ADC Info# 34 The Specialty Food Buyer Profile Kent Wolfe Assistant Extension Specialist Agricultural Development Center
May 1999
Before investigating the specialty food buyer, it is important to understand what constitutes a “specialty food” product. There is no clear definition for specialty foods. For example, a product that is considered a specialty food in the early 1990's may not be a specialty food in the 21st century. As the popularity of a specialty food product increases, competing manufacturers start producing and mass-marketing similar products. As a result, the once specialty food has been transitioned to a mainstream grocery item. However, specialty foods can be loosely defined as premium-priced food products that provide an added-value appeal for one or more of the following reasons: • • • • • quality of ingredients, manufacturing process and/or finished product sensory appeal, flavor, consistency, texture, aroma and/or appearance presentation (branding or packaging) origin (where the product was manufactured) distribution channel (specialty food retail outlets or sections within supermarkets/grocery stores)
The National Association for the Specialty Food Trade (NASFT) conducted extensive demographic research in 1999 to create a profile of the specialty food consumer. The information is very useful to any business that sells to specialty food consumers. According to the NASFT’s 1998 “Today’s Specialty Food Consumer” research, the specialty food consumer can be generally described as: • • • • • • Residing in a two-person household Affluent ($100,000 + household income) Older (45 years of age or older) College graduate Residing in large metropolitan areas Residing in New England and Mountain and Pacific regions of the United States
The following table uses demographic characteristics to more specifically describe the specialty food buyer.
National Percentage Specialty Buyers Percentage 17.2% 37.2% 18.8% 15.6% 11.3% 6.5% 9.8% 11.3% 11.6% 11.3% 22.7% 12.4% 14.7% 3.7% 16.2% 22.4% 19.9% 14.1% 23.9% 79.3% 8.6% 8.2% 3.5% 10.0% 17.5% 7.3% 65.4% 72.5% 27.4% 8.2% 10.5% 23.5% 26.6% 31.7% 46.2% 29.5% 12.4% 11.8% 7.1% 16.8% 17.5% 2.0% 9.5% 11.1% 4.6% 7.5% 23.1% Specialty Buyers Index
Number of persons
1 2 3 4 5+ 24.6% 31.7% 17.5% 15.0% 11.1% 11.3% 14.7% 14.1% 12.9% 11.1% 18.8% 8.6% 7.9% 5.2% 19.2% 23.1% 18.2% 12.4% 22.0% 78.6% 10.8% 7.5% 3.2% 9.5% 18.5% 7.5% 64.1% 64.8% 35.3% 10.8% 14.4% 28.2% 25.8% 20.9% 39.6% 30.4% 15.4% 14.4% 5.2% 14.4% 18.5% 6.3% 10.8% 16.5% 7.1% 6.1% 15.3% 70 117 108 104 102 57 67 80 89 102 121 144 185 72 85 97 109 114 109 101 80 109 109 105 95 97 102 112 78 76 73 83 103 151 117 97 79 82 137 115 95 47 89 67 66 123 151
Household Income
<$10,000 $10,000-$19,999 $20,000-$29,999 $30,000-$39,999 $40,000-$49,999 $50,000-$74,999 $75,000-$99,999 $100,000+
Household Age
18-24 25-34 35-44 45-54 55-64 65 +
Race
White Black Hispanic Other
Age and Presence of Children
Children < 6 yrs. old Children 6 - 17 yrs. old Children < 6 and 6 - 17 yrs. old No Children
Housing Tenure
Owned Housing Rented Housing
Householder Education
Grade School Some High School High school graduate Some college College graduate
Nielsen County Size
21 largest metropolitan areas Metro areas with more than 85,000 households Counties with 20,000 to 5,0000 households All other counties
Census Division
New England Middle Atlantic South Atlantic East South Central West South Central East North Central West North Central Mountain Pacific