Strong Growth for C-store Food
Market researchers anticipate 4.1% increases in annual sales
Published in CSP Daily News
DUBLIN, Ireland -- Industry analysts at Research and Markets, an Ireland-based research firm, have predicted that growth in the U.S. convenience sector will surpass that of the overall food retail market going into 2007.
The company's research suggests that convenience food sales will grow by 4.1% annually, more than double the rate of the overall food sector, which is expected to increase by 2% per annum, according to a report from England's Just-Food.com.
Convenience stores are the primary interface between consumers [image-nocss] and convenience foods, Research and Markets analysts said, and the industry is characterized by strong consumer demand, robust economic growth, favorable demographic factors and the use of high-end technology.
However, this retail format is facing increased competition in delivering convenience foods as grocery stores, chain drug stores, warehouse stores, general retail stores, home delivery services and other convenience shopping formats expand the range of convenience foods they offer.
Product suppliers, Research and Markets analysts suggest, should be aware of the massive growth potential that this sector offers. In order to fully capitalize on the opportunity, the researchers said, manufacturers must understand the dialectic between the various retail formats and the packaging, promotion and distribution that is required.