Key Findings

Cost-of-living crisis favours private label products

With inflation biting into consumers’ spending budgets in the latter part of the review period, this was playing into the hands of the retailers’ private label lines. The private label retail value sales share was rising in most countries, accounting for almost half the market in markets like the UK and Spain. In products that lend themselves particularly well to private label, eg chilled ready meals, these retailers’ lines account for almost 100% of sales in some countries.

Meal kits the most dynamic product over 2018-2023

Meal kits recorded the most dynamic growth over 2018-2023, powered in no small part by leading player HelloFresh. Meal kits is a product category that is able to meet several prevailing trends and preferences, including offering convenience for consumers with busy lifestyles, health and wellness, and curiosity about new recipes and cuisines from around the world.

E-commerce accounts for a third of UK meals and soups sales

While e-commerce made share gains in all countries during the pandemic, the UK stands out as the most-advanced market in terms of online sales, where internet retailing accounted for 27% of its cooking ingredients and meals retail value in 2023. The country’s strong modern grocery retail chains have been the driving force behind this trend, with most offering home delivery services that long pre-dated any COVID-19 restrictions.

Second tranche of HFSS regulations due in the UK in October 2025

The second set of HFSS regulations are set to be introduced in the UK in October 2025. These will include limitations on multibuy offers and a ban on advertising both online and on television. This will likely continue to push brand owners to reformulate any products high in fat, salt or sugar ahead of the upcoming legislation.