Health Food Retailing - UK - April 2010
This report concentrates on products traditionally sold through health food stores. Functional foods, ie those with added ingredients that are of benefit to health (eg cholesterol-reducing margarine), are not strictly health foods but are discussed throughout the report as an associated category.
- Convenience is key to store choice for ten million health food users. Steps to making a shop more easily accessible, including online, can tap into the spending of this sizeable group.
- Price drives the store choice of less than two in five health food shoppers, suggesting that the other 19 million respond firstly to other, less blunt tools.
- Almost four million people in the 25-34-year-old age group feel they are too busy to take care of themselves as well as they should. Tangible ideas of how health foods can boost well-being with little effort could loosen the purse strings of this potentially high-spending segment of the health food market.
- In-store information and support can drive additional sales among the 21 million health food shoppers who are not adverse to advice.
- A high proportion of regular grocery shoppers at M&S, Waitrose and the Co-op are heavy users of health foods, suggesting potential to drive sales through a wider health food offering at these stores, or for collaboration between these supermarkets and health food specialists.
- Loyalty schemes or exclusive brands targeting 25-34-year-olds could drive sales by coaxing greater store loyalty among this group: an age group which has a relatively high proportion of users of health foods, but which also is more promiscuous in its shopping habits than other age groups.
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