Artisan Food - Ireland - June 2015

INTRODUCTION
Key themes of the report
Definitions
Consumer research
Market size rationale
Data sources
Abbreviations
EXECUTIVE SUMMARY
The market
Forecast
Figure 1: Indexed value of speciality food sales, NI and RoI, 2010-20
Market factors
Cost of food dropping in 2015
Improving confidence seeing consumers spending more
FSAI guidelines for artisan foods
Own-brand goods capturing greater share of grocery market
Companies, brands and innovations
The consumer
Butchers and bakers most shopped at types of food specialists
Figure 2: Specialist/artisan food and drink retailers that consumers have shopped at in the last 3 months, NI and RoI, March 2015
Price and local sourcing key factors when shopping for specialist food
Figure 3: Important factors to consumers when buying food or drink from food specialists/artisan food stores, NI and RoI, March 2015
Figure 4: Factors that would encourage consumers to shop more often with food specialists/ artisans, NI and RoI, March 2015
Irish consumers see food specialist staff as knowledgeable
Figure 5: Agreement with statements relating to artisan food, NI and RoI, March 2015
What we think
MARKET OVERVIEW
Key points
Consumer prices for food fall between 2014 and 2015
Figure 6: Annualised CPI versus food price inflation, RoI, 2010-15
Figure 7: Annualised CPI versus food price inflation, UK (including NI), 2010-15
Consumer confidence improving and could see them splash out more
Figure 8: Consumer confidence index, NI, September 2008 – March 2015
RoI consumer confidence doubles since 2013
Figure 9: Consumer confidence index, RoI, September 2008 – June 2015
Spending on groceries
Figure 10: Average amount that consumers spend each week for household groceries, NI, October 2014
Figure 11: Average amount that consumers spend each week for household groceries, RoI, October 2014
Consumers increasingly buying own-brand goods
Figure 12: Estimated branded grocery retail sales versus own-sales, IoI, 2009-15
Most bought types of own-brand products very similar to most bought artisan goods
Figure 13: Top five types of own-brand goods that consumers have purchased in the last 12 months, NI and RoI, October 2014
FSAI cracking down on use of the terms ‘artisan’ and ‘traditional’ in marketing
Bord Bia report a 50% increase in farmers’ markets between 2006 and 2015
MARKET SIZE AND FORECAST
Key points
Slow growth in specialist food category
Figure 14: Speciality food sales, by value, IoI, NI and RoI, 2010-20
Improving economic conditions and consumer spending power will help drive growth
Figure 15: Indexed speciality food sales versus all grocery sales, by value, IoI, NI and RoI, 2010-20
Butchers account for strongest share of food specialist market
Figure 16: Estimated share of food and drink specialists’ turnover, IoI, 2014
STRENGTHS AND WEAKNESSES
Strengths
Weaknesses
WHO’S INNOVATING?
Key Points
Growth in ‘suitable for’ category
Figure 17: Food product launches in UK and Ireland, by claim category 2010-15
Ethical and environmental sustainability
Food provenance and origin – from farm to fork
Back to basics – out with the new, in with the old.
Desire for new experiential offerings
Premium equals quality
Scope for additional offerings
Convenience
Scope for artisan food courses
Scope for hybrids and company collaboration
COMPANIES AND BRANDS
 NI
Ewing’s Seafood
Key facts
Product portfolio
Recent developments
Finnebrogue Venison NI
Key facts
Product portfolio
Recent developments
Hannan Meats
Key facts
Product portfolio
Recent developments
Glastry Farm
Key facts
Product portfolio
Recent developments
Annaghmore Mushrooms
Key facts
Product portfolio
Recent developments
Broighter Gold Rapeseed Oil
Key facts
Product portfolio
Recent developments
Abernethy Butter
Key facts
Product portfolio
Recent developments
Ditty’s Home Bakery
Key facts
Product portfolio
Recent developments
 ROI
Gubbeen
Key facts
Product portfolio
Recent developments
McCarthy’s of Kanturk
Key facts
Product portfolio
Recent developments
Keogh’s Crisps
Key facts
Product portfolio
Recent developments
Highbank Organic Orchard
Key facts
Product portfolio
Recent developments
The Wild Irish Foragers and Preserves
Key facts
Product portfolio
Recent developments
Mungo Murphy’s seaweed
Key facts
Product portfolio
Recent developments
Queen of Tarts
Key facts
Product portfolio
Recent developments
THE CONSUMER – TYPES OF ARTISAN SPECIALISTS USED
Key points
Butchers and bakers the most visited food specialist stores
Figure 18: Specialist/artisan food and drink retailers that consumers have shopped at in the last 3 months, NI and RoI, March 2015
Mature consumers more likely to use butchers
Figure 19: Consumers who have visited a butchers in the last 3 months, by age group, NI and RoI, March 2015
