Research by AHDB has shown that, despite the rising cost of living and the value produce sector increasing, the premium meat product market is still maintaining demand.
Nearly 60% of consumers have cited worsening household finances in the current climate and, as a result, claim they will be spending less on eating out. Despite this, 55% have said that they would be willing to pay extra for better quality meat, replicating out-of-home meals with in-home alternatives.
Known as the ‘Lipstick Effect’, this is the theory that consumers will be more willing to buy affordable treats during a time of economic challenge, albeit less often than they perhaps did before.
Kim Heath, AHDB senior retail insight manager, said: “When treating OOH, we know consumers favour meat-based dishes such as lamb, steaks, and burgers, and what is evident in recent demand data is that some of these areas are actually seeing some positive trade up within retail, bucking the overall grocery and total meat, fish and poultry (MFP) trend.”
Within pork, premium tier growth is seen in several areas, specifically shoulder roasting, chops, belly, and mince. Premium pork cuts may therefore offer an opportunity for those who feel the need to trade down protein to save money but still want to deliver a treaty meal opportunity.
Ms Heath continued: “While current financial difficulties favour the lower priced tiers, the ‘Lipstick Effect’ still provides opportunities for treating meals. Capitalising on these occasions is vital, with treaty red meat meal inspiration and reassurance around premium quality meat at point of purchase.”
The full research can be found here.