- The healthy snack market is growing at a CAGR of 5.2 percent, with an expected reach of $32.88 billion by 2025
- Late-night snacking is a key trend that’s expected to impact the growth of the global food and drink market
- Nightfood’s February rollout of a ‘sleep-friendly’ ice cream that caters to late-night snackers targets a niche; half of Americans already consider ice cream an evening snack
These days it seems that all food-related news is about finding healthy options to satisfy the taste and nutrition demands of a fitness-centric lifestyle. Food occupies a central relationship in celebrations, anniversaries, deaths, weddings, birthdays, family gatherings and bringing coworkers together (http://ibn.fm/Dglen), and it also provides personal comfort for people who are coping with adversity on their own (http://ibn.fm/hrMI9). However, eating habits can sometimes take an unhealthy turn, especially during the late hours of the day (http://ibn.fm/Is8Xr) – a trend that inspired Nightfood Holdings Inc. (OTCQB: NGTF) to produce sleep-friendly snacks for market.
Nightfood’s new ice cream was formulated by sleep and nutrition experts to be sleep-friendly. This means eliminating or minimizing things that are sleep disruptive (excess fat, excess sugar, excess calories) and adding in minerals, amino acids and enzymes that research indicates can support better sleep.
The ice cream fills a product niche with timely importance; analysts at market research firm Mintel have identified nighttime food and beverage consumption as one of six key trends that are “set to impact the global food and drink market” due to the stresses that form a part of the modern lifestyle (http://ibn.fm/Rt0vk).
Analysts at Grand View Research predict that the global healthy snacks market will reach sales of $32.88 billion by 2025, expanding at a CAGR of 5.2 percent during the next six years (http://ibn.fm/q68hD). Marketing that provides consumers with an awareness of options, especially young consumers with some spending power, appear to be driving this growth, according to the report.
Nightfood ice cream began rolling out in February, catering to a population that may want to enjoy a dessert while watching late-night TV or performing other winding-down activities at the end of the day. Big data analysts at IRI Worldwide indicated in the firm’s State of the Snack Food Industry report (http://ibn.fm/sZTVz) that, for many people, ice cream is the go-to snack of choice late in the day. Fast Company magazine cited a recent survey claiming that more than half of Americans consider ice cream an evening snack, with an additional 25 percent classifying it as a late-night indulgence, and Mintel positioned it as the second-most-popular night snack choice (http://ibn.fm/K9MSq).
Nightfood’s ice cream flavors include chocolate, vanilla, chocolate chip cookie dough, decaf coffee, mint chip, ‘bed and breakfast’ and a variation of cookies and cream — all utilizing ingredients designed to be sleep-friendly, such as decaffeinated coffee, a strain of cherries that is naturally high in melatonin and low lactose and high-casein milk protein, along with minerals, enzymes and amino acids to make Nightfood a more appropriate ice cream before bed. The company’s website displays a standard ingredients label for each of the products (http://ibn.fm/VEkOz) and links to a number of media reviews that identify it as comparing well in flavor with premium brand ice creams.
“We looked at everything through the prism of sleep,” founder and CEO Sean Folkson stated in the Fast Company report. “It’s not about, like, dropping an Ambien or some sleep aid into the product; it’s about making ice cream in a way that’s less disruptive.”
Consumer research company Kantar awarded Nightfood with the ‘2019 Product of the Year Award’ in the ice cream category in its annual survey of over 40,000 consumers, and Nightfood is now working toward nationwide distribution in over 10,000 retail outlets by March 31 of next year. The company has already secured distribution in more than 13 states.
Nightfood is also exploring the booming potential of the cannabis food and beverage space through subsidiary MJ Munchies Inc., which aims to market legally compliant cannabidiol (CBD) and marijuana edibles and related products under the trademarked brand name “Half-Baked.”
A news release issued on March 19 noted that Folkson called into SmallCapVoice.com Inc.’s audio interview to discuss the ice cream rollout and a new equity investment from Cincinnati Bengals tight end Tyler Eifert, one of several athletes serving as a brand ambassador for the ice cream (http://ibn.fm/x9ngP).
As Folkson explained in the news release, “The Company is issuing debt to raise cash. Then, it is leveraging that cash in operations to increase the value of the company, and then repaying the same debt with stock at values based on its newly increased valuation. When done properly, this can result in less dilution compared to funding via a more traditional equity structure.”
For more information, visit the company’s website at www.Nightfood.com
NOTE TO INVESTORS: The latest news and updates relating to NGTF are available in the company’s newsroom at http://ibn.fm/NGTF