The future is healthy and ‘well-thy’
The trend towards fast and healthy eating is fuelled by consumer
awareness and the growing availability of functional foods, writes FOOD Magazine’s Singapore correspondent Manali Pattnaik.
MANY Asian countries are, in varying degrees, showing similar trends in processed food and beverage consumption to those in the West, according to Golden Circle international business manager Simon Burgess.
There is a “preference for products that taste good, are natural, healthy, and convenient,” said Burgess, who exports food to the overseas markets of Japan, Korea, China, Hong Kong and Singapore.
The Asian choices
Movies and books such as ‘Supersize me’ and ‘Fastfood Nation’ are not far from reality, and have helped highlight the crisis relating to food-related health concerns.
The global scourge of obesity has triggered the panic button in Asia too.
Asian people take note of healthier food and beverage products as part of a lifestyle choice, and not just a weight-related issue.
Euromonitor International’s analysts told FOOD Magazine the Asian concept of wellness favours a holistic approach to health.
Japanese, and more affluent Chinese consumers, do not exhibit the same reticence to try functional ingredients as consumers in other parts of the world.
In fact, a certain fascination for new ingredients is strongly held.
This is so much the case, that a trend such as upping amino acids or soy peptides quickly floods the market, catalysing the search for the next big ingredient.
It seems functional products can never be too functional in Asian markets, with even bottled water and milk reaping the rewards of functionality.
Both Japan and South Korea have obesity rates below 3%, which is ironic considering both markets near the top of health and wellness sales, are at the centre of innovation, and buy plenty of slimming products.
It seems obesity is not the only factor driving health and wellness sales.
While overweight and obesity are obvious catalysts for healthier food sales, countries such as South Korea and Japan have pervasive cultural norms and long-standing interest in holistic health driving the market forward.
The flavour of ‘wellness’
According to Burgess, there is a high demand for fruit juice without preservatives, artificial colours or flavours, or added sugar.
In particular, ‘not from concentrate’ juice without additives is increasing in popularity.
Leda Nutrition director Julia Stuart told FOOD magazine there was a void in the marketplace for genuinely ‘healthy’ snacks.
“We began with the manufacture of fruity slices, and then co-extruded, fruit filled bars, and within the last 12 to 15 months we have expanded into biscuits,” she said.
Due to recent health trends, the company has cashed in on products that are free of wheat and gluten, dairy and lactose, and cholesterol.
Non-GMO products without added cane sugar and those targeting vegans have also been a hit for the company in Australia New Zealand, the UK, Canada, Italy, and selected Asian countries including Singapore and Hong Kong.
However, the world remains divided over acceptance of GM food, which is found in almost 60% of processed foods.
Organic food products are perceived to be healthier by many concerned with well-being.
For example, Singapore’s organic food supply has grown in a decade from three organic supermarkets to 40.
The island’s first organic supermarket Naturally Marketplace opened recently and Singapore’s largest supermarket NTUC FairPrice dedicates shelves to organic food.
Stocking cereals and breads from Australia, to niche farm products from other countries, the shelves carry several lactose-free and gluten-free products.
Healthy dynamics
Similarly, functional soft drinks, such as sports and energy drinks are now posing a challenge to carbonates, by appealing to consumers with claims of health and enhanced physical performance.
In 2005, total global value sales of sports drinks and energy drinks grew by 13% and 18% respectively, totalling a combined market of $US29.4 billion.
Big players in the food and beverage industries have realised that if they are not smart, and don’t follow market trends, they will loose out.
Thus, a conscious decision to incorporate healthy changes and add benefits to their laundry list of product offerings is the call.
Samurai, an energy drink by Coca-Cola, is enjoyed by Vietnamese people wanting an energy boost.
This vitamin-packed energy drink is fortified with six essential B vitamins, and has an exciting and refreshing flavour that appeals to the Vietnamese palate.
Similarly, Qoo, a light non-carbonated juice drink packed with vitamin C and calcium, is popular amongst children in Asia and Europe.
The blue Qoo mascot itself is a hugely popular character.
Bottled water is another segment in huge demand.
With ‘naturally healthy’ positioning, bottled water is experiencing rapid sales growth, according to Euromonitor International.
The global bottled water market clocked up sales of $US113.5 billion in 2005.
Aimed chiefly at young men, it is ironic that their sugar content is considered secondary to the benefits they impart.
Winning proposition
Fortified, functional foods and drinks, and naturally healthy categories will continue to be in demand as Asia increases its awareness.
The message for manufacturers is clear, merely being functional is not enough.
Products need to take advantage of other trends in the market and step up quality, ingredient innovation, and use convenient packs to maximise margins.
Most importantly, products need to be supported by a clear and strong marketing message, which a wide range of consumers relate to.
While the consumers are becoming more specific in demands, and buying niche products, manufacturers are not skipping a beat to keep track of the changing needs and new demands.
New manufacturers look for extra benefits their products may render compared to what is already available.
Leda Nutrition differentiates its products with minimal processing, using quality ingredients including chick pea flour and natural fruit sugars, which contain greater nutritional benefits than regular wheat flour and white sugar.
Thus, the need of the day is to pay close attention to the trends, tastes and requirements for each specific market.
According to Burgess, the aim is to position a brand in the mind of the consumer as being distinct from the competition.
“There is not the same level of brand awareness in Asia as in Australia, but providing healthy natural products that are convenient and taste great will help us in our goal to increase export sales,” he said.
10-Jan-2007