Convenience Eating - Germany

Published by: Mintel International Group Ltd.

Published: May. 1, 2008 - 69 Pages

Table of Contents

Issues in the Market

Definition

Consumer research

Abbreviations

Market in Brief

2007 has higher growth rates than previous two years

Convenience and naturalness can marry

Consumer demand for healthy convenience drives chilled lines

Single portions and healthier versions are in demand

Market leaders focus NPD on healthier versions

Chilled, free-from and organic lines will increase

Internal Market Environment

Key points

Not all meals have to be fast, though some do

Return to quality can be exploited

Health and fitness campaigns challenge suppliers…

…while TV chefs encourage people to eat fresh, home-made dishes

Engaging consumers

Growing number of Germans opt for take-away and fast food

Figure 1: Trends in frequency of eating fast foods and eating out, 2004-07

Rising ownership of microwaves and freezers

Frozen foods enjoy a good reputation

Figure 2: Ownership of microwave ovens, freezers and combined fridge/freezer, by country, 2007

Figure 3: Trends in ownership of microwave ovens, freezers and combined fridge/freezer, 2002-07

Ownership of microwave ovens and freezers linked to affluence

Figure 4: Ownership of microwave ovens, freezers and combined fridge/freezer, by demographic sub-group, 2007

Broader Market Environment

Key points

Ageing population hampers volume sales of most convenience options

Figure 5: Trends in German population, by age, 2003-13

The time-poor like convenience foods

Figure 6: Trends in German employment, by gender, 2002-12

No economic improvement

One-person households are a key user group

Figure 7: Trends in number of German households, by size, 2002-06

Figure 8: Profile of one-person households, 2007

Who’s Innovating?

Key points

Focus on health and quality

Figure 9: Positioning of new launches of convenience foods*, top 20, Germany, 2005-07

Ready meals

Pizzas

Soups

Cooking sauces

Market Size, Segmentation and Forecast

Key points

Strong demand for ready meals and pizza, but soup suffers from old-fashioned image

Smaller portions are popular

Organic plus convenience is a winning ticket

Ready meals

Figure 10: German retail value sales of ready meals, at current and constant prices, 2003-13

Figure 11: Growth in retail value sales and consumer base for ready meals, 2002-07

Healthier versions

Figure 12: German retail value sales of ready meals, by type, 2005-07

Ambient ready meals in the lead, but with a lower quality image

Frozen ready meals - from standbys to everyday

Chilled ready meals - the quality option?

Pizza

Figure 13: German retail value sales of pizza, at current and constant prices, 2003-13

Figure 14: Growth in retail value sales and consumer base for pizza, 2002-07

Frozen lines dominate

Figure 15: German retail value sales of pizza, by type, 2005-07

Figure 16: German retail value sales of pizza, by type, 2005-07

Soup

Figure 17: German retail value sales of soup, at current and constant prices, 2003-13

Figure 18: Growth in retail value sales and consumer base for soup, 2002-07

In need of modernisation

Figure 19: German retail value sales of soup, by type, 2005-07

Improving quality

Cooking sauces

Figure 20: German retail value sales of cooking sauces, at current and constant prices, 2003-03

Figure 21: Growth in retail value sales and consumer base for cooking sauces, 2002-07

Figure 22: German retail value sales of cooking sauces, by type, 2005-07

Targeting singles

Prospects

Volume growth will be hard to achieve, but premiumisation might bring value growth

German cuisine seeing a resurgence

Functional foods to grow?

Chilled foods to expand, with retailers leading the way

Smaller portions to sell

Forecast

Smaller households aid growth

Health to remain a crucial market driver

Cooking sauces to lead growth

Ageing population poses challenges

Factors used in the forecast

Market Share

Key points

Ready meals

Frozen ready meals led by own-label

Figure 23: Manufacturers’ value shares of frozen ready meals, by type, 2005-07

Chilled meals led by Heinz Weight Watchers

Pizza

Figure 24: Manufacturers’ retail value shares of frozen pizza, 2005-07

Frozen foods - Aldi is popular

Figure 25: Top 20 most popular frozen food* brands, 2003-07

Soup

Cooking sauces

Companies and Products

Campbell’s (Erasco)

Frosta

Nestlé Deutschland/Maggi

Dr August Oetker Nahrungsmittel

Unilever Deutschland

Consumer - Pan-European Overview

Key points

Frozen foods more popular in Germany

Figure 26: Use of selected foods by country, 2007

Figure 27: Use of convenience foods more than once a week, by country, 2007

Consumer - Users of Convenience Foods

Key Points

Ready meals and pizza failing to gain new users

Figure 28: Gains and losses in consumer base for selected convenience foods, 2002-07

Ready meals, pizza and soup appeal to singles

Figure 29: Most valuable consumers for volume sales of ready meals (VII), by age, income and household size, 2007

Figure 30: Most valuable consumers for volume sales of pizza (VII), by age, income and household size, 2007

Soups would benefit from an image overhaul

Figure 31: Most valuable consumers for volume sales of soup (VII), by age, income and household size, 2007

Cooking sauces - a family product

Figure 32: Most valuable consumers for volume sales of cooking sauces (VII), by age, income and household size, 2007

Detailed demographics

Figure 33: Penetration of convenience foods, by demographic sub-group, Germany, 2007

Ready meals

Figure 34: Penetration and frequency of using ready meals, by demographic sub-group, 2007

Pizza

Figure 35: Penetration and frequency of using pizzas, by demographic sub-group, 2007

Soup

Figure 36: Penetration and frequency of using soups, by demographic sub-group, 2007

Cooking sauces

Figure 37: Penetration and frequency of using cooking sauces, by demographic sub-group, 2007

Consumer - Usage and Attitudes

Key points

Germans least enjoy cooking

Figure 38: Attitudes towards cooking and meal occasions, by country, 2007

Figure 39: Attitudes towards food quality, by country, 2007

Abstract

Convenience remains a major selling point in the food market, but consumers are also looking for higher quality and freshness. Suppliers have responded to this demand with considerable and inspiring NPD; the proportion of chilled, organic, low-fat and free-from versions has increased in all sectors.

At the same time, single portions remain crucial in a country where one-person households continue to grow in number and where even larger households are adopting individualised eating patterns. Food that scores on multiple attributes, ie food that is convenient and healthy and fresh has great potential for the future.

If the markets reviewed in more detail in this report (ready meals, pizza, soup and cooking sauces) only soup shows signs of stagnation; both ready meals and pizza achieved more than 5% growth from 2005 to 2007.

The countries examined within the Consumer Goods Intelligence series of reports are France, Germany, Italy, Spain and the UK.

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