Food Gifting in the U.S., 3rd Edition

188 views

Published on

0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
188
On SlideShare
0
From Embeds
0
Number of Embeds
2
Actions
Shares
0
Downloads
1
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Food Gifting in the U.S., 3rd Edition

  1. 1. Food Gifting in the U.S., 3rd EditionReport Details:Published:October 2012No. of Pages: 146Price: Single User License – US$3850Fueled by upper-income household spending trends, the consumer food gifting market is on firmerground, buoyed by continued product innovation and usage occasion expansion: Packaged Facts’Food Gifting in the U.S. forecasts U.S. consumer food gifting sales to reach $11.15 billion in 2012,up 2.5% from 2011. Despite this positive news, we see a plethora of untapped opportunity. Whilepurchase frequency has trended upward during 2012-2012, it remains modest. To expandpurchase frequency, we believe the industry can do more to ensure that food gifts are priced attiers that allow for expanded lower-income market participation. We also identify a variety oftangible and intangible (emotional) product purchase and attribute rationales that can overcomesales obstacles among food gifters and non-food gifters alike. To assist market participants inmaximizing sales and marketing opportunity, this report:Assesses the food gifter from a variety of perspectives: the degree people purchase food gifts forthemselves and for others; the amount they spend per gift, the number of recipients for whom theypurchase the gifts, and the kind of recipient (i.e. mother, friend, coworker, etc.). To help shed lighton each of these perspectives, in each case, we trend 2010 and 2012 proprietary consumer data.•Analyzes food gifting occasions, including winter holidays, birthdays, Mother’s Day, Father’s Day, Valentine’s Day, Thanksgiving, anniversary, Easter, Halloween, housewarmings, weddings and graduations. We focus on trending food gifting purchase occasions during 2010-2012; providing related purchaser demographic analysis; and assessing occasion opportunity.•Frames why consumers purchase food gifts, what attributes they seek when choosing a food gift, and posits related questions and ideas to market participants.•Explores rationales given for not purchasing specialty food gifts and offer ideas to address them—to assist market participants in assessing purchase obstacles.We also assess leading food gifting manufacturer & retailer strategies and product developments.Falling into three primary catergories (chocolate, floral, and specialty food), the companies includeThe Hershey Company, Lindt & Sprungli AG, Mars Inc., Russell Stover, 1-800-FLOWERS.COM,FTD, Candy Bouquet, Dean & DeLuca, Edible Arrangements, Harry and David Holdings, Inc.,Houston Harvest Gift Products LLC, The Wisconsin Cheeseman, and Zabar’s and Company, Inc.In addition to our market size and forecast, we provide detailed sale analysis of gift boxedchocolate and seasonal chocolate, a significant food gifting sales contributor. This includes 2011-2012 gift box chocolate, seasonal Christmas, seasonal Easter, and seasonal Valentine’s Daychocolate candy marketer and brand sales and unit comparisons, and identifying fast growing
  2. 2. brand lines among each of these four chocolate candy segments.Get your copy of this report @http://www.reportsnreports.com/reports/202354-food-gifting-in-the-us-3rd-edition.htmlMajor points covered in Table of Contents of this report includeTable of ContentsChapter 1: Executive SummaryScope and MethodologyReport ScopeReport summaryFood Gifting Market SizeDetails on chocolateGift boxed chocolateChristmas chocolateEaster seasonal chocolateValentine’s Day chocolateSummary analysisFood Gifting Purchaser, Gift Type, Gift Spend & Recipient AnalysisSummary analysisFood gifting becoming more prevalentThank you, discretionary income gainFood gift sweet spot stays the same, but 2010-2012 spend per gift trends upwardThank you, higher-income consumersHispanic and black consumers overlooked? Or not interested?Boxed chocolates/candies remain most widely purchased food giftBut other choices gathering steamFood gift purchase recipient analysis reveals opportunitiesConsumer Food Gifting OccasionsSummary analysisHow important is each occasion?Consumer survey contextFood Gifting Purchase Rationales, Attributes Sought & Retail DistributionSummary analysisIntangible reasonsTangible attributesUtility, convenience & valueWe don’t buy them because they’re cheap!Increasing women’s market participationHarness the internet to reach older food giftersSpecialty food gift purchase sources holding groundWhy We Don’t Buy Specialty Food GiftsSummary analysis
