Feeling lost?
Why not try these options:
  • Search
  • Browse
or
Call us on

The US Egg Market - May 2011

The US Egg Market - May 2011

A 13.6% decrease in sales occurred in 2009, thanks to the combination of recession and the heavy price promotion employed by the industry. The market steadied in 2010; economic recovery in the light of a waning recession combined with increased interest in specialty eggs should lead to a resumption of sales growth.

The egg is considered a wholesome food, but certain anxieties haunt the consumer. The 2010 salmonella scare accelerated change within the egg industry and in the government’s regulatory structure. While consumers certainly felt an increased concern with food safety, they quickly returned to their normal egg-buying habits and profess virtually unaltered attitudes in Mintel’s consumer survey. Lingering fears about cholesterol may now be dissipating with several significant news items. Widespread media coverage in early 2011 has disseminated reports of a recent study showing that the incidence of high LDL cholesterol in the U.S. was considerably lower in 2006 versus 1999. In tandem, measurements of cholesterol content in the average large egg show a 12% decrease.

Some questions answered in the report include:

  • How are supermarkets losing share to warehouse clubs?
  • How are brands making their presence known?
  • What innovations are present in the egg market?
  • Who are the key egg purchasers?
  • What inhibits many consumers from purchasing eggs?
  • What consumer groups provide further opportunity in the market?

£2,534.48

This report builds on the analysis presented in Mintel's Eggs—U.S., March 2008, as well as reports published in June 2006, and 2004.

The following segments are included in this report:

  • Eggs consist of shell eggs produced and sold in the U.S. retail market, for human consumption.
  • Egg substitutes/liquid eggs are eggs that have been reformulated through the breaking and processing of shell eggs. Egg substitutes include whole eggs, egg whites, and egg yolks in frozen, refrigerated, liquid, and dried (powdered) forms.

Excluded from this report are:

Candied eggs, wooden eggs, painted eggs, pickled eggs, chocolate eggs, or eggs used in green salads or as part of a salad mixture, or as an accompaniment item to any food dish or mix. Omelets, egg patties, quiches and quiche mixes, etc. fall into this category (and are therefore excluded), and are generally used by foodservice operations.

Scope and Themes


What you need to know


Definition


Data sources


Sales data

Consumer survey data

Abbreviations and terms


Abbreviations

Terms

Executive Summary


The toll of recession, the cost of price promotion


Health and the egg


Dining out at breakfast


The volatile fresh egg


Supermarkets lose share to warehouse clubs


A few brands make presence known


Package changes and claims must do for innovation


Marketing the entire industry


Egg buyers skew young, family-friendly


Eggs are price inelastic


Cost-consciousness inhibits many consumers


The promise of Asian and Hispanic consumers


Males most skeptical of health benefits unless they have children


Insights and Opportunities


Trumpet the weight-loss positives of an egg breakfast


Fewer health negatives as egg cholesterol decreases


Selling reduced salmonella risk in organic


Talking about taste


An egg at the finish line


Inspire Insights


Inspire Trend: “Perfecting the Details”


Market Size and Forecast


Key points


Sales down 2009, increasing somewhat 2010


Figure 1: Total U.S. sales of eggs and egg substitutes at current prices, 2005-15

Figure 2: Total U.S. sales of eggs and egg substitutes, at inflation-adjusted prices, 2005-15

Fan chart forecast


Figure 3: Fan chart forecast of total U.S. sales of eggs and egg substitutes, at current prices, 2005-15

Walmart sales


Market Drivers


Key points


After salmonella, consumer habits change—somewhat


The egg, cholesterol, and consumers


Growing Hispanic population positive toward eggs


Figure 4: Population, by race and Hispanic origin, 2006-16

Attitudes toward recycling


Figure 5: Attitudes toward recycling and eco-friendly products, by household income, April 2009-June 2010

Interest in natural/organic products


Figure 6: Interest in natural/organic products, by race/Hispanic origin, December 2009

Competitive Context


Key points


Breakfast on the go


Figure 7: Top 10 healthiest fast-food breakfasts according to Health magazine, February 2011

