Global Fruit Spreads Market 2016-2020
About Fruit Spreads
The use of jams, jellies, and preserves is increasing in salads, cookies, sandwiches, and smoothies as customers are willing to expand their taste palate. With an increase in health consciousness among consumers, vendors are focusing on products that are both indulgent, have high fruit content, and/or are sugar-free. So, the consumers are slowly shifting to fruit spreads, which are sugar-free, from the traditional jams and jellies that have added sugar.
Technavio’s analysts forecast the global fruit spreads market to grow at a CAGR of 3.08% during the period 2016-2020.
Covered in this report
The report covers the present scenario and the growth prospects of the global fruit spreads market for 2016-2020. To calculate the market size, the report considers the revenue generated from the sales of fruit spreads to individual consumers.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Fruit Spreads Market 2016-2020
Technavio recognizes the following companies as the key players in the global fruit spreads market: Cascadian Farm, Crofters Food, The J.M. Smucker Company, Polaner, Really Good, and Santa Cruz.
Other prominent vendors in the market are: Baxter & Sons, Bionaturae, Meridian Foods, National Grape Co-operative Association, Orkla Group, Premier Foods, and Welch.
Commenting on the report, an analyst from Technavio’s team said: “One of latest trends in the market is increase in private labels. The number of private-label brands for fruit spreads has been increasing worldwide with an increase in organized retailing. A large percentage of the growth of private-label brands is because of the consolidation and expansion of the retail food industry. Many retailers are also entering this market by increasing their investments in perishable food products, attracted by the growing popularity of fruit spreads for at-home consumption. For instance, private labels represented about 33% of the UK's fruit spread sales in 2014. In the US, Kroger has developed private-label products under its Value, Kroger, and private selection product lines.”
According to the report, one of the primary drivers in the market is demand for gourmet fruit spreads. Consumers perceive gourmet fruit spreads as self-indulgent luxuries and they are thus used for gifting. Many individuals are introduced to gourmet fruit spreads through personal gifts from friends and relatives, business gifts, or host gifts. Consumers are also purchasing these products for themselves, which increases the demand for fruit spreads. Consumers like to indulge in new products due to increased disposable income. They are willing to pay a higher price for such products as these products are perceived to have exceptional characteristics and be healthy.
Further, the report states that one major challenge in the market is rise in cost of ingredients. A major challenge for vendors is the rising costs incurred in the procurement of high-quality ingredients like fruits for fruit spreads. A variety of fruits are required to manufacture fruit spreads. For instance, the prices of fruits and nuts have increased significantly in many countries because of supply constraints in the past two years due to various natural calamities. Such fluctuations and volatility in prices often create problems in production and pricing for vendors. In addition, these lead to inconsistency in the quality of products, hampering the demand for the market. In 2013, Japan-based Kewpie announced a rise in prices of major fruit spread products by 4%-7%, due to higher costs of imported fruits with the yen’s depreciation against other currencies. Therefore, the rising prices can hamper the growth of the market.
Cascadian Farm, Crofters Food, The J.M. Smucker Company, Polaner, Really Good, Santa Cruz, Baxter & Sons, Bionaturae, Meridian Foods, National Grape Co-operative Association, Orkla Group, Premier Foods, Welch.