Consumers’ affection for clean label continues
According to recent survey results from Nielsen and Label Insight, 39% of U.S. consumers say they would switch from the brands they currently buy to others that provide clearer, more accurate product information.
Today’s consumers are more educated than ever, largely because they have access to more information than ever—and that’s only going to continue. So when it comes time to shop, consumers are putting that knowledge to use, and are willing to pay for products that meet their specific needs. According to recent survey results from Nielsen and Label Insight, 39% of U.S. consumers say they would switch from the brands they currently buy to others that provide clearer, more accurate product information.
In addition, 68% say they’re willing to pay more for foods and beverages that don’t contain ingredients that they perceive are bad for them. In some cases, consumers are more interested in knowing what’s not included than what is included in the products they buy. In fact, 53% of consumers say the exclusion of undesirable ingredients is more important than the inclusion of beneficial ingredients.
As a result of the consumer focus on transparency, claims like “natural,” “organic,” and “gluten free” have become common on the packages of products throughout the store. The focus has also given way to a growing “clean” label trend—one that hinges on consumers’ desire for labels that are easy to read and contain simple ingredients. For consumers looking to take transparency a step further, claims on how products are made, such as fair trade, have become a factor in the purchasing decision.
But transparency and label claims aren’t just providing insight—they’re driving sales. For example, sales of products that make organic claims are up 10% from a year ago, sales of products that make “all natural” claims are up 7.8%, and sales of products that claim “no additives or artificial ingredients” are up 8.0%. We can also see increased sales across the broader categories along the progressive scale that describes the attributes within the clean arena.
Given the state of information that the world now lives in, success along the path forward will depend on clear communication with consumers and a focus on what matters to them. Manufacturers, brands, and retailers will need a keen sense of current trends toward product transparency in order to deliver on evolving consumer needs.