Refresh

A couple weeks ago, I wrote about the precocious new class of healthy kids out there, and about how they could change the face of youth marketing. That may or may not have grabbed your attention (since, c’mon, there’s a lot of conjecture out there about healthful eating habits). And if it didn’t, well, listen up:

As reported in the Journal of the American Medical Association and The New York Times, childhood obesity rates appear to be leveling off. The finding hints that the country could be entering a period when the numbers also start dropping. That’s great news, especially when you consider how rapidly this alarming trend grew: Between 1980 and 2002, the percentage of children considered “obese” increased from 6.5% to 16.3%

Scientists are careful not to herald the end of the epidemic, stating this could just be a temporary lull, unrelated to efforts by food companies and the healthcare sector. It’s also no cause for congratulations that nearly a third of American children are classified as overweight or obese.

It’s always good to take results like this with a grain of salt, of course. But I’ll go out on not too long of a limb here and say that the tide seems to be turning in favor of health and wellness for young shoppers. The food industry has been building momentum of late, with beverage and candy companies recently agreeing to halt marketing geared towards children 12 and under. Retailers and various other manufacturers have kept the ball rolling. Heck, even Disneyland is serving up sides of fruits and vegetables these days.

Retailers especially shouldn’t let themselves get complacent. These new results should spur them to continue healthful marketing and not let up anytime soon. Or ever.

Are you listening Ben Bernanke? Hear that, you talking heads on CNBC?

Consumers think we’re in a recession. So put away your formulas and your spin, because they didn’t work anyway. A new study shows that 86% of U.S. consumers believe the country is currently in a recession. I don’t know about you, but a number like that captures my attention. The online survey of 1,000 people was conducted by The Nielsen Company, which has proven itself to be a pretty reliable arbiter of public opinion.

Over the next six months, the economy ranked No. 1 in the Biggest Concern department, with 35% of respondents saying so. Some 15% said debt would be their top concern. Perhaps the White House should read these numbers, too. International affairs, like war and terrorism, ranked near the bottom of the list (as did global warming).

David Parma, Nielsen’s global head of customized research, summarized the national mood perfectly when he said, “Even if we’re not officially in a recession, consumers certainly feel like we’re in one.”

And they’re holding on to whatever cash they have left after essential expenses. Roughly 41% of those polled say they’re using spare funds to pay off debt, while another 36% is socking it away into savings. Twenty-four percent freely admitted, “I have no spare cash.”

The Nielsen study didn’t ask any specific questions about changes in food shopping behavior, but there’s enough anecdotal information out there to support the study’s findings. One report that caught my eye was from Hormel Foods, the meat processor: Sales of Spam luncheon meat are up nearly 11% since the economy started tanking. The average price of a 12-ounce can is $2.62.

You have to respect today’s supermarket beverage buyer. He or she is getting inundated with new products, promotional deals and merchandising fixtures, while planograms for store shelves need constant review, revision and redistribution. Manufacturers are turning out new and improved mixes, bottles and cans to match consumer demand for convenience and health.

The whole process seems to be going into overdrive this spring. Of course, that’s not too surprising when you remember that a lot of the new beverages target kids who, after 10 months cooped up in the classroom, are ready for summer. Kool-Aid, the iconic powdered drink mix, is entering the era of wellness with four reformulated products, and one new one. Among them is Sugar Free Kool-Aid, updated to taste more like regular unsweetened Kool-Aid than the original version, introduced in 1983.

The new product is Kool-Aid Burstin’ Waters, a ready-to-drink flavored water beverage that comes in a squeezable plastic bottle. Burstin’ Waters is caffeine free, comes in three flavors and is only 35 calories per serving.

Three of those on the annual multi-state car trip to see Aunt Ida and that’s not the only thing in danger of Burstin’.

For the more mature drinker, there’s a new line of six ready-to-drink options from a partnership between Jamba Juice and Nestle USA. On the smoothie side, there’s Strawberries Wild w/Energy Boost; Orange Dream Machine w/Immunity; and Banana Berry w/Heart Healthy Boost. The Juice varieties include Orange Strawberry Banana w/Protein Boost; Mango Orange Peach w/Fiber Boost; Very Berry w/Calcium Boost.

