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Meat containing 40% plants: no clear labelling in Dutch supermarkets
How Hybrid Meat Products Are Reshaping Dutch Supermarkets A growing proportion of meat products in Dutch supermarkets contain significant amounts of plant-based ingredients — up to 40% — without this being clearly indicated on the packaging. Research by Wageningen’s Foodvalley shows that products such as minced meat, burgers and sausages are often enriched with plant components like chickpeas, broad beans, sugar beets, seaweed, potatoes and jackfruit. On average, enriched meat contains around 10.5% plant-based ingredients, though this percentage can sometimes be as high as 40%. These additives are usually only listed in the ingredients list on the back of the packaging and are considered ‘soft communication’. Dutch supermarkets like Jumbo, Albert Heijn and Lidl sell these products partly to compensate for higher meat prices and reduce costs. By adding more vegetables and pulses, meat products can be sold at a lower price: on average, a kilogram of enriched meat costs 4.4% less. Foodvalley expects the number of enriched meat products to increase rapidly, partly due to the environmentally friendly and healthy properties of plant-based ingredients. While this development is viewed positively, there is a call for clearer labelling so consumers can make more informed choices. To get in touch with our Netherlands team Contact Us
The traditional Dutch consumer no longer exists
For many Dutch consumers, price still remains the most important factor in making food purchases. In the supermarket, price plays a key role. A whopping 81% of Dutch consumers cite this as the most important factor in a purchase, followed by quality at 61%. This is one of the conclusions of the report “Balancing between spending and saving: the hybrid consumer in 2025” by ABN Amro, in collaboration with Q&A Retail. But today’s consumer is no longer predictable. Where once there were clearer boundaries between bargain hunters and luxury enthusiasts, in 2025 we see a consumer emerge who effortlessly switches between these worlds. Sometimes they purposefully search for the lowest price, but the next day they choose a premium brand or designer product with equal conviction. This “hybrid consumer” is not consistent—they are smart, strategic, and situationally aware, seeking a balance between price, quality, brand, and convenience. In the report, recent research was used to explore the preferences of this hybrid consumer, what drives them in different situations and across various product categories, and how factors such as age and income influence this behaviour. Loyalty is under pressure It is important for retailers and suppliers to incorporate these insights into purchasing behaviour when developing brands, product concepts, promotions, product ranges and customer approaches. Loyalty is under pressure. The hybrid consumer isn’t necessarily someone from a higher income bracket with many options, but someone who uses their budget strategically. This strategic use can vary by product category and stage of life. The research was conducted in consultation with Q&A Retail among over 2,100 respondents, divided into five age categories: ranging from 18 to 26 years old to 70 to 82 years old. The five involved product categories were: Supermarket products, Clothing and shoes, Cosmetics and beauty, Home and interior, and Electronics. The conclusions below will primarily focus on food related behaviour. The research results show that 51% of the households who were willing to share this information have a gross annual income between €42,000 and €84,000. This seems sufficient to make choices, but not generous enough to always opt for luxury. Furthermore, 32% have a modal income of €42,000 or less, and approximately 17% have more than twice the average income. Nearly one in ten households has a state. It is striking that almost one in five respondents refuses to share their income level, a possible sign that purchasing power and financial status remain sensitive issues. Price and quality are most important Price and quality are by far the most important aspects for consumers when purchasing food products. Women are slightly more likely to be price-conscious, while men are more likely to choose quality or brand in some categories. But other aspects also play a role in consumer choices within each product category. Retailers must also consider this. The hybrid consumer is price-conscious, but doesn’t always go for the lowest price or a discount. Consumers have a pragmatic and goal-oriented approach to shopping. For example, 40% say they are willing to pay more for some products and specific features, but not for others. Across all product groups surveyed, the balance between price and quality clearly dominates consumer choices. Consumers are also flexible and context-driven in their choices: they alternate between inexpensive brands or private labels with expensive and well-known brands from the same category, depending on what they consider important at the time. Consider, for example, a family with an average income. They choose to do their weekly grocery shopping at a discounter to save money, but for special occasions, they choose premium products from a supermarket or luxury specialty store. This flexibility typifies the hybrid consumer: they switch when a more attractive purchase presents itself. Of the types of stores and online shops surveyed in the retail landscape—discounters, mid-range, premium/luxury—the mid-range stores are the most frequently visited by respondents. This also reflects the desire for good value for money. Quality, store brands, and convenience Price is therefore the most important aspect for supermarket customers. It’s striking that quality scores slightly higher than price in the highest income group. Brand plays a limited role, which, according to the researchers, also explains the rise of store brands in supermarkets; name brands are less important. Product availability is considered important by 28% of respondents. Furthermore, more than one in five say convenience of purchase and use is important. This is especially true for the youngest demographic. According to the researchers, this also indicates that many consumers consider online grocery shopping to be important. Proximity of a supermarket is an important aspect. “Nearly half of respondents consider proximity to the store crucial when it comes to supermarkets. This has everything to do with convenience, routine, and frequency of purchases. In those cases, proximity is convenient, and price isn’t always the deciding factor,” the report states. Millennials find sustainability important Finally, an average of 11 percent say that sustainability plays an important role in their purchases. This percentage is higher among millennials (born between 1985 and 2000) and the oldest group. “In conclusion, behaviour appears to be primarily functional and routine-driven when it comes to supermarket products.” Pim HaasdijkManaging Director, Green Seed The Netherlands Contact Us
Cannibalisation increases due to online stores and new stores.
