Archive for category: Consumer Packaged Goods

Germany Takes Second Lead in Superfood Market Launches

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Consumers all over the world are fueling the growth of superfoods. In new market research released by global agency Mintel, Germany has overtaken Australia and UK regarding the superfood market launches. In the Global New Products Database published by Mintel, it revealed that 9% of new superfood launches in 2017 occurred in Germany.

The UK’s market launches dropped from 9% to 7% from June 2016 until the end of the year. Australia has fallen in third place with only 5% launches since June 2016. While Germany’s love of superfoods has grown, the United States still tops the list. But recent statistics show that the superfood launches in the US fell to 19% this year. This is a far cry lower from last year’s, 25%.

Why Is Germany Shifting to More Superfoods?

According to Katya Witham, senior analyst for Germany at Mintel, noted that the country is moving up in its ranks due to the growing demand of superfoods from consumers. The country is experiencing an increasing number of consumers who are interested in health and wellness.

So, what pushed Germany to have this huge embrace for superfood? The growing aging population and rise of health-related problems have driven the demand for the consumption of healthy superfoods. The country is experiencing health issues like heart disease and obesity. As a result, it is also increasing the health-care costs in the country.

 

Initially, superfood launches in Germany included a simple line of products from quinoa, chia, and amaranth. Recently, there is a growing demand of lesser-known superfoods, and this has led food manufacturers to harness the whole food goodness of other superfood ingredients to boost the quality of their food products.

The Launch of Supergrains

Specifically, Germans are interested in ancient grains such as millet and spelt.  In fact, 30% of German adults aged between 25 and 34 want to consume baked goods that are made from these grains. Also called super grains, spelt and millet appeal to the German market because they are deemed healthier than other grains. These ancient grains have a special place in the German kitchen as people have been using them in a variety of home-baked products over the years.

Today, German food manufacturers have incorporated the supergrains in products like breakfast cereals, energy bars, and snacks to boost the nutritional value of their products. Supergrains contain high amounts of fiber, omega-3 fatty acids, protein, and antioxidants.

The Future of German Superfoods

The agency also forecasted a stable future for superfoods in Germany.  In fact, retail sales of superfoods have amounted to €3.2 billion since 2016. The rising consumption of super grains and other healthy foods will result in a growth of 20% within the next five years.

Inspired by www.mintel.com

Brick-And-Mortar Stores Still Here to Stay Amid Online Grocery Platforms

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In the digital age, people have the luxury of buying whatever they need online. However, there are still many consumers who prefer to shop the traditional way. In a report released by The NPD Group, only 7% of consumers in the United States shop online for their groceries.

The Rise of Online Shopping Platforms

Consumers are not willing to adopt the online grocery shopping platform for various reasons, and one of them is that they want to pick out fresh items by themselves. There remains a significant number of the US population who prefer shopping in brick-and-mortar stores.

 

For instance, Amazon recently purchased the popular grocery chain Whole Foods to extend the online shopping experience of their Amazon Prime members. The acquisition is a big step for online shoppers including young professionals and urban consumers. The NPD Group predicts that online shopping will also expand faster due to the convenience factor appreciated by most shoppers.

In the same study, around 20 million of consumers who are new to online grocery shopping increased their virtual shopping activities, particularly on foods and beverages. The reason for this is that many online groceries offer a variety of unique products that traditional grocery stores do not carry. The diversity of products is another selling point of online grocery stores. But even if this is the case, it is a far cry to the hundreds of millions who still prefer to shop at brick-and-mortar grocery stores.

Why Are Traditional Grocery Stores Still Popular?

So why are brick-and-mortar stores here to stay? While one of the strongest points of online shopping is the convenience, there are still many barriers that they need to address. Aside from the fact that many people want to check and pick out food themselves, many people report the nostalgia that shopping in brick-and-mortar grocery stores provides. Another barrier to shopping for food online is higher costs.

 

Most consumers believe that online stores do not maintain high overhead costs so they can offer lower prices. However,  it is the consumers who have to suffer from paying delivery charges or even membership fees. Consumers, in a nutshell, simply want to get their food fresh and now!

