Insights & Outlooks on Consumer Trends

Interview with Human8 on Consumer Trends and Südzucker’s Annual Consumer Survey

Since 2021, Human8 has been conducting an annual online consumer survey for Südzucker. The key results of the survey are published in Südzucker’s Sweet Trends Report. This year marks the fourth time the survey has been conducted, which is a good time to talk to Human8 about it.

We spoke to Nina Bethmann (Research Director) and Sarah Ohlenforst (Senior Insight Consultant) from Human8 about how consumers’ shopping behaviour has changed since the first survey in March 2021, whether similar results are being seen in other surveys conducted by Human8, and how food and beverage manufacturers can respond to certain trends in future in order to be considered a relevant brand that meets consumers’ needs.

“This annual survey is about diving deep into the minds of consumers to uncover refreshing insights into European consumption and purchasing behaviour, focusing on processed goods containing sugar,” Nina says. It provides valuable insights into changes in consumer purchasing behaviour and key consumer viewpoints on sustainability, organic quality and regionality, as well as the impact this has on consumption and purchasing decisions.

Key Results of the Survey

Referring to the latest survey from 2024, Sarah says that a key finding of this survey is that “consumers are increasingly looking for value and perceived benefits when buying processed goods, while price is becoming relatively less important as a purchase criterion.” In addition, this year’s survey has revealed that consumers are looking for a variety of value in their products. These include not only the taste and health benefits of products – factors such as naturalness, organic quality, and regionality are also playing an increasingly significant role in their purchasing decisions. These points are becoming more and more important as today’s consumers look for products that align with their values and lifestyle.

Source: Südzucker – Sweet Trends Report 2024

Natural, organic and regional are all topics that can be summarised under the broad umbrella of “sustainability”. In addition to these sustainability topics, consumers are also looking for less-processed foods without additives, in the hope of reducing CO₂ emissions.

According to the survey, Sarah adds that “German and Italian consumers, in particular, seem to be forerunners when it comes to sustainability.” Nina emphasises that “especially in cereals, consumers find organic quality important, while regionality is somewhat more important in dairy products and baked goods.” But what is certain is that interest in these sustainability issues is growing in all countries and product categories.

The View of Regionality and Organic in Other Surveys

These topics are also visible in other surveys conducted by Human8, which are already published. For example, Human8’s trend report “What Matters 2023” identifies four global trends that are expected to impact the food and beverage sector. Two of these trends are related to regionality: “Local Flourishing” and “Life Rewilded”.

“Local Flourishing” refers to a growing preference for local producers and retailers. Nina explains that “in addition to the emphasis on regionality through local producers and retailers, local flavours and recipes are also important. Brands can empower consumers to find local products and lead the way by supporting local communities and initiatives.”

“Life Rewilded” is also related to regionality, but also associated with naturalness and less processing. “It is a kind of counterbalance to technology, with people reconnecting with nature,” Nina describes. Brands emphasise the natural and regional origin of the ingredients used.

Declaring beet sugar on the packaging can support both trends, as consumers see beet sugar coming from a natural source and are increasingly aware that the sugar beet is grown and processed in Europe. Regarding less-processed foods, with our raw beet sugar we offer a less-refined sugar that supports this trend. Feel free to reach out to us for more detailed information on the product!

Source: Südzucker – Sweet Trends Report 2024

The trend towards organic is also confirmed by other surveys, as Sarah mentions. “The now again rising demand for organic products is driven especially by younger generations who see sustainability as a baseline requirement,” she adds. Human8 sees the following key changes supporting organic products:

Health and environmental awareness: Consumers increasingly perceive organic products as better for health and the environment. The Südzucker consumer tracker shows that many consider organic products to be healthier, more natural, safer and more ethical.

Increased availability: Organic products are now more accessible in conventional grocery stores, including discounters. Despite higher prices, one in four Belgian and German shoppers would pay extra for organic options.

Taste and quality: Organic products are often chosen for their perceived superior taste, especially in categories like chocolate, biscuits, cereals, dairy products and soft drinks. Surprisingly, better taste is as important a decision factor for organic products as health and ethical considerations.

Although regional production is not typically associated with organic products, it emphasises local ingredients and domestic production. For example, chocolate in Europe can be organic but not regional, as cocoa is sourced globally.

Consumers know that beet sugar comes from Europe. We offer a wide range of different organic sugars and sugar specialities catering to their need for regionality – get in touch with us to discuss your organic sugar needs and let’s find the best suitable product for you!

Nina mentions that “regionality is linked to shorter transport routes, supporting the local economy, reducing the carbon footprint, and fostering a connection to one’s own region or country. Consumers may associate certain brands with regionality due to their reputation and presence, as seen with Südzucker.”

Consumers’ definitions and expectations of regionality may vary and sometimes be unrealistic, but the trend towards organic and regional products reflects a broader shift towards healthier, more sustainable choices. Brands need to identify ways to credibly highlight their sustainable claims to ultimately drive conversion and/or justify their price difference.

