Product reformulation in the food and beverage manufacturing and retail industries - the evidence from promotional food and drinks items

Food and drink innovation through food manufacturers’ product reformulation strategies has received significant attention in recent years. An obesity epidemic and rising food prices have implications for health since dietary quality and dietary costs are positively related and more price-sensitive consumers appear less concerned about the health aspects of food. This research aims to determine if product reformulation can support current strategies that align price-based promotions with prominent placement strategies to increase the availability, accessibility and affordability of food and drink choices to consumers. Given the considerable effort to reformulate the food and beverage retail product offering, it will be important that retailers utilise price-based promotions and prominent placement tactics to make these below the line food and drink innovations available to the broadest number of consumers as possible. To do so will help to realise the population benefits that are possible, with the potential to influence supply and demand and serve as a further catalyst for product reformulation. The findings from this qualitative research have applicability to the food and drink service industries, and hospitality sector generally, in maximising the reach of promotional tactics that have been proven to work, coupled with continuing innovation for further population health benefits in this market.