On-Pack Nutrition Labeling Is a Wise Business Decision

The Nutrition Labeling of Ground or Chopped Meat or Poultry Products and Single-Ingredient Products Rule, as proposed in 2001, is currently under deliberation by the USDA. To help you get ahead of the game before the Rule is officially released, top scale manufacturers like Mettler-Toledo and Hobart have created label templates that make it easy to implement On-Pack Nutrition Labeling programs now. There are several reasons why you should want to implement such a program now rather than wait for the Rule to pass, and several retailers agree that such programs are good for business.

Poor eating habits are a contributing factor to obesity, a current public health issue in the U.S. against which Americans are starting to fight back. As awareness of this problem is increasing, consumers are changing their shopping habits to help remedy the issue. As a result, your customers are thinking more about the nutritional value of the foods they purchase; they're seeking out nutrient-dense food sources to replace the empty calories they've been getting from other foods. In doing so, they are often referring to the Nutrition Facts Panels found on many products in your stores.

Confusion becomes a factor, though, when your customers are shopping in the meat department for beef and other proteins. When trying to find answers to questions regarding the saturated fat content of a serving of Bottom Round Roast or the percentage of their daily requirement of protein in a serving of Flank Steak, customers in most stores can't find the answers on packages of fresh beef. Customers can become confused and possibly discouraged from purchasing the meat altogether, as they have no idea how it fits into their healthy diet. That’s where On-Pack Nutrition Labeling of fresh meat products comes in.  When you implement an On-Pack Nutrition Labeling program in your meat department, you will eliminate any confusion regarding the nutritional content of fresh meat products, and you will educate your customers that beef and other proteins can be part of a healthy diet. Just ask Harris Teeter, Fry’s, Marsh/LoBill and Ukrop’s, four retail chains that have partnered with the beef checkoff to implement On-Pack Nutrition Labeling test programs. When they implemented test programs in their stores, they learned that it was a wise business decision. On-pack labels supplemented with point-of-sale (POS) materials and advertising drove home the key nutritional messages.

Messages about beef nutrition included:

• Beef is an excellent source of Zinc, Protein and Vitamin B₁₂
• Beef is a good source of Iron, Niacin and Vitamin B₆
• Zinc helps fight colds and maintains a healthy immune system
• Iron is important to your children’s mental development
• Protein acts as a building block for muscles, which helps your metabolism
• Many B-vitamins help turn your food into energy

  An Evolving Trend More and more of your customers are thinking about nutrition while shopping. Several studies released over the last few years confirm this trend. Nearly 7 out of 10 Americans agree it is easier to make purchase decisions when food products bear printed health claims SOURCE: Mintel, 2003 67% of the 79 million baby boomers believe eating a balance diet is very important to staying healthy SOURCE: The Boomer Project, December 2005 Organics have grown 20% per year for the last 7 years American shoppers spent more than $51 billion on natural and organic products in 2005 SOURCE: Agricultural Marketing Resource Center Almost 9 in 10 shoppers (88%) are concerned about the nutritional content of their food… up from 46% in 2000. 62% of all shoppers think their diets could be healthier Shoppers look for: Low fat (56%) Whole grain (59%) High fiber (51%) Low sugar (44%) Low sodium (48%) 82% of shoppers are attracted by health claims on packages when purchasing products for the first time SOURCE: FMI US Grocery Shopping Trends, 2007 What can you do to provide your customers with the information they’re looking for in the meat case?

These messages added value to the information on labels by helping the customers make a connection between the nutrients found in beef and how they can be part of their healthy lifestyle.

Shugoll Research conducted consumer intercepts in Marsh and LoBill stores to learn first hand from customers the effectiveness of the On-Pack Nutrition Labeling program. Findings showed that 52% of the customers questioned at the end of the test program indicated that they now believe beef to be healthier than they previously believed, a 45% increase compared to those asked before the test period.

The intercepts also revealed that about 15% of the customers questioned are now more likely to shop at a store that offers on-pack nutrition information.

An analysis of dollar and pound sales data in Marsh and LoBill stores showed an increase in both sales categories when comparing test stores to control stores. Due to the overall success of the test program, Marsh/LoBill has since rolled out a full On-Pack Nutrition Labeling program in all their divisions and stores.

For more details about the On-Pack Nutrition Labeling test program as implemented by Marsh, including more detailed sales data analysis, click here.

Top scale manufacturers like Mettler-Toledo and Hobart have developed label templates that make On-Pack Nutrition Labeling easier than ever to implement in your stores. New templates include a change to the standard nutrition facts panel – the micronutrients zinc, iron and vitamins B₆ and B₁₂ have been added to beef labels, as beef is a significant source of these micronutrients. Micronutrients such as vitamin A, vitamin C and calcium have been removed from the panel and instead included in a “not a significant source of” statement.

If you would like more information on how to implement an On-Pack Nutrition Labeling Program in your store to improve your bottom line while you educate your customers about the health benefits of beef and other proteins, contact your retail marketing manager or state beef council.