Foods and beverages that are distinctly marketed as fortified with nutrients have enjoyed tremendous popularity in recent years. According to a new report from Packaged facts, sales of fortified foods reached almost $18 billion (€20bn) in 2001, tripling the sales figure posted in 1997.
The report, called 'The US Market for Fortified Foods: Expanding the Boundaries', also predicts that this growth will continue well into the future, with retail sales expected to reach $28.6 billion by 2006.
Success within the fortified foods market stems from the industry's extremely high rate of product development and the fact that consumers have proven quick to purchase enhanced foods as they are introduced to the market, the report said. Sensing a lucrative opportunity, major food and beverage players have focused their attention on the fortified foods industry in recent years, purchasing the successful smaller players that have made this niche market a powerful force within a large and competitive industry. Complex mergers and acquisitions along with rapid product development have combined to make fortified foods a confusing, though profitable, marketplace.
"Small entrepreneurial marketers in the food and beverage industry quickly become candidates for acquisition," said Meg Hargreaves, vice president of research publishing for MarketResearch.com , the parent company of Packaged Fact. "The absorption of many minor fortified food producers by large companies, as well as the changing regulatory environment, have made this lucrative market rather difficult for some companies to navigate."
The US Market for Fortified Foods provides detailed information about consumer demographics, as well as distribution and marketing trends, product development, and emerging promotional campaigns. The report also includes historical sales data, as well as market projections through the year 2005.