On the Upswing: First Half of 2010 Showing Increase in New Food and Drink Products

Newswise — The introduction of new food and beverage products in the United States is up about 15 percent over the last half of 2009, which is a positive sign that the fall-out from the economic recession has stabilized and manufacturers are creating new innovations to meet consumer demands.

The data presented at the 2010 Institute of Food Technologists (IFT) Annual Meeting & Food Expo® showed a reversal of the last half of 2009, when the number of new food and non-food products declined 22 percent. The 15.2 percent increase in food and beverages this year has been driven by new “treat foods” (Greek yogurt, pretzel M&Ms) and those that make it easier to create restaurant-type food at home (specialty mayonnaise, spice collections), said Lynn Dornblaser, director, CPG Trend Insight, Mintel International Group, which conducted the research.

U.S. manufacturers have not come back to the natural/organic food category, Dornblaser said. Organic offerings peaked at 12 percent of new products in 2008, and have since dipped to about 7 percent. Those new products now are largely driven by products from smaller companies or by private label organics. The appeal of private label products is they allow consumers to choose an organic product, even though it costs more than a non-organic private label product, but still pay less than the premium organic brand, Dornblaser said.

Overall, private labels are driving many food and beverage decisions as consumers try to cut dollars from their grocery budgets, said Barbara Katz, president, HealthFocus International, who presented data from the HealthFocus Trend Study at the meeting. Among those surveyed who have had their income reduced, 40 percent reported buying more private label products.

For all shoppers, only 1 out of 10 reported being loyal to a brand, with the least loyal in the 18 to 29 age group.

About IFTThe Institute of Food Technologists (IFT) is a nonprofit scientific society. Our individual members are professionals engaged in food science, food technology, and related professions in industry, academia, and government. IFT’s mission is to advance the science of food, and our long-range vision is to ensure a safe and abundant food supply, contributing to healthier people everywhere.

For more than 70 years, the IFT has been unlocking the potential of the food science community by creating a dynamic global forum where members from more than 100 countries can share, learn, and grow. We champion the use of sound science across the food value chain through the exchange of knowledge, by providing education, and by furthering the advancement of the profession. IFT has offices in Chicago, Illinois, and Washington, D.C. For more information, please visit ift.org.