The low carb fad is over. Baked goods are back in favor as consumers look toward glycemic indexes and the incorporation of more grains in their diets. While the category is one that experts see as mature, a quick rundown from industry analysts shows there is room for inventory improvements and innovations that will inspire sales.
The Bakery Aisle
Whole grains are expected to build interest in the baked goods category as consumers seek everything--from pancakes to muffins to cookies and crackers--packed with whole grains goodness. (Look for our feature on Great Grains next month.)
Manufacturers are working toward adding more grains into their recipes, and luckily, whole grains are much easier to incorporate than the reformulation of recipes to eliminate trans fats. According to Mintel's research, the number of whole grain bakery product introductions increased 530 percent from 2001 to 2005. This count actually includes a significant number of breakfast food items like waffles, pancakes, etc.
Consumers have shown a willingness to embrace healthier food products, although taste will always dominate, especially in a sweet and dessert category such as cakes and pies. The convenience of more grain products fits into their desire for more healthy solutions to be delivered through the foods they consume.
Minters Cookies U.S., Update, April 2005 reported that many of the new cookie product introductions in 2004-2005 were health-oriented innovations. Pepperidge Farm, for example, introduced sugar-free Chocolate Chip Chunk cookies, offering a healthier premium cookie option.
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A new report from Packaged Facts, Cookies in the U.S., reaffirms this healthy alternative. Removing trans fats, upscaling to gourmet and organic, and doubling the amount of chocolate in signature cookie brands may transform the U.S. cookie market. These are just a few of the upgrades making their way into best-selling cookie bags as marketers scramble to stave off sagging sales which saw the market drop from just over $6 billion in 2001 to $5.56 billion in 2005.
Packaged Facts estimates that total cookie sales declined by 8.25 percent in 2005, from their peak in 2001. Industry success, however, has been accomplished in so-called premium adult cookies where both industry leaders and boutique marketers have experienced growth. Similarly, sales growth experienced by individual marketers of natural and organic cookies attests to the fact that this market sector is no longer just a niche.
"While the extension of flagship brands such as Nabisco's Oreo and Pepperidge Farm's Milano lines have met with great success, these successes alone have merely slowed down the quickly eroding market," notes Don Montuori, the publisher of Packaged Facts.
Nutri-Grain cereal bars were created by the Kellogg Company and first introduced in the 1970’s Australia. They were later introduced to the United States and other countries. As more women began to work outside the home, the ritual of a family breakfast became obsolete as many individuals turned to quicker solutions for breakfast. The Nutri-Grain bar soon became popular as the on-the-go snack during the 1990’s. The cereal bar also comes in a variety of flavors that kids love, from blueberry to strawberry yogurt and has the texture a soft, homemade cookie. This television commercial centers on the theme of fostering a relationship between today’s kids and nature (see Appendix A). As the youth of today spends more time in the electronic world,
§ Consumer household penetration increased from 12 percent in 1983 to 20 percent in 1984, driven largely by placing cheese dips near salty snacks. The association between chips and dips was conveyed in promotions and in shelf placement.
of Philip Morris, said “People could point to these things and say, ‘They’ve got too much sugar, they’ve got too much salt […] well, that’s what the consumer wants, and we’re not putting a gun to their head to eat it. That’s what they want.” (Moss 267) However, consumers are being unconsciously forced to fund food industries that produce junk food. Companies devote much of their time and effort into manipulating us to purchase their products. For instance, Kraft’s first Lunchables campaign aimed for an audience of mothers who had far too much to do to make time to put together their own lunch for their kids. Then, they steered their advertisements to target an even more vulnerable pool of people; kids. This reeled in even more consumers because it allowed kids to be in control of what they wanted to eat, as Bob Eckert, the C.E.O. of Kraft in 1999, said, “Lunchables aren’t about lunch. It’s about kids being able to put together what they want to eat, anytime, anywhere” (Moss 268). While parents are innocently purchasing Lunchables to save time or to satisfy the wishes of their children, companies are formulating more deceiving marketing plans, further studying the psychology of customers, and conducting an excessive quantity of charts and graphs to produce a new and addictive
According to Michael Moss, during a meeting where huge food companies came together to discuss the issues of obesity in America, Sanger (head of General Mills) commented “Talk to me about taste and if this stuff tastes better, don’t go running around trying to sell stuff that doesn’t taste good.” (476) Sanger has a point, due to the fact that companies have tried selling healthier versions of their best-selling items. Yet I do agree with him that the companies marketing strategies should change. The junk food industry is targeting certain people to buy their products.
Although United Cereal’s products are diversified into many different types of foods and beverages, its main source of revenue remains the breakfast cereals market. The real challenge of this market is clearly seen in the European market, where the national tastes and breakfast traditions vary between countries. As a result, its approach in Europe is more complex than in the United States, which causes higher costs and slower processes.