  3. 3. We know you exist; now, prove you have sufficient valueHelp us feel more confident about how our choice will match our recipientAssuage our food fears & offer more healthful food giftsConvince us that gift cards and cash are thoughtless and one-dimensionalKnow thy enemy: trending gift card metricsFood Gifting Manufacturers & RetailersChapter 2: Market Size and ForecastSummary analysisFood gifting marketDetails on chocolateGift boxed chocolateChristmas chocolateEaster seasonal chocolateValentine’s Day chocolateFood gifting market size and forecastGraph 2-1: Food Gifting Market Size & Forecast, 2007-2014Seasonal and Gift-Boxed Chocolate Sales Trends & Segmentation Segmentation analysisGift Boxed ChocolateChallenged by other formats deemed suitable for giftingBut presentation and quality appearance has its meritsTop marketers: gift boxesRussell Stover maintains leadTable 2-2: Top Marketers of Gift Box Chocolates, 2012Top marketers: Christmas chocolateTable 2-3: Top Marketers of Seasonal Chocolate Christmas Candy, 2012Fast growersTable 2-4: 15 Fastest-Growing Seasonal Chocolate Christmas Candy Brand Lines, 2012Top marketers: Easter chocolateHershey maintains Easter seasonal chocolate leadTable 2-5: Top Marketers of Seasonal Chocolate Easter Candy, 2012Fast growersTable 2-6: 18 Fastest-Growing Seasonal Chocolate Easter Candy Brand Lines, 2012Top marketers: Valentine’s Day chocolateTable 2-7: Top Marketers of Seasonal Chocolate Valentine’s Day Candy, 2012Fast growersTable 2-8: 18 Fastest-Growing Seasonal Chocolate Valentine’s Day Candy Brand Lines, 2012Chapter 3: Food Gifting Purchaser, Gift Type, Gift Spend & Recipient AnalysisSummary analysisFood gifting becoming more prevalentThank you, discretionary income gainFood gift sweet spot stays the same, but 2010-2012 spend per gift trends upwardThank you, higher-income consumers
  4. 4. Hispanic and black consumers overlooked? Or not interested?Boxed chocolates/candies remain most widely purchased food giftBut other choices gathering steamFood gift purchase recipient analysis reveals opportunitiesThe male angleThe usage frequency angleThe income angleFood gifting on the riseTable 3-1: Food Gifting: Purchasing for Self, Purchasing for Others & Receiving as Gift,2010 vs. 2012Buoyed by rise in per capita disposable incomeGraph 3-1: Consumer Per Capita Disposable Income, Real and Adjusted, with PopulationChange, Q2 2007-Q2 2012Household net worth and disposable personal income up; household debt downGraph 3-2: Household Debt-to-DPI & Household Debt-to-Net Worth Ratios,Annual Change and Cumulative Change, 2007-Q2 2012Food Gift PurchasersGift spendingSweet spot stays at $20 to $29, but spend per gift trends upwardTable 3-2: Food Gift Purchasers: Spend per Gift, 2010 vs. 2012Food gifting heavily reliant on $100K+ households, which generate 51% of spendGraph 3-3: Food Gifting Market: Consumer Dollar Share by Household Income, 2011And higher spend per giftTable 3-3: Food Gift Purchasers: Spend per Gift by Household Income, 2012Household growth trends skew toward high-income brackets, driving food gifting salesGraph 3-4: Household Growth by Household Income Bracket, 2007-2011Household income trends also favor food gifting marketGraph 3-5: Household Income Growth by Household Income Bracket, 2007-2011Race/ethnicity spend analysis suggests low dollar share contribution among non-whitesGraph 3-6: Food Gifting Market: Dollar Share by Race/Ethnicity, 2011Household growth trends suggest need to market to non-whites more aggressivelyGraph 3-7: Household Growth by Race/Ethnicity, 2007-2011Black and Hispanic household income growth suggests increased opportunityGraph 3-8: Household Income Growth by Race/Ethnicity, 2007-2011A contradiction arisesSignificant regional variationTable 3-6: Food Gift Purchasers: Spend per Gift by Household Income, 2012Purchasing Food Gifts for OthersTypes of food gifts purchasedBoxed chocolates/candies remain on topGifting accounts for 15% of premium chocolate purchasesBut 2010-2012 purchase incidence gains among other food gifts more pronounced
