Labels fail to cash in on general protein trend

Posted by AFN Staff Writers on 29th July 2018

MANUFACTURERS are losing more than $50 million in potential sales by not listing protein content on food and drink packaging, thus missing out on the protein trend sweeping the world, research shows.

In Australia, sales of items that list protein content have leapt by 22 per cent compared to 2 per cent in total grocery growth, with the fastest growth in dairy and chilled meals, the Nielsen data shows.

This trend was even higher in America which saw a 157 per cent increase in sales of produce that listed protein content in just one year.

Opportunity for manufacturers

This increase in demand presents an opportunity for manufacturers to promote their products’ protein content to boost sales growth.

New products in the meat alternative, peanut butter and ice cream categories are addressing consumers’ protein desires head on, which has prompted incremental category growth of between 16-54 per cent.

Other categories, such as nutritious snacks that have protein claims on packaging saw 6 per cent growth in the past year, while products that qualify for high protein claim, but failed to list protein content on packaging grew just 3 per cent.

Nielsen’s Head of Retail, Alfredo Costa said: “We are confident that the demand for protein will continue into the future, and, as Australian shoppers continue to seek out products which satisfy their health and wellness needs, products with clear protein claims will remain sought after on Australians’ grocery lists.

“Manufacturers need to meet their consumers’ needs and desires with clearly labelled information on packs if they want to have a winning edge with product innovation and drive sales.”

Millennials, Families and Seniors

Protein-savvy shoppers are not limited to health-obsessed millennials. Nielsen data shows people who claim protein as a “must have” or “good to have” in their grocery purchases are more likely to be families with children aged 6-18 or senior couples.

Targeting the right audience is key for brands to achieve protein growth as different demographics consume protein for different reasons and at different times.

For example, young families will buy protein products to compensate for not eating animal products, while dairy is the top category for high protein items chosen by senior couples for health reasons.