Many consumers are experiencing “sticker shock”, says Rabobank analyst Schreijen. This term refers to the feeling of surprise or shock caused by the high prices of certain products compared to a few years ago. For example, consumers are still astonished by a jar of peanut butter costing more than €5, chocolate sprinkles costing over €3.50, and ready-made meals priced at €7.50, up from €5 in the past. Price awareness influences purchasing behaviour, mainly because consumers are aware of price developments and this may make them think twice before spending. In addition to price-conscious consumers, competition from other providers also poses a significant challenge for supermarkets. This includes meal delivery services, meal kit providers, online platforms, specialty stores and foodservice. As consumers once again have money to spend, especially now that their purchasing capacity has returned to 2019 levels, they find it easier to switch to more expensive channels such as foodservice and specialty shops. This poses a considerable risk to supermarkets. However, there are also opportunities. There are particularly good prospects for supermarkets among generations that value convenience, such as baby boomers, who have relatively higher discretionary income. Additionally, supermarkets can strengthen their position by utilising unmanned vending points and vending walls, which cater to the demand for convenience. Rabobank expects increased competition among supermarkets in the coming years. More new supermarkets will open and more store space will be created, which will lead to greater rivalry. This results in a ‘survival of the fittest’ situation, where only the strongest will endure. This could be more challenging for so-called service supermarkets, as growth is primarily occurring in higher segments and revenue from these segments may decline more rapidly in favour of discounters, who mainly compete on price. Furthermore, the bank predicts that the online share of the grocery market will grow to between 15 and 20 per cent. The market will be dominated by large players such as Albert Heijn, Picnic and Jumbo. Newcomers will find it hard to break into this market, since major players have logistics, fulfilment and technology advantages. The analyst advises supermarkets to view online shopping as an additional service rather than the main focus, because the required investments are very high and the market is rapidly becoming saturated, with the largest players ultimately benefiting the most. To get in touch with our Netherlands team Contact Us
Trust in organic label increased
According to research conducted by IPSOS, the European organic label has gained recognition and trust over the past year. In 2024, 62% of consumers were aware of the label, an increase from 53% in 2023. Trust in the label increased by 19% to 66%.When it comes to choosing organic products, price remains the most important factor for consumers. If organic products were cheaper, eight out of ten consumers would buy them more often. For those who buy organic regularly, health is key (82%), while for those buying organic less frequently, price is key (78%). Taste is the second most important factor for both groups. Despite the growth in organic purchases, the percentage of Dutch people who regularly buy organic products has remained stable at 66%. A tenth never buy organic food and a quarter do so only occasionally. Europe aims to increase the share of organic farmland to 15% by 2030. In the Netherlands, the figure is currently only 4.8%. Despite this, the area of organic farmland in the Netherlands has increased by 9% in the last five years and the organic sector has grown by 42%. Both the Dutch government and Bionext encourage consumers to choose organic products more often, including through the campaign ‘The most beautiful message is organic from Europe’. To get in touch with our Netherlands team Contact Us
Enthusiasm for a more plant-based diet
A new survey conducted by Kieskompas (Dutch Research company specialised in public opinion research and voter analysis) shows that 20% of young Dutch want to become vegetarian. It also shows that many Dutch people support a more plant-based diet. The research was commissioned by ProVeg Netherlands and involved over 9,000 people. The aim of the study was to map the ‘Dutch plant-based potential’. The analysis shows that the popularity of a plant-based diet is not limited to young people, but is widespread across the demographics of the study participants. The transition to a more plant-based diet is supported by two-thirds of the Dutch population. According to the report, more than half of the Dutch population has either reduced or completely eliminated meat consumption from thjeir diet. The group of flexitarians has grown to 45%, while 2% are vegans and 7% are vegetarians. Meat eaters (47%) make up the remaining group. Half of the Dutch population who do not identify themselves as vegans or vegetarians state that they would eat less meat. Of the same group, 16% say they would like to become a vegetarian. The main reasons given for the reduction or elimination of animal products are: reducing animal suffering, preventing deforestation, preserving wild animal and plant species and protecting fish populations. If people did switch to a more plant-based diet, meat consumption could fall by 30%. This would result in CO2 savings of 1.6 megatonnes per year. This is a third of the government’s target for Dutch livestock production by 2030. “The existing desire to eat more plant-based food is very significant. This shows that without forcing or convincing anyone, it is possible to make the Netherlands much more plant-based. It’s up to NGOs, governments and companies to help this group make what they want happen,” says Pablo Moleman, strategic director of ProVeg Netherlands. To get in touch with our Netherlands team Contact Us
The latest sales trends and developments
Distrifood magazine provides a monthly overview of supermarket figures based on data from market research company GfK. This includes developments such as total supermarket sales, online sales, Sunday and evening sales and the share of private label. So far this year, supermarket sales have grown moderately. There have even been periods where sales have been lower than last year. This is problematic in the light of food inflation. Periods 6 and 7 have been the weakest so far for Dutch supermarkets and the impact of the tobacco ban, which came into effect on 1 July, is clearly reflected in the figures. However, a slight recovery in sales can be seen in period 8. Online sales as a proportion of supermarket sales have started to rise again, peaking at 8.7% in January. For the current year, this share has fluctuated between 7.9% and 8.7 %. The online share has increased from 7.7 % a year ago to 8.0 % now. With a revenue share of 7.9 % up to period 7 and several times above 8 %, Sunday shopping is becoming increasingly important in the sector. Conversely, the importance of promotions in supermarket sales has decreased compared to last year. Period 6 had the lowest share, while it increased slightly in periods 7 and 8. The share of private label continues to grow, exceeding 50 % in 2023. In addition, the importance of evening sales increases, reaching 8.3% in the current year to period 8 inclusive, and a peak of 8.7% last summer. To get in touch with our Netherlands team Contact Us
