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BY A. ELIZABETH SLOAN

pg 22 04.10 www.ift.org

Smoothies are a make-it-yourself snackfor consumersseeking a variety of health benets including satiety.

Photo copyright Ben Fink Photo Inc./JupiterImages


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04.10 www.ift.org pg23

H

ealth is on the ront burner asAmericans return to tried and

true practices that they believewill be eective in helping them tostay t and healthy. Infuenced bythe recession and a new belie thatmaintaining their health is a long-term method o cost control, todaysdo-it-yoursel, wellness-ocusedconsumers are turning to unctionaloods and beverages in record num-bers. In 2009, nearly hal (46%) oood shoppers said they were veryconcernedabout nutrition, up 5%over 2008 (FMI, 2009). Vitamins

enjoyed solid gains in unit sales inood, drug, and mass retailers,including Wal-Mart, up 5.7% orthe year ended (Y/E) 2/10/10 (IRI,2010a).

Healthul positioning was adominant actor in the success onew oods and drinks that reachedblockbuster sales status in 2009.Campbells Select Harvest soup,made with real ingredients and noarticial or MSG added, toppedInormation Resources Inc.s ( IRI)

Pacesetter list o the most successulnew product introductions in 2009,

with year one sales o $202 millionin ood, drug, and mass channels

excluding Wal-Mart (FDMx) (IRI,2010b). Bud Light Lime ranked sec-ond with sales o $133 million,ollowed by multi-grainArnold SelectSandwich Thins, $87 million; GreenGiant Valley Fresh Steamers, $85 mil-lion; Dreyers/EdysFun Flavors, $72million; GatoradeTiger/Focus, $65million; Millers MGD 64, $53 mil-lion; Mountain DewDEWmocracy, $52million; Bushs Grillin Beans, $45million; and Kelloggs FiberPlus barswith added antioxidants, $35 mil-

lion (IR I, 2010b).One in three (30%) o the new

ood products on IRIs Pacesetterslist (criteria or inclusion on the listis rst-year sales in excess o $7.5million) carried an added nutrientclaim, e.g., calcium, soy, etc.; 23%made a reduced-calorie claim; and22% a high-ber/whole-grain claim(IRI, 2010b; Figure 1).

U.S. sales o unct ional oodsand beverages reached $37.4 billionin 2009, up 2.7% over the prior year

(NBJ, 2010). While down rom an8% gain in 2008, unct ional

products still outpaced the overallood industry growth rate o 1.6%.

At $21.6 billion, beverages remainthe largest unctional products seg-ment, up 3%. The $6.7 billionunctional breads/grains categorygrew 3%; the $2.7 billion snack oodand $1.8 billion dairy segments wereboth up 2%; and the $4.4 billionpackaged/prepared oods sectorrose 1% (NBJ, 2010). Six in 10adults bought a unctional ood ordrink in 2009, up rom 48% whodid so in 2008 (Mintel, 2009a).Cereal with a heart-health/choles-

terol claim (chosen by 54% oconsumers) or cereal with a ortiedclaim (bought by 52%) were themost-purchased unctional oods in2009, ollowed by heart-healthymargarines/spreads (44%), ortiedyogurt (32%), nutrition bars (29%),prebiotic/probiotic yogurt (20%),and eggs with omega-3 atty acids(18%) (Mintel, 2009a).

Fity-eight percent o consumerssaid they consumed a unctionalood last year in order to supplement

their diet; 38% did so or digestivehealth, 36% weight loss, 35% to

From super-satiating smoothies to mood-enhancing bars, functional foodsare targeting a broadening assortment of consumer health and wellness needs.


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Yoplait Greekyogurtcontains twice the proteinof other leading yogurts, a positioning likelyto appeal to the nearly 40% of consumers who

are attuned to the protein content of foods.Photo courtesy of Yoplait USA

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address a specic health issue, 24%

or an energy boost, 17% or men-tal ocus, and 14% to eliminatestress (Mintel, 2009a). The toptwo reasons or non-use involve thebelievability o claims and the per-ceived higher expense.

Four in 10 ood shoppers (42%)choose oods or specic medicalpurposes; 42%do so to provide aprotective/preventive health ben-et;and 35% choose them toimprove their daily perormance(HealthFocus, 2009). More than

hal (51%) said they read a label therst time they bought a ood prod-uct (FDA, 2010).

Retaining mental sharpness asI agetops the list o health issuesconsumers are extremely/veryconcerned about, with 65%expressing interest or this reason,ollowed by heart disease (62%),cancer (61%), bone health/strength(61% ), maintaining ability to con-tinue with normal activitywhileaging(59%), eye health (57%),

arthritis (53%), appearance/skinhealth (51%), joint health (51%),

and tiredness (50%) (HealthFocus,

2009).Globally, vitamin/mineral or-

tication, gut health, and energy/alertness were the top unctionalood categories or new productintroductions last year; in NorthAmerica, digestion, vitamin/min-eral ortication, heart health, andenergy topped the list in2009 (Innova, 2010).Read on or a detailedlook at the Top 10Functional Food

Trends o 2010.

Retro HealthAmericans continueto demonstrate their

voracious appetite or avoid-ance oods as they seek tomake choices that are lowerin at, calories, and sodiumand to reocus on traditional

strategies or improving their diets.

