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 overwhelmed 1

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.

Big Game. Bigger Opportunity.

This Sunday, as we watch the country descend on our snowy metropolis for Super Bowl LII, nearly 50 million Americans are expected to partake in a sacred tradition: purchasing takeout/delivery fare.

1.35 billion chicken wings will be spiced, sauced and devoured1. Domino’s and Pizza Hut will bake off 33 million slices of pizza2. And party guests will shell out $58 million on grocery deli sandwiches and another $10 million on grocery deli dips to go along with their potato chips3.

Why settle for a snack stadium when you can build your own Viking-inspired snack ship?

Why settle for a snack stadium when you can build your own Viking-inspired snack ship with this video-tutorial, courtesy of  Minneapolis/St. Paul Magazine.

But with Sunday’s big event comes an often-missed marketing opportunity: takeout/delivery packaging.

WHY IT’S HAPPENING

The consumer demand for more delivery and takeout options is a fairly recent phenomenon, with Uber Eats making its first delivery in 2014. Unfortunately, the packaging world has found itself scrambling to develop travel-friendly containers that not only maintain temperature, but also control humidity.

David Chang, world-famous chef of Momofuku and founder of Ando–a delivery-only restaurant in New York City–spent two years trying to solve this mystery and redefine restaurant delivery. He developed a travel-friendly menu and experimented with different packaging methods for improved transport. Yet Chang and his team consistently struggled to ensure hot, fresh food arrived to its customers. Industry analysts believe it was a contributing factor in Chang’s decision to let Uber Eats acquire Ando last month.

Because the functionality of takeout and delivery packaging has yet to be solved, marketing and branding opportunities have largely taken a back seat.

WHAT WE THINK

As packaging becomes more important in the food delivery/takeout space, it’s likely consumers will pay closer attention to its features and benefits as well.

Just as packaging innovations are made to improve food quality and portability, branding and storytelling opportunities must also be addressed. While consumers largely overlook the containers, boxes and bags today, companies will begin to differentiate their brand with packaging through functionality, storytelling and play. 

WHAT’S NEXT

Here are three examples of how we see companies utilizing delivery/takeout packaging with customers in the near future:

Functionality

Responsive packaging systems react with stimuli in the food or environment to enable real-time food quality and food safety. While this coffee lid turns red to alert a consumer that their beverage is too hot to drink, this concept could be used for quality assurance purposes. Packaging could use the color-changing technology to indicate whether food is still hot and fresh upon delivery.

Responsive packaging systems react to stimuli in the food or environment to enable real-time food quality and food safety.

Storytelling

Innovative companies will reimagine boxes and carrying containers as a canvas for branded storytelling. A 2017 campaign for Pizza Hut Malaysia by Ogilvy Malaysia demonstrates the power of narratives on the pizza box itself to showcase popular reasons why customers order a pizza for delivery. In this case, the all-too-familiar dinner fail.

A 2017 campaign for Pizza Hut Malaysia by Ogilvy Malaysia highlights storytelling on the pizza box.

Interactivity & Play

Other brands will use packaging as a way to interact and engage with customers. In celebration of the McFlurry’s 22nd Birthday, McDonald’s Canada collaborated with the University of Waterloo to create a limited-edition drink-tray boombox that works with any standard smartphone. In addition to being portable, the tray-based sound system is 100% recyclable.

McDonald's Canada collaborated with the University of Waterloo to create a limited-edition drink tray boombox that worked with customers' smartphones.

Just some Thought for Food

1 “Wing-Onomics.” National Chicken Council. 29 January 2018.
2 “The Staggering Amounts of Food Eaten on Super Bowl Sunday.” ABC News Online. 2 February 2017.
3 “From Live TV to the Grocery Aisles, Americans are Prepping for Super Bowl 51.” The Nielsen Company. 30 January 2017.

New Year. New Options.

This week, millions of Americans renewed their gym memberships and promised 2018 will be the year they start eating healthier. Yet a committed subset of this group took their resolutions to the next level by enlisting the scientists at Habit to create personalized wellness and nutrition plans. 

A high-profile disruptor in the food-tech sector with the backing of Campbell’s Soup Co., Habit uses biological samples to identify genetic variants and biomarkers within a customer’s DNA to create a personalized nutrition profile and, in some areas, even deliver personalized meals based on their biological profile.

Example of a Habit personalized nutrition profile

The process isn’t for the faint of heart, as author and contributing writer at the Washington Post, Sophie Egan, found out the hard way. The $299 (plus shipping and handling) investment requires a DNA cheek swab, core measurements and the ingestion of a proprietary Habit Challenge™ Shake. But perhaps Egan’s most astute observation came toward the conclusion of her essay when she wrote:

“On the face of it, personalized nutrition makes sense. Many people feel that the existing national dietary guidance of one-size-fits-all has failed them.”

Unlike other diet/nutrition companies that promote the ability of users to customize their programs, Habit is unique in its promotion of nutrition personalization. And the latter is quickly becoming the new consumer expectation.

WHY IT’S HAPPENING

Personalization is the direct result of the consumer shift from Affluence to Influence. As Generation Z witnesses the true death of a majority at a conceptual level, mass fragmentation will make the idea of ‘majority’ irrelevant for both brands and marketers. As A.T. Kearney explains:

“Affluence Model consumers bought the fiction that ‘one size fits all.’ Alternatively, Influence Model shoppers believe ‘one size fits nobody–except possibly by accident.’ Societal fragmentation will be celebrated as personalization in the Influence Model.”

WHAT WE THINK

The desired result of personalization vs. customization is identical: a better customer experience. But the paths to get there are dramatically different.

