The Baby Food Sector in South Africa 2017 - Market is expected to increase by 54.5% in current price terms and 4.1% in volume over 2016-2022

The South African baby food market has remained vibrant despite a poor economic climate over the last three years. Total consumption has also risen in all sectors, except drinks. In 2016, retail sales are up by 88.4% on 2010 and in terms of volume, total consumption stood at 7.4% higher than in 2010. Milks, however, remains the dominant product group, accounting for 69% of retail sales and 52% of volume in 2016. Baby food is distributed through a variety of outlets in South Africa and there are no restrictions on its sale. The market is expected to increase by 54.5% in current price terms and 4.1% in volume terms between 2016 and 2022. Consumption will be constrained by the expected fall in the number of live births, but it should be encouraged by growing incomes and product innovation.

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What else does this report offer?
- Consumption data based upon a unique combination of industry research, fieldwork, market sizing work and our in-house expertise to offer extensive data about the trends and dynamics affecting the industry.
- Detailed profile of the companies operating and new companies considering entry in the industry along with their key focus product sectors.
- Market profile of the various product sectors with the key features & developments, segmentation, per capita trends and the various manufacturers & brands.
- Overview of baby food retailing with a mention of the major retailers in the country along with the distribution channel.
- Future projections considering various trends which are likely to affect the industry.

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Scope

- The baby food market remained vibrant despite a poor economic climate over the last three years.
- The top three socio-economic groups are the main purchasers of commercially prepared baby food, but represent just 25% of the population.
- The highest growth rates over the period 2010 to 2016 have been registered by wet meals, where retail sales more than doubled and volume sales rose by 17.9%.
- The market is dominated by Nestl, which claims over half of all retail sales, although it has faced increasing competition recently.
- There is significant domestic production, and imports have fallen considerably in recent years.
- Supermarkets are the main source of supply, accounting for over half of volumes, while hypermarkets are growing in importance.
- The market is expected to increase by 54.5% in value terms between 2016 and 2022, fuelled by price rises.

Reasons to buy

- Evaluate important changes in consumer behavior and identify profitable markets and areas for product innovation.
- Analyse current and forecast behavior trends in each category to identify the best opportunities to exploit.
- Detailed understanding of consumption by individual product categories in order to align your sales and marketing efforts with the latest trends in the market.
- Investigates which categories are performing the best and how this is changing market dynamics.

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