See What We Saw at SIAL

SIAL 2018 is a 5-day food innovation exhibition that took place last week in Paris, France. The largest international food and beverage innovation show, there were over 7,200 exhibitors from 119 countries around the world. And in a space that spanned the equivalent of more than 100 supermarkets end to end, there were more than 400,000 products shared across the 300,000 stakeholders from the industry.

SIAL 2018 is a 5-day food innovation exhibition that took place last week in Paris, France.

WHY WE WERE THERE

Aside from the sheer scale itself, this show is not to be missed when it comes to understanding food trends at a global scale. We’ve attended a number of North American-based shows like Expo West and Fancy Foods, and we’ve seen that innovation in food and beverage is occurring across nearly every category—rapidly. SIAL provided a unique EU and global viewpoint. It showcased trends that align with what is happening in different markets around the world – a combination of innovation and representation of high-demand consumer products in familiar categories.

SIAL had specific tracks dedicated to sharing these trends in an organized fashion – innovation, culinary, and country/region representation—in an atmosphere that was inspiring and interactive. A “Future Lab” captured what may be the biggest influencers on the industry by the year 2030. And by gathering producers, distributors, brands (both large and small), restaurateurs and ingredient providers, this was truly a show that brought the global food industry together for a productive week.

WHAT’S NEXT

We came back with a lot to share – including what we saw on the show floor, the seminars we attended hosted by leading research firms, trends and innovations, and the many conversations with industry stakeholders around the world. Over the upcoming issues of Thought for Food, we will be sharing our thoughts and experiences with you.

 

Photo credit: SIAL Paris

Start-Ups: Getting Local

With an $18 billion shift since 2011 from big food companies to small food entrepreneurs in the food and beverage industry, consumers continue to put their money where their mouth is when it comes to diversifying the products in their shopping cart and in their home.[1] Minneapolis – home to us and many of our clients – has a rich history in the food industry. That makes our backyard a hot spot for emerging trends, continued innovation, new brands, and an ecosystem that continues gaining strength.

WHY IT’S HAPPENING

Minnesota is home to 74,500 farms and the food and beverage industry employs more than 49,000 people, while contributing $4.9 billion to the state’s economy each year. We have more than 700 food companies, and many of them are Fortune 500 companies supported with incredible talent and experience.[2]

Grow North is “a central hub for resources, a mobilizing connector and ecosystem navigator” and an example of a ground-up network that has been established to drive intentional connection between entrepreneurs and organizations, in an effort to support growth in our food and beverage community. Just around the corner, the first ever Food Ag Ideas Week will take place in St. Paul and Minneapolis, a week-long platform centered around topics like sustainable agriculture, food innovation and tech, and food and society.

Minnesota isn’t the first to bring together a broad industry representation to discuss progressive topics in this space. Other innovative food hubs – Colorado, Austin, and more – also see the importance of coming together (big and small, across the industry) as a reflection of the greater social and economic role that food and beverage play in the community.

WHAT WE THINK

It’s energizing and more important than ever to keep our finger on the pulse in our local community. There is so much happening in our own backyard that it can be challenging to determine what events and activities to prioritize. So our team has committed to spending more time out in the community where the action is happening, with both big and small companies. What we’ve found so far is that there is no shortage of passion on all fronts and a united desire to support success.

WHAT’S NEXT

If the trend continues, there will be more fragmentation and even bigger demand, creating a structure that leverages knowledge-sharing and drives innovation among food and agricultural leaders. Tactically, what’s next for us is to head out to some of the many upcoming roundtables, panels and discussions.

We hope to see you at FAI! There are still spots available: Register Here

 

[1] “Millenials are driving an $18 billion food revolution.” Marinova, Polina. Fortune. October 2015.
[2] “Food & Beverage Products Made in Minnesota.” Boehm, Jessica Walker. Livability. October 2016.

Crickets: They’re What’s for Dinner

“One hundred thousand crickets…in your basement?” With this excerpt from a recent conversation, Eric Palen, a local entrepeneur who is in the business of farming insects as food, raised a lot of questions and even more eyebrows about this growing trend. After the “gross factor” fades, the facts emerge. It turns out we’ve found a new source of protein that’s compelling for… well, a number of surprisingly good reasons.

Nearly 2,000 insect species are already a part of diets across the globe and they’re making their way to North America in a variety of forms. In fact, the global edible insect market is forecasted to grow to $153.9M in North America by 2023 and over $1 billion worldwide.1

GOOD GOD, WHY?

