Studies show that consumers with food allergies have greater faith in smaller brands.
MCLEAN, Virginia — According to new study from Food Allergy study & Education (FARE), one in four Americans don’t purchase items containing the top nine food allergens, which include milk, eggs, wheat, seafood, shellfish, peanuts, tree nuts, soy, and sesame.
Although there are now 32 million customers who suffer from food allergies, the halo effect affects over triple that amount, accounting for over 85 million Americans who suffer from the condition. These customers pay 5% more per month than the average consumer, spending almost $19 billion a year on speciality foods to prevent allergic reactions or other health issues.
The chief executive officer of FARE, Lisa Gable, stated, “Our research confirms the food allergy community is vast — extending beyond an individual to entire households, and they face unique and costly challenges as they take steps to protect the health and safety of their families.” “Allergen avoidance can be crippling and prohibitive for all 85 million Americans, but especially for lower-income families with food allergies.”
The results are a part of a series of studies on food allergy customers’ shopping behaviours conducted by FARE’s Food Allergy Consumer Journey Study. Three studies are part of the effort, which is a collaboration between Ann & Robert H. Lurie Children’s Hospital of Chicago, Global Strategy Group (GSG), McKinsey and Company, and Northwestern University Feinberg School of Medicine.
In collaboration with McKinsey and Co., FARE analysed the food allergy market, its effects on the economy, and offered suggestions for bettering the labelling of food allergens. While the cooperation with Northwestern University evaluated consumer preferences about precautionary allergen labelling used on packaged foods, the relationship with GSG concentrated on quantifying the impact of food allergies on families in socioeconomic disadvantage.
According to FARE, the main lesson from all three projects is the necessity for a universal label.
The top eight food allergies are now required to be disclosed by the US Food and Drug Administration, and FARE is currently pushing for the addition of sesame as a ninth allergy. According to recent study, a uniform word or graphic is required to indicate that a product can unintentionally contain an allergy.
Seventy-one percent of American customers with food allergies reported that they spend an average of three to five minutes reading the labels of every food item they buy, and more than half of them said that the present labels are problematic and interfere with their everyday life.
According to the study, there is $19 billion in unrealized sales potential among consumers with food allergies.
Over the previous four years, the top nine allergen substitutes have increased by 27%, mostly due to the rise of smaller allergy-friendly brands. Customers with food allergies typically Sixty-eight percent of respondents said they frequently buy the same goods to save time, and they trust smaller and allergen-friendly brands more than large brands (45 percent).
According to FARE, larger brands might be able to take advantage of this unexplored market opportunity.
Ruchi Gupta, MD, medical adviser for public health and education at FARE and professor of paediatrics at Northwestern University Feinberg School of Medicine and Ann & Robert H. Lurie Children’s Hospital of Chicago, stated, “Currently, precautionary labelling is voluntary and inconsistent, which is confusing for consumers and stressful for those with food allergies who rely on information about what is in their food, especially regarding allergens.” “By taking the time to thoroughly comprehend the needs of consumers with food allergies, we have discovered that there is a straightforward and affordable solution: if businesses establish a uniform labelling system for the top nine allergens, people with food allergies will be able to confidently choose more safe food selections for their households.