Food Product Transparency Impacts Purchase Behavior

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Consumers today are smarter, as they demand food product transparency when it comes to items they buy in the grocery store. The request for transparency is influencing the evolution of the food industry as it requires many food manufacturers to provide consumers accurate and detailed product information.

According to the 2016 Label Insight Food Revolution Study, most consumers value the transparency of goods since it forms some of the data points that they consider when making a purchasing decision. The report also indicated that most consumers do not trust the information provided because of the way many brands deliver it on their products. The study was conducted by Label Insight, a global leader in providing SaaS data solutions to empower the transparency between food brands and consumers.

 

What Did The Food Revolution Study Cover?

The study surveyed more than 1,500 consumers and identified how they made different food choices. The survey also covered consumer expectations from the food manufacturers in providing the product information. Recently, many users have developed high expectations when it comes to the transparency of ingredients in the food that they consume.

CMO of Label Insight Patrick Moorhead indicated that the high demand of food product transparency from the consumers is pressuring the industry players and even small food manufacturers to finally provide the information that the consumers require—not only to create better spending decisions—but also to avoid customer confusion and highlight many opportunities that food manufacturers have in innovating their products.

 

Why Is There a Need for Food Product Transparency?

Food product transparency solves different issues not only within the food manufacturing industry, but also to their consumers. The most important reason for transparency is to eliminate customer confusion. Label Insight’s report revealed that 81% of the consumers admitted to consumption of packaged food products that contained ingredients they do not recognize.

Confusion also affected the purchase decision of many consumers. In the study, 94% of the respondents admitted that they did not know the ingredients in their food, which makes it difficult to make an informed decision. In fact, 83% mentioned that companies that provide food product transparency are more valued by consumers which, in turn, promotes consumer loyalty. Consumers are more likely to switch to brands that provide detailed information on their products.

 

The Repercussions

Many retailers are pressed with high demands from consumers in terms of providing food product transparency. Food manufacturers cannot simply ignore such demands as many see their customers turning to their competitors. This movement presented many opportunities for emerging brands to gain a chunk of the market and secure loyalty from the dismayed or discouraged consumers.

Brands are always in a position to develop ways to improve the long-term relationship with their customers. Food product transparency is another form of the clean label movement, and it is essential to success over the next ten years.

Inspired by bizjournals.com

Sodium Related Label Claims Grew Sales by 3% in 2015

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The US Food and Drug Administration (FDA) noted that the average American consume about 3,400 milligrams of sodium daily. The agency issued a warning that too much sodium can have serious repercussions on our health, which includes hypertension and the risk of various cardiovascular diseases. They drafted guidelines that are intended to reduce the daily intake of sodium by 2,300 mg. Americans may start cutting back on their favorite, salt overloaded, comfort foods as companies use new sodium label claims to their advantage.


The Dangers of Too Much Sodium

Sodium is a widely popular food additive and flavoring. However, excess amounts can be dangerous for your health. Excessive consumption of sodium can lead to a plethora of diseases. One of the negative effects of too much salt in the diet is an increase in blood pressure.

When too much salt is ingested, it holds or retains the liquid in the body that contributes to the growing pressure of the blood.  It all starts in the kidneys. As sodium builds up in the body, the kidneys have trouble keeping up with the excess amount found in the bloodstream. Then it accumulates and holds onto water to dilute the excess sodium. This, in turn, increases the fluid in the surrounding cells and the blood volume. This process adds a lot of burden on the heart. As a result, excess salt intake also increases the risk of heart failure and stroke. Aside from high blood pressure, intake of too much sodium can also lead to stomach cancer and osteoporosis.

Low Sodium Label Claims Sell

While most Americans still consume significant amounts of sodium, there is an increasing trend seen in the population who show consciousness when it comes to their daily intake. They are shifting towards products that contain less to no salt.

