Worldwide Business Information and Market Reports

Telephone +44 1404 891528 Fax +44 1404 891717 Email reportfinder @ tiscali.co.uk

Join the ReportFinder mailing list and be told of new reports

Email:

ISBN 1-85765-846-9

WANT TO BUY THIS? The easiest way is just to ring ReportFinder on +44 (0) 1404 891528 from 0900 to 1930 UK time and ask for Sales.Just one of a HUGE range of titles from publishers such as Aktrin, AMA Research, eMarketer, Key Note, MAPS, MBD, MSI and The Prospect Shop that you can BUY RIGHT NOW online from us. To buy or to browse further, use either of the Back To buttons below to activate our catalogue. If you would like to buy this title, you will find it in alphabetic order in the Index using the first Back To button. If you need further information, please contact us using the details at the top of this page. Please tell your colleagues if you find our site useful!

GO TO LATEST EDITION

Executive Summary

Table of Contents

Back to Retailing & Wholesaling Index and Shopping Cart

Back To REPORTFINDER home page and Search Engine

TABLE OF CONTENTS

Executive Summary

Market Overview

DEFINITION

INTRODUCTION

INDUSTRY STRUCTURE

TOTAL MARKET SIZE

MARKET SEGMENTATION

PEST ANALYSIS

KEY TRENDS

EUROPEAN PERSPECTIVE

Table 1.1: The Number of Food Companies in the UK, 1997

Table 1.2: The UK Food Manufacturing Industry, 1991-1997

Table 1.3: Breakdown of Food Manufacturing Enterprises by Turnover (£000), 1997

Table 1.4: Number of Enterprises and Local Units in Specific Food Manufacturing Sectors (excluding drinks), 1997

Table 1.5: Employment in Food-Related Sectors (000), December 1997

Table 1.6: Retail Sales Value - Predominantly Food Stores at Current Prices (£m and index 1990=100), 1992-1997

Table 1.7: Retail Sales Value - Predominantly Food Stores at Constant 1990 Prices (£m and index 1990=100), 1992-1997

Table 1.8: Growth in Sales of Large Food Stores and Small Food Stores (Index 1990=100), 1992-1997

Table 1.9: Sales Trends for Specialist Food Stores (£m), 1992-1997

Table 1.10: Origin of Purchases of Fresh and Frozen Food ( percent of female housewives), 1995-1997

Table 1.11: Own-Label Penetration TrendsÎ ( percent of sales), 1995-1998Å

Table 1.12: Main Media Advertising Expenditure on Food by Major Product Sector (£000), Year Ending March 1997 and 1998

Table 1.13: Consumer Expenditure on Food at Current Prices (£m at rsp), 1992-1997

Table 1.14: Consumer Expenditure on Food at Constant 1990 Prices (£m), 1992-1997

Table 1.15: Total Consumer Expenditure at Current Prices and percent Share Taken by Expenditure on Food (£m at rsp), 1993-1997

Table 1.16: Consumer Expenditure on Food by Major Sectors at Current Prices (£m at rsp), 1992-1997

Table 1.17: Share of Food Sales Taken by Major Sectors, ( percent) 1992, 1995 and 1997

Table 1.18: Consumer Expenditure on Food by Major Sectors at Constant 1990 Prices (£m), 1992-1997

Table 1.19: Per Capita Consumption Trends on Food by Major Sectors (ounces per person per week), 1992-1997

Table 1.20: Purchases of Selected Food and Food Products in the Last 12 Months ( percent of men), 1996

Table 1.21: UK Import and Export Trade by Major Food Sectors (£m), 1993-1997

Table 1.22: Grocery Price Inflation Trends ( percent change), 1997 and 1998

Table 1.23: European Union Industry Opinion Survey of Food, Beverages, and Tobacco Manufacturers - Responses from Selected European Countries,

January-March 1998

Table 1.24: Harmonised Indices of Consumer Prices for Food and Non-Alcoholic Beverages in European Union Countries ( percent change), May 1997-May 1998

Table 1.25: Ranking of Europe's Major Grocers by Food, Drink and Grocery Turnover, 1997

Key Note Field Research

INTRODUCTION

Table 2.1: Survey of Consumer Eating Habits ( percent agreeing), 1998

Table 2.2: I Eat a Cooked Breakfast on a Typical Day ( percent agreeing), 1998

Table 2.3: I Eat a Non-Cooked Breakfast on a Typical Day ( percent agreeing), 1998

Table 2.4: I Eat a Hot Lunch During a Typical Day ( percent agreeing), 1998

Table 2.5: I Eat a Prepared Lunch During a Typical Day ( percent agreeing), 1998

Table 2.6: I Eat an Evening Meal on My Own During a Typical Day ( percent agreeing), 1998

