In Brazil, despite of the overall growth in the yogurt market, the sales declined by 2% in 2017. Thus, manufacturers are focusing on expanding their product portfolio in various countries by studying the historical trends from last five years (2014-2018) and thereby maintaining the competitive position in this market. Meticulous Team® confirmed this when they worked a case pertaining to food and beverage market.
On 1st week of December 2018, the client, who is one of the leading manufacturers of yogurt in Brazilian market, wanted to know about the purchase & consumption trend of the yogurts along with the sales occurred from the year 2014 to 2018 in the U.S. The U.S. is considered as the “state of obesity” and yogurt is found to be effective solution of this. Thus, the client wanted to start expansion from the U.S. by considering the historical trends. This information helped the client to identify the potential product type and thereby develop business strategy accordingly.
Meticulous Research® Methodology
After receiving the client requirements, research collected some raw data from their tertiary databases and built up the scope for the project. The team shared detailed statement of work (SoW) with client. Meticulous Research® Team suggested some changes and modification for better outcomes, such as analysing shift in consumption trend and preferences if client want to project the market. After client convinced and provided the consents on the submitted proposal, the U.S. yogurt market study was initiated. The client required this data urgently and the timeline provided for this study was 2 weeks. For completion of this work, team used following research methodology:
Research team started this work in two main steps: Secondary Research and Primary Research. In secondary research, team used secondary sources like articles, magazines, company presentations, annual reports for collection of the information regarding U.S. yogurt market scenario including the list of top players, type of yogurt used, and consumption or purchase trends for each type of yogurt for the historical year 2014-2018.
After getting the qualitative data, team focused on quantitative analysis i.e. market size. To gather the overall sales data of U.S. yogurt market, there was execution of bottom up approach. In this, market size was derived for individual product type from secondary databases like annual reports, blogs, companies’ investor presentations, articles, and other secondary sources. The derived sales values were added to get overall revenue of U.S. yogurt market. Further, this overall market revenue was used in top-down approach to calculate the size for all sub-segments.
Along with the historical market revenue and trend analysis from secondary sources, parallel primary interviews were conducted to validate these values & penetration rate for historical years. Various industry experts such as CEO, marketing manager, business managers, directors, presidents, and other key executives were participated in this interview. About 50-100 primary interviews were conducted to validate the secondary data and market size.
All of the above findings from primary and secondary sources were validated with the Meticulous Research® Tertiary source for yogurt. The tertiary source includes the information about surveys conducted in the past, pricing information, consumption values, company market shares, consumer behaviours, value chain and supply chain data, and other aspects. With the data triangulation and the validation from primary research, the exact values of the overall parent and each individual market were determined. This whole data was submitted to the client in form of presentation.
Key Challenges Faced and Strategic Approach Used to Overcome Them
Collection of the U.S. specific data in December month within 2 weeks was a big challenge for Meticulous Research® team, as this period was of vacations. Despite of this, team collected the data with the help of our independent consultants present in North American region. They collected data related to U.S. yogurt market not only from U.S. industry experts but also from other countries present in the North American region. Moreover, few primary respondents’ previous U.S. yogurt market experience from other countries also helped to overcome this challenge.
The study stated that though the market size for Greek yogurt was largest than other types, the consumption of organic yogurt was higher in the U.S. for the year 2014-2018, due to consumer’s preference to natural products. Moreover, in terms of purchasing, single serve attributed to be the largest and fastest growing in the U.S. yogurt market for the year 2014-2018, mainly due to attributed to factors such as large demand from health-conscious consumers, changing consumer lifestyle, rising consumer spending power, and growing focus on waste reduction. This study helped in revealing the historical purchasing & consumption trends & numbers in the U.S. Yogurt market, which thereby provided the client retrospective analysis as well.
This study helped the client to understand the adoption rate and market size of individual product in the U.S. yogurt market for the year 2014-2018. The study also identified the prominent yogurt type from the last five years, which helped client to understand and project the market for future. This supported the client to design its business strategy based on the delivered market values and historical trends in the U.S. The client was highly satisfied by the analysis provided by the Meticulous Research®.