Dublin, May 29, 2024 (GLOBE NEWSWIRE) -- The "Food Market Outlook 2024: Opportunities & Challenges With Pricing, Convenience, Sustainability & More" report has been added to ResearchAndMarkets.com's offering.
U.S. Food Market Outlook 2024 is the go-to source for a complete understanding of the U.S. food market. This broad-based report evaluates current trends and future directions for marketing and retailing, along with consumer patterns across the food market.
Most major packaged food categories are mature and rely primarily on population growth, leaving food marketers with the challenge of bringing something new to the table. Opportunities abound for companies that invest in new product launches, ingredient changes, and different marketing tactics to appeal to changing consumer preferences. Still, there is an ebb and flow in some trends as the rise and sometimes recede from consumer awareness. For instance, inflation is a continuation of recent challenges in 2022 and 2023, despite prices easing in growth if not level relative to 2021. Others like sustainability and convenience are reflections of changing consumer priorities and demographics.
Inflation-fueled higher prices are a core trend that began in 2022 and is continuing in 2024, albeit at a slower rate. Supply challenges, higher ingredient and energy prices, and rising labor costs have combined to test suppliers, retailers, and consumers. This has led to consumers seeking value, whether that means in comparison to the price of dining out or in comparison to routine grocery items, with private label options seeing surges across all categories and even beyond the basics to items with trendy flavors and ingredient compositions.
Additionally, food shoppers are increasingly placing sustainability at a higher priority level again, with plant-based options, clean labels, sustainable supply chains, and recyclable and reduced packaging continuing as key trends. Furthermore, shoppers are presenting preferences with contradictions as they are looking for indulgence, but better-for-you versions, along with snacking variations and chef-inspired menus, but with convenient preparation.
With a focus on growth opportunities and "what's next" - along with bringing decades of food and beverage market perspective and analysis to the table - U.S. Food Market Outlook 2024: Opportunities & Challenges With Pricing, Convenience, Sustainability & More is packed with actionable insights about consumer trends, behavior, and motivations. This report delivers predictions and recommendations designed to guide retailers, service providers, wholesalers, food processors, packaging firms, and investors in making business decisions about the food market.
Food Trends
Food industry trends that had been developing for a number of years were accentuated by the pandemic. Consumer behavior changed significantly, leading to unprecedented demand for not only products to meet basic needs, but also to satisfy new desires resulting from altered lifestyles. The following trends are some of the most important to emerge and flourish. They are likely to gain further traction as consumers continue resuming traditional activities altered somewhat by behavioral changes that will remain sticky.
Healthier-For-You
Many people became more focused on staying healthy due to the pandemic. As a result, nutrition and wellness remain important to them, and functional health benefits of products have become even more desirable. IFIC's 2023 survey shows consumers choose "fresh" and "low sugar" as the leading ways to define healthy food. Other leading definers include "good source of protein" and "natural". Protein has risen as a food priority for an increasing number of people as popular diets and eating philosophies have reduced consumption of carbs and animal protein.
More than half of consumers are following special diets or eating patterns in 2023. Losing weight is the top reason people diet, and the increased use of weight loss drugs and the hype surrounding them have caused some concern about the impact on food consumption. While use of GLP-1 medications like Ozempic has been increasing, it is currently small and limited by supply issues, high cost, side effects, and lack of insurance coverage. Some in the food industry feel increased long-term use of the drugs could hurt food consumption. Most food marketers that have commented publicly think the impact will be negligible. Others see it as an opportunity to promote their healthier-for-you food products.
Mindful Indulgence
Indulging while being mindful of one's health and wellness remains a powerful trend in both food and beverages. Food marketers continue to develop healthier-for-you products that are more nutritious and healthful, but still taste great and deliver similar experiences to their established counterparts. The pandemic boosted this trend, as more consumers want healthier options from all foods and beverages but still desire indulgent and comforting experiences. This has become even more relevant as people eat and snack throughout the day. Harken Sweets' candy bars are marketed as "Indulgence, Reimagined". They are made with fair trade cocoa, a date-based caramel and other plant ingredients, are low calorie, have no added sugar, and provide as much fiber as 5 cups of kale according to the company.
Responsible New Product Development
A growing number of consumers - particularly younger ones - make food choices at least partly on how responsible companies are with new product development and operating their businesses. Issues of most concern include food safety and nutritional value, animal welfare, transparency, environmental impacts, food waste and other social issues.
Sustainable packaging ranks high for consumers seeking eco-friendly products. According to the February-March 2024 edition of National Online Consumer Survey, 50% of respondents noted that they were more willing to take action about sustainability - in purchases and waste - than they were last year. 30% report that they thought that buying products in packaging that is recyclable or made from recycled materials is very important to living a sustainable lifestyle, and another 47% considered it somewhat important.