Thus, its no surprise that inorma-tion about a products at content isvery important to consumers; in2009, 58% sought inormation ontrans at content, and 56% wantedto know saturated at content andoverall at content, according toFood Marketing Institute data.Calorie count and salt/sodium con-tent were very important to49%o consumers and sugar/articialsweeteners very important to 47%.Rounding out the list o concerns

were cholesterol, very importantto 44%, and carbohydrates, veryimportant to 38% (FMI, 2009).

Food products with claimsabout at content again dominatedthe healthy market segment withsales o $46 billion or Y/E12/27/09, down a modest 3%,resulting rom a decrease in milkconsumption due to high prices(Nielsen, 2010). Foods that prom-ised to lower cholesterollostground in 2009, with sales alling

5% to $10.6 billion, likely aectedby the increased use o statin drugs(Nielsen, 2010). Products thatmade a reduced-calorie claimenjoyed a 6% sales bump to $11.7billion in 2009; those with sodiumclaims remained fat with sales o$14.9 billion; and the $1.8 billion

low-carb category ell 5%

81%

58%

37%

34%

33%

30%

30%

30%

23%

22%

20%

18%

16%

15%

14%

New or Unique Varieties

New or Unique Recipe

New Flavor Combinations

Improved Process, Superior Process

Convenience (Added Portability/Ready-to-Serve)

Added Nutrients (e.g., soy, calcium)

Improved Flavor/Taste

New Designs, Patterns, Look

Reduced Calories

High Fiber/Whole Grain

Known Brand/New Category

Fresher Taste/Texture

More Natural, Organic

New Texture

Homemade Quality, Extra Care

Taste and Variety

Health and Wellness

Convenience

Other

Figure 1. 2009 Food and Beverage New Product Pacesetters: Top 15 Benets

(% of Total Pacesetters Offering Benet) From IRI


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A package ofPineapple Bites from Chiquitatouts its phytonutrient and antioxidant

content on the front of the package.Photo courtesy of Chiquita

2(Nielsen, 2010).

Whole grains once again topped thelist o the most sought ater packageclaims as ancient grains continued togain appeal among grocery shoppers.American Culinary Federation (ACF)ches named quinoa the No. 1 side dishor 2010, also citing brown rice, buck-wheat, barley, and lentils (NRA,2009a).

Consumers are increasingly attunedto protein content; it is now veryimportant to 39% (FMI, 2009). Sevenin 10 adults (69%) made a strong

eort/some eort to eat ortied oodsin 2009, and 39% took that approachwith ortied beverages (MSI, 2009).Fiber, omega-3 atty acids, vitamins,calcium, and antioxidants are the topve ingredients consumers sought in aunctional ood in 2009 (Mintel,2009a). Dollar sales o oods/beveragestouting an omega-3 claim jumped 42%or Y/E 12/27/09 (Nielsen, 2010). Arecent review by the American HeartAssn. will clear the way or omega-6(AHA, 2010).

Nearly one-third (31%) o consum-ers are eating more sh and seaood athome and in restaurants(Mintel, 2008a). Just overour in 10 adults plan toorder more baked, grilled,and broiled items; only 4%are seeking more deep-riedoods (Technomic, 2009a).Sales o French ries havedropped 14% over the pastve years (Rhynalds, 2010).

Moreover, consumers have

embraced nutrient-retainingmicrowave steaming technol-ogy. Steam-in-bag rozenvegetables are credited with a14% jump in the rozen sidedish category or Y/E12/27/09 (Angrisani, 2010).Hal (47%) o consumersbelieve rozen is as nutritiousas resh (IRI, 2008a).

Naturally Functional

Delivering health benets byblending oods/drinks naturally

high in nutrients and phytochemicals toachieve an end health benetas withGreen Giants new Healthy Heart rozenvegetables, Campbells V8 Fusion juices,or Blue Bunnys Light Superfruityogurtsis clearly the most viableunctional oods strategy.

Nearly nine in 10 shoppers (88%)say it is very important to eat oods nat-urally richin nutrients; 53% say that itis very important to consume ortied

oods (HealthFocus, 2009). Deliveringelectrolytes naturally in sports drinks,e.g., with coconut juice, is among thehot new naturally unctional trends.

Antioxidants remain a kingpin innaturally unctional oods; 53% oadults bought a ood/drink or antioxi-dants in 2009 (Packaged Facts, 2009).The American Heart Assn. does notrecommend use o antioxidant vitaminsupplements, but consumers continueto strongly associate antioxidants withheart health benets and also to make

health linkages with antioxidants andcancer, ree radicals, aging, and sk in,

according to theSloan TrendsTrendSense model(Sloan, 2010).

Interest in phy-tochemicalsreached mass mar-ket status in 2008(Sloan, 2010). Eightin 10 consumers(80%) believe phy-

tochemicals helpwith existing healthproblems, 74%believe they reducerisk o disease inthe long term, and56% think that theycan replace somedrugs (HealthFocus,2009). Flavonoidsand polyphenols arecurrently thestrongest mass mar-

ket phytochemicalingredients;


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PowerBar Protein Plus Bites offer a new twist onsports nutrition and provide a snack option with

added value.Photo courtesy of PowerBar

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carotenoids, resveratrol, and

anthocyanins are the next up-and-coming wave (Sloan, 2010).Enhancing bioavailability by mix-ing phytochemicals is the latestnew ormulation direction.

