Magazine: Beyond meat sticks
From 5 kilograms of processed meat products sold one kilogram is wiener or frankfurter. This category has the biggest share in the processed meat category. Sales are declining a little in volume but are growing moderately in value.
According to Ágnes Dósa, product manager of Pick Szeged Zrt., in 2019 processed meat product makers were forced to increase prices because of the ingredient shortage caused by the African swine flu, while in the first quarter of 2020 wiener and frankfurter makers had to satisfy the increased consumer demand, at the same time also performing many tasks related to the coronavirus pandemic and protection against it.
Hedvig Szakács, managing director of ZIMBO Perbál Kft. talked to our magazine about growing logistics costs, packaging material prices and wage expenses – these also led to a price increase in the category. The company expects the 2021 season to be similar to that of 2020, with the consumption by households dominating.
Zsolt Kazai, sales manager of Wiesbauer-Dunahús Kft. added that the situation is calm at the moment, as ingredient prices aren’t rising any more, and the forint-euro exchange rate isn’t fluctuating. The big question is: how long will things stay this way?
Slow shift
If we take a closer look at the structure of the wiener/frankfurter market, what we see is that poultry products dominate and the conquest of discount supermarkets continues – they already have a nearly 50-percent share in volume sales.
Ms Dósa revealed that in the last 3 years discounters increased their share in wiener/frankfurter sales by almost 10 percent.
Anna Najdenova, commercial director of KOMETA ’99 Zrt. reported that the popularity of pre-packaged products have increased recently. In hypermarkets 800g-1kg products sell the best.
Ms Szakács reckons that shoppers now prioritise quality over quantity, so the meat content of wieners/frankfurters is very important for them. At the same time cheaper ‘meat stick’ – products that don’t qualify as wiener/frankfurter according to the Food Book – have also found their target audience.
Mr Kazai added that the share of private label products is growing in Wiesbauer-Dunahús’ total sales. Since retailers also want these to be of high quality, Wiesbauer is the perfect manufacturer partner for them.
Brand extension to the poultry segment
In 2018 Pick Szeged Zrt. put PICK PICKOLINO wieners on the market and in 2020 the company entered the high added value, premium poultry segment with this range. PICK PICKOLINO poultry wiener is available in 140g and 280g sizes. These products have high meat content, they are mildly smoky, pleasantly spicy and peeled. They don’t contain flavour enhancers and are free from gluten and lactose.
Premium wieners made from real turkey meat
Last year Wiesbauer-Dunahús’ wiener/frankfurter sales exceeded the 2019 level by 20 percent. This year the company calculates with a sales growth that is a little smaller than this, as prices have increased very much. In 2020 Wiesbauer-Dunahús introduced a new premium turkey wiener to the market with great success. These wieners aren’t made from mechanically separated meat like other products in the market, but from turkey thigh fillet and wing root fillet.
New peeled products
One of ZIMBO Perbál Kft.’s top products is Bécsi wiener, which is available in 2x200g duopack and 1kg family size variants. In line with the healthy eating trend, this September the company launched its latest product, 2x200g Light peeled Bécsi Wiener, which contains 30 percent less fat than traditional wieners. As demand is increasing for peeled products – wieners/frankfurters without a casing – in October ZIMBO Perbál Kft. put another peeled product on the market: single-serve 200g Bécsi wiener in peeled format.
Cartoon characters to make children happy
KOMETA does its best to keep up with the latest market innovations. Their wieners/frankfurters now have 25 percent less salt than before and their taste hasn’t changed a bit. Plus they are free from added gluten, glutamate, lactose, milk protein and soy. For the start of the school year KOMETA’s artificial casing wiener appeared in shops with cartoon characters printed on them, and before Christmas they will feature seasonal motifs. Right now the company is busy working on new innovations that are scheduled for a market debut in the second half of 2022.
Well-known taste, brand new packaging
Gyulai wieners/frankfurters are gluten- and lactose-free. Éva Tamáskovitsné Gila, marketing manager of Gyulahús Kft. told our magazine that they make both private label and branded products, in loose and pre-packaged 180g and 360g formats. In the high season the company’s own shops and selected retailers also sell Gyulai wiener in sheep casing. This autumn the Gyulai brand gave its image an overhaul – the new design debuted with cured meats and liver patés, but soon filled and red meat products will also be available in the new packaging.
New brand in the market
Gallicoop Zrt.’s new brand GALLIO is also entering the wiener/frankfurter market. Csaba Rácz, the company’s head of regional sales informed Trade magazin that GALLIO turkey wieners are available in three flavours (plain, cheese and chilli) and two sizes (140g and 350g). He added that the new products hit the shops of retailer partners in early September and the reception was very positive. //
KOMETA urges supply chain members to join forces
Analysts say that the purchasing price of pig carcass can go below EUR 1.10/kg. KOMETA’s managing director Giacomo Pedranzini is of the opinion that the current market hardships can only be overcome if every member of the supply chain contributes to solving the problems. The company has decided not to go below the EUR 1.20/kg purchasing price even if the market price continues dropping. Mr Pedranzini hopes that in the case that market prices will rise extremely high one day, farmers will also offer fair prices to processing companies. //
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