7-Eleven goes functional with new beverage and bar range
industry at present, and it seems everyone wants a piece of the
functional action. This week retailer 7-Eleven became the latest
mainstream company to cater to those pursuing health through better
diet, as it unveils its new range of functional bars and beverages.
According to Euromonitor, the US retail market for packaged functional foods was worth $5.22 billion in 2004 and is expected to increase by between 4.5 and 6.7 percent per year over the next five years, to be worth $6.93 billion by 2009.
The initial range from 7-Eleven, called Formula 7, is split across four requirements: to boost energy (such as Energy Drink with B vitamin complex, gingko biloba, inositol, taurine and caffeine); for energy and mental focus (Energy Beverage with vitamins B and E complex, gingko biloba, green tea polyphenols and Siberian ginseng); for endurance (Endurance Bar with essential B vitamins, whey and soy proteins and green tea polyphenols); and for fitness (Fitness Beverage with B vitamin complex, green tea polyphenols, HCA and chromium).
"Consumers are looking for ways to improve their health whether it's changing their diet, lifestyle or looking to vitamin supplements," said Debbie Wildrick, product director for processed foods for 7-Eleven. "Formula 7 provides a great platform for us to develop additional items with specific attributes to enhance energy, endurance, wellness, strength and maybe more."
Amongst the other mainstream companies moving in on the functional arena are Mars, which recently formed a new Nutrition for Health & Well-Being business unit and launched CocoaVia chocolate bar.
Coca-Cola has done well in the US with its Minute Maid orange juice containing plant sterols for heart health, and is planning to introduce the drink in the UK. Kellogg's is also reported to be developing a line of foods fortified with omega-3, due to be launched in 2006.
Wildrick said that the new products have been designed with distinctive flavors in mind and a focus on taste.
Market research suggests that this may be a wise strategy. The 2005 US HealthFocus Trend Report gave taste as one of the most important factors to consider when developing new functional products.
"More than ever, Taste is King and Pleasure is Queen," it said.
The authors of the HealthFocus report said that this holds especially true for the baby boom generation, which tends to feel it is entitled to the best of all possible worlds: both taste and nutrition; luxury and affordability; natural and convenience.
But the older age may not be attracted to the energy and fitness slant of 7-Eleven's range, with its intriguing flavors like Cherry Lime Lightning, Super Citrus Charge, and Raspberry Mint. Rather, it seems to be aimed at the other end of the spectrum - the younger generation that has grown up drinking soft drinks but may now be looking for a healthier alternative.
Seniors, on the other hand, may be less likely to have an on-the-go lifestyle and shop at convenience stores like 7-Eleven. The products most likely to prove hot with them cater to a specific health concern, such as plant sterols to reduce cholesterol, or functional egg products with omega-3.
Youngsters' tastes can be fickle, and 7-Eleven is entering a competitive market. Also this week supplement company The Nutritional Institute announced that it is launching energy drinks and whole food supplements aimed at college students, with their specific nutritional needs in mind.
