This report covers nuts, seeds and dried fruit, eaten as snacks and used in cooking/baking. Also included in this report are nut mixes.
- Premiumisation, a revival of interest in home baking and trend towards healthy eating have been the main drivers of growth in the nuts, seeds and dried fruit market as it reached £547 million in 2009.
- More education on the nutritional properties of nuts, seeds and dried fruit, should help the category tap into the trend towards healthy eating that is a key driver of the UK food market, and help eliminate confusion among consumers.
- Rising costs will continue to limit growth opportunities in the sector as consumption of the category increases with affluence (and age). It is unlikely that manufacturers and retailers will be able to continue to absorb costs such as rising wholesale prices, caused by increased worldwide consumption, the weak pound and poor crop harvests.
- One way in which brands can continue to drive consumption is by positioning nuts, seeds and dried fruit as healthier alternatives to traditional snacks. Over a third (36%) of existing buyers state that they buy dried fruit as an alternative to sweets, while 44% of are buying nuts as an alternative to snacks such as crisps.
- Consumption of nuts, seeds and dried fruits is currently heavily compartmentalised with older consumers dominating the nuts and dried fruit segments in terms of consumption, while seeds particularly appeal to women aged 35-44. There remains considerable opportunities to increase penetration, most notably among the 29% of consumers not regularly purchasing the category.
- Consumers are creatures of habit when it comes to buying nuts, seeds and dried fruit, although the key target of those aged under 35 are the most likely to be adventurous in their attitudes and tastes. This bodes well for flavour innovation in the sector, especially during the key Christmas period.