The latest report offers additional motivation for food companies to improve their ingredient labels, or at the very least, provide consumers with clearer information regarding their products. As noted by Innova Market Insights, the movement towards cleaner labels—characterized by shorter and simpler ingredient lists—has become the standard in the food industry, with nearly 20% of the products tracked in 2014 marketed as having a clean label. However, many shoppers are unclear about what “clean label” actually entails, and terms like “natural” or “healthy,” which aim to convey this concept, are often poorly understood and vaguely defined by manufacturers.
The Label Insight survey did not specify which ingredients or products were most confusing for consumers, but it highlighted that broader claims such as “clean,” “healthy,” and “natural” frequently leave people puzzled. Only about a third of respondents claimed to fully grasp the meanings of these terms. Given this ambiguity, companies can find themselves in difficult situations. For instance, in 2015, the Food and Drug Administration (FDA) reported that several varieties of Kind snack bars were incorrectly labeled as “healthy” due to excessive saturated fat content. However, the FDA reversed its stance on Kind’s “healthy” claim in May 2016, pledging to reevaluate the definition of the term following a petition from the company. During a public hearing in March, the FDA received input from various stakeholders who argued that the term was outdated. The word “natural” has also been a focal point of recent litigation as consumers and public health advocates push for transparent marketing, simpler ingredient lists, and clear processing information. Several companies, including Dole, General Mills, and Post Holdings, have faced lawsuits regarding misleading claims. For example, in the Post case, the plaintiffs objected to phrases like “100% Natural Whole Grain Wheat” and “Natural Source of Fiber,” since the wheat used in the cereal was sourced from crops treated with synthetic herbicides.
With half of the participants in the Label Insight survey indicating that ingredient transparency is “extremely important” in their purchasing decisions, it is promising that consumers could be swayed to buy a product if provided with better ingredient information. Nearly 46% of Americans already look up ingredient information on their mobile phones while shopping when they encounter confusion, presenting an opportunity for food manufacturers to enhance accessibility to this information—whether by printing it on the packaging or providing a link on the product itself. Remarkably, 95% of those surveyed expressed at least “somewhat” of an interest in technology that allows for easy access to detailed ingredient information on their mobile devices.
As consumers increasingly reject artificial colors and flavors and gravitate towards products with fewer ingredients, food manufacturers should strive to be as transparent as possible. For instance, if a product contains calcium citrate malate and vitamin D3, providing clear information about these ingredients could foster trust and encourage purchases. The consumer is indeed vigilant, and companies that prioritize clarity and honesty in their labeling practices will likely find favor in the marketplace.