Sweet truth

x Sponsored content on Research Live and in Impact magazine is editorially independent.
Find out more about advertising and sponsorship.

With alarmingly high levels of childhood obesity reported in the UK, and mounting pressure from Public Health England, the government introduced a sugar tax in April 2018 – and it’s safe to say it has saved the nation millions of calories over the past year.

After the levy was announced, soft-drinks companies faced a major fork in the road: take the difficult decision to reformulate their products and risk customers disliking the changes, or find a way to fund the levy – in most instances, by simply charging more to account for the difference.

Despite the best efforts of many brands, the introduction of the tax and subsequent changes to drinks – be it to the recipe or price – didn’t escape criticism from consumers. There was also a backlash over the ‘nanny state’ style of the measure.

How worried are consumers about sugar?

Despite the initial criticism, Walnut Unlimited research shows the backlash doesn’t mean consumers are not concerned about their sugar intake. In fact, our recent surveys show that a third of the population are worried they consume too much sugar and half claim to be actively trying to reduce it. These findings are most prevalent among millennials, with concern about sugar rising to more than half among 18 to 34-year-olds.

With an increase in flexi-lifestyles – people mixing up their diets to improve their health – and more moderate consumption of alcohol and indulgent foods, the country was primed for changes such as these – so, is consumer behaviour in the UK changing?

In simple terms, not really. Reducing sugar is clearly something consumers believe they should be doing, but – as a nation – we still appear to be too easily swayed by sweet treats to make significant behavioural changes.

While there’s always a gap between what people say and what they do, our data demonstrates – one year on – that far fewer people have changed their consumption habits as a result of the tax, than initially claimed they would. Slow and subtle changes have been made, however. Kantar data showed that in February, sales of diet drinks are surging and those of sugary drinks declining.

‘Help me be healthy’

To stay relevant, brands are seeking to develop tasty, sugar-free options. These days, however, that means going beyond the traditional sense of ‘diet’ and tapping into the healthy mindset. Some people are self-regulating their diets, but – to make a real difference – manufacturers must take responsibility for reducing sugar content in their products. When change is made at source, such as reformulating recipes, consumption habits are forced to change.

Consumers increasingly want brands to help them become healthier, and brands need to play a major role in encouraging healthy choices. Many – including Ribena, Fanta, Irn-Bru and Lucozade – have successfully reduced the sugar in their products. With our data showing that almost half of consumers look for brands with lower sugar content, the onus should be on manufacturers to meet this demand and drive change.

Over the past year, brands such as Coca-Cola have successfully navigated conflicting consumer demands for great taste and healthier options through subtle ‘nudges’ towards the better choice. They have avoided reformulating full-sugar variants, but charge more for them. In this way, the choice is left with the consumer, but with a (small) price incentive that nudges them towards the cheaper, sugar-free variants.

Artificial v natural 

To maintain the sweet taste consumers are looking for, much of the reformulation we have observed has focused on swapping sugar for artificial sweeteners. This is not without problems, however, because of widespread concern that artificial sweeteners are as bad for you as sugar. Is one truly better than the other?

Increasing innovation in natural alternatives is one thing the sugar tax has clearly influenced. San Pellegrino, for example, has adapted its range to include a mix of sugar and stevia. Using natural sweeteners and getting the taste right still poses a big challenge for brands, but the latest developments in stevia may prove more successful in meeting increasing consumer demand for a tasty, yet healthy beverage.

Weaning Brits off sugar is clearly an enormous and continuous task. While soft drinks are still a major source of sugar for children, they are just one category – our supermarkets are full of products containing unexpectedly high levels of sugar. Some encouraging progress has been made towards the government’s next wave of reduction targets, but the responsibility still lies with manufacturers to drive real change Already, we’re seeing many of our clients planning for future waves of taxation with pre-emptive reformulation.

One year on, only a minority of consumers claim to have changed their behaviour as a result of the tax. Continued education on the consequences of excess sugar consumption and the benefits of making healthier choices is needed, to ensure attitudes and habits truly change.

Greater democratisation and incentivisation of healthy eating will be key, to make healthier foods appealing and affordable. People may say they are willing to make a change, and want help in doing so, but it’s hard to break the habits of a lifetime without being nudged (or forced) towards healthier choices.

Expectation v reality

• Pre-sugar tax, 34% of consumers agreed with the statement ‘I’m less likely to buy sugary drinks’
  
• Post-tax, 20% agreed they are buying fewer sugary drinks
  
• 46% of consumers support the tax (-5% compared with a year ago)
  
• 34% are worried that they consume too much sugar
  
• 49% are actively trying to reduce their sugar consumption
  
• 48% actively look for brands with lower sugar content
  
• 47% support a tax on other high-sugar or unhealthy foods
  
• 69% believe manufacturers should do more to reduce the amount of sugar in food and drink
  
• 40% avoid artificial sweeteners; 41% would buy more diet products if they used natural rather than artificial sweeteners.

Walnut omnibus is a bi-weekly online survey of 2,000 adults in the UK.

Emily Pitman is associate director at Walnut Unlimited