Many consumers prefer to buy products which contain only 40% (or lower) sodium as they prefer to add the salt themselves. In fact, there is an increase in sales of products that claim to have less salt by as much as 23% since the end of April 2016. Nielsen found that the goods that have the highest sales are those that come with labels of “low salt” which has 72% of all sodium related products. On the other hand, products that are sodium-free only make up 3% of the sales.

sales sodium claims

So what could have attributed to this trend? More and more people in the United States are aware of the repercussions of including too much salt in their diet.  However, this does not mean that the sales of salt have decreased significantly. Studies still indicate that there is a spike in sales of salt by as much as 7.7% since last year. This is especially true for specialty salts such as kosher salt, sea salt, black salt, and Himalayan pink salt. Apparently, people who find it difficult to avoid salt are looking for better alternatives. These specialty salts contain more nutrients and essential elements than conventional salts. Despite their health benefits, consumers still need to control the amount of salt that they use every day.

Inspired by nielsen.com

FDA Approves Folic Acid Fortification Corn Masa Flour

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Folic acid or folate is a type of B vitamin that is needed by pregnant women. It has essential functions in the development of the neural tubes to the brain and spinal cord of the fetus to develop properly. Eating folate-rich food is imperative not only for pregnant women but women in general. Consumption of 400mg of folic acid daily is enough to prevent the progression of neural tube defects. There are many sources of folic acid and it is important for women to eat a generous serving of these foods like lentils, spinach, broccoli, eggs and fortified grains and pasta.

Neural tube defects such as spina bifida and anencephaly are estimated to occur in 3,000 pregnancies in the United States every year. It is caused by minimal to no intake of folic acid. This is the reason why the US Food and Drug Administration (FDA) agreed on the fortification of food as an effective means of addressing micronutrient deficiencies.

Folic Acid Fortification to Help Hispanic American Women

Mandatory fortification of grains started in 1998, but despite this, there is a significant number of Hispanic children who suffer from this condition. Thus, one of the ways to diminish the inconsistency is to fortify the corn masa flour to improve the total consumption of folic acid among Hispanic women.

Corn masa flour is a primary component of Spanish dough that is made from cooking corn and alkali and grinding them. It is a staple food for many Latin Americans particularly those from Central America and Mexico. This type of flour has a wide variety of uses such as making tortillas, taco shells, tamales and corn chips. While corn masa flour is high in providing the necessary carbohydrates and energy for the body, it does not contain B vitamins. You would have to eat other foods that contain folic acid to get your daily intake.

Several types of research showed that Hispanic women have a lower intake of folate than non-Hispanic women.  As such, the US FDA has approved the fortification of corn masa flour with folic acid. Manufacturers of the corn flour should add up to 0.7 milligrams of folic acid per pound of masa flour. Increasing the consumption of folic acid in enriched corn masa flour is helpful in reducing the incidence of neural tube defects especially among populations wherein corn flour is a staple in their diet.

Studies showed that fortification of corn masa flour with folic acid can increase the daily intake of said nutrient in Hispanic women by as much as 20% which is higher compared to the normal consumption of only 4%. This also reduces the need for Hispanic women to take daily synthetic supplements as they can get their folate from staple food sources.

The addition of folic acid on corn masa flour was done after conducting a scientific safety review to ensure that adding the micronutrient is safe for the general populace. FDA also evaluated dietary exposure, toxicology data as well as other relevant information to make sure that corn flour enriched with folic acid is not only effective in preventing NTD but also safe.

Inspired by medicalnewstoday.com

Guilt-Free Products Account for 45% of PepsiCo’s Portfolio

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Americans love to eat unhealthy snacks. In fact, the US snack food industry is one of the largest in the world. With many food manufacturers jumping on the health bandwagon, PepsiCo is not an exception. Over the past few years, the company has geared to producing healthier and guilt-free snack products for their health-conscious consumers.

