Premier Foods is hoping to stretch all its so-called power brands into new categories, its CEO Michael Clarke has revealed.
A “change of mindset” was needed to take on new rivals with old brands, he admitted as the company announced its results last week.
So far, Premier has annnounced the extension of Sharwood’s into Indian and Chinese wrap meal kits and the launch of Mr Kipling countlines, which will pit the brand against confectionery.
“Instead of people walking around with a Mars bar, I’d like them to walk around with a Mr Kipling cake,” said Clarke. “Cake has huge room for growth but we allowed ourselves to be pigeonholed as a cake supplier. Why can’t you compete with confectionery and sweet treats?”
Consumers could expect similar moves from its other brands, he added. There was an opportunity for Hovis to become “more than a bread brand” later this year, he said, adding that Ambrosia also had huge potential.
“These eight brands can be built into umbrella brands - they can go into adjacent categories,” he said. “Ambrosia is a proposition that can diversify into a range of propositions as we go forward.”