A recent study from market research company Canadean has found that food manufacturers may be placing too much emphasis on the health category and subsequently neglecting demand for indulgent products.
Canadean surveyed 100 managers working in the FMCG industry, and asked them how important they believe the demand for products within the health and indulgence categories over the next three years will be. 79 percent of respondents stated that health would be the most important, compared to 63 percent who named indulgence as the category to concentrate on.
Analyst at Canadean, Joanne Hardman said that the findings differ to the market research company’s consumer data which shows that consumers’ demand for indulgence is significantly greater than health.
In 2012 consumers spent $US 600,167 million on fulfilling the desire for indulgence and luxury, whereas only $US 323,694 was spent in the same year on the desire for a healthy option.
“Some brands are getting it wrong with their perception of what consumers will want over the next three years. The desire for an indulgent treat will always reign supreme over the need for a health kick,” says Hardman.
Hardman says that while consumers are expected to display a desire for healthier options over the next few years, Canadean’s data predicts that consumers will continue to favour indulgence over anything else over that period.
“If manufacturers are looking to target the health-conscious audience more over the next three years, extending product portfolios as opposed to adjusting current product formulation will be preferred by consumers, as it allows them to stay loyal to the brand when they are looking for both indulgent and healthy offerings.”