Analysts at the Agriculture and Horticulture Development Board (AHDB) have produced a series of articles on the current cost-of-living crisis, exploring the challenges and opportunities for the red meat and dairy sectors.
The retail and consumer insight team has taken a look at the impact of the struggling economy on household budgets and buying behaviors, as well as retail markets to predict short and longer-term demand for beef, lamb, pork and dairy products.
Analysts have also explored how the current climate is impacting consumer attitudes towards some of the biggest key reputational factors for industry such as trust, environment, health and animal welfare.
AHDB’s findings will be explored in two webinars next month, providing stakeholders, levy payers and the retail sector with valuable insight into what the future could hold.
The first webinar on Thursday, October 13, will focus on the impact of the cost-of-living crisis on meat and dairy demand, while the second on Thursday, October 20, will explore the impact of the economy on consumer attitudes towards the industry.
AHDB senior consumer insight manager, Steven Evans, said: “The cost-of-living crisis is having a major impact on all sectors and AHDB has taken an in-depth look at how squeezed household budgets are affecting demand for red meat and dairy as well as consumer attitudes towards key reputational risks for the industry.”
“Our webinars will provide a valuable opportunity for levy payers to hear more about these important topics, the opportunities that still exist as well as gain a greater understanding of what the future could hold for their sector.”
AHDB webinars
The first webinar held by AHDB willexpand on recent insight into the foodservice and retail sectors, highlighting where consumers are making savings and which products are mostly affected.
In retail, discounters now have the highest ever share of grocery and this is expected to increase further with more shoppers looking to make their budgets go further.
The Institute of Grocery Distribution (IGD) has predicted that discounters will grow by 23.9% over the next five years – the fastest and largest growth of grocery channels, delivering an additional £7.1billion in sales.
In the 12 weeks ending June 12, 2022, Kantar Worldpanel data showed hard discounters – which are Aldi and Lidl – accounted for 18% of dairy sales and in the 12 weeks ending July 10, 2022, they accounted for 20% of meat, fish and poultry volumes.
Senior retail insight manager at AHDB, Kim Heath, said: “If we look at just dine-out, which includes food-to-go, breakfast and lunch now make up fewer trips compared to 2019. With consumers dining out less than 2019, it’s unsurprising that all meats are being impacted.”
“There is a real need for establishments to offer different deals to value-seeking customers and this will be further heightened as financial pressures worsen.”
The second webinar on October 20, will explore the impact of the current consumer landscape across reputational factors, highlighting the challenges and opportunities.
To book a space on either of the AHDB webinars, visit their website.