Consumer behaviour highly resilient in the face of changing market situations
Over the last few years we have seen turmoil in the international political and economic environment which has directly impacted the short- and mid-term behaviour of both consumers and trade. One only needs to think of the conflict in Ukraine and the dramatic influence on raw material prices leading to huge price inflation in and outside the food sector. Or more recently the very high impact of exploding worldwide cacao prices. Despite all of the above it is interesting to see how in time consumers seem to be highly flexible and strongly resilient in the way they adapt to the new situation. The Dutch branch of consultancy Deloitte have identified top trends among consumers in their latest annual consumer behaviour report with some interesting findings: Reducing concerns about increasing prices Where in 2023 89% of Dutch consumers claimed to be very worried about increasing food prices this percentage decreased for 2024 to 83%. While still high in absolute terms, shoppers explain their reduced worries due to changes in behaviour by their ability to buy cheaper products e.g. own label products and products more often on promotion. Increasing use of loyalty cards The percentage of people using loyalty cards is growing. Some 69% of consumers say they use a loyalty card at their primary food retailer, but even 49% now use a loyalty card at their secondary choice store (and even 39% at their third). Retailers are growing their insights into the buying needs and behaviour of their different consumer groups. High penetration of self-scan Self scanning has a high penetration in Dutch food retail but this penetration is growing further. 81% of consumers are using now self-scanning vs. only 74% 2 years ago. Already 9% are using their mobile phones to do so. Minimum order amount for online delivery is less of a barrier The online share of the Dutch Food retail sector keeps growing. This is caused by several reasons but an important one is that for more and more consumers the required minimum order amount for home delivery is less of a barrier allowing more consumers to star using this service. Reduction of meat consumption is losing popularity The percentage of Dutch consumers claiming to reduce their meat consumption has decreased from 38% (last year) to 33%. At the same time consumers are also buying fewer meat alternatives (from 40% last year to 34%). In an era where plant-based and Vegan are so strongly promoted this is quite an outcome. These trends in consumer behaviour show that consumer shopping and consumption habits change both in line (but sometimes contrary) to overall market and social developments. Let’s not underestimate their resilience. Pim Haasdijk, MD Green Seed The Netherlands To get in touch with our Netherlands team Contact Us
Supermarket shoppers are happy to make healthier choices but don’t want to be patronised
Scientists at the University of Groningen (RUG), in collaboration with the Top Sector Agri & Food, Wageningen University & Research (WUR) and the Dutch supermarket industry, have studied consumer trends over the past five years. The research aimed to gain insight into the challenges supermarkets face in promoting healthy and sustainable choices, under the title ‘Transparent, Healthy and Sustainable’. The results of the research were recently presented. They show that consumers appreciate help in making responsible choices, but do not want to feel forced. Supermarkets benefit from empowering customers to make responsible choices and can take advantage of the research findings. Greater transparency about the health and sustainability of products, for example through the Nutri-Score label, can help consumers. However, other measures such as promotional activities are also needed to encourage consumers to buy healthy products. As consumers buy the majority of their food in supermarkets, it is essential that supermarkets play a role in promoting healthy habits. While there is still a demand for unhealthy products, it is not realistic to completely remove them from the shelves. Therefore, in order to encourage healthy choices, supermarkets need to try other ways. To get in touch with our Netherlands team Contact Us
Food & Beverage Sales & Marketing Services we offer at Green Seed
In the food and beverage industry, standing out requires more than just a great product. It necessitates a strategic approach that encompasses thorough market assessment, targeted planning, and seamless execution. At Green Seed, we pride ourselves on offering a comprehensive suite of marketing services designed to help businesses not just survive, but thrive in this dynamic landscape. Market Opportunity Assessment: Uncovering Hidden Gems Embarking on a successful international business journey begins with understanding the lay of the land. Our Market Opportunity Assessment service is the first step towards unlocking the potential of your products. With over three decades of experience in the food and beverage industry, we possess a wealth of insights and expertise to delve deep into market dynamics. From analysing market size, category trends, and competitor landscapes to conducting consumer taste tests and online forums, we leave no stone unturned. Armed with this comprehensive understanding, we identify key selling points and market gaps, laying the groundwork for a compelling market strategy tailored to your brand. Route to Market Strategy: Charting a Course for Success Navigating the intricate maze of market entry and sales requires a well-defined route to market strategy. Our seasoned experts at Green Seed specialise in crafting winning strategies that prioritise market segments, channels, and target customers. Whether it’s establishing direct sales channels, engaging with distributors, or forging strategic partnerships, we evaluate options meticulously to ensure optimal results. With a keen focus on supply chain optimisation, pricing strategies, and business planning, we equip your brand with a roadmap for sustainable growth and market penetration. Food Sales Execution: