Supermarket Perimeter - November 2022 - 31

THANKSGIVING AND CHRISTMAS ARE BIG HOLIDAYS FOR TURKEY
COMPANIES, as consumers buy turkeys for big family meals, and
supermarkets do a great job of getting their stores ready for the rush.
But in 2022, things are a little different for the category. Just like in the
first two pandemic years, it looks like the category may take something
of a hit.
Increased prices of turkeys-with some stores reporting upwards of
10 percent increases from 2021 this fall-has caused many consumers
to look at smaller-sized turkeys, which could send the Thanksgiving
holiday into a tizzy.
One large-chain supermarket, who preferred not to be disclosed,
noted it's expecting a very underperforming end of year in the turkey
segment, which is historically the busiest time for sales. A spokesperson
blamed high prices caused by supply chain issues and inflation, with
more consumers pivoting to beef.
But the news is not all worrisome. Volume sales for value-added
turkey have shown the largest two-year increase (pre- and postpandemic)
than any other meat category, according to FMI's recent
Power of Meat report.
Annie Hennen, senior account executive at Midan Marketing, noted
consumers learned to cook at home during the pandemic, and now
they want flavor and convenience, plus meals that will fit in well with
their budgets.
" Value added meats fit consumers' needs and bring many
opportunities for the turkey category, " she said. " Turkey is a great canvas
for different flavors, and the variety of value added options-from fajita
strips and grinds to cutlets and roasts-puts turkey ahead of other
proteins. "
During the pandemic, she added, consumers became more willing to
experiment so turkey became more than simply a Thanksgiving entrée.
" Both value added and ground turkey grew in the turkey category
throughout the pandemic, " Hennen said. " Now, as consumers
encounter record-high inflation, the turkey category offers grocery
shoppers many budget-friendly entrees. Larger birds can be repurposed
into multiple meals, helping stretch family budgets even further. "
Therefore, there's still plenty of opportunities for supermarkets to get
the most out of their turkey offerings.
Christa Leupen, a spokesperson for Butterball, shared company
data that shows 82 percent of shoppers are making food at home now
compared to just 53 percent prior to COVID, and price points are a top
consideration for consumers.
" Moving into the fall, we've seen inflation become a top concern
with shoppers, " she said. " Specifically, for those planning to host
Thanksgiving, 44 percent of hosts are concerned about inflation,
particularly rising grocery prices. We know there are three things they
won't compromise to save money on this Thanksgiving-celebrating,
their guest list and having a turkey at the center of the table. Instead,
they'll look to economize in other ways like shopping for deals,
preparing more from scratch or asking their guests to bring a side. "
Variety is vital
Many foodservice trends set
the stage for retail trends, and
turkey can be found on 14
percent of menus as a burger
protein, according to IRI.
" Burgers are always popular,
and now many consumers are
turning to turkey burgers as a
healthier alternative for a go-to
favorite, " Hennen said. " With
turkey sausages and ground
turkey becoming increasingly
popular as healthier, lower fat
proteins, savvy retailers can
offer value added, seasoned turkey items ready for at-home cooking. "
Nicole Behne, vice president of marketing at Jennie-O Turkey Store, a
subsidiary of Hormel Foods, noted that different segments of the turkey
category are doing well and variety is important.
" We are seeing that consumers are still wanting to add variety to
their everyday meals, " she said. " They are looking for versatility and
convenience, but still want to be sure the protein option is one their
family members will approve. Today's protein consumers are looking for
inspiration for their everyday weeknight meals. "
For instance, when consumers are seeking value-added products
for larger gatherings, Jennie-O's Oven Ready boneless turkey
breast goes from freezer to oven in a cook-in bag, making it
ultra-convenient.
Much of the category's focus in recent
years has been on flavors that push
boundaries; however, consumers now report
a strong preference for familiar flavors. "
Nicole Behne, Jennie-O Turkey
supermarketperimeter.com
NOVEMBER 2022 - 31
http://www.supermarketperimeter.com
Supermarket Perimeter - November 2022

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