Table 2.7: I Eat an Evening Meal With Others During a Typical Day ( percent agreeing), 1998

Table 2.8: I Eat Fresh Fruit on a Typical Day ( percent agreeing), 1998

Table 2.9: I Eat Snacks on a Typical Day ( percent agreeing), 1998

Table 2.10: I Eat Takeaway Food on a Typical Day ( percent agreeing), 1998

Table 2.11: I Eat Convenience/Microwave Meals on a Typical Day ( percent agreeing), 1998

Table 2.12: I Eat Health or Organic Foods on a Typical Day ( percent agreeing), 1998

Table 2.13: I Eat Vegetarian Food on a Typical Day ( percent agreeing), 1998

Competitor Analysis

INTRODUCTION

LEADING FOOD MANUFACTURERS

RETAIL DISTRIBUTION

Table 3.1: The Leading UK Food Manufacturers by Turnover and Pre-Tax Profit (£m), 1997/1998

Table 3.2: Major UK Food Subsidiaries of Tomkins PLC, 1997

Table 3.3: Leading Grocery Retailers by Turnover (£bn), 1997

Table 3.4: Grocery Shopping Habits - Stores Used for Regular Major Shop ( percent of adults), 1997

Table 3.5: Leading Symbol Voluntary Groups and Buying Groups (number of members), 1997

Table 3.6: Leading Cash and Carry Operators (number of depots), 1997

Meat and Meat Products

DEFINITION

KEY TRENDS

MARKET SIZE

MARKET SEGMENTS

INDUSTRY STRUCTURE

MAJOR PLAYERS

BUYING BEHAVIOUR

FORECASTS

Table 4.1: Total Meat Available for Domestic Usage (000 tonnes), 1992-1997

Table 4.2: Trends in Market Share of Major Meats ( percent share), 1992, 1995 and 1997

Table 4.3: The UK Market for Meat and Meat Products by Value at Current Prices (£m at rsp), 1992-1997

Table 4.4: The UK Market for Meat and Meat Products by Value at Constant 1990 Prices (£m), 1992-1997

Table 4.5: Retail Price Indices for Meat and Meat Products (13th January 1987=100), March 1995-March 1998

Table 4.6: Imports and Exports of Meat and Meat Products (000 tonnes), 1992-1997

Table 4.7: Consumer Expenditure on Carcass Meat at Current Prices (£m at msp), 1992-1997

Table 4.8: Beef and Veal Supplies by Volume (000 tonnes), 1992-1997

Table 4.9: Mutton and Lamb Supplies by Volume (000 tonnes), 1992-1997

Table 4.10: Pork Supplies by Volume (000 tonnes), 1992-1997

Table 4.11: Consumer Expenditure on Poultry at Current Prices (£m at rsp), 1992-1997

Table 4.12: The Retail Poultry Market by Sector by Value ( percent), 1997

Table 4.13: Poultry Supplies by Volume (000 tonnes), 1992-1997

Table 4.14: Consumer Expenditure on Bacon and Ham at Current Prices (£m at rsp), 1992-1997

Table 4.15: Value Share of the Bacon Market ( percent), 1997Å

Table 4.16: Bacon and Ham Supplies by Volume (000 tonnes), 1992-1997

Table 4.17: Consumer Expenditure on Meat Products at Current Prices (£m at rsp), 1992-1997

Table 4.18: Number of Enterprises in the Slaughtering, Meat Processing and Poultry Processing Industries by Turnover (number and percent), 1997

Table 4.19: Main Media Advertising Expenditure on Meat and Meat Products (£000), Year to March 1997 and 1998

Table 4.20: Main Media Advertising Expenditure on Selected Brands of Meat (£000), Year to March 1998

Table 4.21: Per Capita Consumption of Meat and Meat Products (ounces per person per week), 1993-1997

Table 4.22: Consumption of Meat by Region (ounces per person per week), 1996

Table 4.23: Weekly Spending on Fresh Meat ( percent of female housewives), 1997

Table 4.24: Monthly Spending on Frozen Meat ( percent of female housewives), 1997

Table 4.25: Penetration and Profile of Bacon, Sausages, and Chilled Meat Pies by Age, Social Grade and Region ( percent of female housewives), 1997

Table 4.26: Penetration and Profile of Frozen Meat and Poultry by Age, Social Grade and Region ( percent of female housewives), 1997

Table 4.27: Penetration and Profile for Tinned Meat by Age, Social Grade and Region ( percent of female housewives), 1997

Table 4.28: Penetration and Profile for Corned Beef by Age, Social Grade and Region ( percent of female housewives), 1997

Table 4.29: Forecast Total Consumption of Selected Meats (000 tonnes), 1998-2005

Table 4.30: Forecast UK Consumer Expenditure on Meat and Meat Products at Current Prices (£m at rsp), 1998-2002

