THIS WEEK: Crunch time for KP crisp brands

United Biscuits has moved across one of its top marketers to act as a

troubleshooter on the group’s beleaguered KP crisps business, under

sustained attack from Pepsico’s Walkers brands and own-label.

Paul New has been marketing director of McVitie’s Prepared Foods - the

division that makes the Linda McCartney ready meals and San Marco pizzas

- for three years. His new role will involve a radical action plan for

the crisps unit, which has been rumoured to be up for sale.

‘My job is to apply a fresh set of eyes to the business and come up with

a set of options for it,’ said New. He will be working alongside crisps

business unit director Doug Clydesdale, who was brought back from Golden

Wonder a year ago as the company reported disastrous financial results.

Two months ago, UB chairman Colin Short announced 15% higher interim

profits at KP, boosted mainly by brands like Hula Hoops and Skips in the

snacks unit. But Short admitted that ‘the crisps market remains

difficult: our increased sales in branded crisps were offset by a

significant reduction in own-label, where the sector declined by 13%’.

KP’s crisp brands McCoys, Roysters and Brannigans are relatively strong

in pubs, off-licences and impulse shops, but lose out on volume in the

multiples, where Walkers is particularly strong.

This article was first published on Marketing