As we approach 2025, the food and beverage industry is preparing for significant changes due to the new HFSS (High in Fat, Sugar, or Salt) regulations. These regulations aim to reduce the promotion and consumption of unhealthy foods by imposing strict controls on product placement and promotional tactics. At Kallik, we understand the challenges our customers face in adapting to these regulatory changes. Our software, Veraciti, is designed to streamline the process of organizing, managing, approving, and printing labels, making compliance easier than ever.
Understanding the New HFSS Regulations
Starting in 2025, the HFSS regulations will impose the following restrictions:
1. Placement Restrictions:
- HFSS products will be banned from prominent areas within stores, such as checkout zones, aisle ends, and store entrances.
- Online retailers will also face restrictions, with HFSS products prohibited from appearing on homepages, landing pages, pop-up advertisements, and banner ads.
2. Volume Price Promotions:
- Multibuy promotions, such as "buy one get one free" (BOGOF) and "3 for 2" deals, will no longer be allowed for HFSS products.
- Discounts that apply specifically to larger volumes of HFSS foods will be banned to discourage over-purchasing and over-consumption.
These regulations are designed to create a healthier food environment by reducing the visibility and attractiveness of unhealthy food options, ultimately supporting public health initiatives to combat obesity and related health issues.
Impact on Our Customers
For retailers and manufacturers, these new regulations mean significant changes in how products are displayed and promoted. Compliance will require:
- Re-evaluating Store Layouts: Retailers will need to reorganize store layouts to ensure HFSS products are not in prominent locations.
- Adjusting Online Marketing: Online retailers must modify their website design and digital marketing strategies to comply with the new placement restrictions.
- Revising Promotional Strategies: All volume-based price promotions for HFSS products will need to be restructured or eliminated.
How Veraciti Can Help
Kallik’s Veraciti software is equipped to help our customers navigate these changes efficiently and effectively. Here’s how:
1. Streamlined Label Management
Veraciti makes it easier than ever to organize, change, and manage product labels. Our software allows for quick updates to label information, ensuring that any necessary changes due to the new regulations are implemented seamlessly.
2. ‘Where Used’ Function for Easy Mass Changes
The ‘Where Used’ function is a key feature in helping to maintain compliance. It can identify specific assets and recognize every artwork or label where they have been used previously. With ever-changing regulations, this makes the process of making bulk changes to icons, images, and phrases seamless, both facilitating and accelerating the process of achieving regulatory compliance.
3. Automatic Artwork Generation for Rapid Speed-to-Market
Veraciti’s unique Automated Artwork Generation (AAG) tool dynamically assembles the chosen pre-approved content. By using intelligent pre-approved templates to automatically generate the artwork or label, the need for human input is removed, reducing the risk of errors as well as rapidly decreasing project completion times. Labels or artworks can be created within seconds rather than days or weeks.
4. Reduce Artwork Costs by Upto 70% with Label Templates
Kallik's recent work with global consumer goods corporations illustrates the substantial cost savings achievable with intelligent label or artwork templates. By transitioning from manual alterations, which incurred significant expenses, to our cloud-based automated service, the manufacturers reduced artwork costs by 60-70%.
5. Eliminate Errors with Cascade
Cascade provides artworkers and designers with full control over how label or artwork assets are utilized. This level of control is crucial for maintaining brand consistency and adhering to regulatory requirements. By streamlining approved content directly into Adobe InDesign or Illustrator, Cascade ensures that all approved elements are seamlessly integrated into the design process.
6. Efficient Approval Processes
With Veraciti, the approval process for new labels and promotional materials is automated, reducing the time and effort required to ensure compliance. This is particularly important when dealing with large volumes of products that need to be updated simultaneously.
Stay Compliant with Kallik
The upcoming HFSS regulations present a significant challenge for the food and beverage industry, but with Kallik’s Veraciti software, compliance is straightforward. Our advanced label management solution is designed to handle the complexities of these regulatory changes, making the process of adapting to new rules as smooth and efficient as possible. By leveraging our innovative tools and functions, Veraciti ensures that your business remains compliant, allowing you to focus on what you do best – providing quality products to your customers.
Want to Know More?
Are you struggling to navigate the complexities of the latest regulations? Speak to one of our labeling and artwork experts to learn more about how Veraciti™ can help your business thrive in a rapidly changing regulatory environment. Get in touch today at enquiries@kallik.com or call +44 (0) 1827 318100.