Future Ingredient Trends in Food and Drinks: Growth opportunities in natural, wellness, functional, weight control, exotic products and food safety

Future Ingredient Trends in Food and Drinks: Growth opportunities in natural, wellness, functional, weight control, exotic products and food safety

Future Ingredient Trends in Food and Drinks
Growth opportunities in natural, wellness, functional, weight control, exotic products and food safety
The ingredients market is undergoing some radical changes due to concerns over the global economy, the safety and sustainability of ingredient supply and new health claims legislation in Europe. 2007 has been a big year for the natural and wellness markets, and this looks set to continue into 2008 and beyond.
Future Ingredient Trends in Food and Drinks is a new management report published by Business Insights that provides insights into the applications of functional ingredients within foods, beverages and supplements. The report is spilt into trend specific segments and within each chapter it analyzes the current market drivers, key trends and potential future ingredients.
Assess the competitive landscape of the food and drinks ingredients market and benchmark the performance and strategies of its leading players with this new report...

This new report will enable you to...
• Quantify and target future growth areas with this report’s market value and epidemiological data, to determine the potential and future growth of each key trend and gain insight into why food safety and exotics are set to find consumer traction in 2008.
• Implement best-practice strategies using case studies from current market leading products that dominate niche and mass-market channels, and use analysis of clinical studies to determine effectiveness and potential use of future ingredients for each trend.
• Identify the market drivers and key issues effecting the ingredients market such as free from, organics and child nutrition, and receive the latest update on EU legislation and how this will impact product marketing in 2008 and beyond.
• Create more effective competitive strategies based on opinions of industry experts from companies such as Beneo-Palatinit GmbH and HortResearch via qualitative in-depth interviews to give an indication of the future of the ingredients market.

Key issues examined by this report...
• A shift towards wellness and healthy foods has been the focus of consumer attention and manufacturers are adjusting their marketing staregies to suit these demands.
• Overweight consumers are the real focus of diet products and formulations. Weight loss has always been at the forefront of innovation and the global obesity epidemic is not set to be controlled any time soon.
• A huge growth in the demand for exotic foods is the result of the success of “superfruits”. The growth of products possessing a high antioxidant capacity has been driven by fruits such as pomegranate, goji and noni. As the demand is set to grow, natural products from Africa are gathering pace.

Some key findings from this report...
• Growth in the US oral beauty supplements market will slowdown from 18.7% between 2001-2006 to 8.7% between 2006-2011. Total market value will be $1.3bn by 2011.
• US and European sales of organic food and drinks were $31.8bn in 2005, and are projected to rise to $58.9bn by 2010. The development of the organic market is continuing due to the popularity of the ‘natural’ channel which a ccounts for 20% of the total natural and organic sector.
• The US functional food and drinks market was valued at over $21.3bn in 2006 and is set to rise by 5.0% between 2006 and 2011. Emerging innovative categories such as beauty, wellness and digestive health are helping sustain this level of growth as part of a general move towards better-for-you foods and beverages.
• The potential value of the green tea market in 2011 will be $204m in the US and Europe combined. Green tea sales in the US increased by 6.1% between 2000 and 2005. It is a significant ingredient in the weight loss category.

Key questions answered by this report...
• Who are the leading innovators in ingredients?
• What is the size of beauty oral supplements market?
• What are the current ingredient trends in the exotic, condition specific, beauty and weight control markets?
• What is the market potential for th e major functional food and beverage categories in Europe and the US?
• How is the issue of safety driving ‘natural’ and ‘organic’ ingredients?
• What is the difference between nutrigenomics and nutrigenetics?
• Which scientifically-supported ingredients will be important in the future food and drinks market?

