As the global pandemic unfolded early last year, consumers sought out a wide variety of health and wellness products. Well into the COVID-19 outbreak’s second year, sales of natural, organic and better-for-you foods, beverages and supplements remain at elevated levels. It’s no longer a niche category — it’s a mainstream one.
It’s also one with staying power. Industry experts say the health and wellness trend that emerged early in the pandemic will continue long after it’s over. “The big question on everyone’s minds is: Which of these newly formed behaviors will stick? Looking back at history, we see numerous examples of behaviors changing post-crisis. After the excesses of the Roaring Twenties and the poverty of the Depression, for instance, many people became extremely cautious about money. Some went as far as to save money in their mattresses — behavior that lasted for decades,” Linda Dupree, CEO of NCSolutions told Supermarket News. “We expect Americans to sustain their higher interest in CPG products and activities that foster self-care and well-being — both physical and emotional — for some time.”
Nearly one in three consumers say they are paying greater attention to what their food can offer in terms of health benefits, up from just under one-quarter before the pandemic began, according to a tracking survey by the International Food Information Council. While consumers are purchasing some healthy products online, surveys show that shoppers also want to be able to purchase a wide range of healthy products at their local grocery store as part of their regular shopping trips. According to the Center for Science in Public Interest, nearly 80% of shoppers said they think supermarkets should do more to make it easier for people to eat healthy meals and snacks.
What types of products are consumers looking for? According to Nielsen data, of U.S. households purchasing foods and beverages, 90% have purchased organic, 86% have purchased sugar-free, 99% have purchased low-fat and 74% have purchased high protein foods. Trending foods and beverages include milk alternatives, value-added water, non-dairy yogurt, high-protein snacks, immunity-boosting snacks and supplements, sparkling water and lactose-reduced/free milk. Another important area: Low-fat, nutrient-rich and high protein meals, meal kits and meal ingredients.
Although the research is clear that health and wellness is more than a trend and it’s here to stay, many grocery stores still consider it to be a niche market relegated to a small area of their store. Stores nationwide don’t have nearly enough of these types of products, the right mix and/or they aren’t showcasing them effectively. As a result, they are missing out on a tremendous opportunity to foster shopper loyalty and grow their revenue and profits.
It’s not always easy to select the right ‘healthy products for your store and its unique customer base. Capitalizing on the health and wellness trend is also made more challenging by other consumer trends. For example, there’s a significant segment of the U.S. population that has had various degrees of financial challenges during the pandemic and will continue to seek out more affordable options at the grocery store over the next year. Nearly two-thirds of consumers, for example, reported switching to less-expensive brands since the beginning of the COVID-19 pandemic. Another challenge — integrating health and wellness products into your store effectively, and educating shoppers about the options.
The right mix of products — at the right price point — has never been more important. That’s where UNFI Professional Services comes in. Capitalizing on the high demand for health and wellness products means having the right mix of products and an effective in-store presentation. We can help you accomplish both with the products your shoppers want and need, showcased effectively. E-mail us at [email protected] to get started.
