Daymon Worldwide`s 2014 Global Key Category Trends Predictions

2014 Key Category Trends Predictions
Daymon Worldwide’s 2014 Global Key Category Trends Predictions
Daymon Worldwide’s global business development category leaders track and interpret trends
on a daily basis for our retailer and supplier partners around the world.
To help our industry partners better prepare for success in the coming year, we’ve developed
the following list of 2014 Global Key Category Trends predictions that will drive consumer
behavior and which should shape industry response. Each trend was identified through the lens
of Daymon’s Global Trendwheel, a proprietary tool that tracks 72 consumer Microtrends across
the below eight Megatrends that impact global retail success.
Daymon Worldwide’s Eight Global Megatrends:
•
Cultural Ecology tracks shifts in global demographics, which have sustainable impact on
the retail landscape. Examples of microtrends include urbanization, a rise in single
households and smaller family structure, a growing aging population, greater
acculturation and the redefinition of the “traditional family.”
•
Conscious Raising tracks consumers’ attitudes and behaviors surrounding global
environmental issues. Examples of microtrends include greater focus by companies and
consumers to reduce their carbon footprint and invest in the long term-care of the
environment, demand for transparency in the supply chain, and emphasis on reducing
waste.
•
Current-cy tracks the impact of the economic environment on consumer spending.
Examples of microtrends include consumers’ value-seeking behaviors, new methods for
finding deals (including increased pre-shopping and in-store evaluation via smartphones)
and the impact of spending on retail channels.
•
B-Well tracks attitudes and behaviors toward health and wellness. Examples of
microtrends include the move toward fresh, less-processed foods, the impact of
advances in food technology and the consumer’s broadened definition of wellness.
-more-
•
Always On tracks the behaviors and implications of a 25/7 world. Examples of
microtrends include consumers’ need for convenient solutions and experiences, the need
for immediacy and the growing proliferation of Internet-enabled “e”verything.
•
All for One tracks the impact of community-driven forces, passion groups and collective
sharing. Examples of microtrends include the growth of collective buying and the rise of
the Internet as a connective medium for conversation and idea sharing across the globe.
•
JOYment tracks the consumers’ pursuit of good experiences to protect them against all
of the negative things happening in the world. Examples of microtrends include the need
for small, affordable indulgences, the rise of “treasure hunting” in retail and the
consumers’ desire for nostalgic references and tradition.
•
YOUniverse tracks the consumers’ desire for individuality, self-expression and personal
identity. Examples of microtrends include customization, desire for continuous learning
and the consumers’ need to document their lives in new ways (e.g., social media,
scrapbooking, blogging).
Daymon Worldwide’s 2014 Global Bakery Category Trends Predictions
Courtesy of John Crocco, Director, Bakery
[email protected]
•
Convenience (ALWAYS ON)
o Single-serve and Multi-Pack Servings along with smaller sized baked goods, like
mini desserts and 4 oz. Demi loaves, offer convenience, portability and portioncontrol
o Novelty shaped desserts like individual thaw and sell cheesecakes, mini cakes and
mini tortes also offer portion control and fun entertaining options
•
Pies Are Making a Come Back (JOYment)
o Pies are increasing in popularity for the bakery category, including frozen and
refrigerated pies
o Customized sizes like single-serve, half-pies, five-inch pies and hand-held pies
offer consumers a variety of choices
-more-
o Pie activity is growing in the dairy case, with single-serve cream pies, meringue
varieties, tortes and flans
•
Nostalgic and Innovative Flavors (JOYment)
o Nostalgic flavors are becoming popular again, including Coconut, Pineapple and
Lemon flavors mixed with pudding cakes
o New twists on old favorites are gaining ground, like Blood Orange Creamsicle and
Tahitian Vanilla and a variety of spice flavors like Rum, Toffee and Hazelnut
•
Health & Wellness (B-WELL)
o Manufacturers are removing Trans Fats and many preservatives, particularly in
the refrigerated and frozen sections where they’re not needed
o The addition of good-for-you ingredients like fiber, protein and calcium is also on
the rise. One such example is the use of Teff Flour, an ancient grain with a sweet,
malty flavor that’s a rich source of Calcium, Magnesium and Iron, which are more
frequently being used in croissants and puff pastry and paired in various fruited
desserts
