One-fourth of U.S. adult shoppers frequently purchase certified organic food or beverage products

The market for products positioned and marketed on the basis of ethical standards (eco-friendly/green, natural/organic, humane, and fair trade) is thriving despite the recession, reveals a new report by leading market research publisher Packaged Facts.

Based on data from a proprietary survey, the recently released "Ethical Food and Beverage, Personal Care and Household Products in the U.S.; Conscientious Consumerism and Corporate Responsibility in the New Economy, 2nd Edition," indicates that one-fourth of U.S. adult shoppers frequently purchase certified organic food or beverage products and one-third are usually willing to pay more for organic foods.

"With the economy foremost in consumers' minds, heightened price sensitivity in the midst of the current recession is inevitably having an effect on the market for ethical products," says Don Montuori, publisher of Packaged Facts. "However, our survey indicates that more shoppers understand the environmental, social, and economic implications of their choices. The result is a sizeable number of consumers who will purchase typically more expensive ethical products even in economically challenging times."

The U.S. market for ethical products has annually grown in the high single- to low double-digits over the past five years, according to the report. Packaged Facts forecasts the growth rate will persist despite the recession and the market will approach $62 billion in 2014, up from a projected $38 billion in 2009.

Foods and beverages dominate retail sales of ethical consumer products in the U.S., accounting for nearly 75% of retail dollars through all channels in 2009. Non-food products -- mainly personal care and household products -- represent the remaining quarter. However, through 2014, Packaged Facts projects that non-foods will grow at a considerably faster pace than food, with an 80% versus 57% growth rate.

Nevertheless, non-foods will still represent a smaller portion of the overall market.

Tapping into the trend are major marketers and retailers who are offering more ethical products, upping their corporate responsibility efforts through energy-efficient "green" facilities and sustainable business practices, and increasing their cause-related marketing efforts. Meanwhile, supermarket chains are entering the fray by developing private-label lines of organic foods and natural household products.

"Ethical Food and Beverage, Personal Care and Household Products in the U.S., 2nd Edition" analyzes the attitudes and demographic characteristics of ethical product purchasers through the examination of key issues and trends affecting the marketplace across two classifications -- foods & beverages and non-food products -- with the latter defined as encompassing personal care products (cosmetics, skin care, hair care, etc.) and household products (paper goods, diapers, detergents, cleaning products, light bulbs, etc.). Coverage includes historical and projected retail sales estimates from 2005-2014, case studies of key marketers and retailers, and trends in new product development and competitive positioning.

For further information, please visit: http://www.packagedfacts.com/redirect.asp?progid=76126&productid=1939948

Majority of Consumers Unaware of Salt Content

More than three quarters of people—77 percent—are not aware that bread and breakfast cereals are among the daily foods that contribute most salt to daily diets, according to results of a new Food Standards Agency (FSA) survey.

FSA’s new advertising campaign kicked off Oct 5 and is urging people to pay closer attention to the salt levels in the foods they purchase. The campaign features foods that make significant contributions to the salt intakes of U.K. adults and children. The salt levels of these foods vary across brands, so the campaign encourages people to reduce the amount of salt we eat by checking labels on foods and choosing those that are lower in salt.

“Salt intakes are coming down, but if we are to get closer to meeting our target of reducing intakes to a maximum of 6g a day for adults, and lower levels for children, people need to become more aware of the foods which contribute the most, as it isn’t just the obvious things we need to watch out for as far as salt is concerned,” said Rosemary Hignett, Head of Nutrition at FSA. “We‘ve been working closely with food manufacturers and retailers to encourage them to use less salt in their foods, and are pleased with the progress that is being made. But there is still a wide variation of salt levels in different brands, which is why it is so important that people check the labels.”

Sources:
• Food Standards Agency: Survey reveals lack of salt source knowledge

Vitamin D Reduces Risk of Falling

Seniors who take between 700 and 1,000 international units (IU) of supplemental vitamin D per day (vitamin D2 or D3) reduce their risk of falling by 19 percent and by up to 26 percent with vitamin D3, according to a new study published in the Oct. 2 edition of BMJ.

Researchers reviewed the findings of eight fall prevention studies involving participants aged 65 and older and found the beneficial effect was significant within two to five months of starting treatment, extended beyond 12 months, and was independent of age, type of dwelling or additional calcium supplementation, the researchers noted.

Supplemental vitamin D doses of less than 700 IU per day didn't reduce falls, wrote Dr. Heike A. Bischoff-Ferrari, director of the Center on Aging and Mobility at University Hospital Zurich. Additionally, active forms of vitamin D didn't appear to be more effective than the 700 to 1,000 IU supplemental vitamin D.

