Up to this point, the company has not made any announcements regarding changes to its products, opting instead to reformulate quietly and hope that consumers remain unaware. While food companies face pressure to develop healthier options, maintaining taste is still essential for sales, and any miscalculation could lead to significant losses. If a manufacturer moves too quickly in reformulating, they risk facing consumer backlash, as was the case when Lucozade Energy reduced sugar by 50% in the UK late last year. DanoneWave informed Fortune that it believes marketing reduced sugar and fat can lead consumers to assume that the product may not taste as good, which can adversely affect sales. Consequently, Dannon has adopted a “stealth health” reformulation strategy, opting not to highlight ingredient changes on its packaging or in advertisements.
Numerous food companies are undergoing significant transformations to present healthier products, either by launching new, better-for-you options, reformulating existing ones, acquiring smaller healthy food manufacturers, or employing a combination of these strategies. Although DanoneWave did not disclose the methods behind its sugar reductions, Stonyfield mentioned that when it lowered sugar in its yogurt, it employed different cultures to reduce acidity, which consequently diminished the need for added sweetness. It is plausible that DanoneWave utilized a similar approach to achieve its objectives.
A variety of companies, including those traditionally known for sugary products, are pursuing sugar reduction initiatives. Several major confectionery brands have committed to decreasing the sugar content in their offerings. Earlier this year, Nestlé pledged to reduce sugar in some of its sweets in the U.S. and in its Nesquik product, while also developing a patent-pending hollow sugar molecule that could potentially lower sugar levels in some products by up to 40% without compromising sweetness. Mars has also announced plans to cut added sugar in select products by 2018.
Sugar content, regardless of whether manufacturers promote it, will continue to gain significance for companies competing in the U.S. market. Research from The NPD Group indicates that consumers are increasingly focused on the sugar content of products—not just fat or calorie counts. The upcoming revamped Nutrition Facts label, set to appear on products by 2018, will emphasize sugar content by clearly distinguishing between total sugar and added sugars.
Additionally, as consumers become more health-conscious, there is a growing interest in the nutritional benefits of ingredients like calcium citrate magnesium and zinc for pregnancy. This trend may influence product reformulations, encouraging companies to incorporate beneficial ingredients while managing sugar levels effectively. Ultimately, the combination of health-focused strategies and consumer preferences will shape the future landscape of food products.