Daymon Worldwide’s 2014 Global Beauty Category Trends Predictions
Courtesy of Laureen Schroeder, Director of Health, Beauty & Baby
[email protected]
•
One Stop Shop (CULTURAL ECOLOGY and JOYment)
o Global retailers are extending in-store beauty services beyond cosmetics and nail
care to include salon and consultation options
o For example, Superdrug in the UK offers in-store Pro Skin clinics designed to offer
a variety of exclusive skincare treatments, plus “So Me” in-store beauty salons
with full-body massages and teeth whitening. In-store eyebrow and lash bars
offer eyebrow shaping and lash extensions
-more-
o Marks & Spencer offers virtual make up counters with facial recognition
technology to enable consumers to upload a photo and experiment with beauty
trends. Offered both in-store and online, it has attracted more than 200,000
visitors to date
•
Health & Wellness 2.0 (B-WELL)
o Consumers are interested in all-natural and Organic beauty products, free from
unnecessary ingredients commonly found in mainstream cosmetics and health
products
o For example, London’s Organic Pharmacy offers a line of organic make-up, antiaging and health products -- all certified with the Soil Association. Herbal
remedies, homeopathy and nutritional product approaches, plus clinic and beauty
treatments, are also available
o Rexall’s Be.better Private Brand line focuses on healthier living and ‘better for you’
products in multiple categories
•
You Had Me At Exclusive (JOYment)
o Retailers are increasingly interested in providing exclusive health and beauty
options for their customers
o 2013 examples include Carrefour’s line of skincare and cosmetics products in
Spain and France, including its Les Cosmetiques Design Paris displays, which offer
specific product lines for hair, skin, beauty, anti-aging and sun care
•
The Age of Experience (YOUniverse and JOYment)
o Consumers are looking for personalized, interactive experiences that transform
store aisles into beauty destinations
o Examples include: the September 2013 launch of UK retailer J Sainsbury plc’s
Boutique Private Brand beauty line offered in café-style boutiques; Asian market
retail giant Aeon launching accessible beauty imaging photos booths in Japan;
and Selfridge’s in the UK offering 5,000 square feet Beauty Workshops featuring
professionally-trained beauty experts, more than 50 new brands and exclusive
beauty services
-more-
Daymon Worldwide’s 2014 Global Beverage Category Trends Predictions
Courtesy of Kristen Bodenstein, Director, Beverages
[email protected]
•
Low/No Calories (B-WELL)
o Consumers are taking a healthier look at beverages and want more alternatives to
soda. They are aware that sugary drinks are a major contributor to the obesity
epidemic
o Since total liquid consumed is a fairly zero-sum number, one sector's gain must be
another sector's loss. The swap between soft drinks and healthier alternatives
like bottled water is a mega trend
o Fast growing products/segments in beverages are low/no calorie – Bottled Water,
Flavored Sparkling Water, Tea, etc.
o Consumers are accepting watered down versions of juice to diminish sugar
content (e.g. Juicy Juice Fruitifuls, Trop 50, etc.)
•
Naturally Healthy/Functional (B-WELL)
o Antioxidant focused beverages are growing i.e. naturally occurring antioxidants in
tea, superfruits
o Natural caffeine sources like green coffee extract are emerging in energy/energy
focused drinks (e.g. Starbuck’s Refreshers, Bai5, etc.)
o Stevia and other natural sweeteners create options
•
Clean(er) Ingredient Decks/Organic Options (B-WELL)
o No calorie and naturally flavored carbonated and enhanced waters are steadily
growing segments with cleaner ingredient decks vs soft drinks
o 100% Juice and minimally processed products like refrigerated
juices/teas/lemonades are percieved as healthier and also growing. Often they
contain no artificial preservatives or ingredients
o Organic is emerging in Juice/Juice Drinks for both adults/kids
-more-
Daymon Worldwide’s 2014 Global Candy Category Trends Predictions
Courtesy of Leslie Sabino, Category Leader, Candy
[email protected]
•
Health & Wellness (B-WELL)
o Portion Control/100 Calorie Packs
o Antioxidant-fortified candy to beautify skin
o Sugar alternatives
o Gummy and chocolate multi-vitamins
•
Artisan Appeal/Indulgence (YOUniverse and JOYment)
o Hand-crafted chocolates
o Imported, exotic cocoa varieties
o Single-source candy origins
•
Flavor Adventure (Cultural Ecology and JOYment)
o Globally-inspired candies with an exciting international palate of flavors, including
unusual, varietal fruits and savory-sweet flavors
o Example: Jelly Belly BeanBoozled (e.g. 10 “real” flavors and 10 “horrible” ones)
•
Nostalgia Niche (JOYment)
o Candy favorites that reminds consumers of childhood memories
o Example: Hershey’s “Nostalgia Variety Box” of chocolate bar favorites like Mr.