Table of Contents
Future Ingredient Trends in Food and Drinks
Executive Summary 12
Natural and organic 12
Wellness 13
Beauty 14
Weight control 15
Condition specific 16
Exotics 17
Food safety 18
Chapter 1 Introduction 20
What is this report about? 20
Chapter 2 Natural and organic 22
Summary 22
Introduction 22
Market drivers 23
What is natural? 23
Corporate social responsibility 24
Danger to small businesses as “super-natural” arrives 25
Product contamination consolidates drive to local 26
Organic supplements: certification approval opens the door 27
The natural and organic market 29
Key trends 32
Naturally beautiful 32
Functional natural juice 34
Future ingredients 34
Aronia berry / chokeberry 35
Marketing platform 35
iv
Product application 36
Sausage tree 36
Marketing platform 37
Product application 37
Baobab tree 38
Marketing platform 38
Product application 39
Marula 39
Marketing platform 40
Product application 40
Yumberry / Chinese bayberry 40
Marketing platform 41
Product application 41
Yuzu 42
Marketing platform 43
Product application 43
Chapter 3 Wellness 46
Summary 46
Introduction 46
Market drivers 47
Free from and allergen claims set the trend 47
Omegas push the wellness market 49
Confusion in hard claims and consumer trust 50
Naturally not science: the real wellness market 51
The shift to wellness 53
Children's nutrition: parental wellness 55
The wellness market 56
Key trends 57
The world's first probiotic wellness cereal 57
Using your loaf 58
Evidence for lactalbumin 59
Relaxation and mood foods market 60
Future ingredients 63
Pyrroloquinoline Quinone (PQQ) 63
Marketing platform 64
Product application 64
Huperzine A 65
Marketing platform 65
Product application 66
Olive extract 66
Marketing platform 67
Product application 67
Magnolia bark 67
Marketing platform 68
Product application 68
v
Jujuba 69
Marketing platform 69
Product application 69
Amur cork bark extract 70
Marketing platform 71
Product application 71
Rhodiola 71
Marketing platform 72
Product application 72
Chapter 4 Beauty 74
Summary 74
Introduction 75
Market drivers 75
Inside outside the best approach? 75
Superfruits still strong: new evidence for skin health 77
Nutrients can retard skin ageing 78
European health claims directive 79
New organization: organic beauty 80
Industry insight: interview with Aaron Tabor MD, RevivalDiet.com 81
The beauty market 84
Key trends 87
Beauty tea 88
Beauty jam 88
Joint ventures for innovation 89
Danone faces competition in the beauty market 91
Future ingredients 93
Collagen 93
Marketing platform 94
Product application 94
Lutein 95
Marketing platform 96
Product application 96
Gotu Kola 96
Marketing platform 97
Product application 97
Cherimoya 98
Marketing platform 98
Product application 98
Blackcurrant 99
Marketing platform 100
Product application 100
Black chokeberry 100
Marketing platform 101
Product application 101
vi
Chapter 5 Weight control 104
Summary 104
Introduction 104
Market drivers 105
Obesity: UK study highlights a global epidemic 105
Hoodia still looking to breakout in 2008 106
Weight loss satisfaction: back to basics 109
Phospha-E: the next nutrient for metabolic syndrome 110
Industry insights: interview with Beneo-Palatinit GmbH; Germany 111
The weight control market 116
Key trends 119
The weighty issue of light foods 119
Stay slim the Lipton way: but for how long? 122
The calorie burning market 123
Future ingredients 125
Mucuna, Cowitch, Velvet bean and Cowhage 126
Marketing platform 126
Product application 126
Xanthinol 127
Marketing platform 127
Product application 128
EPL 128
Marketing platform 129
Product application 129
Beta-phenylethylamine 130
Marketing platform 130
Product application 130
Mangosteen 131
Marketing platform 131
Product application 132
Potato protein extract 132
Marketing platform 133
