Responding to consumer health concerns - 12 point plan
In 2004 we rolled out our 12 Point Action Plan which responds to consumer health concerns, including a Global Marketing Code of Practice, with special reference to children. It is supported by an extensive series of policies and standards on matters related to food and its content. It also aims to contribute to finding sustainable solutions to obesity and poor lifestyles, together with the global consumer research studies we undertook in 2005 into food, health, diet, nutrition and obesity.
Our progress on each of the twelve points is summarised below and examples of the progress we have made can be found in our section about Today's Topics.
Products and innovation - measurable progress
We aim to offer alternative product choices including reduced fat, sugar and salt, for our core brands.
In every market in which we operate, we listen to our consumers. We make products people 'feel good about' from sugar-free gum to high-energy bars made for climbers who scale Mount Everest. Our products are as diverse as our consumers.
Through innovation, we are investing in the development of new products within every category in order to provide consumers with the right choice. We are also renovating many of our products to meet changing needs. In India, our beverage Bournvita, is fortified with 11 micro-nutrients to specifically address child nutrition needs. In Central America, Trident Xtracare gum contains our proprietary ingredient Recaldent which helps keep teeth strong, in response to local concerns about oral care. New products also include lower calorie offerings and new sweetener options.
- Over the past 3 years, we have increased the low calorie and low fat choices in our portfolio by 50% through innovation and acquisition
- We have committed to reducing salt/sodium in our products
- We have a programme in place to reduce trans-fatty acids in our products
- Over 70% of our gum is now sugar-free
- We continue to expand our range of sugar-free mints
- Our chocolate range now includes calorie marked packs, smaller sizes, sugar-free, organic, and low carbohydrate options
- 30% of our candy is now sugar-free or natural in colours and flavours
- Our medicated cough sweets include functional and/or preventative benefits
Marketing and children - we can help
People are concerned about marketing to children. Cadbury supports self-regulation and our Global Marketing Code of Practice contains a section dedicated specifically to children. It was established in 2004 and can be found in our Marketing Code page. It also defines the special care to be taken when advertising to children between ages 8 and 12:
- Respect the role of parents and not encourage pester power
- No use of fantasy, characters, celebrities or placement/scheduling in a way that confuses or encourages inappropriate or over consumption
- No collection of personal details or contacts
We have recognised the challenges that "new media" channels bring and have created additional guidance and a global team to work alongside marketing colleagues to ensure good practice.
We also market in line with local regulations and standards, and work with other food companies to advance best practice.
What's our path, timing and tracking?
Our updated global Marketing Code of Practice will be re-launched by mid 2007, with Assurance readiness by end 2007 and limited Public Assurance by end 2008.
We are sharing the code with our business partners and asking them to support our position.
We will measure our progress internally during annual contract reviews.
We also have a range of specific guidelines relating to vending and schools.
Portion sizing - variety and moderation
We help our consumers by providing a broader range of options across all our product ranges. Cadbury was the first confectionery manufacturer to discontinue the single-serve, king-size lines in 2004. We made this move as part of our overall efforts to encourage moderation and responsible consumption. We also continue to offer a variety of smaller sizes and options. Where we have larger portion sizes we make clear that they are for sharing or for multi-occasions. We have included new portion size and sharing information on our labelling. These steps will give consumers greater choice and flexibility in how they consume our products.
Labelling - an industry first
Consumers tell us they know and understand our products. We want to continue to be open and transparent about what is in our products and how these compare to other foods and fit within the context of overall intake. We are providing more information and responsible consumption messaging to help keep consumers informed. We have launched a new global labelling standard together with Be Treatwise - a UK confectionery industry consumer education campaign designed to educate consumers about the role of treats in the diet. We have also introduced GDAs (guideline daily amounts) in the UK.
Vending in schools - by invitation only
We do not sell confectionery through vending machines in primary schools. We vend in secondary schools by invitation only and in line with nutritional guidelines set by the school. We do not carry visuals of children under eight years of age on our vending machines.
