Globally, about 5 per cent of new product introductions are flagged as 'all natural', according to Mintel, but in Europe this number is only 2 per cent.
"But we've started to see a slow, steady build in the number of launches over the last 24 months, and this suggests a longer-lasting trend than fad products," analyst David Jago told NutraIngredients.com.
The number of 'natural' claims for 2005 are expected to achieve slightly higher levels to 2003 (476).
The term 'natural' on foods and drinks can refer to the presence of natural ingredients but rarely means a product is made from only natural, non-chemical ingredients.
Yet more consumers shopping in mainstream channels are buying products that use 'natural' on packaging, as they see it to be closely related to 'healthier'.
"Its a very grey area," added Jago, and the term is also confused with 'organic' and 'ethical' in consumer perception.
In Europe, companies have shown a strong trend in the use of 'natural' on products for children, such as the Innocent brand's Smoothies for Kids, described on the packaging as containing 'no nasty sweeteners, no added sugar' and 'no additives'.
To enforce the healthy image, some firms also use other nutritional claims to position a 'natural' product as healthy.
Yagua's Water Salad drink sold in the Netherlands is made from different 'natural' vegetable juices and is also said to be rich in vitamins and minerals. Unilever's Knorr Vie range of fruit and vegetable shot drinks are positioned as 'all natural' and with 'no additives or preservatives'.
There is also increasing private label activity in this area, especially in the UK and France, and multinationals such as Nestle also use the term 'natural'.
However Jago warned that the trend could be short-term with new draft legislation in Europe looking to clamp down on vague claims on foods. While the proposed nutrition and health claims law does not include 'natural' claims in its remit, it will seek to regulate the use of claims for 'naturally rich in..' or 'naturally low in fat' for example.
For now however, no laws currently restrict or seek to define use of the term 'natural' on packaging.