Again th is past year, ACFranked superruitsaai, gojiberry, mangosteen, and purs-lane11th overall on their hot list(NRA, 2009a). Superruit shotslike Pom Wonderuls POMx Shotrepresent an exciting new directionin product development. Spices/

seasonings will be the next genera-tion o superoods (Sloan, 2010).

Food/drinks with pulp or realruit additions, e.g., Fruit2daywithreal ruit bits, represent anothernew trend. Flower syrups/essencesand fower aromas, e.g., lavender,orange blossom, and rose, arehealthy culinary and conectionerytrends.

Lastly, sales o ood productscarrying a natural claim reached$22.8 billion in 2009, up 4% vs

2008 and outselling organics bymore than our to one in masschannels (Nielsen, 2010). Organicsales growth dropped 2.1% in tra-ditional channels and 4.3% in

natural channels, but still totaled

$6.2 billion. Private-label/store-brand organics grew to capture24% o category sales (Nielsen,2010).

Functional Fill-insSlightly ewer than one-third(31%) o consumers eel that

snacks are an important part o ahealthy eating plan; 40% are look-ing or snacks that go beyond basicnutrition (Lyons, 2010). Perhapsmost exciting or the healthy snack

segment is the act that youngadultsthose ages 1824, ol-lowed by those ages 2534arenow regularly making the most-requent healthy snack choices(Mintel, 2008b). Healthier snackscontinue to outpace indulgentsnacks, with 2009 sales volume up1% while indulgent snack volumeell 1%. Overall, sales in the snackcategory ell 1% (Lyons, 2010).

Grain led the list o the astest-growing wellness attributes in the

snack category last year, ollowedby low-at, low-sodium, and low-calorie. In 2010, 57% o consumersare looking or snacks with no transat, 48% low-at, 44% low-sugar,and 43% whole-grain/low-sodium/low-calorie. An impressive62% are looking or added nutri-ents in their snacks, up 19% over2008 (Lyons, 2010).

Trail mixes, sugarless gum, dryruit snacks, sensible salty snacks,and picante sauce were other bright

spots in the snack market.Indulgent products including choc-olate-covered salty snacks,rerigerated/rozen appetizers/snack rolls, upscale salty snacks,and toaster pastries also perormedwell in the marketplace, suggestingopportunities or marketers withmore-healthul versions o suchoerings (Lyons, 2010). Candy andgum sales were up 4.3% or Y/E

12/29/09 (NCA, 2010).

While healthier candies (e.g.,sugar-/gluten-/allergy-ree, all-natural/organic) are racking upstrong sales around the globe, theunctional segment is exploding.Candies ocused on boostingimmunity/energy, aiding digestionwith prebiotics/probiotics, easingsore throats, promoting sleep,assisting with weight control/sati-ety, and supporting sk in care arecoming on strong. Candy makersaround the globe are ormulating

sweet treats with antioxidants,ruits/vegetables, fowers, smooth-ies, real juice, and yogurt (Innova,2010).

Although hal (50%) o con-sumers are trying to controlportion size when snacking, two-thirds o those with householdincomes o $55,000 or less cutback on 100-calorie portion packs(IRI, 2009b). With 39% lookingor snacks that satisy a speciccraving and 29% seeking to satisy

immediate hunger, satiety orweight loss and snacking is a natu-ral t or snack positioning (Lyons,2010). Hal (53%) o adults wantweight-control ood productsocused on satiety (Mintel, 2009a).

Lastly, healthul restaurantsnacks represent an enormousuntapped market, ranking third onthe hot list or quick-service opera-tors in 2010 (NRA, 2009b). Inquick-service outlets, the averagesnack price is $3.53, rivaling

breakast at $3.89 (NPD, 2009a).

Prime TimersThere are currently 100.7million Americans age 50 or

older; 31 million adults will turnage 65 in the next decade.Ironically, use o unctional oods/beverages declines with age,although when they do use them,older consumers tend to consumethem more regularly (Mintel,2009a). Eight in 10 (79%) o those

ages 1824 used unctional oods/drinks in 2009 vs 41% o those


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ages 5564

and 37% othose 65+.

Older adultsalso are the leastlikely to believe in phy-tochemicals and to useortied oods(HealthFocus, 2009). Theyare the heaviest users o dietarysupplements. Seniors are twice aslikely as the rest o the populationto consume omega-3s, vitamin E, andcalcium; they are heavy users o vita-

mins C, B-12, and B complex and oherbals and antioxidants (Packaged Facts,2008).

To address a specic health concern (citedby 46%) is the top reason consumers age 65+ buya unct ional ood, ollowed by to supplement mydiet (41%), and weight loss/digestion (28%) (Mintel,2009a). Margar ine/spreads with heart/cholesterol claimsare the unctional ood most purchased by older consum-ers, ollowed by cereal with cholesterol claims/ortiedcereal. Yogurt with a cholesterol-lowering claim was a distantthird (Mintel, 2009a).

In act, lowering cholesterol is the top benet those 65+ say

they would like in a unctional ood (cited by 78%). Otherdesired benets include immunity (cited by 66%); digestion andlower blood pressure (each cited by 65%); maintaining a healthyweight (64%); and promoting healthy blood sugar levels (61%)(Mintel, 2009a).

Retaining mental sharpnesstops the list o health concernsor those 50+, ollowed by avoiding heart disease, preventingcancer, maintaining bone health/strength, and preserving theability to continue with normal activity.Eye health, arthritis,skin health, joint health, and tiredness are other concerns(HealthFocus, 2009).

