Information Resources said that food CPG sales were fairly flat in 2004 with few firms making any real headway.
"Less than 1 percent achieved over $1 million in year-one sales," said the company in its annual new products pacesetters report published this week.
The most successful new food and beverage products delivered consumers' desire to manage weight and improve their overall health, while simplifying their lives through added convenience.
The report predicted that these trends will continue with increased demand for food and beverage products offering energy and vitality - beyond energy and sports drinks - specific disease management benefits, hearty satisfying meals and premium indulgence.
Brand extensions dominated the last year. Over the past 10 years, said the report, new brands have dropped from an average of 13 percent of new product pacesetters - with a high of 22 percent in 1997 - to only 6 percent today.
"Building a brand from scratch is relatively rare," said the report.
This year's winners in the brand extension stakes were Pepsi Vanilla, Diet Coke with Lime and Sprite Remix, with each earning over $100 million in year-one sales.
Offerings such a Yoplait Nouriche smoothies and Healthy Choice Flavor Adventures frozen dinners were popular as they allowed consumers to "manage weight but still enjoy flavor".According to the researchers: "Yogurt been a truely exceptional category." Yogurt offerings now span the range from the more indulgent to low calorie to nutritionally complete, targeting adults and children and come in multiple forms from drinks to smoothies to tubes and cups to meet on the go requirements.
In terms of number of launches, snack bars/granola bars led the way, followed by cold cereal, cookies and carbonated beverages.
The popularity of snack bars shows the public's increasing demand for convenient foods that they can eat on the go. Hence, Kellogg's Nutrigrain chewy bars and bites and Kraft String-Ums natural string cheese were strong players.
However, convenience didn't mean forgetting the continued drive for healthier eating and nearly one-quarter of food and beverages offered reduced calorie benefits, while other weight management benefits, such as low-carb and reduced fat also had a strong presence. On-in-five delivered added nutrients, such as vitamins, calcium and soy to promote general health.
Early indications reveal many of trends continuing and consumers are still gravitating towards products with weight management benefits, including Slimfast Optima shakes and snack bars, Carbwell's reduced carb products and Frito Light snalty snacks.