Download our latest Annual Report - Bakkavor
Download our latest Annual Report - Bakkavor
Download our latest Annual Report - Bakkavor
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BAKKAVOR ANNUAL REPORT AND ACCOUNTS 2012<br />
market trends<br />
OUR ABILITY TO TRANSLATE MARKET TRENDS INTO<br />
COMMERCIALLY-SUCCESSFUL PRODUCTS IS CRITICAL TO<br />
OUR LONG-TERM GROWTH, PARTICULARLY IN TODAY’S<br />
COMPETITIVE BUSINESS ENVIRONMENT.<br />
F<strong>our</strong> key macro trends are influencing consumer<br />
behavi<strong>our</strong> which, in turn, is shaping retail investment<br />
decisions. Ultimately these trends impact the foods<br />
which we develop and make at <strong>Bakkavor</strong>.<br />
Here we outline some of the key reasons behind <strong>our</strong><br />
focused investment in the fresh prepared foods market<br />
and summarise the macro trends which are influencing<br />
consumer trends, shaping retail developments and,<br />
ultimately, the foods that we make.<br />
4 key macro trends<br />
Health concerns, Societal & technological change,<br />
Financial insecurity and Environmental issues.<br />
6 key consumer trends<br />
Well-being, Time pressure, Indulgence, Ethical consumption,<br />
Expanding repertoires and Smart shopping.<br />
6 key retail trends<br />
Targeted health, Convenient shopping, Ethnic focus, Ethics &<br />
environment, Classic re-invention and Value & promotions.<br />
bakkavor action<br />
At <strong>Bakkavor</strong> we use <strong>our</strong> market insight and bespoke research to<br />
develop and launch commercially-successful products which meet<br />
the needs of today’s consumer and the growth aspirations of<br />
<strong>our</strong> retail and foodservice partners.<br />
why fresh prepared foods<br />
1<br />
2<br />
3<br />
4<br />
DYNAMIC & RESILIENT GROWTH<br />
The fresh prepared foods sector is one of the most dynamic and<br />
diverse in the food industry. It continues to grow faster than the<br />
overall food market by meeting consumer demand for high-quality<br />
food with fresh ingredients, alongside choice, convenience and<br />
value for money.<br />
TIME-SAVING & COST-SAVING LIFESTYLE CHOICE<br />
People are interested in new tastes and quality ingredients but<br />
do not always have the time, skill or budget to cook from scratch<br />
every day. Fresh prepared foods bridge this gap, increasingly<br />
becoming a lifestyle choice, due to their fresh appeal, ease of<br />
cooking (or preparing) and availability across a range of price tiers.<br />
STRATEGIC IMPORTANCE FOR PRIVATE LABEL GROWTH<br />
Fresh prepared foods are sold predominantly under retailer<br />
private labels and are an integral part of a retailer’s overall brand<br />
strategy. They enable retailers to differentiate themselves from<br />
their competitors, which is crucial in today’s challenging retail<br />
environment. Private label continues to gain share in developed<br />
countries around the world.<br />
BUILT ON LONG-LASTING RELATIONSHIPS<br />
Making fresh prepared foods under private labels brings with it<br />
the need for deep trust and understanding between suppliers<br />
and their customers. As products are made with fresh natural<br />
ingredients, suppliers must meet demanding customer<br />
specifications, involving day-to-day communication and excellent<br />
relationships. This is a barrier to entry rather than a risk.<br />
5<br />
BENEFIT OF SPEED TO MARKET<br />
Compared to manufacturer-branded products, fresh prepared foods<br />
give retailers the opportunity to launch differentiated private label<br />
ranges relatively efficiently and cost-effectively, allowing them to<br />
benefit quickly from the demand for high-quality, convenient foods<br />
with fresh ingredients.<br />
PAGE 29 VIEW THE FULL REPORT AT ANNUALREPORT12.BAKKAVOR.COM
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