Marrying value and premium ingredients key to swaying consumers: survey
It’s easy to assume price is the star of the show at the grocery store, especially as the U.S. wages a tariff war on Canada.
With so much economic uncertainty, the phrase “sticker shock” has even taken on a new meaning. These days, it’s more likely to describe the pleasant surprise of a reduced price, given shoppers have come to expect higher costs at every turn.
In fact, more than half of consumers globally (61%) have noticed food price hikes in the past 12 months, reveals the 2025 Innova Lifestyles & Attitudes Survey. The survey averages responses from Brazil, Canada, China, France, Germany, India, Indonesia, Mexico, Spain, U.K. and the U.S.
But while the price may be the headline, it’s by no means the whole story.
That’s one of the key takeaways from a webinar hosted by Innova Market Insights last week, titled “Global Ingredient Trends 2025.”
Lu Ann Williams, global SVP, research and co-founder of Innova, highlighted during the webinar that shoppers today are motivated by more than just dollars and cents.
She also revealed the potential for affordable pricing to become a much more powerful purchase driver when combined with ingredient callouts, such as on packaging.
“Ingredients are really the core of selling a product story,” Williams underscored.
READ: Consumers seek balance between health and indulgence when it comes to food
Data backs up her assertion that ingredients should be part of a product narrative from food manufacturers.
In the survey, respondents who reported an increase in store-brand purchases over the past 12 months ranked ingredients high among their motivations. Of five choices, “good value for money” and “easy to get” were the top two among consumers globally. But coming in a strong third? “They have high-quality products.”
That has been a notable shift in the positioning of private label versus non-store brands. “Long gone are the days when private label was seen as inferior,” said Williams. “Every retailer in the world has a different strategy now than they did 40 years ago. We’re still seeing more innovation around this, with private label brands targeting affordable quality.”
She referenced two examples of retailers launching products that combine value with premium and trendy ingredients.
The first was Walmart, which introduced bettergoods in the U.S. last April—its largest private brand food launch in 20 years. The brand is about making “quality, trend-forward ingredients and chef-inspired food approachable and affordable, with most prices priced under US$5.”
The bettergoods portfolio includes Heirloom Blue Corn and Multigrain Tortilla Chips; Italian Wood-Fired Mushroom; and Truffle Pizz; and Authentic Italian Artichoke & Lemon Pesto.
The proposition for Walmart’s American customers is two-fold. “You’re getting this very premium product at a low price,” said Williams. “But if it’s a salsa, for instance, instead of a tomato salsa, it’s pineapple salsa. There is a feeling of ‘extra’ with the addition of an on-trend ingredient.”
The second example cited was British supermarket Asda’s “Health Menu,” launched in January 2024. It features over 40 nutritionist-approved products in eight subcategories: gut health, immune health, heart health, bone health, muscle health, protein-powered, fiber-rich and plant-powered.
A Tandoori Butternut Squash Biryani Bowl, for instance, has a large “Immune Health” categorization on its packaging, which also spotlights that the entree is high in Vitamin A and fiber.
With the Health Menu, Asda is empowering “consumers to personalize their eating at a very affordable price.”
The advice Williams shared for brands when it comes to bringing new or revamped products to market? “Choose ingredients carefully and position wisely.”
And then support them beyond trend recognition alone.
“Add value to ingredients by going beyond just the ingredient and instead place greater emphasis on the quality or quantity of ingredients and the direct benefits they can deliver,” she said.