Private Label Still Outperforming National Brands
While private label sales were impacted by reduced consumer demand across food categories, they outperformed national brands as many shoppers sought lower prices. In 2023, dollar sales of private label store brands (across all categories, not just food) increased 4.7%, higher than the 3.4% growth of national brands according to the Private Label Manufacturers Association (PLMA). The report said unit sales for store brands were about flat compared to a decline of 2.8% for national brands in 2023.
Work-From-Home Trends
The pandemic had significant and lasting impacts on telecommuting, changing people's behavior even though many have returned to offices full or part time. Working from home, even for part of the week, is correlated with eating more at home. This leads to greater consumption of certain foods like snacks, consumed throughout the workday, as well as breakfast and lunch items.
Work Habits in 2024: Typical Work Weeks
Some employers that temporarily allowed remote work have asked employees to return to worksites at least some of the time, but working at non-traditional locations is continuing.
Offices/on-site locations are the most common places for employed consumers to work all the time, with a 28% share; some of these individuals' jobs preclude working from home based on their duties (e.g., retail workers cannot serve customers or stock stores remotely, nor can employees who work on a manufacturing lines). Otherwise, some office workers or other employees who may be able to fulfill their duties offsite may choose to work on-location or not be allowed to work from home, depending on company culture and management decisions.
13% of employed consumers report that they work from home all the time, indicating a significant share of consumers work fully remote jobs. Other areas such as co-working spaces, libraries and coffee shops, and client sites are clearly less permanent working locations for most people.
However, numerous consumers reported working at various sites most of the time, half of the time, or occasionally; this indicates significant penetration of hybrid work arrangements, flexibility on where people work, or types of jobs that have shifting locations (such as jobs with frequent travel, either based locally or traveling to sites nationally or internationally).
Key Topics Covered:
CHAPTER 1: EXECUTIVE SUMMARY
CHAPTER 2: TRENDS FROM THE PANDEMIC TO THE INFLATION ERA
- CONCERNS ABOUT COVID-19 EXPOSURE REMAIN
- Most Still Consider the Pandemic a Health Threat
- Vaccination for the Flu and COVID-19
- Some Consumers Continue to Wear Masks in Public and Avoid Crowds
- NEGATIVE PERSONAL EFFECTS OF THE PANDEMIC
- Reporting Negative Mental States in 2023
- Continuing Mental and Physical Health Effects in 2024
- Stress Levels and Impact on Food/Beverage Consumption
- WORK-FROM-HOME TRENDS
- Working from Home in 2023: Work from Home Ability and Frequency
- Work Habits in 2024: Typical Work Weeks
- Work Habits in 2024: Typical Work Arrangements
- HOME COOKING REMAINS RELATIVELY HIGH
- INFLATION AND PRICES
- Many Consumers Are Concerned about Inflation and Rising Food Prices
- Vast Majority of Consumers Have Noticed the Rising Cost of Food; Many Changing Purchasing Decisions
- Consumers Find Price More Important for Food Purchase Decisions in 2023
- Cutting Back on Household Expenses
CHAPTER 3: OVERVIEW
- FOOD RETAIL SALES FORECAST
- DISTRIBUTION TRENDS
- E-Commerce and Grocery Delivery
- Faster and More Convenient Home Delivery
- Drone Delivery
- In-Home Delivery
- DoorDash Expands SNAP Payments to More Grocers
- SNACKING
- Frequency of Snacking and Reasons for Snacking
- HOME MEAL KITS
- HOME MEAL DELIVERY
CHAPTER 4: FOOD TRENDS
- CEA-INDOOR FARMING
- PLANT-BASED ALTERNATIVES
- 90% of Consumers Primarily Omnivores or Flexitarians
- Plant-Based Meat and Poultry Alternatives
- Blends
- Plant-Based, Dairy-Free Alternatives
