The global soup market is expected to grow at a CAGR of 3.68% over the forecast period to reach a total market size of US$21.214 billion by 2025, increasing from US$17.079 billion in 2019. Soup is a kind of liquid food and served warm and is characterized by boiling solid ingredients in the liquid until the flavors are extracted. The market is driven by growing demand for convenience food due to changing lifestyles. The growing production and consumption of soup is attributed to improvements in technology, collection methods, and increased taps in order to support the growing interest of consumers to consume soup across the globe. Growing demand for food and beverage products made from natural ingredients is further driving the demand for natural-based soups in many countries. Furthermore, the growing trend of organized retail is augmenting the sales of soups with the construction of hypermarkets and supermarkets, convenience stores, and shopping malls, further contributing to the market growth over the next five years.
The present COVID-19 pandemic is known to cause limited impact leading to hampering the growth of the global soup market in short term, this is mainly due to disruption in supply chain and global lockdown which has affected the demand for soups. However, with the growing adoption of online retailing coupled with rising governments initiative around the globe have enforced social distancing and lockdowns which has led consumers to ramp up online shopping use resulting in spikes in business to consumers sales for household essentials and food products like soups.
Changing consumer lifestyle is driving the growth of the market.
Changing consumers and busy lifestyles or dislike of food preparation and cooking is shaping the market of soup positively. Awareness regarding health benefits associated with soup like a high content of nutrition, minerals, and proteins is also boosting the adoption of soups as a form of convenience food for many young populations around the globe.
Increasing household expenditure in various parts of the world
It is considered as one of the prime drivers for the growth of the soup market during the forecast period. According to the Organisation for Economic Co-operation and Development data, the household spending in China and Mexico has increased from US$5,414 billion and US$1,276 billion in 2012 to nearly US$9,975 billion and US$1,635 billion by the end of 2018. Also, both and public and private players are investing heavily in developing countries to cater to the growing demand for the soup on account of rapid urbanization and growing health awareness.
By distribution channel, the market is segmented on the basis of online and offline. The online segment for the soup market is expected to witness the fastest growth over the forecast period due to expanding e-commerce business and increasing internet penetration in developing countries around the globe. Also, new players are introducing and coming up with services such as delivering hot served soups. Besides, with the growing number of smartphone users, time spent on the internet also increases that drive the growth of e-commerce platforms which is considered as one of the major drivers for the growth of the online segment during the forecast period.
North America is holding a significant share in the market
By geography, the soup market is segmented as North America, South America, Europe, the Middle East and Africa, and the Asia Pacific. North America is expected to hold a significant share in the market owing to the presence of major players coupled with the growing number of product launches in the countries like the United States and Canada. Increasing demand for healthier food products coupled with the advanced lifestyle and high level of disposable income is further boosting the sale of convenience foods such as soups over the forecast period. In the Asia Pacific region, due to changes in breakfast consumption patterns in a couple of years and rising western influence in countries like China and India is the market is expected to witness substantial growth over the forecast period. The rising number of modern grocery stores in India also contributes to the growth of the soup market by making it easily available to Indian consumers. According to the United States Department of Agriculture (USDA), modern grocery retailers in India have increased from 5,852 in 2013 to 7,162 in 2018 and, In 2019 supermarket sales show a growth of 12 percent. Besides, growing consumer awareness along with a busy and hectic working lifestyle is expected to increase the demand for soup in the region. Furthermore, changing perception regarding soup as a healthy food coupled with the growing number of product launches with new flavors is expected to propel the growth of the market in the South American region.
Prominent key market players in the soup market include Nestlé (Switzerland), Campbell Soup Company, Associated British Foods PLC, TSC Foods, Bear Creek Country Kitchens LLC, and Baxters Food Group Limited among others. There is intense competition; different companies are adopting similar strategies to improve their margins over the competitors. Major market players are focusing on product launches of new variants and flavors. Also, market players are tapering down their strategies to specific regional markets and are focusing on various country specific eating habits to target customer’s base and promoting their product. Besides, major market players in the global soup market have been covered along with their relative competitive position and strategies. The report also mentions recent deals and investments of different market players over the last few years. The company profiles section details the business overview, financial performance (public companies) for the past few years, key products and services being offered along with the recent deals and investments of these important players in the global soup market.