As the world population grows along with a demand on global resources, alternative protein sources are a heightened concern. Insects take less of a toll on these resources while still delivering a compelling nutrition profile.

Insect farming, on average, requires significantly less land, water and feed than other species – especially with the recent adoption of modern agricultural practices like vertical farming in place. To produce 1 kg of beef, 38x more land, 23x more water and 12x more feed are required compared to insects. This results in approximately 1800x the greenhouse gas emissions.

In conversation with Palen, post-growth production of cricket protein is pretty straightforward. To harvest the crickets, he freezes them before washing, boiling and roasting them. From there, they can be consumed in “whole cricket” form or alternatively, ground down into a powder for use in smoothies, chocolate, protein bars or breads.

On the nutrition front, crickets (whether in “whole” or “powder” form) contain comparable levels of protein to beef and higher levels of iron. They are considered a complete protein source – containing all of the essential amino acids, omega 3 and 6 fatty acids, and are high in both calcium and vitamin B12.2 It is easy to see why this food source would be explored further as we begin to think creatively about how to effectively feed a growing world population.

WHAT WE THINK

Environmental and nutritional considerations alone don’t make me want to top a Cobb salad with roasted crickets. That being said, we can’t overlook the logic in why and how insects might be a part of the North American food pyramid moving forward. Already commonplace in many large markets around the world, it may just take some time – and experience – to find out how they fit.

As cricket powder and flour makes its way into mainstream through more familiar formats, like bars and breads, there will be a more approachable delivery to educate consumers on the social, environmental and nutritional benefits of insects as protein. It will be an important link in the food chain to keep an eye on as it brings up real issues of “food and footprint” – and how we responsibly balance impact with real consumer demand.

WHAT’S NEXT

Not unlike most new product launches, crickets and other insects will likely gain adoption through innovators and early adopters. Eating an insect is, admittedly, a highly Instagrammable moment, and we see that venues and restaurants have an opportunity to lead from two primary places: experience and culture. Outside of the “wow-factor”, many insect dishes are traditional to various regions and offer chefs a new product to experiment with in menu development. When it comes to edible insects, powder may increase in quantity more rapidly, but whole form will drive awareness with visual impact. 

Just some Thought for Food™

[1] “Insects as Food.” Warren, Haley. de Sousa, Agnieska. Rekoaa, Roni. Bloomberg. July 2018.
[2] “Little Herds: Feeding the Future with Insects”. Articles and Iconographic(s) provided by Little Herds.

Talkin’ ‘bout our (next) generation.

I’ve been to a number of conferences over the past year and inevitably, the agenda includes at least one breakout about “Millennials”. There’s always an audible groan as attendees agree that they have “heard enough about this generation of experience-seeking, non-committal, entitled kids!”. (I should mention here that I am considered a Millennial myself…) Anyway, it’s time for Gen-Z.

A Gen-Z panel at this year’s IFMA COEX opened up about their preferences and their opinions on what steers their decisions when it comes to food. And they have a lot of them. From what I observed, this panel was articulate about the macro social issues that influence the way they think about what—and how—they eat. Simultaneously, they were practical about how their current stage of development impacts how that plays out in “real life”.

WHY IT’S HAPPENING

Now the single largest single population segment1, Gen-Z makes up 26% of the total media audience and with key differences in values and preferences, they pose an interesting challenge for brands. Encompassing those born between 1997 and 2015, this generation has serious spending power: Some through personal wealth and others through “pester power”.

As this generation approaches adulthood, early studies are homing in on what shapes their values and how that is being played out with purchases – whether of products or experiences. A few key things to consider when it comes to the food industry in particular:

Digital from DOB. This is the first generation that has truly grown up with cell phones—their parents are connected, and they access them at a much younger age. The panelists all voiced their use of their smartphone as a way to discover (Instagram), vet (Yelp), obtain (online ordering) and ultimately capture their unique experience. It’s worth noting that their time is spent on mobile devices rather than a PC—in fact, this generation spends an average of 8 minutes a day online via PC as compared to the 1+ hour of older generations1.

Socializing. What may seem in contrast to the above point, Gen-Z values “hanging out and socializing” as a top priority along with ordering shareable items when it comes to their preferred dining experience2. You may have heard rumblings of this generation noting higher levels of loneliness, with less human-to-human, authentic interactions. So it’s not surprising that Gen-Z seeks interaction with family and friends when it comes to dining. Keep this in mind as your brand thinks about how to facilitate relationship-building experiences and environments for Gen-Z.

