HEALTH & WELLNESS THROUGH THE EYES OF THE DIVERSE CONSUMER
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PRESENTATION SPEAKER & PANELISTS
Maryellen MolyneauxNMI
Dr. James Gavin Partnership for a
Healthier America
T.J. McIntyreBoulder Brands
Todd Hale Nielsen
#Consumer360
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HOW DOES THE CPG INDUSTRY GROW IN THE CURRENT ENVIRONMENT?
WHAT’S WORKING AGAINST GROWTH?
Crowded shelves
Slowing population growth
Stagnant wages
WHAT CAN FUEL GROWTH?
Innovation Product enhancements
Underdeveloped consumer segments
#Consumer360
WHY SHOULD WE CAREABOUT HEALTH & WELLNESS?
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17%13%
HEALTH & WELLNESS OUTPACING RETAIL GROWTH
Avg. annual unit growth for the top 5 fastest growing healthy label claims
Organic label claims since 2010
Total store growth rate (units)
0.1%
Source: Nielsen Strategic Planner with Nielsen LabelTrends, Total U.S. - All Outlets Combined, 52-weeks ending 04/12/2014 (percent vs. year ago), UPC-coded
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AUDIENCE QUESTIONWHICH IS DRIVING GROWTH THE FASTEST?
GMOFree
Low Glycemic
Hormone Antibiotic
Free
Gluten Free Organic
#Consumer360
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“THE WHOLE WORLD HAS A WEIGHT PROBLEM”
Source: Institute for Health Metrics and Evaluation at the University of Washington; Frank Pompa, USA TODAY
The U.S. accounts for more than a tenth of the obese people worldwide, with only 5% of the population
13%
5%
Increase in Obesity and Those Overweight Since 1980
Percentage Who Were Obese and Overweight in 2013
Global Perspective on Obesity & Overweight Population
28%
47%
37%
14%
Adults Children
#Consumer360
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FOCUS ON HEALTH IS NOT A PASSING FADEVEN IN AMERICA’S BALLPARKS, THE SHIFT IS CLEAR
CHICAGOAdobo mango
chicken sausage
ANAHEIMPanini with zucchini, carrots,
mushrooms, tomatoes & pesto sauce
PHOENIXBlack-bean burger on a whole-wheat
COLORADO"Infield Greens"
build-your-own salad
Hot dogs
Sausages
Cotton candy
Fries
Nachos
PHILADELPHIAVeggie cheese steak
(vegan beef)
#Consumer360
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WHY DOES HEALTH & WELLNESS MATTER?
Source: World Health Organization; Centers for Disease Control 2012
65%of the world’s population live in
countries where overweight & obesity kills more people than underweight
35%of U.S. adults are obese
Leading to some of the foremost causes of preventable death… heart disease, stroke, type 2
diabetes & certain types of cancer
#Consumer360
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AGE
INCOME &EDUCATION
BUT THE EPIDEMIC IS NOT EVENLY DISPERSED
• Higher income woman are less likely to be obese• Women with college degrees less likely to be obese
Age Adjusted Obesity Rate Obesity Rate Among
35%60 plus40%
40 to 5930%
20 to 39
MULTICULTURAL
48%of Non-Hispanic Blacks
43%of Hispanics
33%of Non-Hispanic Whites
11%of Non-Hispanic Asians
Source: Centers for Disease Control & Prevention #Consumer360
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• What can NMI tell us about the evolution of consumer involvement in health & wellness over the past 15 years?
• What role can the private sector play in delivering healthier options & supporting the goal for a healthier America? Any success stories?
• Generally speaking, who has led the way toward increased health & wellness focus – retailers or manufacturers – and why?
THE NEED IS APPARENTPANEL QUESTIONS
#Consumer360
HOW ARE CONSUMER SEGMENTS RESPONDING TO HEALTHY OPTIONS?
