PROTEIN FEVER

---

PROTEIN FEVER High protein is proving to be more than just a fad – but will it change the way we eat?

1

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

INTRODUCTION Protein continues to gain traction globally, establishing itself as more than simply a recommended part of meals. Long recognised as a muscle building aid, protein’s more recent links to satiety and hunger management continue to encourage the use of protein as a weight management tool. Innovation around high protein launches has been driven by the snack and dairy segments, with snack bars and yogurts accounting for the bulk of high protein launches. However, work to spread protein consumption more evenly across a whole day presents opportunities for breakfast products and snacks to include protein in their formulations to help achieve a more balanced intake of protein. Protein could also find a big win among the growing ageing population. It’s energy and muscle mass benefits could improve the functional ability of seniors and help them lead more active lifestyles. The buzz around high protein has also fueled interest in new protein sources. The rise in plant-based proteins has been simulated by the increased demand for protein globally, while the desire for more plant-based diets, primarily seen in the West, is seeing consumers seeking alternative, vegetarian protein sources more frequently.

2

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

GLOBAL USE OF PROTEIN IN NEW FOOD AND DRINK PRODUCTS High protein claims in new food and drink products, globally 2010

2011

4%

2012

4%

7%

2013

4%

9%

2014 to date

4%

8%

4%

8%

7%

28%

29%

30%

30%

26%

34%

29%

24%

29%

27%

27%

29%

34%

29%

36%

Middle East & Africa

Latin America

Asia Pacific

North America

Europe

Source: Mintel GNPD

3

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

ONE IN FOUR CONSUMERS IN CHINA AND US ARE EATING MORE PROTEIN THAN A YEAR AGO Protein has become more than simply a recommended part of meals or a staple to building muscle. Its link to satiety has made it a key conversation point in weight management discussions and the foundation of many diet plans. The US market is the main driver in the rise of high protein formulations where the trend is well established. A quarter of Americans confirmed consuming more protein from food and drink products in August 2014 compared to a year before. The trend is starting to catch on worldwide too, with launches of high protein food and drink products outside of North America gradualy increasing over the past five years. Meanwhile, consumers across the globe also report eating more protein. In China, a quarter of consumers surveyed in August 2014 reported eating more protein, while a smaller, but still significant proportion (13%) of UK consumers claimed to have upped their protein intake.

Are you consuming more, the same or less protein in food/drink compared to a year ago? CHINA

UK

US

%

%

%

More

26

13

25

The same

60

64

60

Less

8

9

9

Don’t know

6

12

5

I do not consume food/drink containing protein

0

2

3

Source: GMI/QQSurvey/Mintel

quarter of “AAmericans are consuming more protein than a year ago.

”

4

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

IN AUGUST 2014, 13% OF UK CONSUMERS CLAIMED TO HAVE UPPED THEIR PROTEIN INTAKE.

5

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Reasons for cutting back on protein CHINA

UK

US

%

%

%

I have cut down my consumption of animal protein (ie meat, poultry)

50

25

31

Because the price of meat has increased

16

40

32

Because of health concerns (eg eating too much red meat can be bad for you)

51

26

32

I am following more of a vegetarian diet

52

17

13

It can cause weight gain

36

21

24

It will make me bulky (eg cause unwanted gain in muscle mass)

13

6

6

Other reason

0

16

7

Don’t know

1

3

11

Source: GMI/QQSurvey/Mintel

6

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Reasons for adding in protein CHINA

