Honey Stinger bars
The nutrition and snack bar category is renowned for pushing the envelope on innovation.

Bars with benefits

Bars are successful niche products. They are affordable, portable, keep well, come in myriad flavors and have many desirable nutritional benefits.

“I look at the bar selections of local co-ops and new entrepreneurs to see what they are using like macrobiotics, raw ingredients, seaweed and macaroot,” Ms. Nielsen said. “It’s a good place to see where these benefits could serve a broader group of consumers.”

Honey Stinger makes nutritious and honey-based foods including energy bars, protein bars, organic waffles, organic chews, children-specific snacks and Organic Wildflower Honey. Its core markets are endurance and performance sports.

Honey Stinger kids products
Honey Stinger makes nutritious and honey-based children-specific snacks.

“Many of us have competed at a high level or are passionate about this space, and we naturally gravitate to the task of meeting the unique needs of athletes and those leading an active healthy lifestyle,” Mr. Johnson said. “For most successful brands, the product is excellent and the target is real, because it reflects their passion, whatever the niche.”

Growth drivers in the cracker category are similar to bars and other healthy-­ingredient snacks. Successful cracker producers are typically smaller, family-run companies with big ideas for taste and innovation. They produce authentic, ­nutritious artisanal foods that compete with larger companies creating a challenge for marketers.

Partners identified this niche, and the company has created quality, wholesome baked goods from scratch since 1992. However, since old-fashioned favorites like saltines and graham crackers continue to appeal to the masses, larger manufacturers can position their more familiar brands to meet this comfort niche.

La Panzanella artisanal cookies
Successful cracker producers are typically smaller, family-run companies with big ideas for taste and innovation.

Searching for new channels

Convenience and drug stores are outpacing supermarkets in terms of dollar sales, according to Mr. Hale. While in-store bakeries do fill the niche for indulgence and special occasions, understanding target demographics is vital to successfully position niche products that attract key shoppers and keep them coming back. On-line shopping, door-to-car and door-to-door delivery threaten brick-and-mortar stores.

Honey Stinger's focus is on building partnerships with the best brick-and-mortar players in specialty sport shops and natural grocery. The company sees considerable growth in these areas.

“On-line marketing, of course, is also strong, but we’re careful not to swing too far in this direction,” Mr. Johnson said. “It’s critical to have a balanced distribution portfolio and to not move too far toward a price-driven on-line market.”

Honey Stinger social media
Honey Stinger utilizes social media for on-line marketing.

While social media platforms are a great way to promote products and advertise specials and niche attributes, printed sales media appeals to all generations across the board. However, to target the large millennial segment and younger shoppers, digital advertising and outreach is vital.

“The most affordable social media platforms are targeted Facebook and Instagram ads and bloggers,” Ms. Figgins said.

Social media has proven increasingly worthwhile for small businesses operating in niche. However, it is increasingly complex to target social media marketing options and not always cost effective.

“We try not to use our entire budget on just one strategy,” Mr. Evancho said. “Paired with social media, e-mail marketing campaigns are cost-effective ways to spread the word about products.”

FancyPants Baking Co. social media
Fancypants Baking ties its social media to product demos. 

Another strategy useful for Fancypants Baking is to tie social media to product demos. The company recommends that everyone in management perform a demo and use the opportunity to listen to customer feedback.

It is also important to remember that you need to be open to new opportunities, Mr. Evancho said.

“Even though you may be doing well in one market, you must continue to develop new products and test new markets,” he said.

That’s how companies can discover the next big trend.