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Price Increases Inflate Value Of U.K.’s Bagged Snack Sales

December 17, 2021: 12:00 AM EST
Higher production costs and fewer promotions are driving up the price of snacks in the U.K. The bagged snacks category made an extra $174 million over the past 12 months – a four percent increase – but volumes rose by just 1.8 percent. That means the 2.2 percent rise in average price was the main driver of that gain. The average price of Pringles, for example, is up by 10.3 percent. One factor behind these changes is higher production costs: the price of packaging, energy, deliveries – and ingredients such as oil and potatoes – is moving upwards. At KP Snacks, the price of its nuts brand is up an average four percent. KP seems to be bucking a trend, though: despite price increases, volumes are up 7.8 percent.
Daniel Woolfson, Daniel Selwood, "Bagged snacks 2021: big nights in getting pricier - and healthier", thegrocer.co.uk, December 17, 2021, © William Reed Business Media Ltd
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