  5. 5. Table 3-7: Types of Food Gifts Purchased for Others, 2010 vs. 2012AgeTable 3-8: Types of Food Gifts Purchased for Others by Age of Food Gifter, 2012HH income makes a difference in choice of food giftRegional favoritesTable 3-9: Types of Food Gifts Purchased for Others by Household Income of Food Gifter, 2012Table 3-10: Types of Food Gifts Purchased for Others by Household Income of Food Gifter,2012Who are food gift recipients?Spouse/significant other at top of listMom, yes; Dad, not so muchWhat are friends for?Males big food gifters for spouse/significant other & mom; females drive purchases for othersTable 3-12: Recipients of Food Gifts by Gender of Food Gifter, 2012Mom, dad and siblings popular recipients among younger giversTable 3-13: Recipients of Food Gifts by Age of Food Gifter, 2012Higher income tied to wider food gift recipient distribution beyond familyTable 3-14: Recipients of Food Gifts by Household Income of Food Gifter, 2012Number of food gifting purchase recipientsModerate usage frequency provides growth opportunityTable 3-15: Food Gift Purchasers: Number of Gift Recipients per Year, 2010 vs. 2012The good newsBetter news ahead, with just a bit of higher-frequency purchase conversion?Table 3-16: Food Gift Purchasers: Gift Recipient Hypothetical, 2010-2012-2014Gender analysis demonstrates need to increase purchase frequency among men and womenTable 3-17: Number of Gift Recipients per Year by Gender of Food Gifter, 2012Explore additional food gifting occasions for 18-34sTable 3-18: Number of Gift Recipients per Year by Age of Food Gifter, 2012Enhance value proposition among lower-income consumersTable 3-19: Number of Gift Recipients per Year by Household Income of Food Gifter, 2012Purchasing Food Gifts for SelfBetter to give to self than to others!Everyday use helps tip the scaleTable 3-20: Types of Food Gifts Purchased for Self, 2010 vs. 2012Do not overlook men’s role in food self-giftingTable 3-21: Types of Food Gifts Purchased for Self: By Gender, 2012AgeTable 3-22: Types of Food Gifts Purchased for Self: By Age, 2012HH incomeTable 3-23: Types of Food Gifts Purchased for Self: By Household Income, 2012Chapter 4: Consumer Food Gifting Occasions
  6. 6. Summary analysisHow important is each occasion?Consumer survey contextFood gifting special occasionsWinter holidaysEasterSpend categoriesSpend locationsOnline growthValentine’s DaySpend categoriesSpend locationsOnline growthGraduationMore than 6 million food gifting opportunities annuallyPostsecondary opportunityTable 4-1: Graduation and Degree Opportunity, 2007-08 to 2011-12HH income levels support food gifting spendTable 4-2: Graduations in Past 12 Months: Key Demographics, 2012WeddingsWedding rate significantly declinesGraph 4-1: Marriages and Marriage Rate, 2000-2009More than 2 million weddings—and more than 275 million wedding guestsTable 4-3: Marriages in Past 12 Months: Key Demographics, 2012Anniversaries121 million married adults to targetTable 4-4: Married Adults: Key Demographics, 2012Mother’s Day and Father’s DayTable 4-5: Graduations in Past 12 Months: Key Demographics, 2012Occasions for purchasing specialty food gifts: consumer survey analysisFood gifting less prevalent for Valentine’s Day, Thanksgiving & EasterTable 4-6: Occasions for Purchasing Specialty Food Gifts, 2010 vs. 2012Winter holidays food gift purchase shareTable 4-7: Occasions for Purchasing Specialty Food Gifts, with Population Estimates, 2012Gender: a close callTable 4-8: Occasions for Purchasing Specialty Food Gifts: By Gender, 2010/2012Age: winter holidays a key exceptionTable 4-9: Occasions For Purchasing Specialty Food Gifts: By Age, 2010/2012HH income and food-centric occasion connectionTable 4-10: Occasions for Purchasing Specialty Food Gifts: By Household Income, 2010/2012Chapter 5: Food Gifting Purchase Rationales, Attributes & Retail DistributionSummary analysis
  7. 7. Intangible reasonsTangible attributesUtility, convenience & valueWe don’t buy them because they’re cheap!Reaching womenHarness the internet to reach older food giftersSpecialty food gift purchase sources holding groundReasons for buying specialty food giftsGifts intended to convey an emotional expression: food gift recipient enjoyment mattersWhy buy food gift unless the recipient views it as a special, a splurge?Recipients may not need a food gift—but that doesn’t mean they wouldn’t want oneUtility plays a roleConvenience and value also relevant, with a twistFood gifts aren’t cheap!Rationales becoming more prevalent over timeInternet playing a role?Table 5-1: Reasons for Purchasing Food Gifts, 2010 vs. 2012Women: gift should be uncommon purchase and should fill want vs. needTable 5-2: Reasons for Purchasing Food Gifts: By Gender, 2012Attributes sought when purchasing food giftsQuality and appearance prevalently soughtTrust and food health also relevantProduct variety, distinctiveness & special meaning vs. valueShipping and online availabilityTable 5-3: Attributes Sought When Purchasing Food Gifts, 2010 vs. 2012Gender & the issue of thought put into the giftTable 5-4: Attributes Sought When Purchasing Food Gifts: By Gender, 2012With age comes wider desire for quality, product variety . . . and online availability?Table 5-5: Attributes Sought When Purchasing Food Gifts: By Age, 2012HH income analysisTable 5-6: Attributes Sought When Purchasing Food Gifts: By Household Income, 2012Specialty food gift purchase sourcesHolding groundTable 5-7: Specialty Food Gift Purchase Locations in Past 12 Months, 2010 vs. 2012Similar food gift purchase incidence by gender at many retailers: please explain!Table 5-8: Specialty Food Gift Purchase Locations in Past 12 Months: By Gender, 2012Shopping context: women garner higher shopping share across retail segmentsTable 5-9: Retailer Brand Shopping in Past 4 Weeks:Usage Share by Gender, 2012Age analysisTable 5-10: Specialty Food Gift Purchase Locations in Past 12 Months: By Age, 2012HH income analysis
