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SUMMER ENTERTAINING FROZEN FRUIT TAPPING INTO AUSSIE HEALTH TRENDS As Australians look for healthy alternatives in the freezer aisle, frozen fruit is providing such an option. MBy IRI Consultant Sam Palmer. ore than 40 per cent of surveyed households have bought a frozen fruit product in the past year, and 63.3 per cent of these have done so more than once. While fresh fruit growth reportedly has slowed during the Covid pandemic, frozen fruit has grown significantly with value increasing by 30 per cent, driving out-of-stocks of popular fruit variants across multiple supermarkets. The attraction for frozen fruit has been driven by consumers seeking products that have a longer shelf life and are more affordable. Frozen fruit products have less fluctuation in price and have quickly become a convenient, sustainable way to maintain fruit consumption as part of a healthy diet. Compared with other frozen desserts, frozen fruit has attracted a higher number of pre-family households, as well as families of all life stages. The key motivator for these shoppers is health and wellbeing. Of frozen fruit shoppers surveyed, 65.6 per cent recognise that ‘diet is very important to me’, with 44.3 per cent of surveyed families shopping the segment actively looking for products to ‘help me or members of my household maintain or lose weight’. Exercise plays a prominent feature in their regime, with 55.2 per cent of surveyed shoppers indicating they ‘exercise regularly (at least two to three times a week)’. Frozen fruit is bringing in a much younger demographic profile to the frozen desserts category and tapping into an acutely growing focus on health. Mixed berries, blueberries and raspberries account for 62 per cent of shopper visits in the past year among those surveyed. However, the breadth of range doesn’t end there. Ranges can extend to such goods as lychees, coconuts and avocados, with mangos in the past year accounting for 10 per cent of shopper visits by those surveyed. Although 65 per cent of surveyed shoppers in this segment prefer natural ingredients, only 17.4 per cent are prepared to pay more for organic food. More than 70 per cent of surveyed shoppers have a higher intent to buy locally grown fruit over imported. As supply chains are restored post- Covid, the danger is that duplication could become a challenge for future category growth, as the range is currently heavily weighted towards berry variants. With trends towards in-home cooking and a focus on health, it’s not surprising that 73.1 per cent of surveyed shoppers enjoy ‘cooking from scratch most of the time’. Cooking is not the only common use of frozen fruit, with ice cream accompaniment and adding flavour to water being common. Juice and smoothie bars have been affected in some states and territories by lockdown restrictions, with retailers having tapped into this popular in-home consumer trend. It’s now even easier for consumers to create their favourite smoothies at home with a range of smoothie mixes available in frozen fruit ranges. As innovation in this segment continues to evolve, retailers are likely to continue to “steal share of wallet from foodservice” (‘FMCG in the Covid quarter & preparing for recession’). As Australians face economic uncertainty, the demand for affordable products with a longer shelf life will be maintained. Household decisions to eat in more often, while focusing on dietary health and wellbeing, are likely to keep driving demand for frozen fruit, which is well positioned to become a future Australian household staple. Sources: 1. IRI Shopper Panel Frozen, MAT 28/5/20. 2. IRI Report “FMCG in the Covid quarter & preparing for recession.” About Sam Palmer Sam Palmer is a consultant at IRI, specialising in the food and grocery sector. About IRI IRI is the leading provider of big data, predictive analytics and forward-looking insights for the FMCG industry. For more information, visit iriworldwide.com. 56 RETAIL WORLD NOV, 2020