Innovation in Gourmet and Specialty Food and Drinks: Market evolution and NPD In Super-premium and Healthy Products

Published by: Business Insights

Published: Jul. 1, 2006 - 154 Pages

Table of Contents

Executive Summary

Market developments

Growth opportunities in gourmet and specialty food and drinks

NPD and innovation

Key trends in gourmet and specialty food and drinks

Conclusions

Chapter 1 Introduction

What is this report about?

Research methodology

Report structure

Chapter 2 Market developments

Summary

Introduction

Converging mega-trends in the food and drink industry

What is sensory delivery?

Gourmet and specialty food and drink defined

The convergence of indulgence, health and convenience

The democratization of luxury

Luxury labors lost

When premium is not genuinely premium

When premium features are adopted by mainstream manufacturers

Capturing and maintaining the premium position

How manufacturers are using innovation to maintain premium

Integrating premium benefits into the mainstream

Commanding a price premium - style or substance?

Super-premium occasions are growing

Chapter 3 Growth opportunities in gourmet and specialty food and drinks

Summary

Introduction

Gourmet and specialty food market value

The rise of the affluent discerning consumer

Premium-seeking consumers defined

Educated cosmopolitans

Urban singles

Wealthy seniors

Dining out on gourmet and specialty foods

Increased exposure to new food cultures

Population migration introduces consumers to new ethnic foods

Ethnic variety in the US boosts demand for specialty foods

Global travel leads to food sophistication

Chapter 4 NPD and innovation

Summary

Introduction

Growth of gourmet and specialty food and drinks in terms of new product launches

Share of gourmet and specialty categories

Category analysis

Bakery and cereals

Confectionery

Dairy

Ready meals

Snacks

Soft drinks

Alcoholic drinks

Growth opportunities in gourmet and specialty food and drinks

Regional analysis

Europe

North America

Asia-Pacific

Innovative gourmet and specialty food and drinks

Innovation in formulation

Super-premium ingredients

Indulgence combined with health and wellbeing

Innovation in packaging

Portability

Flavor release

Design aesthetics

Innovation by category

Sweet and savory spreads

Fruit and vegetables

Product tags on gourmet and specialty food and drinks

Flavor trends

Chapter 5 Key trends in the gourmet and specialty food and drinks market

Summary

Introduction

Gourmet with health and wellbeing

Health

Functional gourmet food and drink

Food and drink targeting wellbeing

The debit/credit healthy living lifestyle

Lifestyle products

Fashion accessory packaging

Urban lifestyle products

Chapter 6 Conclusions

Summary

Introduction

The development of the gourmet and specialty market

Super-premium

Unusual and exotic ingredients

Provenance

Co-branding

Health and wellbeing

Functional ingredients

Wellbeing benefits

Debit/credit living

Urban lifestyle products

Key features for future gourmet and specialty food and drinks

Customization

Interactivity

Portability

Accessorization

In conclusion

Index

List of Figures

Figure 2.1: Mega-trends in food and drink

Figure 2.2: Green tea products combining sensory, health and convenience benefits

Figure 2.3: Premiumization strategies in the chocolate confectionery market

Figure 2.4: Premium soups

Figure 2.5: Nivea products containing CoQ10

Figure 2.6: Calbee Potato Chips

Figure 2.7: Danone product propositions rollout throughout the globe

Figure 2.8: Fior Brands Cinzano Spritzz-Up - a lifestyle product

Figure 2.9: Level of benefit versus level of premium in spreads

Figure 2.10: Premium pricing for Flora variants delivering high level health benefits

Figure 3.11: Gourmet food and drink products inspired by foodservice

Figure 3.12: US restaurant sales, ($bn), 1970-2006

Figure 3.13: US population by race and Hispanic origin, 2000-2010

Figure 4.14: % growth of gourmet and specialty food & drinks in terms of new product launches, 2003-2006

Figure 4.15: Share of gourmet and specialty food and drinks launched, (%), 2001 and 2006

Figure 4.16: % of product launches in each category that are gourmet, 2001-2006

Figure 4.17: New World Morning Instant Quinoa Hot Cereal and Soy-Full Heart Flatbread

Figure 4.18: Game Face Sports Performance Gum and Ace It! Test Performance Gum

Figure 4.19: Emmi MiniCol and Hahn’s Yogurt & Cream Cheese

Figure 4.20: Mollie’s Natural Kitchen soup and Savvy Faire Low-Glycaemic Frozen Entree

Figure 4.21: Jack Link’s Premium Cuts Tender Cuts Meat Snacks and Sahale Snacks

Figure 4.22: Stirrings Cocktail Essences

Figure 4.23: Three Sixty Vodka

Figure 4.24: Market opportunity of gourmet food and drink categories, current market value vs. potential market value

