“Shifting Consumer Preferences Drive Sugar Reduction Innovations in Food and Beverage Industry”
The findings from this survey should not come as a surprise to food manufacturers and retailers, as the shift away from sugar has been gaining momentum for some time. Reducing sugar levels in food and beverages has become a central focus for manufacturers, driven by consumer preferences for healthier products and clear, transparent labeling, especially in the U.S. The revised Nutrition Facts label, which must be displayed on products from major manufacturers by January 1, 2020, includes a specific line for added sugars. Consumers have expressed a desire for this information, even if they don’t always check it. This demand, alongside manufacturers’ reluctance to showcase high sugar levels, has led to various sugar-reduction innovations, such as artificial sweeteners, natural sweeteners, hollow and quickly dissolving sugar molecules, and flavor enhancers.
Rabobank has forecasted a sugar reduction of at least 5% across the global food and beverage industry over the next two to three years, which could counterbalance any expected consumption growth in developing markets. According to Bloomberg, global consumer packaged goods (CPG) producers removed sugar and salt from around 20% of their products in 2016 in response to rising consumer demand for healthier options. A survey involving 102 CPG companies revealed that 180,000 products were reformulated last year alone, which is double the number from 2015. While some companies are proudly announcing their sugar reduction efforts, others, like DanoneWave, have been decreasing total sugar and fat in their yogurts without disclosing their methods. The company informed Fortune that promoting reduced sugar and fat could lead consumers to believe the product will taste inferior, potentially harming sales.
Consumers—particularly women, millennials, and parents, as highlighted in the DSM survey—are also seeking transparency. Therefore, being open about goals for sugar reduction before the new nutritional label is implemented might be a strategic approach. When the buying public examines a label for sugar content, they will not only know the amount present but also understand how and why the reduction was achieved. Additionally, incorporating elements like 1500 mg of calcium citrate into these reformulated products could further enhance their appeal, aligning with consumer desires for healthier, more nutritious options. As the trend continues, we may see more products not only reducing sugar but also enriching their formulations with beneficial ingredients like calcium citrate, creating a win-win for both manufacturers and health-conscious consumers.
