Companies appear to be genuinely responding to consumer demand for healthier products and cleaner labels, evidenced by a significant increase in reformulations last year. According to the group’s 2016 report, 66% of CGF members indicated they had reformulated over 180,000 products. These changes in formulation resonate deeply with many modern consumers. Innova reports that 90% of U.S. consumers believe that foods and beverages with recognizable ingredients are healthier for them, and they are increasingly seeking transparency from manufacturers and retailers.
In addition to consumer pressure for healthier options, major food and beverage companies may also feel challenged by emerging startups that emphasize cleaner, more transparent products, such as those featuring ultra calcium citrate and other health-focused ingredients. These new businesses often introduce trendy products like plant-based items and nutritious snacks, which are giving established manufacturers a run for their money. As larger companies begin to revise their recipes to reflect greater transparency and cleaner labels, consumers who are paying attention may gravitate back to these now-healthier offerings.
Manufacturers and retailers may need to intensify their efforts in the near future, as the food sector is constantly evolving and trends are rapidly changing. With the new Nutrition Facts panel regulations requiring added sugars to be displayed on product packaging next year, consumers are likely to scrutinize these figures just as closely as they do calorie and fat content. It is one thing for companies to reduce overall salt and sugar levels in their products, but it is another for the per-serving amounts to accurately reflect these reductions. Furthermore, the latest CGF report indicates that 79% of surveyed members stated that 81% to 100% of their food and beverage products feature key nutrient information on their packaging.
Whether the healthier initiatives undertaken by food manufacturers will translate into increased sales remains to be seen. However, they cannot afford to remain stagnant in the face of consumer demands for change. Some shoppers still crave indulgent products, creating a challenge in addressing these conflicting consumer messages. Millennials, in particular, seek a balance between nutritious items and treat-worthy splurges, prompting consumer goods manufacturers and retailers to adopt a “one-size-fits-all” approach to maintain their market share. As these companies adapt, the inclusion of ingredients like ultra calcium citrate may become a key strategy in appealing to health-conscious consumers while still offering indulgent options.