Introduction - by Tony Pearce, Sales Director, Birds Eye
Wall's
1998 was a better year for the total
frozen food category with value growth of 3.5% equating to
an extra £171m versus 1997. Total frozen food therefore
slightly outperformed the total food market, (which grew
by 2.5%).
Birds Eye Wall's have ambitious plans for
growth in 1999:-
-
£35m of TV advertising. A massive
increase of £10m on last year.
-
Fewer but bigger new product launches,
eg. Herbs, Make a Meal, Magnum Double, Winner Taco.
-
Outstanding customer service and an
efficient distribution network. Wall's Direct is
launched on 1st March and the new central distribution
hub at Hams Hall opens at the end of May. Both of
these major initiatives will enable us to provide a
much more flexible, responsive customer service
therefore maximising consumer availability in store.
MARKET
OVERVIEW
Total Frozen Food Market inc. Ice Cream is
worth 4.964 Billion and has grown by 3.5% or £171m in
1998
FROZEN
FOOD £3.756
billion
+3.7%
Brand Shares:- BEW 16.5% ROB 45%
ICE
CREAM £1.208
billion
+2.9%
Brand Shares:- Wall's 26.8% ROB 42.4%
WRAPPED
IMPULSE £286
million (est. for 98) -12.3% Brand
Shares:- Wall's 69.2%
VEGETABLES
£552.4 million -0.4% A slight decline in 1998 in
volume (-2.2%) and value (-1%)
GREEN
VEGETABLES
£440.2 million -1% Brand
Shares:- BEW 20.9% ROB 65.4%
PEAS
£160.1 million -0.3% Brand
Shares:- BEW 38.3% ROB 57.5%
NATURAL
VEGETABLES £191 million -10.7% Brand
Shares:- BEW 8.3% ROB 84.4%
PREPARED
VEGETABLES
£59.8 million +47.8% Brand
Shares:- BEW 8.5% ROB 50.7% UB 30.6%
VEGETARIAN
FOODS £29.3
million -0.9% Brand Shares:- BEW
33.7% ROB 14.9% Dalepak 46.5%
VEGETABLE
PROTEIN £112.1
million +2% Brand Shares:- BEW
1.2% UB 39.5% Others 45%
POTATOES
£351 million +12.7% The
total frozen potatoes market performed well in volume up
+5.1% versus last year, whilst value grew by
+12.7%.
Brand Shares:- BEW 14.6% ROB 45.1%
CHIPS
£208.5 million +13.9%
Brand Shares:- ROB 45% McCain 40.5%
POTATO
PRODUCTS £142.44
million +10.9% Brand Shares:- BEW
36% ROB 45.2%
RED
MEAT £185
million +15.7% The Red Meat market
has grown for a second year by 15.7% in value terms. This
growth has been very much driven by the premium burger
category (+46%). Brand Shares:-
BEW 30.8% ROB 37.5%
RED
MEAT BURGERS
£117.9 million +20.7%
Brand Shares:- BEW 40.7% ROB 45.6%
RED
MEAT GRILLS
£67.1 million +7.8% Brand
Shares:- BEW 13.4% ROB 23.3% Dalepak 37.8%
POULTRY
£396.9 million +10.3% The
Poultry market has seen another good year in value terms
up by +10.3% and in volume terms up by
7%. Brand Shares:- BEW 35.2% ROB
36.5%
READY
MEALS £574.5
million -5.5% 1998 saw this
category decline for the first time in ten
years.
Brand Shares:- BEW 18% ROB 42.4%
TRADITIONAL
MEALS £207.8
million -1% Brand Shares:- BEW
24.1% ROB 43.3%
INTERNATIONAL
MEALS £309.3
million -5% This category is
marked by high rates of innovation particularly in Indian
Authentic. However, the Indian Mainstream market is
the biggest sector, currently worth £56m - an increase of
5.1% over 1997. Brand Shares:- BEW
15% ROB 48%
HEALTHY
MEALS £57.3
million -20.5% This market has
declined significantly by £14.7m versus 1997. This
can be attributed to a lack of innovation in the
category. Weight Watchers continue to dominate
the sector with a 60.2% value share, mainly at the expense
of Lean
Cuisine.
Brand Shares:- BEW 12% ROB 9.6% Heinz 62.9%
SAVOURY
BAKERY £236.8
million
-1.8% 1998
has seen the individual sector being traded more heavily,
especially by Freshbake and McDougalls hence the market
has increased in volume but not value. The Family Pies
Market has been traded less heavily and has witnessed a
growth of premium pies. Brand
Shares:- BEW 9.3% McDougalls 5.8% ROB 43.5% Campbell 10.3%
Hollands 6.1%
PIZZA
£340.8 million +17.6% The
Pizza Category has experienced very strong growth, nearly
doubling in volume between 1991 and
1996.
Brand Shares:- UB 16.4% Nestle 4.2% McCain 4% ROB 42.3%
SNACKS
£44.7 million
-0.1%
Brand Shares:- ROB 31.6% GrandM 9% Nestle 23.1%
FISH
£633.8 million +0.4% 1998
was a difficult year for the fish Category due to a
shortage of raw material and subsequent inflationary
pressures. Birds Eye the Brand Leader, lost share in
1998 to both own label and Ross
Young's. Brand Shares:- BEW
23.2% ROB 49% UB 19.3%
COATED
FISH £230.3
million -5.7% Both volume and value in the coated fish
sector has declined rapidly over the year. Again, this is
due to a lack of promotional support in the sector, price
increases and consumer switching to other categories
outside
fish.
Brand Shares:- BEW 17.1% ROB 56.1% UB 19.3%
FISH
FINGERS £99.3
million +6% Fish Fingers remain
the second biggest sector of total fish and have grown as
a result of market price
increases.
Brand Shares:- BEW 61.6% ROB 33.9%
FISH
IN SAUCE £46.6
million +3.9% The Fish in Sauce
category has been heavily traded throughout 1998. Ross
Young's continued to promote aggressively throughout the
year. Brand Shares:- BEW 49.7% ROB
27.2% UB 19.4%
FISH
MEALS £95
million +13.3% Fish Pies continue
to be a heavily traded area of this sub-category.
Ross Young's continue to dominate this area despite NPD
from both own label and Birds
Eye. Brand Shares:- BEW
20.6% ROB 27.2% UB 39.9%
OTHER
FISH £162.7
million
-1.4%
Brand Shares:- BEW 2.4% ROB 67.2% UB 16.9%
FROZEN
DESSERTS £440.2
million +4.8% The Frozen Desserts
market was valued at £440m, a value increase of 4.8% in
1998. However, volume has marginally decreased by 1.8%.
Sara Lee and McVitie's are still the leading branded
manufacturers. Sara Lee has increased value share to 23%
and volume to 23.1%. This was the result of heavy
promotional activity in
1998.
Brand Shares:- BEW 1.4% ROB 45.2% UB 2.4% Sara Lee 22.9%
ICE
CREAM TOTAL MARKET £1.208
billion +2.9%
ICE
CREAM IN HOME
£614.4 million +6% In 1998
the total In Home Ice Cream market was valued at £614m,
showing a 6% value increase and 5.7% volume decrease year
on year. This growth has been fuelled by
handheld Multipacks, which have grown by 21% in value and
7.6% in
volume.
Brand Shares:- Wall's 26.8% Mars 13.2% ROB 42.4%
ICE
CREAM WRAPPED IMPULSE
£286 million
-12.3%
Brand Shares:- Wall's 69.2%
Note:
Brand Share abbreviations:
BEW Birds
Eye Wall's
ROB Retailer Own Brand
UB United Biscuits
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