Cheese - Ireland - May 2016

OVERVIEW
What you need to know
Issues covered in this Report
EXECUTIVE SUMMARY
The market
Figure 1: Estimated retail sales of cheese, RoI and NI, 2011-21
Market factors
Cheese prices drop
Number of consumers struggling financially decreases slightly
Scope in offering branded Irish cheese in discounters
High-protein claims offer scope for cheese market
Companies and innovations
The consumer
Cheddar continues to be the most popular cheese
Figure 2: Types of cheese that consumers have bought for themselves or others in the last three months, NI and RoI, February 2016
In a sandwich is the most popular way to use cheese
Figure 3: Ways that consumers have used/ eaten cheese in the last three months, NI and RoI, February 2016
Origin is important to Irish consumers when buying cheese
Figure 4: Agreement with statements related to cheese, NI and RoI, February 2016
What we think
ISSUES AND INSIGHTS
How is the cheese market expected to perform in 2016?
The facts
The implications
What challenges face the cheese market in Ireland?
The facts
The implications
What is the most popular bought cheese?
The facts
The implications
In terms of innovation, what are consumers looking for in cheese?
The facts
The implications
THE MARKET – WHAT YOU NEED TO KNOW
Cheese market set for growth in 2016
Cheese prices drop
Number of consumers struggling financially decreases
Scope in offering branded Irish cheese in discounters
High-protein claims offer scope for cheese market
MARKET SIZE AND FORECAST
Cheese market set for growth in 2016
Figure 5: Estimated retail sales of cheese, IoI, RoI and NI, 2011-21
RoI aids Irish growth
Figure 6: Estimated retail sales of cheese, NI and RoI, 2011-21
Decrease in the usage of cheddar could see sales drop
Figure 7: Consumers who have bought cheddar cheese in the last three months, NI and RoI, March 2015 and February 2016
Rise in exports offers scope for cheese producers
MARKET DRIVERS
Cheese prices drop
Figure 8: Consumer price indices of cheese and curd, RoI, March 2014-February 2016
Figure 9: Consumer price indices of milk, cheese and eggs, UK (including NI), March 2014-March 2016
How has this impacted imports?
Number of consumers struggling financially decreases
Figure 10: How consumers rate their current financial situation, NI and RoI, February 2014-February 2016
Discounters’ expansion offers opportunities for Irish cheese
Scope in offering branded Irish cheese in discounters
Figure 11: Cheese products that consumers would typically purchase, by branded and own-branded, NI and RoI, November 2015
High-protein diet craze offers scope for cheese market
Figure 12: Agreement with statements relating to protein, NI and RoI, February 2016
Unhealthy claims associated with bread could impact cheese
Figure 13: Agreement with selected statements relating to bread, NI and RoI, February 2016
KEY PLAYERS AND INNOVATIONS
Dairygold invests in slicing line
Glanbia expands cheese production
Cashel looks to increase sheep milk cheese range
Cheestrings teams up with Captain America
Mondelēz sells Philadelphia
Sliced cheese opens up new usage occasions
Private label leads cheese market
Scope for innovations in goat’s cheese
WHO’S INNOVATING?