From Seed to Harvest The journey from ideation to market success is a multifaceted one, and our Food Sales Execution service is designed to guide you every step of the way. Our strategic planning process, aptly named ‘Seed, Incubate, Grow, and Harvest’, encapsulates the essence of our approach. We begin by nurturing your ideas, leveraging our international food marketing expertise to transform concepts into reality. Through meticulous incubation and growth strategies, we tailor plans to suit your brand’s unique proposition, ensuring alignment with market needs and consumer preferences. Finally, we reap the rewards of our collective efforts through meticulous execution, driving sales and fostering sustainable business growth in both domestic and international markets. The Three-Phase Sales Execution Process: Turning Strategy into Action Executing a successful sales strategy requires precision and finesse. Our three-phase sales execution process is meticulously crafted to translate strategic plans into tangible results. From prioritising customers and setting up crucial meetings with buyers to managing listings and fostering brand loyalty, we leave no stone unturned. Our focus extends beyond the sale itself, encompassing post-sales activities and robust customer relationship management to nurture long-term partnerships and drive continued growth. Food and Drink Marketing Services: Elevating Brands on the Global Stage Expanding your food brand overseas opens up a world of opportunities, but it also presents unique challenges. Our dedicated team of seasoned food and beverage marketing experts is here to guide you through every step of the journey. With a deep understanding of your products and global market dynamics, we craft targeted marketing strategies that resonate with consumers worldwide. Leveraging our local knowledge and global perspective, we navigate diverse markets with ease, ensuring seamless integration of marketing efforts for optimal brand exposure and growth. Brand Development: Building Identity and Recognition In the competitive landscape of food and beverage, a strong brand identity is paramount. Our brand development services are designed to help you carve out a distinctive niche in the market. Whether it’s naming, developing, or registering a new brand, our experts work closely with you to communicate your brand’s message and values effectively. With a keen eye on local nuances and consumer preferences, we ensure your brand resonates with audiences across different geographies, driving acceptance and loyalty. Packaging Development: Merging Form with Function Packaging plays a pivotal role in shaping consumer perceptions and driving purchase decisions. Our packaging development services combine aesthetic appeal with functional design, ensuring compliance with local regulations and market requirements. From conceptualisation to production, we guide you through every stage of the process, offering strategic recommendations and comprehensive support to create packaging solutions that captivate and engage consumers. Marketing Plan: A Roadmap for Success A comprehensive marketing plan is the cornerstone of any successful product launch. Our experts collaborate closely with your team to develop tailored marketing strategies that align with your business objectives. From detailed advertising and PR campaigns to trade promotion and social media engagement, we craft holistic marketing plans that drive brand awareness and consumer engagement, setting the stage for sustained growth and market success. Trade Promotion and Exhibitions: Maximising Exposure and Impact Trade promotion and exhibitions are invaluable opportunities to showcase your products and connect with key stakeholders. Our trade marketing strategies are tailored to individual accounts, optimising sales performance and driving business growth. From advising on relevant trade exhibitions to overseeing media communication and engagement, we ensure your brand stands out in a crowded marketplace, fostering meaningful connections and driving sales. Social Media and Consumer PR: Engaging Audiences in the Digital Age In today’s digital age, engaging with consumers on social media is essential for building brand awareness and driving trial. Our social media and consumer PR services encompass influencer campaigns, organic social media management, and digital advertising, creating buzz and excitement around your brand. Through strategic content creation and targeted outreach, we foster meaningful connections with your target audience, driving engagement and loyalty in an increasingly competitive landscape. In conclusion, at Green Seed, we are more than just a marketing agency – we are your partners in success. With our comprehensive suite of services, industry expertise, and unwavering commitment to excellence, we empower brands to thrive in the ever-evolving world of food and beverage. Let us help you unlock your brand’s full potential and take it to new heights of success, both domestically and internationally.
Albert Heijn’s packaging-free initiative not yet a success
Albert Heijn is continuing its efforts to make the Albert Heijn packaging-free concept a success. This concept was launched for the first time in the spring of 2022 in three AH-XL stores, where customers were able to tap products such as muesli, pasta and nuts in reusable bags or jars. So far, however, customers have not made much use of this concept. Therefore, Albert Heijn adapted and improved the concept, including smaller tap walls and sample bags. Despite these improvements, results are not optimal. It is also important that customers are well informed about the concept and that the concept is clearly visible in the store. While Albert Heijn continues to work on making AH packaging-free a success, competitor Lidl has also started a test with refilling stations for detergent and fabric softener. This test is ongoing, but Lidl is already seeing positive results, such as repeat purchases by refill users. Ekoplaza has also been successful with self-dispensing dry products in stores. Ekoplaza’s award-winning Wisselwaar concept, with a deposit on the packaging, is seen as an important step in the reduction of the use of plastic. It is clear that the road to a packaging-free society is not easy and will take time and effort to change the behaviour of both consumers and businesses. Discussions on encouraging the reuse of packaging are also taking place between the government, supermarkets and manufacturers. It is important that supermarkets like Albert Heijn and Lidl continue to experiment and improve. This will ultimately lead to a successful system of reusable packaging. To get in touch with our Netherlands team Contact Us
After much criticism Nutri-Score is here.
