2021
9
US Bacon and Lunchmeat Market Report 2021
2021-11-03T03:11:46+00:00
OX1045037
3695
144111
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Report
en_GB
“In the pandemic’s first year, with a significant number of consumers and school-aged children at home with few away-from-home food options, bacon and lunch meat saw dramatic increases in sales:…

US Bacon and Lunchmeat Market Report 2021

£ 3,695 (Excl.Tax)

Description

This report provides comprehensive and current information and analysis of the US Bacon and Lunchmeat market including US Bacon and Lunchmeat market size, anticipated market forecast, relevant market segmentation, and industry trends for the Bacon and Lunchmeat market in the US.

Current market landscape

Despite brand efforts to detach from consumers’ limited perception of suitable occasions, there is still a constituency of consumers (about half) who largely reserve consumption of bacon and lunch meat to breakfast and lunch occasions, respectively. Yet consumers are still hungry for new ideas, indicating that brands may need to get creative and refresh how and where they communicate with consumers to edge into new uses, especially to reach younger adults.

Despite considerable sales growth for the category in 2020-21, the number of consumers who disengaged from the category could be cause for alarm: nearly a fifth of all consumers, including more than a sixth of those aged 18-34. Much of this is due to the increased time spent at home and less demand for quick, easy, and portable lunch. As cooking fatigue grows and at least part-time working from home becomes more of the norm, brands have the opportunity to shift strategy to reestablish their foothold to be grounded in convenience and versatility.

Future market trends in US bacon and lunchmeat

While price is important to product choice, brand also remains a driver in the category. As supply chain and inflationary challenges lead to rising prices, brands will have to double down on messaging that conveys other elements of value to remain competitive. Still, the category’s overall value proposition should leave it well-positioned relative to other protein cuts that will also be subject to price increases. As price volatility occurs across most proteins, shifting “down” to more affordable packaged meats or trading up to premium brands may occur.

Read on to discover more about the US Bacon market and the US Lunchmeat consumer market, understand the US processed meats industry, read our US Cooking in America Market Report 2021, or take a look at our other Food and Foodservice Market research reports.

Quickly understand

  • The impact of COVID-19 on consumer behavior and the bacon and lunch meat category.
  • Bacon and lunchmeat product features that drive purchase.
  • Attitudes toward bacon and lunch meat.
  • Impactful shifts in lunchtime habits.
  • Deli Meat Market Size in the US.

Covered in this report

Brands include: Oscar Mayer, Hillshire Farm, Johnsonville, Jimmy Dean, Dietz & Watson Inc, Carl Buddig & Co, Hormel Black Label Bacon, Applegate Farms, Niman Ranch, Sendik’s Food Market, Da Becca Natural Foods, Nature’s Rancher.

Expert analysis from a specialist in the field

This report, written by Billy Roberts, a leading analyst in the Food and Drink sector, delivers in-depth commentary and analysis to highlight current trends and add expert context to the numbers.

In the pandemic’s first year, with a significant number of consumers and school-aged children at home with few away-from-home food options, bacon and lunch meat saw dramatic increases in sales: 21% in 2020 and another 6% in 2021. Yet, this growth also reflects the strongly established usage patterns of the category; fully half of consumers reserve bacon to the breakfast occasion, with nearly the same number limiting lunch meat to lunchtime. The opportunity is there for brands to encourage consumers to break these established routines, increase frequency and remain a part of newly established routines. It is inevitable that brands will forfeit a handful of occasions to foodservice operators: consumers are eager to dine out for lunch at least occasionally going forward. Still, just as the extreme limitations of the pandemic altered behavior, so will the loosening of them. Category sales are poised to correct in 2022-23 and return to the slow growth rates seen in the years prior to the pandemic.
William Roberts, Jr -- Senior Food & Drink Analyst
Billy Roberts
Sr. Analyst, Food and Drink

Table of Contents

  1. Overview

    • What you need to know
    • This Report looks at the following areas
    • Definition
    • Economic and other assumptions
    • COVID-19: US context
  2. Executive Summary

