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Hot Dogs and Sausages Market - Global Industry Analysis, Size, Share 2024 | Research Report

Press Release   •   Aug 18, 2017 03:28 EDT

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The competitive landscape of most of the regional hot dogs and sausages markets is extremely fragmented, Transparency Market Research observes, with the exception of the MEA region. In Asia Pacific, the leading revenue contributor to the global hot dogs and sausages market, the top five players accounted for a share of just over 30% in 2014. These players are Shineway Group, Venky’s, Goodman Fielder Ltd., Nippon Meat Packers Inc., and People’s Food Holdings Ltd.

One of the leading growth strategies adopted by a number of key players in the global hot dogs and sausages market is product line expansion through constant mergers and acquisitions. A case in point would be ConAgra Food Inc. In 2014, the company acquired Ralcorp, a leading producer of private brand foods in the U.S. to strengthen its share in the packaged foods market.

“Continuously engaging in R&D activities for the development of new products in the meat and meat products segment is also a successful strategy adopted by several companies,” the author of the study said. A recent example would be the introduction of hot dog ATMs, wherein the customer places their order on the screen and the selected food item is moved from the refrigerator to the microwave to deliver fresh hotdogs in just a few minutes.

Sporting Events Contributing toward Increased Demand for Hot Dogs and Sausages

Hot dogs and sausages are among the most preferred convenience foods for kids and youth around the world and as a result, households with kids and college students form the most attractive consumer group for hot dogs and sausages. The growing population of individuals between the ages of 20 and 30 is a key factor driving this market.

“The demand for hot dogs and sausages varies from region to region and by season as well,” the TMR analyst observes. For instance, holiday months see a surge in demand for breakfast sausages. Major sporting events in the U.S. also contribute to the rising demand, according to a survey by the National Hot Dog and Sausage Council. The consumption of hot dogs and sausages during major leagues and at prominent ballparks in the U.S. is much higher than at any other time of the year.

Alarming Rise in Obesity Cases Likely to Restrict Demand

“The soaring incidence of obesity around the world is a key factor curbing the consumption of hot dogs and sausages as consumers shift toward healthier and less fatty foods,” the author of the study finds.

The World Health Organization states that in 2014, around 1.9 bn adults were overweight and 600 mn were diagnosed with obesity. The WHO also finds an increase in the number of child obesity cases, which continues to threaten the demand for hot dogs and sausages.

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Global Demand for Hot Dogs and Sausages to Grow at 1.8% CAGR over Forecast Period

In terms of revenue, the opportunity in the global hot dogs and sausages market was pegged at US$64.7 bn in 2014 and is estimated to be worth US$80.4 bn by 2021, expanding at a CAGR of 3.1% from 2015 to 2021. By volume, the market for hot dogs and sausages is anticipated to expand at a CAGR of 1.8% during the forecast period.

Among the different types of products, cocktail sausages led the hot dogs and sausages market by volume as well as revenue in 2014. The global cocktail sausages market is likely to reach US$19.2 bn by 2021. Among the different types of meat, pork was the leading revenue generator for the hot dogs and sausages market. By geography, Asia Pacific led the global hot dogs and sausages market in 2014 and the region is expected to retain its position through 2021.

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