Six in 10 o those age 65+ suer rom arthritis, hal rom

high choles-terol, one-thirdrom osteoporosis,and one in ve romdiabetes (IRI, 2008b).Eye and gastrointestinalproblems were the biggest

gainers in sel-reported condi-tions in th is age group over thepast two years (HealthFocus,2009). As baby boomers conront agreater risk o heart attack and stroke,ingredients such as cocoa favanols,which increase circulation and prevent dan-gerous clots, will nd a receptive audience.

Older adults are the most likely to be on aspecial diet. O those 65+, 38% are on a low-atdiet, 34% low-salt, 28% low-sugar, and 26% high-ber (IRI, 2008b). Hal o those ages 5564 havehypertension, two-thirds o those 65+ are hypertensive

(AHA, 2010a).Those 50+ are the astest-growing group o exercisers.

Kashis Heart to Heart Wafes formulated with green tea, white tea, and grape seed deliver abenet likely to be sought by older consumers. Photo courtesy of Kashi Co.


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Walking is their most popular sport; weightliting

the astest-growing (NSGA, 2009). While olderadults index among the lowest or use o sports/

energy drinks, liquid nutritional supplements,and nutrition bars, theyre as likely to select

oods or energy and sport as those ages1829 (HealthFocus, 2009).

Boomers are nearly twice as likelyas the rest o the population to be

overweight and to be currentlytrying to lose weight (Harris

Interactive, 2008). Theyremore likely to restrict their

diet to lose weight, mak-

ing portion-controlledand high-satiety

products wellsuited or this

group.

Products to promote body toning are now crossing

over rom the sports nutrition category and are right ontarget or boomers whose muscle tone isnt what it usedto be. No doubt that products to prevent age-relatedmuscle loss (sarcopenia), which causes railty and alls,will be another promising unctional ood/drink mar-ket segment.

Chemical WarfareSerious concerns about chemicals, additives, pre-servatives, and articial colors in oods are

mounting. In act, 30% o consumers cite chemicals inoods as the most important ood saety issue today,compared with 52% who name bacteria (IFIC, 2009).

Just over our in ten grocery shoppers (44%) say nochemical additives claims are very important, up 7% in2009 over 2008; 34% o shoppers ranked no preserva-tivesas very important, up 6% (FMI, 2009).

Globally, no additives/preservativesleads the list obetter-or-you claims; in the United States, th is claimranks third, behind natural and organic (Innova, 2010).Antibiotics and hormones used on poultry and live-stockconsidered a serious health hazardby more thanone-third (36%) o shopperssaw the biggest increasein consumer concern levels in 2009, up 9% over 2008(FMI, 2009). Sales o products with no hormone/anti-biotic-ree claimsa $2.2 billion categoryell 2% or

Y/E 12/27/09, more a refection o milk pricing thanan indicator o a shit in consumer preerences

(Nielsen, 2010).One-quarter (25%) o shoppers believe that

biotechnology and genetically modied organ-isms pose a serious health risk, up 5% in

2009 vs 2008. In 2009, 31% o shoppersstopped purchasing certain ood items

due to saety concernsup rom27% in 2008 (FMI, 2009).

Hal o shoppers (51%) areextremely/very concerned

about favor enhancers such

as monosodium glutamate(MSG), and 44% are

concerned about arti-cial favors

(HealthFocus,2009).

Calories


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HappyBabys HappyMeltscontain only real yogurtand fruitno articialavors, preservatives, or

genetically engineeredingredients, whichpositions them to appealto the growing number ofconsumers who areconcerned about foodadditives. Photo courtesyof Happy Baby

WellKid Power Biscuits, which containinulin ber to help encourage the growthof good bacteria in the digestive tract,are an example of a product with a

functional positioning targeted to theyounger set. Photo courtesy of Vitabiotics

rom added ingredients are anextremely/very important concernto 51% o shoppers. Eight in 10consumers tried to consume eweradded sugarsin 2009; 68%

attempted to consume less highructose corn syrup (HFCS)(HealthFocus, 2009). Nielsenreports that sales o HFCS-reeproducts reached $13 billion in2009, up 28% vs the prior year(Nielsen, 2010).

Wariness about articial sweet-eners continues to grow; 45% oconsumers are very/extremelyconcerned about ingesting them(HealthFocus, 2009). Six in 10consumers (62%) who check the

ingredient listing on oods look ora description o the sweetener con-tent, just behind those who checkthe at prole (IFIC, 2009).

In 2009, sales o gluten-reeproducts rose 16% over the prioryear to $1.7 billion (Nielsen,2010). One in 10 consumers (11%)look or allergen inormation onlabels; 16% o those who check theingredient listing do so (IFIC,2009). Three-quarters (74%) oACF ches ranked gluten-ree as a

hot issue or restaurants in 2010;54% o quick-service restaurant

operators did so (NRA, 2009a, b).

Massachusetts is among the rststates to require training o restau-rant employees to help preventallergic reactions (Elan, 2010).

Concern over chemicalsmigrating rom packaging is poisedto be another explosive issue asmicrowave steamer technologygains in popularity and bringsoods into closer contact withpackaging. Bisphenol A has alreadybeen banned in Connecticut,Washington, Minnesota, and

Wisconsin; bans are pending inIllinois, Caliornia, Maryland,Massachusetts, and Oregon.