GoodBar, Reeses peanut butter cups and plain Hershey’s Chocolate
•
Packaging (CONSCIOUS RAISING)
o Recyclable packages
o Re-closable pouches
-more-
Daymon Worldwide’s 2014 Global Center Store Category Trends Predictions
Courtesy of Rob Albrecht, Director, Foods
[email protected]
• Healthful products (B-WELL)
o Non-GMO, Organic and natural product will continue to increase in importance
to both consumers and retailers
• Private Brand Evolution (CURRENT-CY and JOYMENT)
o Private Brands will continue to improve in quality and value vs. national brand
offerings
o Ultra-premium Private Brands will continue to increase their presence in the
marketplace as retailers seek to attract new users and a differentiated product
portfolio that offers meal diversity and value
• More strategic on-shelf approach (ALWAYS ON)
o Retailers will put pressure on tertiary regional and national brands, seeking to
end brand proliferation that clutters shelving and harms the shopper’s in-store
experience.
• Social Media Awareness (ALL FOR ONE)
o Social media will be relied upon more heavily to drive center store category
awareness and product promotions
o YouTube, Facebook and Twitter usage by retailers and brand owners will be
heavily invested in, particularly as they target plugged-in Millennials
-more-
Daymon Worldwide’s 2014 Global Cereal Category Trends Predictions
Courtesy of Leslie Sabino, Category Leader, Cereal
[email protected]
•
Health & Wellness Focus (B-WELL)
o Cereal is viewed as an important source of Whole Grains
o The promised health benefits are appealing to consumers
•
Convenience (ALWAYS ON)
o Cereal is a quick and easy healthy breakfast, and the typical choice of a large
percent of consumers
o Eating occasions are going beyond breakfast, as consumers eat Cereal as a snack
(33 percent) or meal option (34 percent), both according to Daymon’s 2013
“Reframing Retail Through the Lens of Changing Food Culture” study
o On-the-go packaging answers the call for quick prep and portability that will
remain a category driver
•
Recession/Value (CURRENT-CY)
o Consumers seek better nutrition at reasonable prices
o Price increases have been noted by consumers, many of whom now base
purchase decisions on available discounts and promotions
o One in five consumers claim to buy Private Brand cereal, indicating the increase in
quality, assortment and acceptance
•
Gourmet/Premium (YOUniverse and JOYment)
o Create-your-own toppings, portions and flavors is a growing trend across
categories
o 36 percent of adults see Cereal as a viable dessert option, with 50 percent of
those adults interested in more dessert flavors (e.g. chocolate is dominant)
o Smaller, yet still satisfying snack items will expand the category
-more-
Daymon Worldwide’s 2014 Global Dairy & Frozen Category Trends Predictions
Courtesy of Christine Bellamo, Director, Dairy & Frozen
[email protected]
•
Sophisticated Shortcuts (ALWAYS ON and B-WELL)
o Reframing the role of frozen as a convenient meal solution (Processed 
Prepared) will drive category growth
o Higher-quality/premium frozen items are increasingly popular
o Less processed/more natural items that offer cleaner ingredient decks, plus
natural/organic offerings are in demand
•
Anytime, Anywhere (ALWAYS ON)
o Portable food solutions for on the go consumption
o Demand for fast, flexible, healthy food options is on the rise as families have less
time for “formal” meals
o Breakfast Around the Clock – any time of day breakfast noshing
o Growth of snacking as a food trend and frozen/dairy items fitting into this with
their inherently convenient items (e.g. squeeze tube yogurts, microwaveable
handheld frozen appetizers, etc.).
