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Fiery Foods Trends and Statistics, 1999

Statistics for this particular industry are hard to come by, so we sometimes back into them by gauging other, specifically related industries. Here, listed by market, are the trends and numbers of fiery foods, as related to other, broader industries.

I. Fiery Foods

a) Based on research done by Dave DeWitt over the past decade, and a large report by Packaged Facts in 1995 on the fiery foods industry, we estimate that the fiery foods industry is worth about $2.5 billion, as opposed to $1.7 billion ten years ago, as determined by Dave's research, and we believe that the industry is currently growing at about 10 percent a year.

Additionally, we estimate that only 10-15 percent of American consumers are currently eating hot foods, so there is a lot of room for growth, which can be evidenced by the sales of ethnic foods for instance (see below), a segment that is growing not only because of increased immigration to the U.S., but also because Americans are looking for new and interesting flavor combinations and adventures.

b) Also, according to Information Resources, Inc. in Chicago, IL, The Total U.S. supermarket Sales of Condiments in 1996 were as follows (in percentages compared to 1995):

c) Older Hot Sauce Numbers:

According to Packaged Facts, 1992 hot sauce sales were $85 million.

d) Other Hot Sauce Numbers (about 5-6 years old)

Hot Sauce Consumption Trends by Region

Source: Packaged Facts

Specialty Sauces Sales by Store (Source: NASFT)

e) These are the latest numbers available from the USDA:

Supermarket Salsa Sales (excludes foodservice)

Fresh Chile Consumption Per Capita

According to the USDA, fresh chile consumption went down because of an increased availability of processed, canned, and dehydrated chiles.

Supermarket Sales of Canned Chiles

f) Mexican Food Market

U.S. trade officials say that the Mexican food market in the U.S. is worth $3 billion a year, including $1.4 billion in salsas, $700 million in tortillas, $400 million in specialty foods, $300 million in frozen foods, and $200 million in beans.

Source: Food Explorer.

g) The Fiery Foods Consumer

Typically, the average consumer of fiery foods is male, between 35 and 55 years of age. These people are generally of the high-energy, risk-taking personality type, and tend to earn at least $60,000 per year.

However, as more gourmet-type items such as cooking sauces, grilling sauces, marinades, dips, salsas that double as side dishes, snacks, etc., the market is attracting more women and other people who would not otherwise buy hot and spicy foods. The reason for this is that many of these condiments are interesting because of their spice combinations, but have more universal appeal because they are not painfully hot. Additionally, in our increasingly time-constrained society, these products make cooking much more simple, as it is easy to prepare, for instance, a basic meat, and then make it fancy with an interesting sauce. Along these lines (and this is important for the gourmet market as well), a current popular selling feature of specialty products is versatility--people want a product that they can use in several different ways: a salsa that can be used not only to dip chips into, but also as a mix with cream cheese for a delicious dip, or maybe it can stand on its own to suffice as a side dish (some contain heartier ingredients like corn and beans); a hot sauce that can be used not only as a heat enhancer, but also as a dipping sauce, a marinade, or a grilling sauce--for instance.

II. Gourmet Market

According to the U.S. Gourmet Specialty Foods Market report by Packaged Facts, total sales of gourmet foods and beverages in 1997 were $38.8 billion, which is a 32 percent increase from 1993 at $29.4 billion. Sales are expected to increase by about 7 percent a year and will reach $54.5 billion by the year 2000.

III. Ethnic Market

a) According to the Food Institute Report, the sales of ethnic foods are expected to reach $383 million by 2001, compared to $272.2 million in 1996, and $208.9 million in 1992. The report says that this is because mainstream Americans are increasingly looking for new and different flavors and products. However, ethnic spending power (mostly Asian and Hispanic-Americans) is estimated at about $500 billion per year, according to the Washington Business Journal.

b) Expanding Palates

Forty-five percent of American adults have eaten Asian foods during any one month.

Source: Food Explorer.

c) Ethnic Abounds

Over the next decade, one in every seven food dollars will be spent on ethnic foods says a study entitled Riding the U.S. Ethnic Food Tide: Strategies for Food Manufacturers into the New Millennium. "Ethnic foods offer excellent growth opportunities among mainstream consumers," said Michele Davis, marketing analyst with PROMAR, the strategic marketing and consulting firm specializing in food and beverage research, that compiled the study. "Awareness of this trend among food manufacturers is growing, but to succeed, companies must act."

The study is available for $12,750. Contact: (703) 739-9090.

IV. Organic Market

The Organic Report by SPINS/AC Nielsen says that salsas, sauces, and dips constitute one of the best-selling natural food groups with sales of $42 million for 1998, which is a 10 percent increase over 1997.

V. Specialty Market

Find/SVP's report called MarketLooks says that sales of specialty food totaled about $38.9 billion in 1997. Currently, about 53 percent of all specialty foods are sold through supermarkets, with another 35 percent being sold in gourmet and specialty food stores.

VI. The Deli Market

The following chart appears in the upcoming July/August 1999 issue of Fiery Foods & Barbecue Business Magazine.

Popular Deli Foods

According to the National Cattlemen's Beef Association, shoppers are looking more often to the deli section of the supermarket for meal solution ideas. Here are the deli categories they report as the fastest growing:

VI. Trends

The following blurbs also appear in the July/August 1999 issue of Fiery Foods & Barbecue Business Magazine.

a) Give the People What They Want

Food processors will need to accommodate the demands of growing population segments, according to Henry Morris, vice president of operations, ConAgra Inc. Older consumers want healthy food that is available in smaller portions with easy-to-open packages. Hispanic and Asian Americans want foods that are similar to their native cuisines.

Source: The Foodville Gazette, 5/17/99.

b) What's "In"

Some of the current food-related trends, according to American Demographics magazine in April, 1999, include the following: health, Indian infusion, wine tasting, cooking classes, and eating fat. The elements that are losing popularity include: Asian-infusion, martini-drinking, going out to eat, and balance bars. They also list netgrocer.com as a potential trend.

VII. Snacks

Click on the following address and check out the Snacks and Sweets Statistics.

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