Lastly, 58% o consumers arenot at all or not too comortablewith ood grown or raised outsideo the U.S. (FMI, 2009). Three-quarters (73%) are very/extremelyconcerned about oods rom China;or Southeast Asia, the gure is51%, Mexico 49%, and India 43%.

Ailing Adolescents

As America raises its rstgeneration o overweight

kids, the demandnot onlyor more-healthul productsor children, but also orproducts that will help pre-vent and perhaps even treatrisk actors or serious dis-eases later in liewillescalate. One in 10 childrenis already aicted with achronic ailment (Van Cleaveet. al., 2010).

One in eight kids has twoor more risk actors or heartdisease; one in 10 teens hashigh cholesterol; and 24% oboys and 16% o girls have atleast one abnormal lipid level(CDC, 2010). Moreover, theAmerican Academy oPediatrics (AAP) and the

American Heart Assn. recommend

treatment o these risk actors withprescription medications. Althoughmedical authorities now approveuse o a lower-at diet or children,low-at kids oods have not yetbecome an industry norm.

One in three ch ildren is over-weight, and one in ve is obese.Perhaps most surprisingly, one inseven pre-schoolers is obese, whichindicates a clear need or inant andtoddler oods positioned to addressthis situation (AAP, 2010). And the

pressure will get greater still.Recent AAP physician guidelinescall or monitoring calcium andblood pressure in children begin-ning at age three and taking a l ipidprole between the ages o two andeight (AAP, 2010).

Not surprisingly, two-thirds(67%) o mothers o children underage 12 monitor their childs dietvery closely, up 11% since 2004(MSI, 2008a). Moms are making astrong eort to limit caeine

(56%), sugar (37%), HFCS (37%),trans at (36%), low-/no-calorie


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sweeteners (35%), and articial colors

(27%).Thirty-eight percent o moms

report trying to increase calcium inpre-teens diets ollowed by vitamins/minerals (36%), whole grains (35%),vitamin D (33%), vitamin C (33%),ber (25%), and omega-3 (20%) (MSI,2008a). Nearly two-thirds (64%) oamilies with children practice somesort o healthy eating strategy, led byeating more ruits/vegetables, wholegrains, and low-at dairy; avoiding transats; monitoring portion sizes and

sugar/sweets; and including more sh/seaood in their diets (FMI, 2008).

With more than one-quarter (27%)o the calories consumed by childrencoming rom snacks, its not surprisingthat parents are ocused on healthiersnack choices (Piernes, 2010). Hal(49%) o parents would like the indus-try to oer more snacks with added

nutrients; 57% smaller portion sizes;

44% resh, un-processed items; 37%low-at products; and 32% lower-calo-rie snacks (Lyons, 2010).

Mothers o pre-teens report stronginterest in purchasing beverages thatare specially ormulated to build strongbones (68%), aid in brain develop-ment/unction (65%), providevitamins/minerals (64%), strengthenthe immune system (57%), and pro-mote a healthy digestive tract (51%)(MSI, 2008b).

Meddling in MedicationsThe rising cost o prescriptionand over-the-counter medications

coupled with ear o their side eectshas prompted consumers to look ormore natural medical solutions, includ-ing unctional oods. More than eightin 10 consumers (84%) believe thatunctional oods/drinks are veryor

somewhat helpul in preventing or

delaying hypertension (MSI, 2009a).Two-thirds (64%) o adults would liketo see more cholesterol-lowering prod-ucts; 54% would like to see moreproducts to help reduce blood pressure(Mintel, 2009a).

Eight in 10 ood shoppers (83%)know that whole grains can benettheir heart; 78% are aware o the ben-ets o B vitamins and heart health,70% olic acid, and 45% plant sterols(Angrisani, 2010). Plant sterols,omega-3s, omega-6s, calcium, magne-

sium, peptides, potassium, and berremain key heart health ingredientsworldwide (Innova, 2010).

One-quarter (25%) o adultsbought a unctional ood/beverage ordigestive health in 2009; one in ve(20%) purchased a prebiotic/probioticyogurt (Mintel, 2009a). In unaidedresearch, however, consumers are


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nearly eight times more likely to asso-ciate dietary ber with digestive healththan they are to l ink probiotics withdigestive benets (MSI, 2009). With

hal (47%) o consumers looking oradded ber in unctional oods and15% seeking it in unctional beverages,super bers and prebiotic ingredients

are an untapped digestive healthopportunity. Low-acid oods such asthe very successul Folgers Simply SmoothCoee represent another approach to

Nevella No Calorie Sweetener formulated

with probiotics claims to deliver moreactive cultures than yogurt.Photo courtesy of Heartland Sweeteners


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targeting consumers concerned

about their digestive health.More than 80 million people

suer rom arthritis or some orm ojoint pain, so it is sae to predict thatunctional joint health products willbe in demand. One in 10 consumerslooks or glucosamine in a unctionalood, 12% in a beverage (Mintel,2009a).

With 1.6 million new cases odiabetes a year, 57 million adultswith pre-diabetes, and a strongbelie among consumers that blood

sugar swings cause energy loss, crav-ings, and mood swings, productsthat promote healthy blood sugarlevels will be well positioned; 53%o consumers would like to see moresuch products (Mintel, 2009).