  • Customization: Brands provide a single set of choices that consumers can adjust based on their preferences
  • Personalization: Brands curate choices already tailored to a consumer’s preferences based on previous behaviors/interactions

WHAT’S NEXT

To achieve true customer personalization, brands and marketers must leverage the power of customer data. Below are a few ways personalization will likely come to life in food and beverage marketing:

Loyalty Programs Get Personal

In a November 2017 consumer study, Restaurant Hospitality found that 59% of consumers said they would be more likely to participate in a loyalty program if rewards were customized to their prior purchases. For example, instead of offering a generic “Free Drink” reward, Starbucks could utilize consumer transaction data to instead offer this customer her most frequently ordered beverage: a grande salted caramel mocha with extra whip. 

Loyalty Program Email Evolution Sample

Consumer-Designed Food

Back in 2014, Barilla introduced the world to their 3D pasta printer, which could print unique shapes in under two minutes. Contests are held each year to come up with new designs and, as Saveur Magazine explains, the 3D software can sculpt forms that could never be made by hand or machine. As technology becomes more accessible, consumers could theoretically craft and print their designs for a truly personalized pasta experience at home.

Menu Recommendations

UFood Grill recently installed new ordering kiosks with facial recognition software at their Owings Mills, MD, location. Customers who opt-in for having their face scanned sync it with a credit card and the system begins tracking their orders. On the next visit, a quick scan by the kiosk can bring up past orders for quick ordering. Proponents of the technology say facial recognition, paired with data algorithms, will soon be able to serve up personalized food and beverage recommendations.

UFood Facial Recognition Kiosk

 

Waste Not, Want Not

Though food waste has been a hot topic across the industry over the last several months, you’ll be hard-pressed to find a more passionate group on the issue than this year’s Esca Bona 2017 attendees. This past October, JT Mega joined nearly 200 food entrepreneurs, agriculturists, venture capitalists and local farmers in Austin, TX to listen and learn about the group’s passionate vision for a reimagined food system.

The National Resources Defense Council reports that Americans waste 40% of all food that is purchased. In fact, each person tosses a whopping 300 pounds of food in the trash annually; a trend that food and technology entrepreneurs at Esca Bona are seeking to solve. Like Dan Kurzrock and Jordan Schwartz, two San Francisco-based homebrewers who loved craft beer but hated the volume of wasted “spent” grain.

Historically, spent grain has created a symbiotic relationship between brewers and farmers, as the latter uses the byproduct for soil enrichment and animal feed. But the explosion of craft breweries in the area made that relationship less practical for rural farmers.

It wasn’t until Kurzrock and Schwartz began exploring spent grain’s potential as a food ingredient that ReGrained was born.

ReGrained was born when two San Francisco-based homebrewers began exploring spent grain’s potential as a food ingredient.

We couldn’t help but ask ourselves, how many other food and beverage manufacturers are throwing away potential consumer product innovations?

WHY IT’S HAPPENING

Food waste isn’t a new topic for the food industry, but it’s been largely framed as a consumer-behavior issue. But food and beverage manufacturers also play a significant role in this growing epidemic.

Historically, animal feed and land use have been the go-to solutions for waste products, accounting for nearly 85% of all manufacturer waste today1. But as the founders of ReGrained learned, transportation constraints is now the most cited barrier for large manufacturers in donating and recycling waste products.

This challenge provides Big Food with an opportunity to uncover–and even collaborate–with food entrepreneurs on new product innovations.

WHAT WE THINK

It’s time to start viewing food and beverage manufacturing byproducts as innovative ingredients, rather than waste.

This shift in perspective is not only good for business, but demonstrates a differentiated level of corporate responsibility to today’s increasingly conscious consumer.

WHAT’S NEXT

Need some inspiration on where to start? Check out these three companies for their innovative approach to food waste.

Coconut Jerky

As the demand for coconut water began to skyrocket with consumers, so did the volume of wasted coconut flesh discarded at production facilities. The creators of Coconut Jerky turned this byproduct–which is packed with vitamins, minerals, antioxidants and plenty of fiber–into the first vegan beef-jerky alternative, with satiating flavors like Chili Lime and Ginger Teriyaki.

The creators of Coconut Jerky turned this byproduct into the first vegan beef-jerky alternative.

Sir Kensington’s Fabanaise

With a rising demand for vegan products, Sir Kensington’s set out to come up with a mayonnaise alternative that didn’t rely on processed starches or pea/soy powders. After several failed ideas, the innovation team turned to aquafaba: the liquid byproduct from cooking chickpeas in water. Sir Kensington’s partnered with a New York-based hummus manufacturer who agreed to sell them their waste stream, and the country’s first food-safe supply chain of aquafaba was born.

With a rising demand for vegan products, Sir Kensington's set out to come up with a mayonnaise alternative that didn’t rely on processed starches or pea/soy powders.

Uglies

Millions of pounds of produce are passed over each year by farmers and food companies because of mild cosmetic flaws or irregular sizes that most manufacturing plants aren’t equipped to process. So Pennsylvania snack purveyor Dieffenbach’s Potato Chips created Uglies, kettle-cooked potato chips made from rejected potatoes.

Pennsylvania snack purveyor Dieffenbach's Potato Chips created Uglies, kettle-cooked potato chips made from rejected potatoes.

 

1Analysis of U.S. Food Waste Among Food Manufacturers, Retailers and Restaurants.” Food Waste Reduction Alliance: A Joint Project by the Food Marketing Institute, Grocery Manufacturers Association and the National Restaurant Association. 2017.

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

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