US fortified foods market now worth $18 billion
$18 billion (€20.4bn) in 2001, tripling the sales achieved by the
market in 1997, according to a new report by market analysts,
MarketResearch.com.
Sales of the total fortified foods market in the US reached almost $18 billion (€20.4bn) in 2001, tripling the sales achieved by the market in 1997, according to a new report by market analysts MarketResearch.com.
The Packaged Facts report, The US Market for Fortified Foods: Expanding the Boundaries, shows that foods and beverages distinctly marketed as fortified with nutrients have enjoyed tremendous popularity in recent years and projections for the future demonstrate continued growth, with retail sales forecast to reach $28.6 billion by 2006.
Products sold through supermarkets, other mass-market outlets, and health and natural food outlets were all included in the report.
The report explains success within the fortified foods market as a result of the industry's extremely high rate of product development and the fact that consumers have proven quick to purchase enhanced foods as they are introduced to the market.
It notes: "Sensing a lucrative opportunity, major food and beverage players have focused their attention on the fortified foods industry in recent years, purchasing the successful smaller players that have made this niche market a powerful force within a large and competitive industry."
The complex mergers and acquisitions over the last few years, along with rapid product development have combined to make fortified foods "a confusing, though profitable, marketplace."
Meg Hargreaves, vice president of research publishing for MarketResearch.com, said: ``Small entrepreneurial marketers in the food and beverage industry quickly become candidates for acquisition."
``The absorption of many minor fortified food producers by large companies, as well as the changing regulatory environment, have made this lucrative market rather difficult for some companies to navigate," she added.
The report, analysing the three main categories of fortified foods - foods, beverages and baby foods - provides information on consumer demographics, distribution and marketing trends, product development, and emerging promotional campaigns. It also includes historical sales data, as well as market projections through the year 2005.
To limit the report to the most dynamic section of the market, the research did not include foods that are universally fortified by law or industry custom. Therefore table salt fortified with iodine, whole milk fortified with vitamin D and low-fat milk fortified with vitamins A and D were not included, although milk fortified with acidophilus or other ingredients such as vitamin E was included.
Also sports nutrition products such as the protein powders used by body-builders and meal replacement drinks were not included in the sales figures.
