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When does a group
of hot products cross the line and evolve from niche into
a full-blown category? Good question. And here are a few more
questions that retailers and category managers will need to
grapple with when defining categories:
- How many SKUs does it take to qualify as a separate category?
- Is it a question of item count?
- A matter of shelf staying power and longevity?
- Does the ability to act as a draw or build traffic count?
- How about the absolute size of the target market?
- What about growth potential?
- Or do total dollar sales constitute the deciding factor?
From Minimal to Mainstream
The frozen food aisle presents an excellent case in point
of an active retail department that is experiencing explosive
growth, particularly in niche areas. What began as a companion
cuisine to the invention of television has evolved into an
American staple. In fact, according to the American Frozen
Food Institute, Americans named frozen food products as one
of the three top items they would least want to live without.
As Different as You
From the calorie-dense, family-size portions of the past have
come a new generation of specialized frozen foods designed
to address dining preferences and lifestyle needs ranging
from organic to low-carbohydrate meals, from low-calorie and
low-fat dinners to gourmet and ethnic offerings.
More recently, ConAgra Foods broke new ground with the introduction
of Life Choice, a line of carb-controlled frozen foods for
devotees of the Atkins and South Beach diets. While the current
line numbers just 14 SKUs, other manufacturers have already
followed suit, acknowledging that one-quarter of all American
adults now subscribe to a low-carb regimen. Other entrants
appealing to carb counters include reduced-carb versions of
Birds Eye Voila! and Bella Carb, frozen low-carb Italian entrées.
Elder Food: A Wise Choice
Foods targeting the senior age cohort remain in their infancy,
but have already made an appearance in frozen. Recognizing
that a segment 58-million strong and growing deserved attention,
ConAgra developed Golden Cuisine, the first line of meals
formulated by geriatric specialists to fulfill government
standards for senior nutrition.
In addition to senior-friendly recipes, Golden Cuisine innovates
with packaging that features easy-to-read large font type,
Internet ordering options and home delivery through groups
like Meals on Wheels Association of America and Coordinated
Care Solutions-CareGuide.
Naturally Good
The organic food fan base continues to grow along with concerns
about pesticides and genetically modified organisms. Organic
proponents have made headway in the frozen food case as well,
with items available on a limited distribution basis such
as Cedarlane Natural Foods’ Low Fat Garden Vegetable
Enchiladas and Amy’s Tofu Vegetable Lasagna.
More to Come
Manufacturers seeking growth opportunities will continue to
explore tailored products for the senior and ethnic palates,
formulas responsive to chronic disease states such as diabetes
and high blood pressure and nutrient-restrictive diets.
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