Growth Opportunities in Convenience Food and Drinks: Future trends and innovation strategies

Table of Contents

Executive Summary

21st Century Convenience

Changing consumer drivers in convenience

Innovation in convenience

Growth opportunities in convenience

Conclusions

Chapter 1 21st Century convenience

Summary

Introduction

What is convenience€

General definition

High and low level convenience

High level

Low level

Mainstreaming of convenience

The purchase to consumption chain

Preparation

Heating/cooling

Serving

The convenience market landscape

Convenience and health

Portioning

Food preparation

Convenience products going against health guidelines

Convenience and pleasure

Food preparation

Convenience is the dominant trend

Changing definitions of convenience

Top categories in convenient food and drinks

Lead regions in convenience food and drinks

Chapter 2 Changing consumer drivers in convenience

Summary

Introduction

Consumer drivers

Time spent on food preparation

Increased numbers of women working

Growth in single person households

Stress

Ageing population

Historical consumer drivers of convenience

Key marketing targets for convenient food and drinks

Changing meal occasions

Key features of convenient products

Portability

Time/speed

Choice

Other key features for convenience products

Chapter 3 Innovation in convenience

Summary

Introduction

Features of convenience categories

Preparation

Serving

Storage and portability

Lead categories

Ready meals

Healthy ready meals

Continuing premiumisation of ready meals

Snacks

Providing snacks with specific health benefits

Increase snack frequency in the morning and evening

Other top categories

Hot Drinks

Bakery and cereals

Dairy

Innovation in convenience food and drinks

Innovation in formulation

Innovation in packaging

Food safety

Product freshness

Recyclable packaging

The continued evolution of the sports cap

Plastic bottles to keep alcoholic drinks colder

The evolution of the can

Foodservice coming into food

Chapter 4 Growth opportunities in convenience

Summary

Introduction

Trends within convenient food and drinks

Fresh convenience

Dairy

Fruit and vegetables

Ready meals

On-the-go convenience

Snacks

Dairy

Bakery and cereals

Bite-sized and portion control

Snacks

Kids  convenience

Parental concerns for health

The evolution of the lunchbox

Lead categories

Ultra convenience

Case study- Nestle, Hot when you want

Personal food- customization

Meal kits

Chapter 5 Conclusions

Summary

Introduction

Key convenience food categories

Performance of the convenience market

Western Europe

Eastern Europe

Asia-Pacific

North America

South America

Development of the convenience market

The key trends in convenience

Glossary

Index

List of Figures

Figure 1.1: Examples of high and low level convenience

Figure 1.2: Purchase to consumption chain

Figure 1.3: Popeye Snacks Vegetables

Figure 1.4: I.C. Can

Figure 1.5: Mega-trends in NPD

Figure 1.6: The mega-trends overlap

Figure 1.7: Nichirei Calorie Select Retort Pack Meal

Figure 1.8: Royal Champignon Emince de Champignons

Figure 1.9: The most important of the mega-trends

Figure 1.10: Top convenient categories according to NPD data, 2002-2005

Figure 1.11: Kraft adapts convenience products to consumers changing needs

Figure 2.12: Time spent per day on food preparation

Figure 2.13: % of convenient products launched aimed at a particular consumer, 2002-2005

Figure 2.14: Most important consumer group for convenience food and drinks over the next 5 years

Figure 2.15: Important eating occasions for convenient products over the next 5 years

Figure 2.16: Changing importance of meal occasions

Figure 3.17: Features in terms of preparation

Figure 3.18: Features in terms of serving

Figure 3.19: Features in terms of storage and portability

Figure 3.20: Campbells Ignite Frozen Entree

Figure 3.21: Bija Healing Tea

Figure 3.22: Pasco Mainichi Seni Bread

Figure 3.23: Leerdammer Kase - Minis

Figure 3.24: Grainy Seasoning

Figure 3.25: Beanstalk Milk

Figure 3.26: Packaging innovation in product freshness

Figure 3.27: Aohata Super Fruity 34 Jam

Figure 3.28: Innovative recyclable packaging from Japan

Figure 3.29: Evolution of the sports cap

Figure 3.30: Coors Light Beer in a plastic bottle

Figure 3.31: Tetra Recart

Figure 3.32: Marks & Spencer Steam Cuisine

Figure 4.33: Significance of key convenience trends over the next 5 years

Figure 4.34: Dannon Frusion Smoothie Fruit n Yogurt Drink in 4-Pack

Figure 4.35: Fresh Snack Sweet N Easy Grape Tomatoes

Figure 4.36: Sainsbury s Fresh to Cook

Figure 4.37: Morinaga Aloe Yogurt Handy Style

Figure 4.38: Kelloggs DrinkN Crunch! Portable Cereal Meals

Figure 4.39: Nabisco 100 Calorie Packs

Figure 4.40: Evolution of the lunchbox

Figure 4.41: Yeo Valley Organic Thick Yogurt from 6 Months

Figure 4.42: Presidents Choice Mini Chefs Apples

Figure 4.43: Nabisco Kid Sense Fun Pack

Figure 4.44: Wolfgang Puck Gourmet Coffee

Figure 4.45: La Briute Shelf-Stable/Self-Heating Meal

Figure 4.46: Nestle "Hot when you want"

Figure 4.47: Spicy World Santa Maria Dinner Kit

Figure 4.48: Eat Smart Ready-to-Prepare Meal

Figure 5.49: Performance of the key convenient categories over the next 5 years

Figure 5.50: How industry executives expect the convenience market to perform in their region over the next 5 years

Figure 5.51: Features that will be the most important to the convenience market over the next years

Figure 5.52: The key trends in convenience

List of Tables

Table 1.1: Top convenient categories according to industry executives, (%)

Table 1.2: NPD leader in convenience food and drinks

Table 2.3: Prepared meals market value ($m and €m), 2004-2009

Table 2.4: Per capita spend on prepared meals (€/$), 2004

Table 2.5: Time structure used by employed men and women, hours and minutes per day

Table 2.6: Number of single person households in Europe (m), 1997-2007

Table 2.7: Stress of affluent consumers

Table 2.8: Population of over 50s , (mn), 2003-2008

Table 2.9: Historical consumer drivers of convenience

Table 2.10: The number of daily eating occasions, 2003-2008

Table 2.11: The significance of 4 key features to convenient products over the next 5 years, (%)

Table 3.12: Ready meals market value ($m and €m), 2004-2009

Table 3.13: The average daily snacking occasions per person per day, 2003-2008

Table 3.14: % of convenient product launches within drinks, 2002-2005

Table 3.15: % of convenient product launches within bakery and cereals, 2002-2005

Table 3.16: % of convenient product launches within dairy, 2002-2005

Table 3.17: % of types of innovation within convenient products

Table 4.18: Top categories in fresh convenience in terms of product launches, 2002-2005, (%)

Table 4.19: Top categories in "on-the-go" convenience interns of new product launches, 2002-

2005, (%)

Table 4.20: Top categories in portioned convenience, 2002-2005, (%)

Table 4.21: Top categories in kids convenience, 2002-2005, (%)