Vitamin D presents opportunity for Asian brands, new research from Mintel finds

Published: 17-Sep-2014

Yoghurt has the potential to contribute significantly to the overall consumption of this essential vitamin

Although fatty fish is one of the richest food sources of vitamin D (a 5oz serving provides 20% of the daily recommended dose), yoghurt also has the potential to contribute significantly to the overall consumption of this essential vitamin, alongside its complementary high calcium content.

New research from Mintel reveals an untapped opportunity for brands in this area as only 2% of spoonable yoghurt products launched in Asia highlighted vitamin D in their nutritional content in 2013.

While vitamin D fortification still remains a niche claim in the yoghurt category in Asia, it is growing; the number of launches almost trebled between 2011 and 2013. Companies in the yoghurt space are increasingly focusing on bone health: the share of all yoghurt launches featuring the 'bone health' claim across Asia went up slightly from 1% in 2010 to around 4% in 2013. In the first quarter of this year, nearly 7% of all yoghurt launches claimed bone health.

Pam Yates, Research Manager APAC, at Mintel, said: 'In some countries, such as the US and Canada, it is mandatory for milk to be fortified with vitamin D, whereas other countries have no such regulation. However, yoghurt manufacturers do not necessarily use fortified milk to manufacture yoghurt. But, through fortification, yoghurt manufacturers in Asia can help to increase the intake of this vital nutrient, especially as dairy provides an ideal delivery channel for additional nutrition.

'Yoghurt is also very popular in the region, with China being the world’s largest consumer of yoghurt in the retail space. In addition to buying yoghurt, many Asian consumers also make it at home. So, while per capita consumption volume in retail tells one story, it is likely to be much higher in reality.'

Yoghurt’s popularity in Asia is largely derived from the health benefits it offers

Yates added: 'Yoghurt’s popularity in Asia is largely derived from the health benefits it offers. In India, it is a staple part of most meals and is also used as an ingredient while cooking. In Vietnam, yoghurt is a popular dessert and snack, and is very often part of a school child’s lunchbox. In China, its consumption ranges from being part of a meal to a digestion aid. This popularity indicates that there is immense potential for the growth and acceptance of value-added yoghurts targeting specific functions.'

China ranks highest in terms of Asian yoghurt retail sales, with 2.5 million tonnes sold in 2013, way ahead of Japan, which consumes the next-largest amount in Asia at 841,000 tonnes. South Korea (359,600 tonnes) and Thailand (181,400 tonnes) follow.

When looking at China, in terms of usage, 'part of a meal' tops the list regarding occasions for consumption, with 61% of urban Chinese consumers agreeing with this statement. More than half (53%) claim to eat yoghurt after a large meal to help digestion and a further 40% claim to eat it as a meal substitute. Although the volume of yoghurt consumed in China is high, the per capita consumption is still low (1.8kg per annum) compared with other countries in Asia (Japan, 6.6kg and South Korea, 7.1kg).

Although China also shows the highest growth of yoghurt consumption year-on-year to 2013 at 15.3% compound annual growth rate (CAGR), compared with the next-largest growth rate in the Indian market at 14.2%, Mintel’s research shows that things are changing. In 2014, the researcher expects that the largest growth rates will shift and India will take the lead, with a projected 15.8% CAGR, compared with 14.2% for China.

'Although launching vitamin D-fortified yoghurts will appeal to health-conscious consumers, this is not the only step that needs to be taken. Spreading awareness of the importance of vitamin D for the body through educational marketing campaigns is vital. Free check-ups or testing for vitamin D deficiency will definitely appeal to consumers, as will thought-provoking or fun online campaigns that engage them. These could help to spur Asian consumers to look for alternative routes to get the required amount of vitamin D and boost the demand for fortified, value-added yoghurts,' Yates concluded.

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