Linda is President of HealthFocus International which provides
"Fresh Perspectives On The Health & Nutrition Markets"
www.healthfocus.net

SUMMARY

For the sake of health benefits, more Americans are willing to make meatless choices, at least occasionally, than were willing to do so in the past.  Vegetarian menus are not only more acceptable among shoppers today, they are seen as a healthful and smart way of eating. Americans are not giving up meat altogether, but they are no longer as loyal to meat on the menu. They are seeking solutions for preventing disease and maintaining daily good health through vegetarian food choices.

Two percent of shoppers say they always maintain a vegetarian diet and another 26% say they usually (7%) or sometimes (19%) do so.  This 28% of shoppers are driving demand for vegetarian products on grocery shelves, in restaurants, and at school cafeterias.

Growth in the market for vegetarian products in recent years has been largely fueled by Vegetarian Aware Shoppers, while the number of true Vegetarian Shoppers has remained relatively stable.Not interested in avoiding meat altogether, Vegetarian Aware Shoppers are eating meatless meals more often for health reasons; seeking out fruits, vegetables and whole grains; and adopting meatless burgers, soy hot dogs, and other vegetarian choices.

WHAT VEGETARIAN MEANS

As a dietary habit or lifestyle, vegetarianism includes a spectrum of dietary choices, ranging from vegan, ovo-vegetarian, lacto-ovo-vegetarian, pesco-vegetarian, to semi-vegetarian or Vegetarian Aware.

• Vegans avoid all animal-derived products. 
• Ovo-Vegetarians do not eat meats or dairy products, but include eggs in their diet.
• Lacto-Ovo-Vegetarians do not eat meats, but include eggs and dairy products in their diet.
• Pesco-Vegetarians do not eat meats, but include eggs, dairy products and fish in their diet
• Semi-Vegetarians do not eat red meats but include eggs, dairy products, fish and poultry in their diet.
• Vegetarian Aware Shoppers do not avoid meats, dairy products, or eggs altogether, but are trying to eat meatless meals more often.

 A BRIEF HISTORY

Vegetarianism has been around for centuries, often as a tenant of eastern religions and philosophies.  In the United States, vegetarianism has Christian roots.  Reverend William Metcalfe introduced vegetarianism to the United States in 1817.  In 1863, the Seventh-Day Adventist church was founded and members adopted eating guidelines prohibiting meat, tobacco, alcohol, tea, and coffee consumption.  Around the turn of the century, Dr John Harvey Kellogg, of cereal fame, founded a sanitarium in Battle Creek, Michigan that advocated vegetarianism and healthy living.  During the 1960’s, vegetarianism became tied to the “counter-culture” as environmental issues fueled new interest in vegetarian eating habits.   In 1971, Frances Moore Lappe harshly examined the meat industry, and the resources necessary to support it, in her book, Diet for a Small Planet.  An immensely popular book, Diet for a Small Planet increased awareness of the environmental reasons for becoming a vegetarian among the American public.

NUTRITIONALLY MISUNDERSTOOD

Until recently, the health benefits of vegetarian diets have been largely misunderstood.  Just twenty-five years ago, vegetarian diets were predicted to give rise to osteoporosis, anemia, and protein-deficiencies.

Vegetarian eating habits are now nutritionally acceptable and generally recognized as healthy.  While vegetarian once meant “counter-culture”, vegetarian today is viewed as a smart way to eat healthfully among mainstream consumers.  Both male and female vegetarians are known to suffer significantly less from cancer, heart disease and obesity. 

Once the domain of health food or other specialty brands, major brands such as Green Giant and Stouffer’s now offer vegetarian frozen burgers and dinners respectively.  Two icons of American culture, Walt Disney World and Denny’s, also offer vegetarian menu options in their restaurants.

VEGETARIAN-AWARE SHOPPERS

In 1994, the Wall Street Journal reported that HealthFocus coined a term for the growing consumer group interested in vegetarian eating habits but not interested in giving up meat altogether:  “Vegetarian Aware Shoppers.”  Vegetarian Aware Shoppers are interested in eating less meat, primarily due to their interest in eating less fat and eating more vegetables, fruits, whole grains and beans.