WHAT WE THINK

This generation is different—brands and experiences in the food space are going to have to understand their expectations in a more holistic way.

We know that Gen-Z is outpacing Millennials in their occasions per week at top chains in the US3, and it’s up to us to keep a two-way conversation going with this group to truly understand them. As a more independent and entrepreneurial generation, it’s going to be more critical than ever to understand both what the data says about what matters to them and what resonates with them as individuals. Face-value of where, when and how they are dining are likely to line up with values that occasionally surprise us based on past generations.

WHAT’S NEXT

The largest qualitative and quantitative study to date was completed by KANTAR in 2017 and explored this generation’s attitudes and behaviors4. When it comes to media recommendations, “innovative formats” are cited as a way to win with this generation. In terms of creative recommendations, “expect a challenge”, “be interactive” and “push the aesthetic” are the headliners—which captures the pace and outside-the-box thinking that is going to be required to really understand and resonate with Gen-Z.

Full of nuances like the simple examples above, Gen-Z is discerning and likely going to be a challenge as marketers attempt to understand this ever-changing consumer.

[1] “Move over millennials, Gen-Z now the largest single population segment.” Sterling, Greg. Marketing Land. 17 June 2017.
[2] “The Gen-Z Selfie.” Technomic, courtesy of SmartSupport. June 2016.
[3] “Shifting Market Dynamics.” 2018 COEX, courtesy of Foodable Labs.
[4] “How to market effectively to Centennials.” Inskip, Mark. WARC Best Practices. July 2016.

Trend Alert: Adaptogens

While some take their coffee with extra cream or even a dash of cinnamon, Four Sigmatic is proposing a unique alternative: mushrooms. The blend promises increased productivity, focus and mental creativity due to naturally occurring compounds found in mushroom varietals like Lion’s Mane and Chaga.

Blending coffee with mushrooms promises increased productivity, focus and mental creativity.

So in late April, those of us attending the Hartman Group’s 2018 Food Culture Forecast sat inside a hotel ballroom and sipped the fungi-infused beverage as we listened to presenter Davey McHenry talk about a growing consumer awareness of, and demand for, products that address brain health and functioning.

In fact, mental health is the second most-mentioned health priority by American consumers (#1: weight control). Which makes it a unique and highly attractive area of innovation exploration.

WHY IT’S HAPPENING

Despite advancements in technology and the ability to multi-task from anywhere, adults today are busier and more stressed out than ever before. Consider the following:

A graphic showing the increase in time spent working, commuting, and caring for children for the average American family.

Source: “The New Convenience.” A.C.T. Food Culture Forecast 2018. The Hartman Group. April 2018.

And that’s led to a sizable increase in the number of consumers who say it’s taking a toll on their mental health:

  • 55% of all households are treating or preventing anxiety and stress
  • 61% of Millennials say they’re treating or preventing anxiety and stress
  • 31% of teens say they feel overwhelmed1

So it shouldn’t be a surprise that we’re seeing an increase in products like foods, beverages and supplements that utilize adaptogens (substances that help manage stress) and nootropics (substances that increase cognitive functioning).

WHAT WE THINK

New innovations that provide mental health benefits are ripe for growth, but require approachable and educational messaging to entice consumer trial.

Many of the adaptogens and nootropics used today are completely unfamiliar–and even unpronounceable– to the vast majority of consumers. Food marketers will need to utilize branding, naming and messaging to clearly communicate sought-after mental health benefits. Manufacturers will also need to provide basic education on ingredients and their origins in marketing communications to make products approachable to the mass market.

WHAT’S NEXT

Take a cue from the following brands on how to successfully market food and beverage products that promise enhanced cognitive functioning:

Brain Alchemy Latte by Project Juice

A new offering by the San Francisco-based restaurant and juice company, Project Juice, this company also uses a clever yet descriptive name for its new adaptogen coffee drinks like “Matcha Energy” and “Golden Immunity”

  • The website describes it as a “therapeutic and deeply nourishing formula for the brain.” It also utilizes the packaging to educate the consumer on the definition of adaptogens. Key ingredients of their Brain Alchemy latte include:
    • Lion’s mane (mushroom) and guta kola (Chinese herb); both credited with increasing cognitive functioning

Project Juice utilizes the packaging of their beverages to educate the consumer on the definition of adaptogens.

Brain Dust by Moon Juice

A super-food powder blend created by the company Moon Juice. The name ‘Brain Dust” is described on its website as Edible Intelligence™, which efficiently and succinctly communicates its key benefit to the audience.