- Ice Cream
- Yogurt
- Cheese
- NON-PLANT-BASED ALTERNATIVES
- Cultivated Meat Facing Challenges
- Other Alternatives
- Animal-Free Dairy
- RESPONSIBLE NEW PRODUCT DEVELOPMENT
- Packaging
- The Multifaceted Goals of Sustainable Packaging
- Priorities in Conflict
- HEALTHIER-FOR-YOU
- Natural
- "Natural" Labels Most Impactful When Grocery Shopping
- Healthy Food
- Fresh and Low Sugar Top Healthy Food Definers
- Reduced or Zero Sugar
- Avoiding or Limiting Sugar Intake
- Reasons for Avoiding or Limiting Sugar Intake
- Sugar Continues to Be Preferred Over Low/No-Calorie Sweeteners
- Processed Foods
- Incorporating Vegetables
- Diet-Friendly
- Keto
- High Protein
- Weight Loss
- Weight-loss Drugs
- MINDFUL INDULGENCE
- IGNITE THE SENSES
- COMFORT & NOSTALGIA
- KID-FOCUSED
- RESTAURANT/CHEF QUALITY AT HOME
- INFLUENCER INSPIRED
- PARTNERSHIPS A WIN-WIN
- PRIVATE LABEL STILL OUTPERFORMING NATIONAL BRANDS
CHAPTER 5: CEREAL
- Market Increasing Slightly to Over $13 Billion in 2028
CHAPTER 6: CHOCOLATE CANDY
- Market Increases to Over $35 Billion in 2028
CHAPTER 7: COOKIES
- Market to Exceed $18 Billion in 2028
CHAPTER 8: FRESH BREAD
- Market Over $22 Billion in 2028
CHAPTER 9: FRESH PACKAGED SALADS
- Fresh Packaged Salad Sales Increasing to Over $9 Billion in 2028
- Packaged Salad Consumption Still Higher Than Pre-Pandemic Levels
- Packaged Salad Eaters Don't Consume That Often
- CEA-Indoor Farming
- Restaurant/Chef Quality at Home
- Global Inspiration
CHAPTER 10: FROZEN DINNERS/ENTREES
- Market Increasing to Nearly $16 Billion in 2028
CHAPTER 11: FROZEN PIZZA
- Market Approaches $9 Billion in 2028
- Frozen Pizza Eaten by Only Half of US Households
- Frozen Pizzas Eaters Don't Eat Them That Often
- Restaurant/Chef Quality at Home
- Mindful Indulgence
- Ultra-Indulgent
- Ignite the Senses
- Influencer Inspired
- Responsible NPD
CHAPTER 12: ICE CREAM AND FROZEN NOVELTIES
- Market Increasing to Over $19 Billion in 2028
- Category and Segment Sales
- Frozen Novelties Will Continue to Outperform Ice Cream
- Regular (Full-Fat) Ice Cream Overwhelmingly Preferred
- Ice Cream/Gelato/Sherbet Eaters Don't Consume Much
- Ignite the Senses
- Comfort & Nostalgia
- Mindful Indulgence
- Dairy Alternatives
- Animal-Free Dairy
- Responsible NPD
CHAPTER 13: MEAL & SNACK BARS
- SALES OUTLOOK
- Market to Exceed $10 Billion in 2028
- Category Sales
- Heaviest-Consuming Snack Bar Group Expands
- Key Brand Differences
- Mindful Indulgence
- Healthier-For-You
- Ignite the Senses
- Kid-Focused
- Responsible NPD
CHAPTER 14: MEAT AND POULTRY
- Market Approaching $139 Billion in 2028
- Meat Continues to Dominate Category Sales
- Poultry Preferred Over Meat but Gap Shrinking
- Consumers Overwhelming Prefer Fresh Over Frozen
- Bacon and Sausage Struggle to Hold Pandemic Gains
- Restaurant/Chef Quality at Home
- Ignite the Senses
- Plant-based Alternatives
- Blends
- Cultivated Meat Facing Challenges
- Other Alternatives
- Responsible NPD
CHAPTER 15: NATURAL AND SPECIALTY CHEESE
CHAPTER 16: SALTY SNACKS
- Market to Reach $51 Billion in 2028
- Potato Chips Losing Share in The Future
- Growth Driven by Tortilla/Tostada Chips & Non-Chip Salty Snacks
- Potato Chips Still Most Preferred But Trending Down
- Chip Eaters Don't Consume Much
- Ignite the Senses
- Mindful Indulgence
- Comfort & Nostalgia
- Responsible NPD
CHAPTER 17: SOUP
- Market Increasing to Over $10 Billion in 2028
CHAPTER 18: YOGURT
- Market Increasing to $13 Billion in 2028
- After Pandemic Boost, Yogurt Consumption Relatively Steady
- Regular (Full-Fat) Yogurt Still Preferred
- Plain and Flavored Yogurt Gain at Expense of Fruit Varieties
- Greatest Growth from Those Eating the Least
- Healthier-For-You
- Dairy-Free and Plant-Based Alternatives
- Increase Kids' Consumption
- Ignite the Senses
- Snacking
- Responsible NPD
For more information about this report visit https://www.researchandmarkets.com/r/hvhapt
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
