Households With Kids Spicing Up Ethnic Food Sales

CHICAGONew market data conducted by Mintel on the state of the ethnic foods sector found younger consumers, as well as those with children, are driving the market for ethnic foods. According to the report, 90% of adults aged 25 to 34 years prepared ethnic foods at home during the last month compared with 68% of those over age 65. Additionally, 91% of adults with children under age 18 made ethnic food compared with 78% of those without children.

The ethnic food category has had a very strong performance during the recession, followed by a still positive but slightly lower growth trend, likely driven by a return to restaurants. However, the category is forecast to grow in the future due to its heightened popularity," said John N. Frank, category manager, CPG food & drink at Mintel. As Americans, especially younger people, have palates that are becoming more adventurous and sophisticated, they are also eager to explore lesser-known cuisines with unique flavor combinations."

The ethnic food category experienced solid yearly sales performance, especially during the recession, with an overall growth of 12% from 2007-09; this performance was likely driven by a migration from restaurant eating to increased food store purchases for at-home dining due to restricted budgets. Beginning in 2010, sales have increased by only 4.5% from 2010-12, a much lower rate than what has been seen during the recession. Nevertheless, Mintel forecasts the ethnic food market  to grow by 20.3% from 2012-17, likely driven by continued consumer interest and more focused product development. (Check out the Ethnic Cuisines Content Library on Food Product Design.)

While households with children continue to over-index on consumption of all types of ethnic food prepared at home, Hispanic food is the most popular, with 72% of respondents from households with children preparing this cuisine at home in the past month compared to only 50% of those without children. Hispanic food also is the most popular with all home cooks as 58% say they prepared it within the last month versus 55% who have whipped up Italian fare and 44% who have gone for Asian food.

The popularity of Hispanic food is likely due to how mainstream it has become in the United States and the ease and convenience of preparing it," Frank said. The endless supply of Mexican, Cuban and other Hispanic-based restaurants have given home cooks infinite possibilities for re-creating these restaurant-style meals at home."