About the market:

This is Mintel’s fifth report on the pizza and pasta market and aims to examine the changing trends currently occurring across the two sectors. Generally the market has continued to strengthen, rising from an estimated £1.2 billion in 2004 to a forecast of just under £1.3 billion for 2005.

Although the pizza and pasta sector has been noted as having growth rates rivalling that of its ethnic counterpart, the trend is not consistent across the board. For example, although companies such as Dominoes are pushing forward the takeaway sector dramatically, the eat-in pizza format has not matched such rapid expansion. In regards to pasta there are also mixed developments: although the dish remains a firm choice for menus in general, there is a distinct decline in the pasta chain as stand-alone outlets in their own right.

The issue of healthy eating is becoming increasingly pertinent in the pizza/pasta sector and elsewhere ie in the burger market it has already been seen that consumers are quite prepared to vote with their feet when they are concerned about the food on offer. Taking a proactive stance on this issue (beyond a token menu item) may be key in ensuring this does not become a destructive force for the sector.

The pizza/pasta market is undoubtedly turning a corner and although it is essentially robust going forward individual operators will face some challenges.