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CONSUMERS WANT A HEALTHY START TO THE DAY

Research released today by Tate Lyle provides fresh insight into consumers’ increasingly sophisticated attitudes towards breakfast cereals.

The survey, part of the Tate Lyle’s ongoing study into consumer’s health and wellness preferences, polled more than 1,500 people across Europe about the benefits they view as important in their breakfast cereals, and those for which they are willing to pay more.

The research reveals that while there is some crossover between benefits viewed as important for purchase and benefits consumers are willing to pay more for, the results are not identical. Around a third of respondents suggested that the claims “high in fibre”, “reduced fat”, “containing 30% less sugar” and “30% fewer calories” will encourage them to purchase breakfast cereals. However, when questioned about which benefits they would spend extra on, “keeps you full for longer”, “improves digestive comfort”, “helps maintain healthy blood cholesterol” and “high in fibre” each received over 75% of agreement.

In order to help breakfast cereal manufacturers improve the nutrition profile of their products, Tate Lyle has developed a range of breakfast cereal concepts that will make a difference to consumers.

Tate Lyle’s coated cereal pops prototype demonstrates that using FRUCTOPURE™ Fructose and STA-LITE® Polydextrose can provide a high fibre content, 30% sugar reduction and high quality sweetening, while not affecting taste, crunchiness or gloss.

Similarly, these ingredients helped to achieve great taste and texture appeal in crunchy multi-cereal and hazelnut clusters, with a 30% sugar reduction. In addition, the prototypes show excellent bowl stability when milk is added.

Commenting, Kristien Gerits, Product Manager Sweeteners at Tate Lyle said: “Cereals are a quick and easy breakfast option but are also seen as a wholesome choice. We wanted to combine taste and improved nutritional content to create products that were both fun and healthy and would be popular with children and adults”.

“Our research shows a growing demand for cereals that deliver a wide range of benefits. We think our new breakfast cereal formulations help manufacturers quickly meet these needs and their consumers’ satisfaction. ”

A sample of 1565 European consumers aged 18-65 was interviewed online for about 20 minutes in July 2009, within the UK, Germany, France, Italy and Spain. The research was carried out by Harris Interactive, a leading global research consultancy firm with offices in the UK, Germany, France, USA, Hong Kong and Shanghai and Singapore.

Tate Lyle operates through two global business units, Speciality Food Ingredients and Bulk Ingredients, supported by Innovation and Commercial Development. The Group's strategy is to become the leading global provider of Speciality Food Ingredients through a disciplined focus on growth, and by driving the Bulk Ingredients business for sustained cash generation to fuel this growth.

Speciality Food Ingredients include starch-based speciality ingredients (corn-based speciality starches, sweeteners and fibres), no calorie sweeteners (including SPLENDA® Sucralose) and Food Systems which provides blended ingredient solutions. Bulk Ingredients include corn-based bulk sweeteners, industrial starches and fermentation products (primarily acidulants). The co-products from both divisions are primarily sold as animal feed.

Tate Lyle is listed on the London Stock Exchange under the symbol TATE.L. American Depositary Receipts trade under TATYY. In the year to 31 March 2012, Tate Lyle sales totalled £3.1 billion. http://www.tateandlyle.com. SPLENDA® is a trademark of McNeil Nutritionals, LLC

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