    • Top takeaways
    • Market overview
      • Figure 1: Total US sales and fan chart forecast of bacon and lunchmeat, at current prices, 2016-26
      • Figure 2: Total US sales and forecast of bacon and lunch meat, at current prices, 2016-26
    • Impact of COVID-19 on bacon and lunch meat
      • Figure 3: Short-, medium- and long-term impact of COVID-19 on bacon and lunch meat, 2021
    • Challenges and opportunities
    • A fifth of consumers abandon packaged bacon and lunch meat
      • Figure 4: Bacon and lunch meat nonparticipation, by age, 2021
    • Bacon and lunchmeat have to contend with plant-based fever
    • Harness the opportunity of new approaches to work
      • Figure 5: Changes to lunch habits, 2021
    • Adults under 55 are open to new ideas for bacon, lunchmeat
      • Figure 6: Bacon and lunch meat attitudes, by age, 2021
  3. The Market – Key Takeaways

    • Pandemic sales growth extends well into 2021
    • Bacon sales lead the surge
    • Volatile meat and poultry prices impact the market
  4. Market Size and Forecast

    • Category sales growth lingers into 2021
      • Figure 7: Total US sales and fan chart forecast of bacon and lunchmeat, at current prices, 2016-26
      • Figure 8: Total US sales and forecast of bacon and lunch meat, at current prices, 2016-26
  5. Segment Performance

    • Bacon growth sets the pace for 2020
      • Figure 9: Sales of bacon and lunchmeat, by segment, 2016-21
    • Other channels resume encroaching upon supermarket share
      • Figure 10: Total US retail sales of bacon and lunch meat, by channel, at current prices, 2016-21
  6. Market Factors

    • Rising protein prices
      • Figure 11: Changes in consumer food price indexes – Meats, poultry and fish, 2019-22
    • At-home food spending surge continues
      • Figure 12: Sales of food at home and away from home, 2012-21
    • Bacon and lunch meat poised to tap into plant-based fever
      • Figure 13: Plant-based protein consumption, by dietary preferences, 2021
    • California rule could have national impact
    • Changing household landscape calls for new focus
      • Figure 14: Percentage of households with children, 2008-18
    • Convenience remains a need among WFH consumers
  7. Companies and Brands – Key Takeaways

    • Other brands outpace leading brands’ private label growth
    • Brands further explore alternative occasions
    • Encourage the role of lunch meat as a routine lunch solution
  8. Market Share

    • Leading brands lose share to private labels and other brands
    • Sales of bacon and lunchmeat by company
      • Figure 15: Multi-outlet sales of bacon and lunchmeat, by leading companies, rolling 52 weeks 2020 and 2021
  9. Competitive Strategies

    • Brands take new aim at expanded occasions
      • Figure 16: Brands targeting occasion expansion, 2021
    • Brands lean into sustainability initiatives
      • Figure 17: Lunch meat messaging focused on freshness/animal welfare, 2021
  10. Market Opportunities

    • Don’t forget to remain competitive at lunch
      • Figure 18: Lunch, before, during and after the pandemic, 2021
    • Speak to parents’ health/protein needs
      • Figure 19: Healthier claims on bacon/lunch meat, by parental status, 2021
    • Raise the bar on the importance of brand
      • Figure 20: Important bacon/lunch meat features, 2021
  11. The Consumer – Key Takeaways

    • Despite sales gains, category attrition rises
    • Extended WFH is a game changer
    • Price leads bacon and lunchmeat choice
    • Shake up consumer routines with bacon and lunch meat
    • Consumers eager to dine out again
  12. Types of Bacon and Lunch Meat Consumed

    • Bacon for the win in 2020-21
      • Figure 21: Consumption of bacon and lunch meat, 2021
    • Opportunities remain to increase usage
      • Figure 22: Repertoire analysis – Bacon and lunchmeat consumption, 2021
    • Limited big shifts in types of bacon or lunch meat consumed
      • Figure 23: Bacon and lunch meat consumption, 2021
    • Younger adults need some inspiration to raise lunchmeat engagement
      • Figure 24: Consumption of bacon and lunch meat, by generation, 2021
    • Target young adults with freshness, customization of deli meats
      • Figure 25: Deli counter lunch meat consumption, by generation, 2021
  13. Bacon and Lunch Meat Consumption Frequency

    • Weekly+ consumption is the norm among nearly half of category participants
      • Figure 26: Frequency of consumption of bacon and lunch meat, 2021
    • Variety and versatility keep weekly users fresh
      • Figure 27: Weekly consumption of bacon and lunch meat, 2021
  14. Important Bacon/Lunch Meat Features

