Breaking flavor newsMcCormick + Unilever Foods agreement targets mid-2027 close2026 flavor of the year: black currantBreaking flavor newsMcCormick + Unilever Foods agreement targets mid-2027 close2026 flavor of the year: black currant
Company profile / Food & flavor

The Spice Jar Is Only Half the Story

The red-capped spice jar is only half the business. Behind it sits a global flavor laboratory that helps supermarkets, food factories and restaurant kitchens decide what the next bite should taste like.

Open an American kitchen cabinet and there is a fair chance a red cap is staring back. McCormick’s neat rows of paprika, cinnamon and garlic powder make the company seem pleasantly simple: buy plants, grind them, put them in jars. But the household label is merely the visible edge of a much broader machine. McCormick also builds the flavor inside products made by other companies - the seasoning on a snack, the profile of a beverage, the sauce behind a restaurant order. It sells taste under its own name and under the surface of somebody else’s.

That is the useful surprise in a 137-year-old business. McCormick is both a consumer packaged-goods company and an enterprise flavor partner. In fiscal 2025, the Consumer segment supplied 58 percent of sales. Flavor Solutions supplied the remaining 42 percent. One business wins a place on the shelf; the other works beside food scientists, chefs and product teams from first idea to factory launch.

$6.84BFiscal 2025 net sales
150Countries and territories, approximately
1889Founded in Baltimore

The two businesses in one bottle

The consumer side is a miniature map of the modern pantry. McCormick owns its namesake herbs and seasonings, French’s mustard, Frank’s RedHot, Cholula, Lawry’s, OLD BAY, Zatarain’s, Stubb’s, Thai Kitchen and Simply Asia. Outside the United States, the labels change: Schwartz in Britain, Ducros in France, Kamis in Poland, Club House in Canada, Vahiné desserts across Europe and Aeroplane Jelly in Australia. The corporate portfolio lists 32 brands, designed to feel local even when sourcing, research and distribution operate globally.

Flavor Solutions is less famous because invisibility is often the assignment. Its teams create dry and liquid flavors, coatings, seasonings, condiments and branded foodservice products for manufacturers and restaurant operators. The company’s Create IT process puts its researchers beside a customer’s people through concept, formulation and commercialization. A beverage needs fruit notes that survive processing. A protein snack needs flavor strong enough to cover an aftertaste. A restaurant chain needs the same sauce in hundreds of kitchens. These are chemistry, logistics and consumer-psychology problems disguised as lunch.

The pantry gets the publicity. The laboratory still fills nearly half the plate.
“Flavor is fully aligned with today’s health and wellness priorities.”Brendan Foley, chairman, president and CEO

The problem is not hunger. It is compromise.

McCormick’s customers are trying to satisfy contradictory requests. People want convenience without boredom, less sodium without less pleasure, familiar comfort with a flash of novelty, authentic global tastes at supermarket scale. Manufacturers also need clean labels, predictable costs, safe ingredients and formulas that behave after freezing, baking or months on a shelf. Home cooks simply want Tuesday’s chicken to taste better.

Flavor carries unusual leverage in that equation. It may represent a small share of a product’s weight, yet it can determine whether somebody takes a second bite or buys again. Herbs, spices, acids, aromas and heat can make vegetables more inviting or give reduced-sodium food a fuller impression. McCormick’s stated purpose - “To Make Life More Flavorful” - sounds breezy, but it describes a precise commercial job: reduce the sensory penalty of eating for health, value or convenience.

Its customers range from a shopper buying vanilla extract to a multinational redesigning a snack across several regions. Consumer products move through grocery stores, mass merchants, warehouse clubs, discount and drug stores and e-commerce. Flavor Solutions sells directly and through distributors to manufacturers and foodservice operators. Walmart alone accounted for about 12 percent of consolidated fiscal 2025 sales, a reminder that scale creates bargaining power on both sides of the shelf.

A feedback loop competitors must chase

McCormick’s distinction is not that it owns spice grinders. Regional suppliers can grind spices, store brands can undercut a national label, and ingredient specialists such as Kerry, Givaudan, IFF and Symrise possess formidable laboratories. The advantage is the overlap. McCormick can observe retail behavior, study menus, track cultural signals, formulate a product, source its ingredients, manufacture at scale and help a retailer manage the category. Its consumer brands produce information; its enterprise work deepens technical skill.

01 / ListenSpot consumer and menu signals
02 / CreateCo-develop and test a flavor
03 / ScaleSource, manufacture and distribute
04 / LearnRead repeat purchase and start again

The annual Flavor Forecast makes that loop public. Started in 2000, it has identified the rise of chipotle, pumpkin spice, ube, Korean barbecue and the sweet-spicy combination now called “swicy.” For 2026, McCormick chose black currant as Flavor of the Year, supported by three broader themes: attainable opulence, turning the simple into the spectacular, and “sauce from somewhere.” The language is playful; the application is serious. A forecast gives internal developers and business customers a shared brief for the next condiment, drink or limited-time menu.