UK

US

%

%

%

To help build muscle

32

33

39

To help lose weight

23

42

38

To help maintain a healthy weight

51

47

46

I am following a high protein diet

22

18

18

I am eating more protein in place of carbohydrates

37

30

43

To help satisfy my appetite

34

31

43

To help me snack less

26

27

31

To help maintain muscle mass

23

36

32

Because I think I have a lack of protein in my diet

30

22

19

I am eating more fish compared to a year ago

47

32

33

Other reason

0

4

1

Don’t know

0

2

1

Source: GMI/QQSurvey/Mintel

7

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

OPPORTUNITIES FOR PRODUCTS THAT ENCOURAGE A BETTER DISTRIBUTION OF PROTEIN Consumers are now well aware of the need for sufficient protein in their diet, particularly in relation to muscle growth and weight management. However despite this awareness of the benefits of protein, there appears to be a lack of importance placed on when this protein is consumed throughout the day. According to the International Food Information Council Foundation (IFIC), less than half of Americans say that the time of day they get their protein matters to them. Indeed, consumers’ protein intake can often be heavily skewed towards the evening meal, when high protein foods, such as meat and fish, are typically eaten in greater quantities. In fact, more than 70% of UK and US consumers eat food and drink products containing protein at dinner. The consumption of protein at other eating occasions is less frequent. Although 56% of US consumers claim to eat some protein at breakfast, less than a quarter of UK consumers claim to and only around 20% of those in the US and UK have protein-based snacks between meals. Research continues to support spreading protein consumption more evenly over the entire day, which should shift the focus from the quantity of protein more towards the timing of consumption. This should also encourage the inclusion of high protein ingredients into breakfast products and is promising news for manufacturers of high protein snack foods, whose products are positioned for consumption throughout the day as a way to boost protein intake.

On which occasions do you typically consume food/drink that contains protein? 72%

67% 59%

56%

54%

77%

55%

45%

24%

20%

17%

10%

Breakfast

1% 5% 8%

Lunch

Dinner

As a snack between meals

China

US

UK

Don’t know

Source: GMI/QQSurvey/Mintel 8

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

High protein breakfast and snack products

Quaker Protein Instant Oatmeal, with whey protein (USA) This oatmeal, said to help maintain a full feeling, contains 10g of protein and 40g of whole grains per serving. Whey protein concentrate and isolate are used to boost the protein content.

Pulsin’ Orange Choc Chip Protein Snack Bar (UK) This snack bar is enriched with rice and pea protein and is designed to give sustained energy release without the crash.

Kellogg’s Special K Flatbread Breakfast Sandwiches (USA) This breakfast flatbread sandwich is a source of both fibre and protein.

9

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

MORE THAN 70% OF UK AND US CONSUMERS EAT FOOD AND DRINK PRODUCTS CONTAINING PROTEIN AT DINNER.

10

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

THE SEARCH WIDENS FOR PROTEIN SOURCES When developing protein supplements or high protein food and drink products, the protein content is often boosted by incorporating a protein isolate, concentrate or hydrolysate. These are all highly-refined and processed forms of their original protein source that provide a concentrated source of protein. One of the criticisms of these ingredients is that a lot of the nutrients that protein comes bundled with, such as the fibre, fats and minerals are lost or reduced during the processing. In traditional high protein supplements aimed at athletes or gym enthusiasts, the main priority is delivering a concentrated source of protein, meaning that the absence or reduction of other nutrients is not a major concern. However, with protein enrichment increasingly moving into more mainstream products, the concentration of protein is not the only concern, given protein requirements of the general public are less than athletes and body builders, although the current recommended daily intakes continue to be scrutinised.

Sources of protein eaten CHINA

UK

US

% eaten

% eaten

% eaten

Plant protein (eg soya, pea protein)

86

32

34

High protein grains (eg quinoa, amaranth)

43

23

39

High protein seeds (eg chia seeds, flax seeds)

40

26

43

High protein nuts (eg almonds, pistachios)

88

62

79

Mycoprotein (dietary protein from a fungus eg Quorn)

74

35

9

The nutritional advantage of using ‘whole’ protein in the form of ‘whole’ foods is more relevant in everyday food and drink products, in terms of consuming extra protein but in its original form, with its full nutrient bundle. The range of whole foods being utilised for their high protein content includes Greek yoghurt, beans, seeds and nuts. Some of the newer sources of protein being used include combinations of ancient grains such as quinoa, chia and teff, while pulses, grains and seeds such as pea, maize, rice, hemp, lupin and linseed are also being used more for their protein content. All these ingredients also have reputations for being rich in vitamins, minerals and fibre, offering health advantages not typically provided by the more commonly used whey or soy protein ingredients. They can also add different flavour and texture elements to products. Using high protein foods over protein isolates and concentrates may appeal to consumers’ preference towards more natural and less processed ingredients. It may also help distinguish high protein products still targeted towards athletes and body builders from products targeted towards the more everyday consumer.

