NIQ Global Intelligence plc · NYSE:NIQ
NIQ Global Intelligence — NielsenIQ — Conference Presentation (March 2023)
21 slides from NIQ Global Intelligence's conference presentation, March 2023
Slide 1: What are consumers craving?
What are consumers craving? UNDERSTANDING CONSUMER TRENDS AND HOW IT RELATES TO THE COCOA INDUSTRY Presented by Maria Maysonet Assoc. Director, Wellness March 2023 © 2023 Nielsen Consumer LLC. All Rights Reserv ed. © 2023 Nielsen Consumer LLC. All Rights Reserv ed.
Slide 2: Total Wellness
What are consumers craving? Total Wellness © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 2
Slide 3: Establishing a Total Wellness framework to understand consumer needs
Establishing a Total Wellness framework to understand consumer needs Total Wellness refers to the full view of consumer well-being extending beyond individual physical health to encompass the well-being of their world as they see it. © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 3
Slide 4: COVID-19 put a spotlight on consumer need states
Protective COVID-19 put a spotlight on consumer need states Ailments in household % of households 41% Allergies - nonfood related 19% Joint/Neck/Back pain 10% Hair loss 7% Restless Leg Syndrome 32% Acid Reflux 17% Insomnia 10% Dry eye 6% Eye Disease 31% High Blood Pressure 15% Headache/migraine 9% A
Slide 5: Diabetes is on the rise and consumers are searching for ways to manage
Protective Diabetes is on the rise and consumers are searching for ways to manage 34 million Claims Total Store Products that contain Cocoa 11% of Americans have diabetes with 21% undiagnosed Diabetes Support +10% -2.8% Loy Glycemic +3.7% +0.2% 88 million Sugar Conscious +14.5% +18.0% 1 in 3 America
Slide 6: FDA proposed rule for "healthy" claim on food products limited to low sugar, fat, and sodium
Protective Protective FDA proposed rule for “healthy” claim on food products limited to low sugar, fat, and sodium Products that contain Cocoa Products that contain Cocoa Products that contain Cocoa Added Sugar per serving - % Mix Total Fat per serving - % Mix Sodium per serving - % Mix 0g per srvg.
Slide 7: Top Cocoa categories with high sugar and sodium
Protective Protective Top Cocoa categories with high sugar and sodium High added sugar per serving (>2.5g) High sodium per serving (>200g) Grocery Candy, Gum, Mints Grocery Diet and Nutrition Frozen Desserts Dairy Meal Combos Grocery Cookies and Crackers Grocery Sweet Snacks Grocery Sweet Snacks Gro
Slide 8: Consumers proactively using food as medicine and supplements
Preservation Protective Consumers proactively using food as medicine and supplements $ % chg. vs 3YA YA Cholesterol support +26% +12% Top Food as Medicine Categories Ailment Total Store Obesity support* +23% +10% Grocery Beverages +9% Grocery Diet and Nutrition Inflammation health +47% +8% Grocery C
Slide 9: Most Cocoa products with functional claims fall in Diet and Nutrition categories
Preservation Protective Most Cocoa products with functional claims fall in Diet and Nutrition, and Performance Nutrition categories Top 10 Claims leveraged by Products containing Cocoa Diet and Nutrition and +10% +16% Performance Nutrition Diet and Nutrition and Muscle Health +16% +22% Performance N
Slide 10: Understanding the Mental Health Crisis as a growing consumer need state
Preservation Protective Understanding the Mental Health Crisis as a growing consumer need state Mental Illness Suicide Healthcare Workforce 21% (50M) of Adults 4.8% (~12M) of 28% of Adults with Mental Health in the U.S. are Adults reported mental illness said Worker to patient experiencing mental se
Slide 11: Over half of respondents relied on healthy food for emotional health
Preservation Protective Over half of respondents said they relied on healthy food and one third said they relied on indulgent or fun foods How active are you in Which of the following do you use to Which of the following do you do to maintaining/managing your maintain/manage your emotional health? m
Slide 12: Consumers follow a variety of eating approaches for health
Preservation Protective Consumers follow a variety of eating approaches (or principles) for health Cocoa Products that qualify for specific diets are up +24% vs 3YA Source: NielsenIQ Retail Measurement Services, NielsenIQ Product Insight, pow ered by Label Insight, Total Food & Beverage; Total US xA
Slide 13: Cocoa using products seeing strong growth with Clean Label claims
Aspirational Protective Cocoa using products seeing strong growth with Clean Label claims Free From - $ % Chg. vs YA Clean Label claims we’re tracking across the store ▪ Free from antibiotics Filler 15.8% ▪ Free from artificial flavors ▪ Free from artificial fragrance Artificial Fragrance ▪ Free fro
Slide 14: Consumers know that preservation is the key to healthy aging
Aspiritational Protective Consumers know that preservation is the key to healthy aging By 2060, 40% of Population Age 50+ Pinterest Predicts Embracing aging: Searches related to anti-aging spiked significantly in 2020 but have tailed off as women began embracing a new view on life, down 9% in NIQ Tr
Slide 15: Growth Drivers – U.S. Sales vs. 3YA
Evolving Protective Integrating functional ingredients Hitting the sweet spot of high growth & rapid category expansion 225% 300% Cocoa: A Functional Ingredient 275% 200% ➢ May lower high blood pressure Yuzu* ➢ May balance cholesterol +10% “Growth Drivers” – U.S. Sales vs. 3YA 175% ➢ May regulate bl
Slide 16: Governance and cost will accelerate momentum beyond consumer demand
Altruistic Governance and cost will accelerate momentum beyond consumer demand Role of governance Exploding costs due to the and mandates impact of climate change Financial reporting Sustainable Investment Rising energy prices requirements Shift to renewables SEC, EU CIBR Banks, Shareholder value, F
Slide 17: Sustainability means different things to people around the world
Altruistic Sustainability means different things to people around the world 54% Reduced pollution/ clean environment 61% 62% 57% Protecting natural resources 67% 61% 61% Better for the planet 73% 60% 45% Cutting emissions 58% 53% 43% Protecting wildlife 53% 43% 33% Better conditions for workers 35%
Slide 18: Sustainability is one of many things considered in the purchase journey
Altruistic …and is one of many things considered in the purchase journey For more than half of respondents its more important than it was two years ago Most important things when choosing a brand Change in importance v. two years ago Most important Affordable/ lower prices 18.1 Safety & Hygiene guar
Slide 19: ESG is defined as Environmental and Social Governance
ESG is defined as Environmental and Social Governance At NIQ we examine ESG through the lens of four pillars Environmental Sustainable Animal Social Sustainability Packaging Welfare Responsibility © 2023 Nielsen Consumer LLC. All Rights Reserv ed. 19
Slide 20: Products with ESG claims account for 23% of Cocoa sales
…top 10 Cocoa for 82% of sales of ESG within Cocoa DOUGH AND BATTER PRODUCTS 12.8% Products with BAKING MIXES 11.8% ESG claims PERFORMANCE NUTRITION 9.7% account for BAKING STAPLES 4.4% SWEET SNACKS 10.1% 23% of Cocoa COOKIES AND CRACKERS 8.0% Sales CEREAL AND GRANOLA 10.6% CANDY, GUM, MINTS 5.8% DI
Slide 21: What's Next from NIQ?
What’s Next from NIQ? Webinar Alert Delivering on the Sustainability Promise: Leveraging Data & Insights © 2023 Nielsen Consumer LLC. All Rights Reserv ed.