 HealthFocus tracks trends in vegetarian eating habits in their National Study of Public Attitudes and Actions Toward Shopping and Eating.  A market research and consulting firm based in Des Moines, Iowa, HealthFocus has conducted the study every two years since 1990.  The national survey is conducted in two stages: telephone recruitment and a mailed survey.  The telephone recruitment qualifies respondents Primary Grocery Shoppers (make all or equally share the food buying decisions for their household).   The survey asks more than 300 questions and was completed by more than 2,000 people in 1996 and 1994, and more than 1,000 people in 1992 and 1990. 

The survey objectives are to:

• Identify current issues in consumer health and nutrition attitudes and actions, such as avoiding red meats and eating more vegetables.
• Assess trends in consumer priorities regarding eating habits and nutrition issues, from price and convenience to better nutrition.
• Examine where consumers are headed in their behavior towards health and diet.
• Determine what nutritional issues will be most important to shoppers in the near future.

MEAT ON THE MENU

It's important to recognize that Vegetarian and Vegetarian Aware Shoppers are not giving up meat altogether, rather they are viewing meat as a less prominent aspect of their meals.  Shoppers say, “I’m a Vegetarian; I only eat chicken and never beef or pork”.  This is not really being a true vegetarian.

According to the 1996 HealthFocus Study, both Vegetarian Shoppers and Vegetarian Aware Shoppers still eat meat on occasion, although Vegetarian Shoppers are far less likely to put meat on their plate.  Fish and seafood are the most widely used meats among Vegetarian and Vegetarian Aware Shoppers, followed by poultry. 

Almost one-third (thirty-one percent) of Vegetarian Shoppers always or usually avoid dairy products and ingredients; seventy-nine percent always or usually avoid foods with red meat.  Still, only seventy-eight percent of shoppers who say they always maintain a vegetarian diet eat meatless meals twice a week or more often.

MARKET SIZE

According to the HealthFocus Survey, almost thirty percent of American shoppers, shopping for 25.7 million households, are choosing vegetarian or meatless meals.  Since 1990, the number of Vegetarian Shoppers has remained relatively stable, with about two percent of all shoppers always maintaining a Vegetarian diet.

The number of shoppers making Vegetarian Aware choices is increasing.   In 1996, twenty-six percent of shoppers maintain a vegetarian diet ‘usually’ (seven percent) or ‘sometimes’ (19 percent) up from twenty-four percent of shoppers in 1994.  The number of shoppers maintaining a vegetarian diet ‘at least on occasion’ increased by six percentage points, from forty-eight percent in 1994 to fifty-four percent in 1996.

DEMOGRAPHICS OF VEGETARIAN AND VEGETARIAN AWARE SHOPPERS

Men are somewhat more likely to be Vegetarian Shoppers, and women are more likely to be Vegetarian Aware Shoppers: three percent of men always maintain a Vegetarian diet, compared to just two percent of women.  On the other hand, twenty-six percent of women usually or sometimes maintain a Vegetarian diet, compared to just twenty one percent of men. 

Vegetarian Shoppers tend to be younger: twenty-one percent are aged 18-29 years, compared to just twelve percent of shoppers overall.  They are also more likely to have young children at home: 42% have children under two years of age and 42% have children aged 3 to 6 years.

In contrast, Vegetarian Aware Shoppers are older: 25% are aged 50-64 years, compared to just 23% of all shoppers; 22% are over age 65, compared to 17% of shoppers overall.  Vegetarian Aware Shoppers have older children at home: 47% have teenagers, compared to just 44% of all shoppers and 42% of Vegetarian Shoppers.

Shoppers making Vegetarian and Vegetarian Aware choices are somewhat better educated than other shoppers.  Forty percent of Vegetarian Shoppers and thirty-six percent of Vegetarian Aware Shoppers have at least a college degree, compared to thirty-two percent of all shoppers. 

Vegetarian Aware Shoppers live in higher income households than Vegetarian Shoppers, likely due to their age and experience in the workplace.  Vegetarian Shoppers have a median household income of $29,000, while Vegetarian Aware Shoppers have a median household income of $37,800.