11

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Naturally high protein foods

Seitenbacher High Protein Snack Mix for Students (Germany) This snack mix of soy bean halves, cranberries, almonds and pumpkin seeds contains 30g of protein per 100g.

Meathogs Biltong Beef Snack (NZ) This ready to eat beef snack is made from fine cuts of lean New Zealand beef, processed and cured, with 50g of protein per 100g.

Rokeby Farms Whole Protein Breakfast Smoothie (Australia) This banana, honey and cinnamon breakfast smoothie contains 40g of protein per 425mL.

12

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Consumer preferences for food and drink naturally high in protein

I prefer to get my protein from foods

I prefer to get my protein from drinks

that are naturally high in protein

that are naturally high in protein

(eg eggs, nuts, meat)

(eg milk, yogurt drinks)

China

66%

65%

US 56%

24%

UK 50%

13

23%

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

EXPERIMENTAL PROTEINS RECEIVE ATTENTION With the current interest in protein and the long-term concerns of having enough protein to meet global needs, experimental proteins have received media attention. Algae sources are more widely used in Asia with seaweed used as a snack and in meals. Spirulina is already used in many fruit-based drinks primarily for its general nutritional value, not its protein. Interest in insect protein in the format of cricket flour has already been incorporated in foods by some start-up manufacturers, all promoting insects as protein-rich sources and more environmentally friendly. Initially insects are likely to be used in pet food and animal feeds. In late 2013, the world’s first laboratory-created hamburger was cooked and eaten in London. It cost US$330,000 and was financed by one of the founders of Google. Although the technology to scale and commercialise this is still decades away, proof of concept has been shown and if it can be incorporated into our lives as quickly as other Google products have, no one should be surprised when Google releases G-meat.

Sources of protein and interest in trying % have not eaten but interested in trying

Marine-sourced protein (ie algae)

Insect-sourced protein (eg cricket flour)

Lab/cultured meat/protein

59% 52% 40% 26%

25%*

30%

27%

31%

16%

China

US

UK

*71% of Chinese consumers have indicated they have eaten marine sourced protein already Source: GMI/QQSurvey

14

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

WHAT’S NEXT The high protein trend will continue impacting other markets, especially Europe and China. It has already started changing the way people eat. Consumers in the UK, US and China all say they eat more protein now than a year ago. More diverse sources of protein will be used such as plant-based proteins like pea and marine-based sources such as algae. Experimental protein such as insect and laboratory meat will take longer to gain acceptance. Expect to see insect-based protein first in pet food and animal feed chains. Globally, there will be a rebalancing of protein. Emerging markets will consume more protein-rich food such as dairy and meat as their economies grow, while developed markets will increase plant-based proteins, driven by the rise of flexitarian, vegetarian and vegan diets.

15

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

THE WORLD’S LEADING MARKET INTELLIGENCE AGENCY Our expert analysis of the highest quality data delivers clarity and meaning to clients when it matters most. Clarity and meaning that drives growth.

We are your eyes and ears in the markets that matter. The insights behind your next big idea. Your fingers on the pulse of innovation. Your interpreters of consumer trends. We are all about data, research, analysis. We are trusted, we are robust. We are strategic, smart, inspirational. Students of human behaviour, trackers of cultural change. We are award-winning. We are independent. We are global. We are opinions you can trust.

FIND OUT MORE AT www.mintel.com

16

mintel.com © 2014 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel