A recent press release on the winners of an award for best new product had some interesting insights into current consumer psychology.

In conjunction with the Better Homes and Gardens Best New Product Awards, Toronto-based BrandSpark International surveyed more than 50,000 U.S. consumers on topics such as: recessionary shopping behavior, healthy eating, future spending priorities, private labels versus premium brands, organic and natural foods, environmental accountability and money-saving strategies.

Looking at the findings, it’s clear that private label is still hot, skepticism surrounds environmental claims and natural foods may give organic ones a run for their money.

“We can see the impact of the recession on attitudes towards the environment and health - with both losing ground in terms of importance,” said Robert Levy, president and CEO of BrandSpark International and founder of the Best New Product Awards, in the press release. “People have made a big shift to eat at home more and as a result are spending more time and money in the grocery store. Finding new products that really deliver is more important than ever, especially with shoppers demanding greater value for money.”

Conducted October 12 to December 8, 2009, the BrandSpark American Shopper Study included questions about individual product appeal, intent to repurchase, consumer confidence level and expected future spending habits, among other topics.

For this edition of the awards, 135 products were evaluated, with 42 winners chosen from 55 manufacturers in categories that included cereal, juice, ice cream, anti-aging skin care, oral care, shampoo and household cleaners. Each category had a minimum of three products from at least two different manufacturers. In order to win, the product had to have the highest combined score on repurchase intent among those who had previously purchased the product and product appeal.

(The winners, by the way, were as follows. Best in health and beauty category and best in show: Olay Professional Pro-X Wrinkle Protocol. Best in food and beverage category: Yoplait Smoothie. Best in household care category: Cascade Complete All-in-1 Action Pacs. A complete list can be found at www.bestnewproductawards.biz.)

What are the top five purchase drivers for consumers?

In the food and beverage category:

1. Taste

2. Price

3. Fresh

4. Looks appetizing

5. Smells good

 

In health and beauty:

1. Price

2. Proven effective

3. Simple to use

4. Trusted brand

5. Allergy-tested

 

In household products:

1. Cleans thoroughly

2. Price

3. Effective

4. Delivers as promised

5. Works the first time

As good as brand-name products

The uptick in the use of private-label products shows no signs of abating, according to the study’s findings: 59 percent of Americans think that private-label or store-brand products are just as good as brand-name products; 66 percent of those surveyed believe that private-label brands are usually an extremely good value for money; 56 percent have purchased more private-label products in the past 12 months.

The survey also gathered opinions on two other much-discussed topics: green marketing and organic foods. “Over the past number of years, we have seen environmental accountability grow to be a major concern for American consumers,” said Levy. “However, we have also seen the impact of the economy on environmental attitudes.”

Seventy-seven percent of Americans still feel that companies are exploiting green claims for marketing purposes. Packaging remains a top environmental concern for consumers, with 75 percent believing that manufacturers still have a long way to go to reduce the amount of packaging. Fifty-two percent of Americans feel it’s important that a new product is better for the environment, a decrease from 63 percent in the previous year’s study.

While interest in organic foods continues, consumers also place a value on foods that are free of artificial flavors or colors. Half of the consumers surveyed believe “It is important that a new product is made from all-natural ingredients” and 37 percent believe “It is more important to me that a product is natural than organic.”

Levy attributed part of this to consumer skepticism. Among the consumers who didn’t purchase organic products, 39 percent said they “don’t trust that all products labeled as organic are actually organic” and “are confused by what the term organic actually guarantees.” “It appears that further consumer education is required in the natural versus organic debate,” said Levy.

In another finding, concern about food safety lessened among the group surveyed, with 61 percent saying they were concerned about it, down from 71 percent last time around.

Added health benefits

Healthy living is still an important concern for Americans, said Levy. “Consumers want products with added health benefits and they are willing to pay more for products that will help to prevent illness.” Indeed, 71 percent of Americans want products that offer healthier options and 60 percent are concerned about receiving added health benefits from the products that they purchase.

The top five health concerns Americans reported were: health insurance, weight loss, H1N1, diabetes and cancer. Seventy-nine percent of those surveyed believe that “There is a lot I can do with food and nutrition to prevent illness.”