Tomato Ketchup Market Assessment, By Flavor [Regular, Flavored], By Packaging [Bottles, Pouches, Sachets], By Form [Shelf-stable, Refrigerated], By Quantity [Refill Packs, Single Unit, Multi Units Saver Packs, Others], By Price Range [Value Segment, Premi

Tomato Ketchup Market Assessment, By Flavor [Regular, Flavored], By Packaging [Bottles, Pouches, Sachets], By Form [Shelf-stable, Refrigerated], By Quantity [Refill Packs, Single Unit, Multi Units Saver Packs, Others], By Price Range [Value Segment, Premium Segment], By End-user [Commercial, Households], By Distribution Channel [Offline, Online] By Region, Opportunities and Forecast, 2017-2031F

Global tomato ketchup market is projected to witness a CAGR of 3.7% during the forecast period 2024-2031, growing from USD 19.3 billion in 2023 to USD 25.81 billion in 2031. The surge in tomato ketchup consumption, alongside diverse fast-food choices among millennials and generation Z is propelling the market's growth. Moreover, the increasing usage of tomato ketchup by quick service restaurants like cafes, fast-food establishments, hotels, and other players in the food and beverage (F&B) industry is contributing to the market's positive growth during the forecast period.

The market is expanding primarily due to consumers' preference for western lifestyles and evolving food patterns. Furthermore, the increasing middle-class population, growing disposable incomes, and urbanization trends are expected to boost the market globally. The surging demand for organic ketchup, fueled by growing health concerns among consumers and the increased consumer awareness of its benefits, is positively impacting the industry’s growth.

Witnessing the positive outlook of the tomato ketchup market, new companies and manufacturers are entering the industry with the will to boost their sales. For instance, in 2021, Kraft Heinz, in collaboration with Florida Tech, launched a new tomato ketchup, called the Marz Edition Ketchup, made from tomatoes grown under controlled temperature, soil, and water conditions to mimic the environment on Mars. In competition, Hunt’s produced a limited edition ketchup, which they named Uranus ketchup. Only 100 units were manufactured and sold, along with t-shirts that commemorated the launch.

Evolution in Packaging Fueling the Growth of the Market

Packaging plays an important role in the marketing of the product. Consumers prefer convenient, portable, and environmentally friendly packaging, which solves their purpose of sustainability and convenience at the same time. The industry has evolved a lot in terms of packaging, offering various modifications in material and sizes. Key players and new entrants in the industry are also trying to keep up with the growing concerns about environmental degradation and coming up with solutions that fulfill sustainability requirements.

Manufacturers are constantly gaining awareness and formulating strategies to develop sustainable product packaging materials. For instance, Wingreens Farms, a fully operational farm to retail food company, consciously decided to avoid plastic bottles for their ketchup. Instead, they incorporated laminated, squeezy nozzle packs that offer consumers a cutlery- and contamination-free experience on the go.

In 2021, Sir Kensignton’s, a US-based condiments and dressings manufacturer acquired by Unilever, adopted polyethylene terephthalate (PET) plastic bottles as the preferred packaging solution for its products, intensifying their commitment to sustainability. Their goal was to have 100 percent recycled and recyclable content by 2022.

Product Innovation Expanding the Demand in the Market

Tomato ketchup is a very clustered market, and many players offer homogeneous goods to their consumers. As a result, consumers become indifferent to trying on newer brands and stick to their old consumption pattern. To attract the consumers, the players must continuously evolve their products and deliver innovative products to make a mark in the market.

For example, Kraft Heinz announced the launch of its newest pickle flavored tomato ketchup, which is planned to hit the shelves in early 2024. The product offers a mouth-watering combination of savory and tangy flavor pickles, with the traditional taste of its classic tomato ketchup. For a few years, the company has been trying to launch different flavors to tap the market, keeping the interest of existing consumers and strategically attracting newer audiences. Heinz's survey indicates that 73% of Americans enjoy the taste of pickles, making the company hopeful for the new product. This launch aligns with the company’s aim to have greater brand visibility and recognition.

