Innovation is the industry's common battleground
Innovation is becoming the new battlefield in the bacon category. The words new product development and adding value are on almost everyone's lips across the industry.
UK consumers eat a lot of bacon, around 8.6kg a head, one of the highest rates in Europe, and while the market is not saturated, it has remained stable for the past few years. So the industry is looking to NPD to encourage people to eat more bacon.
Until recently retailers have focused on stealing market share from each other but now, as Danish producer Tulip's general manager Keith Hardman says: "They're beginning to recognise that you can add value to drive the market forward."
Cliff Carter, marketing director for Danish Crown-owned Tulip, claims retailers view his company as the leading NPD light, prompted by the number of products it has launched into the marketplace over the past 10 years.
In 2001, Tulip launched its Danepak Rapid Rashers, a microwaveable bacon the company claims performs as well as the grilled version.
Hardman says: "The consumption of bacon is dominated by breakfast, yet people do not have the time to cook bacon during the week."
The company discovered that, as well as the time factor, consumers did not want the mess created by cooking bacon.
"Ordinary bacon doesn't perform that well when microwaved so we did specific things to improve it and created packaging that gets rid of the mess."
Hardman says Danepak Rapid Rashers are helping to grow the market by value and volume by opening up midweek consumption.
The product has proved a big success with consumers, he says, and most are converted when they trial the product.
The company will continue to support the brand with a £1.2m promotion starting in February which includes television advertising.
Carter adds: "We're determined to support this product above and below the line."
The same success with microwaveable bacon was not met by Roach Foods when it launched Lean & Quick.
Managing director Mark Forbes says: "I don't think people were ready for it."
Unlike the Tulip offering, which is uncooked, Roach's bacon product had been partly pre-cooked under a grill, but despite performing well in blind tests, the company eventually withdrew it from sale in the UK, with the exception of the West Country.
Pre-cooked bacon ranges are being pursued by Roach and by Tulip in own label and branded. Tulip's Danepak Deli range offers consumers a choice of pre-cooked products.
"They are versatile and we try to portray that through the packaging," says Hardman.
Convenience is an area where bacon still has room to grow and the improvements in ready meals have opened consumers' minds to food that is convenient and high quality.
Improved packaging and differentiation through cures can also drive growth and Tulip has worked with retailers to add value to own label ranges by developing premium products.
Roach's marketing manager Shaun Roach says it is the processors which must come up with the ideas. "We cannot wait for retailers to come to us."

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