Food and Drink Nutrition Claims: Incl Impact of COVID-19 - US - December 2020

OVERVIEW
What you need to know 
Key issues covered in this Report
Definition 
COVID-19: US context
EXECUTIVE SUMMARY 
Top takeaways
Market overview
Impact of COVID-19 on nutrition claims
Figure 1: Short-, medium- and long-term impact of COVID-19 on nutrition claims, December 2020
Opportunities and challenges
Challenges
Figure 2: Food and drink behaviors, by age, August 2020
Figure 3: Product launches with functional benefit claims, % of all product launches, 2016-20
Opportunities
Figure 4: Top five product claims, have not tried but interested in trying, by generation, August 2020
Figure 5: Top five product benefits, have not tried but interested in trying, by generation, august 2020
THE MARKET – KEY TAKEAWAYS
COVID-19 put nutrition claims in the spotlight
Population changes bring opportunities
The definition of healthy eating is changing
TARGET AUDIENCE BY THE NUMBERS 
Consumers take a “mostly healthy” approach to their diets
Figure 6: Consumer eating habits, August 2020
Impact of COVID-19 on nutrition claims
Figure 7: Short-, medium- and long-term impact of COVID-19 on nutrition claims
Lockdown
Reemergence
Recovery
COVID-19: US context
MARKET FACTORS 
Pandemic causes consumers to revaluate their health priorities…at least temporarily
Figure 8: Change in consumers’ priorities due to COVID-19, eating healthy, field date September 17-25 2020
US population is rapidly aging
Figure 9: Population by age, 2020-25
Figure 10: Health concerns among Baby Boomers, January 2020
Plant-based diets trend
Figure 11: Dietary preferences, March 2020
MARKET OPPORTUNITIES 
Immunity support becomes the hottest health claim
Figure 12: Total US retail sales of juice and juice drinks, by segment share, at current prices, 2015-20
Figure 13: Total US retail sales and forecast of hot tea, at current prices, 2015-20
Figure 14: Purchases of immunity support products, May 2020
Fun with fortified formulations
Figure 15: Product launches with vitamin/mineral fortified claim, % of all products launched, 2016-20
Figure 16: Product launches with vitamin/mineral fortified claim, beverages, % of all products launched, 2016-20
Food and drink can help consumers age gracefully
Figure 17: Food and drink products launched containing “collagen” in product description, % of total products launched, 2016-20
“Real food” replaces overt health claims
Figure 18: Food products launched with nutrition claims, % of total products launched, 2016-20
COMPANIES AND BRANDS – KEY TAKEAWAYS 
Consumers want products to get them through the day and chill out at night
Cut carbs and increase functionality
COMPETITIVE STRATEGIES
Brain health products keep consumers productive
Up with plants, down with carbs
Figure 19: Food products launched carrying low/no carb claim, % of total products launched, 2016-20
Gut health can be fun
Figure 20: Food and beverage products launched containing probiotics and prebiotics and consumers who currently consume foods/drinks containing probiotics and prebiotics, August 2020
Sleep on it
Figure 21: Mental health experiences in the past year, May 2020
THE CONSUMER – KEY TAKEAWAYS 
Realness is more important than nutrition labels…
…yet, consumption of products with low/no claims remains high
Focus on what consumers know they should be eating/drinking
INTEREST IN HEALTHY PRODUCTS
Keep it simple
Figure 22: Preferred types of food and beverages for nutrition, August 2020
Millennials and high income HHs will pay a premium for clean label products
Figure 23: Preferred types of food and beverages for nutrition, August 2020
Figure 24: Preferred types of food and beverages for nutrition, August 2020
IMPORTANT FOOD AND DRINK CLAIMS
The real deal
Figure 25: Important food and drink claims, August 2020
Preservative free is the way to be for Boomers and WWII/Swing Gen consumers
Figure 26: Important food and drink claims, by generation, August 2020
Figure 27: Important food and drink claims, by age and HHI, August 2020
Parents prioritize organic, natural foods, but taste comes first
Figure 28: Important food and drink claims, by parental status, August 2020
EXPERIENCE AND INTEREST IN PRODUCT CLAIMS
Absences and deductions get more attention than additions
Figure 29: Experience and interest in product claims. August 2020
Prebiotics are a top “I should” ingredient
Figure 30: Experience and interest in product claims, current use, by generation, August 2020
Figure 31: Experience and interest in product claims, have not tried but interested in trying, by generation, August 2020
Figure 32: Top five product claims, have not tried but interested in trying, by generation, August 2020
EXPERIENCE AND INTEREST IN PRODUCT BENEFITS
Consumers prioritize healthy heart and gut
Figure 33: Experience and interest in product benefits, August 2020
Eye health is a whitespace opportunity with universal appeal
Figure 34: Experience and interest in product benefits, I currently eat/drink products with this benefit, by generation, August 2020
Figure 35: Experience and interest in product benefits, I haven't tried products with this benefit, but I am interested, by generation, August 2020
Figure 36: Top five product benefits, have not tried but interested in trying, by generation, august 2020
Market aging in place benefits to older men
Figure 37: Experience and interest in product benefits, I currently eat/drink products with this benefit, by gender and age, August 2020
FOOD AND DRINK BEHAVIORS
Consumers scrutinize panels, but taste reigns supreme
Figure 38: Food and drink behaviors, August 2020
Health can come with a price
Figure 39: Food and drink behaviors, by age and HHI, August 2020
APPENDIX – DATA SOURCES AND ABBREVIATIONS
Data sources
Consumer survey data
Abbreviations and terms
Abbreviations
Terms
APPENDIX – FOOD AND DRINK CLAIM AND BENEFIT MATRICES
Experience and interest in product claims
Figure 40: Product claim matrix: consume products with claim vs % of food products launched carrying claim
Figure 41: Product claim matrix: interested in trying products with claim vs % of food products launched carrying claim
Figure 42: Product claim matrix: consume products with claim vs % of beverage products launched carrying claim
Figure 43: Product claim matrix: consume products with claim vs % of beverage products launched carrying claim
Experience and interest in product benefits
Figure 44: Product benefit matrix: consume products with benefit vs % of food products launched carrying benefit
Figure 45: Product benefit matrix: interested in trying products with benefit vs % of food products launched carrying benefit
Figure 46: Product benefit matrix: consume products with benefit vs % of beverage products launched carrying benefit
Figure 47: Product benefit matrix: interested in trying products with benefit vs % of beverage products launched carrying benefit