Pepsico’s Chief Executive Officer, Indra Nooyi, noted that most of the sales of the company come from its carbonated drinks. With the reshaping of its portfolio, the company is planning to release more products that use natural and healthy ingredients like fruits, grains, vegetables, and proteins. They also plan on releasing other beverages like water and unsweetened tea to give variation to their consumers.

The company’s plan to sell guilt-free food products will result in changing their entire product line up. In fact, the company noted that the health and wellness focused products account for 45% of the company’s revenue.

 

The Shift to Healthier Options

PepsiCo sees the need to change their products after being criticized for producing beverages that can contribute to obesity, type 2 diabetes, heart diseases, and other metabolic syndromes. Moreover, most consumers today have shifted to healthy lifestyle thus opting for beverages that are made from natural ingredients. With the rising obesity rates in the United States, the company also wants to contribute to solving the problem by releasing drinks that have fewer calorie counts than usual.

 

Benefits for PepsiCo

PepsiCo has always relied on their fizzy drinks to drive their sales up. But since most of the consumers have shifted their attention to healthier beverages, the decision of the company to create guilt-free products has paid off.

The growth of the company by promoting nutritious and guilt-free food products now accounts for 45% of the revenue portfolio of the company. And with the high demand from consumers for healthy products, it is expected that the corporation’s return on investment will grow as more market trends take shape. This trend does benefit not only PepsiCo but also other food manufacturers. Companies are doing their best to focus on health and wellness products as consumers continue to connect food to their health.

With the high demand for healthy snacks and foods, it is no wonder why PepsiCo and other food companies have started producing their guilt-free products. What will PepsiCo do next to stay ahead of the curve?

Inspired by marketwatch.com

Papa John’s Removes High Fructose Corn Syrup from Menu

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After decades of being under public scrutiny about serving empty calories to their customers, it is no wonder why many fast food companies have shifted their operations to eliminate unhealthy food ingredients. From McDonald’s kale salad to Chipotle’s sofrito and black bean salad, it seems that fast food restaurants are trying to serve healthier options. The infamous pizza delivery brand, Papa John’s, has followed suit by eliminating the use of high fructose corn syrup from their menu.

This national pizza place is pushing towards creating better and healthy pizza by removing one ingredient from its menu–high fructose corn syrup–on all its food items. This means that the pizza topping, sauce, and even desserts won’t contain this menacing sweetener. This is the first pizza delivery company in the United States to adopt this policy.

 

What is High Fructose Corn Syrup?

High fructose corn syrup is found in just about any kind of processed foods. It is a common sweetener used in creating soda as well as fruit-flavored drinks. It is also used in manufacturing different types of condiments such as ketchup, mustard, and other dipping sauces. This kind of sweetener is made from corn starch that has been converted into fructose. As a sweetener, it is often compared to table sugar. However, manufacturers are more attracted to it because of its low price point.

Excess consumption of high fructose corn syrup can contribute to unwanted calories that are linked to different types of health problems including obesity, type 2 diabetes, high blood pressure, high triglyceride levels, and heart diseases. Thus, the American Heart Association recommends only 6 teaspoons of added sugar for women and 9 teaspoons for men.

The decision for Papa John’s to completely remove high fructose corn syrup is big news to consumers who are looking for fast food chains that serve healthier food options.

 

What’s Next for Papa John’s

Chief Ingredient Officer Sean Muldoon noted that the company is always striving to provide foods made from high-quality ingredients, not only to improve the dining experience of customers but also to uphold their social responsibility.

This is the reason why the company is not only focused on the removal of the high fructose corn syrup in their menu but it is also looking for other ways to serve natural and healthy foods to its clients. For instance, the company is also now looking into using chicken that is raised without any antibiotics. The company has also stopped using fillers, MSG, artificial flavors, BHA, and hydrogenated oils in making their food. They are also looking into creating foods that will cater to their vegetarian and vegan customers.

