HFSS….God, it even sounds dull. Definitely one to stick in the “to do” folder.

Except, you really don’t want to be caught short on this legislation, because competition for shelf space in the large multiples is likely to ramp up in 2022 because of the new rules…

HFSS – High Fat, Salt and Sugar. Cakes to cereal, pizza to prepared meals.

 We don’t expect consumers to have much awareness of this, not individually at least. On a macro level however, there will hopefully be a positive impact on the health of the nation, especially for children, simply by reducing the promotional opportunity for unhealthy food and drink products.

 But for food and drink manufacturers the impact could be a lot bigger, starting now

What is it and how will it impact your business?

Essentially, from October 2022 promotion of HFSS products will be restricted by location and volume price as follows:

• Locations restrictions will apply to store entrances, aisle ends and checkouts and their online equivalents (that is, entry pages, landing pages for other food categories, and shopping basket or payment pages)

• Volume price restrictions will prohibit retailers from offering promotions such as "buy-one-get-one-free" or "3 for 2" offers on HFSS products

For more details, download our summary pack here

What it means for manufacturers is that:

• Sales driven by promotion will be down

• That promotional space will be up for grabs, with HFSS compliant products possibly at the front of the queue

• Shelf space in the main category aisle will be even more valuable than it is now, and the big brands with big budgets may squeeze out the small (and new) guys

• Retail buyers will be looking for more from suppliers, in terms of innovation and a compelling reason to put your products on shelf

Even now, we’re hearing of delayed range reviews while the Retailers figure out what to do with their own label products.

So, how will your company deal with HFSS? Most that we speak to say they’re increasing innovation to meet the legislation head on. As always, we reckon that data and insight should be a key part of that innovation. 

We held a webinar in 2021, with Kantar, on the topic of HFSS. If you’d like to hear more about the content shared, please get in touch with mark@trkr.co.uk