•
New Diets (CULTURAL ECOLOGY, B-WELL)
o Reflecting new dietary needs and aspirations through frozen food
o With growing exposure to new tastes, flavors and cuisines, demand for more
diverse food experiences will grow and raise the bar for the frozen category
o Flavors/styles influenced by other cultures (e.g. Asian-style yogurt products and
Tarte´ Yogurt)
o Seasonal combinations and limited time/rotational items
o The increase in allergies and intolerances will accelerate the need for dairy and
frozen foods to reflect the realities of people’s changing requirements
o Diet specific claims like vegan, gluten-free, dairy-free, protein rich, Omegas
o Rise of meatless – entrees, pizzas, appetizers
-more-
•
Wholesome Kids (B-WELL)
o The role of dairy and frozen food in providing the best nutritional start in life will
increase
o As lifestyles become more sedentary, and fears about childhood obesity grow,
healthy and affordable nutrition will continue to be a priority for parents
•
Indulgence (JOY-ment and B-WELL)
o Healthy indulgences (e.g. yogurt-based desserts, healthy pizzas, etc.)
o Premium/Excessive indulgence – in defiance of health and wellness trends
everywhere, some consumers are seeking the most decadent and indulgent
products they can find to counterbalance a culture becoming obsessed with the
latest health trends
o Portion-controlled indulgences (e.g. pint and smaller, personal-sized ice creams,
high-calorie small-sized appetizers, etc.)
Daymon Worldwide’s 2014 Global Deli Category Trends Predictions
Paul Currie, Director, Deli
[email protected]
•
Fresh Prepared Foods (B-WELL)
o The trend for 2014 will be to create a larger variety of ‘cleaner’ product lines that
offer better-for-you health benefits. Healthier eating will resonate with more
consumers who are interested in more ‘free-from’ products for their families
•
Ready-to-Go Ethnic Prepared Foods (CULTURAL ECOLOGY, ALWAYS ON)
o Mediterranean and Indian cuisines will be more prevalent in prepared food choices
than ever before. More consumers are getting educated by the many television
cooking shows and contests being broadcast around the globe. They are seeking
out new food experiences through prepared foods and ready-to-go entrees. More
suppliers with the expertise are in the marketplace are now growing their product
lines to satisfy the needs of this up and coming trend
-more-
•
Snacking and Mini Plates (B-WELL)
o Millennials are driving the craze for more flexible menus, and want more choices
for appetizers, mini-meals and small plates for snacking. Health and weight
management are the goals behind these trends for younger consumers and parents
focusing on their children’s health
•
Specialty Cheeses (JOYment and YOUniverse)
o This category is growing with leaps and bounds due to the exposure on television
cooking shows and contests. Consumers are getting more curious and adventurous
with trying need ingredients to more traditional fare. Artisanal Cheese varieties are
becoming more and more commonplace as the interest level of finding more local
or regional suppliers is important to new consumers. Chevres, Edens, Bries,
Quesos, Asiagos, Mozzarellas and much, much more are being created by start-up
creameries and farmsteads
•
Pizza (JOYment)
o Artisan cheeses and more individual-sized pizzas will be the continuing trend for
this deli category. The frozen category is still in a decline as consumers are still
looking for more unique flavors and new crust types to jazz up this traditional
favorite dish. A surge in consumer preference for more flavorful pizzas will allow
more combinations of cheeses, veggies, fruits and proteins to be used to offer new
taste experiences. According to the Wisconsin Milk Marketing Board, two out of
five consumers say they would like pizza places to offer healthier ingredients, such
as whole wheat crusts, Organic toppings and crusts, and all-natural and locally
sourced ingredients.
