An in-depth study of trends and developments in the UK's retail food and drinks market has revealed a definite leaning towards convenient, healthy products.
Leatherhead Food International's major new study - The UK Food and Drinks Report 2007 - provides facts and figures for 22 market sectors. In 2006, the UK food and drinks market was valued at £17.3 billion, a 1.8 per cent increase on 2005 and an annual average increase of 4.3 per cent since 2002. Alcoholic beverages topped the list of sinlge largest sectors by value, with total sales of £46.8bn, whilst fresh produce generated sales of £7.2bn.
The research shows a clear correlation between the top growth sectors and key market drivers, with several of the leading growth sectors such as cereal bars, fruit juices, nuts and bottled water benefiting from consumer demand for products that are convenient to prepare and consume on the go, as well as being perceived as healthy and natural.
Conversely, the report shows that sectors such as frozen are losing out to more convenient options such as chilled food, whilst food and drink with high levels of sugar, salt and fat have seen much poorer growth due to rising consumer concern over health issues.