The Nutri-Score is a traffic light system that helps consumers to make healthier choices when buying products. Although the system has been known abroad for years, its introduction in the Netherlands was met with some criticism. Supermarkets were frustrated. They were not allowed to put the logo on their own packaging, while foreign companies could. But since this year, the Nutri-Score has appeared on more and more packaging in Dutch supermarkets.The Nutri-Score has been criticised because it does not necessarily mean that a green labelled product is healthy. It simply means that it is healthier within its category than competing products with an orange or red label. Nevertheless, manufacturers like PepsiCo have adjusted recipes to improve scores. This has led to discussions among consumers about taste changes, like the ‘Snackspert’. Despite the criticism, the Ministry of Health, Welfare and Sport points out that the Nutri-Score is intended to help consumers make healthier choices, especially for products not included in the Food Wheel. Research shows that the Nutri-Score works. It helps consumers make healthier choices. This is emphasised by the colour and letter codes. These give a clear signal and evoke associations with traffic lights or grades.The Dutch are mostly positive about the introduction of the Nutri-Score and the majority think it is a good idea. To make the logo even more visible to consumers, a campaign has been launched. This could be a contribution to a more conscious choice for healthier food. To get in touch with our Netherlands team Contact Us
Packaging Waste Fund rewards packaging made of recycled plastic
To encourage producers and importers to develop sustainable packaging solutions, the Packaging Waste Fund has introduced a renewed system called Tariff Differentiation Plastic 2.0. The aim is to further close the loop on plastic packaging. The ultimate goal is 100% fossil-free and circular packaging by 2050. Based on the sustainability characteristics of their packaging, producers and importers pay different rates to the Packaging Waste Fund. Packaging that is made of recycled plastic and/or that is easily recyclable will be charged a more favourable rate from 1 January 2024, while packaging with a lower sustainability performance will be charged a higher rate. The aim is to encourage producers and importers to choose more sustainable plastic packaging. The Netherlands is one of the first countries in the world where the use of recycled plastic is being rewarded. With Tariff Differentiation Plastic 2.0, the Packaging Waste Fund aims to create a future where plastic packaging remains a valuable resource and does not harm the environment. Reusable packaging is rewarded with the lowest tariff and plays a key role in this vision. The ultimate goal is for all plastic packaging to be 100% fossil-free and to be circular by the year 2050. The Packaging Waste Fund will be working closely with the industry to ensure that producers and importers are provided with the necessary information and support to make use of the new tariff differentiation. To get in touch with our Netherlands team Contact Us
Dutch supermarkets Albert Heijn and Jumbo joining international buying alliances
The recent news that Dutch supermarkets Jumbo and Ahold Delhaize are joining international purchasing alliances has major implications for the competitive landscape in the Netherlands. These new purchasing alliances, such as Everest, Epic Partners, Eurelec and AMS, provide a stronger bargaining position with manufacturers, similar to the bargaining power of the European Union compared to other trading blocs. This may lead to the elimination of cross-border price differentials and makes it easier for retailers to ask manufacturers to adapt product packaging so that the same products can be sold at comparable prices in different countries. While this is good news for supermarkets, consumers and policymakers, it also raises concerns for major food manufacturers. For the Netherlands, this means that Albert Heijn and Jumbo are strengthening their competitive position against other buyers, especially discounters Aldi and Lidl. Ahold Delhaize’s entry into Eurelec puts it on an equal footing with the Schwarz group (Lidl, Kaufland). This strong position of the price fighters is why German supermarket companies such as Edeka and Rewe are driving the new generation of cross-border purchasing clubs. Superunie, an old-fashioned cross-border purchasing club, will be concerned about the developments around the purchasing of Albert Heijn and Jumbo, as the individual members are smaller players on a European scale. What approach it might take is not yet clear. To get in touch with our Netherlands team Contact Us
Brussels wants to make international sourcing easier
The European Commission wants to make international purchasing easier for retailers, responding to complaints about international purchasing barriers. The EC is working on a plan for the extension of the geo-blocking regulation. This bans manufacturers from charging higher prices for products from countries other than their own. Retailers have long complained that manufacturers are trying to avoid international sourcing, which is often cheaper. For months now, Dutch online supermarket Picnic has been selling a range of products sourced in Germany. This is parallel importing and Picnic is breaking the rules, although Picnic denies it. In times of high inflation and shrinking purchasing power, the EC wants to remove barriers. It is expected that this process will take some time. In the meantime, new obstacles are emerging. For example, French retailers will have to sign contracts for delivery under French law. In addition, Belgium is working on a deposit system of its own. To get in touch with our Netherlands team below Contact Us
Should we worry for the future of International A-brands?