Product application 133
Chapter 6 Condition specific 136
Summary 136
Introduction 137
Market drivers 137
Personalized nutrition 137
Obesity: the application of nutrigenomics 139
Acceptance of condition specific nutrition 139
Government campaign may boost UK Vitamin D sales 140
Omega-3 in 2008 142
vii
Industry insights: interview with Joerg Gruenwald: analyze & realize 143
The functional food and beverage market 146
By benefit 149
Key trends 151
Functional water for blood pressure 151
Cognitive function 152
Sleep disorders 153
Functional juices 155
Future ingredients 156
Salba / chia 156
Marketing platform 156
Product application 157
Lignans from the Norwegian spruce 157
Marketing platform 158
Product application 158
Hyaluronic acid 159
Marketing platform 159
Product application 160
Microcrystalline hydroxyapatite / MCH-Cal 160
Marketing platform 161
Product application 161
Zeaxanthin 161
Marketing platform 162
Product application 162
Chapter 7 Exotic 164
Summary 164
Introduction 165
Market drivers 165
Fairtrade and sustainability: Africa 165
Botanical control in Europe may influence exotic imports 167
Phytotrade 169
Brazil leads exotics 170
Industry insights: interview with Greg Mann and Beth Stark: HortResearch 171
The exotic market 175
Herbals 175
Fruits 176
Key trends 177
Functional beer 177
Energizing fruits 179
Yumberry superfruit 180
Future ingredients 182
Baobab 183
Marketing platform 183
viii
Product application 183
Kigelia / sausage tree 184
Marketing platform 185
Product application 185
Marula 186
Marketing platform 186
Product application 186
Mobola plum / parinari fruit 187
Marketing platform 188
Product application 188
Sutherlandia 188
Marketing platform 189
Product application 189
Chapter 8 Food safety 192
Summary 192
Introduction 192
Market drivers 193
China: an update 193
‘China-free’ labelling initiative 193
Safe products: a Chinese perspective 194
Supplement contamination still a big issue 196
Danisco takes lead in safe capsules 197
Irradiation 199
Food safety in the UK 200
Beverage safety drives new demand and focus from Congress 201
Issue of rBGH 202
Index 204
References 206
List of Figures
Figure 2.1: Consumer opinions of food biotechnology and health 25
Figure 2.2: USDA Organic Seal 27
Figure 2.3: First Organics Inc and their USDA Organic Seal 28
Figure 2.4: Structure of the European and US organic food retail market: where consumers shop,
2002 30
Figure 2.5: 2b Beauty Yogurt from Nestlé Japan 33
Figure 2.6: Naked Juice Co – probiotic juice 34
Figure 2.7: Juice of Life Aronia beverage 36
Figure 2.8: Kigelia skin cream from Biobotanica 37
Figure 2.9: Body Spring for digestive heath 39
Figure 2.10: Mistic Zotics 40
ix
Figure 2.11: Zhejiang Yumberry Juice 42
Figure 2.12: Hosoda Citron Juice (Yuzu) 43
Figure 3.13: Growth in free from product launches, by category, 2004-2007 47
Figure 3.14: Pom Wonderful 52
Figure 3.15: Quaker Oats 53
Figure 3.16: Areas of success for new product launches 54
Figure 3.17: Crayons Kids fruit drink with SugarGuard 56
Figure 3.18: Kashi Vive Probiotic Digestive Wellness Cereal 58
Figure 3.19: Warbutons Healthy Inside loaf 59
Figure 3.20: Davisco's Biopure Alpha-lactalbumin 60
Figure 3.21: Optimum Zen – Nature's Path 61
Figure 3.22: Asian Sun’s liquid green tea 62
Figure 3.23: Lipton Tea: Activate your brain train website 62
Figure 3.24: PQQ from Advanced Orthomolecular Research 64
Figure 3.25: Nerd's Energy beverage 66
Figure 3.26: Carter-Reed’s Relacore with Magnolia extract 68
Figure 3.27: Physician Formula’s Good Night sleep aid 70
Figure 3.28: Flex joint formula from Eniva Corporation 71
Figure 3.29: Nutraforia the mood-enhancing supplement 72
Figure 4.30: Procter & Gamble’s advert for Metamucil 76
Figure 4.31: Hidrox advert from DSM Nutritional Products 78
Figure 4.32: Sipping Beauty 88
