Are you tired of hearing these statements

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Future trends in grocery
Presented by Lynn Dornblaser, Director, GNPD
Consulting Services
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Mintels tools for tracking global trends

• GNPD tracking new products around the world
• Product retrieval bringing products to your door
• Mintel Reports understanding the why behind
  the trends

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Todays presentation

• A brief look at new product numbers
• 10 grocery trends for the next five years

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Global food nonfood introductions by region
Strong increases in new product introductions in
all regions, resulting in almost half a million
new products in just four years.
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US food beverage introductions
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10 trends for the next five years

• The G word replaces the C word
• What do you mean, good bacteria?
• Youve gotta have heart
• Doing a balancing act
• BB King, Mary Tyler Moore, Ron Santo
• You cant eat it if you cant open it
• Going beyond dashboard dining
• Just kidding
• Aromatherapy comes to food
• Dining for dollars (and profit)

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The G word replaces the C word

• The C word Carbs
• The G word Glycemic
• Low-carb trend (always a US phenomenon), fades
• Other parts of the world look to low glycemic
• Can be difficult to understand, but can be
  simplified for consumers

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Some of the latest low-carb entries in the USA
Hormels fully cooked bacon Krafts grated
Parmesan cheese (with a South Beach Diet tie-in)
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Low carb drops, low glycemic shows growth
-36
614
Comparing November 2004 to December 2004
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Low glycemic in confections and snacks
Russell Stover Candies DiabetX candy line USA
Whitmans Candies Sucratrol candy (indicates
glycemic load), USA The Food Doctors Food Bar
line, UK
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Low glycemic in other categories
Valios A yogurt, Finland Marks Spencers
Count on Us range with GI labelling, UK Zenergy
Beverages Play water for kids, Australia
Berris Fruitful Super Juice, Australia
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What do you mean, good bacteria?

• Probiotics--big news in every country but US
• Trend started in Asia, now covers the globe
• Growing evidence of benefits to gut health
• Opportunities for US market, in both probiotics
  and prebiotics

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New probiotic introductions
Unilevers Flora Pro-Activ cholesterol-reducing
probiotic drink, UK Maeil Dairys Probio GG
Chlorella drinks, South Korea Danones La
Serenisima yogurt with cereal and fiber, Argentina
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Danone introductions differ in US
Danones Actimel (seen in most countries, but not
in USA) Dannons DanActive, only sold in USA
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Probiotics and prebiotics grow in many regions
Kelloggs Rice Krispies Muddles cereal, UK Grupo
Leche Pascuals prebiotic drink, Italy
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Youve gotta have heart

• Incidence of heart disease continues to grow
• US Food Guide Pyramid should spur introductions
• High fiber, whole grain
• Reduced cholesterol, reduced sodium
• Heart-health benefits of antioxidants

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Whole grains, high fiber grow
Pemas Fit for Fun whole grain bread range,
Germany General Mills Whole Grain Total, USA
Nestlés Lean Cuisine Spa line, USA
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Cholesterol reduction appears in new areas
Danones Danacol cholesterol-reducing drink,
Europe Emmis miniCol cholesterol-reducing
cheese, Netherlands
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Promoting benefits of antioxidants
Ecco Bellas Health by Chocolate chocolate beauty
bar, USA Masterfoods Cocoa Via chews and bars,
USA
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Doing a balancing act

• Concept of balance in the diet
• The new French food paradox
• Again, a trend that is growing outside the US
• Will we see the end of supersize me?

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The latest non-diet diet plan?
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Products promoting balance
Campbell Soups Ignite meals, Canada EASs Body
for Life Balanced Nutrition Bar, USA Krafts 100
Calorie Packs, USA Nestles Milo chocolate
drink, Asia Pacific
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BB King, Mary Tyler Moore, Ron Santo

• One thing in common diabetes
• Incidence of diabetes on the rise in the US
• Potentially staggering numbers of pre-diabetics
• Product development divides into those clearly
  for diabetics and those that are under the radar

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Products for diabetics appear everywhere
Express Foods Original Swiss Style Muesli,
India Biocenturys Gluceminus sweetener,
Portugal Abbott Labs Glucerna snack bars, USA
Karwendels Exquisa diabetic yogurt, Hungary
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You cant eat it if you cant open it

• Easy-open, easy use packaging--almost nonexistent
  in some categories
• Products and packaging geared for older consumers

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Packaging for older consumers
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Packaging with potential
Danone de Mexicos Danao juice milk drink,
Mexico Hormel Chili in Tetra Recart package,
USA Wyeths Advil in an Easy-Open bottle
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Going beyond dashboard dining

• How many people really do eat in the car? Is that
  really the next big opportunity?
• Real opportunity may be instead in more food and
  beverage that travels easily

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News in portability
Kelloggs Drink n Crunch cereal and milk, USA
Kimberly-Clarks Kleenex tissues for automobile
cup holders, USA and Philippines Noberascos
Frut Go! Fruit snack, Italy
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Deskfast
Kraft Philadelphia To Go bagel kit, USA Kellogg
Fjølk Corn Flakes, Germany
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Products in pouches and sticks for snacking
Lottes Coolish ice cream to drink,
Japan Frieslands Go! yogurt-snack,
Netherlands Cadburys white soft chocolate in a
squeezable tube, South Africa
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Just kidding

• Products for kids often split into two fun and
  healthy
• Why not both?

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Unusual package forms for kids
Ferreros Kinder Happy Time dessert drink,
Europe Brasfrigo pasta sauce for kids, Brazil
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Interaction
Procter Gambles Pringles Prints crisps, USA
Fizzy Cies Twin Fizzy interactive drink, France
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Its food--of course it smells good!

• But there is so much more--language and scents of
  aromatherapy are moving into food and beverage
• Next wave of mood foods

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Food aromatherapy
The Food Doctors Unwind bar with chamomile, UK
Origins Sensory Therapy Chocolate bar with
essential oils, USA Nestlés Wellness Relax
water, Germany
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Dining for dollars (and profits)

• Do you know whats going on on restaurant menus?
• Cutting edge ideas often appear here first, and
  can translate to CPG

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A few restaurant trends to watch for

• Latin fruits (mango, papaya, etc.) increasingly
  appear on menus, especially in fine
  dining/upscale/gourmet restaurants
• Lavender as a flavor is beginning to appear as
  well--look for it in crème anglaise, vinaigrette,
  and infused honey used as meal components
• The world is getting spicier--all types of
  peppers appear more strongly on all types of
  restaurant menus
• Chipotle as a named flavor comes on strong, from
  mayonnaise and ranch dressing to tortillas and
  cream sauces
• Green tea moves from beverages to ice cream, main
  dishes, and salads

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How to contact meLynn Dornblaser312-932-0400l
ynnd_at_mintel.com