Dairy Products - Ireland - February 2012
With food prices increasing and consumer spending power remaining low, the Irish dairy category is faced with an increasingly challenging operating environment. However sales are still being driven forward by a demand for healthy products.
As consumers seek to reduce their spending on foods, dairy companies are seeing a growing threat from consumers swapping to own-brand variants of many dairy products, while discounter-brand dairy products are also a growing threat to the market.
Key Themes in the Report:
- How important are health trends in driving the dairy market? – Is the healthy nature of dairy the main motivator for purchase? What role do organic dairy products play in the market? How will issues such as obesity impact on sales of full-fat milk products?
- Can functional claims still drive sales? – Are Irish consumers still willing to splash out on dairy products with functional claims during the recession? How have claims that many functional ingredients cannot be proved to be effective impacted the market?
- How important is local sourcing to the Irish dairy market? – Are consumers more inclined to search out dairy products that have been produced locally?
- How much of a threat or opportunity does food intolerances present to Irish dairy companies? – With the level of Irish consumers reporting lactose intolerance and general food allergies and intolerances rising, what impact could this have on the Irish dairy market?
- What impact will the shift in the demographic make-up of NI and RoI have on the dairy market? – Older consumers tend to use more milk and other dairy products; as they grow to account for a greater segment of the population, what impact will this have on the dairy market?
- What types of dairy products are the most consumed among Irish consumers? – Is standard milk still the most used type of dairy product? What other segments of the dairy market are experiencing growth during the downturn?
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