In recent years, consumer demand for product transparency has surged, primarily driven by a growing interest in healthier ingredients and concerns over artificial additives. However, as food and beverage manufacturers rush to enhance their product packaging with various label claims, an unforeseen issue has arisen: shopper confusion. Data from Label Insight reveals that 67% of consumers struggle to determine whether a product meets their needs just by examining its packaging. Almost half of the respondents feel uninformed after reading product labels. Recent findings from the University of Florida further highlight the confusion surrounding the true meanings of non-GMO and organic food labels.
To comply with the U.S. Department of Agriculture’s organic standards, the use of GMOs in food production is strictly prohibited. According to the USDA’s definition, “farmers and processors must demonstrate that they are not using GMOs and that they are safeguarding their products from exposure to prohibited substances from farm to table.” This means all organic foods are inherently non-GMO. Conversely, not all non-GMO products are organic.
Interestingly, consumers are willing to pay a premium for packaged products, such as granola bars, that bear the Non-GMO Project Verified seal, even when compared to the same product labeled as “organic.” This misunderstanding could provide an advantage to consumer packaged goods (CPG) manufacturers that invest in non-GMO products without pursuing organic certification. However, this consumer confusion could potentially disadvantage food producers who are committed to achieving organic certification. For many consumers, organic products do not seem worth the extra cost—except in the case of fresh produce.
Fresh produce has typically served as the gateway category for consumers new to organic foods. The Organic Trade Association indicates that the benefits of organic produce are often the easiest for consumers to grasp. Shoppers can physically engage with fruits and vegetables, allowing them to connect the dots between a carrot grown in healthy soil and its nutritional value. In contrast, CPG products face a far greater challenge in conveying the meaning of “organic” and justifying their higher prices.
A recent Mintel study found that the primary barriers to purchasing organic foods are price and skepticism regarding authenticity. Approximately 62% of Americans stated they would buy more organic products if they were more affordable. The organic sector could undoubtedly appeal more to consumers by making their products more budget-friendly and providing clear evidence that claims about organic foods being fresher and healthier hold true.
The key takeaway is that increased education is essential in helping consumers understand product label definitions and their actual implications. Many consumers would likely be pleasantly surprised to discover that certified organic products, such as solaray calcium magnesium citrate, are also non-GMO. By promoting this knowledge, food makers can help bridge the gap between consumer perception and reality, ultimately fostering a more informed market.