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TOP TRENDS IN FRESH: HEALTH AND
WELLNESS
Hosted with thought leadership from FMI associate member
May 5, 2021
www.fmi.org 2
Rick Stein, Vice President, Fresh, FMI
Sally Lyons Wyatt, EVP, IRI Center-of-Store & Produce Vertical
Jonna Parker, Principal, IRI Fresh Center of Excellence
Today’s Speakers
www.fmi.org 3
FMI ANTITRUST COMPLIANCE It is FMI policy to comply in all respects with the antitrust laws.
All participants in FMI meetings and events are expected to comply with applicable antitrust and competition laws.
Avoid discussions of sensitive topics that can create antitrust concerns. Agreements to fix prices, allocate markets, engage in product boycotts and to refuse to deal with third
parties are illegal. Discussions of prices (including elements of prices such as allowances and credit terms), quality ratings
of suppliers, and discussions that may cause a competitor to cease purchasing from a particular supplier, or selling to a particular customer, should be avoided.
No discussion that might be interpreted as a dividing up of territories.
It is important to avoid even the appearance of unlawful activity.
Questions or concerns? Please consult with FMI staff.
This presentation and any opinions expressed therein are not created, sponsored or endorsed by
FMI – The Food Industry Association
www.fmi.org 4
Reminder
If you registered for this webinar, you will receive a link to this recorded presentation by e-mail in 2-3 days, including the Q&A.
May 5, 2021
STRATEGIES TO REACHHEALTH & WELLNESS-MINDED CONSUMERS
Top Trends in Fresh
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 6
Despite 2020’s Changes, the Top Trends in Fresh Still Guide Consumers
New Supply Chains
Localization
Affordability
Customization to Consumerism
Premiumization
Fresh Prepared
Food Transparency
HolisticHealth
Convenience
Atomization of Personalization
Connected Consumer
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 7
Change has never happened this fast before, and it will never be this slow again.
– Graeme Wood, Author & Journalist
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 8
Less Trips but More MissionsMore Meals at Home
Four Themes,
Accelerated
During 2020,
Expect to
Have Long-
Lasting
Impact
New Ways of Shopping Fierce Competition for Fresh
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 9
The Average Number of Meals Prepared at Home is Beginning to Fall as More Consumers Venture OutConsumers Are Still Cooking From Scratch More Than Pre-Pandemic, Though Some Are Beginning to Return to Their Prior Habits
58%42%
March 2020 March 2021
% of HHs Preparing Over 90% of Meals At Home
22%40%
now say they will do more in the next four weeks than before the pandemic, down seven points in the past month
of those who dine out, plan to eat at restaurants the same amount or more often in the next four weeks versus pre-pandemic, up ten points
Source: IRI Consumer Survey fielded among Primary Grocery Shoppers in the National Consumer Panel, March 2021
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 10Source: IRI March 2021 Consumer Survey
It is critical to capture consumers attention
as they explore out-of-home occasions with more restaurants
opening up…
…especially since consumers feel more
comfortable shopping and browsing aisles.
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 11
0.8%
1.3%
1.7%
2.1%
12.1%
1.2%
2016
2017
2018
2019
2020
2021
Integrated Fresh: Total EdibleDollar Sales % Chg. vs. YA
F&B Sales in 2020 Grew 12.1%, Fueled by Sustained and Elevated Growth; Following Peak Panic Shopping Early in The Year, 2021 is Off to a Strong Start TooTotal Food & Beverage Including Fresh / Dollar Sales & % Change vs. YA
w/e 3/21
-0.3%3.7%
31.6%
15.0%
20.0%
13.2% 13.1% 12.0%9.8% 10.1% 10.1% 9.3%
11.7% 11.3%
-14.8%
-2 0.0 %
-1 0.0 %
0.0 %
10 .0%
20 .0%
30 .0%
40 .0%
$0B
$10B
$20B
$30B
$40B
$50B
$60B
$70B
Dollar Sales Dollar Sales %Change vs YA
Source: IRI Unify, Integrated Fresh, Total US Multi Outlet+ Conv.