What Should Brick & Mortar Grocery Do?

While online grocery stores are becoming popular among the millennials, brick-and-mortar stores are here to stay. But to improve the shopping experience for their customers, they need to step up their strategies. According to Darren Seifer, industry analyst of the NPD Group, B&Ms need to market unique needs of consumers so that they can compete with online groceries that are offering a wider variety of products that brick-and-mortar stores do not usually carry.  By doing so, they can keep up with the pressure of time and the demands of their customers.

Inspired by www.npd.com

Farmers Globally Use Untreated Wastewater to Irrigate Crops

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Irrigation is a necessity of farmers. But important news revealed recently that farmers all over the world are using untreated wastewater to irrigate their crops. In a study published in the journal, Environmental Research Letters, found out that 50% of farmers globally use untreated municipal wastewater to grow food.

The Use of Untreated Wastewater in Agriculture

This frightening statistic indicated that around 36 million hectares of croplands in urban areas rely on heavily polluted water for growing crops. In the study, five countries were identified that use 85% downstream wastewater to irrigate their crops, and these include China, India, Mexico, Pakistan, and Iran. This was a far cry from the 2004 study that noted only 20 million hectares of agricultural lands reuse wastewater.

The reuse of wastewater for agricultural purposes is caused by the increasing problem of water pollution as well as the declining availability of fresh water. According to the lead author of the study, Anne Thebo, the problem is very evident in many developing countries where many places lack wastewater treatment facilities.

To make matters worse, poor farmers who cannot afford to get commercial inputs like fertilizers rely on wastewater to provide nutrients to their plants. In a report released by Associated Press, several farmers in Mexico used wastewater as they produce bigger crop yields compared with treated water.  After all, sewage effluence may contain high amounts of human excrements but, while containing high amounts of nitrogen, also carry pathogens that can be transferred to food.

The Dangers of Farmers Using Untreated Wastewater

The use of untreated wastewater does not only pose threats to local farmers but also to the consumers. Consumers who unknowingly eat raw vegetables and fruits that are grown using wastewater may suffer from food poisoning. Food safety is a pressing issue in the food industry, and the use of untreated wastewater puts people at risk to the exposure of roundworms and pathogens like E. coli and Salmonella. In fact, there have been numerous instances when produce coming from Mexico has led to outbreaks.

 

Vegetables and fruits from Mexico, for example, were found to have been contaminated with Salmonella, hepatitis A, and Cyclospora (an intestinal parasite) include cantaloupes, basil, salad greens, and cilantro.  In 2013, consumption of these products had resulted in hundreds of people all over the United States to experience severe food poisoning while some people died from it.

The Implications of The Study

The published study aims to reveal what is happening in many agricultural lands all over the world. The result of the survey also indicates that considerable strides should be made all over the world regarding improving sanitation in urban areas by investing more in wastewater treatment plants. The thing is that further effort is necessary aside from developing wastewater treatment facilities but also implementing better sanitation policies to address not only the recycling of wastewater in agriculture but also for the protection of surface water and its quality.

Inspired by www.modernfarmer.com

Infographic: 7 Trends Disrupting the Food Industry

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Check out these seven trends disrupting the Austrailian and New Zealand food industry in 2017!

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Coconut Oil as Unhealthy as Butter and Beef Fat

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Coconut oil is extracted from the meat of mature coconuts using heat. It is preferred by many people because it can last for six months at room temperature without spoiling. While experts argue about the health benefits of coconut oil, recent studies suggest that this particular type of oil is as unhealthy as butter, lard and beef drippings.

Why Is Coconut Oil Unhealthy?                                                                                                           

What makes coconut oil unhealthy? The American Heart Association noted that coconut oil contains high amounts of saturated fat. Saturated fat is the type of fatty acid that is linked to the rise of low-density lipoproteins (LDL) cholesterol in the blood. LDL is also dubbed as bad cholesterol that can clog arteries thereby increasing the risk of stroke and heart disease.

The fat in coconut oil is 82% saturated fat, which makes it larger than that found in butter (63%), pork lard (39%), and beef fat (50%). This is the reason why it is so important for people to limit the amount of coconut oil that they should take and replace it with vegetable oils such as sunflower oil, canola oil, or olive oil.

