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Brand Source > “Smart Choices” Helps Food Companies Build Brand Equity
08.24.2009
“Smart Choices” Helps Food Companies Build Brand Equity

While a survey suggests the Nutrition Facts Panel on food products is unreadable to most customers, several companies are getting on board for a new and simpler nutrition labeling system called “Smart Choices Program”.
 

The survey released early August shows 74 per cent of US customers hold negative views of the Nutrition Facts Panel on food products, citing the food labels are “exhausting to read” or “difficult to understand,” among other complaints.

Smart Choices Program may enable consumers to make smarter choices when buying foods and beverages, and at the same time companies can use the program to enhance brand differentiation and relevance by putting the Smart Choices labels onto their packages.

The Smart Choices Program was initiated under the leadership of the non-profit organization Keystone Center. Approximately 500 products from eight companies have qualified for the Smart Choices’s green check mark in the program’s 19 categories. The eight companies include General Mills, ConAgra Foods, PepsiCo, Kraft Foods, Sun-Maid, Unilever (US), Tyson and Kellogg Company (US).

But, unlike Unilever’s own Eat Smart & Drink Smart program or Kraft Foods’ Sensible Solution Program, Smart Choices Program claims to be the first industry-wide uniform nutrition labeling program, making it cross-company and cross-brand. To qualify for the Smart Choices program, a product must meet a comprehensive set of nutrition criteria based on the Dietary Guidelines for Americans and other sources of nutrition science and authoritative dietary guidance. Industry-wide uniformity and strict standards make Smart Choices itself as well as the products that bear the mark more credible, which should enhance brand relevance to a wider range of customers.

Products that meet the Smart Choices Program nutrition criteria display the Smart Choices symbol and calorie indicator on the front of the package, which makes Smart Choices products stand out and builds up brand differentiation. Time-strapped customers are able to make quick but smart choices by simply picking up Smart Choices products. General Mills even plans to phase in the use of Smart Choices to coincide with other packaging changes.

The brand relevance and brand differentiation brought by the Smart Choices Program should contribute to the building of brand equity. This could be why, apart from the eight companies mentioned previously, Wal-Mart, Coca-Cola and Nestlé also expressed interest to join Smart Choices Program.

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