Hard cheese dominates launch activity
Figure 14: New product launches in the cheese sector, by type of cheese, UK and Ireland, 2011-16
Sliced cheese opens up new usage occasions
Figure 15: New product launches, by cheese format, UK and Ireland, 2011-16
Vegetarian remains most prevalent claim
Figure 16: New product launches in cheese, UK and Ireland, 2011-16
Private label leads cheese market
Figure 17: New product launches in the cheese market, private label vs branded, UK and Ireland, 2011-16
Figure 18: Agreement with the statement ‘I am more likely to buy own-label cheese compared to 12 months ago’, NI and RoI, February 2016
Cheese enters healthy snack category
Scope for innovation in goat’s cheese
Scope for more interesting flavours of low-fat cheese
COMPANIES AND BRANDS
Arla Foods
Key facts
Product portfolio
Brand NPD
Recent developments
Dale Farm
Key facts
Product portfolio
Recent developments
The Carbery Group
Key facts
Product portfolio
Recent development
Dairygold
Key facts
Product portfolio
Recent developments
Fivemiletown
Key facts
Product portfolio
Recent developments
Glanbia Plc
Key facts
Product portfolio
Recent developments
Cashel Farmhouse Cheesemakers
Key facts
Product portfolio
Recent developments
Kerry Group
Key facts
Product portfolio
Brand NPD
Recent developments
Mondelēz International
Key facts
Product portfolio
Brand NPD
Recent developments
Ornua
Key facts
Product portfolio
Brand NPD
Recent developments
Wicklow Farmhouse Cheese
Key facts
Product range
Recent developments
THE CONSUMER – WHAT YOU NEED TO KNOW
Cheddar continues to be the most popular cheese
In a sandwich is the most popular way to use cheese
Origin is important to Irish consumers when buying cheese
THE CONSUMER – TYPES OF CHEESE PURCHASED
Cheddar continues to be a staple in Irish households
Figure 19: Types of cheese that consumers have bought for themselves or others in the last three months, NI and RoI, February 2016
Strong usage of cheddar
Figure 20: Consumers who have bought cheddar cheese in the last three months, by gender and age, NI and RoI, February 2016
Low-fat cheese on the rise
Figure 21: Consumers who have bought low-fat/reduced fat cheese in the last three months, by gender, NI and RoI, February 2016
Soft cheese sees strongest usage among women
Figure 22: Consumers who have bought soft cheese/ cream cheese (eg Philadelphia) in the last three months, by gender, NI and RoI, February 2016
Snack portions of cheese appeal to parents
Figure 23: Consumers who have bought mini portions/snack packs of cheese (eg Dairylea Dunkers) in the last three months, by age of children, NI and RoI, February 2016
Millennials offer scope for mini portions of cheese
THE CONSUMER – USAGE OF CHEESE
As part of a sandwich remains top usage of cheese
Figure 24: Ways that consumers have used/ eaten cheese in the last three months, NI and RoI, February 2016
Usage of cheese on a sandwich in decline
Figure 25: Usage of cheese in a sandwich in the last three months, NI and RoI, March 2015 and February 2016
Cheese sandwiches convenient for parents
Figure 26: Usage of cheese in a sandwich in the last three months, by age of children, NI and RoI, February 2016
Cheese in a salad increased in usage
Figure 27: Usage of cheese in a salad in the last three months, by gender, NI and RoI, February 2016
Cooking with cheese appeals to women and younger consumers
Figure 28: Usage of cheese when cooking (eg when making cheese sauce) in the last three months, by gender and age, NI and RoI, February 2016
THE CONSUMER – ATTITUDES TOWARDS CHEESE
Origin is important to Irish consumers
Figure 29: Agreement with statements related to cheese, NI and RoI, February 2016
Knowing the origin of cheese appeals to Irish consumers
Figure 30: Consumer agreement with the statement ‘I like to know the country of origin of the cheese I buy’, by age, NI and RoI, February 2016
Irish cheese perceived as superior
Figure 31: Consumer agreement with the statement ‘I think cheese made in NI/RoI is superior to that made in other countries’, by age, NI and RoI, February 2016
Fat content remains a worry
Figure 32: Consumer agreement with the statement ‘I am more likely to check the fat content (eg on labels) when buying cheese compared to 12 months ago’, by gender, NI and RoI, February 2016
Figure 33: Consumer agreement with the statement ‘I think full-fat cheese tastes better than low-fat cheese’, NI and RoI, February 2016
APPENDIX – DATA SOURCES, ABBREVIATIONS AND SUPPORTING INFORMATION
Definition
Market size rationale
Data sources
Generational Cohorts
Abbreviations
APPENDIX – THE CONSUMER
NI Toluna data
Figure 34: Types of cheese that consumers have bought for themselves or others in the last three months, by demographics, NI, February 2016
Figure 35: Types of cheese that consumers have bought for themselves or others in the last three months, by demographics, NI, February 2016 (continued)
Figure 36: Types of cheese that consumers have bought for themselves or others in the last three months, by demographics, NI, February 2016 (continued)
