Ice Cream Sales Sweeten to $11 Billion in 2012

CHICAGOThe ice cream and frozen novelty market, which struggled for positive sales growth in 2009 and lost sales in 2010, turned a corner in 2011 with a 4.1% increase in total U.S. retail sales to reach $10.7 billion, according to a new report from Mintel. Sales are expected to increase another 4.1% in 2012 to become an $11.1 billion industry.

According to the Ice Cream and Frozen Novelties-US-July 2012" report, when buying ice cream or other frozen novelties, 94% of people say they base their decision on flavor, while 83% look at price and 72% look for a sale or promotion. When it comes to brand loyalty, 68% of respondents make their selections based on brand alone. New flavor profiles and ingredients, better-for-you products and new packaging concepts will be instrumental in the ice cream markets success in the next few years.

According to Mintel, the popularity of Greek yogurt spilling over into the ice cream and frozen novelty market may be one reason that total U.S. retail sales of frozen yogurt were up 9.7% from 2011-12. It demonstrates the highest growth percentage of the four ice cream and frozen novelty segments.

Reduced fat (38%), reduced sugar (38%)  and reduced calorie (36%) are the most important claims consumers are looking for on the packaging of their favorite frozen treat. However, gluten-free and dairy-free products are rapidly growing in popularity with 14% and 15% of Mintel respondents said they are very or somewhat important" to them.

Serving size is important to 69% of survey respondents who buy frozen treats, and especially so among those aged 18-24 (74%) who are the most likely to eat it away from the home directly after purchasing it from the grocery or convenience store. Portion control containers also would fare well with those concerned with low-in claims.

In terms of who is eating the most ice cream, the United States tops the list, with 17 liters per head, outpacing Australia (10.3 liters per head), Norway (10.2 liters per head), Sweden (8 liters per head), Denmark (7 liters per head) and the United Kingdom (6 liters per head).

Since Americans eat the most ice cream in the world, be sure to check out the Top Ice Cream Brands Image Gallery that reveals the current best-sellers in the United States.

Still hungry for ice cream info? Check out the article Sweet Science of Ice Cream Inclusions" that discusses how inclusions accent the creamy dessert with crunch, color and texture, transforming it from a simple delight to pure manna.