  • The product description, “an adaptogenic blend of super-herbs and super-mushrooms that help combat the effects of stress” gives the consumer a high-level understanding of the key cognitive benefit. Key ingredients include:
    • Rhodiola root extract, which is credited with increasing resistance to stress, and ashwagandha leaf extract, which is said to treat anxiety and stress

‘Brain Dust” is described as Edible Intelligence™, which efficiently and succinctly communicates its key benefit to the audience.

Tulsi Clarity Herbal Tonic by Goldthread

One of a variety of herbal tonics from Santa Monica-based Goldthread Herbs, I like how the company has named its concoctions by what mental state consumers can achieve upon consumption.

  • The description–Sweet and fragrant, with just a touch of spice, tulsi…has rejuvenating effects upon the body, mind and spirit”–also provides both education and approachability to the consumer. Key ingredients of Tulsi Clarity include:
    • Tulsi, an herb credited with reducing stress and increasing energy, and lavender extract which promotes calmness

Goldthread Herbs has named its concoctions by what mental state consumers can achieve upon consumption.

Just some Thought for Food™

 

1 “The New Convenience.” A.C.T. Food Culture Forecast 2018. The Hartman Group. April 2018.

The Dawn of Flexitarians

Last month, casual dining chain TGI Fridays announced it was adding a buzz-worthy option to its 465 nationwide locations: The Impossible Burger. Made from all natural ingredients like wheat, coconut oil and potatoes, this plant-based burger is unique in that it bleeds, smells and sizzles like a regular beef patty thanks to a naturally-occurring iron compound called heme.

The Impossible Burger is made from all natural ingredients like wheat, coconut oil and potatoes, but it has very unique characteristics.

With less than 2% of the U.S. population identifying as vegan, many industry skeptics wonder why TGI Fridays believes a plant-based burger will thrive on a traditionally carnivorous menu.

The answer: Flexitarians.

WHY IT’S HAPPENING

A 2017 consumer survey by the Nielsen Group found that 40% of U.S. consumers were incorporating more plant-based foods into their diets. Not fully vegetarian or vegan, but consciously limiting their consumption of meat and meat byproducts, these new eaters are called flexible vegetarians, or simply, Flexitarians.

In a separate 2017 survey by Mattson, nearly 30% of U.S. adults said they followed one of two Flexitarian eating styles: Somewhat Vegetarian and Mostly Vegetarian.

Source: “What You Need to Know About the Meteoric Rise in Flexitarian Eating.” Mattson. August 2017.

What’s driving the shift towards plant-based cuisine? Based on Mattson’s research, consumers are drawn to plant-centric cuisine for health & wellness benefits and environmental concerns.

The top reasons why consumers are shifting towards plant-centric cuisine center around health & wellness and environmental concerns.

Source: “What You Need to Know About the Meteoric Rise in Flexitarian Eating.” Mattson. August 2017.

WHAT WE THINK

Investing in plant-based innovations is important, but widespread consumer adoption is still a ways off.

There is a significant movement with consumers experimenting and adopting more plant-centric diets. But 85% of the U.S. population is still eating meat and meat byproducts. Food and beverage companies should continue to look for relevant plant-based innovation opportunities, but set realistic volume and sales goals based on current consumer adoption trends.

WHAT’S NEXT

It’s important to keep the following in mind when vetting potential plant-based innovations:

# 1: Consider at-home vs. away-from-home consumption

According to Mattson’s research, 67% of consumers are most likely to try plant-based cuisine in a home environment. Meaning trial is more likely to happen in the grocery aisle than at a restaurant.

  • 54% say they are most likely to try plant-based dishes at home
  • 13% say they are most likely to try plant-based dishes at a friend or family’s home
  • 33% say they are most likely to try plant based dishes away-from-home

# 2: Identify the need you intend to fulfill

For any plant-based product, the consumer needs must go beyond “I want a plant-based dish.” Is it intended to satisfy a craving for vegetable fare OR a craving for a traditional meat-based item made from plants? Is it meant to provide satiety and protein fulfillment OR the feeling of wellness associated with lighter, fresh ingredients? These answers will help craft your product narrative, and also help identify your target customer.