Consumer insight and research - sharing to help others
We continue to invest in, use and willingly share our consumer research and expertise to help improve understanding of concerns, both within and outside the business.
In 2005 we undertook global research studies into food, health, diet, nutrition, obesity, labelling and marketing covering both developed and developing countries and have shared these studies with governments and others. This builds on work undertaken in 2004 and 2003. We are supporting, with untied and unbranded funds, primary scientific research in this area.
We recognise that one of the most important things we can do is to contribute to a better understanding of the facts surrounding both current social trends and our own brands. For four consecutive years, Cadbury Trebor Bassett has supported a major study in the UK that tracks annual changes in obesity in adults and children and specifically assesses the role and position of confectionery in people's lives - in terms of both attitudes and behaviours. Called The LIBRA Study, this large-scale research initiative is part of an ongoing effort to help improve understanding in this area of public health. The study is conducted with leading research company Taylor Nelson Sofres and supplemented by UK government statistics. Previous findings about diet and exercise from The LIBRA Study have been presented as part of scientific sessions at the European Congress on Obesity.
Energy balance - we support building understanding
We continue to endorse initiatives that promote physical activity, responsible consumption of our products through campaigns like Be Treatwise and an understanding of the energy equation; particularly among children.
Community - our people are all part of their local community
We continue to support initiatives that promote physical activity and education that help improve consumer health and the understanding and prevention of obesity. These programmes are often local initiatives led by our people working as volunteers within their local community.
Business Partners - our customers and suppliers
Our efforts do not occur in isolation and we are actively engaging with government, non-governmental organisations, business partners, customers and our competitors asking them to inform and support our responses. Alone we are limited in what we can do, but together the potential to be a force for good is great.
Employee health and wellbeing - because our employees are consumers too
We are active in helping our people understand and improve their own health and wellbeing. Good stewardship begins at home. We have a long tradition of looking after our employees and part of that commitment today still involves helping them keep fit, healthy and feeling good about themselves.
We provide a number of local health and wellbeing programmes for employees ranging from employee nutrition and health education through to whole-family health management schemes. The programmes include the provision of nutrition-focused on-site cafeterias; hygiene and health management education; subsidised activity facilities on or off-site; organised sporting and social activities; and a range of courses and counselling on matters such as work-life management, relaxation and stress management, managing weight change and reducing smoking or drinking.
A large number of local business units have medical facilities for basic health and safety requirements. In addition, many offer employees medicals of one kind or another to give an indication of fitness to work. Guiding principles for such employee wellbeing schemes were introduced in 2005, to inform further development and the introduction of new facilities and programmes.
Science, nutrition and innovation - we have increased support
Our decision-making around food and health issues is based on the sound application of science. As a company, we have a large science capacity and invest significantly in research that enables us to drive innovation and provide consumers with a wide variety of choice including alternative products (reduced fat, sugar and salt) within our core brands. We have significantly increased our scientific and nutritional resources within our business and now have:
- Around 700 Science and Technology colleagues employed globally
- A Global Science Centre at Reading University Campus, UK
- A new US$ 40m Science, Technology and Innovation Centre in New Jersey, US
- A new £1.45m Science Centre opened in Singapore in 2006 to serve the Asia Pacific Region
- A newly appointed Director of Nutrition
- Global fortification guidelines and nutritional standards
- A global external Nutrition Advisory Board
Beyond our in-house research, we support hundreds of scientific projects around the world. For example, through the support that we give to the International Life Sciences Institute, we are increasing the understanding of how specific components in food affect and improve health.
Through this investment, we are reducing our reliance on the ingredients consumers are concerned about and are reformulating products to make sure they continue to taste great and are enjoyed.
Stakeholders - we value what others think
Our business decisions are underpinned by sound science together with consumer research. We also listen to the opinions and expectations of others including government, shareholders, campaigners, customers and our families and friends and incorporate these into our business decision making processes. For example, in 2001, based on concerns around marketing to children and existing science on the age when children identify and understand advertising motives, we withdrew from advertising to children under eight years of age where they are the majority of the audience.