Convenience egg dishes


Segment Performance


Key points


Modest increases in sales for fresh eggs, a bit more for substitutes


Sales of eggs and egg substitutes, by segment


Figure 8: U.S. sales of eggs, by segment, 2009 and 2010

Segment Performance—Fresh Eggs


Key points


A volatile period


Sales and forecast—fresh eggs


Figure 9: U.S. sales of fresh eggs 2005-15

Segment Performance—Liquid Eggs/Egg Substitutes


Key points


Smaller swings in sales


Sales and forecast—liquid eggs/egg substitutes


Figure 10: Total U.S. retail sales of liquid eggs and egg substitutes, by segment, 2005-2015

Retail Channels


Key point


Supermarkets steady, warehouses grow in percentage of sales


Figure 11: Total U.S. retail sales of eggs and egg substitutes, by channel, 2005-10

Figure 12: Indexed growth of total U.S. retail sales of eggs and egg substitutes, by channel, 2005-10

Figure 12: Share of total U.S. retail sales of eggs and egg substitutes, by channel, 2005-10

Retail Channels—Supermarkets


Key points


Dollar sales drop as recession takes hold


Figure 13: U.S. sales of all eggs at supermarkets, 2005-10

Retail Channels—Warehouse Clubs and Supercenters


Key points


Turning to warehouse store value during recession


Figure 14: U.S. sales of all eggs at warehouse stores and supercenters, 2005-10

Retail Channels—Other Channels


Key points


Other channel sales drop, then steady


Figure 15: U.S. sales of all eggs at other stores, 2005-10

Retail Channels—Natural Supermarkets


Key points


Insights


Sales of eggs in the natural channel


Figure 16: Natural supermarket sales of eggs, at current prices, 2008-10

Figure 17: Natural supermarket sales of eggs, at inflation-adjusted prices, 2008-10

Natural channel sales by segment


Figure 18: Natural supermarket sales of eggs, by segment, 2008 and 2010

Leading brands


Natural channel sales by organic content


Figure 19: Natural supermarket sales of eggs, by organic vs. nonorganic, 2008 and 2010

Natural channel sales by omega-3 fortification


Figure 20: Natural supermarket sales of eggs, by omega-3 content, 2008 and 2010

Leading Companies


Key points


Eggland’s Best a singular success


FDMx sales of eggs by manufacturer


Figure 21: FDMx sales of eggs and egg substitutes, by manufacturer, 2010-11

Brand Share—Fresh Eggs


Key points


Private label dominates, a recalled brand suffers


Figure 22: FDMx brand sales of eggs, 2009 and 2010

Brand consumption trends


Figure 23: Brands of eggs and private label eggs used by household, 2003-10

Brand Share—Egg Substitutes


Key points


Little movement in share


Figure 24: FDMx brand sales of egg substitutes, 2009 and 2010

Innovation and Innovators


Key points


Conventional eggs—repackaged


Organic


Cage-free/free-range


Egg substitutes and egg whites


Marketing Strategies


Key points


The AEB, the recall, and Sesame Street


Brand and merchandising strategies


In-store merchandising and displays


Price promotion and price elasticity


TV advertising/promotion


Figure 25: Eggland’s Best, Better than ever nutrition #1, TV ad, September 2010

Figure 26: Eggland’s Best, Better than ever nutrition #2, TV ad, September 2010

Print advertising versus editorial coverage


Online initiatives


Trends in Household Use of Eggs


Key points


Overall usage


Figure 27: Household use of eggs, 2003-10

Organic vs. nonorganic


Figure 28: Household usage of organic vs. nonorganic eggs, 2009-10

Volume of household egg usage


Figure 29: Volume of eggs used in household, 2003-10

Egg Purchasing


Key points


Types of eggs purchased


Figure 30: Types of eggs purchased, by age, January 2011

Figure 31: Types of eggs purchased, by household income, January 2011

Figure 32: Types of eggs purchased, by presence and number of children in household, January 2011

Figure 33: Types of eggs purchased, by educational attainment, January 2011

Figure 34: Types of eggs purchased, by region, January 2011

Figure 35: Types of eggs purchased, by generation, January 2011

Types of packaging in which eggs are purchased


Figure 36: Importance of packaging and form usually bought, by age, January 2011

Figure 37: Importance of packaging and form usually bought, by household income, January 2011

Figure 38: Importance of packaging and form usually bought, by presence and number of children in household, January 2011

