Catman: Yogurts and Desserts category advice from Danone

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YOGURTS AND DESSERTS – CATEGORY OVERVIEW

The chilled yogurts and desserts category is worth £2.4bn a year, making it the second largest category in chilled after fresh milk. The category is in 9.6% value growth in convenience, which makes up 9.6% of sales of chilled yogurts and desserts in the UK.

Chilled yogurts and desserts can feature in several meal occasions throughout the day and the key to fuelling growth of the category is to embed the right products into these meal occasions:

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• On-the-go breakfast, lunch and snacking – single pots and pot-toppers
• In-home breakfast – big pots and active health drinks
• In-home lunch – healthy multi-packs
• Dinner – indulgent yogurts and desserts

By offering the right range of chilled yogurts and desserts, retailers can ensure they satisfy all their shoppers.

TOP 10 MUST-STOCK BRANDS

1. Müller Light
2. Activia four-pack
3. Müller Corner
4. Onken Flavoured Big
5. Pot
6. Cadbury Desserts
7. Yeo Valley Organic Big Pot
8. Petits Filous
9. Müller Rice
10. Actimel
11. Activia Intensely Creamy

CONSUMER TRENDS

There are three key trends driving the category:

• Breakfast is the newest segment and growing fast. Nearly a quarter of people have breakfast on-the-go at least once a week, making this a real opportunity for chilled yogurts and desserts.
• Greek-style and strained yogurt is creating category excitement and is the biggest trend of the moment. In 2012, new products such as Oykos and Müllerlight Greek Style proved very popular and in 2013 we have seen the successful launch of strained yogurt Danio.
• Indulgence in convenience is huge, as shoppers are looking to treat themselves in the evening. The luxury and desserts segments are performing very well.

TOP TIPS

Chilled space is precious in convenience stores, making it vital to get the basics right. The following is a great starting point:

• Stock a consistent core range of the top-performing brands
• Ensure your range covers the key meal occasions and shopper ‘need states’, eg ‘diet’
• Merchandise your fixture by meal occasion to simplify the category
• Use category signage to inspire shoppers and encourage additional sales of chilled yogurts and desserts
• Keep up to date with market trends and new product developments

RANGE ADVICE

Shoppers expect convenience stores to help with more than just one mission, such as: top-up and weekly shop, food for tonight and food-to-go. Currently, only 37% of convenience shoppers are satisfied with stores’ product ranges. Stronger ranging can help drive shopper loyalty by catering for all their needs.

• Don’t fall behind the market – give more space to emerging or growing segments such as breakfast, Greek and luxury
• Signpost beacon brands such as Activia and Müller to drive visibility for the category
• Ensure you have the right range to cater for all meal occasions; doing so will maximise the chilled yogurts and desserts opportunity

PLANOGRAM

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WHAT THE RETAILERS SAY

We have worked with Danone for many years and their category team always provide an unbiased view of the market, along with relevant and unbiased ranging recommendations. Their innovative ideas, such as the occasion-based store trials, have produced great results for retailers.
Adam Moore, trading controller, chilled, Nisa

SPONSOR’S COMMENT

In Great Britain, 96% of households buy chilled yogurts and desserts, and the basket spend for those who shop the category is double the spend of the average shopper. The category also has huge headroom for growth, as frequency of purchase remains low compared with our European counterparts. Key to this is increasing the presence of chilled yogurts and desserts in baskets: a great opportunity for convenience stores.

Bianca Harris,
Category Manager Danone

FOR FURTHER INFORMATION

Email [email protected]

Call 020 8799 1168