Butter, Margarine and Oils - US - March 2018
An ingredient or flavor booster in a wide variety of recipes and dishes, butter, margarine, and oils are used by nearly all consumers. While widespread penetration does challenge substantial growth, the overall category did manage a small gain, 1% from 2016-17, stemming from the gains of butter while margarine struggles with perception as processed. With each segment possessing its own set of advantages, brands that effectively communicate and improve these strengths may drive future growth. Brands in all segments can benefit from positioning their products as a good foundation for everyday cooking by highlighting recipe suggestions, high quality ingredients, health benefits, and free-from claims on packaging, online, and/or in advertisements.
This report looks at the following areas:
- Slow category growth
- Penetration is nearly capped
- Continued rise in butter prices may trigger margarine growth
- Consumers complacent with category’s status quo
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