Figure 4.33: Norelift – Noreva (melon/mango spread) 89
Figure 4.34: Inneov skin beauty supplement range from L’Oreal and Nestlé 90
Figure 4.35: Love Body beauty drink from Coca-Cola Japan 91
Figure 4.36: Danone’s Essensis beauty yogurt 91
Figure 4.37: Emmi’s Beauty Case Sensitive yogurt 92
Figure 4.38: PureLogicol 94
Figure 4.39: Eiwa Confectionery’s collagen beauty marshmallows 95
Figure 4.40: Regederm 96
Figure 4.41: Anti-wrinkle product from Medestea Internazionale 97
Figure 4.42: Skin Balance Water from Borba 99
Figure 4.43: Fine Co’s Anti-Ageing supplement 100
Figure 5.44: Satiety index of foods 109
Figure 5.45: Advertising copy for Fabuless 120
Figure 5.46: Advertising copy for Palatinose 121
Figure 5.47: Lipton Linea weight loss tea 122
Figure 5.48: Celsius 124
Figure 5.49: Coca-Cola’s Enviga 124
Figure 5.50: Fixx energy beverage 127
Figure 5.51: iSatori’s MX-LS7 Weight loss formulation 128
Figure 5.52: Arson from Iovate is a new fat burner in the Muscletech range 129
Figure 5.53: Cytolean fat burner from Gaspari nutrition 131
Figure 5.54: Mangosteen based diet from Newvision LLC 132
Figure 5.55: Potato extract from Kemin 133
Figure 6.56: Works With Water’s unique blood pressure water 152
Figure 6.57: Truetoniqs Brain Tonique 153
Figure 6.58: Dreamerz Foods – dreamerz bedtime milk 154
Figure 6.59: Minute Maid Active 155
Figure 6.60: Salba Flat Bread 157
Figure 6.61: Supersmart’s HMRlignan 158
Figure 6.62: 100 Hyaluronic 100 160
Figure 6.63: MCH-Cal from Natrol 161
x
Figure 6.64: Super Zeaxanthin from Life Extension 162
Figure 7.65: Decision tree for allocating botanicals reported to have been considered for possible
food and/or food supplement use 168
Figure 7.66: iKi Beer – Fresh Ideas winner 2007 178
Figure 7.67: Anheuser-Busch – 180 179
Figure 7.68: Organic Açai Juice 180
Figure 7.69: Frutzzo Yumberry juice 181
Figure 7.70: Yumberry from The Berry Company 182
Figure 7.71: Skin Cream extract from Rosa Graf 184
Figure 7.72: Santica Beauty Recipes Face Serum 185
Figure 7.73: Marula Sunrise Tea Blend 187
Figure 7.74: The mobola plum 187
Figure 7.75: Sutherlandia product from African Red Tea 189
Figure 8.76: Top 5 food concerns for Chinese consumers 195
Figure 8.77: rbGH-free label and products from Ben & Jerry 203
List of Tables
Table 2.1: Value of the US and European organic food and drink market, by country, $bn, 2000-
2010 29
Table 2.2: Value of the US and European natural (excluding organic) food and drink market, by
key product categories, 2000-2010 31
Table 4.3: Oral beauty supplements market value, Europe and US, $m, 2001-11 85
Table 4.4: Oral beauty supplements market value, by category, Europe and US, $m, 2001-11 86
Table 4.5: Prevalence of psoriasis across seven major markets, 2005 87
Table 4.6: Prevalence of atopic dermatitis across seven major markets, 2005 87
Table 5.7: Diet food and drinks market, Europe and the US, $m, 2006-10 116
Table 5.8: Prevalence of obesity in the six major markets, by age, 000s, 2005 117
Table 5.9: Prevalence overweight in the six major markets, by age, 000s, 2005 117
Table 5.10: Energy food and drinks market value, Europe and US, $m, 2001-2011 119
Table 5.11: European and US green tea market value, by country, $m, 2001-2011 123
Table 6.12: US functional food and drinks market value, by category, $m, 2001-2011 147
Table 6.13: Europe functional food and drinks market value, by category, $m, 2001-2011 148
Table 6.14: Digestive health functional food and drinks market value, Europe and US, $m, 2001-
2011 149
Table 6.15: Heart health functional food and drinks market value, Europe and US, $m, 2001-2011
150
Table 7.16: Sales of herbal and botanical supplements, $m, Europe, the US and Japan, 2002-2006
176
Table 7.17: Per capita fruit consumption, European countries and US, kilograms/person, 2001-
2011 177