Abstract
Surveys repeatedly show that U.S. consumers believe fresh and locally grown
products are tastier and healthier than their packaged/processed counterparts.
High-quality perishables including fresh fruits, vegetables, and meats are in
fact among the top three reasons consumers choose a primary store for food
purchases, and nearly half of shoppers changed supermarkets during 2006 in
their quest for better produce. Accordingly, led by Safeway' s success with its
“Lifestyle Format” stores, an increasing number of mainstream
supermarkets are remodeling their stores to focus on freshness, while also
expanding their perishables and prepared foods departments. Also reflecting
the growing interest in fresh and local fare, farmers' markets are booming
across the nation, with their count swelling 40% between 2002 and 2006 as
consumers increasingly seek out local foods in a desire to get the freshest
products available and support their local economy.
Freshness also rates high with restaurant patrons, leading the list of menu
marketing claims in 2006, with more than 40% of consumers saying that fresh
produce offerings are “very much” a factor in which restaurant
they chose. “Local” foods are also being viewed in an increasingly
positive light, in a backlash to “industrial food” production' s
negative environmental impact, including excess packaging/waste and the high
level of fuel emissions stemming from the long distances many products travel
to reach consumers (aka “food miles”). Food safety concerns are
mounting as well, especially in light of the recent negative publicity
surrounding the contamination of much of the national spinach crop with E.
coli.
As a result of these trends, fresh and locally grown foods are fast becoming
issues that promise to provide compelling new marketing angles-but also
significant challenges-national food retailers, restaurants and other
foodservice providers, and packaged foods marketers, all of which are already
clearly intent on using these themes to position, romance, and market their
products.
Report Methodology
The information in Fresh and Local Foods in the U.S. is based on both primary
and secondary research. Primary research involved on-site examination of the
retail milieu, interviews with marketing, public relations and industry
analysts within the dairy market and consultants to the industry. Secondary
research entailed data-gathering from relevant trade, business, and government
sources, including company literature. Packaged Facts has derived mass
merchandiser sales figures from Information Resources, Inc. (IRI) InfoScan
sales-tracking data. Figures provided on national consumer advertising
expenditures are based primarily on data compiled by TNS Media Intelligence,
the leading provider of strategic advertising and marketing communications
intelligence. The analysis of consumer demographics derives from Simmons
Market Research Bureau survey data for fall 2006. New product information is
gathered via literature research, personal interviews and data compiled by
Productscan, a service of Datamonitor.
What You' ll Get in this Report
Fresh and Local Foods in the U.S. makes important predictions and
recommendations regarding the future of this market, and pinpoints ways
current and prospective marketers can capitalize on current trends and
spearhead new ones. Fresh and Local Foods in the U.S.-an all-new report from
Packaged Facts-provides an in-depth look at these major trends and examines
their implications from every angle:
- Overriding food industry trends and consumer attitudes toward
“fresh,” identifying relevant marketing issues and strategies.
- Farms, farmers' markets and community-supported agriculture programs
(CSAs).
- The full retail spectrum, from mainstream supermarkets and Whole Foods to
Wal-Mart, convenience stores, and e-commerce.
- Foodservice, from restaurants at all levels to institutional settings like
company cafeterias and colleges.
- Marketing and new product trends among packaged foods marketers, and what
the future holds for this booming business.