Research identifies growth in breakfast food
February 3, 2010
According to a study by Mintel International, Chicago, frozen breakfast products should continue to gain, driven by better-for-you items.
Breakfast bread and cereal, the two leading segments in the morning meal food market, far outsize the remaining eight segments as defined by Mintel, together accounting for just over half of total sales. But frozen segments are gaining. In the research firm’s study, the waffles/pancakes/French toast segment realized the largest breakfast sales increases, up an estimated 7.0% in 2009. Drinkable breakfast foods posted the biggest decline of all the breakfast food segments, down 4.6% for the year.
In the waffles/pancakes/French toast segment, Kashi GOLEAN, with the GOLEAN and Heart to Heart lines of seven grain waffles, made the biggest advance with 26.6% growth in the 52 weeks ending Sept. 6, 2009. Jimmy Dean D-Lights enjoyed a significant advance in its segment, with sales up 38.1% for the 52-week period.
Although the drinkable yogurt segment is struggling, DanActive and Light & Fit Plus enjoyed sales increases of 36.9% and 99.1%, respectively.
The research firm also pointed out that Weight Watchers Smart Ones Morning Express breakfast sandwiches posted strong sales growth in their first year on the market. The product line ended 2009 representing 5.6% of its segment.
Products making clear health claims on their packaging have seen acceptance by consumers, Mintel asserted, and better-for-you brand extensions including whole grain products are thriving. Gluten-free brands are launching more breakfast foods and mainstream labels are introducing gluten-free products. Nutritious breakfast sandwiches have an advantage over foodservice where healthier products are scarce.
Portable breakfast items help retailers compete with restaurants in the morning meal time frame, and the ability to convey nutritional information on packaging is an advantage that food stores can leverage in the frozen case. In their rivalry with foodservice, larger package sizes also help food retailers compete, Mintel said, noting that big boxes particularly appeal to larger families with more mouths to feed.
Considering the restaurant competition is important. Foodservice outlets have expanded breakfast options that appeal to consumer tastes and wallets, the research firm stated.
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