November 2005    
Tough Nut to Beat: Almond Usage in Foodservice Rises

Spurred by Health and Lifestyle Trends, Study Shows 8% Increase in Two Years as Almonds Move to Most Frequently Used Nut in Key Menu Categories

The first years of the new millennium have been good to the California almond industry. The 2004 results of an ongoing proprietary study by the Almond Board of California of the Foodservice Attitudes, Awareness and Usage of Almonds of 850 operators drawn from all segments, revealed that 73% of all foodservice operations use nuts, and 47% of all operations use almonds. The number of operators using almonds increased 8% from 2002, driven by demand for healthier and vegetarian menu options, as well as attention-grabbing research that shone the nutrition spotlight on almonds.

On the Menu, Almonds Outrank the Competition
Food service operators are always alert to health and lifestyle trends, which have increasingly skewed toward heart health. Research in 2005 showed that 80% of consumers rate almonds as heart healthy, a 10% jump from 2004. Food service operator attitudes and their menus reflect the changing dynamics:

• 77% of restaurants are offering heart-healthy menu items
• 66% of operators say it is extremely/very important to menu heart healthy items
• 38% of operators strongly agree that they should offer meatless options. (Note: almonds provide a natural, nutrient-rich protein alternative.)

Based on in-depth interviews with foodservice operators, the Almond Board's research highlighted almonds' consistently strong performance on the menu. As restaurant usage of nuts increased to 73% in 2004 (up 7% from 2002), almonds remained the operator's choice for favorite foodservice nut as almond usage rose to 47% (rising 8% from 2002).

These operators also ranked almonds as the top choice for entrees, salads, desserts and appetizers.

Three out of four foodservice professionals agreed that almonds are the most nutritious nutmeat, but prioritized the taste, texture, menu versatility and value-added appeal of almonds as their principal reasons to use. A supplementary survey indicated an operator might charge up to eight times the ingredient cost of almonds when pricing a menu item.

Why Consumers Choose Almonds
At restaurant tables, orders reflect the growing consumer concern about health and diet issues and the nation's ever-expanding waistline. Responding to nutrition research and government edicts, consumers are seeking natural, nutrient-rich, high fiber foods such as California almonds. Almonds offer consumers the ideal meal solution: tasty and easy to eat; concentrated nutrition; heart healthy; satisfying; and portable.

The Almond Board's 2005 consumer research confirmed almonds' strong "healthy halo":
• 90% agreed that almond-enhanced products have better nutritional profile
• 64% agreed that they would pay more for a product with almonds
• 81% agreed that almonds add interest and appeal to food products
• 81% rated almonds an excellent or good protein source
• 80% rated almonds excellent or good as a source of energy.
• 80% rated almonds as heart healthy
• 74% rated almonds an excellent or good source of fiber

In growing numbers, consumers have put their money on almonds, doubling the annual per capita consumption to more than a pound during the past five years. Forty percent of purchasers named almonds as "the nut I choose to eat on an ongoing basis."
The number of consumers rating almonds as their favorite nut has doubled since 1996 to 16%. For consumers with "heart healthy" lifestyles, almonds are even more popular with 49% naming almonds their favorite nut.

Domestic annual consumption of almonds has nearly doubled since 1999 to more than 300 million pounds or about one pound per person per year. The rapid growth in demand has led to increased plantings of almond trees in recent years. Although the 2005 crop, estimated at 880 million pounds, is down 12% from the previous year, subsequent years should see a steady increase in supply.

For more information about the Almond Board of California’s Awareness, Attitudes and Usage studies (consumer, foodservice and food technology) or almond nutrition research, visit www.AlmondsAreIn.com.



Research Sources:
Sterling-Rice Group, Boulder, CO, 2005
Consumer Awareness, Attitudes and Usage of California Almonds
Foodservice Awareness, Attitudes and Usage of California Almonds
Food Technology Awareness, Attitudes and Usage of California Almonds
IRI Retail Product Movement 2004
Mintel New Product Overview 2004

The Almond Board of California administers a grower-enacted Federal Marketing Order under the supervision of the United States Department of Agriculture. Established in 1950, the Board’s charge is to promote the best quality almonds, California’s largest tree nut crop. For more information on the Almond Board of California or almonds, visit www.AlmondsAreIn.com.