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Powdered creamers still on top - research

25 Nov 2014

Despite only seeing a slight growth within all sectors of the powdered creamer market during 2013, retail and wholesale continue to be the most dominant channels. Wholesale saw the most growth and given the significant volume base held by this sector of the market it should impact on the market at large.

Powdered creamers still on top - research

As can be expected, the greatest regional consumption of powdered creamers occurred within Gauteng, with this province attaining a 35.7% share for 2013. Second tier usage is evident within KwaZulu-Natal (14.1%) and Mpumalanga (10.7%). The balance of volume is distributed across the remaining provinces.

The price of powdered creamers saw a growth in 2013 and it is hypothesised that this is primarily cost-push inflation driven as producers passed the rising cost of raw materials on to consumers. The net result was an increase in overall category value.

According to BMi Research's study, the relatively conservative growth during 2013 indicates that the outlook for the category is optimistic for the short term. Growth in both retail and foodservice consumption are expected to drive future volume growth, with increases anticipated for 2014 and 2015 respectively", said Gareth Pearson CEO of BMi Research.