UK: Frozen Food Sees Continued Growth
Whilst many parts of the grocery industry are seeing stagnant or falling sales, the value of the retail frozen food market is showing continued growth.
Kantar Worldpanel statistics for the 52 weeks to 14 September 2014 show the value of the frozen food market reaching £5.8bn, a 1.6% increase year-on-year.
The figures show that some sectors of the frozen food industry have excelled despite the wider grocery market stalling. The savoury food sector, which includes meat products, vegetarian products and pastries, was the strongest performing frozen retail category, achieving a yoy value growth of 4.9%. In addition, the volume of savoury food grew by 2.9% yoy. Frozen potato products also achieved a notable value growth, reaching 4.1% yoy. The British Frozen Food Federation (BFFF) said that innovation in NPD in these categories is likely to have contributed to this growth.
Ice cream, which has enjoyed consistent growth over the last six quarters,was another successful category achieving a yoy value growth of 3.8%.
Commenting on the statistics, Brian Young, chief executive of the BFFF said: “With opposing fortunes in the wider retail industry pitting the value retailers against the previously established big supermarkets, it is reassuring to see such consistency in the frozen food market.”
“Savoury, potato products and ice cream were the standout sectors but steady value growth was also witnessed in other sectors. Showing consumers are recognising the quality and benefits of using frozen products.”
Young added: “There are signs that life is returning to the economy, we predict the consistent growth in frozen food to continue alongside the resurgence. There are notable differences, unlike previous occasions the UK has emerged from recessions, which should stand frozen food in good stead. A developed knowledge and understanding of the valuable properties of frozen food should see the constant growth remain constant.”
NamNews – Friday 24th October 2014