Velveeta launches queso in a jar, new Shells & Cheese varieties

Dive Brief:

• Kraft Heinz is bringing its Velveeta cheese brand into queso with three options — Jalapeno, Queso Blanco and Queso Con Salsa — in a resealable jar. 
• Velveeta also is launching two new varieties of Shells & Cheese — pizza and buffalo — marking the first additions to the lineup in twelve years. In addition, Kraft Heinz is introducing its first-ever Gluten-Free Shells & Cheese offering for the Velveeta brand. Kraft Mac & Cheese already has a gluten-free variety on the market.
• The new Velveeta products are the latest brand innovations for Kraft Heinz as it looks to generate $2 billion in incremental net sales by 2027.

Dive Insight:

With $27 billion in revenue last year, Kraft Heinz is optimistic it can squeeze more out of its portfolio of well-known household brands by stepping up innovation. 

Since September, Kraft Heinz has introduced plant-based versions of mac and cheese and Oscar Mayer hotdogs. It’s also released new Kraft Singles flavors for the first time in nearly 10 years and launched three major additions to its Crystal Light portfolio for the first time in more than a decade.

It makes sense for food and beverage companies to leverage their brand equity to broaden the consumer base or increase product usage opportunities.

Consumers looking to eat healthier or reduce their environmental footprint may be more inclined to turn to, at least occasionally, plant-based items. In the case of Crystal Light, the recent launches of Mixology, Immunity and Energy products give the brand additional attributes beyond hydration.

The innovation coming to Velveeta is no different.

Kraft Heinz said shoppers purchase 125 million pounds of Velveeta loaf each year. While the loaf queso recipe consumers use serves twenty people and is an option for large gatherings, the new resealable jars offer them a convenient way to enjoy their favorite cheese in small groups or on their own. As consumers look to snack more and value convenience in the products they buy, the jars are ideally positioned to benefit. 

The new varieties of Shells & Cheese give consumers eager for new flavors something different to try beyond the traditional cheese and noodles. And the Gluten-Free Shells & Cheese item caters to consumers looking to avoid the ingredient in their diet. 

Before Velveeta announced this new gluten-free variety, if a shopper needed or wanted to avoid gluten, they‘d often gravitate to another brand that does. With its recent Velveeta innovations, Kraft Heinz is removing barriers that might prevent an individual from consuming its brand.