Cheese and Snacking

Consumer Indicators for the Occasion Snacking Needs

Purposeful Between Meal Snack Bridge

“Because I want something “I need a snack that is substantial wholesome, I like flavor and different enough to give me the boost I need varieties, I may need to plan ahead” until my next full meal” For Consumers 82% of Snack Occasions Are A Meal Bridge and Over Half of Snack Occasions are Planned

Purpose of Snack

Significant Snack / Meal Bridge – Net 82%

Between-meal snack 52%

Purposeful snack 26%

Aid / replenishment to exercise / physical activity 4%

Replacing A Meal – Net 18% Meal substitute / replacement 5% It’s less about replacing Make up for a missed meal 4% As A Meal – Subnet 8% meals and more about How Not Planned Breakfast (non-traditional / non 'full meal') 4% 45% snack foods that act as a Decided Planned Lunch (non-traditional / non 'full meal') 2% to Snack MEAL BRIDGE 55% Dinner (non-traditional / non 'full meal') 3%

Sargento Research, Total Deep Dive Occasions (n=4,186) When They Snack, Afternoon Is The Key Occasion

When Snack Was Eaten

Morning – Net 31% LATE Before breakfast 3% Instead of breakfast 6% Between breakfast and lunch 22% Afternoon – Net 34% Afternoon Instead of lunch 7% Between lunch and dinner 27% ….Specifically more people eat Evening – Net 25% a snack between lunch and Just before dinner 7% Instead of dinner 2% dinner time (27%) After dinner 15% Late Night – Net 11% Late night 10% Cheese snack occasions also Middle of the night 1% • Occur more so between lunch/dinner

With 55% of snacking being planned, consumers can benefit from products that address the type of snack they need, e.g. more substantive, and the time of day they need it

Sargento Research, Total Deep Dive Occasions (n=4,186) Consumers approach snacking by eating fruit, salty items, cheese and vegetables on a weekly basis; Gen Z tends to snack more often

Snack Food That Was Eaten Weekly or More Often Fruit 73% Salty / Crunchy Items 73% Cheese - Net 71% 44% - flavored (not plain) 27% American slices - individually wrapped 35% String cheese 31% Cheese sticks 29% Vegetables 64% Candy 59% Baked Goods 59% Cereal 56% Bars 55% Dips / Spreads 52% Yogurt 52% Sandwiches 48% Nuts 48% Appetizers / Side Dishes 38% Frozen Treats 38% Shakes / Smoothies 36% Hamburgers/Hot Dogs 33% Chicken Nuggets/Strips 28% Snack Kits 22% Sargento Research, Total Deep Dive Occasions (n=3,470) Important Jobs For Snack Foods Are Flavor, Convenience and Variety

Requirements For

Is delicious/very flavorful 54% Is inexpensive 28% Can eat while doing other things 26% Does not require preparation 25% Is easy to take/carry on-the-go 25% Satisfies me without making me feel full 25% Makes me feel full 24% Comes in many flavor varieties 23% Is easy to eat on-the-go 23% Is appropriate for the whole family/household 22% Is something savory 21% Does not require tools/utensils 21% Has as little sugar as possible 21% Has as little sodium as possible 21%

Sargento Research, Total Respondents n=1,741 Consumers Also Want Snacks With Inherent Positives…Like Protein

Things Looked For In a Snack High in protein 43% Low in sugar 38% High in fiber 34% Low in calories 34% Low in fat 32% Contains vitamins/minerals 30% Short list of simple ingredients 25% Low in carbohydrates 22% High in healthy fats 19% Is organic 19% High in antioxidants 18% High in calcium 16% High in Omega 3 14% Is gluten-free 10% Contains probiotics 9% Locally sourced 8% Sustainably sourced 8% Sargento Research, Total Respondents, n=1,729 For Consumers Cheese Meets Many Snacking Jobs, Including Providing Calcium, Protein and Energy

Consumer Attitudes Towards Cheese and Cheese Snacking

Cheese is a good source of calcium 76% I love cheese 74% I love cheese as a snack 63% Cheese is a good source of protein 63% Cheese is a staple snack in my household 55% Cheese is a good source of energy 53% Cheese is more wholesome than other snacks 52% Cheese is better for you than other snacks 48% Cheese satisfies your hunger better than other snacks 47% I snack on cheese frequently 46% I'm always looking to find new ways to enjoy cheese 42% I can’t snack on too much cheese at one time 36% Cheese is more fattening than other snacks 35% I’m trying to cut back on cheese 23% I get so much cheese in my meals that I don’t feel like snacking on it 23%

Sargento Research, Total Respondents Who Completed A Diary (n=2,434) Especially for Teens, Cheese Is A Wholesome Source of Energy They Love It For Snacking and As an Snack Ingredient

Teens Attitudes Towards Cheese FOR CHEESE TEENS AGREE MORE SO THAN ADULTS

1. Good source of energy 2. More wholesome 3. Better for you than other snacks 4. I love cheese as a snack 5. I love snacks that have cheese as an ingredient 6. I snack on cheese frequently 7. Cheese satisfies your hunger better than other snacks

Cheese and Snacks with Cheese as a component or ingredient become more important as….. Parents shopping lists include things teens want and eat frequently The older Gen Z cohort is beginning to enter the realm as their own primary shopper

Sargento Research, Total Respondents Who Completed A Diary, n=327 Teens age 12-17 High in Eatings and Frequency --- String, Queso Sauce, Sticks, Cubes and Slices Are Prime Snack Complements

Top Types/Forms of Cheese Consumer Eat During a Snack Occasion

String cheese Chunk / wedge - standard Gen Z is more likely Cream cheese - plain or flavored than adults to have Queso dip / sauce cheese for a snack Cheese sticks (16% vs. 10%) American slices When cheese was Mini cheese rounds eaten by adults, they Cheese cubes were more so to have Non-processed slices the chunk / wedge Chunk / wedge – specialty variety more so than Cheese sliced fresh from deli teens (21% vs. 10%) Low fat / light cheese

Sargento Research, Total Snack Occasions Where Cheese Was Eaten, n=440; Photo: Sargento Snack Concept Top Snack Occasion Cheeses Indicate Consumers Desire a Range From Mild Notes To Bold and Nuanced Flavors Bold: Sharp Cheddar, Blue, Asiago, Pepper Jack, Goat, Feta, Smoked Nuanced: Colby Jack, Mexican, Gouda, Muenster, Havarti, Parmesan

Top Flavors of Cheese Consumers Eat During A Snack Occasion 35% 30% 25% 20% 15% 10% 5% 0%

Brie Goat Feta plain Colby Asiago Swiss Gouda – Mexican Romano HavartiSmoked Muenster – Parmesan Mozzarella Blue cheeseColby Jack Pepper JackCamembert Cream cheese Cheddar - Mild Monterey Jack Provolone Cheddar - medium Provolone Cheddar - Sharp / Extra Sargento Research, Total Snack Occasions Where Cheese Was Eaten, n=440 Overview for Consumers and Snacking

v People Make Snack Choices That Are Purposeful and Timely; Afternoon is a Key Snacking Occasion v Consumers Hire Snacks To Bridge them Between Meals and To Provide Flavor, Variety and Convenience v Consumers Want Snacks with Positives Aspects, Such as Protein and Simple Ingredients v Cheese is a Top Snack Choice, Along with Salty/Crunchy Items, Fruits and Vegetables v When People Snack on Cheese and They Want Different Forms and Varieties v For Product Development Consider the Wide Array of Cheese Shapes Like String, Sticks and Cubes and Flavor Ranges Consumer Prefer, From Extra Sharp Cheddar to Smoked Provolone