December 30, 2002 Recent News
Convenience foods: thinking like a consumer
Functional foods & the fat fad
F.D. A. trans fat plan raises eyebrows
Study: Shoppers See Organic Foods as Healthier, But Are Confused About GM Foods
Convenience foods: thinking like a consumer
Canadians are as pressed for time as US consumers, but feel some guilt about store-prepared meals and convenience foods. They prefer "prepared meal components," which require some assembly. Nearly 80% of Canadians say they prepare their main meal from scratch or nearly from scratch, which, given their heavy use of prepared meal components, simply redefines what "cooking from scratch" means. Meal components, such as bagged salads and fresh tortilla shells, fall into a broad category called "Convenient Involvement Foods (CIF)," reflecting the preference of most Canadians to purchase the three main components of their meals - protein, starch and vegetables - separately. Effective merchandising of products that complement convenient involvement foods requires re-thinking the structure of the store. Items such as Caesar salad kits, frozen garlic bread, par-baked breads finished by the grocer, etc., should be displayed alongside the convenience entrée. Put refrigerated sauces, grated cheeses, chopped vegetables, etc., next to the dry items that are key ingredients, already done for the pasta aisle in some stores. The challenge is to think like consumers, who will buy more products if they don't have to walk all over the store. Consumers will pay for convenience, good taste, and variety, but there has to be value. The author concludes with the following advice: "Look at all departments as one big meal opportunity, and create a "Total Store Selling" concept. The article includes a table listing growth rates and dollar sales for 10 different categories of convenience food products.
(Extracted from Canadian Grocer, 10/1/02)
Functional foods & the fat fad
This member of the marketing faculty at Indiana University discusses ways in which companies can address how to sell functional foods to a population that appears to be more interested in "bad" (i.e., fattening, unhealthy) food. He quotes the director of the Yale Center for Eating and Weight Disorders who says it is almost impossible for people to cope with the nation's "toxic environment," pointing out that the average American child sees 10,000 food ads on television a year. There are, he says, too many bad choices all around us. The author says that despite this, some functional foods are doing well, among them soymilk, sales of which grew 57% last year. There are two issues, he says, to be addressed. One must consider market segmentation and the fact that while the US population is on average "as obese as it has ever been," there are those who watch what they eat and want to eat a healthy diet. The second is that companies must be satisfied with small gains rather than being committed to either big gains or getting out. Over time, he says, the addition of small gains may be more efficient than a big hit. He sees continued activity and additional opportunity in the functional food category.
(Extracted from Nutraceutical World, 11/1/2002)
F.D. A. trans fat plan raises eyebrows
A proposed nutrition label change by the Food and Drug Administration is drawing fire from some baking industry groups. An American Bakers Association (ABA) spokesperson said the group feels the proposed notation warning consumers about trans-fat intake "is a concern; it looks like a warning label [and] sets a bad precedent." The ABA said it would make a formal response on the labeling in December. The FDA has reopened a public comment period on the proposal. The National Food Processors Association (NFPA) said it would study the proposal closely during the proposal period. An NFPA spokesperson suggested that the FDA proceed "cautiously" and allow food companies to educate consumers about trans fats and also about the health benefits of their products.
(Extracted from Milling & Baking News, 11/26/2002)
F.D. A. trans fat plan raises eyebrows
Recent offerings in the GBP 5.5 billion UK snack market are reviewed by four sectors: bagged snacks, children's lunches, healthy snacks, and extruded snacks. The newest bagged snack development is "pillow-shaped potato snacks" that use a specific potato pellet that puffs in a dry heat process. Novel flavors are reported in the popcorn and the cracker-and-dip arenas, and a new "salami sausage-style" snack is mentioned. Kraft is noted as leading the way in children's lunch kits, empowering kids with "the feeling that they are creating a meal themselves." Health-consciousness is a driver in adult snacks, as low-fat, olive and sunflower oils, and soy nuts are being used. An unusual project is underway to transform excess fruit and vegetable peelings, beginning with orange peel, into a healthy snack. The process involves combining the peel with flour and water, then extruding it in consumable shapes. Cargill's Cerestar unit is a partner in the project.
(Extracted from Food Manufacture - NPD Supplement, 12/1/2002)
Study: Shoppers See Organic Foods as Healthier, But Are Confused About GM Foods
A majority of American shoppers believe that organic foods are healthier and most of them are very confused about GM foods, according to a new study sponsored by the Food Marketing Institute and Prevention Magazine. The new report, Shopping for Health 2002: Self-care Perspectives, Volume 2: Organic Foods and Genetically Modified Foods, shows that although more organic fruits and vegetables were purchased in 2002, only a few consumers purchase organic versions of their favorite foods due to high prices of these products. Organic marketers are hoping the increased number of organic products will help to drop prices down to a competitive level. Fifty -seven percent of shoppers in 2002 purchased organic foods a rise of 7 % from 2001. Fruits and vegetables are the most popular organic product followed by cereals, breads and pastas. Most shoppers say they purchase organic foods to maintain their health. As for genetically modified foods, shoppers seem a bit confused. Thirty-seven percent believe GM foods are acceptable, 46% do not see them as acceptable. But, when the reason for modifying a crop genetically is included in the question (such as raising crops that are resistant to pest or cheaper to grow) the acceptance level raises to between 60-70%. Sixty-five percent of consumers believe that scientists need to control genetic modification more closely. Younger shoppers tend to see GM food in a more positive light, 45% of X and Y shoppers find GM food acceptable as opposed to 37% of boomers and 29% of matures.
(Extracted from the GroceryNetwork.com December 16, 2002)