Fish and Fish Products

DEFINITION

KEY TRENDS

MARKET SIZE

INDUSTRY STRUCTURE

MAJOR PLAYERS

BUYING BEHAVIOUR

FORECASTS

Table 5.1: Consumption of Fish in the UK (000 tonnes and percent), 1992-1997

Table 5.2: Consumer Expenditure on Fish and Fish Products at Current Prices (£m at rsp and percent), 1992-1997

Table 5.3: Consumer Expenditure on Fish and Fish Products at Constant 1990 Prices (£m and percent), 1992-1997

Table 5.4: Retail Price Index for Fish (13th January 1987=100), March 1995-March 1998

Table 5.5: The UK Fish Market - Retail Sales by Product Sector ( percent share), 1997

Table 5.6: The UK Canned Fish Market by Product ( percent share of retail sales), 1997

Table 5.7: Imports and Exports of Selected Fish and Fish Products (£m and percent share), 1997

Table 5.8: Average UK Landings of Fresh and Frozen Fish per Month (000 tonnes), 1992-1997

Table 5.9: UK Fishing Fleet, 1991-1996

Table 5.10: Number of Enterprises in the Fish Processing, Preserving and Freezing Sector by Turnover (number and percent), 1997

Table 5.11: Main Media Advertising Expenditure on Fish and Fish Products (£000), Year Ending March 1997 and 1998

Table 5.12: Per Capita Consumption of Fish and Fish Products (ounces per person per week), 1992-1997

Table 5.13: Consumption of Fish by Region (ounces per week per person), 1996

Table 5.14: Consumption and Expenditure on Fish by Income Group (ounces and pence per person per week), 1996

Table 5.15: Purchases of Fish Products ( percent of female housewives), 1995-1997

Table 5.16: Regularity of Fish Portions Served ( percent of female housewives), 1997

Table 5.17: Penetration and Profile of Selected Fish Products by Age, Social Grade and Region ( percent of female housewives), 1997

Table 5.18: Penetration and Profile of Fresh Fish by Age, Social Grade and Region ( percent of female housewives), 1997

Table 5.19: Forecast UK Consumer Expenditure on Fish and Fish Products at Current Prices (£m at rsp), 1998-2002

Fruit and Vegetables

DEFINITION

KEY TRENDS

MARKET SIZE

INDUSTRY STRUCTURE

MAJOR PLAYERS

BUYING BEHAVIOUR

FORECASTS

Table 6.1: Consumption of Fruit and Vegetables in the UK (000 tonnes), 1994-1997

Table 6.2: Consumer Expenditure on Fruit and Vegetables at Current Prices (£m at rsp), 1992-1997

Table 6.3: Consumer Expenditure on Fruit and Vegetables at Constant 1990 Prices (£m), 1992-1997

Table 6.4: Breakdown of Fruit and Vegetable Sales by Value ( percent), 1997

Table 6.5: Retail Price Index for Fruit and Vegetables (13th January 1987=100), March 1995-March 1998

Table 6.6: Total Imports of Fruit and VegetablesÅ (£m), 1997

Table 6.7: Imports of Selected Fresh Fruits (000 tonnes), 1992-1997

Table 6.8: Imports of Selected Fruits, Nuts and Fruit Products (£000), 1997

Table 6.9: Imports of Selected Fresh Vegetables (000 tonnes), 1992-1997

Table 6.10: Total Exports of Fruit and VegetablesÅ (£m), 1997

Table 6.11: UK Gross Production of Fresh Vegetables (000 tonnes), 1993/1994-1996/1997

Table 6.12: UK Gross Production of Fresh Fruit (000 tonnes), 1992/1993-1996/1997

Table 6.13: Number of Enterprises in the UK Fresh Fruit and Vegetables Market by Turnover (number and percent), 1997

Table 6.14: Number of Enterprises in Fruit and Vegetables Processing/Preserving and the Manufacture of Fruit and Vegetable Juice by Turnover (£000), 1997

Table 6.15: Distribution of Fresh Fruit and Vegetables by Type of Outlet by Value ( percent share), 1994-1997

Table 6.16: Main Media Advertising Expenditure on Fruit and Vegetables (£000), Year Ending March 1997 and 1998

Table 6.17: Main Media Advertising Expenditure on Fresh Fruit and Vegetable Brands and Products (£000), Year Ending March 1997 and 1998

Table 6.18: Main Media Advertising Expenditure on Key Processed Fruit and Vegetable Brands (£000), Year Ending March 1997 and 1998

Table 6.19: Per Capita Consumption of Fresh Fruit and Vegetables (ounces per person per week), 1992-1997

Table 6.20: Per Capita Consumption of Fruit and Vegetables (ounces per person per week), 1992-1997

