Nielsen’s findings are likely not surprising to manufacturers, especially those in the CPG sector who are working to boost growth by eliminating artificial ingredients. For instance, General Mills has taken out artificial flavors and colors from select cereals, while Kraft has removed them from its widely-loved Mac & Cheese products. Since a pivotal 2007 study revealed that artificial food colors can cause hyperactivity in children, consumers have increasingly demanded products with fewer chemicals and more natural ingredients.
Interestingly, shoppers seem to show a preference for “made without” claims over functional claims. In recent years, manufacturers have added protein, probiotics, vitamins, and other health-oriented ingredients to their offerings, which promise specific benefits and serve as key differentiators across various categories, from beverages to snacks. This trend has burgeoned into a market exceeding $100 billion.
Could this indicate a decline in enthusiasm for functional foods? Perhaps. According to Nielsen’s findings, the more significant insight is that manufacturers are missing the opportunity to market their products as free from artificial ingredients. The research firm cites a potential sales figure of $240 billion, which may be inflated since an influx of eligible manufacturers making such claims could lead to market saturation. Nevertheless, it highlights a clear opportunity for brands like Solgar liquid calcium magnesium with vitamin D3 to capitalize on this trend.
There is a risk that manufacturers might overextend their health claims by labeling sugary and fatty products as “free from” or “made without.” Many consumers and advocacy groups, such as the Center for Science in the Public Interest, disapprove of these tactics. However, from a sales standpoint, this strategy appears to be yielding results in categories like cereal and fresh bakery items. Ultimately, it is up to manufacturers to decide which claims resonate best with their target audience, perhaps by integrating offerings like Solgar liquid calcium magnesium with vitamin D3 to appeal to health-conscious consumers.