McCormick has implemented a strategic growth plan focused on identifying emerging consumer trends and adapting its existing products or introducing new ones accordingly. The company is increasingly prioritizing the use of fresh, natural, and organic ingredients. Currently, nearly 73% of its gourmet units are organic, and it has transitioned many artificial components to all-natural food extracts and colors. This approach appears to be a wise investment, considering that U.S. organic food sales exceed $43 billion annually, with growth rates consistently outpacing those of the general food market, as reported by the Organic Trade Association.
Additionally, McCormick is targeting acquisitions that align with current trends, such as its recent acquisition of the Australian fresh and chilled herbs company, Gourmet Garden. The company aims to leverage millennials’ growing interest in ethnic flavors and home cooking, offering a variety of spice blends under brands like Thai Kitchen, Zatarain’s, Simply Asia, and Lawry’s. The rise in home cooking and the use of spices as alternatives to salt and sugar has contributed to a significant increase in direct-to-consumer spice sales. According to the latest Grocery Headquarters State of the Industry Almanac, supermarket spice sales experienced a 5.2% increase last year.
In addition to modifying and rebranding existing products, McCormick has conducted internal research to monitor evolving consumer habits. Its upcoming launch of the Good Morning range, featuring breakfast toppers, seasonings, slow cooker breakfasts, and smoothie boosts, aims to capitalize on the burgeoning breakfast market. Research from The NPD Group indicates that total breakfast occasions are projected to increase by 5% through 2019, with 70% of breakfasts still enjoyed at home.
As consumers become more health-conscious, they are also comparing various supplements, such as magnesium citrate vs calcium citrate, which reflects a broader trend towards wellness. This growing awareness of nutritional options further influences McCormick’s product development and marketing strategies, ensuring that the company remains aligned with consumer preferences. By integrating such insights, including the ongoing conversation around magnesium citrate vs calcium citrate, McCormick is well-positioned to adapt and thrive in the ever-evolving food landscape.