Geographically, Vegetarian and Vegetarian Aware Shoppers live in highest concentrations in the North Central region of the United States.  Vegetarian Shoppers are most likely to live in the North Central (33%), Pacific (21%), Mid-Atlantic (14%) and New England (12%) regions.  Vegetarian Aware Shoppers are most likely to live in the North Central region (29%).

Compared to the general population, Vegetarian Shoppers are found in higher concentrations in the South Central  (9%) and Mountain (2%) regions.  Vegetarian Aware shoppers are found in higher concentrations in the South Atlantic (18%) and South Central (19%) regions.

DIETARY PRIORITIES

The most significant aspect of the Vegetarian and Vegetarian Aware consumer market is their strong commitment to healthy eating habits.  Healthy eating is more important and more top-of-mind for Vegetarian and Vegetarian Aware Shoppers, compared to shoppers overall.   Their attitudes are extreme and their behavior is more consistent, compared to other shoppers. 

Fifty percent of Vegetarian Shoppers and twenty-four percent of Vegetarian Aware Shoppers strongly agree that their diet is very important to them, compared to fifteen percent of all shoppers.  Fifty-eight percent of Vegetarian Shoppers and thirty-two percent of Vegetarian Aware Shoppers strongly agree that they think about the healthfulness or nutritional value of what they eat, compared to just twenty-four percent of all shoppers. 

This attention to what they eat translates to action: thirty-six percent of Vegetarian Shoppers and seventeen percent of Vegetarian Aware Shoppers always select foods for healthy reasons.   Forty-eight percent of Vegetarian and thirty-six percent of Vegetarian Aware Shoppers always read labels on food packages, compared to twenty-seven percent of all shoppers.

HEART-HEALTHY, LOW FAT AND LOW CALORIE DIETS

 Eighty percent of Vegetarian Shoppers and sixty-seven percent of Vegetarian Aware Shoppers always or usually maintain a “heart-healthy” diet, compared to only half of all shoppers who place similar importance on heart-healthy eating habits.  Seventy-four percent of Vegetarian Shoppers and sixty-five percent of Vegetarian Aware Shoppers always or usually maintain a low fat diet.

Vegetarian and Vegetarian Aware Shoppers also put a higher priority on maintaining a low calorie diet.  Sixty percent of Vegetarians and 43% of Vegetarian Aware Shoppers always maintain a low calorie diet, compared to just 26% of shoppers overall.

This emphasis on health, rather than religious or environmental issues, has meant that many longstanding vegetarian brands and products have had to reformulate and reposition themselves to address their targets concerns about maintaining heart-healthy, low fat, low calorie diets. For many consumers, the simplest way to cut back on fat is to cut back on meats. These choices are preventive measures that motivated by interest in better future health.

HEALTH ISSUES

Ensuring future good health and managing weight are the primary reasons Vegetarian and Vegetarian Aware Shoppers make healthy choices.  Ensuring future good health is the primary reason for choosing healthy foods for sixty-seven percent of Vegetarian Aware Shoppers, sixty-five percent of all shoppers, and fifty-six percent of Vegetarian Shoppers. 

While philosophical or spiritual reasons are strong motivators for those strictly Vegetarian (eighteen percent), the secondary reason Vegetarian Shoppers (twenty-four percent) choose healthy foods is to lose weight.  Only ten percent of Vegetarian Aware Shoppers and thirteen percent of all shoppers select healthy foods to lose weight. 

The secondary reason Vegetarian Aware Shoppers (sixteen percent) choose healthy foods is to control existing health problems.

HEALTH CONCERNS

Vegetarian and Vegetarian Aware Shoppers have more extreme concerns about future health problems, compared to shoppers overall.  Cancer tops the list of health concerns, followed by heart disease, osteoporosis, being overweight, and having high cholesterol. 

Vegetarians have the highest cancer concerns.  Sixty-six percent of Vegetarians are extremely or very concerned about cancer, compared to 62% of Vegetarian Aware Shoppers and 57% of shoppers overall.   They also express high concerns about osteoporosis and their weight.

Vegetarian Aware Shoppers are especially concerned about heart disease and high cholesterol, more so than Vegetarians are.   Sixty-four percent of Vegetarian Aware Shoppers are extremely or very concerned about heart disease, compared to 58% of Vegetarians and 59% of shoppers overall.   Similarly, 49% of Vegetarian Aware Shoppers are extremely or very concerned about high cholesterol, compared to 45% of Vegetarians and 44% of shoppers overall.

