Published by TSG, the study estimates that 'targeted foods', which currently make up 12 percent of the $60bn functional food segment, could grow to take a massive 25-35 percent share in 2012. This could bring up the total value of the sub-segment to between $55bn and $77bn over the next 13 years. Functional foods as a whole are projected to have a market value of $219bn by 2012. TSG defines targeted foods are those functional foods that are designed to address specific health or disease conditions; specific physical or mental states; or specific age or gender needs. These, says the study, will grow "exponentially" as the functional foods markets continues its ascent into the mainstream. "They will be the evolution of functional foods," TSG CEO Panna Sharma told NutraIngredients-USA.com. Health, disease conditions Foods and beverages in this category include products that address: · Digestive health · Celiac disease · Arthritis · Cancer prevention · Heart health Examples in the category are Danone's Activia yogurt (digestive health) and Hain Celestial's Rice Dream (heart health). Physical, mental states These products address:
- Sports performance
- Beauty
- Skin care
- Libido
- Brain function
Examples include Boater's fortified coffees (brain function) and FRS' antioxidant health drink (sports performance). Age, gender needs These products are marketed specifically for:
- Infants and toddlers
- Menopausal women
- Women
- Elderly
Examples are Heinz Nurture (for toddlers) and Her Energy drink (for women). Beverages lead The new report reveals that beverages have been leading the targeted foods category, comprising 42 percent of overall product sales. TSG states: "Beverages will continue to drive innovation and early consumer adoption which will drive tighter alignment between functional ingredients and nutraceutical companies and the beverage community." The second largest product category within the targeted foods segment is 'breads, cereals, pasta &baking items', which holds 21 percent of the market. 'Dairy, yogurt & dairy alternatives' take a 17 percent share, 'snacks' hold 9 percent, and 'chocolates, candy & gum' hold 8 percent. Ingredients The ingredients used in targeted foods play a key role to their placement within the category. The four critical ingredient categories identified by the report are:
- Soy, linked to lower cholesterol, a reduced rate of certain cancers, a reduced risk of osteoporosis, and an alleviation of menopausal symptoms.
- Omega-3, linked to lower blood pressure, a reduced risk of heart disease, a decrease in arthritic symptoms, and pregnancy, post-partum, and infant benefits.
- Probiotics, which are thought to improve lactose tolerance, reduce diarrhea, enhance immunity, prevent colon cancer, improve IBS symptoms, and lower blood pressure.
- Plant sterols, which have been linked to lowering cholesterol, reducing the risk of certain cancers, and are also thought to have menopausal benefits.
Going Forward According to the report, existing functional food companies will be increasingly migrating to targeted categories, while new companies will also emerge to enter the market. "Global food and beverage giants will aggressively enter the market through acquisitions, alliances and select investments," said TSG. In addition, the group said that research in nutrigenomics will enable more dramatic advances that are scientifically validated in targeted foods. For more information, click here.