Figure 39: Importance of packaging and form usually bought, by region, January 2011

Figure 40: Importance of packaging and form usually bought, by urban status, January 2011

Egg Grades and Sizes Bought


Key points


Egg-grading confusion and the Food Safety Modernization Act


Grades of eggs purchased


Figure 41: Grade of eggs most often purchased, by gender, age and household income, January 2011

Figure 42: Grade of eggs most often purchased, by race/Hispanic origin and region, January 2011

Size of eggs purchased


Figure 43: Size of eggs most often purchased, by gender, age and household income, January 2011

Figure 44: Size of eggs most often purchased, by race/Hispanic origin and presence of children, January 2011

Loyalty to grades and sizes of eggs purchased


Figure 45: Loyalty to size and grade of egg purchased, by gender, age and household income, January 2011

Figure 46: Loyalty to size and grade of egg purchased, by race/Hispanic origin, household size, and presence of children, January 2011

Price Elasticity of Eggs


Key points


Overview


Figure 47: Egg-buying changes with egg price changes, January 2011

Higher levels of price sensitivity among women, lower income and age groups


Figure 48: Egg-buying changes with egg price changes, by gender, January 2011

Figure 49: Egg-buying changes with egg price changes, by age, January 2011

Figure 50: Egg-buying changes with egg price changes, by household income, January 2011

Figure 51: Egg-buying changes with egg price changes, by region, January 2011

Impact of Salmonella Recall


Key points


Egg-buying changes


Figure 52: Egg-buying changes as a result of 2010 salmonella-related recalls, by age, January 2011

Figure 53: Egg-buying changes as a result of 2010 salmonella-related recalls, by household income, January 2011

Figure 54: Egg-buying changes as a result of 2010 salmonella-related recalls, by presence and number of children, January 2011

Incidence of changing to different types of eggs following the recall


Figure 55: What were the egg-buying changes as a result of 2010 salmonella-related recalls? by gender, January 2011

Eggs and Health


Key points


Specialty eggs not necessarily seen as better


Figure 56: Attitudes to eggs regarding health, by gender, January 2011

Figure 57: Attitudes to eggs regarding health, by age, January 2011

Figure 58: Attitudes to eggs regarding health, by household income, January 2011

Figure 59: Attitudes to eggs regarding health, by number of people in household, January 2011

Impact of Cost on Buying Certain Types of Eggs


Key points


Cost trumps specialty for most nonbuyers


Figure 60: Impact of cost on buying certain types of eggs, by gender, January 2011

Figure 61: Impact of cost on buying certain types of eggs, by age, January 2011

Figure 62: Impact of cost on buying certain types of eggs, by household income, January 2011

Impact of Race/Hispanic Origin


Key points


Egg purchasing


Figure 63: Types of eggs purchased, by race/Hispanic origin, January 2011

Attitudes toward recycling and types of packaging in which eggs are purchased


Figure 64: Attitudes toward recycling and eco-friendly products, by race/Hispanic origin, April 2009-June 2010

Figure 65: Importance of packaging and form usually bought, by race/Hispanic origin, January 2011

Price elasticity of eggs


Figure 66: Egg-buying changes with egg price changes, by race/Hispanic origin, January 2011

Impact of salmonella recall


Figure 67: Egg-buying changes as a result of 2010 salmonella-related recalls, by race/Hispanic origin, January 2011

Eggs and health


Figure 68: Attitudes to eggs regarding health, by race/Hispanic origin, January 2011

Figure 69: Attitudes to eggs regarding health, by Hispanic origin and household income, January 2011

Impact of cost on buying certain types of eggs


Figure 70: Impact of cost on buying certain types of eggs, by race/Hispanic origin, January 2011

Figure 71: Impact of cost on buying certain types of eggs, by Hispanic origin and age, January 2011

Custom Consumer Tables


Key points


Egg grades and sizes bought


Figure 72: Grade of eggs most often purchased, by key custom demographics, January 2011

Types of packaging in which eggs are purchased


Figure 73: Importance of packaging and form usually bought, by gender and presence of children, January 2011

Figure 74: Importance of packaging and form usually bought, by Hispanic origin and household income, January 2011

Figure 75: Importance of packaging and form usually bought, by race and age, January 2011