Perhaps one of the most intriguing developments in this continuing beverage saga has been the lack of interest by the big companies in rolling out new carbonated soft drinks (sodas, pops — whatever you want to call them). These most recent introductions just go to prove that the heyday of the soda (the term I grew up with in New York) is indeed over. Today it’s all about boosted fruit drinks, infused teas and energy concoctions. What’ll you have?

While in Boston over the Memorial Day weekend, I ended up at Hatch Shell in the Charles River Esplanade - site of the 15th annual EarthFest. I did not expect to work, but as I walked the aisles of grass and pinballed from booth to booth, I suffered a flashback. Hey! I know you!… Don’t tell me, Expo West, right? East? Ah, right!

I was impressed by the number of food companies that turned out. Whole Foods Market had its very own, very large tent filled with samples of its 365 private label line, including soaps, cookies and chips. Employees greeted attendees wearing bright green T-shirts and primed with plenty of talking (shouting might be more accurate) points. Also working the crowd of 50,000 were Morningstar Farms, Annie Chun’s, Kashi, Steaz, Nantucket Nectars, Nature’s Path, Barbara’s Bakery, Honest Tea, Stonyfield Farms and Cape Cod Potato Chips.

People certainly enjoyed the food (the bulging, reusable shopping bags filled with freebies attested to that), but the truer spirit of the event could be found at the non-profit and local community group section, promoting various causes ranging from bicycle transportation to energy efficiency. There were fewer giveaways here, but plenty of information and ideas and inspiration on ways everyone can reduce their individual impact on the environment.

Then there was the music. A few of the five bands were from my college years. I was glad to see they were still around (like me) and still looked pretty good (hopefully, like me). One of them was a favorite when I was in school — the BoDeans, a great, Milwaukee-based duo that I hadn’t seen in more than 10 years, closed with what’s probably they’re best-known song, “Closer to Free.”

Closer to Green is more like it. At least, we can hope. It’s impossible to say just how many people actually took time to look through the free samples and giveaways, to the message and goals behind Earthfest. Purchasing ethically processed foods that respect the earth is certainly one way to demonstrate a commitment, but it’s only one part. Let’s hope next year the bike rack will be more full and nonprofit tables busier. Anyway, thanks WBOS 92.9 for putting on a great show and getting us all to keep thinking green!

Talk about timing. Unified Grocers of Los Angeles is introducing its own line of natural and organic foods and beverages to the company’s independent retail accounts on the West Coast. The announcement comes just as the economy seems to be settling into a funk that will persist at least through summer.

The Natural Directions line initially encompasses 120 dry grocery, refrigerated and frozen items, all packages highlighted with a bright yellow sun and a purple background. The line joins other natural/organic private labels rolled out over the past three years, including Topco’s Full Circle and Safeway’s O Organics, to name but two.

The retailer-owned wholesale distributor may be late to the game (Ahold USA introduced its Nature’s Promise store brand in Sept. 2004), but there’s plenty of room to accommodate newcomers. As a category, supermarket private label grew 1.3% in dollar volume last year, according to the Private Label Manufacturer’s Association. Sales increased by $600 million for total channel sales of $45.5 billion. Industry observers point out that an impressive amount of the recent growth is due to natural/organic store brands, where the message is, “Healthful eating without the premium price.”

For Natural Directions, Unified relied on Market Centre, its in-house subsidiary that oversees specialty and better-for-you programs; ND Foods; Organic Foods International; and other companies in developing the products. Organic items are certified by Quality Assurance International.

According to Ray Burtner, general manager of Unified’s Market Centre unit, the rollout of new items will continue over the next several months. With consumer worry over the health of our economy increasing every day, additions to the line can’t come fast enough.

