Older consumers drive UK’s syrup and spreads market: Canadean

22-Dec-2014 - Last updated on 19-Dec-2014 at 13:54 GMT

'An increasing number of older consumers are enjoying products such as Nutella, as they look to indulge in tasty treats more traditionally targeted at children,' said Safwan Kotwal, analyst at Canadean

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The UK syrup and spreads market is expected to grow by 22.5.% over the next three years, reaching $960mn by 2018 and owes its growth to older consumers, according to a new report from Canadean.

The syrup and spreads market was dominated by jam and honey spreads; however the main growth was expected in the chocolate spreads category with an expected 35% growth in sales from 2013 to 2018.

The market research organisation says consumers aged 55+ accounted for 37% of the jams, jellies and preserves category. It added that older consumers show new-found love for chocolate spreads.

Safwan Kotwal, analyst at Canadean, said: “Chocolate and nut-based spreads have long been associated with teenagers and young adults. However, an increasing number of older consumers are enjoying products such as Nutella, as they look to indulge in tasty treats more traditionally targeted at children.”

Own brands

Chocolate spreads are also growing in popularity thanks to an increasing number of private label brands.

"This has seen prices fall, making consumption more affordable. With the introduction of private label and supermarket brands, consumers are able to switch easily, without compromising on taste or quality," Kotwal told FoodNavigator.

"For private label and supermarket own brands, the quality of the product must be ensured to make consumers continue to purchase private label brands and not convert back to name brands,” he added.

Nut butters hit the UK

The report also pointed out that nut-based spreads were emerging in the UK and the sector was expected to grow by 33% in value between 2013 - 2018.

“Popularity is growing in the UK, following success in the US market, with nuts such as almonds already proving to be popular. Consumers are looking for something more than just a chocolate spread, with nuts adding variety and offering a different taste experience,” said Kotwal.