Food and Drinks NPD - A Review of Key Trends - Germany - December 2007

Table of Contents

• Issues in the Market
• Definition
• Consumer research
• Abbreviations
• Market in Brief
• Germany has a high demand for healthier food alternatives
• However, demand for indulgence is equally strong
• Nestlé remains Germany' s top innovator
• Internal Market Environment
• Key Points
• Germans stick to brands they know, rather than experimenting
  • Figure 1: Attitudes towards new products, by country, 2006
• But willingness to experiment is increasing
  • Figure 2: Attitudes towards new products, Germany, 2001-06
• Who is most open to trying new products
  • Figure 3: Attitudes towards new products in Germany, by demographic sub-group, 2006
  • Figure 4: Attitudes towards new products in Germany, by demographic sub-group, 2006
• Food as medicine, and cosmetics?
• Rising obesity helps weight management foods
  • Figure 5: Lifestyle factors, by country, 2006
  • Figure 6: Change in lifestyle factors, Germany, 2002-06
• Food miles awareness grows
• Eating habits change, more or less depending on status and lifestage
  • Figure 7: Eating patterns, by country, 2006
  • Figure 8: Eating patterns, 2001-06
• Broader Market Environment
• Key Points
• Rising number of elderly Germans shape demand
  • Figure 9: Trends in German population, by age, 2002-12
• Employment and amount of income is crucial for the success of NPD
  • Figure 10: Trends in German employment, by gender, 2002-12
• Time for premium own-label lines?
  • Figure 11: Trends in German PDI, consumer expenditure and GDP, at current prices, 2002-12
• Smaller households less likely to experiment
  • Figure 12: Trends in number of German households, by size, 2000-04
• Leading Food Markets for New Product Development
• Key Points
• Avoiding fats and sugar -- dairy and confectionery lead for NPD
  • Figure 13: Leading product categories for new product development, 2003-07
• Chocolate confectionery -- premium, natural and seasonal
  • Figure 14: German retail value sales of chocolate confectionery, at current and constant prices, 2002-12
  • Figure 15: Penetration of chocolate confectionery, 2002-07
• Cheese
  • Figure 16: German retail value sales of cheese, at current and constant prices, 2002-12
  • Figure 17: Penetration of cheese, 2002-07
• Yogurt -- not benefiting as well as it should from health awareness
  • Figure 18: German retail value sales of yogurt, at current and constant prices, 2002-12
  • Figure 19: Penetration of yogurt/fromage frais, 2002-07
• Ready meals
  • Figure 20: German retail value sales of ready prepared meals, at current and constant prices, 2002-12
  • Figure 21: Penetration of ready prepared meals, 2002-07
• Meat products
• Sugar confectionery
  • Figure 22: German retail value sales of sugar confectionery, at current and constant prices, 2002-12
  • Figure 23: Purchasing of non-chocolate sweets (including sweets for children), 2002-07
• Sweet biscuits/cookies -- healthier and premium
  • Figure 24: German retail value sales of sweet biscuits and cookies, at current and constant prices, 2002-12
  • Figure 25: Penetration of sweet biscuits, 2002-07
• Baking ingredients and mixes -- reviving the art of home baking
  • Figure 26: German retail value sales of baking ingredients and mixes, at current prices, 2004-07
• Cakes, pastries and sweet goods -- fighting an outdated image
  • Figure 27: German retail value sales of cakes, at current and constant prices, 2002-12
• Chilled desserts
  • Figure 28: German retail value sales of chilled desserts, at current and constant prices, 2002-12
  • Figure 29: Penetration of ready-to-eat desserts, 2002-07
• Factors used in the forecasts
• Leading Product Claims for New Product Development
• Key Points
• Low fat is the prime product benefit
  • Figure 30: Leading claims for new product development, Germany, 2003-07
• More ' natural' products exclude additives
• Fortified foods can appeal to very specific age groups
• Low-sugar also important for healthy eaters
• Convenience through faster cooking times
• Leading Companies for New Product Development
• Key Points
  • Figure 31: Top 15 companies for new product development, 2003-07
• Nestlé
• Unilever
• Dr. Oetker
• Plus
• Lidl
• Kraft Foods