grocery - food - Grandflame Ltd

Page 22 August 2010
Email: grocery@flame1.com MINTEL - WWW.MINTEL.COM
Tel: 01923 272960
Valued at £484 million, the male
grooming market in the UK has
grown only marginally - by just 3% -
over the last three years. Recession
and unemployment have not helped
this market with a lack of routine or
the need to look professional, behind
the slight decline in usage in the last
year. However, there are many positive
factors at play in the sector. A
rising interest in personal appearance
and a greater acceptability of
using skincare, together with
increasing information about
grooming in the media, and the
availability of an increasing range of
products are all contributing to a
growth of interest in the male
grooming market.
Exclusive research shows how
MEN'S GROOMING
appearance is as important to men as
it is to women. Today, almost six in
ten (57%) men exercise or do some
form of sport each week, while over a
third think it is important to keep
young-looking. Young men are of
greatest value to the grooming market
because not only are they more experimental
with their appearance and
spend more time on grooming, but
they are also more likely to use a
wider range of grooming products.
According to Mintel data, the
heaviest users of grooming products
in general are aged under 35. Two in
five men aged under 25 regularly use
more than four grooming products,
as do one third of men aged 25-34,
compared to just 8% over those aged
over 55.
In terms of skincare products, these
are particularly popular within the 25-
34 age group, with 47% of this group
using face creams and lotions, the
highest of any demographic group.
Looking at brand loyalty, this is relatively
high. As many as four in ten
men only use one brand in any given
category, this is highest among under
25s and 35s - which highlights why
this age group is so heavily targeted.
Much market potential lies with the
25-34 age group, which is predicted to
grow by 12% over the next five years.
These men are likely to be more concerned
over issues such as aging, they
are also young enough to be influenced
by media coverage of male
appearance.
Manufacturers are concentrating
their efforts on mainstream areas such
as skincare, deodorants and hair care.
Product launch activity is led by skincare,
from gradual tan moisturizers to
anti-ageing, as well as body lotions,
which accounted for a third of new
product launches in 2009. More than
half of launches have a herbal and
botanical claim. Accounting for 25p in
every £1 spent on men's grooming
products, skincare is very much the
focus of new product innovation.
Although growth has been steady for
the sector, it is expected to grow in
value.
The recession has indirectly contributed
to a decline in heavy users of
shaving products as being clean
shaven looks more professional and a
rise in unemployment reduces the
need to shave. However, luxury men's
skincare ranges are expanding and
they offers further scope for differentiating
brands.
CAKES & CAKE BARS
The cake & cake bars market grew
strongly over the last five years to
reach £1.6billion in 2009, with value
sales driven by rising ingredient
costs and the premiumisation trend.
Cakes and cake bars represent a
large and relatively mature market
which Mintel values at £1.63 billion in
2009. Sales remain buoyant with in
excess of two thirds of adults regularly
consuming cakes.
Portability has emerged as a key
issue for many consumers, particularly
the 3 million parents with
children under 4-years-old and the 3.8
million with children aged 5 to 9 years
old, which has helped increase sales of
cake bars and individually wrapped
cakes, the fastest growing segment of
the market.
Reformulations along the lines of
the fruit-based Evoid Cola, could help
drive further penetration of the school
lunch box market. Individually
wrapped cakes and cake bars have
already benefited from the perception
that they are less unhealthy than
crisps or chocolate.
Cakes targeted at specific occasions
such as Christmas or birthdays have
out-performed the market, benefiting
from a growing consumer interest in
celebrations such as Easter and
Halloween.
Half of consumers like to treat
themselves to cake from time to
time. But this sentiment is more
pronounced among older consumers
and those who tend to eat
or serve cake for special occasions
and afternoon tea.
Cakes are established snacks for the
home but have yet to reach the same
level of penetration in the on-the-go
snacking market. The snacking at
work occasion has the potential to
broaden the existing cake user base if
wrapped cakes and cake bars are
given greater prominent in office
vending machines.
Multiple retailers (80%) are the
dominant force for cake and cake bar
retailing, mirroring their strong position
elsewhere in the wider food
category. Cakes lend themselves well
to their sale through multiples given
their ease of display. However, there is
evidence that many multiples have
cut back on the number of cake and
cake bar lines that they stock during
the recession. Although they remain a
popular product to place alongside
morning goods and biscuits as well as
for end-of-aisle promotions, retailers
have chosen to drop some premium
lines as the recession took hold and
some consumers traded down.
The market for cakes and cake bars
is set to continue to evolve with health
an especially important area. Volumes
are set to remain largely stable with
added value the main driver in raising
the value of retail sales. Innovation is
set to continue as the sector looks at
ways of further stimulating sales from
consumers who, while they like to eat
cake, are changing the way they consume
the product. Areas such as
indulgence and crossover with products
outside of the cake market are set
to continue. Brands will strengthen
their presence as the recession fades
despite the efforts given recently by
retailers to improve the profile of
own-label.