With food prices on the rise, retailers are trying to stay ahead of the game by diligently tracking shopping habits in stores — what people are buying, how much, and how often. That’s a crucial step, of course, but it’s not the only place to look for helpful insights. Take, for example, an interesting new trend that’s (literally) cropping up outside of stores.

And not just outside of stores, but in the great outdoors, where more and more people frustrated by high prices are growing their own food. As The Associated Press reported earlier this week, W. Atlee Burpee & Co. — the country’s largest seed provider — has doubled its seed sales between this year and last. And according to the National Gardening Association, people spent $1.4 billion on vegetable gardens in 2007 — a 22% increase over the previous year.

Food prices aren’t the only cause of this green thumb growth. People are also inspired by the popularity of local and organic, and by the fact that growing your own produce creates a carbon footprint of approximately zippo. Urban farming seems to have taken hold, as has front yard gardening, as my colleague Bob reported in a recent issue of SN Whole Health.

But let’s go to the expert. Bruce Butterfield, market research director with the National Gardening Association, attributes the gardening surge to a combination of factors: “I think part of it is people feeling like, ‘Well, I can’t do anything about gas prices or food costs, but I can feel good about doing something for myself like planting a few vegetables,’” he said. “There’s also this whole buy local and slow food initiative right now, and I also think there’s been more emphasis lately on eating fruits and vegetables.”

Supermarkets might see all of this as worrisome, since more gardens would seem to equal less produce sales. But that’s probably not the case. If anything, managers should look at this as an opportunity. People want fresh, locally grown food at a reasonable price. Retailers can stand on the sidelines, or they could give the customers what they want. And maybe throw in some seeds to boot.

Most shoppers will tell you that they’d like to lower their carbon footprint. There are many ways to do this, of course; consumers are driving fewer miles, using less electricity, purchasing carbon offsets, and more. When it comes to food choices, they have overwhelmingly shown their support for buying local. The shorter the distance something has to travel, the less fuel burned, the smaller the amount of carbon that’s pumped into the atmosphere.

Simple, right? Welll…

There’s mounting evidence that shows local buying is only one part of the carbon equation. A study published last month in the journal Environmental Science & Technology names red meat and dairy as prime culprits, responsible for a combined 48% of all greenhouse gases attributable to food production. This is due to the energy-intensive process of feeding and housing cows, not to mention the gases they put out themselves. Making one day a week meat-free would be the carbon equivalent of driving 1,160 miles less per year, according to the researchers. A recent study by the Pew Commission on Industrial Farm Animal Production came to a similarly damning conclusion against conventional meat processing.

Consumers are starting to get wind of all this, mainly through books and news outlets. Next month, Houghton Mifflin will publish “The End of Food” by Paul Roberts, which focuses on incompatibilities in the modern food system, including meat production. National Public Radio recently aired a story about going beyond the local movement. And the Los Angeles Times just wrote about the cafeteria at California’s University of Redlands, which features a “low-carbon diet.”

“Raising beef is incredibly inefficient, and I think that people are becoming aware of it,” said Denis Ring, who helped develop Whole Foods’ “365” private label brand and now serves as president of retail consulting firm Bode International, in an interview.

Retailers: File all of this under “something to watch.” Local products are still going strong, and although there’s been a slowdown in meat production, the demand is still there. But just as reusable bags caught on, so too might this movement against a seemingly invulnerable category.

As the days count down, it’s time again to write a few words about the Healthy Foods International Exposition and Conference scheduled for June 18-19 at the Dallas Convention Center. Supermarket News and SN Whole Health are part sponsors of the inaugural show.

Now, yours truly is primarily a writer. I attend shows, write up the seminars, cover the happenings and make notes during booth visits. So, I was intrigued when I was asked to actually help craft the educational portion of the show.

I think each of the topics is on-point. Kids’ marketing; creating “authenticity;” making healthful eating convenient….. All of these are integral to any mainstream supermarket’s health and wellness merchandising. Two keynote sessions in particular lend this show a timeliness not found in any other professional venue this year. First, Dr. David Katz of Yale University and Topco Associates will provide a thorough overview of their simple, yet effective Overall Nutritional Quality Index, or ONQI. This consumer education program promises to take a lot of the mystery out of the consumer buying decision, for any food sold in the modern supermarket. The best part is it’s a shelf-level program, directed at consumers right at the point of purchase.