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 12
4.7%
35.5%
59.8%
Adult Beverages
Fresh Foods Grocery, Frozen, RFG/Dairy
Share for Calendar Year 2020
7% 38% 54%
Dollar Sales % Change (Sorted Top to Bottom by Total $ Sales)
Quarter 1 2021
Q1 2021 is Showing Good Growth Across Many Fresh Categories, Especially Seafood, But At-Home Eating is Still Elevated Compared to 2 Years AgoDollar Share, Q1 2021
Source: IRI Integrated Fresh Market Advantage, including both fixed and random weight,52 weeks ending 12-27-20
Q1 vs YAGO Q1 vs 2 YA
General Food 0.9% 14.1%
Meat 3.4% 17.2%
Beverages 4.8% 17.0%
RFG/Dairy 0.7% 12.4%
Produce 4.4% 11.5%
Frozen 3.4% 21.7%
Liquor 5.3% 19.4%
Deli & Prep Foods 3.4% 9.2%
Bakery 1.4% 8.5%
Seafood 26.1% 34.7%
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 13
As We Progress Through 2021, Emphasis on At-Home Meal Making Will Continue to Drive GrowthBeef and Shellfish Continue to Grow $ Sales Change
vs 2 YA
$263.4M$1.1B
$444.4M$250.1M$238.7M$206.7M$277.1M$265.7M$168.1M$204.1M$136.2M$134.1M$145.4M$142.1M$62.1M$40.2M
$40.8M$44.7M
$63.1M$81.3M$87.0M
$105.3M$121.1M$123.6M$128.4M
$144.6M$145.3M
$188.5M$220.1M
$232.9M
CENTER STORE BAGELS/BIALYS
PREPARED MEALS & SIDES
CENTER STORE BUNS & ROLLS
FRESH CITRUS FRUIT
DELI ENTREES
FRESH COOKING VEGETABLES
FRESH FINFISH
BACON
FRESH SNACKING/SALAD VEGETABLES
DELI GRAB & GO LUNCHMEAT
DELI SPECIALTY CHEESE
FRESH SALADS & LEAFY GREENS
FRESH COMMON FRUIT
BEEF
FRESH SHELLFISH
Source: IRI Integrated Fresh Market Advantage,, including both fixed and random weight, Dollar Change vs. Year Building Q1 Ending 3/21/21. /. Green bold indicates $100M+ growth vs 2019
January - March Top 15 $ Sales Change vs. 1 YA
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 14
With Such High Growth, Top Fresh FoodsCategories Are Increasingly UbiquitousAll Types of Stores Are Seen as Solutions for Fresh by Shoppers
• Supermarkets• Supercenters• Club Stores• Health and Specialty Grocers • Discount Limited Assortment Grocers• Independent and Co-Ops• Local Bakeries, Delis, Butchers, Produce Stands• Convenience Stores• Dollar Stores • Farmer’s Markets• Coffee Shops• Fast Casual Dining• Take-Out and Delivery Services
…and many, many more with similar offerings
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 15
E-Commerce Has Also Made Massive Impact – Opening Fresh Opportunities Shopper Demand for Online Groceries Has Fast-Forwarded into 2025, Especially for Perishables
Source: IRI eMarket Insights 52 Weeks Ending 3/212/21 and IRI Shopper Survey, Wave 26 March 2021
14% of households use online as their primary way to buy groceries throughout the pandemic
83%of online grocery shoppers expect to do this more or about the same even after vaccinated or restrictions lifted
$10B Latest 52 Weeks Fresh Foods E-Commerce Sales
90% Fresh Foods past 52 weeks e-commerce sales growth, 10 points higher than center and frozen foods / beverages
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 16
Shoppers Seek Fresh Foods Differently Online than in Other Foods and Non-Foods with Retailers’ Websites Driving 6 of 10 Orders Filter: Dollar Sales
10%21%
32%
53% 33% 7%
6%4%
2%
4%
27%43%
59%
Total Store- Food & Non-Edibles
Center & Frozen Food Perishables (eCommerceTracked)
Total Brick&Mortar SiteTotal Brick&Mortar Specialty SiteTotal Online SpecialtyTotal Online Multi-CategoryTotal Delivery
Source: IRI eMarket Insights 52 Weeks ending 3/21/21
of Fresh B&M E-Commerce
Sales
68% is Pick-up at
Retailer
and 32%Retailer Delivery
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 17
So How Can Your Store or Product Win When Fresh is Everywhere?Leveraging Fresh Uniquely, Anchored in What Consumers Want and Need
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 18
As Shared in Our March 2021 Presentation, Long-Term Success Amid an Increasingly Complex Share Game Requires New Ways of Thinking and MeasuringRethinking Fresh Opportunities for Each Department Critical to Stand Out
MUST HAVE MEAL MAKERSWhat triggers a trip to your store over other competitors when every type of chain markets on the freshest produce and best-value, but highest quality, meat?
