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Study: Consumers’ Health Interest Still Growing

June 25th, 2008 @ 4:30 pm

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Tags: Food, Industry, Health Care, Food & Beverage, Manufacturing, Dan Mitchell

The first paragraph of a Supermarket News feature this week could have been written at just about any time over the past couple of decades:

A strong interest among consumers in buying and eating healthy foods offers significant opportunities for the food industry to create new products to meet that demand, according to a new study…

Still, interest in healthy foods is still growing. And given that the food industry is driven almost entirely by introducing new or “improved” products, health is perhaps the most potentially lucrative consumer trend to exploit.

The study, released during the Healthy Foods International Exposition and Conference in Dallas, recommended, in the words of Supermarket News’ Elliot Zwiebach, that ” the industry market such products as a way for consumers to manage their health conditions; offer more private-label and prepared-food solutions in the healthy foods category; and make more locally grown and natural products available at the supermarket.”

All to the good — except, perhaps, for that first suggestion, which seems to glom on to the “food-as-medicine” trend that for the most part doesn’t do anyone any good (potato chips with St. John’s Wort, anyone?).

Consumers remain interested in healthy foods despite price increases in the category, the study found. Depending on how resilient consumers are to inflation, that could mean a big payoff for marketers who approach the category wisely.

Among consumers, there is “both an acceptance of actual inflation in organic food prices and a deepening desire to find alternatives to conventionally produced goods,” according to the study.

Consumers put healthy eating at the top of a list of 16 “lifestyle decisions.” That’s ahead of exercise and taking vitamins.

The study also shows that consumers may be getting smarter about what makes for a “healthy” food – they’re not looking for potato chips to cure their depression. They want more whole grains and less fat.

But the study suggested that whole grains are old hat. The food industry, it said, needs to watch for “the next ‘everyday superfood’ to parallel whole grains.”

I dunno. The broccoli business could use a margin boost. The only problem there is that supermarkets already sell broccoli (and carrots and spinach and all the other low-margin produce items that are by far the healthiest foods in the store.) Coming up with ways to “add value” (and therefore profits) to such ‘everyday superfoods’ would be a challenge.

Dan Mitchell has spent the past 20 years writing and editing for outlets such as The New York Times, the Chicago Tribune, the Minneapolis Star-Tribune, National Public Radio, Business 2.0, and Wired. He also writes the Daily Bread blog for The Big Money from Slate.

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Dan Mitchell

Dan Mitchell has spent the past 20 years writing and editing for newspapers, magazines, and Web publications. Currently, he writes the What's Online column for the Saturday business section of the New York Times. He has also written for the Chicago Tribune, the Minneapolis Star-Tribune, National Public Radio, Business 2.0, and Wired. more »

AboutFood Industry

BNET Food provides daily industry news coverage and insights for managers and executives, focusing on the major companies in the food and beverage sector, from manufacturers to retailers. In addition to detailed company profiles, we bring you critical analysis on new alliances and partnerships, new products, mergers and acquisitions, labor and cost management, investments and deal flow, and a host of other important business issues.

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