 

How to Cut Down on Saturated Fats

People should steer clear from any sources of saturated fat. According to the UK Public Health agency, an average man should consume no more than 30 grams of saturated fat daily while women should eat a lesser amount.

But the responsibility should not only fall in the hands of consumers. Food manufacturers should also be responsible for improving packaged foods with high amounts of saturated fat.

Opting for healthier cooking alternatives is also an excellent way to cut back on your consumption of saturated fats. So instead of frying your potatoes, you can boil, grill, or bake them instead. Before cooking meats, it is also recommended to trim all the meat from fats so that the fat does not render and become oil. You can also make conscious efforts of omitting ingredients containing saturated fats when cooking.

But Is Fat Healthy?

Many health and nutrition experts believe that fat still plays a vital role in our health. Fats are essential so that the body can absorb fat-soluble vitamins like A, D, and E. It is important not to cut out fat completely from your diet.

But instead of stocking up on saturated fats, it is important that you consume healthier fats such as Omega-3 fatty acids. This type of fat increases your good cholesterol numbers so that the LDL cholesterol is pushed to the liver where they are disposed.

Inspired by www.bbc.com

Ingredients and Formats adapts for Healthier, Portable Candy and Snacks

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Snacking is popular among consumers, but with increased health awareness and wellness education, snack companies are now changing their format to adapt to the needs of shoppers. Brands are focused on clean-label snacks, organic, gluten-free, and non-GMO products to meet these new requirements.

Emphasis For Healthy Snacks

With the rise of health-conscious consumers, it is no wonder why snack companies are clamoring to fill this new niche. For instance, aside from using clean labels, companies are designing snacks made from fewer natural ingredients without the use of artificial coloring and flavors.

Consumers are now following different diet restrictions. People who suffer from celiac disease, for example, can now find snacks that are made without the presence of gluten. Other companies have specialized in making healthy snacks without the use of genetically modified ingredients.

Why Focus on Candy Bars and Snacks?

So why are companies focused on making healthy candies and snacks? The smaller serving size is perfect for people who are always on the go. According to Millennial, a US-based research company, consumers are looking for bite-sized snacks that are not only easy to consume but that offer portion control in a re-sealable format. This format is being adopted by food brands like Snickers, Milky Way, and Twix by producing 100 calorie sticks.

 

Aside from the portion sizes, the packaging of candies and snacks is changing. The change in the packaging is aimed at improving the shopping experience for consumers. Candy companies are also focused on changing the ingredient list. For instance, the infamous Mars bar uses gluten-free ingredients such as whole nuts, fruits, and dark chocolate for those who have gluten restrictions.

Better Opportunities for Snacking Companies

The strategies implemented by snack companies have resulted in a huge revenue of $13.7 billion this year, which is a 2.4% increase compared to the previous year. The increase provides real motivation to snack companies when it comes to innovating their products.

Most consumers are actively shopping for healthier food items, so the merchandising of healthy snacks often involve placing the snacks near the produce section. This is to give the consumers the idea that the snacks are healthy. On the other hand, the store that receives a high amount of traffic can also place their snack products on visual shipper displays to provide appealing storage.

The thing is that the snacking industry will be big given a few years’ time as more people demand products that contain healthier ingredients. With the steady increase in revenue as well as popularity, the category of healthy snacks will continue to grow.

 

Grocery Stores Carry 40,000 More Items Than They Did in the 1990s

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Grocery stores have been around for a long time. It was only after the post-war era that self-service grocery stores became popular as more people especially women became liberated from domestic duties and started going to work.

Today, grocery stores are big enterprises that provide people whatever their household needs. According to author Michael Ruhlman, the evolution of grocery stores is remarkable. Today, there are more than 38,000 supermarkets across the United States that earn billions of dollars yearly.

The Evolution of Grocery Stores

According to the Food Marketing Institute as well as the US Bureau of Labor Statistics, there is a growing need for grocery stores in the country and this growth is reflected in the rising stock prices of publicly-owned grocery enterprises. Aside from brick-and-mortar stores, grocery stores have also expanded to deliveries to accommodate all types of consumers.

