Spicy and other highly flavored cheeses that once were considered exotic have become hot sellers for supermarkets.
Cooking shows, cooking magazines, and the growth of specialty and ethnic cheese on restaurant menus have given these products a high profile. At the same time, the surging Hispanic population, as well as the aging baby boomers, have built demand for cheeses with unique flavors.
"As we age, our taste buds lose some of their sensitivity," said Jerry Dryer, president of J/D/G Consulting, Delray Beach, Fla. "That motivates people to seek out foods with a more distinct flavor profile."
The yen for exotic cheese is part of an overall surge in consumption. A study released this fall by J/D/G Consulting and the California Milk Advisory Board found the U.S. public consumed 1.8 billion more pounds of cheese in 2003 than in 1994. Total U.S. per capita consumption increased 15% during that time to 30.6 pounds per person.
Although commodity cheese still accounts for 91% of U.S. consumption, specialty and ethnic cheeses grew rapidly during the past decade, with per capita consumption increasing 75%, to three pounds per person in 2003, giving the specialty category a market value of $6.4 billion in retail and food-service sales.
"There are a lot of things driving this trend," said Randy Arnold, specialty cheese director for Dorothy Lane Markets, Dayton, Ohio. "Consumers are more educated about these products, they're more in tune with what they're eating, they're more concerned about ingredients such as preservatives, and they're becoming more picky about quality."
Citing the growth of feta cheese several years ago as an example, Dryer said the use of cheeses in the restaurant and food-service industry has a consistent record of ultimately translating to consumer interest at retail. "Feta's story has been repeated several times since then," he noted.
"Restaurants have begun using cheese in a variety of different ways," said Nancy Fletcher, vice president of communications for CMAB, based in Modesto, Calif. "For example, cheese is now on the appetizer menu at 80% of fine restaurants, up from 20% in 1994, and it's appearing on more dessert menus as well."
Marketing efforts by cheese industry groups like CMAB and the Wisconsin Milk Marketing Board have also helped improve awareness among consumers, retailers and restaurant owners, Dryer said. For the producers these agencies represent, it's big business. Despite their exotic-sounding names, most specialty and ethnic cheeses eaten in the United States are produced here, too. From 1994 to 2003, imported cheese held steady at about 5% of total consumption; U.S. production, particularly in California, Wisconsin and New England, has risen to meet demand.
"Over the past few years, Havartis, Goudas, Gorgonzolas, some of the Hispanic cheese varieties, and Asiagos have been among the fastest-growing cheeses [for Wisconsin producers]," said Nick DeRose, director of sales, retail grocery channel, WMMB, Madison. "There's also a number of artisan and farmstead cheeses coming out of Wisconsin right now. Small-batch producers are adding a number of different things to cheese, such as dried fruits, and making different varieties using methods, such as rind washing."
Fletcher described similar activity in California, pointing out that the varieties of cheese produced in California rose from 70 to more than 250 during the past decade.
For retailers, this has made the products easier to source, and has allowed them to answer consumer demand without the prohibitive pricing that might result from buying cheese from Europe, given the euro's current strength against the dollar.
"The supply chain has improved dramatically," said Arnold. "Several years ago, if you carried imported cheese, you had to order several months out. And, for a while, some of the European cheeses got priced out of the market. We try to not overprice a new cheese when we're introducing it."
Arnold said he was seeing growing interest in small-batch artisan cheese, blue cheeses and aged cheddars. To boost interest from consumers new to specialty and ethnic cheeses, the chain conducts manned or unmanned demos every day. These often take the form of comparison demos, he explained, describing a recent demonstration of Maytag Blue cheese and 200-day aged gorgonzola. "We let the customer try each, and we tell them where it's made and how they can use it."
Once customers are hooked, Arnold keeps their attention by resetting the store's cheese case every week or two. When a new wheel arrives at the store, it's emphasized through a larger display to draw attention. "It's sort of a billboard effect," said Arnold.
As Steve Jenkins, cheesemonger of Fairway Markets, New York, and author of "The Cheese Primer" sees it, retailers shouldn't follow trends as much as set them through good merchandising and sampling programs. "We set trends by traveling and knowing what's available; by making huge, abundant shows with our merchandising; and having talented and passionate people behind the counter," he said. "I would suggest that, whatever the market, that retailers do the same thing that we do in New York City.
