The frequency of chicken consumption increases slightly over the summer months, by two to three percentage points.
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1 International Markets Bureau AMERICAN EATING TRENDS REPORT Unless otherwise stated, all of the information in this report was derived from the NPD Group s National Eating Trends database, updated to November 2010, and reflects the eatings (defined by NPD as the number of times any particular category/item is eaten by an individual in a specified location or time period) of poultry at home or carried away from home. These figures do not reflect purchases of poultry made through foodservice establishments, or the consumption thereof. NPD monitors the eating habits and attitudes of American consumers by surveying 5000 individuals reporting on 14-day s continuous consumption of all meals and snacks. CONSUMPTION DEMOGRAPHICS According to the United States Department of Agriculture (USDA), the established trend toward increased poultry consumption will continue, rising from lbs. per capita in 2010 to lbs. in The greatest gains will be in chicken, as the consumption of turkey is projected to remain fairly consistent, at approximately 16 to17 lbs. per person until 2020 (USDA Agricultural Projections to 2020, 2011). Within chicken consumption there has been a move from fresh to more processed products. In 2000, 72% of eating occasions involved fresh chicken, as opposed to processed (15%), while in 2010, 68% of the occasions were associated with fresh as opposed to processed (22%) chicken. Core Markets (at least 20% above the average consumption rate) Families, particularly those where the homemaker* is under 45 years of age, and where there are children under 6 years; Most such families prefer processed chicken to fresh, with the exception of large families; Households with annual incomes under US$40,000 (greater for processed); Black consumers who tend to choose fresh chicken and Asian consumers who consume both fresh and processed; and Those interested in healthy diets (fresh). Underdeveloped Markets (at least 20% below the average consumption rate) Affluent empty nesters and seniors, as these demographic groups show an increasing preference for other types poultry like game birds, duck, and geese; Affluent singles and dual-income-no-children households; and Consumers over 45 years of age with an annual income over US$40,000, who show an increasing preference for fresh chicken over processed chicken. CONSUMPTION LOCALE When poultry is eaten at home, it is most often served as a main meal (97%) and more often at dinner (76%) than at lunch (20%). Poultry is most often part of a weekday meal, rather than a weekend meal (72% versus 28%). CONSUMPTION CALENDAR The frequency of chicken consumption increases slightly over the summer months, by two to three percentage points. *The homemaker is defined by NPD as the head of the household or the primary food shopper, who is typically female.
2 PREPARATION METHODS Poultry is prepared in the oven (34%), in the microwave (19%), on the stove top (9%), or barbequed (9%). Fourteen per cent of eatings involve no preparations with an appliance, reflecting the use of cooked product like leftovers, rotisserie or canned chicken. CONSUMPTION BY REGION Source: U.S. Census Bureau. Eatings by U.S. Region (%) North East New England 4.2 Mid-Atlantic 16.8 Central East North Central 17.0 West North Central 9.6 South South Atlantic 19.1 East South Central 7.7 West South Central 7.4 West Mountain 6.6 Pacific 11.5 Source: NPD Group. TURKEY Turkey consumption in the U.S. is closely linked to holiday celebrations (30% of eating occasions), therefore, it is not surprising that 40% of eating occasions occur in the winter and 26% in the autumn. In terms of regional turkey eating occasions, the residents of the Southern States consume 33.5% of the national total, while the West consumes 19.4% of the total. Tradition also rules in preparation techniques, as turkey is most often prepared in the oven (38%), or in the microwave (28%), or, in the case of leftovers, not warmed at all (15%). Singles and those in the low-to-mid-income levels are less likely to eat turkey. New, value-added products, such as sausage, hot dogs, meatballs, and innovations in heat-and-eat whole birds are being introduced in the marketplace. These, along with a healthy image, make turkey a candidate for continued growth (Mintel, 2010). Source: Mintel. PAGE 2
3 CANADA U.S. TRADE The United States is Canada s most significant export market for poultry products. Canada exported about C$199.7 million in poultry to United States in 2010, which is up from C$86.9 million in This value is nearly all associated with chicken and it is interesting to note that, within the total amount, the export value of fresh chicken remained fairly constant at C$23.4 million in 2001 and C$24.6 million in Within the total amounts, turkey exports went from C$5.1 million in 2001 to C$10.7 million in In 2010, the Central states received 52.6% of Canada s total poultry exports to the U.S., which is disproportionately higher than their 22% share of the U.S. population. At the same time, the Southern states received a disproportionately lower share of Canada s exports in 2010 (4.7%), while its population share was 32%. Canada s share of exports to the Northeast and West regions of the U.S. were consistent with their population shares Canadian Poultry Exports to the Continental 1 U.S. by Region, 2001 and C$ millions Northeast Central South West Total Source: Statistics Canada. 1 For the purposes of this report, the continental U.S. does not include Maryland, Washington D.C. or Delaware, to remain consistent with NPD data collection. 