1.1 Definition and scope of study

A sauce is a liquid or semi-liquid preparation that accompanies certain dishes. There are in fact a multitude of different sauces, this study will distinguish hot sauces from cold sauces. It will mainly deal with the market for sauces within the retail trade, although the out-of-home catering trade is also a customer of sauce manufacturers, as is the food industry as an intermediate consumer.

The sauce market is a sub-segment of the condiments and seasonings market and consists mainly of :

sauces prepared with tomato (ketchup, Bolognese, ...) or soy sauce
emulsified sauces (mayonnaise, salad dressing, ...)
cooked sauces (béarnaise, ...)
vinaigrette sauces
prepared mustards

At a global level, the market is growing rapidly and is marked by a great diversity of supply. It is dominated by the two groups Kraft Heinz and Unilever, which own numerous brands.

In France, the value of sauce production by companies on French soil has been growing at an average annual rate of 2% since 2016. However, France depends on exports from foreign countries to meet domestic demand. In 2020, sales of sauces in France grew by around 10% compared to 2019. The two groups Kraft Heinz and Unilever are present in France via French brands such as Benedicta or Amora-Maille.

Organic and natural trends are not escaping the sauces market, which remains very competitive in France with new recipes launched frequently.

1.2 An expanding world market for sauces

The global market for sauces is estimated at US$** billion in ****. It is expected to grow at a rate of *.*% until **** to reach US$** billion

Turnover of the sauce Market World, ****-****, in billions of US$ Source: ****

IF each region has its own preferences in terms of sauces - consumers like ...

1.3 The market in France: a dynamic domestic market

The market for the manufacture of condiments and seasonings in France

The sauce market is a sub-segment of the condiments and seasonings market

The market for the manufacture of condiments and seasonings is growing, with sales in **** estimated at €*.** billion before tax.

Turnover of the condiment and seasoning manufacturers France, ...

1.4 France's foreign trade

Using the same codes from Prodcom as in *.*, we obtain from Finance.gov foreign trade figures

It can be seen that France imports much more sauce than it exports (***)

External commerce of sauces France, ****-****, in millions of € Source : Finances.gouv Coverage ratio : **%

The segment 'preparations for sauces and gravies; ...

1.5 The impact of the Covid-19 crisis

It can be observed that in **** the activity was slightly stronger due to Covid-** with more consumption of pasta - and therefore sauces - in particular

There is also a certain seasonality activity with peaks in July and troughs in January/February.

Comparison of the evolution of condiment and seasoning ...

2.1 Analysis of demand for hot and cold sauces

Most often, sauces are differentiated between cold and hot sauces.

The sales in value of sauces in supermarkets (***) in France have exceeded €* billion in **** with more than *.** billion : [***]

Regarding cold sauces, sales were around €*** million in ****, up **% compared from **** . The impact of Covid-** is strong because this segment has been stable ...

2.2 Evolution of the demand for different types of sauces

The analyses below show the evolution of different types of sauces - with a different classification than those proposed in *.*, and with less recent data but still reflecting certain trends in demand.

Dipping sauce:

The dipping products segment includes thick sauces in which foods are dipped (***). Dips are commonly used for ...

2.3 Frequency of consumption of sauces among French people

Most French people call themselves "light users" of sauces for cooking - that is, they use relatively few of them. However, this share has been declining since **** and the French seem to be using slightly more sauces according to the graph below.

Number of people using cooking sauces France, ****, in millions ...

2.4 Focus on the most appreciated segments by the French population

Cold sauces carrying segment: variety sauces (***)

Variety sauces having experienced the strongest growth in ****, the graph below shows the variety sauces most appreciated by the French

Number of French people using sauces at the table in households, by type of sauce France, ****, in thousands of individuals Source: ****

Warm sauces on the ...

2.5 Trends in demand: organic, natural ... and always flavour

There are two types of consumers in the sauce market [***]

those looking for products that are simple to use and inexpensive those who want quality products and enjoy cooking

The sauce industry is not immune to the trends towards organic, healthy and natural products, but these demands must be met without ...

3.1 Segmentation and stakeholder dynamics

The players on the market can be distinguished according to the type of sauces they offer: cold or warm. It is also necessary to distinguish the brands of the groups because the two giants Amora and Heinz have different brands in France.

In both types of sauces, private labels dominate the ...

3.2 Analysis of production in France

The graph below highlights the distribution of sauce production in France according to data from Eurostat - Data Explorer

Structure of sauce production France, ****, in % Source : Prodcom - Eurostat

The table below highlights the evolution of the different segments since **** and the share of French production in European production (***)

We ...

3.3 Distribution of sauces

The graph below shows the market shares of the distribution channels in the retail trade of hot sauces (***) according to Lsa-conso. One can imagine that the trends are the same for cold sauces.

Market shares of distribution channels in warm sauce retailing France, ****, in % Source: ****

In ****, the drive experienced the highest ...

4.1 Product typology

Sauces can be differentiated in different ways, the most common is the differentiation between cold and so-called warm sauces.

Warm sauces are cooked sauces made from tomato pulp, purée, or concentrate. There are also sauces prepared without tomatoes, with various vegetables such as pestos. These are mainly sauces for starch ...

4.2 Pricing

The graph above shows that the prices of sauces and condiments increased from **** to ****. In February ****, the value was **.*, which means that prices decreased by *.*% (***). This graph also allows us to conclude that the sauce market is very competitive, as shown by the downward pressure on prices

Sauce price index France, ...

4.3 Supply Trends

Innovations: new flavours and recipes

Heinz has launched a product line "Street Food" for tacos, burgers and wraps with three new recipes:

basil and dry tomatoes caramelized onions and bacon salsa jalapeño.

Premium products

Rummo - italian pasta manufacturer - launched a wide range of sauces in France in **** by ...

5.1 Regulations

First of all, France is obliged to follow EU directives and regulations. The sauce, dressing and condiment industry, which falls under the food category, is included within this framework. Food products marketed in the EU must comply with the European regulation n°****/**** . This article requires accurate and fair product labelling. The ...