Pistachios: Driver of the Nut Category

This nut’s versatility helps boost supermarket produce sales.

A popular food for shoppers looking for a convenient, delicious, and healthy snack, pistachios are a premium snack that offers retailers flexibility of multiple shopper uses and rings.

No longer a specialty nut item, pistachios have become a driver of the nut and dried fruit category. The nut’s versatility helps lead produce departments maintain strong nut sales.

“Pistachios are an impulse buy and a heck of a dollar ring,” says Jason Kazmirski, retail specialist with Charlie’s Produce, a Seattle, WA, wholesale produce retail distribution company. “They are another dollar driver for produce departments that seem to do well.”

Pistachios have become an increasingly important driver of growth within the dried fruit and nut category, with innovation helping to bring new energy to the aisle, says Diana Salsa, vice president of marketing for The Wonderful Co., Delano, CA.

“Pistachios continue to play an important part of the retail landscape as consumers prioritize snacks that deliver both flavor and nutritional benefits,” she says. “With demand for plant-based protein and better-for-you snacking continuing to grow, pistachios offer retailers a versatile item that appeals to a broad range of shoppers.”

FLAVOR VARIETY

While roasted and salted pistachios remain the key category drivers for Bronx, NY’s Morton Williams stores, other flavors, including dill pickle, barbecue and ranch, also sell well, says Eric Mawer, produce director.

“We’re up in pistachios about 8% and a lot of it has to do with all the shelled variety flavors,” he says. “We’re starting to see a lot of incremental sales. The organizations and the growers continue to innovate, and we are reaping the rewards.”

“We’re up in pistachios about 8% and a lot of it has to do with all the shelled variety flavors.”

— Eric Mawer, Morton Williams, Bronx, NY

Pistachios are known as flexible nuts.

“Retailers are increasingly treating pistachios as more than a shelf item,” says Christine Trageser, senior brand manager of Nichols Farms, Hanford, CA. “Their growth is being fueled by their versatility and the way consumers integrate them within their diets as a premium snack, a protein-forward option, a recipe ingredient, and even a flavor inspiration across categories. This flexibility gives retailers a strong reason to give pistachios meaningful space and visibility in the produce department.”

PREMIUM SNACK

“Pistachios are a premium snack nut and rank near the top of the category in gross sales dollars,” says Elizabeth Keenan, marketing manager of Keenan Farms, Kettleman City, CA.

And pistachios are a top seller when it comes to dollar sales, says Joseph Setton, executive vice president of Setton Farms, Terra Bella, CA. “They have been the driver of the nut/dried fruit category over the last 10 years and have been helping bring more attention and sales to the overall category. Demand continues to grow consistently for pistachios across all consumer demographics.”

In produce, pistachios perform best when they are visible and easy to shop. Prepacked displays, quarter-pallet displays, and premium branded fixtures all work well.

“We are seeing more stand-alone displays in produce, seasonal endcaps, and checkout or impulse displays that make pistachios easier for shoppers to notice and add to their baskets,” says Trageser. “As consumers continue to look for snacks that deliver protein, fiber, convenience, and premium flavor, pistachios are well positioned for stronger retail support.”

Setton Farms offers displays loaded with a selection of top Stock-Keeping Units that can stand upright or be hung from other displays and shelving.

“We have seen that clean and cohesive displays work best, whether that is with one of Setton Farms pre-loaded displays or with creative decorations,” says Setton. “Creating eye-catching displays for an event or holiday will draw in consumers if they are not too cluttered.”

HIGH VISIBILITY

Keenan Farms has seen success with endcaps and retail displays throughout the produce section.
“Pistachios are often an impulse buy, so colorful high-visibility displays placed in produce and up front near the checkout areas are ideal,” says Paul Huckabay, vice president of sales. “Place displays front and center in high-traffic areas. Since pistachios tend to be an impulse buy, cross-merchandising them with other items works well.”

Pistachios are typically merchandised in high-traffic areas of the produce department where shoppers are already seeking fresh, nutritious and convenient snack options, says Wonderful’s Salsa.

“When merchandising snacks and entertaining items, it is important to merchandise by occasion,” she says. “Consumers often shop with a specific moment in mind, whether it is a gathering with friends and family, sports watching or on-the-go snacking. Displays should clearly communicate the role products can play in those moments and inspire consumers to discover new ways to enjoy them.”

Highly versatile, pistachios are easy to merchandise around seasonal eating habits, says Nichols Farms’ Trageser.

“In spring and summer, they work well as a grab-and-go road trip snack, a produce section tie-in, or an elevated salad topping,” she says. “In fall, retailers can lean into protein, fiber, lunchbox snacking, and after-school fuel. During the holidays, pistachios naturally align with entertaining, baking, and premium gifting.”

Shipper displays, cardboard boxes featuring cases of pistachios, help move product.

“The shippers get presence from people who maybe didn’t get over to that little cubbyhole where everyone seems to kind of hide those types of items, the dust collectors on some of those lower shelves,” says Charlie’s Produce’s Kazmirski. “But when you get shippers, you put them out there front and center, and you don’t necessarily have to have them in the produce department, either.”

PRODUCT PAIRINGS

Pistachios cross-merchandise well anywhere shoppers are building a snack, salad, board or recipe. In produce, that can mean pairing them with fresh fruit, packaged salads, dried fruit, cheeses, and seasonal entertaining items. They also work well near baking ingredients during the holidays, alongside grab-and-go snacks sections throughout the year, as well as with beer and sodas, says Setton.

“They are the perfect snack while at the gym, school, work or on-the-go. They also work well in game day and tailgating promotions,“ he says.

Keenan Farms recommends retailers build promotions around prime snacking occasions, such as holidays, sporting events and other social gatherings.

“Pistachio sales increase substantially during the Super Bowl, preceding the Fourth of July, and throughout the holiday season,” says Keenan. “It’s helpful to take advantage of these holidays with vibrant displays, especially near the checkout lines in stores.”

While Morton Williams typically merchandises pistachios in 4-foot sections displaying a combination of shelled and unshelled pistachios, vendor-supplied shipper displays are placed in store lobbies, vestibules and around the produce department.

“Our vendor partners have gotten really good with the displays,” Mawer says. “The customer can see five flavors versus the old days where we only had the one flavor on the stand. We’re definitely seeing some incremental sales from those.”