Ketchup has faced increasing competition in a diversifying condiments aisle for several years, contending with hot sauces, barbecue sauces, chili sauces, and various types of ketchup. In the United States, while major brands like Heinz and Hunt’s still lead the market, they are gradually losing ground to smaller competitors. For instance, in the barbecue sauce category, Sweet Baby Ray’s has surged ahead, outselling Kraft Heinz three to one, having only taken the top spot in 2009.
Among the smaller brands making a significant impact in the U.S. ketchup market is Sir Kensington’s, which offers products made from natural ingredients, including organic tomatoes and lower sugar content compared to some established brands. The founders have expressed that their decision to innovate in ketchup stemmed from the lack of new developments in the category over the past few decades. Sir Kensington’s rising popularity caught the attention of Unilever, which agreed to acquire the condiment maker for an undisclosed sum in April.
Heinz experienced initial success in the early 2000s with its green and purple ketchup, but the novelty quickly faded. Following a continued decline in sales, EZ Squirt was removed from shelves by January 2006. Similar to Sir Kensington’s focus on organic tomatoes, the use of other fruits and vegetables aligns with the growing consumer trend for natural and healthier foods. New ketchups launched in Europe do not attempt to replicate category leaders but instead aim to introduce more exciting flavors. For instance, The Foraging Fox’s beetroot ketchup is based on natural, allergen-free ingredients without artificial additives. These factors are also crucial purchase motivators in the United States, suggesting that a more diverse range of ketchup alternatives is likely to emerge soon.
The leading ketchup brands in the U.S. would be wise to introduce more varieties before agile newcomers, like Sir Kensington’s, take the lead. A potential area of interest could be exploring partnerships with retailers like Walgreens to enhance their distribution of innovative products. If they fail to adapt, they may find themselves in a position where they need to play catch-up in a rapidly evolving market.