Table 6.21: Per Capita Consumption of Vegetables and Fruit by Region (ounces per person per week), 1996

Table 6.22: Per Capita Consumption of Fruit and Vegetables by Age (ounces per person per week), 1996

Table 6.23: Per Capita Consumption of Fruit and Vegetables by Income Group (ounces per person per week), 1996

Table 6.24: Household Expenditure on Fresh Fruit and Vegetables ( percent of female housewives), 1997

Table 6.25: Penetration and Profile for Fresh Fruit and Vegetables by Age, Social Grade and Region ( percent of female housewives), 1997

Table 6.26: Purchases of Selected Processed Fruit and Vegetables ( percent of female housewives), 1995-1997

Table 6.27: Penetration and Profile for Frozen Vegetables by Age, Social Grade and Region ( percent of female housewives), 1997

Table 6.28: Penetration and Profile for Tinned Vegetables by Age, Social Grade and Region ( percent of female housewives), 1997

Table 6.29: Penetration and Profile for Instant Potato by Age, Social Grade and Region ( percent of female housewives), 1997

Table 6.30: Penetration and Profile for Preserves and Tinned Fruit by Age, Social Grade and Region ( percent of female housewives), 1997

Table 6.31: Forecast UK Consumer Expenditure on Fruit and Vegetables at Current Prices (£m at rsp), 1998-2002

Dairy Products, Eggs, Oils and Fats

DEFINITION

KEY TRENDS

MARKET SIZE

INDUSTRY STRUCTURE

MAJOR PLAYERS

BUYING BEHAVIOUR

FORECASTS

Table 7.1: Consumer Expenditure on Dairy Products, Eggs, Oils and Fats at Current Prices (£m at rsp), 1992-1997

Table 7.2: Consumer Expenditure on Dairy Products, Eggs, Oils and Fats at Constant 1990 Prices (£m), 1992-1997

Table 7.3: Breakdown of the Dairy Products, Eggs, Oils and Fats Market by Value ( percent), 1992-1997

Table 7.4: Retail Price Indices for Major Product Groups (13th January 1987=100), Year Ending March 1995-1998

Table 7.5: Consumer Expenditure on Milk at Current Prices (£m at rsp), 1992-1997

Table 7.6: Breakdown of the Milk Market by Sector (£m at rsp and percent), 1997

Table 7.7: Consumer Expenditure on Cream at Current Prices (£m at rsp), 1992-1997

Table 7.8: Breakdown of the Cream Market by Sector (£m at rsp and percent), 1997

Table 7.9: Consumer Expenditure on Cheese at Current Prices (£m at rsp), 1992-1997

Table 7.10: Breakdown of the Cheese Market by Sector (£m at rsp and percent), 1997

Table 7.11: Consumer Expenditure on Yellow Fats at Current Prices (£m at rsp), 1992-1997

Table 7.12: Breakdown of the Yellow Fats Market by Sector (£m at rsp and percent), 1997

Table 7.13: Consumer Expenditure on Yoghurt and Chilled Desserts at Current Prices (£m at rsp), 1992-1997

Table 7.14: Breakdown of the Yoghurt and Chilled Desserts Market by Sector (£m at rsp and percent), 1997

Table 7.15: Consumer Expenditure on Eggs at Current Prices (£m at rsp), 1992-1997

Table 7.16: Imports of Selected Dairy Products (£000), 1997

Table 7.17: Exports of Selected Dairy Products (£000), 1997

Table 7.18: Number of Enterprises Producing Milk, Butter, Cream, Cheese and Other Dairy Products (number and percent), 1997

Table 7.19: Distribution of Liquid Milk to Households by Volume ( percent), 1996 and 1997

Table 7.20: Main Media Advertising Expenditure on Milk and Dairy Products (£000), Year Ending March 1997 and 1998

Table 7.21: Main Media Advertising Expenditure on Selected Brands of Milk, Cheese, Butter, Margarine, Cream and Yoghurt (£000), Year Ending March 1998

Table 7.22: Household Consumption of Milk and Cheese (pints and ounces per person per week), 1992-1997

Table 7.23: Household Consumption of Oils and Fats (ounces per person per week), 1992-1997

Table 7.24: Household Consumption of Eggs (per person per week), 1992-1997

Table 7.25: Purchases of Dairy and Fat Products by UK Households ( percent of housewives), 1995-1997

Table 7.26: Penetration and Profile for Milk and Cream by Age, Social Grade and Region ( percent of female housewives), 1997

Table 7.27: Fresh Milk Purchases per Day ( percent of female housewives), 1997

Table 7.28: Penetration and Profile for Cheese and Packeted Cheese/Cheese Spread by Age, Social Grade and Region ( percent of female housewives), 1997

