Campbell Soup Company, a 155-year-old brand, is dropping "soup" from its corporate name, rebranding itself as The Campbell's Company. This change reflects the company's shift in focus, as more consumers are opting for snacks over ready-to-serve soups. In response, Campbell has expanded its portfolio by acquiring various snack brands, including Goldfish, Snyder's of Hanover, Cape Cod, Pepperidge Farm, and most recently, Sovos Brands, which owns popular Italian food products like Rao's sauces.
According to Circana, nearly half of Americans consume at least three snacks a day, highlighting the growing demand for snack foods. This trend has also influenced other food industry moves, such as Mars' recent agreement to buy Kellanova, the owner of Cheez-Its and Pringles, in a deal valued at nearly $29 billion.
"Snacking is a large, attractive, and durable category that continues to grow in importance with consumers," Kellanova stated when announcing the deal.
Campbell’s CEO Mark Clouse emphasized that the name change, which requires shareholder approval in November, preserves the company's iconic reputation while acknowledging its broader product range. Although soups remain a core part of Campbell's business, they now represent a smaller share of its sales.
In 2022, Campbell's snack sales rose by 13%, compared to just 3% growth in its soup segment. With the snack market valued at over $200 billion, legacy food companies like Campbell are shifting their strategies to capture a larger portion of this lucrative sector.