Eggs and health


Figure 76: Attitudes to eggs regarding health, by gender and presence of children, January 2011

Figure 77: Attitudes to eggs regarding health, by marital status and presence of children, January 2011

Figure 78: Attitudes to eggs regarding health, by gender and age, January 2011

Impact of cost on buying certain types of eggs


Figure 79: Impact of cost on buying certain types of eggs, by gender and household income, January 2011

Figure 80: Impact of cost on buying certain types of eggs, by race and household income, January 2011

Figure 81: Impact of cost on buying certain types of eggs, by race and age, January 2011

Cluster Analysis


Off-White, High-Grade


Demographics

Characteristics

Opportunities

Taste and Price Indifferent


Demographics

Characteristics

Opportunities

Price-Sensitive, Cholesterol-Worriers


Demographics

Characteristics

Opportunities

Characteristic tables:


Figure 82: Egg buyer clusters, January 2011

Figure 83: Types of eggs purchased, by egg buyer clusters, January 2011

Figure 84: Grade of eggs most often purchased, by egg buyer clusters, January 2011

Figure 85: Size of eggs most often purchased, by egg buyer clusters, January 2011

Figure 86: Egg-buying changes with egg price changes, by egg buyer clusters, January 2011

Figure 87: Attitudes to eggs regarding health, by egg buyer clusters, January 2011

Demographic tables


Figure 88: Egg buyer clusters, by gender, January 2011

Figure 89: Egg buyer clusters, by age, January 2011

Figure 90: Egg buyer clusters, by household income, January 2011

Figure 91: Egg buyer clusters, by race, January 2011

Figure 92: Egg buyer clusters,by Hispanic origin, January 2011

Cluster methodology


IRI/Builders Panel Data—Fresh Eggs


Overview


Consumer insights on key purchase measures—fresh eggs


Brand map


Figure 93: Brand map, selected brands of fresh eggs buying rate by household penetration, 2010*

Brand leader characteristics


Key purchase measures


Figure 94: Key purchase measures for the top brands of fresh eggs, by household penetration, 2010*

Appendix: IRI/Builders Panel Data Definitions


Appendix: Other Useful Tables


Figure 95: Importance of packaging and form usually bought, by marital status and presence of children, January 2011

Figure 96: Egg-buying changes as a result of 2010 salmonella-related recalls, by urban status, January 2011

Figure 97: Attitudes to eggs regarding health, by Hispanic origin and age, January 2011

Appendix: Trade Associations


  • ABP Corporation
  • American Egg Board
  • American Heart Association, Inc.
  • American Medical Association (AMA)
  • BJ's Wholesale Club, Inc
  • Cal-Maine Foods, Inc.
  • Centers for Disease Control and Prevention
  • ConAgra Foods, Inc
  • Costco Wholesale Corporation
  • Denny's Corporation
  • Dunkin' Brands
  • Economist Group Limited (The)
  • Eggland's Best, Inc.
  • Facebook, Inc.
  • Federal Communications Commission (FCC)
  • Flickr
  • Food and Drug Administration
  • FOX Broadcasting Company
  • Google, Inc.
  • Institute of Food Technologists (IFT)
  • Jamba Juice Company
  • Land O'Lakes Inc.
  • McDonald's U.S.A.
  • Michael Foods Inc.
  • Organic Valley Family of Farms
  • Panera Bread Company
  • Pepsi-Cola North America
  • Publix Super Markets
  • Rose Acre Farms Inc.
  • Seattle Coffee Company
  • Starbucks Corporation
  • Subway
  • The Kroger Co.
  • The New York Times Company
  • Trader Joe's Company Inc
  • Turner Broadcasting System, Inc.
  • Twitter, Inc.
  • U.S. Bureau of Labor Statistics
  • U.S. Bureau of the Census
  • U.S. Department of Agriculture
  • U.S. Poultry & Egg Association
  • US Department of Commerce
  • USA Poultry & Egg Export Council
  • USA Today
  • Walmart Stores (USA)
  • Whole Foods Market Inc
  • Yahoo! Inc
  • YouTube, Inc.
Registered office :

Mintel Group Ltd.
11 Pilgrim Street, London, EC4V 6RN
Registered in England: Number 1475918.

Geolocation by www.maxmind.com