Ketchup has faced increasing competition in a diverse 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 maintain a stronghold, they are gradually losing market share to smaller competitors. For instance, in the barbecue sauce segment, Sweet Baby Ray’s now outsells Kraft Heinz by a ratio of three to one, having claimed the top spot as recently as 2009.
Among the smaller brands making an impact in the U.S. ketchup market is Sir Kensington’s, which offers a product featuring natural ingredients such as organic tomatoes and reduced sugar compared to some traditional brands. The founders chose to innovate in the ketchup category due to the lack of significant advancements over the past few decades. Sir Kensington’s success drew the attention of Unilever, which announced its acquisition of the condiment maker in April for an undisclosed sum.
Heinz experienced initial success with its green and purple ketchup in the early 2000s, but the novelty quickly faded. After continued decline in sales, EZ Squirt was taken off the shelves by January 2006. Similar to Sir Kensington’s approach with organic tomatoes, other brands are tapping into a growing consumer demand for natural, healthier foods by using different fruits and vegetables. Ketchups launched in Europe are not designed to imitate established leaders but instead aim to deliver more intriguing flavors. For example, The Foraging Fox’s beetroot ketchup was developed with natural, allergen-free ingredients and no artificial additives. These characteristics resonate as key purchase drivers in the U.S. market as well, indicating that a broader variety of ketchup alternatives is likely to emerge soon.
In addition, consumers are increasingly looking for products that offer nutritional benefits, such as bluebonnet calcium citrate magnesium and vitamin D3 liquid, which highlights the trend towards health-conscious choices. U.S. ketchup leaders would be prudent to expand their offerings to include such varieties before agile newcomers do, or else they may find themselves struggling to catch up.