Meat+Poultry - August 2018 - 28


meats lead
deli growth
BY J E N N I FE R B A R N E T T F OX | m e a t p o u l t r y @ s o s l a n d.c o m


ost consumers consider
the purchase of deli meat
to be a household staple
with 93.9 percent of households
buying deli meat and 82.9 percent
purchasing pre-packaged deli meat,
according to Nielsen. Collectively, the
meat department and the deli counter
represent a $9 billion industry, and
continued growth in the category is
attributed to the ongoing appeal of
specialty meats, mirroring increases
reported 2011-2016 in the bacon and
lunch meat categories, according to
Mintel's Bacon & Lunch Meat US,
October 2016 report.

IDDBA attributes growth
within the deli meat category
to meeting trends such as:



Health and wellness
Improved animal welfare
Innovative flavor profiles
Telling the story of the
supplier behind the

MEAT+ POULTRY | 08.18 |

Fresh is best
PACKAGED: $4 billion

DELI: $5 billion
Source: Nielsen



According to Mintel, the Hispanic
demographic views pre-packaged
meat on par with freshly sliced meat
from the deli counter. This insight
could account for the demographic's
preference of purchasing more storebrand pre-packaged deli offerings, and
Mintel suggests price reductions in this
area could help stores connect with
Hispanic consumers in this category.

Hispanic consumers
account for the growing
purchase of prepackaged lunch meats.

Joel Crews- Sosland Publishing Co.


Within the deli category,
competition comes from within the
store. It is a battle for consumer dollars
that pits the purchase of pre-packaged
lunch meat versus sales of freshly
cut meat from the deli counter across
the aisle. A 2017 report from Nielsen
showed lunch meat offerings from
the deli account for more than half
($5 billion) of industry sales, rising
1.2 percent year-over-year. This
is despite a 2.5 percent decline of
in-store retail prices for lunch meat.
Specialty deli meats such as prosciutto,
pancetta, jamon serrano, pastrami
and European-style salami show an
increase of more than 3 percent in the
year ended Feb. 25, 2017.
Lunch meat offerings from the
deli continue to lead category sales
with more than half, $85 billion, of
industry sales. This accounts for a
rise of 1.2 percent year-over-year,
according to Nielsen. Yet, there is one
demographic who choose to purchase
prepackaged meats over the deli
counter. According to Mintel, Hispanic
consumers account for the growing
purchase of pre-packaged lunch meats.
These pre-packaged meats are used in
traditional sandwiches and in making
tortas and cemitas, regional specialty
sandwiches which include chorizo,
shredded chicken or roasted meat with
cheese, guacamole or avocado, salsa
and refried beans on a crusty roll or
egg-based bread.

Table of Contents for the Digital Edition of Meat+Poultry - August 2018