It looks like leading International A-brands in particular are currently becoming more and more under siege. A development that is of potential concern given that the NPD power of these type of brands is highly important for the general future of the food sector (both for retailers and for suppliers). Should we therefore worry? In these times of high inflation and tight budgets, consumers are exchanging A-brands for Private Label products on a large scale. This is also influenced by the fact that more often independent product tests by local consumer organizations show private label products as the clear test winner which each time puts further pressure on the perceived intrinsic value of competing A-brands. The actual rise of new, modern, more intensive and effective, cross border, buying organizations is a further threat for suppliers of leading International A-brands. The main reason why leading Dutch retailers like Albert Heijn and no 2 Jumbo Supermarkets recently announced becoming members of different modern International buying groups (Albert Heijn in Eurelec, together with Rewe and E. Leclerc: and Jumbo in Everest, together with Edeka) is fundamentally to increase their commercial position vs. the leading A-brands. The fundamental answer that A-brands could give to these threats is to develop real innovations. However, A-brands are facing two main issues here. Firstly major innovations often take place in chilled and, apart from categories like dairy and meat replacers, often A-brands do play a more limited role in these categories as retailers increasingly claim these categories for private label. Secondly, once innovations are being launched they very soon get duplicated by a private label or budget brand. This has had a negative impact on the real NPD launches undertaken by A-brands in the last few years. Looking at innovations at the last Anuga most of these could be summarized as “more of the same”. Most of these could be clustered for a number of years under trends like “more healthy, clean label and plant-based” but nothing fundamentally beyond that. Real fundamental innovations like in the past Yakult and Becel Pro-Activ are missing in the current climate but would be vitally important for the food sector (retailers and Industry together) to drive the future volume growth in the food sector but also in order to safeguard the future profit contribution potential of the sector. It therefore is a very fine balance which international retailers are facing in dealing strategically with A-brands. On the one hand the increasing trading friction leading to further promotion of PL’s and stronger international negotiations vs. the need for A-brands to maintain substantial minimum volumes in order to finance the much needed core R&D investments.
The Dutch are willing to eat more sustainably, provided it doesn’t cost them too much money
Research conducted by consultancy and insights bureau Opinium shows that 82% of the Dutch consider it important to shop sustainably, but at the same time 61% of them mention that price plays a major role. Two thirds of the participants in this survey say they try to limit the environmental impact of the food they consume, 11% of whom report that the environment is their main concern in this respect. Nevertheless, 39% of those surveyed believe that supermarkets have to reduce their prices in order for consumers to be able to shop more cheaply. The fact that price has become a more important factor is related to the continuing rise in the cost of living. Weekly average groceries have increased by €29.60 on average per week and 39% of those questioned said they can barely survive financially. In order to afford their weekly groceries, consumers were forced to make drastic lifestyle changes. This includes buying fewer groceries, reducing their use of fuel and even consuming less food in order to be able to afford their purchases. Dutch consumers consider the environment important, but also expect supermarkets to adjust their prices to encourage consumers to buy more sustainably. To get in touch with our Netherlands team below Contact Us
Online share of grocery in significant growth
The revenue share of total grocery accounted for by online sales grew to 6.6% last year – equivalent to the level of supermarket Plus. Over the first 12 weeks of 2019, the percentage of online sales was only 3.5%, which increased to 3.9% over the same period in 2020. This year, IRI expects a further 10% growth in online sales. The online sales figures are now based on the online checkout sales of Albert Heijn, Jumbo, Plus, Hoogvliet, Deen and Dekamarkt. Picnic and Coop did not share these data with IRI. Besides the 6.6% online growth, the online revenue share of supermarkets also grew by 12%. Brands like Optimel, Nutricia, Lipton and Robijn performed well in terms of online sales. Another remarkable fact is that online promotional pressure is considerably higher than offline. The online percentage is 27% while the offline percentage is only 22.7%. To get in touch with our Netherlands team Contact Us
Protein from grass as alternative to soy
Two Dutch companies (Schouten Europe and Grassa) will start developing grass-based meat substitutes. These companies believe grass protein is a suitable alternative to soy and has environmental benefits. They will conduct research into the application possibilities of grass protein over the coming years. Grassa currently processes grass into various products for dairy farmers. The idea is for the companies to start working with unlaid grass. While cows convert 30% of grass protein into milk and meat, the remaining 70% is converted into fertiliser. Grassa intends to extract some of the superfluous protein from the grass in advance. The residual product will be consumed by the cows. Grass protein has other benefits; it yields 50% more protein for each hectare of land. Also, cows emit less ammonia by eating unlaid grass. Engaged in developing, manufacturing and packaging of plant-based products, Schouten is very interested in grass-based proteins. However, before grass protein is suitable for human consumption, there are still some obstacles to overcome. Namely, it requires approval for human consumption by the European Food Safety Authority (EFSA). To get in touch with our Netherlands team Contact Us
The market for meat substitutes is no longer in growth
Within Europe, only the UK spends more money per head on meat substitutes than the Netherlands. On average, Dutch people spend three times more compared to other countries in the European Union. However recently this trend is showing a decrease. This not only the case for The Netherlands, but also Great Britain, Sweden, Norway and Belgium. According to research conducted in 2021, 26% of the Dutch were willing to swap meat and dairy for plant-based alternatives, however, this does not seem to have materialised in 2022. Turnover of plant-based products fell by 5.7% by week 24, while the volume of sales dropped by 6.4%. According to Nielsen, this is explained mainly by the fact that the assortment expansion of this range no longer contributes to category sales growth. Additionally, promotional activities caused an increase in the quantity of meat substitutes sold until 2020. Promotional pressure on the meat substitutes group is still increasing but is also reducing value. Where promotions were 30.8% in 2020, they are now around 37.9%. This is much higher compared to the 23.5% average per supermarket on the remaining range. Another factor making consumers buy fewer meat substitutes is price. Meat substitutes are on average still 25% more expensive than their traditional counterparts. Furthermore, Nielsen also examined the development of the various segments within meat substitutes. The meat substitutes that most closely resemble meat perform the best, with the remaining sales being achieved from processed plant-based meat, plant-based burgers and other alternatives. Today, meat substitutes represent 8% of turnover and 6% of the volume within the meat and meat substitutes category. To get in touch with our Netherlands team Contact Us
Dutch Retailer Albert Heijn rolls out dynamic discounting
Products approaching their best-before dates are now being discounted via an electronic system at Albert Heijn. Discounts can extend up to 70% of the regular selling price. With this new initiative, Albert Heijn is saying goodbye to the 35% discount sticker. The exact discount will be shown on an electronic shelf tag. Albert Heijn aims to use dynamic discounting to reduce food waste and is hoping to avoid leaving unsellable products at the end of the day. Alongside dynamic discounting, Albert Heijn has also recently introduced leftover packs, an initiative which Albert Heijn believes will help it save around 4.5 million kilos of food waste annually. Albert Heijn is also reducing costs on other fronts: all chicken products are now packed in a bag instead of a tray. This will save 95,000 kg of plastic per year, a saving of 70%.