Repeatedly the news will highlight a story about the obesity epidemic sweeping the nation. Although the news and health experts bombard the common citizen with quick and easy ways to eat healthier and exercise more, the source of the issue is kept hidden behind closed doors. Before placing blame on the eating habits, it’s essential to take a closer look at what is being consumed. With rapid change in the food industry, progress must be met with caution because “The way we eat has changed more in the past fifty years than in the past 10,000” (Pollan and Schlosser). It is easy for the common man to provide the blanket statement of eating “better”, yet few actually proceed to do this. The average American has one of the worst diets in the world although opportunity and variety of options are overwhelming. Food industries are deceiving by masking the true process of how their food is produced. Not only does the eye not see how the food was made, but there is also a false sense of variety in the grocery market. The grossly unbalanced American diets and genetically modified organisms both coexist to create a greater problem than previously thought of.
Food—it is that precious substance our bodies need to survive. Whether it brings feelings of nostalgia and comfort, or unites families together, we can all agree that food is a vital source of nourishment. However, our definition of food has changed drastically with the advent of modern technology, which has given rise countless food trends. The desire for the cheap mass-production of food has induced an unspoken transition from slow cooked chicken and steamed veggies to frozen tv-dinners disguised to look like actual food worthy of consumption. Hence, food trends and technology effects the way we produce, purchase, and consume food in the United States.
In order to assess the traits of a potential target market and the various trends and influences of the biscuit industry an interview with a member of one of the potential target markets will be analysed to identify the problems found within the market, motivations behind biscuit buying and the general wants and needs of this target market. This report focuses on primary research in the form of an interview that aims at discovering the specific issues and decisions made by individuals at each step of the consumer decision making process. The interview focuses on current trends within ...
The three chocolate chip cookie brands tested were Chips Ahoy!, Keebler’s Original Soft Batch, and Cub Foods brand. The three brands were rated on a scale from one to three (three being the best, one the worst) on their flavor, chewiness, and appearance. To score a three on flavor the cookie had to taste delicious and melt in your mouth like ice cream outside on a hot summer day. To score a three on chewiness, it had to be very soft like dough and take a long time to finish. Finally, to rate a three on appearance the cookie had to be very appealing to the taste tester and look delicious to eat. The brand of cookies that scored the highest in each category, I crowned the best chocolate chip cookie in America.
Market opportunities for breakfast cereals is vast, some segments of the market have been neglected, most notably that of the over-50’s. Insightful presentations were given at the “Older, Richer, Wiser” Conference that would suggest the over 50’s market segment is targetable.
Whole-grain wheat studies have increased over the years following the influx of cases of gluten intolerance and metabolic syndrome. Studies show that by eating whole-grain products can attribute to lowering the risk of cardiovascular disease. In comparison to eating white bread, wheat bread reduces total serum cholesterol level, LDL cholesterol, non-HDL cholesterol, triglyceride, body fat, and abdominal obesity (Mohammad, 2013). It also improved overall levels of vitamin B, calcium, and magnesium that the body needs to
Sugar or its evil twin, high-fructose corn syrup, is commonly packed into processed foods. The consumption of sugar is associated to devastating diseases such as heart disease, diabetes, obesity, and cancer. On top of that, processed food substances, high in sugar and artificial ingredients, can lead to overconsumption and become addictive. Food companies know that people’s appetites gravitate towards food that are sweet, salty, and high in fat, therefore they generate more “desirable” food, knowing that consumers will continue to eat these foods. Individuals need to avoid highly processed foods and search out healthier
The U.S. doughnut industry was a $5 to $6 billion market in 2003 2004 with a robust growth rate of 13%. Doughnut specialty stores were the fastest growing dining category in 2002 2003 with sales increases of 9% to approximately $3.6 billion. Opportunity for expansion in North America and globally is desirable. Doughnuts appeal to many people across all ages and demographics. The increasing rate of obesity and the concern about healthy living triggers a change in buyer demand toward a more health conscious diet.
The target market will be specifically made up of males and females ranging in ages from 18- 45. This segment was selected as many people younger than this age are still having their meals selected for them whereas those who are older than this bracket are seeking a healthier and more holistic lifestyle. For secondary target markets healthier products should be provided as well as products for children
Consumers’ growing appetite for foods that feel healthier, fresher and less processed is stronger than ever and growing steadily. This demand is seen in the marketplace with brands like Panera Bread eliminating any artificial ingredients and or preservatives from all menu items. Whole foods recently required all food vendors to eliminate artificial colors and preservatives in order to continue being sold in their stores.