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Dagan Xavier

By: Dagan Xavier on July 28th, 2017

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Exponential Growth in New Label Adoption a Win for the Industry and Consumers

Company Viewpoint

In May of 2016, the country's first update to nutrition labels since the federal government started requiring them in the early 1990s, was unveiled. The idea behind this shift was to help consumers make more informed decisions about the foods and beverages they eat and drink.


Exponential Growth of New Label Adoption

Since last May, we’ve seen exponential growth in the adoption of the new Nutrition Facts panel. According to Label Insight’s database, there are nearly 8,000 products in circulation that have adopted the new Nutrition Facts design. According to the analysis, that is almost 300% quarter on quarter growth since Q3 2016, which makes sense seeing as the vast majority of the regulations were finalized in Q2 2016.

With less than 5 quarters until the July 26th, 2018 compliance date (which has still not officially been delayed, despite much conjecture in the industry), we anticipate there to be an exponential increase in new label adoption each subsequent quarter. In fact, based on bookings, we know of at least 15,000 new products to enter the market with the new Nutrition Facts panel before the end of the year, which is a clear sign of that regardless of the proposed delay, the industry is getting behind this movement and pushing towards greater transparency.


Positive Step Forward for Science, Transparency

According to the FDA, the New Nutrition Facts Panel will “reflect new scientific information, including the link between diet and chronic diseases such as obesity and heart disease. The new label will make it easier for consumers to make better informed food choices.”

We applaud manufacturers who are adopting the new Nutrition Facts Panel for acknowledging this new scientific information and providing the necessary data for consumers to make informed and educated decisions.

The dramatic increase in brands voluntarily adopting the new Nutrition Facts panel prior to the current compliance date is also evidence of the CPG industry’s commitment to providing product transparency to consumers looking to make more informed choices. Transparency initiatives like the updated Nutrition Facts Panel and digital labeling initiatives are a huge step forward in the effort to repair consumer trust, improve brand loyalty and even perceived brand worth.

Over the past year, Label Insight’s research has highlighted the importance of product transparency and the implications for both consumers and manufacturers. The 2017 Shopper Trends Study revealed that that 49% of consumers are following specific diets or eating programs, yet two-thirds of consumers find it challenging to decipher if a product meets their dietary needs. In fact, half of shoppers (48%) feel that they are “not informed at all” about products, even after reading the product label.

However, brands that are taking a proactive approach to transparency initiatives today are poised for future success. Label Insight’s 2016 Transparency ROI Study shows that 94% of consumers are likely to be loyal to a brand that offers complete transparency, 39% would be willing to switch to a brand that provides transparency and 73% of say they would be willing to pay more for a transparent product.

A Roadmap for Success with Transparency

Label Insight can help you develop a strategic roadmap for your transparency initiatives from updates to the new Nutrition Facts Panel to SmartLabel™. To get started on the path to transparency request a free transparency consultation with our team.

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Hungry for more information? Visit to learn more about FDA changes to the Nutrition Facts Labels

-FDA Changes to the Nutrition Facts Label

-Draft Guidance for Industry: Questions and Answers on the Nutrition and Supplement Facts Labels Related to the Compliance Date and Added Sugars

-FDA Questions and Answers for Industry on Dietary Fiber

-FDA New Reference Amounts Customarily Consumed (RACCs)

-Examples of Labels in the New Format

-FDA Updated Daily Reference Values (DRVs)

-FDA Updated Reference Daily Intakes (RDIs)