Food Industry taken hostage by energy cost increases
We are witnessing on a daily basis a continuous newsflow on disastrous increases in energy prices. Driven by the Ukrainian war, the pricing turmoil is not only impacting consumer households but is also having major impact on lots of Industry sectors including the international food sector. For example, in June 2022 energy prices were 300% higher than in January 2021. Prices of food raw materials went up in the same period by 36%. Experts expect that by 2022 energy costs will represent 7.5% of total costs for food products versus 1.5% in 2020. Due to the various factors increasing costs food products on average have become 20% to 30% more expensive in the last 12 months. When it comes to the coming end of year negotiations with international trade partners it is extremely difficult, almost impossible indeed, for many food companies to take a clear stance with regard to their future cost price development in relation to the future buying prices they need to negotiate. As a result of the explosion in costs and the fact that many suppliers won’t be able to fully pass on these costs in time to their trade partners, 2023 may be a year when many companies will cease trading, which will have major impact on the international and local food sector. In addition to the impact on costs, the crisis is also having many other side effects. For example, producers of industrial CO2 gas needed for production purposes halting production from one day to another due to too high gas prices, which is causing bread baking factories to come to a standstill for several weeks in order to find alternatives. So apart from higher prices this crisis also has an immediate impact on the continuity of the international supply chain. Structural storages in the supply chain in a number of food categories are already beginning to appear, affecting everyone in the supply chain including the end consumer. Governments in several European countries are already actively seeking (temporary) solutions to address the further development of these energy prices in order to stabilize their local food industry and supply chain. However, in many other countries governments are more hesitant in taking such decisions with the result that food suppliers of these countries may be faced with a structural international competitive disadvantage which may have a long-term effect on international food supply dynamics and could have a major negative impact on the future of the local food industry in these markets.
Private label prices rising faster than A-brands
According to research bureau NielsenIQ, the prices of private labels have increased more rapidly than the prices of A-brands in the Dutch market. Nielsen’s research measured over more than 37,000 branded and own label products shows that prices have increased by an average of 5.9% compared to the same period last year. For private label, the increase is 6.3% while A-brands have become 5.7% more expensive. The price of fresh products increased by 6.9% compared to the same period last year. Other groceries like preserves, pasta, soup, rice and sauces showed the highest price increase of 7.8%, while price inflation to date this year has been lowest in non-food grocery.
Veggie cheese sandwich available at Albert Heijn To Go stores.
Albert Heijn has extended its vegan range with a Vegan Cheese Sandwich to suit the ever-growing group of flexitarians and vegans. The cheese sandwich has been developed in a collaboration between Violife and De Graaf Bakeries. The vegan cheese is supplied by Violife and the sandwich is baked at De Graaf bakeries.The cheese sandwich has been introduced at all AH To Go stores and is priced at €2.
Together with Sweden, the Netherlands leads the way in online shopping
Research by PayPal shows the Netherlands has the highest penetration score together with Sweden in terms of online purchases. More than 80% of the Dutch population has purchased online at some point. In Portugal, for example, this is only 65%. More than 64% of the Dutch population have ordered online meals from in-home delivery restaurants. Here Greece scores the highest with 65% and Sweden scores the lowest with only 33%. Saving time, being able to order all groceries at once or being able to find the best deal are all key motivations for online shopping. Reasons for not buying online include, amongst other factors, being able to see groceries first before buying them and online groceries being considered too expensive. Motivations for not purchasing meals online include the perception that offers are not healthy or a preference to buy directly from local restaurants.
