January 2012/Prepared Foods -- The troubled economy has led many consumers to rethink their discretionary spending and, in the process, has meant more occasions to cook at home, rather than dining out at a restaurant. According to the Mintel “Cooking Sauces and Marinades--U.S.” report released in April 2011, among home cooks, 52% are cooking more meals at home. What may portend trouble for foodservice sales, however, is serving as something of a boon in grocery segments: With consumers still seeking the robust and authentically ethnic flavors they are accustomed to enjoying in restaurants, the fortunes of sauces and marinades have swelled.
In 2010 alone, 1,778 new sauces and seasonings made their way to store shelves, and the market continues to grow, per the February 2011 Prepared Foods’ article, “Directions in Sauces and Marinades,” which also forecast sauces and marinade sales as expected to reach $4.3 billion in 2012, up from $3.3 billion in 2007. In fact, according to Mintel Oxygen research, the cooking sauces and marinades category grew 20% in U.S. retail sales from 2005-2010, culminating in sales of an estimated $3.7 billion. Furthermore, the research group expects this upward trend to continue, forecasting another 19% growth in the segment’s sales by 2015, although it would appear this could be conditional on the health of the economy.
A similar rationale compelled Global Industry Analysts Inc. to forecast the global market for condiments, sauces, dressings and seasonings will reach $72 billion by 2015 in its “Condiments, Sauces, Dressings and Seasonings” report. The analyst firm contends this growth will be “spurred by increasing preference for cheaper home-cooked foods in times of global financial crisis. In addition, hectic consumer lifestyles and the increasing demand for healthy, natural and convenience foods, as well as ethnic cuisine, will drive sales for food accompaniments, such as condiments, sauces, dressings and seasonings.”