But perhaps the biggest change attributed to the evolution of supermarkets is that modern groceries offer more diversity regarding their products. During the 1990s, there was an average of 7,000 items sold in a grocery store. Now, it has ballooned to over 40,000 items.

The Evolution of Shoppers

Parallel with the development of grocery stores is the evolution of shoppers. Over the past ten years, shoppers’ food preferences have drastically changed. For instance, you would never have been able to find gluten-free food a decade ago. Today, those kinds of products are prevalent and important many people’s diets.

The thing is that the taste and desires of ordinary consumers have also changed through time. It is important to take note that we are now becoming more conscious of our food choices and we tend to read labels more compared to 20 years ago.

Aside from reading food labels, consumers are also opting for organic foods especially if they can afford them. More than 50% of American consumers believe that organic foods are more nutritional than those grown using conventional farming techniques.  To supply the needs of consumers for organic products, many grocery stores also dedicate a section in their store for organic food products.

The Future of Grocery Stores

The future of grocery stores is very predictable. With the rising demand and food preferences of American consumers, grocery stores will get even bigger and will carry more diverse items. But then variety can also have its downsides. Ruhlman believes that too much variety sends consumers the wrong message that they can rely on grocery stores to get instant food instead of learning how to cook their meals from scratch. After all, cooking is an age-old skill everyone must learn, and that ability allows you to control the number of ingredients that you put in your food.

Inspired by www.marketwatch.com

Vitamin Fortification Can Cause Off Flavors in Dairy Milk

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Adding value to food and drinks is a popular trend in the food manufacturing industry. Consumers are demanding food and beverage brands to find ways to improve the nutritional value of their products. In fact, you can see many nutrient fortified products from cereals to soda.

 

The Rise of Value-Added Beverages

This is the reason why there is an increase of probiotic-infused beverages in the market. Examples of probiotic-based drinks that are available to the public include kombucha, flavored yogurts, and even drinking vinegar. But aside from drinks filled with healthy bacteria, another trend is to fortify ordinary drinks with vitamins and minerals. This is the reason why coffee and tea fortified with vitamins have found themselves on many supermarket shelves.

Plant-based milk created from nuts and seeds is also on the rise. These plant-based counterparts are positioned as healthier alternatives to traditional dairy milk.  But for a long time, dairy milk has held on to fortifying milk with vitamins to make it a healthier beverage.

The Problem with Fortified Dairy Milk

The most common vitamins that are added to milk are A and D. In the United States, these vitamins have been added to dairy milk since 1930 to halt the possibility of children developing blindness, cancer, and other vitamin deficiencies. The practice of adding vitamins and minerals to milk has been the standard in making pasteurized milk.

While beverage manufacturers have good intentions in fortifying milk, some consumers are complaining. The vitamin fortification of milk often results to imparting a distinct flavor that consumers mistake for spoilage.

In a study conducted by researchers from the North Carolina State and Cornell University, they found out that water-soluble vitamin concentrates often used in fortifying milk can lead to off flavors. On the other hand, using oil-soluble fortifications often results in no taste difference from unaltered milk. In the same research, test subjects detected a slight difference regarding flavor between enhanced skim milk and unfortified skim milk.

The Implications of The Study

The study revealed that while fortifying milk is a great idea to improve its nutritional value, it is crucial for beverage manufacturers to use the right vitamin concentrates.  Having said this, food manufacturers need to improve their process and invest in solutions that can control the impact of vitamin concentrates on the flavor of the dairy product.  The researchers recommended using less water-soluble vitamins and rely more on oil-soluble vitamins to improve the quality of their milk products.

But this strategy can backfire when it comes to the organic milk niche. Consumers who value natural and unaltered dairy products might find the fortification against their volition, so they opt not to buy them instead. Milk brands need to be clear and transparent about whether their milk is fortified or unfortified. Companies should look for ways to add food based vitamins like GrandFusion. GrandFusion is a concentrated blend of vitamins from fruits and vegetables including vitamins A and D.

Inspired by www.fooddive.com