Market Trends of North America Canned Fruits Industry
This section covers the major market trends shaping the North America Canned Fruits Market according to our research experts:
Rising trend of on-the-go consumption
Due to busier lifestyles and increased consumer demand for healthy food consumption, there is a hike in the trend of grabbing nutritious items such as fruits on the way to work, which is boosting the market growth of canned fruits. The greater purchasing power and willingness to spend more on convenience, premium, and organic foods have been propelling the demand for canned fruits. For instance, peaches season in the United States peaks between June and August, but canned peaches are very convenient and available throughout the year, irrespective of the season.
Consumers are increasingly choosing products from the shelves that offer convenience to them in their daily routines. For canned products, this means that easy-to-open lids on cans are used more and more often in the trade of canned fruits. For instance, Del Monte Foods, Inc. (DMFI) in the United States, which offers various canned fruits accounted for USD 1.5 billion in revenues, or 70% of the total group sales, driven by branded retail sales growth.
There has been a marked shift in consumer lifestyles due to the change in dietary habits and economic prosperity, thereby, leading to increased consumer spending on healthy and premium food. To go in line with the ongoing trends, the companies have been producing premium variants of organic canned fruits, speciality canned fruits and no sugar added canned fruits. For instance, in May 2022, Del Monte announced that it is to expand its organic fresh-cut fruit production in the United States and Canada to allow for added retail convenience.
Supermarkets/hypermarkets are among the dominant channels
Supermarkets/hypermarkets are among the dominant distribution channel for the sales of canned fruits as they create a single platform for different products to cater to the demand for the products in the market. The demand for canned fruits is witnessed in Tier I, Tier II, and Tier II cities primarily across the region, hence urban consumers in the market happen to choose supermarkets/hypermarkets as their primary choice for purchasing day-to-day groceries and food products on a whole at once in a week/month or so. For instance, according to the US Census Bureau, in 2021, United States supermarket and grocery store sales amounted to about USD 766 billion. This is more than USD 100 billion that was generated back in 2019 which amounted to USD 660.22 billion. This resulted in propelling the sales of products like canned fruits as they are preferred mostly for their extended shelf life and convenience.
The availability of various brands has been a key factor in increasing consumer preferences. Also, supermarkets have different shelves for different canned fruits such as peaches, pears, and pineapples, offering convenience to customers to compare and choose canned fruit offered by different brands. The growing number of supermarkets and hypermarkets has facilitated the on-the-go consumers, demand for purchasing products in and receive more value for their money. This, in turn, is also expected to increase the sales of canned fruits. Thus, customers find it beneficial to shop from such retail stores, as they offer attractive discounts and schemes, driving the market growth. Walmart, Lidl, Carrefour SA, Metro Group, and Tesco are some of the prominent retailers offering canned fruits.
