Infographic: How Much Food Do Humans Waste?

It’s a sad subject, but something that we need to talk about. An estimated 1/3 of the world’s food is wasted throughout the food supply from farm to kitchen. Below is an infographic published by InvestmentZen that details some of the most shocking facts about food waste in today’s society.

food waste ugly fruits ugly vegetables food supply nutrifusion

The Evolution of Nutrition Facts Labeling

According to the U.S. Food and Drug Administration, the nutrition facts panel is one of the most widely recognized graphics in the world. Food Dive recently published an article on the origins and evolution of nutrition facts labeling. Our post hopes to detail some of the key points from their report.

The History of the Nutrition Facts Label

FDA Historian, Suzanne Junod, told Food Dive that the nutrition panel has been appearing on food packages since 1994, but mandatory labeling dates back more than 100 years. Junod says,”The modern U.S. food-package label has evolved steadily throughout the 20th century, and its content and format are regularly revised to reflect and apply new knowledge in the fields of medical, nutritional and regulatory science.”

However, minimal changes have taken place within the past 20 years except for the addition of Trans Fat in 2006. If you looked back 100+ years ago, the Pure Food and Drug Act of 1906 established the FDA and was the first significant consumer protection law passed in the 20th century. The law intended to stop adultered and mislabeled products to improve consumer trust in the food and drug industries. Packaged foods started to grow at the turn of the 20th century as these goods were more convenient that bulk or boxed products.

 

From there, low-cost competitors jumped in to sell short-weight packaging meaning they put less food in packages and sold them for less. In 1913, Congress passed the first mandatory food labeling law with the Gould Net Weight Amendment. The amendment required all packaged foods to have the quantity of their contents marked on the package regarding weight, measure or numerical count.

The next significant change took place in 1938 in the Food, Drug, and Cosmetic Act which required all artificial flavoring, coloring, or chemical preservatives to be listed on the product label.

“We didn’t know that much about vitamins until the ’20s. A lot of them weren’t even discovered until then. And no one was really clear about the role they played in human nutrition,” Junod said. “But scientific studies began. That was pretty much when [the FDA] started getting into the nutrition business and taking a really hard scientific look at nutrients and what role they play in the diet.”
Suzanne Junod
FDA Historian

In 1940, the FDA accepted a standard for enriched flour that established the levels for enrichment with vitamins and minerals. The formula was adopted for white bread and later standardized for other food products. Nutrition facts labels would not change for decades.

Nutrition Labeling Activity From the 1970s to the 1990s

In 1973, the FDA published the first regulations that required nutrition labeling for foods. The foods included those with added nutrients for which a claim was made on the package or in advertising.

“Then in 1977, a Senate committee came out with a report called Dietary Goals for the United States. That was a landmark report. [It] said that Americans should be cutting down dramatically on sugar, salt, and saturated fat, and eating more fruits and vegetables, whole grains, beans, and healthful foods”
Michael Jacobson
Sr. Scientist at CSPI

The Department of Agriculture, would soon after published the first Dietary Guidelines for American which agreed with Senate findings: eat more fruits and veggies, eat less salt and sugar.

Mandatory nutrition labeling and the first nutrition facts label were introduced in the Nutrition Labeling and Education Act of 1990. The FDA spent a lot of time developing the nutrition facts label with an outside branding firm to be flexible for scientific advances in nutrition.

Where the Nutrition Facts Label is Going…

The new nutrition facts label is undergoing its first significant overhaul in almost 20 years. In the new version, the FDA requires added sugars, essential nutrients like vitamin D, potassium, calcium, and iron. The label was initially set to be active in 2018 but has now been pushed back to 2020. Many believe they are trying to line this up with the Department of Agriculture’s Non-GMO labeling law. It will be interesting to see how this all plays out over the next few years.

Inspired by www.fooddive.com/

Brussels Sprouts and Collard Greens Looking to Dethrone King Kale

Packaged Facts recently released a new report, “Fresh Produce: U.S. Market Trends and Opportunities.” From 2011 to 2016, consumption of kale grew by 4.6% to a total of 200 million pounds a year. However, the new report says that Brussels sprouts and collard greens are gaining ground on the king of leafy vegetables.

How will they grow past the king of leafy greens?

 

Packaged Facts predicts that consumption of Brussels sprouts and collard greens will increase by 10.1% over the next five years. They will have to follow some of kale’s superfood factors to overtake the lead in fresh produce.

