Natural Products Insider

SEP-OCT 2017

INSIDER is the leading information source for marketers, manufacturers and formulators of dietary supplements, healthy foods and cosmeceuticals. Since 1997, INSIDER has been serving the needs of the global nutrition industry.

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132 INSIDER September/October 2017 SupplySide West The idea of "clean label" continues to grow as a fundamental driver of food and beverage purchase. This is a market-driven movement as consumers increasingly insist upon "real foods"—foods and beverages that are natural, include nothing artifi cial and have a short list of recognizable ingredients that are familiar, easy to understand and pronounce. This "less is more" trend resonates with consumers as they desire purity and simplicity in the foods they consume. Natural Marketing Institute's (NMI) Health & Wellness Trends Database ® (HWTD) highlights consumers' attitudes and behaviors toward a wide array of issues related to trends in food and beverage usage. These insights, gleaned from an annual, nationally representative survey of more than 3,000 adults, provide an understanding of the attitudes, motivations and behaviors surrounding the clean label trend. NMI also uses its health and wellness segmentation to understand the various habits of fi ve distinct groups in the population. These range from the healthiest, "well beings," who are actively engaged in multiple aspects of health and wellness, to the "fence sitters," who are a striver group that is actively searching for solutions and are more easily infl uenced to change, to the "eat, drink & be merrys," who eschew most things related to healthy behaviors. A Growing Desire for Simplicity The consumption of healthy and nutritious foods is one of the top approaches consumers use to achieve a healthy and balanced lifestyle. And more than half of the population (54 percent) rate "clean label" as an important attribute of their food and beverage purchase, with a strong and consistent growth rate over the past 10 years. "Well beings," NMI's most healthy segment, is signifi cantly more likely than all other segments to perceive this as important. Similarly, Millennials are signifi cantly more likely than all older generations to rate this as an important aspect of their food/ beverage purchase decisions. Growth of Natural & Organic The growth of natural and organic foods and beverages is clearly linked to consumers' focus on products with attributes that meet their desire for simplicity. While taste and nutritious content are consistently rated as the most important attributes of food and beverage purchases, those which show the most growth center around "cleaner" and natural or organic ingredients. Consumers are becoming more expectant that the food industry, growers and manufacturers are mindful of offering options they feel good about. This paradigm shift is becoming the dominant, new pillar of responsible food production and marketing. Source: NMI's Health & Wellness Trends Database The Label Is as Important as the Product Consumers increasingly monitor food labels, and base purchase decisions on them. More than three-quarters of consumers report that package labels have infl uence on their purchases of healthy and natural products. Even further, more than half of consumers select foods based specifi cally on the ingredient list. As consumers proactively add and avoid specifi c foods to eat healthier, labels can clearly help. It is imperative that the information consumers want and need is provided in a clear, concise and understandable way to help them make the most informed decisions. As so, front-of-pack labeling is becoming commonplace across many categories. Strong Global Concerns Globally, the clean label trend continues to be important. Global introductions of products with natural sweeteners have increased steadily over the past 10 years from 30 Defining Clean Label & Its Impact on Product Development by Steve French Learn more about what's driving global demand for clean label food and beverages from Steve French during the "Defi ning Clean Label: Moving From Trend to Norm" Workshop, underwritten by Cargill, Synergy Flavors and Tate & Lyle, on Tuesday, Sept. 26 at 9 a.m. at SupplySide West in Las Vegas. Scan Here Clean Label Food & Beverage Formulation at SupplySide West Attributes that are very/somewhat important to food/beverage purchase decisions Percent of total growth of attributes (2013-2016) Natutral No artifi cial ingredients No preservatives No artifi cial colors Organically grown USDA certifi ed organic No artifi cal fl avors 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Percent of the general population who completely/somewhat agree with the statement: "I look for foods/beverages with a short list of recognizable ingredients." 54 % 33 % Total growth from 2006: +64 % Source: NMI's Health & Wellness Trends Database +22 % +19 % +17 % +16 % +16 % +16 % +13 %

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