Healthy living has undoubtedly become an important focus for consumers in recent years, particularly since the onset of the Covid-19 pandemic, which put health and wellbeing front of mind for consumers. According to Public Health England, more than 61% of people are now looking to consume healthier foods (Public Health England Survey). In 60% of cases, this is to hit their fitness goals (Mintel).
Positive health has seen a spike in popularity, particularly in the last five years (Kantar). This has involved consuming foods that have added nutrients rather than focusing on managed health – i.e, reducing the consumption of unhealthy foods. Subsequently, consumers are increasingly seeking out products that support the immune system, gut health and cognitive performance – in other words, functional foods. According to Mintel, a third of consumers are seeking such products, demonstrating evolving consumer needs.
The rise of functional foods has been apparent across various food categories. However, this is largely driven by food start-ups or niche players looking to stand out in the market. To stay ahead of the curve, established food brands need to respond to emerging consumer trends and consider functional foods as a critical part of the customer value proposition.
John West is doing just this, having launched its Enriched Tuna range last year. This is available in three innovative variants: Energy (containing Vitamin B to help reduce tiredness & fatigue), Heart (containing Omega 3 to support heart function) and Immunity (containing Vitamin C to support the immune system).
Tapping into the functional food trend could be transformational for the everyday fish category. At present, 44% of customers are struggling to find protein products that perform on taste (Mars); John West products are a great solution, with most products naturally high in protein. Building on this, the brand is still taking steps to further enhance its offering through its Lower Salt Tuna range. This uses Big Eye tuna rather than the commonly used Skipjack tuna, leading to a 30% reduction in salt.
Amongst millennial and Gen Z consumers, health is not just synonymous with positive health but overall wellbeing and the environment. Furthermore, this is the demographic most likely to pay more for products that make for easy and convenient consumption (Kantar). Any innovation that enables shoppers to conveniently access healthy options tailored to their lifestyles will be viewed as value for money. In fact, 18–24-year-olds are increasingly likely to pay more for sustainable and convenient products, above any other age group (YouGov).
There are several consumer trends that will shape the food industry in 2023 and beyond. First, consumers will continue to turn to functional health to meet their health needs. According to the 2022 Trend Prediction Report by Tastewise, 33% more consumers turned to functional food and beverages this year compared to 2020, and this is only set to increase.
Portion control will be another key trend, with more and more consumers wanting to maintain or accelerate healthy eating habits and reduce food wastage. In addition, the definition of health will continue to expand significantly into the mainstream to encompass mental wellbeing, mental performance, and cognitive strength.
Hybrid consumption will also endure, with consumers continuing to eat both at home and out of home, whilst seeking products that are convenient and tasty. Finally, consumers will continue to reduce their meat consumption, which in turn will give rise to pescetarianism, vegetarianism and flexitarianism.
Andrew Bradshaw, UK Sales Director at Dole Sunshine Company, comments: “Unsurprisingly the pandemic has made many people more health conscious and encouraged healthier diets, however conversely, a recent Mintel report also confirmed that the pandemic has exacerbated some of the nation’s obesity issues due to a rise in comfort eating and the restrictions on exercise at various points. The recent HFSS regulations have probably come in at a good time to help counter that, although Mintel also report that the current cost-of-living crisis will impact on people’s ability to eat healthily, with 32% of consumers saying less money for them means less healthy diets.”
When it comes to the shopping habits of Gen Z’ers, generally this generation prioritises health, wellbeing, convenience and ethics, with 73% willing to pay more for products or services that are sustainable or promote a positive impact on the world. They are also more likely to have plant-based diets compared to some of their older counterparts. Gen Z is less likely to prioritise price as a purchasing factor, focusing more on the ethical, practical and eco-friendly aspect of products and services.
Dole’s best-selling products are the Pineapple, Mandarin and Peach variants of its fruit in juice range which can be found in most major grocery retailers.
Dole has recently announced two new additions to its Fruit in Juice range. The new flavours of Mango in juice and Pear in juice have arrived to complement the existing range of Tropical Fruit, Peach, Pineapple, Mandarins and Mixed Fruits in juice cups. Mango in juice and Pear in juice are now available to the grocery and convenience channels with immediate effect in convenient packs of four, meaning the great taste of these sun-ripened fruits can now be consumed either on the go or kept in the fridge or cupboard for a later date. Like the other Dole fruit in juice variants, both new products contain 100% fruit in juice with zero added sugar, have less than 100 calories per serving, and come in a handy four pack with an RRP of £2.19.
Dole Sunshine Company is the UK category leader in packaged fruit snacks, with its entire product range containing 100% real fruit, with no added sugar in any of its fruit in juice range. The latest data shows Dole Sunshine Company has a 60% value share of the fruit in juice cups category and a 77% value share of the fruit in jelly cups category (IRI).
The company has used a variety of marketing mechanics to bring Dole further into the nation’s consciousness this year, including a social media campaign to promote the Dole range as a healthy choice, using the Shopmium app to offer coupons to its consumers in supermarkets. More recently, the brand launched a campaign which calls attention to the low nutritional value in some of Britain’s favourite snacks and on-the-go food options by printing ads using ink made almost entirely of fruit. A launch film captured the campaign’s innovative approach to communication and consumer education, showcasing posters across the city printed with ink containing more nutritional value than many of the snacks consumed daily in Britain.
