Red alert! Big fall in sales for Heinz ketchup

HeInz tomato ketchup is feeling the squeeze as more and more shoppers turn to trendier sauces.

The iconic brand has seen a 13 per cent drop in UK sales, according to the latest figures.

The condiment has suffered a double whammy, with younger consumers moving to exotic alternatives such as peri peri, while ketchup fans are saving money by buying own-label versions.

The Grocer magazine found that supermarket sales of all ketchups are down 2.7 per cent – a fall of around six million bottles.

However, Heinz is not just suffering from its ketchup sales falling in the UK. Overall sales of all its products fell by 16 per cent, from £846million in 2015 to £709million in 2016.

The numbers also showed that health-conscious shoppers are buying fewer Heinz baked beans, with sales falling by 5 per cent. Only good sales for the lower sugar and salt varieties offset what would have been a greater fall, say analysts.

The decline is also driven by adventurous younger consumers who are choosing more unusual condiments such as chilli chutney or sriracha – a hot sauce made from chilli peppers, vinegar, garlic and salt.

It follows reports that shoppers are paying an average of 3 per cent more for branded sauces than they were last year. A 342g bottle of Heinz ketchup is now 15 per cent more expensive, at £1.45, according to research by market analysts Brand View. HP brown Sauce has also shot up in price by more than a fifth, now costing £1.25.

now 141 years old, Heinz tomato ketchup was launched in the United

‘Squeezed by trendy upstarts’

States in 1876, and released in Britain a decade later.

Some 650million bottles and 11billion sachets are sold every year in more than 140 countries.

But even the traditionalists such as Heinz are adapting to the competition. Last year the firm introduced marinades based on ingredients from the southern states of the US, while Baxters is making Jack Daniel’s barbecue sauces under licence.

Meanwhile, Hellmann’s has brought out ‘premium’ spicy barbecue and hot sauces.

In an analysis of the results, The Grocer said: ‘Ketchup is like beer, a barbecue just isn’t the same without either. And in both sectors big brands are being squeezed by trendy new upstarts.

‘Heinz UK sales plunged last year with ketchup contributing much to this decline.

‘Craft beer- drinking foodies are now covering their fries and gourmet burgers with artisan srirachas and chilli chutneys.’