Bacon is consumed by various ways in global market, such as smoked bacon, boiled bacon, fried bacon, baked bacon, or grilled bacon. Many regions are consuming bacon as side dish along with food and in breakfast. The global bacon market is estimated to be XX USD billion market in 2016 and is projected to grow at a CAGR of XX% in the forecasted period of 2017-2022.
As per global bacon market trends, bacon is not only served as breakfast meat, but is largely used for flavouring many other food material such as cocktails, popcorn, lip balm, baking industry as bacon bars, bacon chocolates, and ice creams. Consumers over the age of 30 years make up for most of the consumption. Bacon accounts for 19% of in-home pork eating in the U.S. Oscar Mayer is the leading bacon brand in the U.S, with an estimated sale of around USD 820 million, in 2016. The world’s largest pork producer, WH Group, is planning to introduce American-style bacon in China, to increase the sales.
Increase demand for high-value animal protein=Bacon market growth
The increasing demand for animal protein, coupled with the innovations in meat processing technology and change in consumer preferences, are driving the bacon market growth. The global livestock sector is facing the over demand of high-value animal protein, and each year such demand supply pressure is becoming more intended. The rapid population growth, rising disposable incomes and speedy urbanization are few major factors which are pushing the whole livestock market for meat, milk, fat and other animal based products. The world’s is expected to total animal meat demand around 340 million tonnes by 2022. Livestock products is not only considered as the only source for high-value protein, but it is providing minerals such as zinc, iron, and vitamin A. The animal meat is available in many form, such as raw, half cooked, and fully cooked. The demand of such food products are increasing through large food services operators. Various club sandwiches, cheeseburgers, pizza, breakfast sandwiches, appetizers, salads, soups, and even desserts are available with animal protein items. All these above market factors are clearly driving the global market for meat including bacon. Bacon has a significant amount of sodium that increases the risk of heart disease and high blood pressure. Therefore, health concerns restrain the growth of this market. Increasing vegan trends and the rising cost of feed raw materials are the other restraints of the market. New product launches, like the turkey bacon and rising demand in developing countries, are considered as opportunities for this market.
The bacon market has been segmented by meat type into traditional bacon, turkey bacon, Canadian bacon and pancetta; wherein, the traditional bacon segment dominates the global market. Regarding cure type, the market has been segmented into immersion-cured, dry-cured and pumped bacon. Immersion-cured bacon is the most commonly used variety, around the world. Based on price, the market is segmented into cheap, mid-range and expensive. The global bacon market is further segmented on the basis of distribution channel into super markets/hyper markets, convenience stores, grocery stores and others. The super markets/hyper markets segment dominates the global market.
North America holds the major share in the global bacon market with the United States dominating the market, however, Asia-Pacific is predicted to grow at the highest CAGR of XX%. China has the highest pork consumption globally. China has a per capita consumption of pork of 90.1 lbs while in the US it is 64.3 lbs. In the US almost 60% of pork produced are processed into bacon and sausage while in China this percentage is less, however, the rising disposable income, increasing population and shift in consumer consumption patterns in China will fuel bacon consumption. New York, Los Angeles, San Antonio, Baltimore, and Chicago are the top cities in the US, which have the highest bacon consumption. Canadians are expected to spend $715 million on bacon in 2016 excluding the bacon consumed as part of restaurant meals and snacks. The high price of bacon in Canada is negatively impacting the Canadian bacon market growth. Alberta, New Foundland, and Ontario provinces have the highest consumption of bacon. South America and Europe are also predicted to have healthy growth rates of XX% and XX% respectively during the forecast period 2017-2022. Major manufacturers are trying to expand their market in China, to increase sales.
The global market for bacon is fragmented, and the vendors compete for innovation, pricing and distribution. The introduction of new products, like turkey bacon and the Canadian bacon, is the main strategy adopted by major companies, to increase their market share. Market expansion in developing countries has created many opportunities for the manufacturers. Technological advancements have made the meat processing very easy and cheap. The market retailers and most of the foodservice operators tend to launch more varieties of bacon products to differentiate themselves from competitors. Now club sandwiches, cheeseburgers, pizza, breakfast sandwiches, appetizers, salads, soups, and even desserts are included in bacon based products. Some of the major players in the global bacon market include -
Key Deliverables in the Study