum Organics baby food.
Campbell will also expand its Plum Organics line of organic simple meals and snacks for infants, toddlers and children by launching 22 new products.
Leading the Veggie Craze with V8
Veggies are on-trend and here to stay. To respond to consumer interest in juicing, Campbell will launch new on-trend vegetable juices under the V8 brand that will bring popular juicing flavors and combinations to the center store. These new 100 percent juices include contemporary varieties such as V8 Carrot Mango, V8 Healthy Greens, V8 Golden Goodness and V8 Purple Power. Campbell will also launch three new varieties that add a bold twist to the classic V8 100 percent vegetable juice – V8 Spicy Mango, V8 Sea Salt & Clam and V8 Mint & Lime.
Creating a protein platform for on-the-go nutrition
Consumers are increasingly looking for a balance of protein from both plant and animal sources. To meet this demand, Campbell will introduce V8 Protein Shakes and Protein Bars that extend the brand beyond juice and into the fast-growing $4.6 billion adult on-the-go nutrition category in the U.S.
The products leverage the vegetable nutrition expertise of V8 and deliver protein with great taste. The shakes will provide protein from a combination of dairy, soy, pea protein, brown rice and quinoa. The shakes and bars are made with vegetables and other ingredients, like carrot and sweet potato for added nutrition, and sweetened with ingredients like honey. They will also deliver fiber, vitamins and minerals. V8 Protein Shakes will include varieties such as Chocolate, Vanilla and Chocolate Raspberry. V8 Protein Bars will launch in Chocolate Peanut Butter, Chocolate Pomegranate and Oatmeal Raisin varieties.
Making dinner easy with flavorful cooking products
To make it easy for people to create great-tasting meals at home, the company will launch new Campbell’s Soups for Easy Cooking—four aseptic soups in varieties such as Savory Portobello Mushroom and Mexican-Style Tomato that will help consumers make delicious meals in just 30 minutes. Campbell will also launch Swanson Cream Starter—a base for popular homemade soups, such as New England clam chowder, cream of broccoli and loaded baked potato.
Behind the stove-top, the oven is the second-most used appliance to prepare dinner. For people who want the comfort of oven-baked dinners with little time, Campbell will expand its growing line of dinner sauces by launching Campbell’s Oven Sauces. These sauces are designed to create delicious meals with five minutes of prep time, three or less ingredients, and just 35 minutes of bake time. Campbell’s Oven Sauces will launch in four varieties, including Classic Roasted Chicken and Sweet Teriyaki Chicken.
Tapping into global snacking trends
Pepperidge Farm will launch Pumpkin Spice Milano cookies for the fall and two varieties of soft-baked Coffee Shop cookies, Cinnamon Bun and Banana Walnut, inspired by popular café treats.
Arnott’s, the leading brand of sweet biscuits in Australia, has launched on-trend varieties of Tim Tam like red velvet, which was created in partnership with famous Australian patissier Adriano Zumbo. Arnott’s will also expand its Shapes savory biscuits to Indonesia, where savory snacking is a $300 million segment.