The future of
frozen food
10th May 2013
Helen King, Head of Consumer Insight & Innovation
Stephanie Moe, Sector Manager Frozen Foods
Agenda
Study background
.
Setting the scene
Opportunity platforms
Final thoughts
© 2013 Bord Bia, The Futures Company
Study
‘What key opportunity spaces may emerge for
frozen food over the next five to ten years?’
Key drivers shaping
landscape
.
Emerging trends
Opportunity areas
Opportunities for ten key markets: the US, the
UK, Ireland, Germany, France, Brazil, Japan,
Sweden, India and China
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Setting the scene
Mounting pressure on food supplies is creating new
challenges for manufacturers and consumers
In the last 30 years, Chinese
demand for meat has
quadrupled. China now eats
twice as much meat as the
United States1
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Pressure on global resources will intensify
By 2030, it is anticipated
there will be up to 30%
shortfalls in global cereal
production due to water
scarcity2
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In many developed markets, constrained incomes will continue
to impact food choices
One in six people in the UK say
rising food prices are making it
difficult to eat healthily. The
poorest 10% of households are
buying 25% less fresh fruit than
in 20073
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Greater polarisation in the marketplace will continue to redefine ‘value’
‘This polarisation in the consumer
goods market is interesting
because it has never been seen
before. They [shoppers] have more
stores to choose from, more
channels – with different
associated price perceptions – and
more brand-versus-own-label
options.’
Danielle Pinnington, founder of shopper
insight company Shoppercentric, quoted in
Marketing magazine, March 2012
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Consumer demands for transparency and openness will intensify
67% of Britons trust food labels
less than they did before the
horsemeat scandal4
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New processing technologies are increasing shelf life and food
safety
The falling cost of high pressure
processing, which extends shelflife and preserves food quality,
could revolutionise the packaged
food market
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Lifestyles are changing, creating new needs
Globally, up to one billion
women are expected to enter the
workplace in the next decade –
creating new family dynamics
and convenience needs4
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Outlook is promising, with significant opportunities for new
growth in emerging markets
The global frozen prepared-food industry
is experiencing strong growth and is
expected to reach sales of €142
billion by 2015, with significant
opportunities in emerging markets in
Asia, Latin America and Eastern Europe
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Exploring opportunities for frozen food
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Opportunities under four broad platforms
Cool living
Preserving goodness
Responsible choices
New frontiers
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Mapping opportunities
New diets
Perfect
portions
Spectrums of
cool
Positively
frozen
Wholesome
kids
Sophisticated
Shortcuts
1 to 2 years
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Safeguarding
nutrition
Low impact
frozen
Frozen
theatre
Anytime,
Anywhere
Rethinking
the pack
Frozen
gastronomy
5 years and
beyond
Cool living
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Sophisticated shortcuts
Reframing the role of frozen as a convenient meal solution, stretching beyond
the ‘ready-meal’ to give greater control, flexibility and quality when cooking
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Sophisticated shortcuts
Frozen Meal Kit:
Coles frozen meal
kits – great tasting
and convenient
meals for the whole
family, US
Gourmet Chef Meals:
‘Pop up pantry’
gourmet frozen meal
subscription service
club for food lovers,
US
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New diets
Reflecting new dietary needs and aspirations through frozen food as
demographic and lifestyle changes combine with improved understanding of
individual
food needs
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New diets
Tailored Cuisine:
Frozen Thai basil and
chili tofu entrée by
Saffron Road is gluten
free, vegan, halal and
made with an authentic
blend of Thai spices,
US
Easy Experimentation:
Frozen wok vegetables
in Chinese, Japanese
and Thai mixtures for
easier experimentation,
Brazil
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Approximately 18% of the
US population purchase
‘gluten free’ products –
although just 0.1% have
been diagnosed with coeliac
disease
Sources: The European Academy of
Allergy and Clinical Immunology
(EAACI) 2011, and Packaged Facts
December 2012
Anytime, anywhere
Portable frozen food solutions for increasingly hectic lifestyles, more fluid
meal patterns and greater ‘on the go’ consumption
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Anytime, anywhere
Packaging that cooks:
Gogol Mogol portable
self heating packaging
that cooks an egg in two
minutes, Russia
Frozen Snacks:
Toast Me straightfrom-frozen meat
snack, marketed as
being a world first, UK
and Germany
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Preserving goodness
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Wholesome kids
The role of frozen food in providing the best nutritional start in life as the desire
for wholesome, tasty food for kids grows
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Wholesome kids
Kid-Friendly Vegetables:
Peas of Mind offers childfriendly ways of getting
the family eating more
vegetables, including
chips made from broccoli,
US
Making Food Fun:
McCain’s ‘Jacket Smiles’
specifically for kids up to
10 years old, featuring
smiley faces stamped
into the potato skin, UK
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Positively frozen
Building stronger emotional bonds with the frozen category by promoting
positive food values
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Positively frozen
Fairtrade and Frozen:
Village Harvest’s range of
Fairtrade frozen grains,
which supports social
development projects and
fundraising efforts,
Canada
Frozen Local Produce:
Local, organic frozen
spinach farmed without
the use of pesticides
and sold in the same
prefecture in which it is
grown, Japan
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‘The progress that’s been made
elsewhere in terms of food
provenance (whether something
is organic, free-range, fair-trade
or local) hasn’t translated on to
frozen food packaging. Frozen
food manufacturers, or perhaps
buyers, seem stuck in a timewarp.’
