Table of Contents
Scope and Themes
-
- What you need to know
- Definition
- Data sources
- Sales data
- Consumer survey data
- Advertising creative
- Abbreviations and terms
- Abbreviations
- Terms
Executive Summary
-
- The market and forecast
- Safety and health concerns coupled with a slowdown in innovation and birthrates have hampered sales from 2006-11
-
- Figure 1: Total U.S. retail sales and forecast of baby food and drink, at current prices, 2006-16
- Category shaped by baby formula performance
-
- Figure 2: Total U.S. trend in the rate of change of dollar sales of baby food and drink at current prices, by segment 2007-16
- Market factors
- Multicultural groups are forecast to grow at a faster rate than whites, total population
-
- Figure 3: Population percent change, by race and Hispanic origin, 2006-16
- Hispanics will remain a strategic group for baby food and drink
-
- Figure 4: Average number of children in household, by race/Hispanic origin of householder, 2011
- Moms’ misrepresentation of their toddler weight may contribute to childhood obesity
-
- Figure 5: Prevalence of obesity among children/teens aged 2-19, 1976-2008
- Companies, brands, and innovation
- Larger brands lose, smaller brands show the strongest performance
-
- Figure 6: Selected manufacturer FDMx sales of baby food and drink, 2011*
- Pace of new product introductions has slowed in recent years
-
- Figure 7: Percentage change in new product introductions of baby food and drink, by claims, 2010-11
- The consumer
- Baby food and drink category has room to grow
-
- Figure 8: Baby formula and Baby food/baby cereals/juices usage, January 2007-November 2011
- Store-bought baby food and drink wins on convenience and portability
- Organic baby food still an attractive proposition for many moms
-
- Figure 9: Reasons for using store-bought baby/toddler food, March 2012
- Price is important, but convenience and health-related attributes follow closely
-
- Figure 10: Purchase drivers for store-bought baby formula and baby/toddler food, March 2012
- Nutrition labels are important; quality of ingredients worth a higher price
- Consumers are brand loyal to a point; private label seen as comparable
-
- Figure 11: Attitudes toward brands and other product-related attributes, March 2012
- What we think
Issues in the Market
-
- How can baby food and drink manufacturers better attract consumers?
- How can baby food companies best fit nutritional needs for babies and toddlers, in light of the growing childhood obesity problem?
- How can baby food and drink manufacturers better meet the needs of a changing multicultural population?
Insights and Opportunities
-
- Safety concerns leave opening for reinforcing credibility and trust
- Private label: still an untapped opportunity to meet consumers’ needs
-
- Figure 12: New baby food and drink introductions, by name brand and private label segmentation, 2007-12
-
- Figure 13: FDMx sales of baby food and drink, Private Label, 2006-11
- Childhood allergies continue to spread: baby food and drink manufacturers need to keep up
-
- Figure 14: New baby food and drink introductions, by top claims, 2007-12
Inspire Insights
-
- Inspire Trend—Influentials
- Consider this
-
- Figure 15: Internet usage related to baby/toddler nutrition and health, by age, March 2012
- Bottom line
- Consider this
-
- Figure 16: Prevalence of obesity among children/teens aged 2-19, 1976-2008
- Bottom line
Market Size and Forecast
-
- Key points
- Safety and health concerns coupled with a slowdown in innovation and birthrates have hampered sales from 2006-11
- Future sales dependent on demographic shifts, innovation, and rectification of health and safety concerns
- Sales and forecast of baby food and drink
-
- Figure 17: Total U.S. retail sales and forecast of baby food and drink, at current prices, 2006-16
- Figure 18: Total U.S. retail sales and forecast of baby food and drink, at inflation-adjusted prices, 2006-16
- Fan chart forecast
-
- Figure 19: Total U.S. retail sales of baby food and drink, at current prices, 2006-16
- Walmart sales
Market Drivers
-
- Key points
- Family structure changing—moms are still busier than ever and baby food could provide the needed relief
-
- Figure 20: Liquid/powdered baby formula past 12 months usage, by marital status with children, October 2010-November 2011
- Multicultural children make up more than half of U.S. births in 2011
-
- Figure 21: Population, by race and Hispanic origin, 2006-16
-
- Figure 22: Average number of children in household, by race/Hispanic origin of householder, 2011
- Figure 23: Liquid/powdered baby formula past 12 months usage and baby food/baby cereals/juices usage, by race/Hispanic origin, October 2010-November 2011
- Uncertain economic future continues to threaten the category
-
- Figure 24: CONSUMER SENTIMENT, January 2007- March 2012
-
- Figure 25: Real personal disposable income, January 2007-April 2012
Competitive Context
-
- Baby equipment could pose a threat as “baby budgets” still tight
-
