If you are a frozen or refrigerated food manufacturer, there are some significant and positive tailwinds ahead. Here are five great ways to optimize your opportunities.

1. Consumer Perceptions Have Evolved.

Frozen foods have shed their stigma of low quality and unhealthy. Products today are generally of higher quality and are wholesome. Gen Zs often prefer the convenience of a ‘heat and eat’ experience as well. By the end of last year, the frozen food category alone was at $93 billion.

2. Greater Emphasis On Functional Foods.

Consumers seek foods with functional benefits to their bodies like never before. Most frozen and refrigerated items that do have nutritional benefits are premium priced. One Creative Energy client, Oolie Foods, is tapping into the dairy-free category with dips and yogurts with products that are egg-based. Eggs offer better consistency and flavor without fillers or artificial ingredients and offer 3X the protein of conventional plant-based, non-dairy products.  

3. The Premium Factor.

The premiumization of frozen and refrigerated items is a key factor to category growth. Complex or global flavors drive interest to younger generations who prefer convenience over cooking from scratch. Refrigerated prepared meals are a great example. Proteins with veggies under dollops of flavored butters are a good example. One Creative Energy client is capitalizing on this trend by making these flavored dollops that melt atop prepared meals when the consumer heats their meal. Interesting flavors with premium ingredients will continue their growth within the category.

4. Convenience & Sustainability

The call back to the workplace post COVID is increasing the desire for convenience. That means greater reliance on frozen and canned food items. Both are shelf stable, with one in the freezer and the other in the pantry. Compared to fresh foods, canned, or frozen items reduce food waste and are always ready as an easy meal.

5. Bite-Size & Snackable Frozen Items

From frozen treats and desserts, to elevating the ultimately cravable tot, manufacturers have discovered that bite-sized items sell.The trend towards smaller, snackable frozen items continues to rise. Sales in this category have reached $2.4 billion, with a 31% increase in consumption year-over-year. Creative Energy clients are part of the craze, such as J&J Snack Foods ¡Hola! Churro^® Bites or single-serve Dippin’ Dots^® Sundaes. If I were a manufacturer today, I’d make premium, bite-size item development a priority.

I’m impressed with the growth within certain segments of the frozen and refrigerated foods category and how retailers are optimizing on the trend. We’re deep into the category and blessed with successful clients who are growing their sales. If you would like to discuss your own product challenges, let’s heat up a conversation.