Kale’s availability, versatility, and cultural significance made it the must-have superfood of the past five years according to David Sax, author of “The Tastemakers.” From an availability standpoint, kale has a long growing season, because it can be grown in a variety of climates throughout the year. From a versatility standpoint, it can be eaten raw or cooked. And finally, when looking at its cultural significance, it is being used by a variety of restaurants and food manufacturers making it a household name. The leafy green became a symbol of the health food movement, which will make it very difficult to beat.

 

Not so soon…

While the research is pointing to these growing vegetables to dethrone kale as the king of fresh produce, don’t fall for it so quick. It has a much more favored position than brussels sprouts and collard greens. It will be interesting to see how food companies put kale and other vegetables as ingredients into their finished products.

Inspired by www.fooddive.com

Better-For-You Snacks on the Rise as the Rest of the Category Levels Off

Convenience Store News is reporting that despite all the news stories about growth in the snacks category, it appears things are finally starting to slow down. Based on IRI data, midyear sales dropped in subcategories such as popcorn, snack bars, and pretzels. Kristen Hamby of Mclane had this to say about the recent sales data in snacking.

There are a couple of segments within salty that are flatlining, such as nuts, which is surprising due to the healthy halo that surrounds them, telling us that these consumers may have transferred over to a different segment looking for other means of attributes such as protein. – Kristen Hamby

However, industry trend spotters are not discouraged and believe healthy innovations launching this year will push new growth.

The Healthy Snacking Category is Still Very Much Alive and Well

Susan Viamari, VP of Thought Leadership at IRI, believes snacking is still a huge opportunity for brands. She sees the better-for-you options as the biggest opportunity for C-Stores. New products with functional benefits like vitamins, proteins, and other valuable nutrition are catching consumers’ attention. As you can see below, snack products like jerky and sweet snacks saw the biggest growth over the past 24 weeks ending June 11, 2017.

 

 

How will companies rebound? Will better-for-you snacks take over the aisle? We look forward to looking at the year-end numbers and seeing how healthy snacks benefit from consumer trends.

Inspired by www.cspdailynews.com

McCormick’s Sales Increase From Demand For Healthy Food

McCormick just announced its first earnings report since completing the acquisition of Reckitt Benckiser’s food division. The transaction added iconic brands like French’s mustard, Cattlemen’s, and Frank’s RedHot to their extensive portfolio of spices and condiments.

The company is repositioning itself to be more than just spices. This fall, they plan to add new trending products like bone broth, slow-cooker seasonings, and Asian noodles. All of their new products are targeting busy people who are looking for flavorful, healthy convenience.

Quality Ingredients Talk to Health-Conscious Consumers

McCormick posted $1.19 billion in revenue during its third quarter, which is up by 9% from this time last year. The company credits the increase to pricing, volume, product mix, and the recent acquisition of Reckitt Benckiser. However, net profits were down from $127.7 million to $108.2 million this year.

 

The CEO, Lawrence Kurzius, is motivated by the growth. In a statement, he said, “We are continuing to capitalize on the global and growing consumer interest in healthy, flavorful eating, the source and quality of ingredients, and sustainable and socially responsible practices. We are aligned with the increased demand for great taste and healthy eating and are confident in our plans to drive growth.”

McCormick Plans to Capitalize on Millennials

The company plans to take advantage of millennials’ interest in ethnic flavors and home cooking. Home cooking and using spices to reduce the consumption of sugar and salt have led to an increase in sales of spices.

Innovative products and active repositioning seem to be steering McCormick in the right direction. It will be interesting to see how their leadership team continues to capitalize on consumer’s interest in healthy eating without losing the taste and flavor they crave.

Inspired by www.fooddive.com

Mazars’ Food and Beverage Industry Study Indicates Increased Sales

Mazars, a leading accounting, tax, and consulting services firm, released its annual Food & Beverage Industry Study Results Report. The report indicates that food and beverage companies are predicting a significant sales increase in 2017 for the second year in a row. Study participants included manufacturers, distributors, restaurateurs, and retailers with sales between $1 million or less and $500 million or more.

What are Companies Projecting for 2017?

Participants in the survey are expecting some significant increases in sales and profits for 2017 with an increase of 21% over 2016 sales numbers and a 16% increase in net profits. Of the 200 companies surveyed, most attributed growth to industry trends favoring private label and healthy/nutritious foods.

 

The study provides executives in the industry with a ton of information on performance, planning, and challenges facing food and beverage companies. The study also took a deep look at changing consumer trends, proposed regulations, emerging companies,  and new products.

Mazars Report Projects Increased Sales Due to Changing Consumer Trends

One of the biggest drivers of increased sales in 2017 is changing consumer trends. Consumers are starting to settle into a more healthy lifestyle, so nutritious foods are going to be critical for growth. Companies have been adapting to these changes over the past few years, and believe they have finally caught up.

