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Trends & Opportunities for 2017 in UK Food & Drink

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Presentation on theme: "Trends & Opportunities for 2017 in UK Food & Drink"— Presentation transcript:

1 Trends & Opportunities for 2017 in UK Food & Drink
Introduction

2 The Market Every day in the UK, our industry feeds over 27 million households, nearly 64 million people. Food Manufacturing is the largest manufacturing sector in UK – 18% and is worth £96bn

3 The Market UK grocery market worth £179.1bn in 2016, an increase of 0.6% on 2015 ( IGD) Will be worth £196.9bn in 2021, a 9.9% increase on 2016

4 What channels make up the UK grocery market?

5 The Market- Out of Home Out of Home opportunity
£53.3Bn in 2016 and expected to grow to £54.7Bn by 2017 better name than food service- and why, what it includes etc

6 The Market- Casual Dining
£5bn of the total out of home spend 20 % of all casual dining spend is in London Burgers - £4.6Bn by 2017 …still growing Coffee £15bn by 2020 , 30,000 outlets (Allegra)

7 Main Players - Grocery main players – recent changes in habits-
Discounters – disrupted UK market Hypermarkets – food and non food Supermarkets- mainly food offer Less loyalty from consumers to one brand

8 Main Players talk through market shares / market position
Iceland- power of frozen

9 Main Players - Convenience
Worth £37.7bn ( ACS ) 2 new stores opened every day last year in UK

10 Online Ocado – ways people search , online shops within a shop , wellness, health, premium Amazon – fresh, prime, same day As of June 2016 Amazon Fresh service will offer more than 130,000 groceries

11 Other Retail Opportunities in Wholefoods Market Planet Organic
( also Natural Kitchen, Detox Kitchen , Sourced Market and others) Food Halls- more about PR than market size – also open doors in other countries

12 Main Players – Out of Home
Out of Home – largely dominated by Fast casual food operators Food to go – Pret, Greggs – operating in stations etc and high footfall areas around offices

13 Main Players – Out of Home

14 Routes to Market routes to market Direct to Retailer
Via Distributor – who will help you find people to sell to Via Importer – who will simply move your product from A to B Sometimes- eg wholefoods- only deal with a few distributors Other markets – alcohol – often best to start with on trade – build your brand – then move to retail …. In which case find a distributor who is dealing with the ontrade and retail or one dealing with sort of ontrade sites you want to deal with

15 Retail or Out of Home ? retail or out of home
Advantages of foodservice- less branding , less marketing for you – printed menus Retail – brand building , other products you have – contacts you already have – then what your product is, who it is aimed at will determine who you go after supermarket, convenience , food hall etc – talk about Graz

16 Packaging & Labelling packaging and labelling
Talk about take a bite as an example UK follow FIR quite tightly Consumers expect a lot of support – website, recipe ideas on pack, cooking instructions , serving ideas, nutrition – allergens - whether to flag it up as free from or not symbols for vegan etc

17 TRENDS Clean Eating trends around clean eating
Labels that only contain ingredients you should find in a kitchen cupboard Less sugar- date syrup, rice syrup, coconut sugar Less salt Seasonal Deliciously Ella- Anna Jones- Amelia Freer- Madeleine Shaw Green juices Free from foods ORGANIC Turmeric Seaweed

18 Trends Luxury Food luxury , indulgence/ premium
Kasperskian – traceability – kept alive, sustainable , halal caviar – food halls increasing the space they give to caviar Chocolate – Fairtrade is an opportunity as UK is one of largest markets for Fairtrade products –premium hand - crafted Belgian chocolatiers Cakes/pastry Premium alcohol – regional gins - £10000 bottle in Selfridges – craft/micro brewery beers

19 TRENDS Food To Go food to go
Breakfasts – huge trend in getting breakfast on way to work – everything from instant porridge, to bircher, to pots with eggs etc Coffee – as a social occasion Lunch – eat at desk etc but not made at home and brought in Rise of Deliveroo and other delivery services Snacking – worth £16bn last year / £2 per portion on average

20 Trends Street Food street food
Food markets- Exeter St, Box park food stalls, Fast food menus – wahaca , Foods from around world- mainly able to be hand held

21 Trends- plant based food
The more acceptable name of vegan/veggie food Skinny Kitchen Impossible Burger Alternative sources of protein- rather than bugs and insects More sustainable way of eating Lot of people doing 5;2

22 Making Most of Opportunity
Websites and social media- very important Research your market- look at competitors in UK – make sure you have a genuine point of difference PLAN

23 Brexit – Change is Always an Opportunity
Price increases in food – offset by reduction on tariff so not much change Business as usual

24 Thank you Jane@janemilton.com www.janemilton.com


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