Sleep problems regularly plaguenearly 70 million Americans, andconcern about side eects rom sleep

medications is growing, which sug-

gests that oods and beverages thathelp promote sleep represent apromising market opportunity.Dreamerz Foods DreamerzChocolate Pillows is one such productnow on the market.

Daily DynamicsFunctional oods and beverageshave long been recognized or

their ability to serve as eective lie-style aidsdelivering benets thatrange rom improving everyday per-

ormance to aecting beauty andexercise routines. Energy is secondonly to taste on the list o reasons orbuying a unctional beverage

Consumers are seeking out beverages that deliver

multiple benets like UpBeat! Milk Beverage fromKellers Creamery. This refreshing energy beverage withprotein, ber, calcium, and B vitamins contains just 100calories. Photo courtesy of Kellers Creamery


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(Mintel, 2009b). Low-calorie/low-

sugar, sugar-ree, naturallysweetened, all natural, and long-lasting are all on the list o keyattributes that consumers seek inenergy beverages.

In 2009, unctional sodas,waters, and sports/energy drinksracked up sales o $13.7 billion, a4% increase over the prior year, butthe lowest growth rate since theycame onto the market (NBJ, 2010).Makers o unctional beverages areserving up multiple benets in a

single product. Watch or energybeverages that also oer immunity,mental acuity, and anti-aging ben-ets and sports drinks with weightloss, digestive health, and evenexercise enhancers targeted to spe-cic dayparts (Innova, 2010).

Nearly hal (47%) o unctionalood/drink users want more prod-ucts that enhance memory; 41%seek oerings that improve mentalocus. In 2009, 17% bought a unc-tional ood or mental ocus, 23%

purchased a beverage seeking thatbenet. Most important, 62% sayunctional oods are very eectivein preventing/delaying normal age-related memory loss (MSI, 2009).

One in ve adults (20%) used aunctional drink to alleviate stressin 2009; 14% consumed a unc-tional ood or that purpose.Moreover, 44% would like to seemore relaxation/anti-stress options,including more than hal (53%) othose ages 1824 (Mintel, 2009a,

b). Hal (52%) o consumers associ-ate tea with relieving stress andtension(MSI, 2009).

Mood-enhancing oods/bever-ages are in demand; 31% oconsumers want to see more othem (Mintel, 2009a). With one-quarter o dieters reporting mood/stress a barrier to losing weight,multi-unctional products thatreduce stress and boost energy/mood should nd a receptive audi-ence (IFIC, 2009).

Nearly two-thirds (64%) oadults want more unctional oods

that help them to maintain/lose

weight; 54% seek products thatenhance metabolism (Mintel,2009a). Watch as body-buildingprotein powders, once targetedmainly to serious athletes, crossover to mainstream use.

Meal replacement bars/bever-ages continue to ll a strong need.Although most bars (58%) are stilleaten as a snack, 40% are regularlyused as a meal replacement (Mintel,2009a). About one in 10 bar con-sumers (13%) eat smaller meals

requently throughout the day; thisgroup mostly skews younger(Mintel, 2009c).

Sports perormance remains astrong bar market segment: 47% obar users purchase them to helpwith exercise recovery, 39% tobuild muscle, and 30% or theirprotein content (Mintel, 2009d).Nearly six out o 10 (59%) o

consumers are now aware o amino

acids; 39% are aware o whey pro-tein benets (MSI, 2009).

Nearly one in three (30%)bought a unctional ood or bever-age in 2009 or improving theirappearance/beauty; 38% wouldlike to see more products that helpmake acial skin look younger;those ages 3544 were the mostinterested (Mintel, 2009a).

Get the LowdownLower-income shoppers, the

astest-growing incomegroup, are projected to generate$84 billion in incremental con-sumer product goods spending overthe next decade (IRI, 2009b).Despite the size and scope o thismarket, however, marketers ohealthul products have ailed toaccord it the attention it deserves.

In 2010, 39% o all U.S. house-holds are estimated to have totalincome o less than $35,000; 20%have incomes o $35,000$55,000;

and 40% have incomes o morethan $55,000. The average house-hold income is $48,000; 60% o

households have incomebelow that level (IRI,2009b).

Healthy oods arevery important to 76%o lower-income con-sumers (IRI, 2009b).Hal o households withincomes under $55,000reported diculty sim-

ply buying the groceriesthey needed last year(IRI, 2009a). Still, how-ever, only 38% ohouseholds with incomeso less than $35,000reported purchasingewer healthy products(IRI, 2009b).

Concern about eatingmore healthully is grow-ing among lower-incomeconsumers; 42% o gro-

cery shoppers inhouseholds with incomes

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o less than $35,000 say they arevery concerned about nutrition, up6% rom 2008; in households withincomes in the range o $25,000$35,000, that total was up 14%.Moreover, the attitude o lower-income consumers is notsubstantially dierent rom that omiddle-income consumers, 45% owhom categorized themselves asvery concernedabout nutrition(FMI, 2009). One-third (31%) othose in households with income o

less than $15,000 eel their dietcould be a lot healthier; 18% othose in the $25,000 $35,000bracket eel that way (FMI, 2009).

Members o lower-incomehouseholds are also interested inhealthy products: 57% o thosewith household incomes o lessthan $50,000 report interest inproducts with no trans ats, 55% inlow-cholesterol products, 46%low-calorie, 48% lower-at, 54%lower-sodium, 48% all-natural,

44% low-sugar, and 41% low-carb(Mintel, 2009e).