The company has also tested computational help. Its work with IBM Research used years of formula and consumer data to suggest combinations a developer might not reach by instinct alone. The point was not to evict the chef. It was to narrow a huge possibility space, leaving people to taste, judge and refine. In flavor development, an algorithm can propose cumin on pizza; a human still has to want another slice.

Built by acquisition, held together by flavor

McCormick began with Willoughby M. McCormick selling extracts and spices door to door from a Baltimore basement in 1889. Fire destroyed the company’s building in 1904; it rebuilt on the same site in roughly ten months. Over the following century, the business expanded less by straying from flavor than by adding new versions of it.

The acquisitions tell the strategy. OLD BAY brought a Maryland icon. Zatarain’s added New Orleans meal solutions. The $4.2 billion purchase of Reckitt Benckiser’s food division in 2017 delivered French’s and Frank’s RedHot, moving McCormick deeper into condiments. In late 2020, it paid about $800 million for Cholula and $710 million for FONA, a clean and natural flavors specialist. One strengthened the shelf; the other strengthened the laboratory. In January 2026, McCormick paid $750 million for another 25 percent of McCormick de Mexico, taking control with a 75 percent stake and creating a larger platform for Latin America.

The pending transformation
~$20B

Combined fiscal 2025 revenue for McCormick and Unilever Foods. The proposed transaction is expected to close by mid-2027, subject to shareholder and regulatory approvals.

Then came the proposed leap. In March 2026, McCormick and Unilever agreed to combine McCormick with most of Unilever’s foods business, including names such as Hellmann’s and Knorr. The structure would leave Unilever shareholders with 55.1 percent of the combined company, McCormick shareholders with 35 percent and Unilever itself with 9.9 percent. The enterprise would keep the McCormick name, management and Hunt Valley headquarters, with an international headquarters in the Netherlands.

The logic is geographic and operational. Unilever Foods has reach in Latin America and Asia and strength in foodservice; McCormick has a stronger North American position and a record of integrating flavor brands. Management projects $600 million in annual run-rate cost synergies by year three. Those figures are a plan, not a result. Closing is targeted for mid-2027 and still depends on approvals. The complexity is real: joining organizations, systems and brands at that scale can overwhelm even a familiar strategic idea.

The farm behind the forecast

Flavor may be marketed in trend language, but it begins in soil. A global spice company is exposed to weather, water stress, crop disease, freight disruption and the livelihoods of farming communities. McCormick frames its sustainability work as “Purpose-led Performance,” covering people, communities and planet. In 2026 it described a partnership with PepsiCo and the Soil and Water Outcomes Fund to support regenerative practices in key U.S. sourcing regions. The practical goals are lower supply-chain emissions and more resilient farms.

This work is not ornamental. Agricultural conditions affect availability, quality and price; tariffs and conversion costs compressed gross margin in fiscal 2025. Responsible sourcing, water reduction, packaging and decarbonization have to compete with affordability and consistency. A jar that tastes identical every purchase depends on crops that never grow under identical conditions.

Inside the company, the cultural vocabulary is “Power of People”: inclusion, employee listening, development and shared influence over direction. That heritage traces partly to Charles P. McCormick, the founder’s nephew, whose participative management ideas helped shape the company in the 20th century. Today, approximately 15,000 employees turn that idea into the less romantic tasks of sensory panels, procurement, food safety, factory operations, brand management and sales.

Where McCormick fits now

McCormick occupies an unusual middle ground. It is a household-products company without depending on a single household name, an ingredient supplier with brands consumers request, and a global manufacturer whose raw materials remain tied to particular climates and cultures. Private labels challenge it on price. Big food companies contest shelf space. Flavor houses compete for technical briefs. Its answer is to connect all three arenas.

For a cook, the value is immediate: a reliable shortcut to a particular taste. For a retailer, it is a managed category filled with recognizable labels and new occasions. For a manufacturer or restaurant, it is the ability to move from an idea to a repeatable formula with one partner. McCormick does not need every forecast to be prophetic. It needs enough of its accumulated knowledge - consumer data, culinary judgment, chemistry, sourcing and scale - to make the next product less of a guess.

That is what the red cap conceals. The jar is not just a product. It is the public face of a system built to notice what people want, translate it into something manufacturable and deliver the same sensation millions of times. The spice aisle looks static. McCormick’s business is anything but.

Food manufacturingConsumerFlavor scienceSupply chainMaryland