Retail Foodservice to Post Double the Growth of Restaurants
CHICAGO – Home-meal replacements and prepared foods purchased at convenience stores, supermarkets, drugstores and other retail outlets will continue to grab a larger share of the meal/snacks market by stealing visits from restaurants, according to new data from The NPD Group.
A new NPD foodservice forecast through 2022, "A Look Into the Future of Foodservice," predicts that instances of prepared food purchased at retailers for at-home consumption will increase by 10 percent in the next decade, while commercial foodservice traffic is likely to increase by just 4 percent.
While no single age group takes greater advantage of prepared food offerings from retail outlets than another age group, the needs of the various age groups do differ, according to NPD. Adults aged 35 and older are more likely to use prepared foods from retail to meet their in-home supper needs than those aged 18 to 24. For seniors aged 65-plus, retailers are meeting lunch-at-home interests. Meanwhile, consumers who are 18 to 24 years old are more likely than other age groups to satisfy their needs at retail for afternoon or evening snacks.
When it comes to prepared food menu items, younger adults are more likely to buy pizza, hot dogs and burgers to eat at home. Those aged 50-plus are interested in purchasing both fried and non-fried chicken, while younger adults are more interested in non-fried chicken. The most frequently purchased home-meal replacement entrees at retail outlets include chicken, pizza and macaroni and cheese. Sandwiches are popular as well.
Due to the larger number of Baby Boomers becoming senior consumers, those aged 65-plus will make up a larger share of home-meal replacement purchases from retailers over the next decade, the researcher stated. Prepared food retailers can also expect to benefit from more visits by consumers in their 30s.