FRESH DIFFERENTIATION FACTORSWhat specifically sets your store apart when chains large and small offer hot / ready baguettes, mixed salad bowls and low-priced rotisserie chickens?
PREMIUM BASKET BUILDERSWhat makes shopping your store (online or in-person) a brag-worthy experience?
March Top Trends in Fresh Webinar: https://www.iriworldwide.com/en-us/insights/webinars/role-of-perishables-in-a-pandemic
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 19
Top Trends in Fresh Are as Relevant Today…
…but the Pace of Change is Rapid and Activation is Critical New Supply
Chains
Localization
Affordability
Customization to Consumerism
Premiumization
Fresh Prepared
Food Transparency
HolisticHealth
Convenience
Atomization of Personalization
Connected Consumer
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 20
winning with health & wellness consumers
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 21
of consumers say they will focus ontheir health in 2021
Adults under shelter-in-place orders gained nearly 2 pounds a month on average in 2020
After Multiple Decades of Health & Wellness Being Top of Mind, 2020 Further Strengthened Consumers’ Interest in Healthier Habits
Eat healthier / start a new diet was the #1 New Years’ resolution for 2021 with a higher margin than before
Source: New York Times March 21, 2021; Shopper Survey, Wave 24, January 2021
27%
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 22
Food & Beverages Are a Primary Pathway to Wellness for Many Americans
pay attention toportion sizes32%
66%
44% read food / beveragenutrition labels
of American adults follow a diet / eating approach (e.g., Paleo, Gluten-Free, etc.)
BASE: Total U.S. Population Aged 17+ / IRI Wellness Thought Leadership Survey | November, 2020
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 23
Across the Store, Health and Wellness Attributes Aim for Shoppers DollarsDollar Sales Growth of Products with Attribute and Benefit Types – Total U.S. MULO+C, 2020
Attribute GroupProduct Origins (e.g., Artisanal, Made in the USA)
Societal Care (e.g., B-Corp, Eco Friendly, Fair Trade)
Lifestyle Diets (e.g., Ketogenic, Plant-Based Diet, Vegan)
Allergens & Intolerances (e.g., Gluten-Free, Lactose-Free)
Clean Label (e.g., Common Allergen-Free, Non-GMO)
Self-Care (e.g., Immune Support, Antioxidants)
Botanicals & Oils (e.g., Lavender Oil, Citrus)
FDA Nutrient Claims (e.g., More Calcium, Reduced Calories)
Plant-Based Protein (e.g., Pea Protein, Hemp Seed Protein)Contains all types of plant-based protein. Seitan, pea and kamut proteins are fastest-growing with +20% growth Edible Growth 13%
9%
10%
12%
12%
12%
13%
13%
14%
18%
F&B 2020 Growth
Source: IRI Liquid Data Powered by Label Insight (UPC only), MULO, Latest 52 WE 3/21/2021
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 24
In Meat in 2020, Specialty / Wellness Positioning Are Fast Growing
Pandemic Period Total Claims-Based $9.3B +18.1% +9.1%
Antibiotic Claims $8.0B +17.5% +8.3%
Organic $1.3B +21.5% +18.5%
Grass-Fed $818M +34.5% +33.3%
83%28%
Look for at least one of the “better-for-….” options when buying meat / poultry
specifically sought out claims-based meat in 2020
Source: Survey data 2021 Power of Meat® Study, Sales data Integrated Fresh, MULO, 52 weeks ending 12/27/2020
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 25
