Big World: Impact of the Obesity Pandemic on Global Marketing Strategies

EXECUTIVE SUMMARY

The Problem

Consumer Markets

Food
Pharmaceuticals
Restaurants
Construction and community design
Airlines
Clothing
Health clubs
Other weight loss support
Products for sports
Obesity-related surgery
Healthcare

Major Markets

Future Outlook

Trends
Dealing with the problem
Food industry under pressure
Individual responses

THE SCOPE OF THE PROBLEM

Background

Weighing on the world
Table 1 Obesity Levels by Region 2003-2007, 2010
A multitude of health consequences

Obesity Statistics

Rates are rising everywhere
Chart 1 Year-on-Year Growth in Obesity Levels (BMI 30+ in Population Aged 15+ Years) by Region 2002-2007
Table 2 National Obesity Rates by Country 2002-2007, 2010
Asia – Obesity levels are low but growing fast
Table 3 Year-on-Year Growth in Obesity Rates (BMI 30+ in Population Aged 15+ Years): Countries Where Growth was Higher Than the Global Rate 2002-2007

KEY DRIVERS, TRENDS AND DEVELOPMENTS

Eating Habits

Too much food
But fewer calories
Table 4 Calorie Consumption by Region 2002/2007
What is "good" food?
No time or inclination to cook

Physical Activity

People do not move enough
Certain groups are a source of concern

Affluence

Wealth does not mean health
Chart 2 GDP Growth Compared With Obesity Growth for Selected Countries 2006/2007
Table 5 Comparative Levels of Obesity for Selected Countries 2006/2007
But the poor get fatter

Environment

Where we live determines how we move

Culture

Disappearing mealtimes and playtimes
Being fat is bad (or is it?)

Dieting Trends

Fed up with fads
Proactive for health
Chart 3 Vegetarians as % of Population by Country 2005

Other Factors

Looking at the genes
How we eat as important as what we eat
More research is needed

GOVERNMENT RESPONSE

Overview

What's on the Label?

Helping consumers choose
Regulatory patchwork

Restrictions on Advertising

Protecting our children

Other Measures

Everyone must get involved

INDUSTRY RESPONSE

Giving Consumers What (They Think) They Want

Changing the products
Finding new technologies
Portion control – size matters
Helping consumers to choose
Partnerships for health

IMPACT ON CONSUMER MARKETS

Food

Fresh foods – consumption increasing slowly
Table 6 Annual Per Capita Consumption of Fresh Food by Region 2002/2007
Table 7 Year-on-Year Growth in Per Capita Consumption of Fresh Food by Region 2002-2007
Chart 4 Year-on-Year Growth in Per Capita Consumption for Different Categories of Fresh Food 2002-2007
Packaged foods – expenditure up
Table 8 Annual Per Capita Expenditure on Packaged Food by Region 2002/2007
Table 9 Growth in Per Capita Expenditure on Packaged Food by Region 2002-2007
Bottled water – drinking for health
Table 10 Annual Per Capita Consumption of Bottled Water by Region 2002/2007
Chart 5 World Average Per Capita Consumption of Different Types of Bottled Water 2002-2007
Slimming foods – a quick fix?
Table 11 Annual Per Capita Expenditure on Meal Replacement Slimming Products by Region 2002/2007
Dietary supplements – consumers are sceptical
Table 12 Annual Per Capita Expenditure on Dietary Supplements for Slimming by Region 2002/2007
Health and wellness foods and beverages – a growing opportunity
Table 13 Annual Per Capita Expenditure on Health and Wellness Packaged Foods by Region 2002/2007
Chart 6 Per Capita Expenditure on Selected Categories of Health and Wellness Food 2002 and 2007
Table 14 Year-on-Year Growth in Per Capita Expenditure on Health and Wellness Food by Region 2002-2007
Table 15 Annual Per Capita Expenditure on Health and Wellness Beverages by Region 2002/2007
Table 16 Year-on-Year Growth in Per Capita Expenditure on Health and Wellness Beverages by Region 2002-2007
Chart 7 Per Capita Expenditure on Selected Categories of Health and Wellness Beverages 2002/2007
"Better for you" – taking out the bad stuff
People don't want to give up sugar
Table 17 Annual Per Capita Expenditure on Reduced Sugar Foods by Region 2002/2007
Table 18 Annual Per Capita Expenditure on Reduced Sugar Beverages by Region 2002/2007
Table 19 Year-on-Year Growth in Per Capita Expenditure on Reduced Sugar Beverages by Region 2002-2007
But they want to cut the fat
Table 20 Annual Per Capita Expenditure on Reduced Fat Foods by Region 2002/2007
Functional foods – focusing on the good stuff
Table 21 Annual Per Capita Expenditure on Fortified/Functional Beverages by Region 2002/2007
Table 22 Annual Per Capita Expenditure on Fortified/Functional Foods by Region 2002/2007
Healthy indulgence – pleasure without guilt
Table 23 Retail Sales in Selected Health and Wellness Indulgence Categories 2002/2007

Pharmaceuticals

Anti-obesity drugs – as the problem grow, so do the sales
Diabetes –better drugs and delivery needed
Cardiovascular drugs – sadly, a booming category
OTC diet aids – dangerous, ineffective, but still selling
Nutraceuticals – eating your way to good health

Eating Out

Blame it on the fries
Portion control – more is not necessarily better
Healthier options
Consumers like eating out

Construction and Community Design

Encouraging people to walk

Airlines

Burning more fuel
Squeezing into seats

Clothing

Understanding body shapes – most women aren't fashion models
Fashion that fits

Health Clubs

Paying for the privilege
Focus on the boomers
Fitting in fitness

Products for Sports

Equipment purchases up
Table 24 Household Expenditure in Sports Goods Stores by Region 2002/2007
Less demand for sports drinks and nutrition
Table 25 Annual Expenditure on Sports Drinks and Nutrition by Region 2002/2007

