NEW NUTRITION BUSINESS
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Key food and health
trends
…and what they mean
for free-from
Presentation
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• Founded in 1995, New Nutrition Business is the world’s number 1 provider of strategic
and market insights into the business of food, nutrition and health
• From global giants to start-ups, our clients include the world’s most innovative food,
beverage and ingredients companies.
Who we are
• We interview more than 500 senior executives, worldwide, in foods, beverages and
ingredients every year, giving us an informed, first-hand, global view of what works, what
doesn’t work - and why.
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What makes a strong trend?
• Drives growth
• Will endure
Successful brands and
ingredients are usually connected
to multiple trends
Many things are trends.
For us a Key Trend is one that:
US remains by far the
largest retail market for
seaweed snacks with
retail sales of over $250
million (and growing).
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Healthy eating has become mainstream, and has
expanded into new categories
5
2000s
“special”
food
2017
real
food
“Healthy food” now
means different
things to different
people
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The evolution of free from foods
Create products that are
safe to eat for people
with serious health
conditions related to food
intolerances
Medicalised foods
Improve the taste and
acceptability
Foods that people
without a diagnosed
health concern may
also choose to eat
I II III
Naturally free-
from and clean
label?
Ordinary foods
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LIFESTYLE
CONSUMERS MASS MARKET
CONSUMERS
TECHNOLOGY
CONSUMERS
High Low Consumer Commitment
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NEW NUTRITION BUSINESS Examples of print and online adverts
The consumer for health – and how companies are
responding
A Key Success factor is managing senior management
expectations about time to break-even and time to
evolve into higher volume markets.
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There is a driver behind all trends…
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Naturally Functional is behind the success of almonds, Greek yoghurt,
coconut water, olive oil, blueberries…
Connecting to naturally functional is the
strongest foundation for success
High calorie foods which are “healthy” are now accepted by consumers –
because naturally healthy beats calories
Almonds: 600kcal/100g Olive oil: 820kcal/100ml Flaxseeds: 530kcal/100g
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Natural can simply mean fewer and simpler ingredients: such as foods
that are “free-from” artificial colours, preservatives or additives.
“People are looking for natural and I think you can say now that ‘natural is
the new functional’.” Source: Philipp Siebrecht, group brand manager, Emmi Schweiz
Clever marketing of a 5 ingredient “natural”
message helped make Haagen-Dazs’ “five” its
most-successful marketing campaign ever.
With a positioning based on clean
label and “naturally healthy” Daisy
Dairy has taken No. 1 position in the
U.S. sour-cream market, with 40%
share (Nielsen), and €388m in sales,
up from just 15% 10 years ago.
For consumers “natural” is a strong positive
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A fundamental shift in how people look at their plates
– it’s not about replacing meat, it’s about broadening
the healthy eating repertoire.
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Plant-based foods are on the agenda of almost every company: 2016 was the year when plant-based
foods dominated strategy, with both Danone and Coca-Cola making acquisitions that took them into the
arena. And they will drive strategy for the next five years. Whatever category you are in, plant-based
foods presents a wealth of opportunities for large companies and start-ups alike, for foodservice and in
branded foods.
Vegetable swaps are more than
a fad…a “fundamental shift” is
underway in how people look at
their plates.
-Jordan Greenberg, vice president, Green Giant
Plant-based foods are at the heart of strategy
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Ingredient callout: Cauliflower
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Frequency of snacking has increased
Over the last decade there has been a
44% increase in people having at least
3 snacks per day in the US
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In Europe, the UK is where
the snack frequency is gets
higher – closer to the US
average.
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How can I make this even more convenient?
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“Bad” carbs idea is hitting some categories, and a
hierarchy is starting to emerge
Popular diet advice influences
consumers’ beliefs on carbs
US breakfast cereal sales fell by -2.8% in 2013, -
4.5% in 2014, and 6.8% in 2015.
UK breakfast cereal market volume fell -5.3% and
value -4.9%.