Figure 20: Projected population of RoI, by age group, 2011-36
Figure 21: Projected population of NI, by age group, 2011-36
Bakers appeal more to affluent consumers
Figure 22: Consumers who have visited a baker in the last 3 months, by social class, NI and RoI, March 2015
RoI consumers twice as likely to have used health food shops
Figure 23: Consumers who have visited a health food shop in the last 3 months, by gender and social class, NI and RoI, March 2015
NI consumers more likely to visit a greengrocer
Figure 24: Consumers who have visited a greengrocer in the last 3 months, by age, NI and RoI, March 2015
THE CONSUMER – IMPORTANT FACTORS WHEN SHOPPING WITH FOOD SPECIALISTS
Key points
Low price important factor for consumers when buying artisan food
Figure 25: Important factors to consumers when buying food or drink from food specialists/artisan food stores, NI and RoI, March 2015
Low price more important to younger shoppers
Figure 26: Consumers who consider low price to be an important factor when buying food or drink from food specialists/artisan food stores, by age, NI and RoI, March 2015
NI consumers more likely to consider local sourcing important compared to RoI
Figure 27: Consumers who consider being made with locally sourced ingredients to be an important factor when buying food or drink from food specialists/artisan food stores, by age, NI and RoI, March 2015
Being made in the same country important to four in 10
Figure 28: Consumers who consider being made in their own country to be an important factor when buying food or drink from food specialists/artisan food stores, by gender, NI and RoI, March 2015
RoI consumers more concerned with artisan food being free from additives compared to NI
Figure 29: Consumers who consider having no additives/preservatives and organic to be important factors when buying food or drink from food specialists/artisan food stores, by gender, NI and RoI, March 2015
Figure 30: New products launched within the food and drink category claim to be organic versus no additives/preservatives, UK and Ireland, 2010-14
Factors that would encourage consumers to shop more with artisan stores
Figure 31: Factors that would encourage consumers to shop more often with food specialists/ artisans, NI and RoI, March 2015
Longer opening hours would appeal to working consumers
Figure 32: Consumers who think longer opening hours would encourage them to shop more often with food specialists/ artisans, by work status, NI and RoI, March 2015
THE CONSUMER – ATTITUDES TOWARDS ARTISAN FOOD
Key points
Food specialist staff seen as knowledgeable
Figure 33: Agreement with statements relating to artisan food, NI and RoI, March 2015
Knowledgeable staff important for low-internet users
Figure 34: Agreement with the statement ‘Staff at food specialists/artisans are more knowledgeable than those at supermarkets’, by daily internet usage, NI and RoI, March 2015
Food bought from specialists seen as having superior taste
Figure 35: Agreement with the statement ‘Food bought from food specialists/artisans tastes better than what you can get in supermarkets’, by social class, NI and RoI, March 2015
Artisan stores seen as more trustworthy than supermarkets
Few see food specialists/artisan stores as cheaper than supermarkets
Strong demand for more food specialists
Specialists do not have convenient locations
Figure 36: Agreement with the statement ‘Food specialists/artisans are more conveniently located than supermarkets’, NI and RoI, March 2015
APPENDIX
NI Toluna data
Figure 37: Specialist/artisan food and drink retailers that consumers have shopped at in the last 3 months, by demographics, NI, March 2015
Figure 38: Specialist/artisan food and drink retailers that consumers have shopped at in the last 3 months, by demographics, NI, March 2015 (continued)
Figure 39: Specialist/artisan food and drink retailers that consumers have shopped at in the last 3 months, by demographics, NI, March 2015 (continued)
Figure 40: Important factors to consumers when buying food or drink from food specialists/artisan food stores, by demographics, NI, March 2015
Figure 41: Important factors to consumers when buying food or drink from food specialists/artisan food stores, by demographics, NI, March 2015 (continued)
Figure 42: Important factors to consumers when buying food or drink from food specialists/artisan food stores, by demographics, NI, March 2015 (continued)
Figure 43: Agreement with the statement ‘Food specialists/artisans are more conveniently located than supermarkets’, by demographics, NI, March 2015
Figure 44: Agreement with the statement ‘I trust the quality of goods in a food specialist/artisan more than the produce in supermarkets’, by demographics, NI, March 2015
