PACKAGING: A KEY DRIVER FOR HEALTHIER CONSUMPTION

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1 PACKAGING: A KEY DRIVER FOR HEALTHIER CONSUMPTION Bruce Funnell Head of Packaging Global Confectionery Nestlé R&D

2 NESTLÉ: GLOBAL LEADER IN FOOD & BEVERAGES DELIVERING NUTRITIOUS FOOD & BEVERAGES SINCE 1867 Total sales circa CHF 100 Billion Brands Over 86 national subsidiaries 2

3 OUR AMBITION BE THE RECOGNISED LEADER IN NUTRITION, HEALTH AND WELLNESS AND THE INDUSTRY REFERENCE FOR FINANCIAL PERFORMANCE 3

4 THE NEW REALITY WE ARE LIVING IN A TIME OF EXPONENTIAL CHANGE Aging population news Rising Prosperity Input costs New Technologies Urbanisation Sustainability Malnutrition 4

5 MALNUTRITION IS A GLOBAL CHALLENGE FOOD Vs NUTRITION SECURITY: FROM UNDER NUTRITION TO OBESITY PANDEMIC Overnutrition Undernutrition Nutrient excess Overweight & obesity CVD, diabetes Etc. 1.6 billion 1.0 billion Nutrient deficiencies Protein energy malnutrition >2.0 billion Micronutrient malnutrition Focus on Big 4 : iron, vit A, iodine, zinc Source: Global Burden of Diseases, Injuries, and Risk Factors Study 2013, Lancet medical journal.,july 22,

6 OVERNUTRITION IS A MAJOR CONCERN 50% OF DEATHS ARE DRIVEN BY BEHAVIOUR AND THEREFORE PREVENTABLE 3 Risk Factors Tobacco use Physical Inactivity Poor diet 4 Diseases Heart Disease Chronic Respiratory Disease Cancer Obesity (TII Diabetes) 50% of Deaths Source: World Health Organisation, Global status report on non-communicable diseases

7 OBESITY IN CHILDREN: A GROWING CONCERN BEHAVIOURAL CHANGE IS NEEDED 10 % of children in UK enter primary school overweight > 80 % of year olds are overweight 20 % of children leave primary school overweight. Overweight in this age group is likely to remain into adulthood Source: J J Reilly, Obesity in childhood and adolescence: evidence based clinical and public health perspectives, Postgrad Med J. JulY 2006; 82(969):

8 HOW IS NESTLE MEETING ITS AMBITION? 2013 PROGRESS & COMMITMENTS IN EUROPE 86% (sales) of our products for children in Europe met all of the Nestlé Nutritional Foundation criteria 5.3 billion sales of children s & family products in Europe already had specific portion guidance on-pack 99.3% (sales) of our products in Europe had front of pack GDA labelling 1414 products renovated to reduce sodium, sugars, trans-fats, total fat, calories or artificial colourings 2062 products reformulated with increase of nutritious ingredients / essential nutrients By 2015 offer specific Portion Guidance on-pack on every single eligible children & family product in our portfolio 8

9 WHAT DOES THIS MEAN FOR PACKAGING? PORTION GUIDANCE ON PIECE PRODUCTS Disruptively communicating with consumers on the right portion: e.g. front of pack, activity icons Good to remember 2 snakes (25g) are one portion Good to remember A box of Nerds is one portion 9

10 PORTION GUIDANCE ON PACK PORTION GUIDANCE ON TABLETS Intuitively communicating with consumers on the right portion: e.g. One row ( 4 pieces) = One serving 10

11 PACKAGING FOR PORTION CONTROL PORTION FORMATS FOR INDIVIDUAL OR SHARING 11

12 PACKAGING FOR SHARING PORTIONS RECLOSE TO SAVE SOME FOR LATER 12

13 EDUCATION TO MEASURE CONSUMPTION PORTION CONTROL THROUGH CONSUMER ENGAGEMENT 13

14 SLOWING DOWN CONSUMPTION INTERACTIVE PORTION CONTROL 14

15 PORTIONABLE MULTI-PACKS EFFICIENT MATERIAL USAGE THROUGH BOOKLET FORMATS 15

16 PORTION CONTROL ON-THE-GO COMBINING MATERIALS & TECHNOLOGIES 16

17 GOOD PACKAGING DESIGN IS CONSUMER CENTRIC PUTTING THE CONSUMER, SHOPPER & RETAILER AT THE CENTRE Put the consumer, the shopper, the retailer at the centre of the packaging development. 17

18 CONSUMER CENTRIC PACKAGING THE COMPLETE LIFECYCLE NEEDS TO BE ADDRESSED consume sell shop 18

19 SUSTAINABILITY CHALLENGE WE ARE FIRMLY COMMITTED TO REDUCE WASTE ALONG THE VALUE CHAIN 19

20 INNOVATION IS NEEDED TO MEET THE CHANGING WORLD BREAKING THE PARADIGM 20

21 SUMMARY COMMUNICATION & INNOVATION: ENGAGING HEALTHIER CONSUMPTION COMMUNICATION INNOVATION SYSTEM Guiding through responsible messages that Consumers can relate to Portion-ability needs to be intuitive & engaging, decreasing waste without added complexity Packaging is part of a system Product & Packaging must be designed together 21

22 the great thing about the future is that you can shape it Thank you Thank you for listening 22

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