Sources:

HealthDay News: Daily Dose of Vitamin D Helps Prevent Falls in Seniors

Capico News of The Week

The online grocery market is growing due to convenience, Generation Y consumers coming of age and increased broadband penetration and customization, according to Nielsen. With approximately $3.75 billion in online sales in 2008, online is a small but expanding channel for the food and beverage industry. Even though the majority of grocery shopping occurs offline, on average, shoppers tend to spend twice as much online as offline when making food and beverage purchases. Full Story

About 42.8% of grocery purchases are sold on promotion, up from 40.8% a year ago, according to a Nielsen study. Drug stores also sell a significant portion of products on promotion, with 40.4% of sales linked to displays and/or features. Chicagoans buy the most on promotion, with 55.9% of products sold on promotion, while impulse purchases such as ice cream, crackers and carbonated beverages sell the most on promotion. Full Story

"French comfort classics" will be the next important ethnic food trend, according to Nancy Kruse, president of The Kruse Co., who spoke at Nation's Restaurant News' Menu Trends & Directions conference. Ms. Kruse noted that the most active and innovative menu categories have been appetizers and desserts, reported Nation's Restaurant News. Full Story (Free Registration Required)

Store brands have grown by approximately 10% in dollar sales in the past year, compared to only 2% for branded items, according to Nielsen. Full Story

Papa Bello Enterprises, Inc. signed a letter of intent to acquire the Kebab Cafe, a Southern California-based restaurant concept specializing in Middle Eastern style cuisine with a European twist. The Kebab Cafe currently operates a flagship location in La Jolla, CA and anticipates opening up to 10 new corporately owned locations in 2010 as well as building out the concept for franchising. Full Story

Tortilla-makers ranked near the top of Sageworks Inc.'s top-10 list of best-performing privately held companies. "Tortillas are now at the point where they are regarded as a staple product," claimed Helen Chavez-Hansen, owner and president of La Tapatia Tortilleria Inc. Other food-related industries also landed at the top of the list, including grain farming and farm products, reported The Fresno Bee. Full Story (Free Registration Required)

Qualsec acquired Vitamin Spice, LLC for approximately 100 million shares of common stock. Full Story

Some 43% of New York City diners are more attentive to prices, 41% are eating at less expensive places, 21% are skipping appetizers and/or dessert and 19% are cutting back on alcohol, according to the 2010 Zagat New York City Restaurants survey. The surveyors are eating out an average of 3.0 times per week, down from 3.3 to 3.4 times per week during the four prior years. The economy notwithstanding, this year's survey shows 157 notable openings vs. 102 closings, compared to 119 vs. 88 last year. Full Story

Southern-style cooking is becoming more pervasive throughout New York City, according to The New York Post. Grits, for instance, are featured at locations including Joseph Leonard, Char No. 4 and Dirt Candy. Full Story

Meanwhile, fried chicken is also garnering increased attention in New York City, noted The New York Times on the Web. Restaurants Redhead, Locanda Verde and Buttermilk Channel are highlighted for their offerings. Full Story (Free Registration Required)

New Product News: Hershey's is introducing a three-pack Snack Size Hershey's Kisses Brand Milk Chocolates and Snack Size Reese's Peanut Butter Pumpkins for Halloween, as well as candy assortments including Frightfully Fun Snack Size Assortment and Hershey's Monster Mix Snack Size Assortment. Full Story ... Just Born Inc. launched PEEPS Chocolate Mousse Flavored Cats and MIKE AND IKE Autumn Medley. Full Story ... The Campbell Soup Company's Pepperidge Farm brand launched Deli Flats, 100-calorie thin rolls in three varieties: Soft 100% Whole Wheat, Soft Oatmeal and 7 Grain. Full Story

Delfi Cocoa Europe completed a major expansion project at its Hamburg cocoa plant, which increased processing capacity to 100,000 metric tons of beans annually from 35,000 metric tons. The plant, a joint venture between Singapore's Petra Foods and the London-based Armajaro group, has been extensively modernized with investment of around €80 million since being purchased in 2007, stated Petra Foods CEO John Chuang, reported Reuters. Full Story

Restaurant Roundup: Panera Bread added the Napa Almond Chicken Salad Sandwich with fresh grapes to its "Signature" sandwich menu, reported QSR Magazine. Full Story ... Dunkin' Donuts launched fall menu items through Nov. 26, including the Low Fat Apple Caramel Muffin, Pumpkin Coffee and Latte, Pumpkin Coffee Coolatta and Pumpkin Muffin. Full Story ... Maui Wowi Hawaiian Coffees and Smoothies introduced a line of branded Hawaiian-flavored coffees, reported QSR Magazine. Full Story

The Hain Celestial Group, Inc. entered into a joint venture agreement with Hutchison China Meditech Ltd. (Chi-Med). Chi-Med will market and distribute infant and toddler feeding products co-branded under the Earth's Best and Zhi Ling Tong brand names and market and distribute selected Hain Celestial brands in China and other markets. Full Story