- Figure 26: Population younger than 5, by race/Hispanic origin, 2006-16
-
- Figure 27: Total U.S. sales and forecast of baby durables, at current prices, 2006-16
- Breastfeeding and adult food continue to compete
- Private label: still small, but has great expansion capacity
-
- Figure 28: New baby food and drink introductions, by name brand and private label segmentation, 2007-12
-
- Figure 29: FDMx sales of baby food and drink, Private Label, 2006-11
Segment Performance
-
- Key points
- Category shaped by baby formula performance
- Sales of market, by segment
-
- Figure 30: Total U.S. sales of baby food and drink, segmented, by type, 2009 and 2011
Segment Performance—Baby Formula
-
- Key points
- Safety concerns among factors that contribute to most recent declines
-
- Figure 31: Attitudes toward brands and other product-related attributes, March 2012
- Sales and forecast of baby formula
-
- Figure 32: Sales and forecast of baby formula, at current prices, 2006-16
Segment Performance—Baby Food and Snacks
-
- Key points
- Baby Food and Snacks: the only segment with positive performance
- Sales and forecast of baby food and snacks
-
- Figure 33: Total U.S. sales and forecast of baby food and snacks, at current prices, 2006-16
Segment Performance—Baby Electrolytes
-
- Key points
- Baby electrolytes segment’s continued downward trend likely linked to birthrate decline
- Sales and forecast of baby electrolytes
-
- Figure 34: Total U.S. sales and forecast of baby electrolytes, at current prices, 2006-16
Segment Performance—Baby Juice
-
- Key points
- Baby juice sales continue a downward historical trend linked to health and safety concerns
- Sales and forecast of baby juice
-
- Figure 35: Sales and forecast of baby juice, at current prices, 2006-16
Retail Channels
-
- Key points
- Supermarkets dominate the market, but lose dollar sales
-
- Figure 36: Supermarkets sales of baby food and drink, at current prices, 2006-11
- Mass merchandisers and warehouse clubs also on a decline, but not as steep
-
- Figure 37: Attitudes toward brands and other product-related attributes by baby food and drink usage, by feeding behavior, March 2012
- Supercenters and warehouse clubs sales of baby food and drink
-
- Figure 38: Supercenters sales of baby food and drink, at current prices, 2006-11
- Other channels have been declining the least, almost with a flat performance from 2010-11
-
- Source: Mintel
- Sales of baby food and drink, by channel
-
- Figure 40: Total U.S. sales of baby food and drink, by channel, 2009 and 2011
Retail Channels—Natural Supermarkets
-
- Key points
- Sales of baby food and drink in the natural channel
-
- Figure 41: Natural supermarket sales of baby food and drink, at current prices, 2009-11*
- Figure 42: Natural supermarket sales of baby food and drink, at inflation-adjusted prices, 2009-11*
Leading Companies
-
- Key points
- Leading companies experience minor losses, but maintain market share
- Smaller companies show strong performance
- Manufacturer sales of baby food and drink
-
- Figure 43: Selected manufacturer FDMx sales of baby food and drink, 2010* and 2011*
Brand Share—Baby Formula
-
- Key points
- Enfamil and Similac focus on formulas that meet specific needs
- FDMx sales of formula still recovering from contamination concerns
- Manufacturer sales of baby formula
-
- Figure 44: Selected FDMx brand sales of baby formula in the U.S., 2010* and 2011*
Brand Share—Baby Food and Snacks
-
- Key points
- Gerber expands organic and pouches offerings
- Smaller companiess still a small share of the market, but post strong gains
-
- Figure 45: Selected FDMx brand sales of baby food and snacks in the U.S., 2010* and 2011*
Brand Share—Baby Electrolytes
-
- Key points
- Pedialyte and private label lose dollar sales; flat on market share
- Manufacturer sales of baby electrolytes
-
- Figure 46: FDMx brand sales of baby electrolytes in the U.S., 2010* and 2011*
Brand Share—Baby Juice
-
- Key point
- Juice remains the smallest segment of the baby food and drink category
- Manufacturer sales of baby juice
-
- Figure 47: FDMx brand sales of baby juice in the U.S., 2010* and 2011*
Innovations and Innovators
-
- Key points
- The pace of new product introductions has slowed in recent years
-
- Figure 48: New baby food and drinks introductions, by top claims, 2007-12
- Focus of new product introductions shifts significantly from 2007-11
-
- Figure 49: New baby food and drinks product launches, by subcategory, 2007-12
- Baby fruits and veggies evolve in shape and texture
- The focus continues to be on shelf-stable products
-
- Figure 50: New baby food and drinks product launches, by storage type, 2007-12
- Gerber leads new product launches, but lost share and dollar sales
-
- Figure 51: New baby food product launches, by top companies/top brands, 2007-12
- Private label accounts for one in five introductions
-
- Figure 52: Name brand and private label baby food and drinks, by share of new product introductions, 2007-12
Marketing Strategies
-
- Overview
