Pies and Pasties - UK - July 2008

SUMMARY

Abstract

The market for pies and pasties is characterised by steady but small growth in value. These products are familiar to all consumers but have an image of being rather old-fashioned and unhealthy with a high calorie content.

The market is under pressure from growing interest in home cooking and from an increasingly competitive snacking market.

Manufacturers have made good progress in making products more aligned with healthy lifestyles in a time-pressured environment. This report evaluates whether the new opportunities open to pies and pasties are sufficient to see higher growth rates than those achieved in the past.

Key themes of the report:

• The market for pies and pasties is over-reliant on older consumers, who are core consumers of pie and pasty products - can pastry-based products appeal to a wider audience?
• Has recent NPD done enough to convince consumers that pies and pasties should play a larger role in their modern diet?
• Is there enough of a resurgence in the frozen food market to reverse the downward trend in this segment of the market?
• Can this market achieve growth rates above the stodgy levels of the past?

TABLE OF CONTENTS

Table of Contents

• Issues in the Market
• Key themes
• Definitions
• Market in Brief
• Steady market growth
• Products consistent with modern lifestyles
• Age drives different behaviour
• Opportunity in provenance
• Outlook
• Internal Market Environment
• Key points
• Homemade pies?
  • Figure 1: Agreement with selected lifestyle statements, 2003-07
• Making pies healthy
  • Figure 2: Agreement with selected lifestyle statements, 2003-07
• Opportunity in provenance
  • Figure 3: Agreement with selected lifestyle statements, 2003-07
• Broader Market Environment
• Key points
• Changing demographics provide opportunities
  • Figure 4: Effects of changing UK demographics on the market for pies and pasties, 2007
• PGI scheme protects products with provenance
• Competitive Context
• Key points
• Competition with other snack foods
  • Figure 5: Competitive context in the snack market, 2007
• Competition in meals
  • Figure 6: Competitive context in the meal market, 2007
• Strengths and Weaknesses in the Market
• Strengths
• Weaknesses
• Market Value and Forecast
• Key points
• Steady growth
  • Figure 9: Market size for pies and pasties, 2003-08
• The future
• Forecast
• Future to remain challenging
  • Figure 10: Sales and forecast of the value of the pies and pasties market, 2003-13
• Health concerns grow
• Competition intensifies in the snack market
• Segment Performance
• Key points
• Chilled segment grows
  • Figure 11: Market size for pies and pasties, by type, 2006-08
  • Figure 12: Retail value sales of chilled pies and pasties market, by segment, 2008
  • Figure 13: Value share of each segment within the chilled pies and pasties market, 2008
• Hot pies flat
• Multipacks main part of frozen
  • Figure 14: Retail value sales of frozen pies and pasties market, by segment, 2008
  • Figure 15: Value share of each segment within the frozen pies and pasties, 2008
• Product Positioning
• Key points
• Single-portion pies show wide price range
  • Figure 16: Supermarket prices of pies targeted at snack occasions, June 2008
• Family meal pies are cheaper
  • Figure 17: Supermarket prices of pies targeted at meal occasions, June 2008
• Companies and Products
• Birds Eye Limited
• Greggs plc
• Kerry Foods
• Northern Foods
• Pork Farms Limited
• Premier Foods
• Samworth Brothers/Ginsters
• Ginsters
• Dickinson & Morris
• Charnwood Bakery
• Other suppliers
• Bell Bakers
• Duchy Originals
• George Adams
• Peter's Food Service Ltd
• The West Cornwall Pasty Company
• Niche suppliers
• Brand Communication and Promotion
• Key points
• Promotional spend on the increase
  • Figure 30: Main monitored media advertising expenditure on pies and pasties, 2004-07
• Retailer spend also increases
• Channels to Market
• Key points
• Growth in snacking outlets
  • Figure 31: UK retail value sales of pies and pasties, by outlet, 2006-08
• Potential in hot pies?
• Consumer -- Who Eats All The Pies?
• Key points
• High levels of market penetration
  • Figure 32: Pie and pasty products eaten in the last 12 months, May 2008
  • Figure 33: Penetration of pie and pasty products, by gender, age and presence of children, May 2008
• Men major consumers of most pies
