Underdressed: Industry's growth fades amid changing consumer tastes

The Salad Dressing Production industry has stagnated over the past five years. Shifting consumer preferences, including an emerging preference for foods without artificial flavorings, have posed a challenge to the large processed food producers that account for a substantial share of the industry. In addition, slow disposable income growth and high price competition among downstream grocery stores has filtered up to manufacturers, keeping prices nearly flat during the five-year period. Although dressings remain a staple good for many, and volume is expected to remain relatively steady, flat salad dressing prices have led sales to decline in real terms...read more.

Industry Statistics & Market Size
Revenue
$3bn
Annual Growth 12-17
-1.0%
Forecast Growth 17-22
Profit
Employment
10,995
Businesses
704
What Our Customers Say

Industry Threats & Opportunities

  • Slow disposable income growth has kept industry prices nearly flat
  • consumers, particularly in younger demographics, have branched out from traditional dressings
  • Major packaged food producers have invested in new product development
  • Industry Report - Industry Key Buyers Chapter

    The Salad Dressing Production industry carries a low to moderate level of market share concentration. While two of the largest companies, The Kraft Heinz Company and The Clorox Company, are multinational manufacturing conglomerates, private companies that specialize in salad dressing are beginning to grow their role in the industry. Ken's Food Inc. and Litehouse Foods, which both specialize in salad dressing, have both grown their market share significantly over the past five years. In 2017, these four companies are expected to account for 42.6% of total industry revenue.Over the past five years mergers and acquisitions have played a significant role in this industry. In 2013, Pinnacle Foods purchased the Wishbone brand from Unilever, a highly-diversified global manufacturer. Mea...purchase to read more.

    Additional Insights for the Salad Dressing Production Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Salad Dressing Production Industry are

  • Supply contracts in place for key inputs
  • Control of distribution arrangements
  • Development of new products
  • IBISWorld analysts also discuss how external factors such as Demand from supermarkets and grocery stores and Demand from food services and drinking places in the Salad Dressing Production industry impact industry performance..

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    What is the Salad Dressing Production Industry?

    This industry includes companies that manufacture salad dressing. Most companies typically participate in a variety of sauce and condiment production activities. Industry manufacturers typically produce an array of different types of dressing, ranging from cream-based to oil-based dressings. The industry only includes liquid dressings.

    Industry Products
  • Ranch dressing
  • Vinaigrettes
  • Caesar dressing
  • Blue cheese dressing
  • Other creamy dressings
  • Industry Activities
  • cream-based salad dressings
  • oil-based salad dressings
  • reduced-fat salad dressings
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from supermarkets and grocery stores
  • Demand from food services and drinking places
  • Per capita disposable income
  • Price of eggs
  • Per capita meat consumption

  • Current Performance
  • Changing preferences
  • Prices and structure
  • International trade
  • Chart: Revenue Growth

  • Industry Outlook
  • New product introductions
  • Easing price competition
  • International trade
  • Table: Salad Dressing Production Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Salad Dressing Production Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Grocery Wholesaling
  • Supermarkets & Grocery Stores

  • Key Selling Industries
  • Dairy Wholesaling
  • Fruit & Vegetable Wholesaling
  • Glass Product Manufacturing
  • Laminated Plastics Manufacturing
  • Margarine & Cooking Oil Processing

  • Products & Services
  • Ranch dressing
  • Vinaigrettes
  • Other creamy dressings
  • Caesar dressing
  • Blue cheese dressing
  • Other
  • Chart: Salad Dressing Production Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Grocery wholesalers
  • Supermarkets
  • Food service industries
  • Exports
  • Chart: Major Market Segmentation for the Salad Dressing Production Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesMarketing, depreciation and other
  • Chart: Cost Structure Benchmarking – Sector vs Salad Dressing Production

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Salad Dressing Production Industry

  • Industry Globalization
    Kraft Heinz Co.Ken's Food Inc.Litehouse FoodsThe Clorox Company
  • Table: Kraft Heinz Co. - financial performance
  • Table: Ken's Food Inc. - financial performance
  • Table: Litehouse Foods - financial performance
  • Table: The Clorox Company - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Salad Dressing Production Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Salad Dressing Production Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Exports (2008-2022)
  • Imports (2008-2022)
  • Wages (2008-2022)
  • Demand from supermarkets and grocery stores (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Creamy Dressing
  • A type of salad dressing traditionally prepared with a milk, buttermilk or mayonnaise base with added herbs and spices.
  • Reduced Fat
  • A variation on a traditional creamy dressing or vinaigrette but prepared with less calories, less fat and less carbohydrates.
  • Vinaigrette
  • A type of salad dressing traditionally prepared mixing various oils, vinegar and herbs.
  • Why buy this report?

    IBISWorld’s industry research report on Salad Dressing Production provides up-to-date sales and market data, allowing you to identify the product and customer segments driving revenue growth. The report identifies the leading companies in the industry, and offers strategic analysis of the key factors influencing the market. Our data forecasts are accompanied by full analysis to illustrate how the market is responding to dominant and emerging trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Salad Dressing Production:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Salad Dressing Production market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Salad Dressing Production, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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