Chipping in bad economy? Perhaps not for the snack category, which seems to be defying the odds.

WHEN THINGS GET TOUGH, SOME SAY THAT CONSUMERS BUY MORE SNACK FOODS.

According to a number of snack product manufacturers, sales in the high-impulse category have more than held their own over the past six months as consumers turn to comfort foods to help them through the tough economic times. Industry data shows snack food dollar sales growing by as much as 5% annually and unit sales up by nearly 2% annually.

That's not to say that the snack category does not continue to evolve. Today, consumers want it all, including all types of healthy snacks such as low-fat and low-calorie alternatives. Plus, shoppers are as eager as ever for unique-tasting snacks. The bottom line is that flavor variety is driving this category and retailers need to develop a snack section that meets the needs of as many consumers as possible.

"Once down the aisle, flavor variety is key to multiple purchases," says Karen Vinson, snacks category sales manager for Cincinnati-based Procter & Gamble, which produces Pringles, among other snack products. "Consumers look for core products, so placing new and premium items at eye level to encourage shoppers to review these selections on their way to finding target items is critical. This strategy helps to drive dollars sales in the category and increase awareness of new items. By grouping products by usage occasion, retailers can help consumers to quickly find their items and reward the retailer by spending more time shopping."

Other suppliers, including officials from other industry leaders such as Kelloggs, Kraft and Frito-Lay, also stress the importance of creating the proper planogram for snacks. Virtually everyone contacted mentioned the need to get as many different types of product on store shelves as possible.

"At the NACS [National Association of Convenience Store] show last year it was amazing how these major suppliers were pushing their own unique snack products," says one retailer. "I think suppliers see snacks as a way to protect themselves against slowing sales in other categories. A bag of chips or a peanut bar is still a pretty inexpensive way to satisfy one's desire for a tasty treat. We all realize this."

Rich Rudolph, president of Lima, Ohio-based Rudolph Foods, is pushing pork rinds as an up-and-coming snack food segment. "As more consumers are watching their carbohydrate intake, they are turning to pork rinds," he says. "Now we have to show the retailer how important it is to include these products in their mix. Pork rinds sales are growing, so it makes sense for the supermarket retailer to give it more representation on the shelves."

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Rudolph, however, also understands that it is important to satisfy as many taste buds as possible. The company has introduced a number of SKUs in the segment, including pork rinds with red pepper seasoning, salt & vinegar, hot & spicy and multiple versions of barbecue-flavored pork rinds.

Vinson says that Pringles is driving the sales through innovation, investment, and meeting unmet consumer needs. "In the past two years, Pringles has brought more innovation to the category than ever before," she says. "Leading with both flavor and form innovation, three major launches, Pringles Extreme, Pringles Select Bold Crunch and Pringles Stix, have delighted consumers. Pringles Extreme brought extreme flavor profiles to a new audience of snackers, targeting young adult males who crave intensity. Pringles Select Bold Crunch appeals to the whole family. Pringles Stix introduced snackers to a fun baked product with only 90 calories per serving and portion controlled for the on-the-go family."

As always, retailers have to help maintain the momentum in the category. Making this product-abundant section work depends on consumer awareness, cross-merchandising and keeping the shelves stocked.

"For shoppers who may not have planned a snack purchase, disruptive displays at key locations near complementary products can entice an unplanned purchase," Vinson says.