The busy lifestyles of Danes shape their consumption patterns together with their eating habits. As meal preparation is one of the most time-consuming duties at home, it is a natural consequence that consumers try to save time on this task.
When it comes to eating, Danish consumers operate with two types of budgets: a grocery budget and a self-indulgence budget, which covers costs of eating out in restaurants and takeaways. According to Coop Danmark A/S, there is a strong psychological barrier between the two: while in consumers’ minds it is acceptable to pay DKK300-400 to buy takeaway pizzas for the family, it is considered somewhat expensive to pay less than half of this for ready meals in supermarkets, even though this would still fulfil the needs of household members.
It is an interesting aspect of the category and it is important to understand Danish consumers’ way of thinking to gain a clear view on market dynamics: is the dinner readymade or homemade? According to a publication from Madindeks, approximately one third of Danes consider their food homemade, even if some of the ingredients were convenience products. An earlier Danish research suggests that local consumers connect convenience meals with the feeling of guilt in their minds, which can be a part of the explanation.
Coop Danmark realised the opportunity that chilled ready meals offers for private label; therefore, it worked together in a strategic partnership with Løgismose Meyers A/S to place quality chilled ready meals on shelves; the cooperation is also highlighted on the packaging. Meyers is a company by Claus Meyer Nielsen, a famous Danish cook - this cooperation also shows that the category is experiencing a significant transformation, where brands aim to have an improved view on chilled ready meals, which can be a part of a healthy Danish diet.
Danish consumers consider Dr Oetker to offer high quality and appetising, which explains its longstanding presence. Therefore, its leadership of frozen pizza was not in danger in 2018, with this scenario predicted to continue over the forecast period.
Prepared salad’s growth is driven by a combination of healthy lifestyles and convenience. Coop Danmark is the leading player due to its well-known C private label line, for which high quality and product innovation is the focus.
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This industry report originates from Passport, our Packaged Food market research database.