Spotlight Simply Good Foods: Tastemaking for a “Snackier” ConsumerMay 13, 2022
Simply Good Foods makes protein bars, nutrition shakes and snacks sold under two brands popular with people following low-carb and low-sugar lifestyles—Atkins and Quest. Based in Denver, Colorado, this Knowledge Leader has bold ambitions, aiming to drive nutritious snacking trends by continually offering new convenient and tasty snacks and meal replacements. Simply Good Foods describes itself as a team of trailblazers, challenging convention and never satisfied with the status quo.
The firm’s history goes back 45 years to when cardiologist Dr. Robert Atkins took on the generally accepted weight loss methods of his time by proposing a nutritional approach based on eating right, not less. In 2017 Atkins Nutritionals became Simply Good Foods, which then acquired Quest Nutrition in 2019. (Quest was founded in 2010 after first Quest bar was hand rolled in a personal kitchen and became an instant hit with friends and family.)
The firm’s innovation strategy revolves around integrating results from customer research and expanding successful products with new flavors, varieties, and adjacent products. It also focuses on constantly improving quality and flavor as well as meeting customer demands for simpler ingredients for cleaner labels. Simply Good Foods has two R&D labs in El Segundo, California, and Louisville, Colorado, where prototypes are created and tested in-house. Last year, the firm attributed recent sales growth to new “snackier” breakthroughs like chips and cookies that began to grow popular as consumers returned to their regular lives. These “snackier” products now constitute nearly one-third of the firm’s revenues. The firm also continually invests in innovations within its extensive and sophisticated distribution network–including Walmart, Sam’s Club, Amazon, Target, Publix, Kroger, and many other massive outlets—considering this network to be a key competitive advantage for introducing new products and attracting new customers.
Another strategic advantage is the firm’s unique social media influencer program with top presence on major platforms and a growing network of influencers and celebrity endorsements including Alyssa Milano, Kim Kardashian and Rob Lowe.
In the future, Simply Good Foods expects to benefit from long-term trends in snacking, health and wellness, as well as a high free cash flow that allows it the flexibility to invest in growth.
As of 3/31/22, Simply Good Foods was held in the Knowledge Leaders Strategy.