# 3: Know who your target customer is 

Not all plant-based innovations will appeal to plant-seeking consumers in the same way. Here we see a consumer test of two plant-based burger concepts with two different “likely customer” outcomes:

Black Bean Burger 

  • Satisfies a craving for a plant-forward burger experience
  • Most likely customers are Somewhat Vegetarians, Mostly Vegetarians, Vegetarians and Vegans

The Impossible Burger

  • Satisfies a craving for a beef-burger experience but made with plant-based ingredients
  • Most likely customers are Mostly Vegetarians, Vegetarians and Vegans

Source: “What You Need to Know About the Meteoric Rise in Flexitarian Eating.” Mattson. August 2017.

While True Omnivores may experiment with plant-based cuisine because of curiosity or a periodic craving, they shouldn’t be counted on to drive sales of plant-based innovations either at home or on the menu.

What does this all mean for TGI Fridays? Because their core menu is centered around traditional meat and meat byproducts, it could be a challenge to get vegetarian-leaning consumers in the door for just one item. After the initial excitement wears off, time will tell if their traditional (True Omnivore) customer-base can sustain the item long term.

Indigenous Cuisine: As Local As It Gets

This past month, I made my way to Southeast Minneapolis for a cookbook launch party featuring a type of cuisine few of us in the food industry have heard of: indigenous. Using ingredients that are strictly native to the United States–particularly the Midwest–guests feasted on fare featured in Chef Sean Sherman’s new cookbook, The Sioux Chef’s Indigenous Kitchen.

Photos of dishes that use ingredients that are strictly native to the United States–particularly the Midwest–featured in Chef Sean Sherman’s new cookbook, The Sioux Chef’s Indigenous Kitchen.

The best way to describe indigenous cuisine is deliciously unassuming and delightfully earthy. It provides a modern take on indigenous staples like cedar-braised game meat, wild greens, crushed juniper, maple vinegar and smoked whitefish.

WHY IT’S HAPPENING

Sherman (Oglala Lakota), born in Pine Ridge, SD, has been a culinary force in the Midwest for nearly thirty years. But recently, Sherman’s main focus has been revitalizing indigenous food systems in the world by showcasing Native American cuisine and, in the process, bringing attention to key social and cultural issues faced by indigenous communities.

As Sherman explains in his book, many of the ingredients we grow and harvest today didn’t originate on U.S. soil. Modern dietary staples like wheat flour, dairy products, sugar, and domestic pork and beef are all European fare brought to this country through exploration and trade between the 15th and 17th centuries. Instead of using these ingredients in his book, Sherman reconnects readers to the ingredients native communities harvested, prepared and feasted upon for centuries before European settlers arrived.

In an age where sourcing has become an important criteria for savvy food consumers, indigenous cuisine is as local as it gets.

WHAT WE THINK

The benefits of indigenous cooking make a strong case for it becoming a long-range culinary food trend.

As Sherman puts it, indigenous fare is hyper-local, seasonal and ultra-healthy: no sugar, no wheat (or gluten), no dairy, high in protein and a focus on plant-based ingredients. Sherman is right in asking why the original indigenous diet isn’t taking off in our modern food culture, knowing our collective focus on real, wholesome ingredients without preservatives and additives, and minimal processing.

WHAT’S NEXT

While indigenous cuisine has many of the attributes chefs and consumers are seeking today in their food and beverage choices, it also faces two fairly significant obstacles in the short term:

Ingredient Accessibility

Believe it or not, many of the ingredients that are native to this part of the country are not easily found within mainstream food channels, such as sunchokes, purslane, duck eggs and maple vinegar. Unless you’re willing to forage backyards and riverbeds, even Sherman acknowledges some of the key components must be sourced through specialty stores or online.

Consumer Familiarity

Many of the staples of indigenous cuisine aren’t currently foods consumers are regularly preparing and eating. For example, the three most popular types of animal protein in the U.S. today–chicken, beef and pork–are all replaced by lesser-known fare like bison, rabbit, duck and venison. To achieve mainstream adoption, indigenous cuisine will likely need to follow the path of other global food trends: marrying familiar and new ingredients to entice curious, yet hesitant, customers into trying it. 

The Opportunity

Despite its obvious challenges, indigenous cuisine also has an exciting opportunity to redefine “American” food. Different geographies could craft nuanced variations of indigenous cuisine based on regional plant and wildlife varieties. The development and promotion of this regional indigenous fare could give us a whole new category of cuisine to explore.

In the meantime, I’ll be eagerly awaiting the arrival of Sherman’s new Minneapolis restaurant, slated to open in Spring 2019.

Just some Thought for Food

Questions, comments or want to learn more? Let's connect! weshouldtalk@jtmega.com

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