Hopefully, the dedication of the company to produce better foods by using healthy ingredients will become a signal for other fast food restaurants as consumers continue to connect the dots between food and their health

Inspired by businesswire.com

Fortified Premixes: Fundamental Considerations

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Research by the International Food Information Council Foundation on Food and Health revealed that 47% consumers prefer food with added nutrients. Consumers are now more aware of the food they eat. They read labels carefully and are informed enough to know the difference between what’s right for them and what isn’t. The massive demand for nutrient-rich food with added vitamins and minerals has given way to food fortification.

Food Fortification is the process of incorporating essential vitamins and minerals such as folic acid, iodine, vitamin A and iron into food products. These are blended into powdered premixes which are then added to products.

Fortified food was a breakthrough for disease elimination. Fortification is now used for filling nutrition gaps and balancing nutrient loss in the storing process of goods. Manufacturers are on the lookout for partners to launch their own fortified premixes and give their products additional features. However, it’s the process of formulating fortified premixes that pose the challenge. Here are the aspects that need to be considered regarding fortified premixes:

  • The fortification process relies heavily on the kind of food product that’s being fortified
  • Manufacturers need to chart a profile for the desired nutritional value.
  • The size of serving and shelf life must be considered.
  • Manufacturers will have to change the entire packaging and present the product as a new brand before the consumers.
  • The cycle of production will go through a significant change.
  • Cost-effectiveness is a major aspect of consideration for manufacturers.

The Desired Amount of Nutrients in Fortified Premixes

Manufacturers will have to chalk down the quantities of natural vitamins and other nutrients that are already present in the food and then decide what kind of nutrients must be added and in what quantities so as to meet the claim the product is looking to make. This is a critical decision when using GrandFusion® products in your premixes. GrandFusion® is heavily concentrated nutrients from whole fruits and vegetables. 112 mg of the GrandFusion® fruit mix is equivalent to 25% daily value in 6 essential vitamins including vitamin A, vitamin C, vitamin D, vitamin E, vitamin B1, and vitamin B6.

Loss of Nutrients in Food Processing

To hold true to the labels, formulators will have to ensure that nutrient loss in the production processes and treatment of the product is calculated in advance and taken into consideration while creating the formula for the premixes. Nutrient loss in processing has caused problems for formulators and food manufacturers for a long a time. NutriFusion® is the solution to this problem. Our stabilized nutrients are capable of withstanding the intensive heating and cooling of modern day food processing. Our GrandFusion® products also have a minimum two-year shelf life to keep your nutrients stable through distribution and retail.

Adding the Right Elements

Vitamins and minerals that are to be added must blend in with the distinct taste, color, and aroma of the product recipe.

Fortified premixes do nothing to change the texture or taste of the food product. Therefore, manufacturers get to introduce a new product that isn’t very different from other items their brand is known for. But, it will have all the nutritional perks consumers are looking for.

The push for NutriFusion® nutrient fortification is simple: the difference is natural. Our GrandFusion® products are blends of whole fruits and vegetables so that we can deliver complete nutrition in a variety of products. The big difference between NutriFusion® nutrient fortification and synthetic nutrient fortification is bioavailability. Our products have 100% bioavailability versus 10% to 20% bioavailability for synthetic vitamins. Why? Our bodies need complete nutrients from fruits and vegetables to function properly, so we easily absorb these natural vitamins. On the other hand, synthetics are chemical formulations trying to resemble nature, and are bodies do not entirely recognize them. If you are building a non-GMO or Organic food product, please reach out to learn more about our nutrient fortification process. Also, please visit your respective category below to learn more about our products!

The Problem with American Diets: Ultra-Processed Foods

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With all the food fads rallying for healthier food, the emphasis on “natural” foods and ingredients is now more important than ever. However, the changing food trends have done little to affect the diet of the average American. 58% of the calorie intake of Americans comes from ultra-processed foods according to a study was featured in BJM Open, a medical journal.