Other Weight Loss Support

Slimming in company
Healthy vacations

Obesity-related Surgery

Reducing food intake
Looking better

Healthcare

An increasing burden
Accommodating larger patients
Providing quality care

BIG WORLD IN MAJOR MARKETS

Brazil

Weight problems on the increase
Table 26 Obesity Trends in Brazil 2002-2007, 2010
Is it the food?
Table 27 Annual Expenditure on Packaged Food in Brazil 2002-2007, 2010
Table 28 Calorie and Fat Consumption in Brazil 2002-2007, 2010
Looking good on the beach
Table 29 Annual Expenditure on Health and Wellness Packaged Food in Brazil 2002-2007, 2010
The government steps in – education is crucial

China

A problem that is bigger than it first appears
Table 30 Obesity Trends in China 2002-2007, 2010
Fat and spoiled – China's child obesity problem
"Western" diseases up
Fondness for fat
Table 31 Calorie and Fat Consumption in China 2002-2007, 2010
Seeking convenience
Table 32 Annual Expenditure on Packaged Food in China 2002-2007, 2010
Blame it on Ronald (again)
Getting people to move
The Health and Wellness opportunity
Table 33 Annual Capita Expenditure on Health and Wellness Packaged Food in China 2002-2007, 2010
The fat can pay to get fit

France

Succumbing to an "American" problem
Table 34 Calorie and Fat Consumption in France 2002-2007, 2010
Table 35 Annual Expenditure on Packaged Food in France 2002-2007, 2010
Table 36 Obesity Trends in France 2002-2007, 2010
Focusing on children
It's not how much you eat, it's what you eat
Table 37 Annual Expenditure on Health and Wellness Packaged Food in France 2002-2007, 2010
Moving it to lose it
Frenchwomen DO get fat

Germany

Leading the EU in number of overweight adults
Table 38 Obesity Trends in Germany 2002-2007, 2010
Sausages, pretzels and beer (and health food)
Table 39 Calorie and Fat Consumption in Germany 2002-2007, 2010
Checking the labels and asking for healthier choices
Table 40 Annual Expenditure on Packaged Food in Germany 2002-2007, 2010
Table 41 Annual Expenditure on Health and Wellness Packaged Food in Germany 2002-2007, 2010
Fit, not Fat

India

Small percentages, large numbers, worrying trends
Table 42 Obesity Trends in India 2002-2007, 2010
Table 43 Calorie and Fat Consumption in India 2002-2007
Cardiovascular diseases on the increase
Leading the world in diabetes
Western eating habits entering the culture
Table 44 Annual Per Capita Expenditure on Packaged Food in India 2002-2007, 2010
Driving more, using the computer more, moving less
Encouraging healthy eating – from the beginning
Table 45 Annual Expenditure on Health and Wellness Packaged Food in India 2002-2007, 2010
Paying to look better

Russia

Statistics or not, the problem is real
Table 46 Obesity Trends in Russia 2002-2007, 2010
Is the diet so bad?
Table 47 Calorie and Fat Consumption in Russia 2002-2007, 2010
Hospitality means large portions and vodka
No time to cook
Table 48 Annual Per Capita Expenditure on Packaged Food in Russia 2002-2007, 2010
Table 49 Trends in Fresh Fruit and Vegetable Consumption in Russia 2002-2007, 2010
Confronting the problem – moving more and eating better
Table 50 Annual Expenditure on Health and Wellness Packaged Food in Russia 2002-2007, 2010
Dieting for health

UK

A bad problem that is going to get worse
Table 51 Obesity Trends in the UK 2002-2007, 2010
Too much meat and sugar, too little time for meal preparation
Table 52 Calorie and Fat Consumption in the UK 2002-2007, 2010
Table 53 Annual Per Capita Expenditure on Packaged Food in the UK 2002-2007, 2010
Most people don't move very much
"Nanny" steps in
Table 54 Trends in Fresh Fruit and Vegetable Consumption in the UK 2002-2007, 2010
A market for healthy options
Table 55 Annual Expenditure on Health and Wellness Packaged Food in the UK 2002-2007, 2010

US

Number one
Table 56 Obesity Trends in the US 2002-2007, 2010
It's definitely the diet
Table 57 Calorie and Fat Consumption in the US 2002-2007, 2010
Table 58 Trends in Fresh Fruit and Vegetable Consumption in the US 2002-2007, 2010
The usual suspects – fast food and other restaurants
Worried about the children
Sitting for work and play
Table 59 Annual Per Capita Expenditure on Packaged Food in the US 2002-2007, 2010
Government efforts – ambitious, but are they enough?
Saying is not the same as doing ...
Table 60 Trends in Annual Per Capita Expenditure on Snacks, ice Cream and Confectionery in the US 2002-2007, 2010
... but it isn't always easy to know what to do
If it's labelled "healthy" it must be good
Table 61 Annual Expenditure on Health and Wellness Packaged Food in the US 2002-2007, 2010
Paying more for less
Looking for help
Getting realistic about clothing
I'm fine as I am

FUTURE OUTLOOK

Trends

The problem is not going to go away
The poor will get fatter

Social Impact

Healthcare – really costing more?
A drag on the economy

What is to be Done?

More legislation on the way
Limits of education
Scaling up

Food Industry under Pressure

Behaving responsibly
Responding to consumers
New food technology – looking for the "silver bullet"

Individual Responses

Searching for a quick fix
However, at the same time, taking a more holistic approach
Getting personal
Travelling for beauty
Where's the science?
Get off my back!

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