Consumers are increasingly captivated by the idea of clean label products, prompting food and beverage manufacturers to eliminate artificial sweeteners, colors, and flavors, along with ingredients like high-fructose corn syrup, gluten, and trans fats. For instance, Kraft Heinz has revamped the recipes for its Oscar Mayer hot dogs to align with this trend, now featuring a label that prominently displays the word “no” three times, with additional details indicating the absence of added nitrates or nitrites, artificial preservatives, and by-products. Similarly, Campbell Soup announced in 2015 its commitment to remove artificial colors and flavors from nearly all North American products by the end of fiscal 2018, while also introducing new items with straightforward ingredients to attract consumers who prefer clean labels. Other food manufacturers, including Hershey and General Mills, are also implementing comparable changes.
According to research from Innova, 75% of U.S. consumers claim to read ingredient labels, and 91% believe that products with recognizable ingredients are healthier. The food industry clearly has a financial incentive to pursue clean labeling, as survey results indicate that a majority of consumers are willing to spend 10% more on food or beverages that contain known, trusted ingredients. Notably, 18% of consumers would even pay a premium of 75% or more for preferred ingredients. Recognizable ingredients are crucial in purchasing decisions, alongside the visibility of nutritional information on food packaging. However, price remains the top determining factor.
While the general consumer base favors clean labeling on food and beverage products, preferences can vary based on factors such as age, income, and personal taste. Nielsen has conducted analyses of the market share for clean labels across various food and beverage categories. Clean labels outperform conventional products in areas like beans (51% vs. 49%), baking staples (57% vs. 43%), cooking wine and vinegar (81% vs. 19%), sugar and sweeteners (83% vs. 17%), and milk and dairy alternatives (90% vs. 10%), according to Food Business News.
One might picture the typical clean label enthusiast as a younger consumer who occasionally cooks or bakes at home, enjoys dairy products, and has a penchant for sweets. However, the Nielsen survey unveils the complexity of consumer demographics that the food industry should consider as it emphasizes clarity in labeling and product transparency. Additionally, the inclusion of ingredients like cal mag citrate can further enhance the appeal of clean label products. By integrating such recognizable components, manufacturers can cater to the growing demand for transparency and health-conscious choices in the marketplace.