  8. 8. Table 5-11: Specialty Food Gift Purchase Locations in Past 12 Months: By Age, 2012Chapter 6: Why We Don’t Buy Specialty Food GiftsSummary analysisWe know you exist; now, prove you have sufficient valueHelp us feel more confident about how our choice will match our recipientAssuage our food fears & offer more healthful food giftsConvince us that gift cards and cash are thoughtless and one-dimensionalKnow thy enemy: trending gift card metricsIntroductionReasons for not buying food giftsKnowledge of food gifts versus food gift valueKnowledge about recipientFood fears & food healthAlternative giftsTable 6-1: Reasons for Not Buying Food Gifts, 2010 vs. 2012Reasons for not buying food gifts: all consumers versus food giftersTable 6-2: Reasons for Not Buying Food Gifts: All Consumers vs. Food Gifters, 2012Gender analysisTable 6-3: Reasons for Not Buying Food Gifts: Food Gifters vs. non-Food Gifters: By Gender,2012Age analysis: 18-24s, 25-34s & 35-44sTable 6-5: Reasons for Not Buying Food Gifts: Food Gifters vs. non-Food Gifters:By 18-44 Age Brackets, 2012Age analysis: 45-54s, 55-64s & 65+sTable 6-6: Reasons for Not Buying Food Gifts:Food Gifters vs. non-Food Gifters,by 45 and Over Age Brackets, 2012HH income analysisTable 6-7: Reasons for Not Buying Food Gifts: Food Gifters vs. non-Food Gifters, by HouseholdIncome, 2012Regional analysisTable 6-8: Reasons for Not Buying Food Gifts: Food Gifters vs. non-Food Gifters, by Region, 2012Gift Card CompetitionPositive holiday spending trendPurchase spend trendsDurbin Amendment and CARD ActReg E dormancy, inactivity and service feesGift card usage & spending trendsGift card purchase share segmentationTable 6-9: U.S. Adult Gift Card Purchases: Dollar Value by Segment, 2010-2012Purchase share leadership goes to . . .Table 6-10: U.S. Adult Gift Card Purchases: Dollar Value Share by Segment, 2010-2012
  9. 9. Gift card usage penetration stabilizesTable 6-11: Consumer Payment Card Usage Trending: By Type, 2010-2012Gift card usage trending by retail distribution segmentTable 6-12: Gift Card Usage Trending: By Retailer Type, 2010-2012Chapter 7: Food Gifting Manufacturers & RetailersChocolateThe Hershey CompanyTis the season . . .Sales on the upswingTable 7-2: The Hershey Company: Selected Sales Metrics, 2006-2011Product price increasePouring money into advertisingBrands receiving supportTrade promotion activityHershey’s retail customer baseTable 7-3: Hershey’s Sales by Channel, 2011Product overviewNew product introductionsLindt & Sprungli AGCompany overviewProductsNew productsSeasonal confectioneriesOther Chocolate ProductsMars Inc.ProductsMarketingRussell StoverCompany overviewProductsNew productsMarketingWhitman’s Turns 100Television advertisingValentine’s DayEasterBuild-a-BoxNovelty GiftsFloral1-800-FLOWERS.COMCompany overviewProduct and distribution focus
  10. 10. Sales performanceCompany strategy1-800-FLOWERS.COM is doing well in the face of a recessionTechnology makes paying easierStrategic partnershipsFTDCompany overviewConsumer floral and gift mass marketingFloral network servicesPlanned FTD spinoffTable 7-5: FTD Revenue, Orders & Order Value, 2009-2011New collectionsFTD College Rose Collection expandedProgram expands gifting occasionsJane Seymour Silk Botanicals by FTD Collection provide floral alternativeProgram targets weddings, holiday gift giving, and year-round home décorSpecialty FoodsCandy BouquetCompany overviewCompany strategyNew owners are making changesDean & DeLucaCompany overviewFood gifts and other productsEdible ArrangementsCompany overviewCompany strategyNew products…with new advertising…and technologyAnd strategic partnershipsHarry and David Holdings, Inc.Company overviewFinancial informationFood gift productsCompany strategyHouston Harvest Gift Products LLCCompany overviewThe Wisconsin CheesemanCompany overviewZabar’s and Company, Inc.Company overview
  11. 11. MethodologyConsumer survey methodologyMarket size and forecastAppendixReport table interpretationProduct DefinitionsTypes of Food GiftsContact: sales@reportsandreports.com for more information.

×