The Year of New Products

According to the Mintel Global New Products Database, 2002 has proven to be the most successful year for new product introductions since 1995, with the number of introductions exceeding 22,000. This figure is an increase of 15% over 2001.

The strongest category, Confectionery, accounted for 14% of the Food product introductions. The four strongest categories within Food (Confectionery, Bakery, Beverages, and Sauces & Seasonings) accounted for half of all Food product introductions in 2002.

Of the Non-Food categories, the vanity segments, encompassing Cosmetics, Soap & Bath, Skincare, Haircare and Fragrances, accounted for 82% of the total, and for 42% of all packaged goods introductions in 2002. The entire Non-Food division experienced a 31% growth over 2001.

Within the categories of Mintel's Global New Products Database, there were some astounding fluctuations for the tracked segments. In Food segments, Dairy and Side Dishes experienced a surge of growth, ie. Dairy a 21% increase and Side Dishes a 38% increase. Sweeteners and Sugar, surprisingly, plummeted 38%, despite the increasing call for sugar substitutes by aging consumers. Confectionery, again the strongest of the Food categories, faltered only 2% from 2001.

The Dairy category was impressively strong in 2002, with nearly 100 additional product introductions over 2001. The largest segment within Dairy was the Cheese subcategory, with notable entries from Kraft Foods with its Manchego Singles, individually wrapped slices targeted to the Hispanic market; and, also from Kraft, a limited edition coloured string cheese under the Kraft Color-Ums label in promotion with the movie Monsters, Inc. The most active subcategories in terms of innovation, however, were in the development of the milk-based beverage market, and also in Yogurt. Choglit was Coca-Cola's offering to the burgeoning market for carbonated milk-based beverages, and is strongly targeted to teens.

Side Dishes got creative in 2002 with interesting flavour twists on traditional products. Macaroni & Cheese came in all shapes and sizes to tempt children to view the product in new and exciting ways, including a pizza-flavoured version from Kraft. Also, Heinz Frozen Foods was innovative by launching Ore-Ida Funky Fries, a line that includes blue-coloured as well as cocoa-flavoured fries, along with wacky shapes and wild flavourings. Rice got in on the kid's movement too, like Success Rice Boil-in-Bag Cheesy Rice Mix from Riviana Foods.

In 2002, the Snacks category saw some interesting developments. Frito-Lay was innovative, reformulating its entire lineup of snacks to be made with canola oil instead of hydrogenated oil in an effort to rid the products of trans fatty acids. Innovation in Meat Snacks was minimal as numbers were parallel with those of last year. However, it is believed that meat substitute meat snacks, such as those based on soy products, will cause more of a stir in the forthcoming year.

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas unless otherwise stated.

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