The Average American Diet

While the government has done its best to introduce guidelines, consumers continue to choose processed snacks, frozen foods, artificially sweetened desserts, and drinks. The Centre for Disease Control conducted a National Health and Nutrition Examination survey to record the food eating patterns of Americans. The research involved tracking the food items the candidates had eaten in the last 24 hours. It was found that out of all the calories consumed by the survey-takers, three from every five calories consumed came from ultra-processed food. Almost 30% of calories came from unprocessed and partially processed foods, ingredients like oil and salt made up 2.9% of the whole, and 10% came from canned and packaged food like cheese, meat, and vegetables. The statistics suggest that the consumption of ultra-processed foods is far greater and forms a significant chunk of the average American diet.

The Link Between Sugar & Ultra-Processed Foods

A recent dietary guideline introduced by the government suggested limiting the intake of added sugar in the American diet. Ultra-processed foods contain artificial flavors, colors, aromas, and sweeteners. 14% of the overall calories in ultra-processed foods come from sugar and added sweeteners. An increase in the consumption of ultra-processed foods leads to an increase in the use of sugar too. Therefore, ultra-processed foods are primarily responsible for Americans crossing the suggested 10% limit on added sugar in the diet.

 

The Problem With Consumer Choices

While “healthy” and “natural” foods are in popular demand, consumers’ food choices in the market don’t reflect that need. Manufacturers continue to introduce healthy alternatives of food products to appeal to the health conscious, but consumers continue to pick salty snacks and products loaded with sweeteners. Many food brands have created new profiles and products to appeal to the new health-conscious consumer. However, if the food choices continue to lean towards ultra-processed foods, have any of the new products, and new guidelines helped Americans eat more healthy and nutritious food?

Inspired by latimes.com

New Dietary Guidelines Suggest 20% Reduction in Sugar

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The U.S. Department of Agriculture and the U.S. Department of Health and Human Services has announced a drastic cut down on sugar. New dietary guidelines suggest a 20% drop in consumption of sugar-based calories.

The USDA and HHS added yet another diet restriction to the Dietary Guidelines that are renewed every five years. With an aim of reducing obesity and chronic diseases, the new diet rule seeks to limit the amount of sugar Americans have in food and beverages. Studies state that the average American consumes 270 sugar-based calories (or more than 13% of calories) on a daily basis.

Following the guidelines would mean a 60 calories reduction and on a national average, the numbers will go as high as 2.2 tonnes of sugar and corn syrup. Here’s how the implementation of the dietary guidelines will work out.

New Dietary Guidelines for Consumers

USDA Dietary Guidelines 2015 2020 SugarAs a step towards tackling the problem of obesity and health related issues, the 2015-2020 dietary guidelines draw attention to not just sugar, but caloric content of added sweeteners in food and beverage as well. The fitness-oriented consumer has a lot to gain regarding a better handle on diet plans. However, consumers will now have to be extra cautious about their purchases. Although limiting sugar intake helps consumer health goals, reading through product labels will become a challenge to the authenticity of alternatives. Meanwhile, health advocates believe that very few Americans will abide by the dietary guidelines.

 

Impact on Manufacturers

FDA New Nutrition Label 2016

On top of the new sugar guidelines, the FDA is proposing a new nutrition label for food products.

Introducing a decline in sugar consumption has a direct link with losses incurred by an entire industry dedicated to food and beverage manufacturers, especially soda and candy brands. On a larger scale, sugar and corn companies are in for a major setback. Manufacturers are beginning to react to the dietary guidelines in their own way. Just recently, The Sugar Association that represents several manufacturing companies dismissed the guidelines claiming that it has its basis in “weak science”. The American Beverage Association has funded multiple initiatives to fight tax and labelling laws. Coca-Cola took a different route and began promoting exercise regimes over diet plans for fitness. On the other hand, companies like Cargill have created low-sugar and non-sugar alternatives.

For the guidelines to be successful, the U.S government will have to conduct a lot more research and bring more awareness of sugar content on food labels.

Inspired by reuters.com