Five Key Trends in Driving The Food and Beverage Consumption


 

Eating for health: Asian consumers are weaving health considerations into all aspects of food and beverage consumption.

Consumers are increasingly making conscience attempts to eat healthy, with 67% of global consumers making a conscious attempt to eat healthy ‘all of the time’ or ‘most of the time’, according to Datamonitor’s 2010 consumer survey. The Asia-Pacific region has a higher proportion of consumers trying to eat healthy than elsewhere – 82% of Indian and Chinese consumers make conscious attempts to eat healthy ‘all of the time’ or ‘most of the time’, whilst Australian (72%) and Singaporean (66%) near the global average.

Consumers globally are also paying more attention to the amount of calories they consume on a daily basis – 43% of global consumers pay a high or very high amount of attention to the amount of calories they consume on a daily basis. Within Asia, India (61%), South Korea (55%) and China (52%) all pay a high amount of attention to the amount of calories they consume. Coupled with this is a growing demand for smaller portions which facilitate healthier eating. 47% of global consumers are trying to eat and drink smaller portions all of the time or most of the time, with Indian (64%) and Chinese (64%) consumers doing this the most. Marketers should look at developing portion packs, such as 100 calorie snack packs to facilitate smaller portion consumption, allowing consumers to manage their diets more effectively.

Eating for the planet: Asian consumers are increasingly considering the ethical and environmental implications of the food and beverages they purchase.

Organic claims have a significant influence on grocery products with 61% of global consumers viewing products with an organic claim as being significantly more favorable and more favorable. In India (80%), South Korea (81%), and China (73%) organic was found to have a more favorable influence on a grocery product compared to the global average. Consumers globally are also concerned about the level of packaging in grocery products – 60% of global consumers agreed or strongly agreed that grocery products today have too much packaging. Indian (69%), Chinese (64%) and Singaporean (61%) consumers all consider grocery products as having too much packaging.

Eating for convenience: growing demands on time are impacting Australians’ food and drink consumption occasions

Due to increased perceived time pressures resulting from longer working hours, the growing number of people using mobile and internet outside of work for working purposes and longer commuting times, consumers are increasingly looking for time saving products and services. Globally, 48% of consumers rely heavily on time saving products and services. Chinese consumers (68%), Indian consumers (67%) and South Korean consumers (53%) all agreed or strongly agreed with the statement ‘I rely heavily on time saving products and services’.

The demand for time saving products and services is being driven by a perception that consumers are struggling to manage their daily obligations  and find time to relax – 49% of global consumers agreed or strongly agreed with the statement ‘it is difficult to manage my daily obligations and find time to relax. Chinese (61%), Indian (61%), Singapore (59%) all reported struggling.  

To meet the needs of these perceived time pressures, marketers should develop food and beverage products that can be consumed on the go, whether when traveling, at the desk at work, or walking. Convenient meal solutions are keys to capitalize on this growing market.

To capitalize on growing consumer demand for cost effective food and beverage products, marketers should consider developing a tired pricing structure which still allows their premium priced products, but also has cheaper versions.Consumers are increasingly enjoying the novelty of owning/consuming new food and drink products –globally 40% of consumers agree or strongly agree with the statement ‘I enjoy the novelty of owning/consuming new food and drink products.

Eating for less : staunch value consciousness will continue to endure post-downturn

Since the economic downturn, consumers globally have increasingly tightened their purses in an effort to save money. Coupled with this has been an increased desire to look for money saving products. A key trend has been the growth in private label in recent years, marked by a rapidly developing retail sector in developing markets and increased choice in developed markets as retailers’ role out tiered private label brands, which are slowly displacing national brands off the shelves.

Datamonitor’s 2010 consumer research found that, globally 51% of consumers consider purchasing private label/store branded products to save money more important or significantly more important than two years ago. Key markets for marketers to target are India (55%) and Singapore (58%).

With this growth in the importance placed on private label has come a growth in acceptance of private label as alternatives to main brands – 48% of global consumers agreed with the statement ‘private label food and beverage brands are good alternatives to name brands’. Asian consumers, due to lower penetration rates and a less developed organized retail sector are behind the global average in terms of their perception of private label – Chinese (39%), Indian (38%) and South Korean (30%) agreed with the statement ‘private label food and beverage brands are good alternatives to name brands’.

Consumers globally consider, in terms of good value for money the cheapest option available as being the best indicator. In deciding what grocery products and brands offer good value for money, ‘the product is the cheapest option available’ was considered by 72% of global consumers as being high or very highly influential. 69% of global consumers considered ‘the product is of superior quality compared to other brands’, indicating that quality concerns also feature highly in consumers’ perceptions of value for money.

To capitalize on growing consumer demand for cost effective food and beverage products, marketers should consider developing a tired pricing structure which still allows their premium priced products, but also has cheaper versions. In addition, with private label penetration forecast to grow significantly in coming years, marketers should seek synergies with retailers across the region, in capitalizing on the growth of modern retail in India and surrounding regions.

Eating for pleasure: Global citizens often make food and beverage choices on the basis of pure indulgence and enjoyment

Despite a growing emphasis on healthier eating, consumers still purchase food and beverage products to indulge in, whether it be premium ice cream, or Champagne. This desire for indulgent products allows consumers to relax and treat themselves after a long day at work.

Consumers are increasingly enjoying the novelty of owning/consuming new food and drink products –globally 40% of consumers agree or strongly agree with the statement ‘I enjoy the novelty of owning/consuming new food and drink products. Chinese consumers (54%), Indian consumers (48%) and Singaporean consumers (44%) all agreed with the statement. Australians ranked lower in agreement, partly due to the country’s developed status compared to Chinese or Indian which are both experiencing a rapidly growing consumer market.

Choosing food and drinks that are both healthy and tasty/enjoyable at the same time has also become more important. With health concerns increasing, consumers are increasingly seeking better for you products, and 45% of respondents to Datamonitor’s 2010 consumer survey considered food and drinks that are both healthy and tasty/enjoyable at the same as being more important or much more important compared to two years ago. A total of 56% of Singaporean consumers and 52% of Chinese consumers considered this to be more important higher than the global average.

With a growth in consumers consuming novelty food and a growing demand for food and drinks that are both healthy and tasty/enjoyable consumers across the region are demanding more indulgent products from marketers. Offering premium indulgent products that stand out from the competition through offering health benefits as well as being tasty and enjoyable will set marketers apart from the competition.

oleh : Matthew Jones

(FOODREVIEW INDONESIA Edisi Januari 2011)

 

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