Stouffer’s Enters the Mac and Cheese Market with Shelf-Stable Version
A New Player in the Game
Nestle is launching a line of boxed mac and cheese called Stouffer’s Supreme, marking the brand’s entry into the shelf-stable mac and cheese market. This move comes as a surprise, considering Stouffer’s has traditionally been known for its frozen entrees. However, the company believes its strong brand recognition and promise of more cheese sauce can help it capitalize on the market.
A Growing Market
The shelf-stable mac and cheese category is a $2.9 billion market, dominated by Kraft Heinz. However, Nestle sees an opportunity to tap into the two-thirds of consumers who buy both frozen and box mac and cheese from its rivals. As Tom Moe, President of Nestle Meals Division, pointed out, the average American consumer eats mac and cheese 22 times a year, making it the second most frequently consumed food after pizza.
Competition from Kraft
Kraft Heinz, the leading player in the market, has a strong presence in the category, with a $1.7 billion business. However, changes to SNAP food assistance benefits have hurt Kraft’s mac and cheese sales in the fourth quarter. The company has responded by introducing new mac and cheese variety packs and flavors, showing its willingness to invest in the category.
Stouffer’s Entry
Stouffer’s will offer two variations of boxed mac and cheese: a classic cheddar and a three-cheese version made with cheddar, gouda, and parmesan. The pasta is designed to be cooked on a stovetop and mixed with cheese sauce. Moe stated that Stouffer’s version has 10% more cheese sauce compared to Kraft’s Velveeta.
Conclusion
Stouffer’s entry into the market is a bold move, but one that Nestle believes will pay off. With its strong brand recognition and promise of more cheese sauce, the company is confident that shoppers will be willing to give Stouffer’s a try. As Moe pointed out, "When you want something that’s got a rich, supremely cheesy taste, then you’ll turn to us."
FAQs
Q: What are the two flavors of Stouffer’s boxed mac and cheese?
A: The two flavors are a classic cheddar and a three-cheese version made with cheddar, gouda, and parmesan.
Q: How does Stouffer’s version of mac and cheese compare to Kraft’s Velveeta?
A: Stouffer’s version has 10% more cheese sauce compared to Kraft’s Velveeta.
Q: Is Stouffer’s only entering the shelf-stable mac and cheese market with this new line of products?
A: No, Stouffer’s has a full suite of new products hitting the freezer aisle this fall, in addition to its boxed mac and cheese.