When it Comes to Fresh On-Pack Claims, Meat Has Gains, But Still a Very Small Share of the Department Overall
Top Growth Drivers for Meat Dept. –Ranked by Absolute $ Growth vs. YA• Artificial Preservative Free• Artificial Ingredient Free• 6-10 Ingredients• Made In USA• Ethical• Natural Product• Grass Fed*• Vegetarian Fed• Contains Tempeh Protein• Humane
• Education on animal welfare• Signage in the store and online
for top benefits to help consumers who want ethically raised meats can find your selection
Consumers are looking for permissibility in meat
are trying to reduce meat / poultry consumption, up from 28% in 2019
Ideas to Help Connect Consumers
Source: Survey- 2021 Power of Meat® Study; IRI Liquid Data Powered by Label Insight (UPC only), *Includes both Fixed and Random Weight from IRI Fresh proprietary coding ; MULO, Latest 52 WE 3/21/2021
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 26
Plants are Popular for the Health Halo Its Not About Elimination, But About Variety
Source: Datassential
Want to Increase
Want to Decrease
Plant-Based Foods 58% 4%
Seafood 41% 9%
Plant-Based Meat Alternatives 30% 16%
Poultry 30% 12%
Red Meat 21% 31%
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 27
Similarly, Communications About Many of Produce’s Beneficial Attributes are Varied Across the U.S.
Top Growth Drivers For Produce -Ranked by Absolute $ Growth vs YA• Organic*• 1-5 Ingredients• Made in USA• Antioxidant Ingredients• AHA Heart Healthy• Reusable Packaging• Renewable Packaging• Non-GMO• Ethical• Iron Rich Diet
• Produce connecting consumers to dietary guidelines and benefits
• Spotlight a fruit and veg’s wellness properties
• Use online and in-store, as well as social media – an advantage retail has over food service is consumers see us as a source of food education
Organic Produce Saw an Increase in Buyers and Share
share of total produce sales is where organic produce still hovers
Ideas to Help Connect Consumers
*Includes both Fixed and Random Weight from IRI Fresh proprietary coding ; Bold indicates largest in sales
Source: Organic Share from IRI Integrated Fresh, Claims from IRI Liquid Data Powered by Label Insight (UPC only), MULO, Latest 52 WE 3/21/2021
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 28
For Fresh On-Pack Claims, Ingredients and Benefits Drive Growth, But Much Education and Opportunity Is Left Off
Top Growth Drivers for Deli / Bakery -Ranked by Absolute $ Growth vs. YA
• Feature health-forward products in Deli and Bakery in ad or online
• Utilize social media platforms like TikTok or Instagram to share your deli and bakery ingredient and partner stories
In Prepared Departments, Consumers Seek Transparency & Trust
can be an
Ideas to Help Connect Consumers DELI
• Gluten Free• Natural Preservatives• Low Carb Diet• Artificial Ingredient
Free• Preservative Free• 1-5 Ingredients• Antioxidant
Ingredients• Low Fat• Natural Product• Made In USA
BAKERY• No High Fructose Corn
Syrup• Artificial Color Free• Natural Preservatives• Artificial Sweetener Free• Ancient Grains• Low Fat• Macrobiotic Diet• Plant Based Proteins• Antioxidant Ingredients• Good Source of Protein
*Includes both Fixed and Random Weight from IRI Fresh proprietary coding ; Bold indicates largest in sales
Source: IRI Liquid Data Powered by Label Insight (UPC only), MULO, Latest 52 WE 3/21/2021
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 29