Then there’s a proprietary study that points out the disconnects between consumers and retailers, and retailers and manufacturers in the area of health and wellness. Conducted by Nutrition Business Journal, another publication in our coast-to-coast Penton Media family, and Avero Research, this study is sure to open a lot of eyes. Just because we’ve been at this “selling health” stuff awhile doesn’t mean we’re experts. Anyone attending this conference will find out there’s a long list of things that still need to be done.

What’s different about this show is the word “mainstream.” HFI is geared specifically for the larger-scale retailers and manufacturers participating in the whole health movement. No Mom and Pop companies here; at HFI you’ll see giants like Kraft and national retailers like Wal-Mart Stores.

We’ve even got our own stars. Chef, author and television personality Devin Alexander will be there, as well as author Sam Fromartz, who wrote “Organic, Inc.” and continues to share his keen observations of the industry on his blog.

So, come join us! Click on the link in the first paragraph to get all the details. My little entry here hardly does the show justice.

In a culture where 10-year-olds now carry cell phones and wear trendy clothes, the old adage about kids growing up fast has taken on a bittersweet meaning for many parents.

Not so when it comes to healthful eating, where they’ve become more than happy to treat their children like little grown-ups. Many have begun enrolling their kids with organizations like Austin, Texas-based Batter Up Kids, which offers classes, camps and field trips dedicated to healthy and practical cooking. They’re also cooking more at home. As The New York Times recently reported, publishers are coming out with more cookbooks marketed directly at children. Many of them focus on sophisticated healthful meals and snacks. Celebrity chefs like Paula Deen and Rachel Ray are even taking a crack at the market.

Across the pond, they’re way ahead of the curve. Earlier this year, England’s Department for Children, Schools and Families announced that, starting in 2011, every 11- to 14-year-old will be required to take cooking classes in school . This isn’t your mom’s Home Economics class, either. Aimed at curbing the country’s own obesity epidemic, the classes teach kitchen basics along with proper nutrition and healthful recipes. They’ll also cover trim twists on some of England’s classic dishes (mmm, shepherd’s pie).

For retailers and manufacturers, all of this is worth paying attention to. Many companies have traded in food colorings and high fructose corn syrup for all-natural ingredients. And stores like Lowes Foods and Price Chopper have offered health-focused store tours and scavenger hunts. But this latest generation of precocious, hands-on young eaters may signal a new direction in health and wellness marketing. The more they and their parents know about dieting and nutrition, the more they’ll demands they’ll make on the products they buy.

The after-school snack just got a whole lot more interesting.

Everyone is familiar with local produce. It’s nice to see a retailer taking the concept one step further and bringing local to the meat case.

Weis Markets, the 156-store chain based in Sunbury, Pa., has introduced Pennsylvania Proud Choice Angus Beef to a select number of stores in the state. The full line of hand-carved roasts, steaks, tenderloins and ground beef is aged a minimum of 20 days. The grain-fed cattle come from farms operating in three counties.

“Last year alone, we purchased more than 19 million pounds of produce from local Pennsylvania producers,” said Norman Rich, CEO of Weis Markets, during an in-store event introducing the Angus products. “Our Pennsylvania Proud Choice Angus Beef is the logical extension of our commitment to buying and selling Pennsylvania’s best products.”

While other retailers operate similar programs, using proprietary specs for feed and marbling, Weis claims it’s the first retailer in the country to offer customers a local beef program (it’s the state’s first branded Pennsylvania Angus program — period). Right now, 53 Weis stores merchandise the line, with stores to be added as more farms are signed up.

To make the most of the moment, Weis invited other local food companies that participate in the “PA Preferred” program promoting foods made or processed in the state. They included: Wilbur Chocolate, Utz snack foods and Berks Packing Company, among others. That’s how Weis does local — let’s hope all retailers have the same commitment.