Shoppers with household

incomes o $30-$59,000 are just aslikely as members o higher-incomegroups to preer to buy oods/bev-erages with specic nutritionalbenets rather than taking supple-ments. Within this segment, 50%say they bought an item or antioxi-dants, 47% or vitamins/minerals,40% calcium, 36% ber, 29% pro-tein, and 26% omegas (PackagedFacts, 2009).

O those with householdincomes o less than $50,000, 80%

have purchased drinks or specialnutritional reasons: 51% orangejuice, 45% cranberry juice, 40%green tea, 24% pomegranate, 22%red wine, 19% black tea beverages,and 16% yogurt drinks (PackagedFacts, 2009).

Lower-income shoppers will bethe single most important targetaudience or private-label productsor the next ve years (IRI,2009b). Store-branded oods/drinks carrying a health claim

enjoyed impressive growth in2009, albeit in smaller dollar cate-gories. Private-label now accountsor 40% o products with no-pre-servative claims and one-th othose with natural and at reduc-tion claims in traditional channels(Nielsen, 2010).

For Y/E 12/27/09, sales ostore-branded, GMO-ree oods/beverages in traditional channelsjumped 67% to $60 mill ion; orgluten-ree store brands, sales were

up 62% to $279 million; and saleso store-brand probiotics climbed39% to $79 million (Nielsen, 2010).

Finally FoodserviceRestaurant operators areputting more healthul

choices on the menusomethingthat consumers say they are crav-ing. Three-quarters (73%) o adultssay theyre eating healthier awayrom home than they did two yearsago (NRA, 2010a).

Nutritionally balanced chil-drens dishes ranked sixth overall

among ACF ches hot trends or

2010; gluten-ree ood/allergy con-sciousness ranked ninth; organicproduce was 12th; and ruit/vege-table childrens side dishes were20th (NRA, 2009a).

Healthy options in kids mealswere the No. 1 hot ood trend or2010 in the quick-service segment,cited by 72% o all operators(NRA, 2009b). Energy drinks,gluten-ree products, organics,sports drinks, smoothies, lower-calorie oerings, whole-grain

bread, lower-at items, side ruit,vegetarian entrees, and entre sal-ads also made the Top 25 list.

Nearly two-thirds o quick-ser-vice restaurant operators areoering more healthul childrenschoices than they did two yearsago; this is true or 47% o amily-oriented restaurants, two in vecasual restaurants, and one-third one dining establishments (NRA,2010a).

Foodservice patrons draw a

strong correlation between resh-ness and healthulness. Freshingredients are important whenchoosing a healthy restaurant mealor 49% o diners; lower-at oer-ings are important to 39%; morevegetables important to 29%;lower-calorie important to 26%;and made with natural, non-pro-cessed ingredients important to23% (Mintel, 2009e). Only 17% omenu items that use resh producecarry a reshdescriptor on the

menu, which suggests that oodser-vice operators are missing anopportunity to tout healthul prod-ucts (FRI, 2010).

About one-third o consumers(34%) regularly try to avoid transat when dining out; 33% practiceportion control; 33% avoid sweets/desserts; 30% minimize eatingried oods; 28% cut at intake;20% avoid ried oods all together;19% avoid processed oods; and17% avoid carbohydrates

(Technomic, 2009a).Hal o consumers who visited a


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R E F E R E N C E SAAP. 2010. Panel recommends obesity screeningbeginning in early childhood. Press release, Jan.22. Am. Acad. o Pediatrics, Elk Grove Village,Illinois. www.aap.org.

AHA. 2010. Heart health statistics. AmericanHeart Assn. Dallas, Texas. www.american heart.org.

Angrisa ni, J.C. 2010. Heat and veg. SupermarketNews 58(5): 23-24.

CDC. 2010. CHD study shows too many teenshave high cholesterol. Press release, Jan 24.

Centers or Disease Control and Prevention,Atlanta, Ga. www.cdc.gov.

Dept. o Commerce. 2005. U.S. Census Bureau:population predictions. Washington, D.C.

Elan, E. 2010. Massachusetts unveils ood allergyrules. Nations Restaurant News. Feb. 15. www.nrn.com.

FDA. 2010. FDA survey nds more Americansread inormation on ood labels. Press release,March 3. Food & Drug Administration, SilverSprings, Md.

FMI. 2008. Shopping or health. Food MarketingInstitute, Arlington, Va. www.mi.org.

FMI. 2009. U.S. ood shopper trends.

FRI. 2010. MenuMine Database, Feb.Foodservice Research Institute, Oak Park, Ill.

Harris Interactive. 2008. Sel-medication WallStreet Journal joint survey. Nov. New York, N.Y.www.harrisinteractive.com.

Hartman Group. 2008. Organic report.Bellevue, Wash. www.hartman-goup.com.

HealthFocus. 2009. International trend study.HealthFocus Intl., St. Petersburg, Fla. www.healthocus.com.

IDDBA. 2008. Health and wellness: The purposedriven consumer. International Dairy DeliBakery Assn., Madison, Wis. www.iddba.org.

IFIC. 2009. Food & health survey. InternationalFood Inormation Council. Washington, D.C.www.ic.org

Innova. 2010. The Innova Database. Innova

Market Insights, Duiven, The Netherlands.www.innova-ood.com.