Believe meals made at home are healthier than those from a restaurant
BASE: Total U.S. Population Aged 17+ / IRI Wellness Thought Leadership Survey | November, 2020
For Many, Wellness Starts in the Kitchen
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 30
Carefree Coasters
Winning with H&W is Also About Connecting with Consumers Who Care Most About Health, Understanding Them More Deeply and Not Assuming One-Size-Fits-All
“I choose what tastes best” “I choose what’s healthiest for me”
Convenient & Content
Fast & Frugal
Carefree Coasters
Sensible Super Moms
Wise & Healthy
Healthy Chic
“Exercise is not an important part of my life”
“Exercise is an important part of my life”
Convenient & Content
Fast & Frugal
Sensible Super Moms
Wise & Healthy
Healthy Chic
Source: IRI Nutrilink™ Segmentation in the IRI HH National Consumer Panel
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 31
Carefree Coasters
Winning with H&W is Also About Connecting with Consumers Who Care Most About Health, Understanding Them More Deeply and Not Assuming One-Size-Fits-All
“I choose what tastes best” “I choose what’s healthiest for me”
Convenient & Content
Fast & Frugal
Carefree Coasters
“Exercise is not an important part of my life”
“Exercise is an important part of my life”
Convenient & Content
Fast & Frugal
Sensible Super Moms
Wise & Healthy
Healthy Chic
Sensible Super Moms
Wise & Healthy
Healthy Chic
The Top 3 Healthiest Segments:
52% 53%
55%
of Households
of Food & Beverage spending in Q1
of Fresh Food spending and already increasing in Q1 2021
Growing fresh food spending in Q1 2021 by 1%- while other segments are declining
Source: IRI Nutrilink™ Segmentation in the IRI HH National Consumer Panel ; data reflects both fixed and random weight fresh foods in IRI HH Panel Data for Jan-Mar 2021
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 32
Fresh Foods (FW / RW)
Channels ShareCY
202013 WE 3/21/21
Share Change
% $ Change
Traditional Grocery 39.7% 40.3% 0.6% 2.0%
Mass & Supercenter 13.6% 13.7% 0.2% 1.5%
Club 9.3% 10.4% 1.0% 11.5%
Discount Grocery 8.2% 7.6% -0.6% -7.0%
Health / Specialty Grocery 4.0% 3.4% -0.7% -16.2%
Dollar 0.4% 0.4% -0.1% -12.0%
The Healthiest Consumers Shop All Channels; Convenience, Variety, Value are Also Important to ThemHealthiest Consumers Are Growing Traditional Channel Spending
Sources: IRI Nutrilink Segmentation, top 3 healthiest (Healthy Chic, Wise & Healthy, Sensible Super Moms, IRI Household Panel data including FW/RW
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 33
Targeting Health-Minded Consumers Differently is Critical; Healthy Chic is Most Interested in Your Health Marketing
Actively trying to improve eating habits and tend to follow strict diets or eat healthy at least 80% of the time to stay healthy and maintain / lose weight.
This group enjoys an above average income, is younger than the average shopper - median age of 44.
Shoppers are looking for fresh solutions for their specific dietary needs and open to meal inspirations anchored around health benefits
Doing more online shopping and Learning about products via digital research (QR codes, email, social pages)
Engagement with specific social media groups and hashtags.If you have Programmatic TV advertising, then leverage for health marketing programs.
Shoppers may not know you have health and wellness products or sections.