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GOOD NEWS: OLDER & YOUNGER POSE UNTAPPED OPPORTUNITY FOR WINNING WELLNESS CLAIMS
Source: Nielsen Homescan with Nielsen LabelTrends, 52-week ending 12/28/2013, UPC-coded products
Low Glycemic
GMO Free
Gluten Free
Hormone Antibiotic Free
Organic
High Fructose Corn Syrup Free
Lactose Free
Protein Presence
Preservative Free
Index is: 120 or greater between 80–120 80 or
less
Female headUnder 35
35 – 45 55 – 65 65+Label claim:
SALES PER 1,000 HOUSEHOLDS INDEX BY AGE OF FEMALE HEAD OF HOUSEHOLD
CONSUMERS ARE APPROACHING PREVENTION
DIFFERENTLY
#Consumer360
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IS LOWER ATTRACTION AMONG LOW INCOME AN ISSUE WITH AWARENESS, AVAILABILITY OR PRICE?
Source: Nielsen Homescan with Nielsen LabelTrends, 52-week ending 12/28/2013, UPC-coded products
Index is: 120 or greater between 80–120 80 or
less
< $20k $20k –29.9k
$30k – 39.9
100k+Label claim:
Low Glycemic
GMO Free
Gluten Free
Hormone Antibiotic Free
Organic
High Fructose Corn Syrup Free
Lactose Free
Protein Presence
Preservative Free
$40k – 49.9l
$70k – 99.9
$50k – 69.9
SALES PER 1,000 HOUSEHOLDS INDEX BY HOUSEHOLD INCOME
CONSUMERS ARE APPROACHING PREVENTION
DIFFERENTLY
#Consumer360
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Index is: 120 or greater between 80–120 80 or
less
Caucasian African American Asian Hispanic (any race)Label claim:
Low Glycemic
GMO Free
Gluten Free
Hormone Antibiotic Free
Organic
High Fructose Corn Syrup Free
Lactose Free
Protein Presence
Preservative Free
ARE HIGHER SALES AMONG ASIANS DRIVEN BY ETHNICITY, EDUCATION OR INCOME?
Source: Nielsen Homescan with Nielsen LabelTrends, 52-week ending 12/28/2013, UPC-coded products
CONSUMERS ARE APPROACHING PREVENTION
DIFFERENTLY
SALES PER 1,000 HOUSEHOLDS INDEX BY RACE/ETHNICITY
#Consumer360
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86 90
136
105
64
103 104
164
95
A FOCUS ON FRESH REVEALS THE VARIATIONFRESH PRODUCE SALES INDEX
Source: Nielsen Homescan, 52 Weeks Ending 12/28/2013, UPC-coded
INCOMEGENERATIONMULTICULTURAL
Black Asian Hispanic (any race)
Millennials Boomers Greatest Generation
Under$25k
Income$200k
Gen X
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HEALTH-FOCUSED SHOPPERS ARE THE ONES YOU WANT
Least engaged Most engaged
Higher spending
Lower spending
Source: NMI; Nielsen Homescan, Total U.S. – 52 weeks ending 12/28/2013, UPC-coded
FRESH PRODUCE $ BUYING RATE INDEX
41% higher than expected
20% lower than expected
Expected produce buying rate
#Consumer360
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WHO’S LEADING THE WAYPANEL QUESTIONS
• Are highly-engaged consumers the biggest health & wellness opportunity group for manufacturers & retailers, or does the opportunity lie somewhere else along the spectrum?
• What factors do you think influence healthy lifestyles among low-income Americans, with regard to awareness, availability and/or price?
• Boulder Brands’ Udi’s and Glutino brands market directly to consumers seeking gluten-free. Tell us about your experience catering to such a specific group & health need. What resonates with them?
• What impact have you seen social media make on how consumers approach health? How can brands, retailers & government leverage it to promote health & wellness?
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HEALTH & WELLNESS THEMES RESONATING ACROSS CONSUMER GROUPS
Source: Nielsen, NMI
HEALTHY SNACKING KNOWLEDGE IS POWER FOOD AS MEDICINE
#Consumer360
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WHERE SHOULD YOU START?PANEL QUESTIONS
• Do you care to comment on any of these three themes?
• Do you see the private sector getting ahead of government mandates when it comes to better nutrition? Or is the government leading the way?
• What are the next big health & wellness trends our audience should consider as they look for growth in a challenging retail landscape?
#Consumer360
AUDIENCE Q&A