Growing Heath Concerns Flourishing the Market

Consumers have increasingly become aware of the potential health issues that may arise from excessive consumption of commercially available tomato ketchup. This, in turn, has led key players to invest in the launch of organic tomato ketchup made from healthy, natural, non-GMO, and organically grown ingredients, which includes salt, sweeteners, spices, and vinegar, among others. In addition, these products have a thicker consistency and texture than conventional ketchup, thereby enhancing their appeal among consumers.

Manufacturers are making conscious efforts to address the requirements of the consumers and innovating their product offerings by experimenting with different and unconventional ingredients. For instance, Primal Kitchen launched five innovative new sauces to its portfolio in April 2023. These offerings included sweet tomato ketchup, which was made with organic ingredients, eliminating the use of artificial sweeteners or corn syrup. In line with this, they offer just 1g of added sugar content per serving, with organic honey as their preferred sweetener. The ketchup was priced as low as USD 9.99 and was made available for consumers at retail stores like Raley's, Walmart, Stop & Shop, Fresh Thyme, Thrive Market, and various other independent natural grocery shops in the U.S. Apart from these offline channels, it was also sold online at PrimalKitchen.com and Amazon.com.

Flavored Tomato Ketchup Owing to the Market

Although regular flavor tomato ketchup is currently dominating the market, a surge in flavored tomato ketchup is also being seen in the market. Flavored tomato ketchup adds flavor to the food without feeling the need to add any additional ingredient, spice, or flavor. The flavored ketchup instantly elevates a dish without much effort, thus contributing to its rising popularity among the consumers. Basic flavored ketchup options available in the market include sweet, spicy, tangy, onion, garlic, and various others. As many consumers seek ways to add more excitement and flavor to their food, the flavored ketchup market has witnessed steady growth. The present market outlook of the flavored ketchup market is positive and driven by factors such as changing consumer preferences.

In April 2023, Kraft Heinz launched its latest spicy ketchup flavors in three distinct variations. The launch included flavors, such as jalapeño, chipotle, and habanero, incorporated into its tomato-based sauces. Additionally, the company launched The Heinz Hot 57 Sauce, which adds to the lively jalapeño seasoning into its classic 57 dressing made to compliment the meal with unbelievable burst of flavor.

Future Market Scenario (2024 – 2031F)

Options for organic tomato ketchup are witnessing growth gradually and are anticipated to have a higher share of the market. The use of organic ketchup is growing in popularity since it offers several benefits over normal ketchup. Globally, people are having long-term diseases like diabetes, and the numbers will increase even more in the future. Since organic sugars help the body regulate its sugar levels, there is a growing demand for organic ketchup. Moreover, organic condiments are rich in antioxidants like polyphenols, which lower the risk of heart attacks and other cardiovascular illnesses like cancer.

Because it offers a range of possibilities, different tomato ketchups can promote market growth due to their varying nutritional contents. In addition to being less expensive than fresh tomatoes, the tomato ketchup market will expand in the future.

Key Players Landscape and Outlook

Key participants in the tomato ketchup market are Nestle S.A. (Maggie), The Kraft Heinz Company, Unilever PLC (Hellmann’s, Kisaan), Bolton Group (Prima), Del Monte Foods, Inc., Conagra Brands, Inc. (Hunt’s), General Mills Inc., Premier Foods Ltd., Lee Kum Kee, and Litehouse, Inc. (Organicville).

Del Monte Foods, Inc. is thriving to create a more transparent and sustainable supply food chain. The company is ensuring that sustainable practices are being carried out right from the sourcing of the tomatoes to the final packaging and supply of the product to the consumers. In March 2022, the company announced that it is working with its vast network of growers and the Stewardship Index of Specialty Crops to bring in transparency and maintain sustainable farming practices, and have rigorous control over the quality of the final product. The company uses the CropTalk software, which enables the growers to easily track, trace, and audit the crops and derive information to ensure sustainability.