  • Figure 34: Pie and pasty products purchased in the last 12 months, by gender, May 2008
• Young consumers don't buy traditional products
  • Figure 35: Traditional pie and pasty products and spicy pasty purchased in the last 12 months, by age, May 2008
• Variety is important
  • Figure 36: Purchase of pie and pasty products in the last 12 months, by groups based on numbers of products purchased, May 2008
  • Figure 37: Demographic profile of defined groups based on numbers of pie and pasty products purchased in the last 12 months, May 2008
• Consumer -- Eating Occasions
• Key points
• Mainly in-home consumption
  • Figure 38: Eating occasions of pie and pasty products, May 2008
• Main meal
• Londoners not so keen on pies
  • Figure 39: Penetration of pie and pasty products, by region, May 2008
• Simulating restaurant experiences
• Appendix
• Advertising data
• Abbreviations
• Appendix -- Internal Market Environment
  • Figure 41: Agreement with selected lifestyle statements, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel's Special Groups, working status, tenure, region, ACORN category, technology usage, household size and car ownership, 2007
  • Figure 42: Agreement with selected lifestyle statements, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel's Special Groups, working status, tenure, region, ACORN category, technology usage, household size and car ownership, 2007
  • Figure 43: Agreement with selected lifestyle statements, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel's Special Groups, working status, tenure, region, ACORN category, technology usage, household size and car ownership, 2007
  • Figure 44: Agreement with selected lifestyle statements, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel's Special Groups, working status, tenure, region, ACORN category, technology usage, household size and car ownership, 2007
  • Figure 45: Agreement with selected lifestyle statements, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel's Special Groups, working status, tenure, region, ACORN category, technology usage, household size and car ownership, 2007
  • Figure 46: Agreement with selected lifestyle statements, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel's Special Groups, working status, tenure, region, ACORN category, technology usage, household size and car ownership, 2007
• Appendix -- Broader Market Environment
  • Figure 47: PDI and consumer expenditure, at current and constant prices, 2003-13
  • Figure 48: Trends and projections in UK household size, 2003-13
  • Figure 49: Trends and projections in UK population, by age, 2003-13
  • Figure 50: Trends and projections in UK population, by socio-economic group, 2003-13
• Appendix -- Market Value and Forecast
  • Figure 51: Agreement with selected lifestyle statements, 2003-07
• Appendix -- Brand Communication and Promotion
  • Figure 52: Promotional spend on pies and pasties, 2004-07
• Appendix -- Consumer -- Who Eats All The Pies?
  • Figure 53: Pies and pasty products eaten in the last 12 months, by gender, age, socio-economic group, region, working status, daily newspaper readership, presence of children, daily internet usage and supermarket usage, May 2008
  • Figure 54: Pies and pasty products eaten in the last 12 months, by gender, age, socio-economic group, region, working status, daily newspaper readership, presence of children, daily internet usage and supermarket usage, May 2008
  • Figure 55: Adults who have eaten pie and pasty products in the last 12 months, by gender, age, socio-economic group, region, daily newspaper readership, media usage, presence of children, daily internet usage and supermarket usage, May 2008
  • Figure 56: Consumption of pie and pasty products in the last year, by types eaten, 2008
• Figure 57: Consumption of pie and pasty products in the last year, by demographics, 2008 (row %)
• Appendix -- Consumer -- Eating Occasions
  • Figure 58: Eating occasions of pie and pasty products, by gender, age, socio-economic group, region, working status, daily newspaper readership, presence of children, daily internet usage and supermarket usage, May 2008
  • Figure 59: Eating occasions of pie and pasty products, by gender, age, socio-economic group, region, working status, daily newspaper readership, presence of children, daily internet usage and supermarket usage, May 2008