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The Baby Food Sector in Turkey, 2018

The Baby Food Sector in Turkey, 2018

  • June 2018
  • 129 pages
  • ID: 5471809
  • Format: PDF
  • By GlobalData


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The Baby Food Sector in Turkey, 2018

"The Baby Food Sector in Turkey, 2018", is an analytical report by GlobalData which provides extensive and highly detailed current and future market trends in the Turkish market.

In 2016 the number of births began to fall, but the Turkish baby food market has performed strongly over the past six years as a whole, stimulated by a generally buoyant economy and strong marketing by manufacturers.The last two years have seen a slowdown in volume growth as a result of a less positive economy, but high inflation coupled with currency depreciation has forced prices and value sales up.

Several manufacturers produce baby food locally, notably Hero, as well as a number of Turkish manufacturers of liquid milks, baby cereals, and finger foods.Danone dominates, claiming almost two-thirds of retail sales in 2017, and leads in all categories except finger foods.

Its nearest rivals are Hero and Hipp.Baby food is widely available in supermarkets and hypermarkets.

Food outlets account for almost 61% of value sales, with pharmacies/drugstores relegated to 38% in 2017. A large variety of products are available online, but e-commerce sales remain very low. As a result of a worsening economy and political uncertainty, the value of the Turkish lira against major currencies has dropped, making imported products appreciably more expensive. However, a growing middle class is able to afford baby foods, and demand among this group is growing. GlobalData expects that sales of baby food will increase, with the strongest growth coming from the underdeveloped wet meals category, and growing-up milks.

What else does this report offer?
- Consumption data based upon a unique combination of industry research, fieldwork, market sizing work and our in-house expertise to offer extensive data about the trends and dynamics affecting the industry.
- Detailed profile of the companies operating and new companies considering entry in the industry along with their key focus product sectors.
- Market profile of the various product sectors with the key features & developments, segmentation, per capita trends and the various manufacturers & brands.
- Overview of baby food retailing with a mention of the major retailers in the country along with the distribution channel.
- Future projections considering various trends which are likely to affect the industry.

- First stage milks continue to constitute the largest segment, accounting for almost 29% of volume in 2017. Second stage formulae account for a quarter of volume sales. Special dietary milks are the smallest segment, but are nonetheless significant. They are currently thought to hold 18.8% of sales by volume in 2017.
- Baby cereals are considerably more expensive than standard cereals, which has limited the category’s growth potential. Manufacturers have so far failed to convince consumers that baby cereals are a different and superior product, and the sector’s reliance on imported baby cereals.
- The Meals category so far seems resistant to innovation. Attempts to introduce pouches have not been successful. Although Hipp continues to sell Früchte Spass, Hero has withdrawn from this segment.
- The Baby Drinks category is the smallest in the baby food sector, accounting for only around 1% of value sales.
- Potential sales will be affected by the gradual decline in the number of babies aged 0-3, which will drop from 3.9 million in 2017 to 3.8 million in 2023, but a more influential factor will be the performance of the economy. Although up to 2023 the annual rate of real growth is only forecast to rise from 3.3% to 4%.

Reasons to buy
- Evaluate important changes in consumer behavior and identify profitable markets and areas for product innovation.
- Analyse current and forecast behavior trends in each category to identify the best opportunities to exploit.
- Detailed understanding of consumption by individual product categories in order to align your sales and marketing efforts with the latest trends in the market.
- Investigates which categories are performing the best and how this is changing market dynamics.

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