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Healthy Sales Trends in Healthful Foods

Stock quotes in this article: KFT , GIS , SWY , WFMI  

General Mills recently announced a similar labeling program, Smart Choices, which will debut in 2009. Health is a core message throughout the company's corporate communications, from research that eating breakfast cereal makes girls healthier to the recent announcement that all Progresso soups were being reformulated so they would be free of added MSG. The company has also invested in wellness-related brands, buying the Larabar line of energy bars. Small Planet Foods, the organic-brand division of General Mills, showed a double-digit increase in sales in the first quarter of the 2009 fiscal year.

That's not to say that going all-natural means automatic profits. With food costs on the rise this year, shoppers have been looking for discounts, and many organic brands have felt the pinch.

Former stock-market high flyer Whole Foods (WFMI Quote) has been hit by the slowdown in consumer spending; in its recently-released financial results, the company admitted same-store sales in the fourth quarter decreased slightly from the same time frame last year. To battle the perception that its stores are overpriced, the company has tapped "value gurus" to steer shoppers toward the best deals.

Customers may not be willing to pay more for good food, but if you can keep your products priced competitively, a healthy eating tie-in can set you apart from the competition. Except on Thanksgiving Day, when calories don't count.

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Elizabeth Blackwell is a freelance writer based in Chicago. She is the author of Frommer's Chicago guidebook, and writes for the Wall Street Journal, Chicago, and other national magazines.

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