Table 7.29: Cheese Usage by Pounds per Week ( percent of female housewives), 1997

Table 7.30: Penetration and Profile for Butter and Margarine by Age, Social Grade and Region ( percent of female housewives), 1997

Table 7.31: Penetration and Profile for Low-Fat Spreads, Dairy Spreads and Eggs by Age, Social Grade and Region ( percent of female housewives), 1997

Table 7.32: Penetration and Profile for Yoghurt, Tinned Milk and Cream by Age, Social Grade and Region ( percent of female housewives), 1997

Table 7.33: Yoghurt Usage by Cartons Purchased per Week ( percent of female housewives), 1997

Table 7.34: Forecast UK Consumer Expenditure on Dairy Products, Eggs, Oils and Fats at Current Prices (£m at rsp), 1998-2002

Bread, Cakes, Biscuits and Cereals

DEFINITION

KEY TRENDS

MARKET SIZE

INDUSTRY STRUCTURE

MAJOR PLAYERS

BUYING BEHAVIOUR

FORECASTS

Table 8.1: Consumer Expenditure on Bread, Cakes, Biscuits and Cereals at Current Prices (£m at rsp), 1992-1997

Table 8.2: Consumer Expenditure on Bread, Cakes, Biscuits and Cereals at Constant 1990 Prices (£m), 1992-1997

Table 8.3: Retail Price Indices for Bread, Biscuits, Cakes and Cereals (13th January 1987=100), March 1995-March 1998

Table 8.4: Volume Consumption of Bread and Morning Goods (million tonnes and percent), 1992-1997

Table 8.5: Consumer Expenditure on Bread and Morning Goods at Current Prices (£m at rsp and percent share), 1992-1997

Table 8.6: Consumer Expenditure on Biscuits and Cakes at Current Prices (£m at rsp), 1992-1997

Table 8.7: Household Consumption of Breakfast Cereals (£m at rsp), 1992-1997

Table 8.8: Imports of Selected Bakery Products (£000), 1997

Table 8.9: Number of Enterprises in the Bread, Fresh Pastry Goods and Cakes Sector by Turnover (number and percent), 1997

Table 8.10: Number of Enterprises in the Grain Milling/Cereals, Biscuits and Preserved Pastry Goods Sectors (number and percent share), 1997

Table 8.11: Share of UK Bread Market by Bakery by Value ( percent), 1997

Table 8.12: Share of UK Ready-To-Eat Breakfast Cereals Market by Value ( percent), 1997

Table 8.13: Main Media Advertising Expenditure on Bread, Cakes, Biscuits and Cereals (£000), Year Ending March 1997 and 1998

Table 8.14: Main Media Advertising Expenditure on Selected Brands of Bread, Cakes and Biscuits (£000), Year Ending March 1997 and 1998

Table 8.15: Main Media Advertising Expenditure on Kellogg's Ready-To-Eat Cereal Brands (£000), Year Ending March 1998

Table 8.16: Main Media Advertising Expenditure on Selected Brands in the Cereals Market (£000), Year Ending March 1997 and 1998

Table 8.17: Per Capita Consumption of Bread, Cakes, Biscuits and Cereals (ounces per person per week), 1992 -1997

Table 8.18: Long-Term Trends in Consumption of Bread and Morning Goods (ounces per person per week), 1950-1997

Table 8.19: Long-Term Trends in the Consumption of Breakfast Cereals (ounces per person per week), 1960-1997

Table 8.20: Usage of Bread and Related Goods ( percent of female housewives), 1995-1997

Table 8.21: Penetration and Profile for Bread and Biscuits by Age, Social Grade and Region ( percent of female housewives), 1997

Table 8.22: Penetration and Profile for Fresh/Packeted Cakes and Frozen Cakes by Age, Social Grade and Region ( percent of female housewives), 1997

Table 8.23: Penetration and Profile for Breakfast Cereals by Age, Social Grade and Region ( percent of female housewives), 1997

Table 8.24: Penetration and Profile for Flour, and Frozen and Packeted Pastry and Dough by Age, Social Grade and Region ( percent of female housewives), 1997

Table 8.25: Forecast UK Consumer Expenditure on Bread, Cakes, Biscuits and Cereals (£m), 1998-2002

Miscellaneous Foods

DEFINITION

SUGAR

MEAL ENHANCERS

READY MEALS

PIZZA

FOOD DRINKS

SOUP

RICE

PASTA

FORECASTS

Table 9.1: Consumer Expenditure on Sugar at Current Prices (£m at rsp), 1992-1997

Table 9.2: Consumer Expenditure on Sugar at Constant 1990 Prices (£m), 1992-1997

Table 9.3: Retail Sales of Sweeteners (£m at rsp), 1992-1997

Table 9.4: Per Capita Consumption of Sugar (ounces per person per week), 1992-1997

