Better-For-You Foods

An Opportunity To Improve Public Health and Increase Food Industry Profits

Selling lower-calorie foods and beverages is just good business.

Over 35 percent of adults and approximately 18 percent of children in the United States are considered obese according to the Centers for Disease Control and Prevention (CDC). In an effort to improve the health of our nation and its communities, state governments at all levels are looking closely at the issues and joining business leaders in such initiatives as Healthy Weight Commitment Foundation and the National Restaurant Association’s "Kids LiveWell" program. But do we really know how effective these programs are?

In two recent studies by the Hudson Institute, a nonpartisan policy research organization, there is evidence that demonstrates packaged goods companies (CPG) and restaurant chains can succeed in satisfying both the increased consumer demand for healthier foods and beverages, and improving their bottom lines. This research shows that selling lower-calorie foods and beverages is just good business.

Key Findings:

CPG companies and restaurant chains growing their better-for-you (BFY)/lower-calorie sales have demonstrated superior business performance compared with those that are not.

  1. CPG companies growing their BFY sales enjoyed larger dollar sales increases, higher operating profit margins, superior operating profit growth, and stronger reputation ratings.
  2. Restaurant chains growing their BFY/lower-calorie menu servings exhibited greater same store sales, traffic, and total servings gains.

 

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