International dairy group Lactalis has predicted the trends that it thinks will impact the cheese category in 2024 and beyond.
Lactalis said that with “consumer confidence beginning to rise, monetary policy having its desired effect, and shoppers increasingly seeking out versatile and convenient food products, there’s plenty to be optimistic about in 2024 and beyond”.
Heloise Le Norcy-Trott, group marketing director for Lactalis UK & Ireland, said: “After two years of contracted volume sales, the cheese market has an opportunity to regain momentum. Looking forward to 2024 and beyond, these are the cheese trends we think retailers should be aware of.”
Recovery of branded cheese
Lactalis has predicted that with inflation falling, consumers will switch back to branded cheeses after cost-of-living concerns saw own-brand labels in more shopping baskets.
The group expects greater recovery in market share especially in cheese types “where quality and taste are emphasised”, such as continental, and stressed that “embracing innovation” to drive excitement back into the category will be “paramount”.
Expanding on the importance of bringing excitement back to the cheese category, Lactalis said that premiumisation still has the potential to drive market growth. It said growth was likely to come from a combination of new and old consumer habits – exploring new ways of enjoying cheese, like enjoying it hot and using it in different recipes, as well as rediscovering varieties they previously enjoyed.
Cheese as a source of protein
Lactalis highlighted the growing interest in health foods and high protein products, stating that more than half of consumers were reading more food product labels than they had the year before. With cheese providing 15% of one’s daily protein requirement, Lactalis said that businesses should be looking out for “consumers seeking out cheese for its nutritional benefits”.
The group also predicted increased use of cheese as an alternative to meat, as it found cheese to be a “major recipe ingredient” in meat-free dishes.
Convenience
The 2024 outlook also focused on ‘sliced and grated’ cheese being the UK’s second biggest cheese subcategory after block cheddar, with the subcategory increasing by 16% while falling 0.5% in volume. At the same time, grated cheddar saw a proportionately larger rise than block cheddar in volume bought per trip, which Lactalis said was likely due to its “comparatively lower rise in average price” but also its convenience for busy shoppers.
“As these insights and predictions indicate, the next 12 months present a significant opportunity for everyone involved to develop the UK cheese market,” said Le Norcy Trott. “As a leading player here and around the world, we have built our position by monitoring trends and anticipating demand with our product ranges, and we will continue to do so, for the benefit of our consumers and customers alike.”