-more-
Daymon Worldwide’s 2014 Global Meat/Seafood Category Trends Predictions
Brian Diffenderfer, Director, Meat & Seafood
[email protected]
•
Organic and All Natural (B-WELL)
o The trend toward Organic & All Natural meat and seafood will continue in 2014 as
consumers are looking for healthier meal solutions. Health-conscious shoppers are
also interested in fresh products without antibiotics or growth hormones
•
Value Added (ALWAYS ON and JOYment)
o As consumers are receptive to new and interesting sensory experiences, meat, fish,
and poultry manufacturers are responding with unique recipes and flavors. With
lifestyles busier than ever, value-added products that are more convenient are
gaining popularity
•
Fresh and Natural (B-WELL)
o Taste matters as consumers look more favorably on fresh, pure, and natural
attributes. Active and intelligent packaging techniques, are being used to preserve
freshness and shelf life in fresh chilled meat, poultry and fish products, which fits in
with the Fresh and Natural trend
•
Single-Serve (CURRENT-CY)
o In order to capture the single household consumer and respond to the trend
toward portion control and price consistency, there is increased demand for single
serve packaging
•
Sustainable Seafood (B-WELL, CONSCIOUS-RAISING)
o The sustainability of our seafood resources is of particular importance because of
the growing demand for seafood worldwide. Sustainability is simply defined as
"using a resource so that the resource is not depleted or permanently damaged".
The consumer wants to be sure that the product and its origin are environmentally
safe
-more-
Daymon Worldwide’s 2014 Global Pet Category Trends Predictions
Courtesy of Jennifer Korngiebel, Senior Category Manager, Pet
[email protected]
•
Pet Humanization (B-WELL, YOUniverse and ALL FOR ONE)
o Consumers are interested in the same product quality, convenience and innovation
they look for in their own food for their pets
•
Premiumization (B-WELL, YOUniverse, ALWAYS ON)
o Innovations in the market focus on premium flavor combinations and high quality
ingredients
o Consumers want more convenient packaging, including smaller, easier-to-carry
sizes, and are willing to pay more for it
o Understanding cats and dogs are carnivores, pet owners want high-protein, lowfiller options
•
Health & Wellness (B-WELL)
o Consumers want pet snacks and food with health-focused ingredient benefits like
“anti-hairball” ingredients, specific breed formulations, “light” food and oral care
•
Private Brand Pet Food (CURRENT-CY)
o Due to tougher economic situations around the globe, Private Brand pet food is
becoming increasingly popular, and as a result, quality, acceptance and innovation
are increasing. In Germany, for instance, Private Brands are treated and perceived
exactly like National Brands
Daymon Worldwide’s 2014 Snack Category Trends Predictions
Courtesy of David Hyland, Director, Snacks
[email protected]
•
Snacks as Mini-Meals (B-WELL)
o Consumers increasingly believe that eating smaller, more frequent meals is
healthier
-more-
o All-Day-Long snacking is on the rise to keep hunger at bay throughout the day
•
Healthy Snacking (B-WELL)
o Desire for less-processed, “real” food influences consumer snacking choices and
mini-meal occasions
o “Positive” nutrition found in snacks that contain naturally-occurring protein and
fiber are appealing to consumers looking to replace, bridge or upgrade their
current snacking repertoire
•
Flavor Adventures (CULTURAL ECOLOGY and JOYMENT)
o Consumers seek taste adventures with new, globally-inspired foods
o 48 percent of consumers report that they have tried something new or globallyinspired on their last eating occasion ( from Daymon Worldwide’s “Reframing
Retail Through The Lens of Changing Food Culture”)
•
Convenience (ALWAYS ON)
o Grab & Go snack options in smaller portions appeal to the rising number of
consumers enjoying solo eating experiences
o Smaller, easier to carry packaging sizes offer both convenience and portion
control
•
Premium Options (CURRENT-CY and JOYment)
o European retailers have been aggressively launching premium Private Brand
items accounting for about half of all premium category launches
o Premium products tend to be smaller but are becoming a growing segment of the
Latin American snacks market
o Frito-Lay notes that the premium salty snacks category is growing faster than
value and mainstream segments
-more-
About Daymon Worldwide:
Daymon Worldwide is the only full-service global Private Brand and Consumer Interactions
expert. We currently provide retail branding and sourcing expertise to more than 100 major
retailers and nearly 6,000 manufacturers in 50 countries. Daymon teams work directly and
collaboratively with the world’s leading suppliers and retailers to create and market ownable,
differentiated brands in the marketplace that deliver exceptional value and improve people’s
lives. We currently handle more than 1,700 brands and approximately 165,000 individual SKUs
globally. The company’s expertise includes Private Brand development, branding and strategy,
insights and measurement, global sourcing and shopper and consumer experience marketing.
Founded in 1970, today Daymon has more than 35,000 associates worldwide, with offices
located across six continents. For more information, please visit www.daymon.com.
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