The Australian soups sector is projected to grow from $509.9 million in 2019 to $588.2 million in 2024 at a compound annual growth rate (CAGR) of 2.9 per cent.
Leading data and analytics company GlobalData has revealed that the sector is being driven by the frozen soup category, with a forecasted CAGR of 6.3 per cent during 2019-2024.
This is followed by ultra-high temperature (UHT) soup, which is expected to record a CAGR of 5.7 per cent over the next five years.
Hypermarkets and supermarkets were the leading distribution channels in the Australian soups sector in 2019, followed by convenience stores and e-retailers.
Sanchi Agarwal, Consumer Analyst at GlobalData, said the growth in Australia is being fueled by increased incomes and a growing desire for convenient and healthier meal options.
“The Australian soups sector is being driven by the rising disposable incomes and busy consumers who seek convenient yet healthy products to match their fast-paced lifestyles. Additionally, young consumers with experiential palates are driving innovation in the sector.”
In volume terms, the share of Australia in the global soups sector is expected to decrease from 1.5 per cent in 2019 to 1.4 per cent in 2024. Similarly, the country’s share at the regional level is expected to decrease from 17.1 per cent in 2019 to 15.6 per cent in 2024.
Unilever, Campbells Soup Company and The Kraft Heinz Co were the top three companies in the Australian soups sector. Continental and Campbell’s were the leading brands in value terms in 2019.
“Australian consumers are becoming increasingly health conscious and are paying attention to their diets as well as ingredients in their food products. This is encouraging the manufacturers to launch ‘better for you’ products with healthier ingredients and ‘free from’ claims to appeal to these consumers.”