HEALTH PROBLEMS

The comparatively low levels of concern about heart disease and high cholesterol among Vegetarian Shoppers is probably in part a reflection of their better health status.   Sixty-five percent of Vegetarian Shoppers describe their health as excellent or very good, compared to 53% of Vegetarian Aware Shoppers and 53% of shoppers overall.

Vegetarian Shoppers are significantly less likely to be personally affected by health problems than are other shoppers.  Three exceptions are lactose intolerance, diabetes and arthritis, where vegetarian choices may be helping to manage the health problem once it occurs or is diagnosed.   Younger and more attentive to heart-healthy eating habits, Vegetarian Shoppers are relatively unlikely to report being overweight, having high cholesterol levels or high blood pressure, or suffering from allergies or stress, compared to Vegetarian Aware Shoppers and shoppers overall.

Vegetarian Aware Shoppers are somewhat more likely than all shoppers to report hypertension or high cholesterol levels, stress, diabetes, arthritis and osteoporosis, but they are less likely than all shoppers to report being overweight.  They are equally likely to report allergies.

Stress, arthritis and allergies are the most common health problems reported by Vegetarian Shoppers.   Thirty-six percent of Vegetarian Shoppers are affected by stress, thirty-three report suffering from arthritis, and thirty-one percent report allergies.   Osteoporosis, frequent colds and flues, and high cholesterol levels are the least widespread.

The most common health problems among Vegetarian Aware Shoppers are stress, allergies and being overweight.  Fifty-one percent of Vegetarian Aware Shoppers suffer from stress, 42% report allergies, and 31% are overweight.  Frequent colds and flues, diabetes and osteoporosis are their least common health problems

SHOPPING HABITS

Just as Vegetarian and Vegetarian Aware Shoppers differ in their nutrition attitudes and health priorities, they have different shopping habits.    Both shop at natural foods and health food stores more often than shoppers overall, but Vegetarian Shoppers are much more likely than Vegetarian Aware Shoppers to go often, and also to go to nutrition centers.    Vegetarian Shoppers go to the supermarket less often: seventy-two percent visit their supermarket weekly, compared to 83% of Vegetarian Aware Shoppers and 82% of shoppers overall.

Twenty-three percent of Vegetarian Shoppers go to a supermarket-type natural foods store weekly, and 21% go to a small health or natural foods store as often.   Fifteen percent of Vegetarian Aware Shoppers go to a supermarket-type natural foods store weekly, and eight percent go to a small health or natural foods store.  This compares to ten percent of all shoppers who go to a supermarket-type natural foods store weekly, and four percent who go to a small health or natural foods store.

Vegetarian Shoppers are ten times more likely to go to nutrition centers, such as a GNC, weekly, compared to Vegetarian Aware Shoppers or to shoppers overall.  Ten percent of Vegetarian Shoppers frequent nutrition centers weekly; one percent of Vegetarian Aware Shoppers and 1% of shoppers overall shop at nutrition centers at least once a week.

Surprisingly, Vegetarian Shoppers are about as likely as shoppers are overall to shop at a convenience store at least once a week.  Fifteen percent of Vegetarian Shoppers, fourteen percent of Vegetarian Aware Shoppers, and seventeen percent of all shoppers make the convenience store stop weekly.

PACKAGE INFORMATION

When shopping, Vegetarian Shoppers are label readers: forty-eight percent always or usually read labels on packages.  Only thirty-six percent of Vegetarian Aware Shoppers and 27% of all shoppers do the same. 

The freshness date is the most important part of the package labeling, followed by the nutrition fact box and ingredient statement.  Vegetarian Shoppers give extreme importance to this label information.   Seventy percent consider freshness dating extremely important, sixty percent consider the nutrition fact box extremely important, and the same number say the ingredient statement is extremely important. 

Freshness dating is extremely important to 60% of Vegetarian Aware Shoppers and to 58% of shoppers overall.  Forty-six percent of Vegetarian Aware Shoppers and 36% of shoppers overall consider the nutrition fact box extremely important.  Forty-three percent of Vegetarian Aware Shoppers and 33% of shoppers overall consider the ingredient statement extremely important.

