News and Trends

Date: 16 February 2024 Featuring food inflation, IGD forecasts, economic growth and real pay.  Lower food inflation Food price inflation continued to decline from 8% to 6.9% in January, which was exactly in line with IGD’s expectations. Inflation in foodservice behaved differently, rising from 7.3% in December to 7.7% in January. One reason for this may be increasing labour costs – if so, further cost increase may take effect in April when the new  National Living Wage  is introduced. IGD Viewpoint:   There are a number of risks for food inflation in the short-medium term. These include border issues, energy prices, geo-political stresses and labour costs and weather. On balance, IGD anticipates that food and drink inflation will slow and eventually level off at some point before year-end. The overall cost of a typical food shop is not expected to fall in the near- to mid-term. Stable inflation New  ONS data  shows that “all items” inflation was stable...

  https://thomasbreads.com/products/thomas-croissant-bread https://www.oreo.com/gluten-free-golden Subway Foot-long cookie https://newsroom.subway.com/2022-11-30-Subway-Unveils-the-Worlds-First-Footlong-Cookie-Only-Available-on-National-Cookie-Day

Bakers need to add another dimension to their business to stay relevant. Pic: GettyImages/George Peters Working people who have less time for lunch beyond their desks are increasingly turning to this mode of consumption, as are time- and cash-strapped students and families looking for convenient, ready-to-eat meals. In response to this growing demand, bakers are quickly finding their place in the snacking market. In fact, it’s no longer merely an option, but a strong lever of additional sales for these professionals, who must adapt to new consumption patterns. Snacking facts Pic: GettyImages/Shaf Bdn 71% of people eat a snack at least twice a day worldwide (Mondelez International, The Harris Poll and Ispos) 86% of people regularly snacked in 2021, compared with 78% in 2013 (Vigie Alimentation 2022 by Futuribles) 75% of Gen Z are eat a meal while on the move (GlobalData) 69% of millennials prefer multiple snacks to meals (GlobalData) 50% of consumers worldwide enjoy takeaway food at lea...

Away from home growth is driven by volume, not price inflation – especially in coffee and biscuits. Nuria Moreno Global Director, OOH & Usage Panels (Food) Javier Sanchez Global Business Development Director, OOH & Usage (Food) Get in touch Consumer Shopper & Retail CPG Consumers around the globe spent 11% more on snacks and non-alcoholic drinks to enjoy away from home in Q3 of 2023 than they did the previous year. This is a continuation of the slow recovery trend we have witnessed since the inevitable drop in 2020. In two markets in particular, however, value growth is huge – and this is a result of more than price rises. Looking at the big picture, total spend on snacks and non-alcoholic drinks across both the out-of-home (OOH) and in-home (IH) spheres has grown once again, for the tenth quarter in a row, with a 9% year-on-year increase. If we dissect the market, OOH value sales have grown faster than in-home spend during 2023, with a rise of 11% ($6.8bn) from $1...