DITCHING THE LABEL: CPG FIRMS MUST CONNECT WITH DIGITALLY EMPOWERED CONSUMERS

At the end of this year, new legislation (the EU Food Information for Consumers Regulation 1169/2011) will come into force. It will require food businesses to provide allergy information on food sold unpackaged in, for example, bakeries and sandwich bars. But there also will be changes to existing legislation on labelling allergenic ingredients in prepacked foods. Regulations aside, consumers also want to have access to reliable food information.

At the end of this year, new legislation (the EU Food Information for Consumers Regulation 1169/2011) will come into force. It will require food businesses to provide allergy information on food sold unpackaged in, for example, bakeries and sandwich bars. But there also will be changes to existing legislation on labelling allergenic ingredients in prepacked foods. Regulations aside, consumers also want to have access to reliable food information.

When in store, an average consumer takes 3 to 5 seconds to pick a product. In order to receive information tailored to their specific needs, consumers are increasingly turning to the internet, where they are helped by search applications to obtain additional information. According to the consumer research organisation Nielsen, an increasing number of Australians use their mobile devices to access food information on the internet, with nearly 40 per cent of Australians accessing the internet on their mobile phones and 19 per cent on tablet devices. Digital information is definitely in demand.

Think beyond the label

According to studies from 2013, digital was to directly or indirectly influence over 80 percent of US retail growth in the following 4 years. Last year, the number of mobile phone owners using their cell phones to check prices went up by 50 percent. 75 percent of mobile phone users used shopping apps for consumer goods, while the number of shoppers interacting with a CPG brand online doubled. eCommerce and mCommerce mean that digital is a key growth area for brands and retailers. Reliability and integrity of digital information are of key importance. As mentioned before, starting from December 2014, products sold online in the EU must show the same mandatory information online as on the label. If not, the product cannot be sold online. Mobile data is growing exponentially and bar code scanning is a key driver for consumers to access data and media owners to engage users. Consequently, the number of innovative, interoperable and scalable applications to be used by the industry is steadily growing.

Win-win for business and consumers

Retailers can both respond to the consumers' needs and meet the legal requirements by using such solutions as HiperCom 360Dataview which provides complete and accurate product information including GS1 standard, barcodes and media pictures. Another solution designed specifically for data-craving consumers was launched by a barcode company GS1. Both have one thing in common: integrity and reliability of data supplied in a digital format. Launched in Australia last year, GS1 GoScan iPhone application gives consumers a fast and easy access to trusted product information from their mobile phone, regardless where they are: at home, in store or ‘on-the-go’. The app users will be able to scan the barcode of a product and immediately see extensive data about that product on their phone. GS1 GoScan data is authorised and supplied to GS1 Australia by the brand owners of the wide spectrum of food and liquor products sold in Australia. Users of the app will be able to personalise its settings to make sure that they are obtaining information relevant to any allergies and dietary or lifestyle requirements they might have. The new app establishes the platform to supply much more information to consumers with more than 8,000 products already listed. By presenting food information in a more accessible format, GoScan app also solves the problem concerning a fairly limited space available on a packaging to provide information. The app has a range of features including personalised alerts for allergen, dietary and lifestyle requirements, country of origin information, detailed definitions and additional information on genetically modified (GM) foods and irradiation and access to brand-owner promotions and competitions.

Sources: http://www.retailbiz.com.au; http://www.food.gov.uk; http://ec.europa.eu; http://www.komindesign.com Photo: Photo: http://www.flickr.com/photos/jeffwerner/

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