    • Price (really) trumps the flock of claims in product choice
      • Figure 28: Important attributes of bacon/lunch meat, 2021
    • Parents seek details in hard claims
      • Figure 29: Important attributes of bacon/lunch meat, by parental status, 2021
  15. Lunch Meat Attitudes

    • Quality and health play a role in lunch meat choice
      • Figure 30: Attitudes toward lunch meat, 2021
    • Under 45s seek versatility from brands
      • Figure 31: Lunch meat usage attitudes, by age, 2021
  16. Bacon Attitudes

    • Remind consumers that bacon is worth the work
      • Figure 32: Bacon attitudes, by age, 2021
    • Guide consumers to new occasions
      • Figure 33: Bacon and lunch meat attitudes, 2021
    • Adults under 55 are open to new ideas for bacon, lunchmeat
      • Figure 34: Bacon and lunch meat attitudes, by age, 2021
  17. The Pandemic Impact on Lunchtime Behavior

    • Emphasize ease and value of at-home lunch post-pandemic
      • Figure 35: Lunch behaviors, 2021
    • Maximize the at-home lunch occasion
      • Figure 36: Lunches featuring meat, by age, 2021
  18. Appendix – Data Sources and Abbreviations

    • Data sources
    • Sales data
    • Forecast
    • Consumer survey data
    • Abbreviations and terms
    • Abbreviations
  19. Appendix – The Market

      • Figure 37: Total US sales and forecast of bacon and lunchmeat, at current prices, 2016-26
      • Figure 38: Total US retail sales and forecast of bacon and lunch meat, at inflation-adjusted prices, 2016-26
      • Figure 39: Sales of bacon and lunchmeat, by segment, current year
      • Figure 40: Total US retail sales of bacon and lunch meat, by segment, at current prices, 2019 and 2021
      • Figure 41: Total US retail sales and forecast of refrigerated bacon, at current prices, 2016-26
      • Figure 42: Total US retail sales and forecast of refrigerated bacon, at inflation-adjusted prices, 2016-26
      • Figure 43: Total US retail sales and forecast of refrigerated lunch meat, at current prices, 2016-26
      • Figure 44: Total US retail sales and forecast of refrigerated lunch meat, at inflation-adjusted prices, 2016-26
      • Figure 45: Total US retail sales and forecast of shelf-stable lunch meat, at current prices, 2016-26
      • Figure 46: Total US retail sales and forecast of shelf-stable lunch meat, at inflation-adjusted prices, 2016-26
  20. Appendix – Companies and Brands

      • Figure 47: Multi-outlet sales of bacon and lunchmeat, by leading companies, rolling 52 weeks 2020 and 2021
      • Figure 48: Multi-outlet sales of refrigerated bacon, by leading companies and brands, rolling 52 weeks 2020 and 2021
      • Figure 49: Multi-outlet sales of refrigerated lunchmeat, by leading companies and brands, rolling 52 weeks 2020 and 2021
      • Figure 50: Multi-outlet sales of shelf-stable lunchmeat, by leading companies and brands, rolling 52 weeks 2020 and 2021
  21. Appendix – Retail Channels

      • Figure 51: Total US retail sales of bacon and lunch meat, by channel, at current prices, 2016-21
      • Figure 52: Total US retail sales of bacon and lunch meat, by channel, at current prices, 2019 and 2021
      • Figure 53: US supermarket sales of bacon and lunch meat, at current prices, 2016-21
      • Figure 54: US sales of bacon and lunchmeat through other retail channels, at current prices, 2016-21
  22. Appendix – Consumer

      • Figure 55: Average household spending on bacon and lunch meat, 2016-21

About the report

This market report provides in-depth analysis and insight supported by a range of data. At the same time, introductory and top-level content is provided to give you an overview of the issues covered.

Market

Mintel provides a range of market information, frequently through the category level, including market size and forecasting, complete with market drivers that illustrate the forces that shape a category or market.

Consumer

Mintel’s proprietary consumer research provides our analysts with the attitudinal and behavioral data used to provide valuable insight to topical issues.

Brand/Company

Mintel provides overviews of the top brands and manufacturers, and uses consumer research to explore attitudes and reactions to brands, as well as insight into what will resonate with consumers.

Data

Market reports provide appendices of data to support the research and insight produced. Our databooks* are easily manipulated and downloadable to support your research needs and covers factors from consumer attitudes to market forecasts.

*databooks not available with UK B2B Industry reports.

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