Source: Südzucker – Sweet Trends Report 2024

Sustainability – Meaning, Understanding and Possible Solutions

When it comes to sustainability, which is closely linked to the previous topics, Human8 sees three recurring issues in many research studies:

• Different understandings
  Consumers define sustainability differently. A few years ago, it was mainly understood as environmental protection, with a strong focus on recycling, less packaging and plastic, reduced food waste and CO₂ emissions. Today, the understanding has broadened to include social, health-related and ethical aspects. Südzucker’s annual consumer survey shows that many aspects of sustainability, such as responsible water use, sustainable farming and biodiversity are becoming increasingly important when choosing food and beverages. Brands need to educate consumers about the full scope of sustainability and take them along on their sustainability journey by sharing and celebrating initiatives large and small.
• Sustainability as a hygiene factor
  Consumers often see sustainability as a basic requirement and expect manufacturers, retailers and governments to facilitate sustainable choices, somewhat diminishing their own power to drive change. When consumers are confronted with sustainability claims, they often suspect greenwashing, which is why transparency and credible certifications across the supply chain are essential.
• The say–do gap
  There is a gap between consumers’ sustainable intentions and actions, often due to the higher cost and lower convenience of sustainable options. Brands need to bridge this gap by highlighting the value of sustainable choices, rewarding consumers and making it easier for them to act sustainably.

Partnering with Südzucker

There are several ways how you can work together with Südzucker on a more sustainable future, from transparent benefit communication about the beet sugar used in joint sustainability projects (such as those between Südzucker, Beneo and Puratos). We are happy to support you in any need you have. Feel free to reach out to us.

In addition to these three main topics, Human8 sees further developments in relation to sustainability, which Sarah and Nina describe as follows:

Increased focus on regenerative agriculture:

• Trend: Beyond organic farming, regenerative agriculture will gain prominence as a key sustainability approach. This method focuses on restoring soil health, enhancing biodiversity and improving water cycles, all of which contribute to carbon sequestration and long-term agricultural viability.
• Impact: Brands will increasingly source ingredients from regenerative farms, and consumers will become more aware of the environmental benefits of these practices. We can expect to see more labels and certifications related to regenerative agriculture on food products.

Expansion of plant-based and alternative proteins:

• Trend: The demand for plant-based and alternative proteins will continue to rise as consumers seek sustainable and ethical food options.
• Impact: Innovations in taste, texture and nutritional profiles will make these alternatives more appealing to mainstream consumers.

Circular economy and zero-waste initiatives:

• Trend: The food industry will increasingly adopt the principles of the circular economy, focusing on reducing waste through better packaging solutions, upcycling food by-products, and minimising food waste across the supply chain.
• Impact: It is expected that more brands will use biodegradable or reusable packaging, and promote products made from upcycled ingredients. Retailers may also implement more initiatives to reduce food waste, such as selling “imperfect” produce or offering discounts on products that are nearing their expiry date.

Good Value for Money More Important than Low Price
All of the above are relevant for the consumer, but of course price also plays a role, as mentioned earlier. Value for money is crucial for consumers when purchasing food and beverages. “It means the perceived benefits of a product justify its price. Consumers evaluate whether the quality, features and quantity align with the price. Of course, value for money can be evaluated differently depending on disposable income or category,” explains Nina.

Maintaining value for money is challenging for brands as consumers become savvier and use price comparison tools and product reviews. An omnichannel purchase journey, involving both online and offline touchpoints, is common. Research for Südzucker among over 2,000 consumers in Germany and Belgium shows that about 80% often buy food products on offer and usually decide what to buy before grocery shopping.

Sarah adds: “Ninety per cent of consumers are interested in healthy eating, two-thirds are willing to spend more on quality food, and around half say that it is worth paying more for organic food. So there is a clear opportunity for brands to add value. Food brands are focusing on ‘reframing’ value by emphasising high quality, nutritional benefits, regionality, sustainability or unique product experiences rather than lowering prices – they are often showing value in new and surprising ways through claims, POS communication and, ultimately, by confirming the equity and emotional value of their brands to differentiate them from competitors and especially private labels.”

The Influence of Gen Z and Gen Alpha

Südzucker also asked Sarah and Nina if they see different behaviours between generations, especially when focusing on Gen Z and Gen Alpha.

“Both generations have lower disposable income and thus prefer affordable options, as explained above in the context of value for money. Nevertheless, both are strong advocates of sustainability, even influencing their parents’ purchase choices,” as Sarah explains. “Brands need to move quickly and communicate in a transparent and truthful way as sustainability becomes the ‘new normal’. It is crucial to share stories of heritage, sustainability or community impact,” Nina adds.

The busy schedules of Gen Z and Gen Alpha spark interest in practical solutions, so it is essential for sustainability to remain affordable and convenient.

According to Human8, food brands should therefore consider the following initiatives:

Final Findings

To summarise, the topics of regionality, organic, naturalness and, along with this, sustainability continue to increase in relevance when making purchasing decisions – but not at any price. The benefit or the value for money is evaluated differently by each consumer. It is important for food manufacturers to communicate the respective topics transparently and credibly and to illustrate the added value from the consumer’s point of view, in addition to the taste and health aspects.

As already visible above, we offer different solutions to support our customers to meet consumers’ needs with their products and transparently show a valuable benefit. From offering certain products, such as Raw Beet Sugar or Organic Beet Sugar, up to partnerships in regard to regenerative agriculture, for instance.

Nina has been working in market research since 2001. She started her career at Kantar, moved to BuzzBack and has been Research Director at Human8 since 2018. Nina loves finding out what motivations and problems consumers have and applying that learning when developing meaningful products, services or communications with our clients such as Südzucker.

Sarah has been Senior Insight Consultant at Human8 for three years, having started after finishing her studies. She is particularly experienced with international brand and communication tracking for a diverse set of clients, including Südzucker.