Audrey Arbeeny, Marketing Lead at KIND Snacks, comments: “This year we have introduced a few new tasty bars to our portfolio. Firstly, we re-branded our breakfast range to Whole Grains, to highlight the products no.1 ingredient Whole Grains for the smoothest start to your day. With flavours Almond Butter & Blueberry Almond, this is an exclusively non-HFSS range.”
Secondly, a brand new flavour joined the protein range; Hazelnut Dark Chocolate, which combines the flavours of hazelnuts and a blend of nuts drizzled with smooth dark chocolate for a tasty protein boost. Next up, the brand introduced two new non-HFSS bars; Fruit & Nut, a classic flavour that combines whole almonds with the perfect blend of mixed fruits and Maple Pecan Almond, which combines a sweet and salty blend of pecans, almonds, peanuts and a touch of maple syrup.
Not only this, but KIND also launched a whole new range this year; KIND Thins (Dark Chocolate Nuts & Sea Salt and Caramel Nuts & Sea Salt) which combines great tasting nutritious ingredients in a thin & chewy bar, all under 100kcal.
Whilst KIND has many popular flavours amongst its four different ranges, Dark Chocolate Nuts & Sea Salt is the best seller within the core range, Protein Crunchy Peanut Butter is the best seller in the Protein range and Almond Butter Wholegrains is the best seller in the Whole Grains range.
KIND Snacks is the fastest growing major snack bar brand, the #1 healthy snack bar singles brand, #1 healthy snack bar brand in impulse, #5 healthy snack bar brand in London & #9 healthy snack bar brand in total UK.
Richard Cooper, Senior Brand Manager at Chicago Town, Dr. Oetker Professional, comments: “The healthy living sector is an ever changing and evolving sector and since the increase in popularity of free-from, vegetarian and veganism in today’s society, there has been an increase in demand for free-from, plant-based meat alternatives, vegetarian and vegan products.”
Trends from Q1 of 2022 (Lumina) show that almost half (48%) of new products are now vegan with more consumers becoming conscious of their meat consumption or many experimenting with ‘flexitarian’ lifestyles, which can be seen through vegan pizza sales for professional wholesale (Lumina) increasing by +263% vs last year, having a new addition from Perfetissima Pomodoro, but also growing its Chicago Town Vegan range, adding BBQ Jackfruit and Bac’n & Mushroom to its Pizza To Go line-up.
Veganuary has become a staple date in the calendar, with 10% of Brits participating in 2022, a conversion rate of 14% on 2021, plus over 500,000 people participating globally (Lumina).
Over 57% of Veganuary participants planned to maintain their new diet in some capacity after the challenge was over, substituting vegetarian or vegan products into their daily lifestyle, with 1 in 5 British households having at least one member following a meat avoidance or reduction diet (Lumina).
“The ‘flexitarian lifestyle has become one of the most common dietary paths now, for a variety of reasons, from health, environmental and ethical to personal challenges and money saving,” adds Cooper. “In line with this, foodservice offerings and beyond need to ensure there’s high quality and exciting options to choose from, which is why Chicago Town is tapping into these trends with its Pizza-To-Go offering, ensuring that there’s something at the hot hold to suit all needs. Dr Oetker Professional has seen its vegan pizza share increase by 2ppts within its full pizza range vs last year.”
Plant milks, meat/poultry alternatives and vegan cheese remain the top 3 most popular products, all of which can be used to create a vegan pizza and are found in the Chicago Town Pizza-To-Go Chicago Town BBQ Jackfruit and Bac’n & Mushroom. 35% of consumers look for innovation when making purchasing decisions, with the need for exciting and tasty meat substitutes high on their checklist (Lumina), therefore it is important for brands to tap into this trend with new NPD.
Dr. Oetker Professional’s Pizza Perfettissima has also recently launched its new Puro base, which is a vegan and halal base only, no sauce and therefore it can be used for starters such as garlic bread, bruschetta, a main pizza with any desired toppings, or dessert pizzas too, for example an apple pie pizza.
Healthy eating is a contributing factor towards consumers opting for more sustainable solutions, as 46% of Brits admit that this plays a role in their food choice decision making (Lumina). Many shoppers are consciously seeking the reported benefits of a vegetarian / vegan diet, which in turn is driving the sales of alternatives products upwards.
Vegetarian and vegan is also incredibly important in food-to-go options. Since the trends’ emergence, there has been a slow proliferation of out of home vegetarian and vegan products.
Whilst sandwiches are still considered a traditional go-to for lunchtime snacks, more innovations in this sector are emerging. Chicago Town’s Pizza To Go offers both vegetarian and vegan options and taps into the mindset of ‘just like the real thing’ products. Chicago Town Pizza To Go has seen an rise in sales of its vegetarian and vegan offering to business customers, who are interested in drawing in a new customer base by offering these dietary alternatives.