EGGS
Eggs have experienced a revival in
sales, between 2007 and 2009 alone,
value sales of eggs went up by some
28%, while volume sales rose 5%.
Sales of eggs were pushed up as
consumers traded up to more expensive
free-range eggs, and poultry
farmers faced higher production costs
as poultry feed and energy prices
were pushed up.
Welfare issues have increased in
importance for consumers, today,
three quarters of Brits (73%) eat free
range eggs compared to a third who
eat battery eggs.
Barn eggs have slowly increased
their share of the market from a low
base; however egg producers have
been slow in communicating to consumers
what barn eggs are.
Today, almost 12 million consumers
feel own label eggs are no different
from branded ranges, with just 4 million
stating they prefer the branded
options.
The health benefits of eggs are an
important consideration for consumers,
recent studies have revealed
that eggs do not have a negative
impact on cholesterol levels, but are
actually good for health as they are
high in protein and fatty acids. Egg
producers should continue to reinforce
and communicate the nutritional
benefits of eggs as 17% of consumers
eat fewer eggs now as they feel they
are high in cholesterol.
Meanwhile, a third of consumers
eat eggs because of their protein
levels, with a further third eating eggs
as they understand they form an
important part of a healthy diet.
Consumers are 'creatures of habit'
when buying eggs - only 16% are
adventurous enough to have eaten
three or more different types of eggs
in the last year.
Eggs are primarily eaten for breakfast;
consumption is however higher
over the weekend (41%), compared to
the weekday (27%) when time pressures
restrict the amount of time spent
at the breakfast table.
The convenience of eggs appeals
to just under half of consumers,
due to their ease of preparation and
versatility.
Supermarkets remain the primary
distribution channel for eggs, with a
market share of 84%. With more
shelf space than independent
retailers, they are able to stock a
wider selection of egg types, both
branded and own-label, allowing
consumers to choose the type of egg
they want depending on their
budget.
Smaller independent retailers
stock a narrower selection of eggs,
and as these retailers are more often
used to top up a weekly shop, or in
emergencies, consumers have less
option but to buy whatever eggs are
available at the different price
points.
BRITAIN'S YOUNG ADULTS REFUSE TO FLY THE NEST FOR HOLIDAY TRAVEL
Holidays for the young aren't
what they used to be. Once Britain's
youth couldn't wait to escape their
parents to see the big wide world,
but now it seems the nation's young
adults would rather stay within safe
reach of mum's apron strings.
Indeed, new research from Mintel
finds there has been a dramatic
decrease in the number of young Brits
who feel the need to escape from their
parents when holidaying. In 2008,
over a third (36%) of Britain's youngsters
aged between 16 and 25 longed
to escape from their parents, but today
this figure has declined to just 23%.
It seems tough economic conditions
are having a strong influence on the
level of independence viable for
young holidaymakers, but that's not
the only influence. Indeed, almost a
fifth of Britain's young (18%) say they
can not afford to go on holiday
without their mum and dad - a figure
which is actually down six percentage
points (24%) since 2008.
Tom Rees, Senior Travel Analyst at
Mintel, said: "Young travellers are
becoming less negative towards the
idea of family holidays. While the
Recession may have played its part in
encouraging Britain's young adults to
get a paid for break with their family,
these figures highlight the fact that its
not about cost for those choosing to do
so. However, Recession-driven
recruitment freezes have hit graduates
particularly hard and created a real
fear that a 'lost generation' will be the
legacy - influencing both their attitudes
towards holidays and their
ability to travel.”
Meanwhile, almost a quarter (22%)
of this age group say that difficulty in
finding a job is making it harder to go
on holiday and almost one in ten
youngsters (9%) complain about
problems they have with student
loans which have made it harder to
go on holiday. And the future doesn't
look too bright for those parents
longing to return to a quiet break for
two, as around a quarter (23%) of
those aged between 16 and 25 admit
that they are likely to go on holiday
with their parents again in the future.
Holidaying with the family is not
just restricted to the younger end of
this age group and it seems gender is
also a factor. Almost four in ten (37%)
men aged between 21 and 25 admit to
having holidayed abroad with their
parents in the past three years, while a
further three in ten (31%) say they
have holidayed at home in the company
of mum and dad in the same
time. However, it seems that Britain's
young women, are showing greater
independence than their male counterparts,
as less than a third of women
aged between 21 and 25 (32%) have
holidayed abroad with their parents in
the last three years while a further
(25%) have holidayed at home in the
same company.
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