Among the most pertinent trends in fresh food is the ongoing movement in clean eating, partly driven by the rise of GLP-1 usage in the US. Fresh food producers are thus aligning themselves more closely to wellness and clean labels, partnering with key stakeholders and investing into more premium fresh food segments that can generate greater profit margins. This is further supported by physical retail grocery who are placing their strategic bets on the potential of fresh food.
Delivery
This report comes in PPT.
Key findings
Clean eating trend stays relevant amidst ultra-processed food concerns
Rising awareness and aversion towards ultra-processed food in the world of packaged food has a positive impact on fresh food. Consumers want to improve their diets, and fresh food - especially fruits and vegetables, which make up 57% of total volume sales - is an important component to this. However, challenges remain in adopting more fresh food into their diets.
Producers and brands find ways to modernise their offerings
The steady shift away from cooking from scratch has challenged the growth of fresh food sales for years as consumer lifestyles evolve. However, brands have innovated and in 2024 there has been a greater focus on increasing the frequency of fresh food consumption through snacking occasions and consumer touchpoints through desserts and beverages.
Fresh food players stand stronger together against market volatilities
The unpredictable climate and volatile trade environment - including the US tariffs implemented in 2025 - have caused some shocks in the fresh food industry. Establishing supply deals with producers has become a priority for brands to avoid higher costs and unstable resources affecting their sales. Partnering with commodity associations and governments in key markets is also essential.
Growing demand and competitiveness in the market drive up value
The perception of fresh food as a commodity ingredient is gradually fading - brands and retailers alike are striving to position them as luxurious, healthy and unique gifts, and fun and tasty treats. Consumer interest in clean eating has also played a role in enabling further segmentation of fresh food categories - such as various sub-species of fruits and cuts of meat - that command a premium.
Fresh food and retail offline grocery elevate their symbiotic relationship
Retail offline grocery is a key channel for fresh food with small local grocers and super/hypermarkets taking the lion’s share of fresh food sales in major markets. This dependency is mutual, where fresh food potentially provides retailers with high profits should food waste be minimised. Fresh food brands should capitalise on this for a three-way benefit, including consumers.
Our expert’s view of fresh food in 2025
Key findings
Fresh food sales set to accelerate
Top five trends in fresh food
Top five trends uncovered
Growing avoidance of ultra-processed food (UPFs) drives potential of clean label
Lidl launches its first private label meat brand, Butcher’s Specialty, in the US
Indians’ backlash against Eggoz proves that trust in food safety and hygiene is fragile
Align with consumers’ growing quest for fresh/minimally-processed food
Venture new occasions beyond cooking and target Generation Z to gain share of diets
Chilean fruit exporter Copefrut introduces a new brand, RedBeats , for Gen Z in China
Hydration effects of Coccola positions it as a beverage companion
Large opportunities in bite-sized snacks and drinks
Efforts are made to secure more stable supply of crops in an unpredictable climate
Fresh Del Monte partners with THACO AGRI for a 10-year sourcing deal of bananas
Australian almond growers win in Asian markets as American sources get locked out
Strengthen partnerships to build resilience in the face of volatility
Higher prices drive sales, but must come with precise benefits for consumers
Red Heart K-Grapes by Melissa’s Produce rides on the Korean wave in the US
New opportunities in emerging markets where consumers are trading up
Evolving shopper habits urge retailers to re- strategise around their fresh food offering
Waitrose commits to more ethical practices in the UK by pledging free range pork
Alibaba’s Freshippo’s success in China hinges on quality and variety over discounts
Fresh food could make or break grocery retailers
Future implications
Opportunities for growth
Fresh Food
Fresh Food refers only to fresh uncooked and unprocessed foods (packaged and unpackaged). Packaged sugar products and natural sweeteners (e.g. brown sugar, table sugar, molasses) are also included. For Fresh Food, we research total sales across distribution channels including retail, foodservice and institutions. For a selected 18 markets, we have a breakdown of total fresh food sales according to the following formats: • Retail • Foodservice sales • Institutional sales Retail Retail sales is defined as sales through all legal establishments primarily engaged in the sale of fresh, packaged and prepared foods for home preparation and consumption. Retail sales excludes sales to hotels, restaurants, cafés, duty free sales and institutional sales (canteens, prisons/jails, hospitals, army, etc). Our retail definition excludes the purchase of food products from foodservice outlets for consumption off-premises, eg grilled chicken/meat/fish bought from counters of cafés/bars. This falls under foodservice sales. For foodservice, we capture all sales to foodservice outlets, regardless of whether the products are eventually consumed on-premise or off-premise. We estimate sales through the following channels: Modern Grocery Retailers • Supermarkets • Hypermarkets • Discounters • Convenience stores • Forecourt retailers Traditional Grocery Retailers • Independent small grocers • Food/Drink/Tobacco Specialists • Other grocery retailers (morning/speciality/open/wet/farmers’ markets, stalls and kiosks, etc) Non-grocery retailers • Health and beauty specialist retailers • Other non-grocery retailers Non-store retailers • Homeshopping • Internet retailing • Vending • Direct selling Foodservice Foodservice sales are defined as sales TO consumer foodservice outlets that serve the general public in a non-captive environment. In other words, this means that the foodservice volumes track sales of all fresh food going into restaurant kitchens, regardless of what the restaurant actually does with that food. Foodservice outlets include cafés/bars, FSR (full-service restaurants), fast food, 100% home delivery/takeaway, self-service cafeterias and street stalls/kiosks. Sales to semi-captive foodservice outlets are also included. This describes outlets located in leisure, travel and retail environments. • Retail refers to foodservice units located in retail outlets such as department stores, shopping malls, shopping centres, super/hypermarkets etc. • Leisure refers to foodservice units located in leisure establishments such as museums, health clubs, cinemas, theatres, theme parks and sports stadiums. • Travel refers to foodservice units based in airports, rail stations, coach stations, motorway service stations offering gas facilities etc. Institutional sales Institutional sales is defined as sales to captive foodservice units that serve captive populations such as in hospitals, schools, prisons, military camps, hotels, hostels, nursing homes, homes for elderly people, religious houses, etc.
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