- Geber focuses most on TV advertising; recently expands to social media and mobile applications
- Rigorous TV advertising includes both baby formula and baby food
- TV ads for baby formula focus on breast-milk-like immunity and nutrition
-
- Figure 53: Gerber good start gentle, TV ad, “What’s best for baby,” 2012
- Figure 54: Gerber good start protect, TV ad, “Baby Einstein,” 2012
- Baby food TV ads tout balanced nutrition, as well as portability for snacks
-
- Figure 55: Gerber Graduates, TV ad, “Perfect balance,” 2012
- Figure 56: Gerber Graduates, TV ad, “Graduate Grabbers” 2012
- Gerber branches out via mobile applications and a flourishing Facebook page
- Enfamil emphasizes quality and safety checks for damage control
- TV ad meant to bring back “peace of mind”
-
- Figure 57: Enfamil Formula, TV ad, “Peace of mind,” 2012
- Commitment to kids with metabolic disorders
- Facebook page focused on creating a “Mom” community
- Beech-Nut focuses on home-style wholesome meals
-
- Figure 58: Beech-Nut home-style baby food, TV ad, “Wholesome Meal,” 2012
- Facebook page provides feeding advice and features deals and coupons
Baby Food and Drink Usage and Feeding Behavior
-
- Key points
- Baby formula and baby food usage continue historical decline
-
- Figure 59: Liquid/powdered baby formula past 12 months usage, January 2007-November 2011
-
- Figure 60: Baby food/baby cereals/juices usage, January 2007-November 2011
- Most popular feeding method combines store-bought formula/food with made-from-scratch food or breast milk
-
- Figure 61: Baby food and drink usage by feeding behavior, by age and income, March 2012
- Opportunity to increase multiple times a day usage for store-bought baby food
-
- Figure 62: Frequency of feeding baby/toddler by type of baby/toddler food, by age, March 2012
- More Hispanic parents use organic baby food; blacks present an untapped opportunity
-
- Figure 63: Organic food/baby food usage, by race/Hispanic origin, October 2010-November 2011
Reasons for Using Store-bought Baby/Toddler Food
-
- Key points
- Store-bought baby food and drink wins on convenience and portability
- Organic baby food still an attractive proposition for many moms
-
- Figure 64: Reasons for using store-bought baby/toddler food, by age, March 2012
Purchase Drivers
-
- Key points
- Price is important—but convenience remains crucial
- Health-related and brand attributes follow closely in importance
-
- Figure 65: Purchase Drivers, by age, March 2012
Attitudes and Behaviors toward Brands and Product Attributes
-
- Key points
- Nutrition labels are important; quality of ingredients worth a higher price
- Consumers are brand loyal to a point; private label seen as comparable
-
- Figure 66: Attitudes toward brands and other product-related attributes, by age, March 2012
SymphonyIRI Builders—Key Household Purchase Measures
-
- Overview of baby food
- Baby food/snacks
- Consumer insights on key purchase measures—baby food/snacks
- Brand map
-
- Figure 67: Brand map, selected brands of baby food/snacks buying rate, by household penetration, 2011*
- Brand leader characteristics
- Key purchase measures
-
- Figure 68: Key purchase measures for the top brands of baby food/snacks, by household penetration, 2011*
Appendix—Other Useful Consumer Tables
-
-
- Figure 69: Reasons for using store-bought baby/toddler food, March 2012
-
- Figure 70: Attributes when purchasing baby/toddler formula/solid foods, March 2012
-
- Figure 71: Attributes when purchasing baby/toddler formula/solid foods, March 2012
-
- Figure 72: Purchase Drivers, by age, March 2012
-
- Figure 73: Attributes when purchasing baby/toddler formula/solid foods, by household income, March 2012
-
- Figure 74: Attributes when purchasing baby/toddler formula/solid foods, by household income, March 2012
-
- Figure 75: Reasons for using store-bought baby/toddler food, by household income, March 2012
-
- Figure 76: Attitudes toward brands and other product-related attributes, by age, March 2012
-
- Figure 77: Behaviors toward brand purchasing and nutrition for store-bought baby formula and toddler food, March 2012
-
- Figure 78: Attitudes toward brands and other product-related attributes, by household income, March 2012
-
- Figure 79: Attitudes toward brands and other product-related attributes by baby food and drink usage, by feeding behavior, March 2012
-
- Figure 80: Moms' ratings of the quality of baby/toddler foods available in the stores, by age, March 2012
-
- Figure 81: Moms' ratings of the quality of baby/toddler foods available in the stores, by household income, March 2012
-
- Figure 82: Behaviors toward brand purchasing and nutrition for store-bought baby formula and toddler food, by age and household income, March 2012
-
- Figure 83: Attitudes toward brands and other product-related attributes by baby food and drink usage, by feeding behavior, March 2012
-
Appendix—SymphonyIRI Builders Panel Data Definitions
-
- SymphonyIRI Consumer Network Metrics
Appendix—Trade Associations
Back to top