"You don't have to try to blow away the guy down the street with a huge selection," he said. "If you can manage to have just 14 spectacular cheeses merchandised in abundance, with signs featuring a big bold title, a few inches of copy explaining what the cheese tastes like, where it came from, why it came from there, what its significance is, what its best accompaniments are and why they can't leave the store without it, and have someone standing behind those products that's passionate about them, then you're going to become famous in your area for cheese."
Other experts agreed. "The people who are good at retail are always willing to shave off a chunk of anything to let a curious customer try it," said Dryer. He added that pairing cheese samples with an appropriate choice of cracker, bread, fruit or vegetable could help customers understand how to use different types of cheese.
"If you educate a customer on how to use something, if their first experience utilizing product is good, then they move down a path of appreciation," said DeRose. "It's very important, if a consumer has a question, or if, on impulse, they pick up an item and ask how to use it, that you can offer a suggestion."
Several leading retailers have expanded their efforts to educate their customers about cheese, particularly by pairing sampling programs with online resources. For example, cheese and wine pairing suggestions are a regular feature of Wegmans' consumer e-mail newsletter, and the company's Web site includes resources like a searchable "Cheese Encyclopedia" that describes the origin and texture for dozens of different cheeses, along with beverage recommendations, serving suggestions and nutritional information.
Arnold said Dorothy Lane sends out a similar e-mail newsletter, which has recently included suggestions on making fondues and pairing cheddars with apples. "It's a fun way to explain different cheeses, and a great way to open up a dialogue with customers," he said. "We get an average of about 10 e-mails per week from people looking for additional suggestions."
For Hispanic cheeses, recipe suggestions may be important as well, if retailers are seeking to build consumption of the products beyond core Hispanic consumers. Although Hispanic cheese production has risen in California and Wisconsin along with the production of other specialty cheeses, the forces underlying that growth, compared with the growth of products like aged cheddars or blue cheeses, are fundamentally different.
With their lighter, more delicate flavors, products like Queso Fresco and Queso Blanco add an authentic flair to traditional Hispanic dishes. As a dietary staple, their consumption has grown in tandem with the Hispanic population in the United States. Cheese producers at last month's Expo Comida Latina in New York, such as Cacique and El Viajero, said their core consumer remains primarily Hispanic, although the products are also making inroads among other demographic groups through sampling and cooking demonstrations.
Fletcher agreed, and expressed optimism about the future of Hispanic cheeses, products that California leads the nation in producing. Many Hispanic restaurants are switching from cheddars and jacks to more traditional cheeses, she said. Also, unripened ethnic cheeses, such as queso fresco, fromage blanc, quark and mascarpone, have been getting more media attention. The International Association of Culinary Professionals recently invited CMAB to conduct a workshop on cooking with Hispanic cheeses for its members. "Down the road, there's a lot of potential for mainstream appeal," Fletcher said.
Here to Stay
The low-carb diet craze no doubt helped boost cheese consumption. Yet the ultimate fate of the increasingly popular category is in no way tied to the dieting trend, several buyers and other industry experts contacted by SN insisted.
"Some of the fad diets, such as Atkins and South Beach, may have helped drive growth a little bit," said Randy Arnold, specialty cheese director for Dorothy Lane Markets, Dayton, Ohio. "From what I've seen, the popularity of low-carb dieting has started to die off recently, but that's not impacting cheese sales."
Market analyst Jerry Dryer, president of J/D/G consulting, agreed. "The growth of the category is much more broad based," he noted. "Cheese is a staple in European diets, and I think, if anything, low-carb dieting helped push it in that direction in this country."
In its recent report on low-carb diet trends, Information Resources Inc., Chicago, pointed out that branded low-carb products had a very good year, with the category growing $815 million during the 52 weeks ended June 13. However, products naturally low in carbs, such as meats, cheeses, diet soft drinks and bottled water, had a much larger impact, growing $4 billion. During this period, sales of cheese chunks were up 8%, or $145 million, while cheese slices were up 25%, or $98 million.
