THOUGHT LEADERSHIP

Navigating HFSS Legislation: Vital for Retailers and Manufacturers

August 12, 2022

The impending High Fat,Sugar, and Salt (HFSS) legislation is poised to fundamentally reshape howretailers and manufacturers approach assortment planning, planograms, andoverall store layouts.

HFSS designates products identified as high in fat, sugar, or salt, as determined by the Department of Health's Nutrient Profiling Model. Legislation is set to be introduced in England, effective April 2022, which will restrict in-store promotional activities for products within these categories. Affected product categories will include, but are not limited to, ice cream, biscuits, snacks, and soft drinks.

This wide-ranging legislation includes a significant prohibition on secondary (off-shelf) displays in stores exceeding 2,000 sq. ft. With approximately 40% of products in an average supermarket potentially impacted, this will inevitably lead to a substantial overhaul of displays at key impulse locations such as checkouts, store entrances, and aisle ends.

It is highly probable that affected categories will experience a negative impact on sales, at least in the short term. Therefore, proactive assessment of potential scenarios and the development of mitigation strategies are crucial. Key questions to address include:

  • How will store macro space be reallocated as less impulse-driven products contend for prominent feature space?
  • What modifications will be necessary for planograms to manage the increased pressure on HFSS category shelf space?
  • Can the breadth of assortment be maintained given the intensified space constraints within HFSS categories?

Be ready for the change by reviewing the 3 key elements of:

JDH Solutions team of experts are ready to support retailers and manufacturers with analysis, scenario planning and mitigation strategies to ensure assortments, planograms and floorplans are in good shape to meet the HFSS challenge.​

If you would like to chat through in more detail how we can help, then please get in touch and we'll be happy to discuss your requirements.

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