News

Mintel reports on US ice cream

6 Sep 2016

New research from Mintel reveals that, while nine in 10 (92%) consumers have purchased frozen treats in the past six months, one quarter (22%) are buying less, and more are focusing on portion control.

Mintel reports on US ice cream

As ice cream and frozen novelty consumption remains near-universal among Americans, a less-is-more mindset is prevailing, according to new research from Mintel which reveals that, while nine in 10 (92%) consumers have purchased frozen treats in the past six months, one quarter (22%) are buying less. What’s more, while just 11% of consumers considered portion control as a purchase factor in 2013, today, one third (32%) report that they purchase single-serving frozen treat packages.

While reduced consumption could melt category sales, consumer interest in premium offerings has kept market sales afloat despite declining volume sales, Mintel believes. Nearly one quarter (22%) of consumers purchase frozen treats that they consider premium and 34% agree that they are willing to pay more for such treats. Another one third (35%) of consumers agree that premium frozen treats taste better than regular frozen treats.

In addition to the perceived enhanced taste of premium frozen treats, one in seven (14%) consumers view them as healthier, making premium options an appealing choice for the 19% of consumers who say that health factors into their frozen treat purchase decision. And with snacking now fully ingrained in American eating habits, Mintel research reveals that ice cream as a snack is just as popular as ice cream after a meal with nearly half (49%) of consumers eating frozen treats as a snack, while 55% eat them for dessert.

“While little opportunity exists to acquire new customers in the universally penetrated frozen treat market, interest in premium and healthy options gives brands the opportunity to offer products that communicate health and wholeness, while also encouraging moderation, which can aid in increasing trials through smaller sizes,” said Beth Bloom, Senior Food and Drink Analyst at Mintel. “Putting a heavy focus on quality, taste and health will resonate with consumers, and emphasizing single-serving packs and messaging around the variety of products should appeal to Americans’ preference for snacking.”

Appealing to changing consumer taste preferences, variety is the name of the ice cream game, Mintel believes, as more than one quarter (27%) of consumers have purchased a variety pack in the past six months. However, despite the desire to experience various flavours, consumers primarily buy products that feature a single flavour (53%). Adding to the appeal of single-serving and variety packs, more than one quarter (27%) of consumers typically have more than one type of frozen treat/flavour in their freezer at one time.

While a single ice cream flavour is a more likely purchase type, a growing number of consumers are intrigued by flavours with mix-ins (e.g. nuts, cake bits). In fact, in 2013 Mintel research found that one quarter (24%) of consumers agreed “fun ingredients mixed in” was an important factor when buying frozen treats, while 41% are buying flavoured treats with mix-ins today.

“The wide range of single-flavour frozen treats and products with unique mix-ins are keeping consumers from becoming bored with the category. The rise of new, trendy flavours speak to the dual components nostalgia and indulgence play in the market, while internationally-inspired varieties like mochi ice cream and gelato are succeeding in flavour and format. For more traditional offerings, mix-ins can give treats an added boost, with fruit and nut additions potentially alluring health-focused consumers,” continued Bloom.

While premium and flavourful frozen treats pique consumer interest, the overall market is experiencing tepid growth, with sales increasing just 6% from 2011-15 to reach $12.6 billion. However, over that same span, volume sales have declined 5%, with all segments of the category experiencing decreasing volume sales from 2011-15.

Gelato remains a bright spot for the US market, drawing continued interest from consumers; however, there has been a gradual slowdown in sales and new product development. Mintel research reveals that 43% of consumers purchase gelato today, up from 39% in 2015. Aside from a dip 2011-13, retail sales of gelato and gelato-based novelties have been on the rise; however, the segment experienced slowed growth in the last year, up an estimated 32.3% over 2015 compared to increases of 41.7% 2014-15 and a whopping 247.1% 2013-14. What’s more, new gelato product launches have stalled, dropping 8%age points 2015-16 to 9%, according to Mintel Global New Products Database.

“Sales of ice cream and frozen novelties have kept up despite declining interest thanks to innovative new product development and continued interest in gelato. However, gelato may be nearing its peak, as sales increases and new product launches are in decline compared to recent years. It’s possible that gelato is going the way of Greek yogurt, and losing a little of its lustre. That said, we predict that gelato will remain relatively popular as it carries strong appeal for indulgence and satisfaction, and delivers the cues of a premium product,” concluded Bloom.

Related tags

Dairy

Related news

Danone removes NutriScore from products

Danone removes NutriScore from products

20 Sep 2024

Following an algorithm update that gives some of its sweetened drinks a worse score, Danone has removed the front-of-pack label, NutriScore, from all of its products – putting profit before public health, say campaigners.

Read more 
Chobani develops shelf-stable, prebiotic-enriched Super Milk

Chobani develops shelf-stable, prebiotic-enriched Super Milk

12 Sep 2024

Chobani has launched a prebiotic-enriched, shelf-stable, high-protein dairy milk to support people in disaster zones who need a nutritious drink that does not require refrigeration.

Read more 
Tesco trials methane mitigation supplement for dairy cattle

Tesco trials methane mitigation supplement for dairy cattle

5 Sep 2024

Tesco is trialing a methane-reducing feed supplement for one of its key UK dairy farms, sustainable UK milk producer Grosvenor Farms.

Read more 
Sheep and goat plague: A new threat to Greece’s feta production

Sheep and goat plague: A new threat to Greece’s feta production

27 Aug 2024

A recent goat and sheep plague outbreak threatens feta production in Greece. The flagship product accounts for roughly 10% of the country’s food exports, but Greek authorities say there is no cause for concern.

Read more 
Nestlé develops a new fat reduction method for dairy ingredients

Nestlé develops a new fat reduction method for dairy ingredients

26 Aug 2024

A Brazil-based Nestlé research and development team has developed a way to reduce the fat in milk powder by as much as 60%, without impacting the key characteristics that consumers enjoy.

Read more 
Dutch court rules against plant-based butter brand ‘Roombeter’: Only dairy products allowed to use the word ‘cream’

Dutch court rules against plant-based butter brand ‘Roombeter’: Only dairy products allowed to use the word ‘cream’

26 Jul 2024

A Dutch court has ruled against Upfield’s plant-based butter, Roombeter, stating that its use of the word ‘room’ (cream) in the product name violates European regulations that protect dairy-related terms allowed for dairy products only.

Read more 
How will Denmark’s 2030 carbon tax impact farming?

How will Denmark’s 2030 carbon tax impact farming?

12 Jul 2024

Denmark has announced plans to implement Europe’s first carbon tax on agriculture from 2030, targetting the farming sector’s CO2 emissions. How will it be implemented and how have farmers reacted?

Read more 
Sweden updates front-of-pack Keyhole labelling rules

Sweden updates front-of-pack Keyhole labelling rules

11 Jul 2024

The Swedish Food Agency has announced updates to the voluntary Keyhole logo, used in four Nordic countries, following recommendations to improve nutrition labelling.

Read more 
Consumers dislike faba beans’ sensory profile

Consumers dislike faba beans’ sensory profile

3 Jun 2024

Consumers display low acceptance of faba beans, with sensory properties such as bitterness a core concern, a study suggests. However, for product varieties such as cocoa-free chocolate, this attribute could prove to be a benefit.

Read more 
Food scientists uncover new way to preserve nutrient and flavour quality

Food scientists uncover new way to preserve nutrient and flavour quality

29 May 2024

Researchers have developed a method that guarantees food safety for low-moisture products, such as dried milk, while maximising quality by retaining vitamins, minerals, and flavours, they say.

Read more