Frozen food forges ahead with growth in poultry

With consumers eating more meals at home, frozen food sales are soaring. Packaged Facts predicted the frozen food category will grow to $70 billion in 2015, an increase of $14.1 billion (or 25%) over 2010. According to a recent study from the market research firm, 72% of consumers said they purchased frozen prepared food.

Drug stores aren’t missing the opportunity. “The drug channel is outpacing the industry in frozen food sales by a solid margin,” said Sue Viamari, SymphonyIRI group editor of Times and Trends. The channel has moved beyond pizzas and snack rolls — although those segments have plenty of upside. Viamari said some of the strongest growth in the drug channel is coming from frozen pasta and poultry.

“We’re seeing a lot of growth in poultry, in whole frozen birds and chicken tenders. Consumers are busy, and they want quick and easy meal solutions,” Viamari said.

”Frozen entrees saw brand loyalty increase during the past several years; innovation has given momentum to that category,” Viamari said. A recent report from Packaged Facts revealed that the number of dinner/entrée introductions increased 21% in 2010, reaching its highest point yet.

One-dish entrees have remained top performers. Packaged Facts reported that Nestlé held the top sales spot in the frozen single-serve segment in 2010.

Restaurant and chef brands have helped push the segment along. ConAgra Foods is teaming up with Bravo for a new line of frozen “Top Chef” entrees called Healthy Choice Top Chef Inspired Café Steamers.

The article above is part of the DSN Category Review Series. For the complete Frozen Food Buy-In Report, including extensive charts, data and more analysis, click here.