Table 9.5: Main Media Advertising Expenditure on Sugar and Artificial Sweeteners (£000), Year Ending March 1997 and 1998

Table 9.6: Forecast UK Consumer Expenditure on Sugar (£m), 1998-2002

Table 9.7: Penetration and Profile for Pour-Over Sauces, Cooking Sauces, Pickles, Chutney and Relish by Age, Social Grade and Region ( percent of female

housewives), 1997

Table 9.8: Penetration and Profile for Brown and Other Sauces, and Tomato Ketchup by Age, Social Grade and Region ( percent of female housewives), 1997

Table 9.9: Main Media Advertising Expenditure on Sauces (£000), Year Ending March 1997 and 1998

Table 9.10: Main Media Advertising Expenditure on Pickles, Dressings and Relishes (£000), Year Ending March 1997 and 1998

Table 9.11: Consumer Expenditure on Ready Meals at Current Prices (£m at rsp), 1992-1997

Table 9.12: Penetration and Profile for Ready Meals by Age, Social Grade and Region ( percent of female housewives), 1997

Table 9.13: Main Media Advertising Expenditure on Frozen Ready-to-Eat Meals (£000), Year Ending March 1997 and 1998

Table 9.14: Consumer Expenditure on Pizza at Current Prices (£m at rsp), 1992-1997

Table 9.15: Penetration and Profile for Pizzas by Age, Social Grade and Regionõ ( percent of female housewives), 1997

Table 9.16: Consumer Expenditure on Food Drinks at Current Prices (£m at rsp), 1992-1997

Table 9.17: Penetration and Profile for Milk Drinks (Including Chocolate and Cocoa) by Age, Social Grade and Region ( percent of female housewives), 1997

Table 9.18: Main Media Advertising Expenditure on Food Drinks Including Yoghurt Drinks (£000), Year Ending March 1997 and 1998

Table 9.19: Consumer Expenditure on Soup at Current Prices (£m at rsp), 1992-1997

Table 9.20: Penetration and Profile for Tinned Soup and Packet Soup by Age, Social Grade and Region ( percent of female housewives), 1997

Table 9.21: Main Media Advertising Expenditure on Canned Soups and Packet Soups (£000), Year Ending March 1997 and 1998

Table 9.22: Consumer Expenditure on Rice at Current Prices (£m at rsp), 1992-1997

Table 9.23: Penetration and Profile for Packeted and Loose Rice by Age, Social Grade and Region ( percent of female housewives), 1997

Table 9.24: Main Media Advertising Expenditure on Rice (£000), Year Ending March 1997 and 1998

Table 9.25: Consumer Expenditure on Dry and Fresh Pasta at Current Prices (£m at rsp), 1992-1997

Table 9.26: Penetration and Profile for Packeted Spaghetti, Macaroni, Other Pasta and Tinned Pasta by Age, Social Grade and Region ( percent of female

housewives), 1997

Table 9.27: Main Media Advertising Expenditure on Plain and Tinned Pasta (£000), Year Ending March 1997 and 1998

Table 9.28: Forecast UK Consumer Expenditure on Miscellaneous Foods (£m at rsp), 1998-2002

Strengths, Weaknesses, Opportunities and Threats (SWOT)

STRENGTHS

WEAKNESSES

OPPORTUNITIES

THREATS

The Future

FORECAST CONSUMER SPENDING

DEMOGRAPHIC AND SOCIAL FACTORS

Table 11.1: Forecast UK Consumer Expenditure on Food at Current Prices (£m at rsp), 1998-2002

Table 11.2: Forecast UK Consumer Expenditure in Key Food Markets at Current Prices (£m at rsp), 1998-2002

Table 11.3: Market Share of Selected Food Markets ( percent share), 1997 and 2002

Table 11.4: Demographic Trends and Projections (millions and percent), 1995-2011

Further Sources

ASSOCIATIONS

PERIODICALS

DIRECTORIES

GENERAL SOURCES

HBI UK INFORMATION SOURCES

GOVERNMENT PUBLICATIONS

OTHER SOURCES

Back to Top

EXECUTIVE SUMMARY

• INTRODUCTION
• MEAT AND MEAT PRODUCTS
• FISH AND FISH PRODUCTS
• FRUIT AND VEGETABLES
• DAIRY PRODUCTS, EGGS, OILS AND FATS
• BREAD, CAKES, BISCUITS AND CEREALS
• MISCELLANEOUS FOODS
• THE FUTURE

INTRODUCTION

Consumer spending on food, as defined by this report, came to £42.5bn in 1997, a modest increase of 1.3 percent on the 1996 total. Expenditure on food accounts for 8.4 percent of overall consumer expenditure, although this share has been falling in recent years as increases in disposable income, and to a lesser extent windfall payments, have encouraged consumers to spend a higher proportion of their earnings on other items such as holidays, consumer durables, financial services and leisure activities.

