New Hope Natural Media and Sterling-Rice Group have released the
top five natural products industry food trends in the U.S. market as
consumers shift strongly to healthier eating and embrace a renewed focus on
health and disease prevention.
In 2012, U.S. consumer sales of natural, organic, and functional foods and
beverages totaled $94.7 billion of the overall $703 billion food pie. By
taking stock of the trends and forces laid out in the NEXT: Forecast, food
and beverage companies, large and small, will have the greatest opportunity
for growth within the natural products space.
The current five natural food trends are:
1. Convenience is King: 100 million (or nearly half) of American adults
today are single and many of them live alone. Given that so many people are
flying solo, we're spending less time in the kitchen. One potentially
lucrative (at least in the long term) demographic is the millennials, as
they are entering adulthood now, and they view health, nutrition, and
branding differently than boomers.
2. Allergen Concerns on the Rise: Six million children have food allergies,
according to the Pediatrics Journal. Ninety percent of all food allergy
reactions are caused by eight major foods: milk, eggs, peanuts, tree nuts,
soy, wheat, fish, and shellfish. Americans are awakening to their allergies,
more manufacturers are creating entirely 'free-from' products so consumers can
enjoy without worry.
3. Meat Free Mentality: One-third of Americans now report eating vegetarian
meals a significant amount of the time, and 48 percent of U.S. shoppers seek
good-tasting vegetarian food, according to the Vegetarian Resource Group's
2011 national poll. Even if they are not full-fledged vegetarians or vegans,
a growing number of consumers fall into the "flexitarian" bucket, meaning
that they are looking to cut at least some meat from their diets and replace
it with plant-based foods.
4. Labeling Goes Local: 75 percent of natural food retailers say local is
the most influential product claim in grocery right now. People, seeking to
connect with where their food is sourced and support nearby businesses are
increasingly seeking this claim. Local is expected to continue to gain
prominence over the next three to five years, thanks to forces such as the
Slow Food and Slow Money movements, which are effectively spreading the word
about the social, economic and health benefits of buying close to home.
5. It's Cool to Care: Driven by passionate entrepreneurs who care as much
(if not more) about creating positive change in the world as they do about
making money, cause marketing is gaining ground. Food and beverage companies
must take on a whole new approach to marketing and branding to win over
consumers. By 2018, Whole Foods Market announced that all products sold in
its U.S. and Canadian stores containing genetically modified ingredients
must be labeled.
The NEXT Forecast features
current U.S. sales and growth estimates for all natural and organic product
categories, with projections into 2018, and discusses trends, opportunities
and market leaders in natural and organic food and beverage, dietary
supplements, beauty, household products and pet categories. The report bills
itself as "the definitive guide to where the natural, organic and healthy
products market is now and where it is headed."