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Canned Foods Market Report Plus
Key Note Publications Ltd, Jan 2000
This report presents an analysis of the UK canned foods market. It includes the following product categories: meat, vegetables, fish, fruit, soup, desserts, cooking sauces, and pasta.
Canned foods represent a mature grocery sector, with long-established brands that are synonymous with the products - for example, Heinz baked beans, Spam chopped ham and pork, Campbell's soups, and Del Monte's canned fruit.
The overall canned fruit market is still in long-term decline. Consumers move increasingly towards fresh and chilled foods, while there has also been increasing competition from alternative packaging forms - such as glass jars, cartons, and plastic pots. In 1999, total canned food sales fell by 1.1% to £1.71bn.
However, there have been some growth areas in the market. These include canned fish and canned soup. Baked bean variants and canned ham have also performed well over the past year. In an attempt to rejuvenate the market, manufacturers have concentrated on developing premium, added-value products, and on targeting a new generation of younger consumers. They have also rationalised their range in response to the reduction in retail space for canned grocery fixtures.
Recent product developments have included the introduction of organic canned foods, including baked beans and spaghetti. Meanwhile, in packaging, developments have focused on user-friendly cans which offer greater convenience for the consumer - for example, Carnaudmetalbox PLC's Ecolii ring pull (with an easy-to-open end), and the microwaveable can by International Fish Canners.
The past few years have seen greater integration by leading canned food manufacturers. They have sought to strengthen their supply chain as part of a long-term expansion strategy programme - for example, Princes Ltd recently formed a strategic alliance with Gruppo Russo, one of Italy's leading canned tomato producers.
The UK canned foods market looks set to decline further, due to increasing competition from fresh and chilled foods, and from alternative packaging forms. Future market expansion will depend on consistently high levels of product innovation, combined with imaginative marketing and promotion.
Key Note forecasts that the value of the UK canned foods market will fall by 1.4% between 2001 and 2005, from £1.7bn to £1.68bn.
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