European Commission intends to allow minimum prices from manufacturers
The European Union has published plans to allow manufacturers to set a minimum price for their products. This is currently still forbidden. This has been published as a draft guideline called the Vertical Block Exemption Regulation. In the Netherlands, vertical price fixing has been a reality for many years. All supermarkets sold the same articles at the same price. This phenomenon ceased to exist in the 1970s. Consumer price rules are regulated on a European level in cartel law and are due for renewal next year. A draft is now ready for public consultation. The definitive rules on vertical price fixing may still change as this is still at draft stage from the European Union.
AH to Go – at work
Dutch retailer Albert Heijn opened an unmanned version of AH to Go in an office building owned by coffee machine company Pelican Rouge. Albert Heijn cooperated with Selecta, a Swiss company responsible for the unmanned mini-supermarket Foodie’s. This food concept has zero staff, products can be scanned using a self-service scanner and the store can be open 24 hours a day if necessary. Each store is custom built, no two locations are identical. The ambition is to have a minimum of 100 unmanned AH to Go versions open this year. Thanks to the corona pandemic, the office has been given a different function, with fewer people working regularly on site it has become more a place to meet. This makes the mini supermarkets a welcome addition to any catering facility.
Opinion: Is there light at the end of the tunnel?
As we are now coming close to Spring 2021 it is fair to say that in many countries the fight against COVID is in full swing. The general opinion in many countries is that when the vaccination programme is fully up and running it is a matter of months rather than longer until we reach minimum required levels of group immunity so restrictions can start to be loosened. Which means a step back into a normal life. This expectation is fuelled by the fact that fortunately more and more pharmaceutical companies are seeing their vaccines gain approval and production is being scaled up and distribution simplified. This therefore seems the right time to reflect and fully prepare for the period after Covid. Where did you want to go with your business longer term before and how has this been influenced by COVID in the last year? What are the lasting changes / influences that COVID will have longer term on the category in which you operate and what impacs on fundamental consumer behaviour are here to stay? It is obvious that Covid in different ways will have a permanent impact mid- and long term but history also shows that people do have a short memory and often fall back quickly in line with former behaviour. The trick is to find the answers related to (former) longer term developments and mid- and long-term permanent changes due to Covid. A good example is the impulse driven snack bar category which has suffered immensely due to COVID across international markets. Retailers and their suppliers world-wide are still facing declines today but does this mean that retailers in future will, or should reduce available shelf space? Or that suppliers should refocus on other categories or should cut back on NPD efforts? The answer is most probably ‘no’ as relatively soon “after” Covid, the retailers and suppliers that are best equipped to deal with the needs of the “post-COVID” consumer will be the category winners of the next few years. From that perspective I sincerely hope that sooner rather than later we all can say… Yes, there is light at the end of the tunnel. Good luck to you all!! Pim Haasdijk Managing Director Green Seed The Netherlands
Did you miss our 3rd webinar? Below the full video.
Last Thursday, we hosted the 3rd Green Seed webinar, with lively discussions on how international food companies are dealing with the COVID-19 crisis, at all levels. Over 150 of you have attended and we received a lot of positive feedback, which makes us happy! Were you not able to attend, or do you want to view the webinar again? Below the full video. Webinar: How International Food Companies are Adapting to Changing Retailer & Shopper Behaviour Next Green Seed webinar will be on the 18th of June. More info tbc #greenseed #internationalbusiness #foodindustry #covid19 #webinar
Join our 3rd webinar on changing retailer & shopping behaviour
A new Green Seed webinar is coming up: “How International Food Companies are adapting to changing retailer & shopping behaviour”, with guest speakers from The Coconut Collaborative , Natra and St Pierre Groupe. It’s free, 1 hour and happening on Thursday 4th June! Join us by registering here: https://lnkd.in/dzMGeFg Key topics: How is COVID-19 impacting your business and your sales? Have you adapted promotions, marketing, and product range? How are you approaching the innovation process at this time? Is the balance between private label and brands going to shift? What opportunities do you see? #greenseed #internationalbusiness #foodindustry #covid19 #webinar
Join our second webinar on the future of food & drink
Green Seed continues their free live 1hr webinar series with views from Green Seed UK, Italy, Belgium and the US. Date: Thursday April 30 10am New York / 3pm London / 4pm Europe Join our webinar now Key topics: The end of globalization of food? E-commerce the big winner? Foodservice will never be the same? A fresh momentum for brands? A closer relationship between retailers and suppliers?
Perfect World Ice Cream launched in major retailer Jumbo
Last April key Dutch retailer Jumbo launched three flavours of the sugar free and vegan ice cream Perfect World Ice Cream (PWIC). PWIC is an entrepreneurial British start-up which goal is to revolutionise the ice cream category by producing ice cream without sugar and dairy.
Australia’s number one breakfast Up&Go launched in Albert Heijn
Last week the Dutch retailer Albert Heijn has launched four flavours of the Australian breakfast drink Up & Go which is supplied by UK company Life Health Foods ltd., an entrepreneurial British start-up which goal is to revolutionise the breakfast category. The Up & Go drinking breakfast concept perfectly fits the general ‘to go’ trend and taps in on the growing demand for protein and fibre rich products and the healthy benefits of oats. With the help of Food Marketing Experts Green Seed Netherlands the Up & Go concept was fully amended to the Dutch market with a different, distinguishing packaging and tailor made recipes. The launch in Albert Heijn will be supported with a big social media and PR campaign as well as targeted trade marketing activities.