COVID-19 and the subsequent lockdown in Q2 of 2020 resulted in heightened consumer interest in being healthy (and thus eating healthily). The immediate impact was a spike in sales of staples (pasta, noodles, rice, and canned/preserved food) due to government-imposed restrictions population movements.
Margarine and spreads will continue to outperform butter in 2021, thanks to being considered essential and widely consumed by Nigerians. It is also more affordable than butter and growing in popularity for use in cooking.
Blue Band will remain the leading brand in butter and spreads in Nigeria in 2021 with nearly triple the share of its closest competitor Moi by Moi Foods. The brand has historically enjoyed a near-monopoly in the country and benefits from strong brand equity and widespread distribution.
The economic impact of the COVID-19 pandemic is expected to linger for a few more years, resulting in many consumers limiting their spending. Nevertheless, given the essential nature of margarine, butter and spreads is likely to continue growing, albeit sluggishly, in both volume and retail value terms at the start of the forecast period.
Butter will particularly benefit from a stabilising exchange rate as its import prices rose significantly in 2020 making products very expensive. As many middle-income consumers are having to trade down to margarine products, butter will benefit when their disposable incomes grow again as many will be keen to return to the luxurious taste of butter.
Over the forecast period, margarine and spreads is expected to continue driving the performance of the overall category as margarine is the main accompaniment for bread in Nigeria. Thus, it will benefit from growing demand for bread among urban consumers.
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
Understand the latest market trends and future growth opportunities for the Butter and Spreads industry in Nigeria with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Butter and Spreads industry in Nigeria, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
This report originates from Passport, our Butter and Spreads research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE! Home Page