In terms of value, the largest sector of the market is meat and meat products, followed by fruit and vegetables, the latter sector being one of the fastest growing sectors in recent years. Food sales in 1997 were broken down as follows:

* meat and meat products -- 28.1 percent
* fish and fish products -- 4.8 percent
* fruit and vegetables -- 26.3 percent
* milk and dairy products -- 17.3 percent
* bread and bakery products -- 18.2 percent
* sugar -- 0.7 percent
* other food products -- 4.7 percent.

418,325 businesses are involved in farming, food production and food services, with an estimated 58.7 percent of these businesses in farming and food processing and the remaining 41 percent in activities such as retailing, wholesaling and catering. Over 1.6 million people were employed in the food, drink and tobacco industries in 1997, including 380,100 in manufacturing and 743,600 in food retailing.

While the UK has a well-established agricultural and food manufacturing base, it is relying more heavily on imported foods. The UK has an annual trade deficit in the food sector and in 1997 this deficit was an estimated £7.26bn.

MEAT AND MEAT PRODUCTS

In 1997, consumer spending on meat and meat products increased by 3.1 percent, a creditable performance given the bovine spongiform encepthalopathy (BSE) crisis of a few months earlier and the long-term decline in meat consumption. The volume of meat supplied to the UK market increased by 1.9 percent in 1997 mainly due to an increase in beef and veal supplies, and some increase in pork volumes. By the end of 1997, demand for beef was recovering and this recovery continued in early 1998.

The long-term problem for the meat industry is the decline in the consumption of carcass meat brought on by health issues, the move to lighter meals and snacking, and the decline of traditional meal occasions. In 1997, consumer spending on carcass meat was £3.42bn, almost unchanged from the previous year's total. There was some increase in sales of beef and pork, but lamb and mutton sales fell noticeably. In contrast, there has been long-term growth in the poultry market, although annual sales growth in 1997 was weaker than in earlier years. In 1997, the poultry market was valued at £2.18bn, an increase of 2.2 percent on 1996. Bacon sales fell slightly in 1997 to £1.7bn, but the meat products market continued to expand, reaching £4.64bn.

FISH AND FISH PRODUCTS

In 1997, both volume consumption and retail sales of fish and fish products fell, although the long-term trend is still one of substantial market growth. Volume consumption fell by 2.3 percent in 1997 to 431,000 tonnes, but this was still much higher than the consumption levels recorded at the beginning of the 1990s. Consumer spending on fish fell by 0.7 percent in 1997 producing a market valued at £2.06bn. These downturns in the market came at a time when fish prices have been increasing.

The market splits into fresh and chilled fish, with a 44.6 percent share of all retail sales, and frozen fish products accounting for the remaining 55.4 percent of sales. Traditional species such as cod, haddock and salmon dominate fresh and chilled sales, and many of the more exotic species launched onto the market have yet to create a strong consumer following. Frozen fish sales are being driven by fish-based ready meals and value-added products such as breaded and coated varieties. Canned fish sales have been improving boosted by convenience and health factors, with tuna and salmon still dominating sales.

Despite growth in the fish market in recent years, the UK fish industry is shrinking with a decline in fish landings by the UK fleet, a reduction in the UK fishing fleet of 24.1 percent between 1991 and 1996, and the disappearance of many smaller fish processing operations.

FRUIT AND VEGETABLES

In 1997, 8.1 million tonnes of fruit and vegetables were consumed in the UK of which 78 percent was fresh produce and 22 percent processed products. In the same year, there was a small increase of 1.2 percent in the value of the fruit and vegetables market from £11.03bn in 1996 to £11.16bn in 1997. The fortunes of the two core sectors of the market, however, varied considerably. Fruit sales increased by 7.6 percent in 1997 to £3.58bn, while the value of the vegetable market fell by 1.6 percent to £7.58bn.

Fruit sales, and particularly fresh fruit sales, have benefited from increased consumer awareness of health and nutrition issues, and the wider range of fresh produce available in supermarkets has also helped. The trend towards snacking, light meals and more lunchbox based meals, has also benefited the fresh fruit sector. In the vegetables sector, the core market is potatoes and the weakness of this market has been the main reason for the decline in vegetable sales. In 1997, sales of potatoes fell by 10.4 percent to £2.68bn. In contrast, sales of other vegetables increased by 4 percent to £4.9bn. While potatoes come under increasing pressure from other foods usually seen as healthier, such as rice and pasta. Many other vegetables and some fruit have increased sales due to greater awareness of health issues and more attention to fresh produce from the supermarkets. The convenience factor has also encouraged the availability of more vegetables in bags and prepacked packaging, such as prepacked salads, and this has also boosted sales.