Figure 45: Agreement with the statement ‘Food specialists/artisans are cheaper than supermarkets’, by demographics, NI, March 2015
Figure 46: Agreement with the statement ‘There are not enough food specialists/artisans in my local area’, by demographics, NI, March 2015
Figure 47: Agreement with the statement ‘Food specialists/artisans offer a friendlier service than supermarkets’, by demographics, NI, March 2015
Figure 48: Agreement with the statement ‘I find food specialists/artisans intimidating’, by demographics, NI, March 2015
Figure 49: Agreement with the statement ‘Food bought from food specialists/artisans tastes better than what you can get in supermarkets’, by demographics, NI, March 2015
Figure 50: Agreement with the statement ‘There is a wider range of goods in food specialists/artisans’, by demographics, NI, March 2015
Figure 51: Agreement with the statement ‘Food specialists/artisans are never open when I need them’, by demographics, NI, March 2015
Figure 52: Agreement with the statement ‘Staff at food specialists/artisans are more knowledgeable than those at supermarkets’, by demographics, NI, March 2015
Figure 53: Agreement with the statement ‘Food specialists/artisans get more involved with the local community than supermarkets’, by demographics, NI, March 2015
Figure 54: Factors that would encourage consumers to shop more often with food specialists/ artisans, by demographics, NI, March 2015
Figure 55: Factors that would encourage consumers to shop more often with food specialists/ artisans, by demographics, NI, March 2015 (continued)
Figure 56: Factors that would encourage consumers to shop more often with food specialists/ artisans, by demographics, NI, March 2015 (continued)
RoI Toluna data
Figure 57: Specialist/artisan food and drink retailers that consumers have shopped at in the last 3 months, by demographics, RoI, March 2015
Figure 58: Specialist/artisan food and drink retailers that consumers have shopped at in the last 3 months, by demographics, RoI, March 2015 (continued)
Figure 59: Specialist/artisan food and drink retailers that consumers have shopped at in the last 3 months, by demographics, RoI, March 2015 (continued)
Figure 60: Important factors to consumers when buying food or drink from food specialists/artisan food stores, by demographics, RoI, March 2015
Figure 61: Important factors to consumers when buying food or drink from food specialists/artisan food stores, by demographics, RoI, March 2015 (continued)
Figure 62: Important factors to consumers when buying food or drink from food specialists/artisan food stores, by demographics, RoI, March 2015 (continued)
Figure 63: Agreement with the statement ‘Food specialists/artisans are more conveniently located than supermarkets’, by demographics, RoI, March 2015
Figure 64: Agreement with the statement ‘I trust the quality of goods in a food specialist/artisan more than the produce in supermarkets’, by demographics, RoI, March 2015
Figure 65: Agreement with the statement ‘Food specialists/artisans are cheaper than supermarkets’, by demographics, RoI, March 2015
Figure 66: Agreement with the statement ‘There are not enough food specialists/artisans in my local area’, by demographics, RoI, March 2015
Figure 67: Agreement with the statement ‘Food specialists/artisans offer a friendlier service than supermarkets’, by demographics, RoI, March 2015
Figure 68: Agreement with the statement ‘I find food specialists/artisans intimidating’, by demographics, RoI, March 2015
Figure 69: Agreement with the statement ‘Food bought from food specialists/artisans tastes better than what you can get in supermarkets’, by demographics, RoI, March 2015
Figure 70: Agreement with the statement ‘There is a wider range of goods in food specialists/artisans’, by demographics, RoI, March 2015
Figure 71: Agreement with the statement ‘Food specialists/artisans are never open when I need them’, by demographics, RoI, March 2015
Figure 72: Agreement with the statement ‘Staff at food specialists/artisans are more knowledgeable than those at supermarkets’, by demographics, RoI, March 2015
Figure 73: Agreement with the statement ‘Food specialists/artisans get more involved with the local community than supermarkets’, by demographics, RoI, March 2015
Figure 74: Factors that would encourage consumers to shop more often with food specialists/ artisans, by demographics, RoI, March 2015
Figure 75: Factors that would encourage consumers to shop more often with food specialists/ artisans, by demographics, RoI, March 2015 (continued)
Figure 76: Factors that would encourage consumers to shop more often with food specialists/ artisans, by demographics, RoI, March 2015 (continued)