Big brands fell most! Cheerios sales were down -
9.8% in the same period.
“White bread in particular seems to be seen as the
worst option health wise. Artisan white breads rate
slightly higher, but not as highly as wholegrain.”
Development Director, large European bread
manufacturer
“White bread = bad, non white//wholemeal bread =
good is a message which has got through to most
consumers, although they don’t necessarily act on
it.”
Professor, cereals research institute
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Confusion and churn
Pasta made from
beetroot is available
Indian online
supermarket Big
Basket.
But consumers are still eating carbs…they are
just taking a more balanced approach to them
Adding vegetables like carrots
and zucchini to breakfast
porridges is now suggested
on many lifestyle blogs and
recipes websites
Mainstream
supermarket Tesco in
UK offers butternut
squash and zucchini
noodles
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Sportification is happening beyond food…
Health and Fitness Travel, based in the UK
and Australia, is a wellness travel company
that specialises in “creating exceptional
healthy holidays around the world.”
CNBC calls CrossFit ”the world’s biggest
fitness trend”. There are now more CrossFit
gyms than there is Starbucks cafes in the US.
…tourism, hobbies and even
fashion are all ridding the
sportification wave
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Rather than sports nutrition going mainstream, the
bigger trend is “regular” food to be adopted by
sports people.
Source:www.soreen.com
Soreen repositioned as a
sports product and sales
increased 82% in 4 years.
Beet It went from a start-up to
a $10m business in six years.
Beetroot Cakes
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“Feel the benefit” is key to success
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275 263
165
302
457 482
660
0
100
200
300
400
500
600
700
2010 2011 2012 2013 2014 2015 YTD 2016
Lactose and gluten free products launched in Asia*
*Countries included: China, Hong Kong, Japan, Malaysia, Thailand and
Indonesia.
Source: GNPD Mintel (2016). Claims used: Low/No Lactose, Gluten Free.
Battling bloating, an everyday issue,
with an easy “feel the benefit”
In research women
describe the
problem in a variety
of ways,
of which the most
common include:
“Feeling fat”
“Feeling heavy”
“Feeling like there’s
a balloon inflating
inside me.”
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The field of digestive health, like many others, is fragmenting –
and new digestive health products, in new categories, have
everything to play for.
The emergence a few successful probiotic juices – such as Proviva in Sweden – as well as
fermented drinks such as Kevita, shows consumers are becoming more open to probiotic
benefits from non-dairy sources.
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Inflammation is at Day 1
1. A wealth of “naturally
functional” food
ingredients (so no need for
health claims).
2. Growing body of science.
3. Several biomarkers health
halo ingredient to drive
sales.
Inflammation is a normal response from the human body to keep its “normal state” under control. It is
part of the body’s healing response to infections or injuries.
But inflammation can affect several pathways in the body and result in illness and this is becoming a
focus of consumer concern.
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In Australia turmeric lattes are widely
available in cafes in major cities and
home mixes can be found in mainstream
supermarkets. 30
Turmeric is one of the flagship ingredients for
inflammation
In the UK, upscale retailer
Waitrose has launched
turmeric yogurts nationally.
German lifestyle juice brand
Antidote has carrot, orange,
lemon and turmeric juice. “It's
yoga in a bottle. In ayurvedic
medicine, turmeric is
considered the spice of life.”
Google searches for ’turmeric’ in the US, from 2010 until 2017:
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Rehabilitation of fat + Great fall of sugar
The 30 years orthodoxy of “fat is bad” means that it could be decades
before consumers fully embrace the opposite message.
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Consumers can “forgive” sugar if the product is
“natural” or delivers a benefit…like energy!
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“No added
sugar”
“Our research found that people have learnt that ‘sugar is bad’- but
they don’t often act on it. They are very confused about what sugars
are – ‘natural cane sugar’ is seen as healthy!” - Executive, biscuit brand
“Contains four times
less sugar than the
typical coconut water”
…consumers are forgiving of sugar
in “honestly indulgent” categories
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