Simon Parkes, The Food
Programme, BBC Radio 4, March
2012
Safeguarding nutrition
Maximising the nutritional benefits of food and ingredients by freezing, as
people pay closer attention to the role of diet and nutrition for securing long© 2013health
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term
Safeguarding nutrition
Frozen Nutrient Drinks:
Aojiru health drink, made
from Kale, and now
available in frozen liquid
concentrates to preserve
its nutritional benefits
better, Japan
Incorporating ‘Super-Foods’:
A Kinsale Gourmet frozen pie:
includes the sea vegetable
dillisk, rich in vitamins, minerals
and antioxidants not found in
land-grown plants, Ireland
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Responsible Choices
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Perfect portions
Providing portion perfection through frozen food to minimise food waste, as the
dietary needs of families become more complex, and the number of single© 2013 Bord Bia, The Futures Company
person
households grows
Perfect portions
Perfectly-Portioned Meals:
Healthy Choice Café
Steamers’ range includes
22 portion-controlled meals,
US
Flexible Portioning:
Creative Gourmet’s
smoothie cubes: singleserving-sized frozen
fruit mixes that can be
immediately blended
into smoothies, Australia
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Roughly 1.3bn tonnes
of food is either lost or
wasted globally due to
inefficiencies
throughout the food
supply chain and
domestic waste
Source: The United
Nations 2011
Low-impact freezing
Reducing the impact of frozen foods as rising energy costs, and improved
understanding of the resource footprint of foods increases manufacturer, retailer
© 2013
Bord Bia, The Futures
Companyon efficient resource use
and
consumer
focus
Low-impact freezing
Green Consumers:
In a survey by the
European Commission,
72% of supermarket
shoppers questioned
were in favour of carbon
labels on food
Evolving Regulations:
A current draft EU law
will ban ‘F-gas’ from
refrigerators and coolers
in domestic settings by
2015 and commercial
settings by 2020
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Rethinking the pack
Intelligent Packaging:
Chemical company BASF
has developed OnVu
ICE, a time temperature
indicator packaging label
for frozen foods that
shows whether the cold
chain has been kept
secure, Global
Edible Packaging:
Wikicell is developing allnatural, edible packaging
for a variety of foods that
offers protection and
eliminates packaging
waste, US
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New frontiers
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Spectrums of cool
Intelligent devices that transform the use of frozen food in the home and
increase
engagement with the category
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Spectrums of cool
Flexible Storage:
The Samsung T900
refrigerator has a
flexible zone that
converts from fridge to
freezer and back again
at the touch of a button,
South Korea
Smart Appliances:
LG has recently launched
its new Smart fridge that
can scan products as they
go in, monitoring expiry
dates and offering recipe
suggestions, US
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Frozen theatre
Elevating the dining and entertaining experience using frozen foods as people
seek
out more engaging and inspiring foods and cooking processes
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Frozen theatre
Illustrating Presentation:
Picard has created a presence
on Pinterest, a content sharing
service, showcasing how easy it
is to create perfectly presented
entertainment with frozen,
France
Food Theatre:
Polobia Catering in
Chicago has created the
world’s first portable Nitro
Dessert Station, for a
more ‘social’ and
interactive experience at
celebratory events, US
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Frozen gastronomy
Evolving freezing technologies that push the sensory boundaries of food and
drink
as food knowledge and understanding become more sophisticated
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Frozen gastronomy
Molecular Gastronomy:
This DIY molecular
gastronomy kit includes
everything required to
use molecular techniques
in the home, including
pre-measured additives
and specialised tools, US
Sensory Experimentation:
The Anti-Griddle is an
appliance that freezes the
outside of food and retains
liquid centres. Currently
used in restaurants, a
domestic version could be
available shortly, US
© 2013 Bord Bia, The Futures Company
Frozen gastronomy
Molecular Gastronomy:
This DIY molecular
gastronomy kit includes
everything required to
use molecular techniques
in the home, including
pre-measured additives
and specialised tools, US
Sensory Experimentation:
The Anti-Griddle is an
appliance that freezes the
outside of food and retains
liquid centres. Currently
used in restaurants, a
domestic version could be
available shortly, US
© 2013 Bord Bia, The Futures Company
Retail perspective
© 2013 Bord Bia, The Futures Company
Rethinking the shopper journey for frozen food
Finding ways to disrupt the typical shopper
journey to frozen in-store and optimising its
presence in different channels will increase
its relevance to shoppers — as already
done successfully in Scandinavian markets
As frozen food is typically found
at the end of the customer
journey, by the time shoppers
reach it, it’s too late to fall into
their consideration set.
