Soup gets a fresh boost in Germany

Germany’s prepared soup market is one of the largest in Western Europe, but remains a very mature and saturated category with limited growth opportunity. Outlook for market value growth is slightly more favourable, with a modest growth projection over the next five years. High market saturation will remain the key issue hampering the growth of the prepared soup category in Germany, and only certain segments, such as chilled soup, are likely to drive market value.

Prepared soup is a staple product in Germany, which can be conveniently stored in the cupboard for emergencies, while still being considered a healthy meal solution, due to its low energy density and high water content. But despite the aforementioned advantages, the prepared soup category continues to suffer from an over-processed image, where consumers have a strong tendency to shy away from foods that contain additives or preservatives.

Furthermore, the market is increasingly affected by consumers’ growing preference for preparing their own soup at home instead of opting for store-bought options. According to Mintel’s consumer research, over 60% of German soup eaters say they prefer to cook soup from scratch to be able to control the ingredients. The promise of freshness and naturalness is therefore the major force behind the growth of the chilled prepared soup segment in Germany.

In recent years, a number of new brands, such as Küchenbrüder, Hofküche and Lenas Küche, have pioneered the chilled soup segment, offering minimally processed, ultra-fresh products with all-natural ingredients, novel flavours and convenient packaging. This has added pressure to the already struggling shelf-stable soup segment, prompting shelf-stable soup manufacturers to step up their innovation game in an attempt to reinvigorate the appeal and performance of this sector. Moreover, one of Germany’s leading canned soup brands, Erasco, has recently ventured into a new range of chilled soups, reflecting the mounting need to adapt to a rapidly evolving prepared soup market landscape.

Katya Witham is Senior Food and Drink Analyst at Mintel with a dedicated field of focus on Germany. Katya draws on her comprehensive knowledge of the market to identify and explore the major trends across various FMCG categories, providing the insights needed to successfully navigate the German market.