Aussies are embracing naturally nutritious ingredients and being positioned as a ‘healthy’ alternative becoming an inspiring proposition to consumers.
IRI’s Daniel Bone, Channel Insights manager has revealed at the AFGC ‘Food & Grocery Australia’ Event in Brisbane that a cultural shift towards Health and Wellness is being driven by three distinct consumer segments and knowing how a product resonates can unlock a multi-million dollar opportunity.
“This behaviour suggests that growth potential can be leveraged by enticing consumers to act on their positive intentions with regards to healthy food and beverage intake – this is evidenced by brands growing rapidly who are tapping into these consumer trends,” said Bone.
62 per cent of Australians surveyed on the IRI Shopper Panel said nutritional information displayed on products affect what they purchase with over half (53%) of shoppers indicating to have changed – or plan to change – an aspect of their diet.
The fast-growing sales of products including turmeric and sweet potato reflect how on-trend formats and ingredients allow brands to realise new growth opportunities. Turmeric with its powerful anti-inflammatory and antioxidant properties is resonating with consumers, and as a result is one of the trending hero ingredients, driving growth in Vitamins (+107% in Pharmacy) and Herbs & Spices (+63% in Supermarkets).
IRI has revealed that Sweet Potato has been a ‘category disrupter’ as an inherently healthy ingredient, adding permissibility to indulgent foods such as Snacking Chips and Frozen Chips (+132%), adding $15M to the Grocery channel.
To help manufacturers and retailers more effectively leverage the health and wellness trends, IRI has developed a proprietary segmentation. IRI has found that the health market consists of six consumer segments, based on their motivations, their nutrition behaviours, demographics and purchase behaviours.
These segments include Fast & Frugal, Healthy Chic, Wise & Healthy, Sensible Super Mums, Carefree Coaster, and Convenient & Content. These distinct consumer segments help FMCG manufacturers target consumers based on their attitudes and approaches towards health, nutrition, exercise and the impact of economic changes upon their shopping behaviours.