IRI. 2008a. Consumer trend watch. Times &Trends, Feb. Inormation Resources Inc.,Chicago, Ill. www.inores.com.

IRI. 2008b. 55+: The new must win marketwebinar.

IRI. 2009a. Competing in a transorming econ-omy webinar. July 9.

IRI. 2009b. Lower-income II report. Feb.

IRI. 2010a. 2009 CPG year in review. Times &Trends, Feb.

IRI. 2010b. 2009 New product pacesetters.Times & Trends, March.

Lyons, S. 2010. State o the industry. Presentedat Snaxpo, the Annual Meeting o the Snack FoodAssn., Fort Worth, Texas, March 3-5.

Mintel. 2008a. Fish and seaoodU.S. Dec.Mintel International, Chicago, Ill. www.mintel.com.

Mintel. 2008b. Healthy snackingU.S. Feb.

Mintel 2008c. Chocolate conectioneryU.S.July.

Mintel. 2009a. Functional oodsU.S. Aug.

Mintel. 2009b. Functional beveragesU.S.Sept.

Mintel. 2009c. Portion controlU.S. April.

Mintel. 2009d. Nutrition and energy barsU.S.March.

Mintel. 2009e. Healthy dining trendsU.S.May.

MSI. 2008a. Gallup study o preteen nutritionand eating habits. Multi-Sponsor Surveys Inc.,Princeton, N.J. www.multisponsorsurveys.com

MSI. 2008b. Gallup study o childrens beveragehabits.

MSI. 2009. Gallup study o nutrient knowledge &consumption.

NBJ. 2010. U.S. unct ional sales slow, but cate-gory outpaces overall ood sector in 09. Nutr.Bus. J. Feb. 1. www.nutritionbusinessjournal.com.

NCA. 2010. Robust December and Christmasseasonal sales data YE Dec. 27, 2009, IRI Sales

Summary. Press release, Feb. 1. NationalConectioners Assn., Washington, D.C. www.candyusa.org.

Nielsen. 2010. U.S. healthy eating trends part 1:commitment trumps the economic pinch. Pressrelease, Jan. 26. Nielsen Co., Schaumburg, Ill.www.nielsen.com.

NPD. 2009. Consumer scorecard: check averagesincrease or most dayparts. Nat ions RestaurantNews 43(40): 3.

NRA. 2009a. American Culinary Federation

che survey: whats hot in 2010? Oct. NationalRestaurant Assn., Washington, D.C. www.restaurant.org

NRA. 2009b. Quickservice operators survey.Oct.

NRA. 2010a. Food and healthy liv ing.

NRA. 2010b. 2010 Restaurant industry orecast.

NSGA. 2009. Exercise statistics. NationalSporting Goods Assn., West Palm Beach, Fla.www.nsga.org.

Packaged Facts. 2008. Nutritional supplementsin the U.S.Nov. Packaged Facts, New York, N.Y.www.packagedacts.com.

Packaged Facts. 2009. Functional ood and bev-erages in the U.S. May.

Piernes, C. 2010. Trends in snacking amongAmerican U.S. children. Health Aairs 29(3):398-404.

Rhynalds, C. 2010. The uture o sweet potatoes.Presented at the IFT Louisiana Food ProcessorsConerence, Baton Rouge, La., March 17.

Sloan, A.E. 2010. Sloan Trends Inc. TrendSense.

Technomic. 2009a. The uture o ried oods.American Express Market Brie, May. TechnomicInc., Chicago, Ill. www.technomic.com.

Technomic. 2009b. Nutrition disclosure onrestaurantmenus: a plus or minus or diners?Am. Exp. Market Brie., Sept.

Van Cleave, J., Gortmaker, S., and Perrin, J.Dynamics o obesity and chronic health condi-

tions among children and youth. JAMA 303(7):623-630.

restaurant with posted nutrition inor-

mation said it had a great impact orsomewhat o an eect on what theyordered; 34% said it aected wherethey dined (Technomic, 2009b). Aterseeing nutrition inormation, 61% odiners opted or a lower-calorie alter-native, and 36% chose smallerportions.

Moreover, i a menu has itemslabeled with claims such as hearthealthy, 36% o diners say they aremore likely to choose such oerings(Mintel, 2009e). Healthy dining is also

about adding whole grains, ber,

omega-3s, and antioxidants. Subway

oers Fuze resh-brewed iced tea withantioxidants and vitamin C, orexample.

What signies healthy to consum-ers? Inclusion o resh ruit/vegetableswas the top nutrition cue, cited by38% o those who sought a nutritiousrestaurant lunch. Protein in the mealwas cited by 32%, ber 27%, lower-calorie 27%, ood cooked on site 26%,lower in salt 24%, and low in saturatedat 20% (Mintel, 2009e).

Lastly, hospitals and nursing homes

are projected to remain a bright spot in

the restaurant business with sales in

real terms projected to increase 4.1%in 2010 vs a decline o 1.5% or ull-service restaurants and an increase o0.4% or quick-service restaurants.This translates to a $5.9 billion venueor new medical oods, oods or spe-cial dietary use, and also orcondition-specic unctional oods(NRA, 2010b). FT

A. Elizabeth Sloan, a Professional Member of IFT and

Contributing Editor ofFood Technology, is President,

Sloan Trends Inc., 2958 Sunset Hills, Suite 202,

Escondido, CA 92025 ([email protected]).