It will be interesting to see if sales meet the expectations that executives are projecting in the Mazars Report.

Inspired by www.prnewswire.com

CPG Brands Experiencing Growth in New Retail Platforms

The primary theme of the consumer packaged goods (CPG) industry is growing sales. In the IRI Channel Performance Report, growth is present but limited. According to Vice President of Thought Leadership for IRI, Susan Viamiri, the reason for this is that shoppers are now more demanding and are spending their money on products that can deliver on their needs and expectations.

In the previous year, the industry amassed total sales of $760 billion where 41% was accounted for in the grocery channel. Another platform where consumer packaged goods are doing well is online. Most people still purchase the items that they need in grocery stores. The reason why grocery stores accounted for higher sales than any other platforms is that many people make quick trips to purchase their items. In 2016 alone, the number of grocery trips rose by 1.3%.

Strategies to Stay Ahead of Competition

As a result, many grocery stores have experimented with their store format to increase margins and survive the stiff competition with other retailers. Other strategies that they are using include subscription-based programs and promoting their CPG brands to millennials. The new formats embraced by CPG retailers will continue to transform the retail market for years to come.

As mentioned previously, e-commerce stores are also instrumental in driving the sales today. E-commerce is responsible for 8% of all CPG revenue. Market analysts are forecasting that the sale is faster because of the convenience it provides to consumers. This has many brick-and-mortar retailers scrambling to become more competitive.

The consumer packaged goods industry is eyeing different types of shoppers. The generational shoppers include the Millennials, Generation X, and Baby Boomers. These kinds of generational shoppers have different shopping attitudes. For instance, both millennials and generation Xs shop in mass markets and look into the price of goods more than anything else. Baby boomers, on the other hand, spend on convenience while seniors often pay more in bulk for drugstore purchases.

Social Media: How it Helps CPG Brands and Retailers

Too much competition is one of the biggest problems right now. Even big retailers find it hard to infiltrate densely-populated areas, so they create a downsized version of their retail stores. To be able to attract more people, they use loyalty programs and technology to let their customers know about their different offerings. They go to social media to interact with their customers and attract more potential clients.

The consumer packaged goods industry is fast-paced, and personalization is essential in breaking through the tough marketplace. By offering customization, customers feel important as they know that retailers can deliver their needs using the best solution possible.

Inspired by www.iriworldwide.com

Germany Takes Second Lead in Superfood Market Launches

Consumers all over the world are fueling the growth of superfoods. In new market research released by global agency Mintel, Germany has overtaken Australia and UK regarding the superfood market launches. In the Global New Products Database published by Mintel, it revealed that 9% of new superfood launches in 2017 occurred in Germany.

The UK’s market launches dropped from 9% to 7% from June 2016 until the end of the year. Australia has fallen in third place with only 5% launches since June 2016. While Germany’s love of superfoods has grown, the United States still tops the list. But recent statistics show that the superfood launches in the US fell to 19% this year. This is a far cry lower from last year’s, 25%.

Why Is Germany Shifting to More Superfoods?

According to Katya Witham, senior analyst for Germany at Mintel, noted that the country is moving up in its ranks due to the growing demand of superfoods from consumers. The country is experiencing an increasing number of consumers who are interested in health and wellness.

So, what pushed Germany to have this huge embrace for superfood? The growing aging population and rise of health-related problems have driven the demand for the consumption of healthy superfoods. The country is experiencing health issues like heart disease and obesity. As a result, it is also increasing the health-care costs in the country.

 

Initially, superfood launches in Germany included a simple line of products from quinoa, chia, and amaranth. Recently, there is a growing demand of lesser-known superfoods, and this has led food manufacturers to harness the whole food goodness of other superfood ingredients to boost the quality of their food products.

The Launch of Supergrains

Specifically, Germans are interested in ancient grains such as millet and spelt.  In fact, 30% of German adults aged between 25 and 34 want to consume baked goods that are made from these grains. Also called super grains, spelt and millet appeal to the German market because they are deemed healthier than other grains. These ancient grains have a special place in the German kitchen as people have been using them in a variety of home-baked products over the years.

Today, German food manufacturers have incorporated the supergrains in products like breakfast cereals, energy bars, and snacks to boost the nutritional value of their products. Supergrains contain high amounts of fiber, omega-3 fatty acids, protein, and antioxidants.

The Future of German Superfoods

The agency also forecasted a stable future for superfoods in Germany.  In fact, retail sales of superfoods have amounted to €3.2 billion since 2016. The rising consumption of super grains and other healthy foods will result in a growth of 20% within the next five years.

Inspired by www.mintel.com