Other important label information includes content claims and health claims, a customer service or 800- number, and recipes.  Thirty-four percent of Vegetarian Shoppers consider a customer service number on the label extremely important, compared to twenty-two percent of Vegetarian Aware Shoppers and 17% of all shoppers.  Twenty-six percent of Vegetarian Shoppers like recipes on the package and consider them extremely important.  Half as many Vegetarian Aware Shoppers give recipes this level of importance, and only eleven percent of shoppers overall do so

LABEL CLAIMS

Vegetarian Shoppers are significantly more interested in and influenced by health claims and content claims, than are Vegetarian Aware Shoppers or shoppers overall.  Content claims on labels are extremely important to forty-three percent of Vegetarian Shoppers and thirty-one percent of Vegetarian Aware Shoppers, compared to only twenty-five percent of shoppers overall.  Health claims get almost as much importance: thirty-seven percent of Vegetarian Shoppers and twenty-four percent of Vegetarian Aware Shoppers, compared to only nineteen percent of shoppers overall.

The differing health priorities among Vegetarian and Vegetarian Aware Shoppers are apparent in their label interests.  Vegetarian Shoppers give the most importance to labels reading “grown without pesticides”, “fresh”, “good source of antioxidants”, and “certified organic”.  Vegetarian Aware Shoppers have more mainstream interests, giving the most importance to labels reading “fresh”, “grown without pesticides”, “fat free”, and “low fat”.

NATURAL AND ORGANIC

Just as Vegetarian and Vegetarian Aware Shoppers are more likely to shop at health and natural foods stores, they are more likely to look for brands and to support companies that share their social, environmental and other values.  Seventy-nine percent of Vegetarian Shoppers strongly agree or agree that environmental issues have impacted their purchases, compared to sixty-four percent of Vegetarian Aware Shoppers and fifty-one percent of shoppers overall.  Vegetarian (seventy-three percent) and Vegetarian Aware Shoppers (sixty-one percent) prefer to buy products from companies that support their social, community or environmental interests.

This social and environmental sense of responsibility is reflected at the checkout counter in organic foods purchases.  Thirty-one percent of Vegetarian Shoppers use organic produce twice a week or more, compared to only eleven percent of Vegetarian Aware Shoppers and eight percent of all shoppers.  Twenty-eight percent of Vegetarian Shoppers use organic grains twice a week or more, compared to twelve percent of Vegetarian Aware Shoppers and ten percent of all shoppers.  Finally, organic processed foods are used twice a week or more by thirteen percent of Vegetarian Shoppers, and five percent of Vegetarian Aware Shoppers and four percent of all shoppers.

A GROWING MARKET

Use of vegetarian products and meatless meal options is growing and is expected to continue to grow, driven by consumer interest in healthier eating and scientific evidence supporting the importance of more produce and grains in the diet and less meat.  Fifty-four percent of all shoppers in 1996 report they eat a vegetarian diet at least on occasion, up from 48% just two years ago.  Nine percent of shoppers lay claim to the moniker “Vegetarian”, although fewer than 2% practice classical vegetarian eating habits including no meat, no eggs and no dairy products. 

In 1996, forty percent of all shoppers are eating meatless meals such as pastas or salads weekly; up from thirteen percent in 1990.

Meat substitutes or analogs such as Harvest Burgers and Grillers are also becoming more popular with American shoppers.  Fifteen percent of all shoppers use these products weekly, up from nine percent in 1994 and seven percent in 1992. 

The weekly use of soyfoods such as tempeh or tofu has also increased -- from three percent of shoppers in 1992 and four percent in 1994 to five percent in 1996.Clearly, use of vegetarian products and meatless meal options is growing and will continue to grow.   Market growth will be driven by consumer interest in healthier eating, and fueled by scientific evidence supporting the importance of more produce and grains in the diet and less meat.

HealthFocus International
A Division of IB&A

1140 Hightower Trail, Suite 201
Atlanta, GA 30350
Phone: 770-645-1999
Fax: 770-518-0630
Email: hfocus@bellsouth.net