2 Population shares for the regions were as follows in 2010: North East 18%, Central 22%, South 32%, West 23%. PRODUCT POSITIONING According to the Mintel Global New Products Database, there were 233 poultry product launches between November 2010 and January This included: 109 new products, 83 new varieties or extensions to current ranges and 36 with new packaging. The dominant product claim of these launches was microwaveable (108), followed by no additives/ preservatives (60), ease of use (52), time/speed (37), convenient packaging (29), and all natural (28). Growth is a result of more consumers eating at home, poultry s versatility in recipes, its value pricing, and its better-for you positioning versus other proteins. Increasingly, the retail poultry market has been populated with convenient heat-and-eat offerings, ranging from pulled chicken, to seasoned duck breast slices (Mintel 2010). Poultry s versatility makes it a popular foodservice option, and this can have a dampening effect on in-home consumption. Mintel reports that chicken has seen a slight decrease in the frequency that it is chosen as an entrée, however, it remains a favourite ingredient for sandwiches, salads, pizza, pastas, and of course chicken fingers, which are consistently at the top of the list in terms of kids menus (Mintel, 2011). PAGE 3
4 Top Claims of Poultry Product Launches, November January 2012 Microwaveable No Additives/Preservatives Ease of Use Time/Speed Convenient Packaging All Natural Product Ethical - Environmentally Friendly Package Low/No/Reduced Transfat Premium Low/No/Reduced Allergen Source: Mintel GNPD. NEW PRODUCTS Here are some examples of new products containing poultry, from the Mintel Global New Products Database: Ringo's Original Premium Chicken Rings have been repackaged to feature a character from the new Puss in Boots movie by DreamWorks. The product is described as breaded chicken breast patties with rib meat and retails in 25.8-oz pack, which was produced in a certified sustainable building with equipment powered by 100% wind generated electrical energy. The product has also been labelled for child nutrition programs. Brunswick Chicken Salad with Crackers claims to be an excellent source of omega-3. This complete kit contains a pre-mixed ready-to-eat chicken salad in a can with an easy-peel lid, five buttery crackers and a convenient spoon. Organic Prairie Family of Farms Organic Ground Turkey is said to be humanely raised on family farms without antibiotics, fed on pasture, and grown without synthetic pesticides. A La Carte Gourmet Classics Turkey Breast with Old Fashioned Stuffing and Gravy has been stuffed with turkey sausages, apples, raisins, pecans, cranberries, onions and celery. This microwaveable product has been fully cooked and is ready in seven minutes. Butterball Every Day Pulled Turkey is fully cooked dark meat in Sweet Baby Ray's barbecue sauce. This microwaveable heat & serve product retails in a 32-oz. pack. Source for all: Mintel, GNPD. PAGE 4
5 MARKET OPPORTUNITIES Retaining Key Markets The versatility of poultry has allowed the further development of an already wide range of products that appeal to most demographics. Mid-to-lower-income families, particularly with younger children, tend to consume more processed poultry that is quick to prepare and economical. Increasing age and income seems to lead to more adventurous palates, with the consumption of game birds, ducks, geese and even emu being observed. A movement toward fresh poultry is also seen with increasing age, as health and wellness begins to influence purchases more strongly. Tradition plays a role in poultry consumption: turkey is still primarily a holiday meal and the cooking traditions of the southern states still make poultry a more popular protein choice than in other regions. Keeping these markets will depend on improving on turkey s key attributes, its convenience, health, versatility, and value for money. Extending the Market Extending the market for poultry means addressing a number of issues. Twenty-six percent of consumers who eat meat and poultry claim that poultry is the protein they are most tired of eating. Therefore, there is a need to create innovative products that will capture new flavour profiles, particularly ethnic, while maintaining convenience, versatility, and value for money (Mintel, 2010). For example, older consumers could be an excellent target market for smaller Cornish game hens, heat-and-serve turkey breasts, or products with added functional properties to improve health and wellness. There is also a definite need to address food safety and animal welfare concerns associated with poultry production. KEY RESOURCES Global Trade Atlas. (2011). Mintel Food and Drink Reports. (December, 2010). Table Sauces, Seasonings and Sweeteners. Mintel Global New Products Database. (2011). NPD Group. (2011). National Eating Trends database. Statistics Canada. (2011). CATSNET database. United States Department of Agriculture. (2011). Her Majesty the Queen in Right of Canada, represented by the Minister of Agriculture and Agri-Food Canada (2012). The Government of Canada has prepared this report based on primary and secondary sources of information. Although every effort has been made to ensure that the information is accurate, Agriculture and Agri-Food Canada assumes no liability for any actions taken based on the information contained herein. For more information, or to request additional copies or an alternate format of this publication, please infoservice@agr.gc.ca or contact the International Markets Bureau - Agriculture and Agri-Food Canada, 1341 Baseline Road, Tower 5, 4th floor, Ottawa, ON Canada K1A 0C5 PAGE 5
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