The fruit and vegetables sector relies heavily on imported produce and, in 1997, imports totalled £3.77bn. With only limited exports, there was a considerable trade deficit of £3.36bn in this sector in 1997.

DAIRY PRODUCTS, EGGS, OILS AND FATS

The dairy products, eggs, oils and fats market consists of a series of diverse markets combining to produce sales of £7.33bn in 1997. This market value represented an decrease of 1.1 percent on the 1996 market value. The various segments of the market are: milk (43.5 percent of total sales); cream (2.1 percent); cheese (21.4 percent); yellow fats (12.7 percent); yoghurt and chilled desserts (13 percent); and eggs (7.2 percent).

The largest market sector is milk, a predominantly commodity-based sector where growth has been limited. In 1997, the milk market was valued at £3.19bn, a decline of 3.9 percent on the 1996 total. Consumers are increasingly switching from doorstep deliveries to purchases at supermarkets and price discounting has been a feature of the sector as individual supermarket chains strive for market share. There is also some overcapacity in the milk producing industry and the major operators have been involved in restructuring and rationalisation programmes. The second largest market sector is cheese, valued at £1.57bn in 1997. Value growth in the market was modest at just 1.4 percent in 1997 and there are signs that the market is polarising with standard, commodity-based blocks of cheese at one end of the market, and a growing premium and speciality cheese sector at the other.

The yoghurt and chilled desserts sector has been the most dynamic sector of the dairy products market in recent years, with new product launches and intense competition between brands and own-label products underpinning sales growth. Even this market, however, registered only a small increase in sales of 2.1 percent in 1997 and the market was valued at £956m.

BREAD, CAKES, BISCUITS AND CEREALS

The bread, cakes, biscuits and cereals market was valued at £7.72bn in 1997, representing a 1.2 percent increase on the 1996 market value. The market includes various sectors which are experiencing different levels of performance, from the traditional bread market which is struggling to grow sales to the dynamic breakfast cereals market where intense branding activity and new product developments (NPDs) are maintaining healthy sales growth.

Bread is probably the UK's most staple food, and household penetration is very high. Volume consumption of standard bread, however, is in decline and heavy price discounting in the bread and morning goods market by supermarkets has done little to help market growth. The bread market increased in value by 1.8 percent in 1997, to £2.13bn. The standard bread market appears to be static, but growth is expected in the premium bread and speciality breads market. These fixtures in supermarkets are extending their product ranges. There is also an expansion of morning goods ranges.

The biscuits and cakes market was valued at £2.46bn in 1997, although annual growth was again modest. There are signs that the biscuit market has become too overcrowded with too many brands and product lines, while cakes and biscuits are facing increasing competition from a range of other snack products.

The dynamic market sector remains breakfast cereals, with sales growth of 4.5 percent in 1997, and a market valued at £1.16bn. NPDs, merchandising activities and line extensions into cereal bars and miniversions of cereals for people on the move, have all contributed to sales growth.

MISCELLANEOUS FOODS

The miscellaneous foods sector includes various product categories experiencing strong sales growth, mainly due to their appeal as convenience foods. The main examples are:

* Ready meals, with sales passing the £1bn mark in 1997 to reach £1.13bn. Own-label sales dominate chilled ready meals, while frozen ready meal sales are mainly branded products. The ready meals sector is moving up-market with the growth of a premium sector.

* Meal enhancers (particularly cooking sauces), with sales valued at £470m in 1997.

* Retail sales of pizzas were valued at £404m in 1997.

* The soup market benefited from premium varieties and was valued at £415m in 1997.

* Pasta and rice sales offer convenience and healthy properties compared to traditional alternatives such as potatoes.

* The weakest market sector is sugar, with volume and value sales declining in 1997. Value sales fell by 13.5 percent in 1997, to £282m.

THE FUTURE

Key Note is forecasting a relatively small increase in food sales in 1998 of 2.8 percent, to produce a market valued at £43.68bn. Between 1997 and 2002, the market is forecast to increase by 15 percent with a forecasted market value of £48.82bn in the year 2002.

The growing number of working women, more single-person households, and an ageing population will all have a bearing on the food industry. More convenience foods and snacks will be demanded, along with healthier and more nutritious products. Premium markets should prosper, along with specialist areas such as fortified foods. The major growth areas are likely to be fruit and vegetables, bread and bakery products, and the selected miscellaneous food sectors.

Text © 1998 Key Note

Back to Top

Back To REPORTFINDER HOME PAGE

Ariadne - working together with our customers to enhance productivity and increase knowledge

© 1999 www.the-list.co.uk Ariadne

Last updated by Duncan Nottage 12th February 1999