Figure 4.25: % of gourmet & specialty food & drinks product launches in Europe, 2001-2006

Figure 4.26: Belvedere Vodka and Sauza Hacienda Tequila

Figure 4.27: % of gourmet & specialty food & drinks product launches in North America, 2001- 2006

Figure 4.28: Gourmet and specialty sauces, dressings and condiments launched in North America95

Figure 4.29: % of gourmet & specialty food & drinks product launches in Asia-Pacific, 2001-2006

Figure 4.30: Frozen dessert launches in the Asia-Pacific region

Figure 4.31: Gourmet and specialty food and drink products with super-premium ingredients

Figure 4.32: Caffe Sanora Coffee

Figure 4.33: Innovative packaging to enhance consumption on-the-go

Figure 4.34: Innovative flavor release packaging

Figure 4.35: Imported Single Estate Pure Rye Exquisite Polish Vodka and Nirmala’s Kitchen Sea Salts

Figure 4.36: Innovation in gourmet and specialty food and drinks categories, 2001-2006

Figure 4.37: Innovative ingredient combinations in sweet and savory spreads

Figure 4.38: Schroom Powder

Figure 4.39: Pomegranate juice as a drink product and an ingredient

Figure 5.40: Woodstock Water Buffalo Omega-3 Fortified Yogurts

Figure 5.41: Pukka Organic Herbal Blends

Figure 5.42: Hellmann’s ads recognize the inner battle consumers experience when making healthy food choices

Figure 5.43: Gleukos performance drink and G-1 Sugar-Free Gum

Figure 5.44: Cocktails by Jenn Vodka Drinks and OGO Oxygen water

Figure 5.45: OGO advertising

Figure 6.46: Xango mangosteen juice

Figure 6.47: Key features in gourmet food and drinks

List of Tables

Table 2.1: Value of super-premium occasions by category ($m), 2004-2009

Table 3.2: The value ($bn) of specialty food and drinks markets, by country, 2004-2009

Table 3.3: Number (m) of overall US and European premium occasions, by category, 2004-2008

Table 3.4: GDP at PPP per head in, $, 2004-2008

Table 3.5: Wealth groups in the US, (m), 2000-2005

Table 3.6: Wealth groups in Europe, (m), 2000-2005

Table 3.7: Number of key premium seeking consumer groups, (m), 2004-2008

Table 3.8: World’s top ten tourism destinations

Table 3.9: International tourist arrivals by region of origin, 2000-2004

Table 4.10: % of types of innovation within innovative gourmet and specialty products, 2001-2006

Table 4.11: Top 25 product tags on gourmet & specialty food & drinks, 2003-2006

Table 4.12: Top 20 flavors in gourmet & specialty food & drinks, 2003-2006

Table 5.13: Value of healthy indulgent food occasions, ($bn),

Table 5.14: Value of non-healthy-indulgent (either healthy or indulgent) food occasions ($bn), Europe and US, 2005-2010

Abstract

• The specialty food and drinks market in Europe and the US is forecast to be worth almost $120bn by 2009, with 5% CAGR between 2004 and 2009.
• The two wealthiest groups of consumers 'Affluent' and 'High
Worth' have grown in number by a almost quarter across Europe and the US since the year 2000. By 2005 these groups had grown by 24% to 44.9m in the US and by 25% to 39.3m in Europe.
• Gourmet and specialty food and drinks share of new product launches grew across all categories between 2003 and 2006, except for bakery and cereals. Alcoholic drinks had the greatest increase in terms of the share of launches (35.3%).
• The value of separate healthy and indulgent occasions across
Europe and the US will grow by 2.6% in the five years to 2010 whilst combined healthy-indulgent occasions will only grow by 0.6%.

• The convergence of health and indulgence. A general rise in incomes and increased exposure to foreign foods has been driving demand for premium and ethnic products with sensory benefits. To enhance their proposition gourmet and specialty foods manufacturers are adding health benefits.
• Democratization of luxury. Everyday luxury is eroding the premium proposition and requiring gourmet and specialty food and drink manufacturers to drive innovation upscale to super-premium.
• Design aesthetics. Manufacturers are devoting as much effort to the aesthetics of their packaging as product formulation. Drinks manufacturers have been the most innovative often engaging architects and three-dimensional designers to craft their packs.
• Functional ingredients are being used to add value to the premium proposition to meet consumer expectations for the delivery of specific health benefits.

About MarketResearch.com
MarketResearch.com is an online aggregator selling over 160,000 market research reports, company profiles and country profiles from over 600 research firms. Our reports will provide you with the critical business and competitive intelligence you need for strategic planning and marketing research. Coverage includes the US, UK, Europe, Asia and global markets.