Trends

Today's changing markets are producing an onslaught of new opportunities, driven by astounding growth rates (watch facts and forecasts video) and fueled by some fascinating trends, most notably...

Consumers Want More Choice. Americans no longer want standard, they want special. Be it fashion, media, technology or food, consumers want unlimited choice (i.e., they want it their way).

So it's no small wonder those very same markets are looking for the same level of choice in their grocery stores. Just look at a few recent examples: Tropicana which had two kinds of orange juice a decade ago, now has twenty-four... Arby's Roast Beef sold one type of sandwich when it first opened, now it sells thirty (most of which aren't even Roast Beef!).... Dreyer's Ice Cream offered 34 flavors in 1977 and today sells 250. And Coffee King Starbuck's boasts 19,000 ways it serves coffee.

Market Fragmentation (from mass markets to niche market segments). Fifty years ago, America was composed of mass markets but that has dramatically splintered into many micro-markets with varying preferences, nuances and demands. Just look at how television has adapted: 60515040 in the 1960s we had three major networks, now through cable we have hundreds-- each catering to differing programming choices. Magazines no longer are limited to "broad" news coverage, they also are deeply nestled across myriad interests and passions.

The same applies for food offerings. But the difference is that these markets are not only influencing the preferences of their own niche segments but of the mainstream, too. American homes, no matter the ethnic routes, serve fare ranging from Mexican to Chinese, Indian to Asian-- and they're hungry for more.

Authenticity as Critical Success Factor. While a veritable ocean of choice produces an (potentially) unlimited supply of new product opportunities, specialty foods companies face a new barometer of success in authenticity. Yes, Americans want choice. But they also want genuine goods instead of copycats.

Though many companies underestimate that their savvy consumers can readily distinguish between genuine offerings that “speak” to their needs and ones that merely use the colors and language of their cultural roots. Today's marketers need to dig deeper and create genuine flavors, recipes and preparation methods for their markets.

Mixed Tastes Fuel Fusion Foods. Fusion food involves blending flavors and ideas from different cultures and ethnicities to develop brand new dishes (e.g. Taco Pizza, Mango Green Tea), even new food categories (e.g. Tex-Mex, Pan-Asian).

As Americans continue to try new food innovations, specialty 30422882 foods marketers are provided the opportunity to market cross-cultural food offerings. There's not only a license to create-- without it offending the time-honored heritages of cultural foods-- there's demand that supports innovating. So today's specialty foods companies should push the envelope and truly dare to be different.

Specialty Foods Go Mainstream. The growth rates of cultural segments as well as the open-minded palates of all Americans-- 75% of specialty foods profits are from mainstream audiences-- are setting the specialty foods sector ablaze.

Moreover, the demand for specialty foods and their surging growth rates-- 17% growth compared to 4% growth overall-- shed little doubt that specialty foods have migrated to mainstream audiences.

We'll continue to track demographic, consumer and food trends so do check back. Also:

  • For information on growth rates please click here.
  • For information on Salad Bowl Branding, please click here.