Beef stakes its grab and go claim
22 June 2016
Australian beef is taking on barbecue chicken in the lucrative hot roast sector in a move that’s set to add value to beef cuts and capture a slice of the growing convenience market.
Meat & Livestock Australia’s Donor Company (MDC) funded new research with red meat processor Teys Australia and the Australian Meat Processor Corporation (AMPC) to discover potential new opportunities for red meat in supermarkets.
The research has resulted in the release of “grab and go" hot roast and corned beef now available in Woolworths’ Queensland stores under the Cedric Walter brand, with a roll out to other states planned for the near future.
Teys Australia delivers the meat to retailers for cooking in-store, and it is sold in similar packaging to barbecue chickens. The beef can be kept hot for up to four hours without impacting quality.
MDC chief executive Dr Christine Pitt said with more than 100 million barbecue chickens sold by Australian supermarkets annually and another 24 million moved through takeaway outlets, MLA recognised it was a huge opportunity for the red meat industry.
“Barbecue chicken sales in Australia totalled more than $932 million in 2014,” Dr Pitt said.
“The aim of the project was to identify how to create a value-added red meat product capable of capturing a share of a large protein market by utilising existing systems, market pathways and in-store infrastructure.
“The research involved consumer surveys, exploration of non-chicken protein offerings in these markets globally and an examination of current cooking, heating and handling system capacity in supermarkets and takeaway outlets.
“This work is one of many exciting projects that are part of MLA’s Insights to Innovation program, taking insights from the market to understand future consumer attitudes and behaviour.
“The more we build demand for red meat the greater the opportunities for capturing value for all participants in the supply chain.”
MLA’s research found that 25 per cent of consumers who were buying barbecue chicken would purchase hot roast beef.
Consumers indicated they would be prepared to pay a similar price for beef as they do for chicken.
Currently, 80 per cent of the barbecue chicken market share is held by supermarkets, with takeaways claiming the remaining 20 per cent.
Teys Australia Food Solutions commercial lead, Rata Shuttleworth, said Teys had invested in the development of best-in-class category management, consumer insights and store-level operations expertise to ensure it could deliver consumer-facing solutions to Woolworths.
“The range offers traditional, convenient beef solutions that provide everyday Australian families with affordable, wholesome, quality options that are easy to prepare and taste great,” Mr Shuttleworth said.
For media enquiries contact: Josh McIntosh, MLA Media Manager, p: 0404 055 490, e: email@example.com
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