“In order for retailers to maximise sales, it is important to have a wide, well stocked range of food to go on offer for key times of the day and also offering options for different dietary needs and missions,” says Cooper. “A particular store could add an additional SKU, add pizza to their meal deals or food delivery options to boost their revenue. All of these things Dr Oetker Professional support with PoS and activation assets, including but not limited to posters, window stickers, A boards, feather flags as well as digital assets for screens in store.”
Kate Hofman, Founder and Brand Director of GrowUp Farms, comments: “Whilst research has historically shown Millennial and Gen-Z shoppers to be willing to pay more for a healthy and balanced diet, recent studies now show that the cost-of-living crisis has become a leading concern amongst these age groups (Deloitte).”
This shift means shoppers are looking for cost-effective purchases which offer better value either through quality or knowing they won’t end up wasting what they’ve bought. Consumers don’t want to compromise on healthy living, and whilst eating well is still important – they just have tighter budgets. Now more than ever, young shoppers will be looking to get the most value possible out of their purchases, including high-quality, long-lasting produce, at an affordable price.
“GrowUp Farms grows salad that stays fresher for longer,” adds Hofman. “We grow, harvest, and pack all in the same place – from seed to plate. This shortens the supply chain, reducing emissions and waste. Consumers can stock up on healthy food, that they know will stay fresher for longer in their fridge so that they can make the most of it.”
If consumers know they can buy fresh produce and keep it in their fridge without chucking any away, they know they’re making a healthy choice and managing their spending.
The current cost-of-living crisis is having a huge impact on consumer shopping habits and purchasing patterns, as consumers look to tighten their purse strings. Everybody wants food that’s great value and quality. Retailers need to help keep fresh produce in the weekly shop when people are feeling the squeeze. Bagged salad is the ultimate plant-based food. It’s healthy and convenient and in its research, GrowUp Farms found that 64% of shoppers would buy more bagged salad, and purchase it again, if they knew they’d waste less.
When conducting blind taste tests, GrowUp’s products came out on top, as the flavour, texture and smell of its vertically farmed leaves were highlighted compared to competitors. 75% of shoppers agreed they would buy GrowUp salad again vs the closest competitor.
“The cost-of-living crisis hasn’t meant that consumers have stopped caring about sustainability,” says Hofman. “We’re cracking some of the biggest problems in UK food production. The way we grow isn’t affected by climate change, seasonal labour or even bad weather. We bring a fresher salad to more plates – a product that’s better for people and our planet and always grown in the UK. We’re in this for the long haul, we just don’t think salad should be long-hauled!”
“Retailers have such an important part to play in the UK’s sustainable food system,” Hofman continues. “By collaborating with suppliers on sustainability initiatives and bringing more affordable and sustainable products to market, retailers have a real opportunity to help drive the transformation of the British food system. This has the potential to change everything from improving affordability, reducing environmental impact, and getting even more great food to people’s plates.”
Vertical farming has the potential to transform the bagged salad category with products that stay fresher for longer and offer superior flavour and quality all week. Retailers who can communicate those product benefits clearly have a brilliant opportunity to grow their category.
GrowUp’s business model helps to build resilience and efficiency into the UK’s supply chains, whilst using technology to measure and improve all aspects of its environmental footprint.
Retailers can have high shrink levels in the bagged salad category, and WRAP’s work on food waste calculated that consumers throw away 35% of the bagged salads they buy. A recent consumer report shows that consumers are being more proactive in their pursuit of adopting a more sustainable lifestyle, choosing to purchase brands which have ethical and environmentally sustainable practices (Deloitte).
GrowUp’s salads are launching into retail in 2023. The extended shelf life helps retailers and consumers cut down on food waste.
Matt Gouldsmith, Channel Director, Wholesale, Suntory Beverage & Food GB&I, comments: “Health and wellness have continued to be important to consumers as the world has emerged from the pandemic. In fact, 25% (IGD) of shoppers are more influenced by health when shopping than pre-pandemic, and at least a third of shoppers want to reduce sugar in their diet (Nielsen).”
This ever-growing trend has helped drive sales in the soft drinks category, with sugar-free carbonates growing over 5% (Nielsen) in the last year. To this end, SBF launched Ribena Sparkling Zero Sugar in September to help grocers meet this growing demand for zero-sugar choices, particularly among health-conscious younger shoppers.
New Ribena Sparkling Zero Sugar features the refreshing taste of a carbonated soft drink in Ribena’s Blackcurrant flavour that consumers know and love, without the addition of sugar. The new variety is available in 500ml and 2L bottles, meeting shopper needs for both ‘drink now’ and ‘drink later’ formats.
There was a 43.5% (Kantar) decrease in the amount of sugar in take-home soft drinks between March 2014 and March 2020, and low- or no-calorie continues to outperform regular soft drinks, with a 68.6% (BSDA) share of total soft drinks. When it comes to energy drinks, the no- and low-sugar market has grown more than the full-sugar market over the past year with an increase of over 24% (IRI).
“Grocers should ensure to stock up on lower-sugar drinks such as Lucozade Zero and Ribena Sparkling Zero Sugar to capitalise on the ongoing trend towards lower-sugar choices,” adds Gouldsmith.
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