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Demand for cheese is high and it’s fuelling innovation

Here are some of the key trends defining the category
10/31/2024
selection of cheeses
This innovation spans everything from formats to flavour profiles, convenient spreads to artisanal wedges, and traditional dairy cheese to nut-based alternatives.

Prices may rise and fall and trends may come and go, but one thing appears certain: Canadians love cheese. In a period of inflation, changing national demographics and diversifying diets, cheese—in both its dairy and non-dairy incarnations—remains a staple.

According to data from Statista, Canadians will consume an average of 12.6 kilograms of cheese in 2024. That’s only slightly down from the COVID-era high of 13.1 kilograms in 2021 and, with a wide range of products recently introduced or coming down the development pipeline, consumer interest in cheese is expected to remain high.

“With cheese, in general, there’s been a lot of innovation in the last 18 months,” says Logan McCarles, senior brand manager, cooking cheeses portfolio, Tre Stelle at Arla Foods. “We’re looking at the data on our side to try and capitalize on consumer trends and provide value to our customers.”

This innovation spans everything from formats to flavour profiles, convenient spreads to artisanal wedges, and traditional dairy cheese to nut-based alternatives. Jo-Ann McArthur, president of Nourish Food Marketing in Toronto, says the versatility of cheese makes it ideal for experimentation and the creation of products that can scratch a consumer’s itch for comfort food, culinary adventure and everything in between.

“It’s a great base medium for flavours,” McArthur says. “It’s comforting, it’s adaptable, it’s nourishing, it’s indulgent, but permissible. And it’s coming in more convenient formats.”

With customers continuing to choose cheese—and having more cheese to choose from—it’s time to dive into some of the key trends defining the category

Sugar and spice (and more fun flavours)

McArthur is part of a chorus of experts singing the praises of cheese as a foundation for a variety of flavours. “Cheddar, Gouda and ricotta are starting to see some interesting flavours. Fennel and Indian spices are being added into or crusted onto cheeses,” says Debbie Trenholm, founder and sommelier at Savvy Company, an Ottawa-based outfit that curates Canadian wines, craft ciders, artisan cheeses and coffees for gifts, events and subscribers. “I’m also seeing a rise in fresher cheeses and flavours added to it, like mozzarella or feta with different herbs and spices.”

Lisa Zografos, principal category merchant for specialty cheese at Whole Foods Market, adds that, like in other categories, the tastes of the world—such as Calabrian hot peppers and flavours from Asian, Mexican and Middle Eastern cuisines—are finding their way into cheese products. “There are a lot of great flavours that lend themselves to not only combining with cheese, like cheddar and kimchi on a burger, but also lend themselves to flavours in cheese, like ginger and spices,” says Zografos.

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Formatted for convenience

Responding to consumers seeking quality, variety and convenience, manufacturers are innovating with formats, too. “We know that consumers are very busy and looking for convenient, ready-to-eat applications,” says McCarles, pointing to Tre Stelle’s whipped feta dip, which launched in the spring, as an example of a product that meets customers’ desire for a cheese that’s both novel and handy. “It’s taking a product like feta, which people typically look at as a topping cheese for things like salads, to the next level. You just open the lid and it’s ready to serve.”

McArthur says spreads and dips present a lower barrier to entry for customers on the fence about trying something new. “You’re not going to buy a big block of flavoured cheese to eat on its own, whereas a cream cheese or a spread is an easier way to try something.”

Over at Whole Foods, Zografos has noticed a rise in popularity for small formats, citing soft-ripened and cubed cheeses as examples.

READ: Innovation is boosting growth in the spreads category

Building a board

Savvy Company’s Trenholm says cheese boards continue to be popular. “They’re appealing to the eye and they allow people to experiment with how to present different cheeses,” she says. “And I’ve been to parties where all you’re asked to bring is a bottle of wine and a wedge of cheese and that’s the contribution. The cheese board is the new veggie tray.”

Speaking of veggies, Trenholm says dairy-free cheeses have begun to hop on boards. That’s certainly the goal of Nuts For Cheese, a Canadian company specializing in dairy-free, cashew-based artisanal cheese products.

“There are a lot of shreds and slices, but when it comes to [plant-based] artisanal cheeses to put on your cheese board, there are a lot fewer options,” says Candace Campbell, U.S. national sales manager for Nuts For Cheese. “That’s one of the gaps we’re looking to fill.”

Nuts For Cheese’s board-ready portfolio now includes artisanal varieties ranging from brie to blue to Gouda.

READ: Charcuterie continues to intrigue consumers

Getting nutty

McArthur says historically, plant-based cheese has struggled more persistently against its dairy counterpart than alt milks and yogurts have. However, she says the introduction of casein proteins and the fermentation of nut-based cheese has enabled manufacturers to better replicate the taste and texture of dairy cheese. The result, McArthur says, is that non-dairy options are “sucking less.”

Campbell believes so. Nuts For Cheese ferments its products and makes its own cultures in-house. “We’ve studied the microbial composition of our products compared to dairy cheese and they’re actually quite similar,” she says.

The company is exploring goat cheese, halloumi, cream cheese and cheese dips as it looks to expand its portfolio. 

This article was first published in Canadian Grocer’s September/October 2024 issue.

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