In the world of condiments, few have garnered as much attention in recent years as hot sauce. From the growth of sriracha to the popularity of the Hot Ones YouTube series, where celebrities are interviewed while eating some of the world’s hottest sauces, hot sauce has become more than a food item – it’s a pop culture phenomenon. And increasingly, it’s big business. In fact, according to research from Instacart, 74 per cent of Americans use hot sauce regularly, and 67 per cent said
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In the world of condiments, few have garnered as much attention in recent years as hot sauce. From the growth of sriracha to the popularity of the Hot Ones YouTube series, where celebrities are interviewed while eating some of the world’s hottest sauces, hot sauce has become more than a food item – it’s a pop culture phenomenon. And increasingly, it’s big business.In fact, according to research from Instacart, 74 per cent of Americans use hot sauce regularly, and 67 per cent said that they were passionate about their favourite brand of sauce.Huy Fong’s sriracha sauce is by far the most popular in the US, according to Instacart, but many smaller brands are finding success by giving customers what they want: typically, more heat and flavour.Australian entrepreneur Renae Bunster started making her own hot sauce following a trip to Mexico in 2011, eventually launching the brand Bunsters in 2015.“I was absolutely obsessed with it,” she told Inside FMCG. “None of the hot sauces on the market were full of flavour as well as heat, so I started making my own [and] it instantly took off among my friends.”Bunster said that her ‘Shit the Bed’ hot sauce was conceptualised after her customers continually asked her to “make it hotter”.“I was making what I’d call a ‘normal heat’ sauce, and they hassled me for about three years to make a hotter one before I finally did,” Bunster explained. The final result of this was the brand’s ‘Black Label’ sauce, which was the 7th hottest sauce on Hot Ones during 2018: a fact that gave the brand instant credibility.“We’re still dining out on that exposure,” she said. “It was the most stressful order we’ve ever gotten, but it was worth it.”It’s not all about heatAccording to data from Fortune Business Insights, the US market for hot sauces is projected to grow at a compound annual growth rate of 7.42 per cent between 2022 and 2030, when it is projected to be worth US$5.09 billion. Interest is growing in Australia, too. Despite being initially refused entry onto Australian supermarket shelves, Bunster noted that the hot sauce section at grocery stores is only growing. She said that changing tastes and preferences, as well as dietary understandings, are driving this across generations. “Thirty years ago people had jam on toast for breakfast. Nowadays they’re having eggs with hot sauce, because we’ve learned about sugar and carbs versus proteins,” Bunster said. “The hot sauce market is growing worldwide, and as big players like sriracha fail to meet the global demand they’ve created, it’s opened a space for smaller companies like us to take some shelf space.”However, according to Bunster, she isn’t focusing solely on creating the hottest sauce she can, which are largely purchased by fanatics and collectors. Rather, in order to maintain a healthy business, Bunsters focuses on creating ‘everyday’ sauces, as well as entering new verticals. For example, in 2020 the business launched a ‘Shit the Bed’ vodka, which performed well, but had limited applications, according to Bunster: “It was great in Bloody Mary’s, and that’s about it.”Now, the brand offers ‘Shit the Bed’ tequila, which is made specifically to be used in Margaritas, which are the most-ordered cocktails in bars. “We had some leftover Agave Spirit we had made, and just spiced it up. It’s a really nice drop,” she said. Rather than a traditional worm, Bunsters’ tequila has a witchetty grub, an Australian term for a large, moth larva, at the bottom.And Bunsters isn’t the only brand looking for new ways to expand the hot condiment aisle, and succeeding. For example, US brand Mike’s Hot Honey, which sells chilli-infused honey, recently said it will bring in more than US$40 million in revenue in the next year.Bunsters is planning on launching its own hot honey into the Australian market next year.What’s next?For Bunsters, the next step is to further expand its reach. Beyond sauces, tequila and honey, the brand is focusing on getting into more supermarkets and more kitchens. The brand’s products are stocked in Woolworths stores across Western Australia, and have sold almost 10,000 bottles in the first month. “We have our sights set on being ranged nationwide in Woolworths and Coles in the next 12 months,” Bunster said.“We’ve also just got ranged in seven different supermarket chains in the US, and we’ve only just started selling there. We’re price competitive with a really interesting product, so the sky’s the limit for us in the American market.”
