IGA Corporate Category Insights

How Hidden Valley Ranch Helps Retailers Win

Written by Jessica Vician | Aug 29, 2022 8:50:45 PM

Condiments elicit a surprisingly strong reaction from many people in the U.S. You've likely heard about Chicagoans' distrust of anyone putting ketchup on a hot dog, and ranch has such a fervent following it was featured in a 2011 Saturday Night Live sketch with Melissa McCarthy. 

In fact, ranch is so popular that three out of four households have it in the pantry (or refrigerator) and the flavor makes up nearly half of the condiment category's sales (ranch sales are $4 billion of the $9 billion condiment category), according to Rich Prast, team lead for wholesale, military, and natural at Clorox (who owns Hidden Valley Ranch). 

So how can independent retailers grow their sales of Hidden Valley Ranch in the category? Watch this interview between Prast and IGA's VP of Business Partnerships Heidi Huff to find out and learn what product innovations are coming out soon.

 
Key Takeaways:
  • Hidden Valley Ranch sales jumped 19 percent in 2020-2021, when shoppers started buying larger sizes and putting it on more foods.
  • "You can't have enough Hidden Valley Ranch sizes, because there is a consumer need for every size," Prast says, adding that retailers who offer a variety of sizes, like 36 and 52 ounce containers, are winning in sales.
  • Hidden Valley Ranch is a unique brand, as it falls into 3 categories: seasoning, condiments, and dips.
  • The brand is bigger than ketchup by $200-300 million.
  • HVR is a proprietary product that uses 5 different buttermilks and a special spice blend.
  • Independents can cross merchandise this popular product to boost sales. Place Hidden Valley Ranch seasoning packs in the meat department, for example. 

Stock up on Hidden Valley Ranch SKUs in anticipation for the upcoming National Digital Ad offers and Recipe Club recipes.