New labeling rules could reshape market for ice cream and other frozen desserts.
New Labeling Rules Could Reshape Market For Ice Cream and Other Frozen Desserts
How many kinds of ice creams and other frozen desserts can fit under the low-fat banner? Are yesterday's legal distinctions and labeling standards relevant in light of today's market realities? The rapidly growing number of difficult-to-define ice dessert products is spurring a widespread re-examination of these cold facts.
The decisions to emerge from the FDA FDA
Food and Drug Administration
n.pr See Food and Drug Administration.
n.pr the abbreviation for the Food and Drug Administration. concerning these standards and others such as defining "frozen yogurt yogurt: see fermented milk.
Semisolid, fermented, often flavoured milk food. Yogurt is known and consumed in almost all parts of the world. ," are likely to set off broad-based restructuring of the $9.4 billion market for ice cream and related desserts in the 1990s - both in terms of what is manufactured and how it is marketed. That's what That's What is one of the more idiosyncratic releases by solo steel-string guitar artist Leo Kottke. It is distinctive in it's jazzy nature and "talking" songs ("Buzzby" and "Husbandry"). New York-based business research firm Finds/SVP has concluded.
"The most pressing case is that of premium quality ice milks," said Peter Allen Peter Allen (February 10, 1944 – June 18, 1992) was an Australian songwriter and singer.
Born Peter Allen Woolnough in Tenterfield, New South Wales, Allen began his performing career as one of the "Allen Brothers" who were a popular cabaret and television act in , vice president of Market Research Reports. "These products are designed to offer at a premium price, a much soughtafter combination of features to today's consumers: high quality and lower fat. But under current standards of identity, the product must be labeled |ice milk,' a term often associated with thrift thrift: see leadwort. . Marketers would prefer labels like |reduced-fat ice cream' or |low fat ice cream.'"
According to according to
1. As stated or indicated by; on the authority of: according to historians.
2. In keeping with: according to instructions.
3. the report, the central trend in the frozen desserts market during the last five years was waning consumer interest in the industry's core product: average-to-premium-quality ice cream. During this period, interest shifted to lower fat items, especially ice milk and frozen yogurt - although interest in super-premiums remains strong.
Confirming this overall shift, frozen yogurt emerged as the fastest growing category in the market for ice cream and other frozen desserts in the period between 1986 and 1990, expanding at a dramatic compound annual rate of 26%. Ice milk also showed healthy growth, while sales of ice cream were marginally lower.
Together, ice cream, frozen yogurt and ice milk accounted for 90% of 1990's $9.4 billion in volume, with sales of $5.2 billion (55% of the total), $2.2 billion (23%) and $1.1 billion (12%), respectively, according to Find/SVP.
The overall market was pegged up 3.5% over 1989's $9.1 billion. As compared with sales of $8 billion in 1986, this represents a compound annual growth rate of 4.2%.
The report defines the market's segments as: ice cream, ice milk, sherbet sher·bet
1. also sher·bert A frozen dessert made primarily of fruit juice, sugar, and water, and also containing milk, egg white, or gelatin.
2. Chiefly British A beverage made of sweetened diluted fruit juice. , water and juice ices, non-dairy frozen desserts, "other" frozen desserts, and frozen yogurt. It reveals that a category's performance in dollar volume is not necessarily identical to its rank in the amount of product gallonage gal·lon·age
An amount measured in gallons. introduced into the market.
For example, ice cream and ice milk account for 84% of total frozen dessert production. Ice cream output is put at an estimated 775 million gallons in 1990, or 55% of the total of 1.4 billion gallons, while production of ice milk is 415 million gallons, or 29% of the total. And while frozen yogurt remains the third largest category, production totals only an estimated 95 gallons, or 7%.
The report also found that dollar sales of frozen desserts are about equally divided between grocery-type outlets - including convenience stores The following is a list of convenience stores organized by geographical location. Stores are grouped by the lowest heading that contains all locales in which the brands have significant presence. - and foodservice operations. However, per ounce prices are far higher in foodservice-type retail outlets retail outlet n → punto de venta
retail outlet n → point m de vente
retail outlet retail n → such as ice cream parlors Ice cream parlors are places that sell ice cream and frozen yogurt to consumers. Ice cream is normally sold in two varieties in these stores: soft-serve ice cream (normally with just chocolate, vanilla, and "twist", a mix of the two), and hard-packed, which has an assortment of than in supermarkets.
"The fact that ice milk production is over six times that of frozen yogurt, but dollar sales of ice milk are only half those of yogurt, is largely attributable to the fact that most ice milk moves through the supermarket while most frozen yogurt moves through outlets such as ice cream parlors and frozen yogurt shops," said Allen.
Find/SVP anticipates that production of frozen desserts in the USA will rise from 1.4 billion gallons in 1990 to 1.9 billion gallons in 1994. In addition, it estimates that retail sales will grow from $9.4 billion to $11.5 billion, in the same period.