CHICAGO – An Information Resources Inc. (IRI) study suggests that retailers can learn more about how to market healthier food and beverage options to kids by assessing the current performance and future impact of "better-for-you" products, according to a press release.
"Better-for-you innovation is driving volume growth in many of the most successful food and beverage categories," Thom Blischok, president of IRI Retail Solutions and Strategic Consulting commented, adding, "To truly understand the emerging trends taking place today in these kid-focused categories, retailers need an in-depth, cross-category analysis that provides implications and recommendations that go beyond the narrowly focused individual category reviews they work with today."
Inside the report, IRI provides an in-depth analysis of better-for-you products within 16 food and beverage categories geared towards kids. The report highlights key growth trends insights into which product attributes work best, and which do not, as well as what those findings can mean to retailers. Some of those findings include:
- The "spending index" among households with kids in many food and beverage categories is significantly higher than those without kids. However, marketing of these categories largely focuses on "adult tastes and preferences"
- Households with kids is a growing and high-spending demographic, driving 20 percent growth in key categories since 2002 versus 2 percent for households without kids. For retailers, notes IRI, "Learning to serve these households will be a key competitive advantage"
- Among the kid-driven categories, better-for-you products have increased 31 percent since 2002 versus 7 percent for mainstream products. According to IRI, innovation in these categories is driving volume growth more than any other factor
- In the past three years, the most successful new products promote healthy eating and drinking habits and are driving growth in the better-for-you categories
"IRI is committed to leveraging all of its resources to bring actionable and thought-provoking insights to retailers," Blischok added. "We are currently developing a new initiative that will empower retailers to address the industry's burning issues, and wanted to give retailers a glimpse of this new program by offering our ground-breaking 'Healthy Kids Report.'"
According to IRI, the report can help retailers build greater assortment, merchandising and improve supplier relations by increasing their knowledge in better-for-you products. "In addition, retailers can communicate a better-for-you message to consumers and become a value-added source for consumer education."