Abstract
This report focuses on five major segments within the edible fats and oils market: mayonnaise; cooking and salad oil; olive oil; pan spray; and shortening. Besides presenting sales data on a segment-by-segment basis, the report considers a range of topics, including the following:
- The size of the market, and its potential for growth. How can a category that is built on "flavor neutral background products" stand out?
- What manufacturers and retailers can do to jump-start some segments, and clarify others. When is variety good, and when are there too many choices?
- The role of private label in an industry that is primarily commodity based. Is private label a "default" for lower priced products, or is it a secure, familiar name?
- The array of competing categories, and how they impact sales of fats and oils. How can fats and oils compete against everything from cooking tools to fat substitutes?
- Key brands, and the challenges they face. How do manufacturers compete against each other, and against private label? Do consumers see a difference?
- The impact of ethanol on the prices of vegetable oils. With corn and soy oil prices on the rise, what alternatives are left?
- Consumers' ambivalence to many segments (e.g. shortening, salad oil). What can make them return to these basics?
- The need for more consumer information and education in the olive oil segment. The fastest growing segment is poorly understood by consumers. How can manufacturers teach them which oils to buy, and how to use them?
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