#PotatoIndustry #U.S. RetailSales #ConsumerPreferences #MarketTrends #FreshPotatoes #CannedPotatoes #FrozenPotatoes #InstantPotatoes #RetailPackaging #IndustryResilience #ConsumerBehavior
In the ever-evolving landscape of U.S. retail potato sales, the July-September 2023 quarter witnessed a notable upswing. According to a recent press release by Potatoes USA, despite a slight dip of 1.7% in total volume sales, the industry experienced a robust 9.5% increase in dollar sales. Fresh volume sales held steady, with yellow, red, and fingerling potatoes taking the lead, showcasing growth rates of 3.3%, 2.8%, and 3.9%, respectively.
Regional disparities in fresh volume growth were evident, with the Southeast leading at 2.5%, closely followed by California with a growth rate of 1.8%. The fresh price per kilo soared to USD2.57, marking a significant 6.3% increase from the previous year. Importantly, the overall volume sales surpassed pre-pandemic levels, indicating resilience and sustained demand.
The quarter’s star performers in dollar sales were canned potatoes with an impressive 45.1% increase, followed by frozen (31.8%) and instant potatoes (17.1%). Canned potatoes also witnessed a substantial uptick in volume sales by 63.3%, alongside a 3.1% increase in deli-prepared sides. However, despite their remarkable growth, canned potatoes accounted for only 1% of the total sales percentage.
On the flip side, frozen (-5.6%), instant (-6.0%), and refrigerated (-7.2%) potatoes experienced volume decreases. Notably, the report highlighted a nuanced trend in fresh potato pack sizes. While pack sizes exceeding 4.5 kg witnessed a significant dollar sales decline of 29.9%, the 4.5 kg packs experienced a surge of 32.9% in dollar sales but faced a minor volume decrease of 2.9%.
The standout performers in fresh potato pack sizes were the 2.3 kg (31.5%) and 4.5 kg (32.9%) bags, both exhibiting substantial dollar sales growth. However, all sizes larger than 3.6 kg witnessed a decline in volume sales, emphasizing the changing consumer preferences towards smaller packaging options.