‘Retailers are re-orienting their
categories and their stores to
force people to shop the
perimeter … What’s happening is
consumers are walking in with a
budget. By the time they get out
of the perimeter, their budget is
gone.’
William R. Johnson, CEO, H.J Heinz,
quoted in Packaging Digest,
September 2012
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Enhancing the in-store aesthetics of frozen food
Drawing shoppers to the frozen-food aisle
by increasing its visual, sensory and
aesthetic appeal and highlighting new
products is a key opportunity for retailers
ConAgra in the US redesigned the in-store
customer experience based
on consumer occasions,
using ‘captivating signage to
communicate the new
arrangement’ and upgrading
the appearance of the frozen
aisle ‘to move from sterile to
themes evoking kitchens,
restaurants, food or family
dining.’
Liz Mohr, ConAgra's director of
shopper insights, quoted in
Progressive Grocer October 2012
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Bringing frozen food to life inside the store
Creating a sense of theatre in-store around
frozen food is key to making it feel more
aspirational and breathing warmth into the
category: in-store tastings, trials,
demonstrations and even in-store
consultants could deliver real excitement
‘Much of the influence on
shopping in the frozen
category happens prestore…because purchases
are so highly planned, the
lack of aisle theatre to drive
in-store engagement means
shoppers are not browsing
this section and are less
engaged than they might
otherwise be.’
Kirsty Dollisson, manager of marketing
and commerce TorchMedia, quoted in
Retail Week, June 2012
© 2013 Bord Bia, The Futures Company
Expanding the presence of frozen food online
Frozen pre-prepared foods and ingredients
can easily be positioned next to their chilled
or fresh counterparts on a virtual shelf – with
fewer of the barriers associated with
physical retail. Online platforms hold strong
potential for connecting with new audiences
‘Offline currently it’s behind
glass, it’s a chilly gloomy part
of the store, and it’s difficult to
draw attention to promotions.
On the Internet you don’t
have any of those
drawbacks.’
The
Ed Garner, Kantar Retail
© 2013 Bord Bia, The Futures Company
Final
thoughts
Setting
the scene
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Trust and transparency are non-negotiable
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It will become increasingly important to create a
paradigm shift through creative collaborations
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A proactive approach to shaping the market
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Creating new categories for frozen food
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New sources of inspiration to stay ahead of the game
© 2013 Bord Bia, The Futures Company
The future of
frozen food:
Next Steps
10th May 2013
Next Steps
Consult Full Report
.
Engage with your team
Partner with us
-Strategy Workshop
-Innovation Thinkshop
© 2013 Bord Bia, The Futures Company
Next Steps: The Future of Frozen Food
Bord Bia would now like to engage a small number of clients to
help leverage the content of this report to drive future growth
Two options:
1. Strategy workshop
Using the existing insight in the report to work on an individual
client basis to explore the attractiveness and attainability of
different opportunities to help build a road map based on
strategic priorities
2. Innovation Think-shop
Focusing on a select number of opportunity areas to spur
innovation, and bring to life new product and concept ideas
with compelling narratives.
© 2013 Bord Bia, The Futures Company
Thank you
Helen King, Head of Consumer Insight & Innovation
Stephanie Moe, Sector Manager Frozen Foods