There is a significant success rate for snacking, in large
part due to its flexible and versatile concept: virtually any
food category can be made into a snack; any time is a good
time for a snack; and new product development seems to
be unlimited. According to one trend analysis, 60 percent of
snack brands launched between 2003 and 2013 were still on
the market last year, giving the snack category the highest
success rate among all categories.
Premiumization
In a market saturated with standard products and private
labels consumers start to focus their interest in products with
added characteristics that provide a high-end and premium
Insight met up with AAK’s Marketing Directors for the company’s Dairy, Bakery and
Chocolate & Confectionery segments to find out how these three trends are influencing
the food industry in general, how they affect AAK’s proposition to the market,
and what we can expect for the future.
Henning Villadsen,
Marketing Director Dairy, on the plant-based trend
How is the plant-based trend influencing the industry?
The potential this trend has released within the dairy industry
has been widely discussed for some time now and today
you can find several different plant-based alternatives within
all traditional dairy categories. For example, during the past
year all major ice cream brands have launched multiple
flavors within their plant-based portfolios. This strong trend
is now clearly coming through within the meat alternative
category as well.
How does this trend fit your value proposition to the
market?
Our value proposition of being purely vegetable-based is a
perfect match with this trend. We develop value-adding solutions
which offer unique sensory experiences and which, at
the same time, have a strong sustainability and health
promise. Today’s consumers care about our planet
and understand the impact that their diets have
on the environmental challenges, which is why
many people choose a flexitarian or a purely
vegan lifestyle.
Going forward, what do you expect for the dairy industry
in relation to the trend?
We have already started to see its impact. The creation of
DanoneWave was one of the first examples of how a dairy
company expands its activities by including plant-based
alternatives. For all products made with ingredients of
animal origin, there will sooner or later be purely plant-based
alternatives – providing the consumer with a choice.
Trends and AAK
experience. These premium products are characterized by
the quality of the raw materials, the craftsmanship, and the
overall eating experience. Consumers are constantly being
influenced by the web and as their needs fragment, they will
be willing to pay more for products that they believe meet
their individual needs.
The growing role in the market of smaller and more agile
players means that larger companies must change the
way they think about premium food products. A few have
started to embrace the change but a lot of work remains for
most of them.