Description Why They Matter to All Retailers
What They Mean for Fresh
How They’re Evolving Behavior
WAYS TO WIN
HEALTHTY CHIC – 16% of the Population
Source: IRI Nutrilink™ Segmentation in the IRI HH National Consumer Panel ; data reflects both fixed and random weight fresh foods in IRI HH Panel Data ad IRI ShopperSights targeting data
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 34
For Wise & Healthy, Targeting Should Be Focused on Traditional Mediums
Older, concerned about avoiding illness or improving poor health with lifestyle changes. Much more likely to use food as medicine via health, nutritious meals and snacks
Median age of 68 and more likely to be on a fixed income (i.e. retired, not necessarily low-income). They are willing to cook and spend more on foods with health benefits and disease prevention attributes
Opportunity to educate the group on the health benefits of fresh and suggest more traditional signage and meal solutions
They look to the store as an education center –dietician or physician partnerships as well as signage touting foods’ wellness benefits
Description Why They Matter to All Retailers
What They Mean for Fresh
How They’re Evolving Behavior
Utilize your traditional advertising vehicles- television, feature ad activity and in-store recommendations, especially from medical professionals. Most likely to attend your
wellness events themed on specific issues like heart health and diabetes.
WAYS TO WIN
WISE AND HEALTHY – 16% of the Population
Source: IRI Nutrilink™ Segmentation in the IRI HH National Consumer Panel ; data reflects both fixed and random weight fresh foods in IRI HH Panel Data ad IRI ShopperSights targeting data
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 35
Personalize Messaging to Sensible Super Moms Across a Variety of Mediums
To ensure they look and feel good, they prioritize eating right and exercising. Theyprefer fresh food over other aisles and actively seek info on nutrition / healthy eating but also believe indulgent snacks can be part of a healthy diet.
Have children present in the home, especially babies / toddlers. Median age of 42 and more likely to have delayed their family start for career and education. They are extremely savvy and vocal.
Looking for quick and nutritious food offerings that highlight Health and Wellness attributes. Indulgent snacks are an opportunity for the bakery department.
Using digital technology to learn more about products.
Description Why They Matter to All Retailers
What They Mean for Fresh
How They’re Evolving Behavior
Extremely active online and well-read. If possible, dialog and engage via targeted digital advertising featuring children as well as converse in social media.
Most likely to go to wellness events with kid activities.
WAYS TO WIN
SENSIBLE SUPER MOMS – 20% of the Population
Source: IRI Nutrilink™ Segmentation in the IRI HH National Consumer Panel ; data reflects both fixed and random weight fresh foods in IRI HH Panel Data ad IRI ShopperSights targeting data
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 36
Discussion:
Ways to Win in Fresh with Health & Wellness
Consumers
Expand Social Media presence with key influencers to help tell your healthy stories
Continue to Educate and Be Transparent with Your Wellness Solutions in Store
Leverage E-Commerce Strategies to Connect with Healthy Consumers
Innovate to Meet Evolving Needs and Emerging Benefits – Solve Their Needs
Win Healthiest Segments – Not All One-Size-Fits-All
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 37
The Top Trends in Fresh Series
July 21, 2021Sustainability, Food Waste and Transparency
October 19, 2021Premiumization & the Connected Consumer
New Supply Chains
Localization
Affordability
Customization to Consumerism
Premiumization
Fresh Prepared
HolisticHealth
Convenience
Atomization of Personalization
Connected Consumer
Food Transparency
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 38
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 39
Your feedback is important.
Please complete a brief survey
so we can continue to improve.
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 40
Sally Lyons [email protected]
Jonna [email protected]
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 41© 2021 Information Resources Inc. (IRI).
