Richard Wood, British Retail Consortium Acting Head of Food Policy

Meat-free goes mainstream
Gone are the days when a local supermarket would've sent a customer asking for veggie burgers or tofu to the 'natural food' store down the road, or when the prospect of a vegetarian meal was met with a yawn and the image of a 'hippie'.

Product innovation, media focus and of course, customer demand have all played a role in boosting the 'meat-free' market and with 4 million vegetarians in the UK, any retailer would be putting its bottom line at stake by ignoring this market.

Size of the meat-free market
In 1999, the total meat-free and vegetarian market was valued at £361 million. Five years down the line, it was valued at £582 million – a massive 62% increase. This growth has been led by an explosion of product choice. Instead of a minimal range the customer was once presented with, innovations in both technology and product ideas have resulted in a much wider, more exciting range of vegetarian options, which now place them on an equal par with meat products for meat eating consumers, who are able to base a purchase on taste, convenience and price - not just availability.

How the sector breaks down
The main growth has historically been in the chilled sector, which is predominantly controlled by retailer own-label products. Pastry products, ready meals, potato based products and snacks are the four main parts of the chilled vegetarian market. However, improvements in sausages, burgers, grills, delicatessen goods and raw ingredient products have seen these items move out from being the exclusive province of the independent natural food stores, and all categories have enjoyed strong growth during the last five years.

Meat-free food broadens its appeal
Greater availability may well have encouraged more people to head down the vegetarian path, but it is clear that the foods now on offer do not only appeal to vegetarians, but to all customers. Products now on the market can be cooked, flavoured and seasoned in exactly the same way as meat, and the sheer range of fruit and veg means that tasty and exciting vegetarian cuisine is available and appealing to us all. Vegetarian options actually make up about 15% of the chilled and frozen ready meal sector and the increasing proportion of ethnic offerings adds further variety and appeal.

Demand for a varied diet boosts sales
Growing awareness of the Governments '5 a day' campaign has also played a role in encouraging people to think more carefully about including vegetables in their diets. The public are forever being reminded of the need for a balanced, lower fat and higher fibre diet reflected, in part, by vegetarianism.

In 1999, 23% of shoppers said that they 'sometimes' maintain a vegetarian diet. These are not only shopping habits, as 57% of people said they often choose the vegetarian option when eating out - five years on these figures have almost doubled. The most common driver is the desire to be healthier and whilst this is the same for vegetarians, most are also motivated by ethics, animal welfare, religion or concern for the environment. Whatever the reason, attitudes are changing.

A meat-free future?
The vegetarian food market has increased by 8% in the last year and it is thought that the boom will continue at a similar rate over the next five years. Retailers of all shapes and sizes will march in line, doing what they do best and responding to customers' demands. If customers want more choice then a retailer will do their best to provide it. After all, choice and variety is the key to growth in any retail market and the vegetarian food market is no exception.

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