CMI Research Shows 3 Years of Solid Growth for Apple Category


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Tue. February 4th, 2014 - by Sarah Hoxie

<p>Columbia Marketing International (CMI) is announcing the results of a three year analysis of apple performance. Retail volumes continue to grow and the category is being led by newer varieties, according to a press release.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">Supermarket sales data released by Nielsen Perishables Group show that during the month of December, retail apple volume increased by 3.2% over 2012 but is up 9.5% over 2011.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">“It’s very encouraging to see near double digit volume growth in December compared to the same period just two years ago,” said Steve Lutz, Vice President of Marketing for CMI. “The numbers validate that consumers are buying more apples overall while embracing new varieties.”<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">The data from Nielsen Perishables Group shows that Fuji, Cripps Pink/Pink Lady®, Ambrosia™ and Granny Smith varieties all increased in volume by more than 20%. Honeycrisp and Rome volumes in December 2013 versus 2011 increased by 18.3% and 17.4% respectively. Golden Delicious, Braeburn, Jonagold and Cameo® all lost significant market share over the two year holiday period. Lutz noted that Cameo® volume dropped by 43% while Braeburn lost 28%.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">“The December data really reveals how consumer preferences are shifting while growing the category in the process,” said Lutz. “Over two years, Honeycrisp volume is up by over 17% despite an average retail price of $2.40 per pound. Ambrosia™ volume is up by 24% with an average retail price that is 20% higher than the average for the total apple category. Volume growth at these levels combined with higher retail prices is only sustainable if consumers like what they’re buying and come back for more.”<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">The analysis also indicates how supermarket distribution practices are impacting store-level volume. Impressions per store per week, which measures the unique items that can be seen in each store each week, increased by 8.1% for the category because more apple varieties and items were stocked on retail shelves.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">“It’s pretty clear that over the past two years, retailers encouraged consumers to discover these new varieties by putting more items on more shelves more often, said Lutz. “Ambrosia impressions jumped by 48% while Cripps Pink/Pink Lady® and Honeycrisp both increased by over 16%.”<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">Not all apple varieties secured incremental retail impressions. McIntosh, Braeburn, Romes and Cameo® varieties all suffered declines in retail impressions.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">“This clearly shows that there is a finite amount of space available for apples,” said Lutz. “Romes volume was bailed out by a substantial drop in an already low retail price, but those other varieties were hit hard by the loss of retail shelf support.”<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding"><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href="http://www.cmiapples.com/" target="_new"> CMI </a><hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding"><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href="http://www.perishablesgroup.com/dnn/" target="_new"> Nielsen Perishables Group </a></p><hr class="legacyRuler"><hr class="invisible minimal-padding"><hr class="invisible minimal-padding">