Confidential and Proprietary. 41
CONTACT US FOR MORE
INFORMATION
IRI Global Headquarters203 N. LaSalle St., Suite 1500Chicago, IL [email protected]+1 312.726.1221
Follow IRI on Twitter: @IRIworldwide
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 42
additional detail slides
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 43
Fact: Fewer Fresh Foods Lead with On-Pack Health Claims, Yet There are Areas of Interest with OpportunityFastest Growing Product Attributes in Food & Bev Compared to Fresh
12.6% 12.7% 13.7%
7.0%
10.1%
13.2% 14.1% 13.1% 13.9% 13.3%14.0% 14.4%
29.3%
5.6%
16.5%
12.6%
16.9%
13.4% 13.8% 13.6%
Made in theUSA
Artisanal Local Handmade Craft Whole 30 Ketogenic Low Glycemic LowCarbohydrate
Paleo
Food & Bev FreshPRODUCT ORIGIN LIFESTYLE DIET
8.9% 0.3% 0.4% 0.2% 0.9% 11.6% 11.3% 3.2% 21.4% 9.9%8.0% 0.4% 0.2% 0.2% 0.4% 12.1% 6.0% 3.8% 16.0% 6.1%
116 116 124 67 95 120 128 119 126 121132 135 243 57 152 120 155 127 130 128
Sale
s Sh
are
Gro
wth
Inde
x
F&B
Fresh
F&B
Fresh
Source: IRi Liquid Data Powered by Label Insight, MULO, Latest 52 WE 3/21/2021 / *Includes only UPCed Products, **Fresh Excludes Rfg Dept, ***Growth Index is Share of Sales Growth vs Share of Sales
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 44
29.9average minutes in the store; down >5 minutes
pre-pandemic Fresh Foods (FW / RW)
Channels ShareCY 2020 13 Wks 3-
21-21 Share Change
% $ Change
Traditional Grocery 40.8% 40.3% 0.6% 2.0%
Mass & Supercenter 13.5% 13.7% 0.2% 1.5%
Club 10.0% 10.4% 1.0% 11.5%
Discount Grocery 7.9% 7.6% -0.6% -7.0%
Health/Specialty Grocery 3.6% 3.4% -0.7% -16.2%
Dollar 0.4% 0.4% -0.1% -12.0%
Which Leads to an Even Greater Fight for Fresh Dollars Even as We Start to Shop More Freely in 2021
flattrips to any outlet
change 4 WE 1/24/21
14%avg basket size with fresh,
change 4 WE 1/24/21
Source: IRI Household Panel including fixed and random-weight, Data Ending Building 13Weeks Ending 03/21/2021
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 45
Mark ClousePresident and CEO, Campbell Soup CompanyNovember 10, 2020
Stuart AitkenChief Merchant & Marketing Officer, The Kroger Co.September 3, 2020
Vivek SankaranPresident & CEO, Albertsons CompaniesAugust 25, 2020
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 46
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1. How the Great Recession Reshaped CPG Demand Curve
5. Anticipating Life After COVID-19
4. Consumers Provide a Pessimistic View of Coming Months
3. Tracking the Dramatic Pivot of U.S. Consumer and Shopper Behavior
2. Then and Now: Consumer CPG Behavior During Economic Downturns
1. COVID-19: Impact on CPG and Retail
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The IRI CPG Demand Index™ provides a standard metric for tracking changes in spending on consumer packaged goods. U.S. Demand Index™ Forecasts are delivered through a proprietary, fully automated forecasting solution that anticipates consumer demand.Channel Shift Index™ provides a standard metric for tracking changes (migration) in spending on consumer packaged goods across select channels. The IRI E-Commerce Demand Index™ provides a standard metric for tracking changes in spending on consumer packaged goods purchased online. Inflation Tracker™ provides the well-known price per unit metric for tracking changes in pricing of consumer packaged goods. Supply Index™ provides a standard metric for tracking changes in product availability (i.e., in-stock rates) in stores for consumer packaged goods.Out-of-Stock Levels for Top-Selling Subcategories by Market Area in the U.S.Top U.S. Topics from IRI Social Pulse™
CPG Economic IndicatorsAccess IRI’s industry-standard metrics for consumer product demand and supply during the pandemic, our CPG inflation tracker and the latest data on category trends, out-of-stock levels, consumer sentiment and more.
Demand Index™ U.S. Demand Index™ Forecasts
Channel Shift Index™
E-Commerce Demand Index™
Inflation Tracker™ Supply Index™ Out-of-Stock Levels
for SubcategoriesU.S. Topics from IRI Social Pulse™
© 2021 Information Resources Inc. (IRI). Confidential and Proprietary. 48
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