Foodservice Research

2024 Consumer at Foodservice and Operator Research

Overview

The National Watermelon Promotion Board (NWPB) conducted comprehensive research in 2024 to explore consumer habits, perceptions, and the use of fresh watermelon in foodservice. This effort built upon earlier studies from 2022 and included a survey of over 1,000 U.S. consumers and interviews with 15 executive chefs. The findings aim to inform marketing strategies and expand watermelon usage in foodservice menus.

Consumer Research Findings

Objectives

• Update the 2022 study to track changes in consumer behavior over two years.
• Measure consumer awareness, interest, and engagement with watermelon when dining away from home.
• Assess the appeal of different watermelon applications, pairings, and preparations.
• Evaluate the impact of various watermelon messaging and positioning.
• Understand how eating watermelon away from home influences at-home purchasing.

Methodology

• Online survey of 1,191 consumers (aged 18 to 60+), weighted by age to reflect the 2020 U.S. census.
• Fielded in June 2024.
• Supplemented by social media analysis and interviews with foodservice operators.

Key Findings

• Emotional Experience: Watermelon evokes positive emotions and can create a shared sense of community, making it a versatile ingredient for operators and consumers alike.
• Innovation vs. Nostalgia: Watermelon maintains a modern, innovative image while still being approachable. Avoid over-innovation to prevent fatigue.
• Increased Engagement: Innovations in menu offerings are encouraging more consumer interest in watermelon.
• Consumer Demand: 56.6% of consumers feel watermelon is underrepresented on menus.
• Seasonality and Quality: Operators emphasize watermelon’s seasonal quality but believe innovative approaches can extend its appeal year-round.
• Young Consumer Interest: Gen Z is particularly drawn to morning snacks featuring watermelon, presenting a new growth opportunity.

Operator Research Findings

Objectives

• Understand challenges and opportunities in using fresh watermelon in foodservice.
• Provide industry context to complement consumer insights.

Methodology

• Interviews with 15 executive chefs from multi-unit restaurant brands.
• Operators included both current and non-users of watermelon in their menu offerings.
• Conducted live interviews in August and September 2024.

Challenges Influencing Results

• Labor shortages and skill gaps.
• Supply chain disruptions.
• Rising costs for labor and ingredients impacting menu prices.

Key Operator Insights

• Opportunities for Innovation: Operators view watermelon as a promising ingredient for innovative menu applications, including beverages and unique pairings.
• Labor-Saving Solutions: Techniques like compressed or pressed watermelon are seen as ways to simplify preparation.
• Flavor Trends: Popular trends include sweet heat, sour flavors, spice blends, and cross-cultural influences (e.g., Latin cuisines).
• Rind Usage: While 40% of operators express interest in using watermelon rind, labor challenges and limited consumer awareness restrict experimentation.

Watermelon Opportunities in Foodservice

Consumer Appeal

• 62% of consumers are highly interested in trying fresh watermelon in innovative dishes.
• Gen Z exhibits the strongest engagement, particularly in non-alcoholic beverages.

Operator-Identified Applications

• Drinks: Spicy watermelon fresca, watermelon lemonade, summer bourbon cocktails.
• Appetizers and Entrees: Watermelon tacos, compressed watermelon served like steak, riffs on traditional cuisines (e.g., Thai papaya salad, watermelon poke).
• Desserts and Snacks: Sorbets, granitas, and gazpachos, pickled watermelon rind on pork sandwiches.
• Seasonal and Cross-Cultural Pairings: Winter BBQ sauces, vinaigrettes, cranberries, and equator cuisines emphasizing contrasting flavors.

Challenges and Solutions

• Taste and Texture Consistency: Operators need better controls for watermelon’s quality, taste, and hold times.
• Cost and Labor Constraints: While cost is a concern, innovations like pressed watermelon could reduce preparation challenges.
• Year-Round Availability: Quality improvements and innovative pairings may encourage off-season use.

Recommendations for Growth

• Leverage Summer Nostalgia: Build on consumers’ emotional ties to watermelon during the summer while exploring year-round applications.
• Enhance Perception of Fresh Watermelon: Differentiate fresh watermelon from flavored products through messaging and innovation.
• Focus on Youth Engagement: Develop menu options that cater to younger demographics, particularly Gen Z.
• Drive Beverage Innovations: Both alcoholic and non-alcoholic drinks offer significant growth potential.
• Expand Awareness: Educate consumers and operators about unique watermelon applications, including rind usage.

View the full report to explore more about incorporating watermelon into foodservice menus. Visit watermelon.org/foodservice for more on key messaging.

2023 Foodservice Operator Research

In 2023, the National Watermelon Promotion Board (NPWB) invested in updating the foodservice operator research to better understand the shifting opportunities and challenges to growing watermelon use and consumption in foodservice. This is the second year for what is now the NWPB’s benchmarking study, which will allow the Board and industry to better track opportunities, gains, and engagement in foodservice.

The operator omnibus’ objectives were to (expanded from 2022):

• Understand current use of fresh watermelon overall and by format
• Identify pain points or hurdles to use
• Identify opportunities for driving increased use of watermelon
• Measure perceptions of watermelon
• Assess current menuing behavior and potential innovation areas to drive growth
• Understand opportunities for nonuser conversion
• Gauge opportunities for National Watermelon Promotion Board messaging and activities

The following methodology was used to complete this project and meet stated objectives:

• Online survey fielded to operators across all commercial, noncommercial and retail segments
  • Note that retail sample is too small to analyze separately but is included in the total results.
• 400 operators were qualified based on purchase responsibility
• The online survey was fielded in June 2023
• This report both analyzes both the 2023 findings and trends results from 2022 as possible

This research does not happen in a vacuum so it is important to note industry dynamics impacting results:

• Ongoing labor supply and skill issues
• Ongoing supply chain issues
• Inflation and recessionary concerns
• Increased competition from a wider array of segments
• Return to pre-pandemic innovation efforts

Fresh Watermelon Usage

• Most operators (65%) feature fresh watermelon on the menu, up from 38% in 2020 and 50% in 2022
• Noncommercial operators are more likely to use fresh watermelon and use a wider variety of formats
• Watermelon use continues to grow, but at slower rate as operators move past post-pandemic recovery
• Operators love the taste of fresh watermelon

Fresh Watermelon Menuing Dynamics

• Spring and summer menuing are most common seasons, though year-round menuing does occur
• Seasonal availability is part of watermelon’s appeal for most operators – users and nonusers
• Watermelon is a promotion favorite
• Watermelon is featured across the menu, but lags in entrées
• Watermelon is used broadly – driven by salads, similar applications
• Watermelon is even more versatile in beverages
• Less watermelon innovation within desserts
• Pureeing remains the most common fresh watermelon prep
• 65% of fresh watermelon users feature it on the off-premise menu
  • Issues with fresh watermelon off-premise include temperature control and making the overall dish soggy
  • 53% of those that don’t feature it on the off-premise menu may add it over the next year
• 69% feature fresh watermelon on both the kids and main menu
  • 28% feature it only on the main menu
• 29% of fresh watermelon users are familiar with pickled rind
  • 75% are interested in learning more about how to use pickled watermelon rind

Fresh Watermelon Innovation Opportunities

• Operators are interested in a broad array of trending flavors paired with fresh watermelon
• Unique preparations for fresh watermelon are of interest
• Strong interest in watermelon-focused beverages
• Interest in food applications, but skew toward more “obvious” options
• Education focused on increasing shelf life and reducing waste will be of interest
• Watermelon can work in trend-forward applications

To learn more, review the full report. Reach out to Megan McKenna at [email protected], with further questions.