Figure 37: Ways that consumers have used/ eaten cheese in the last three months, by demographics, NI, February 2016
Figure 38: Ways that consumers have used/ eaten cheese in the last three months, by demographics, NI, February 2016 (continued)
Figure 39: Ways that consumers have used/ eaten cheese in the last three months, by demographics, NI, February 2016 (continued)
Figure 40: Agreement with the statement ‘I am more likely to check the fat content (eg on labels) when buying cheese compared to 12 months ago’, by demographics, NI, February 2016
Figure 41: Agreement with the statement ‘I would be interested in trying a low-salt alternative to my favourite cheese’, by demographics, NI, February 2016
Figure 42: Agreement with the statement ‘Eating cheese is a good way to get protein in my diet’, by demographics, NI, February 2016
Figure 43: Agreement with the statement ‘I would like to know more information on the protein content of the cheeses I buy’, by demographics, NI, February 2016
Figure 44: Agreement with the statement ‘I like to know the country of origin of the cheese I buy’, by demographics, NI, February 2016
Figure 45: Agreement with the statement ‘I think cheese made in NI/RoI is superior to that made in other countries’, by demographics, NI, February 2016
Figure 46: Agreement with the statement ‘I prefer the flavour of milder-tasting cheese to stronger-tasting cheese’, by demographics, NI, February 2016
Figure 47: Agreement with the statement ‘I have switched to lactose-free cheeses in the last 12 months (eg for weight management/ health reasons)’, by demographics, NI, February 2016
Figure 48: Agreement with the statement ‘I would be willing to pay more for a cheese if I knew the farmer was being paid a fair price’, by demographics, NI, February 2016
Figure 49: Agreement with the statement ‘I am more likely to buy own-label cheese compared to 12 months ago’, by demographics, NI, February 2016
Figure 50: Agreement with the statement ‘I think full-fat cheese tastes better than low-fat cheese’, by demographics, NI, February 2016
Figure 51: Agreement with the statement ‘I am willing to pay more for cheese in packets that have high-quality closures to help keep it fresh (eg Zip-lock)’, by demographics, NI, February 2016
RoI Toluna data
Figure 52: Types of cheese that consumers have bought for themselves or others in the last three months, by demographics, RoI, February 2016
Figure 53: Types of cheese that consumers have bought for themselves or others in the last three months, by demographics, RoI, February 2016 (continued)
Figure 54: Types of cheese that consumers have bought for themselves or others in the last three months, by demographics, RoI, February 2016 (continued)
Figure 55: Ways that consumers have used/ eaten cheese in the last three months, by demographics, RoI, February 2016
Figure 56: Ways that consumers have used/ eaten cheese in the last three months, by demographics, RoI, February 2016 (continued)
Figure 57: Ways that consumers have used/ eaten cheese in the last three months, by demographics, RoI, February 2016 (continued)
Figure 58: Agreement with the statement ‘I am more likely to check the fat content (eg on labels) when buying cheese compared to 12 months ago’, by demographics, RoI, February 2016
Figure 59: Agreement with the statement ‘I would be interested in trying a low-salt alternative to my favourite cheese’, by demographics, RoI, February 2016
Figure 60: Agreement with the statement ‘Eating cheese is a good way to get protein in my diet’, by demographics, RoI, February 2016
Figure 61: Agreement with the statement ‘I would like to know more information on the protein content of the cheeses I buy’, by demographics, RoI, February 2016
Figure 62: Agreement with the statement ‘I like to know the country of origin of the cheese I buy’, by demographics, RoI, February 2016
Figure 63: Agreement with the statement ‘I think cheese made in NI/RoI is superior to that made in other countries’, by demographics, RoI, February 2016
Figure 64: Agreement with the statement ‘I prefer the flavour of milder-tasting cheese to stronger-tasting cheese’, by demographics, RoI, February 2016
Figure 65: Agreement with the statement ‘I have switched to lactose-free cheeses in the last 12 months (eg for weight management/ health reasons)’, by demographics, RoI, February 2016
Figure 66: Agreement with the statement ‘I would be willing to pay more for a cheese if I knew the farmer was being paid a fair price’, by demographics, RoI, February 2016
Figure 67: Agreement with the statement ‘I am more likely to buy own-label cheese compared to 12 months ago’, by demographics, RoI, February 2016
Figure 68: Agreement with the statement ‘I think full-fat cheese tastes better than low-fat cheese’, by demographics, RoI, February 2016
Figure 69: Agreement with the statement ‘I am willing to pay more for cheese in packets that have high-quality closures to help keep it fresh (eg Zip-lock)’, by demographics, RoI, February 2016