According to new global research by Corbion, the pandemic causes a great deal of insecurities and unknowns. They say they suffer a loss of control – in part driven by the “constant stream of headline-worthy, black-swan events.”
At Corbion’s 2023 Media Day, Jennifer Halliburton, senior manager, global insights, bakery, and Megan Passman, global insights manager, presented highlights of evolving consumer perceptions around food following the pandemic. The company surveyed 54 consumers around the globe across all demographics, including age, family dynamic and socioeconomic status.
The survey found a loss of trust in large food manufacturers, especially among North American respondents. Food recalls, a perceived lack of transparency and a distrust of artificial ingredients have all contributed to this sentiment.
In North America, clean label products with ingredients consumers can understand are trending and help alleviate this distrust. More consumers are seeking natural products made without artificial ingredients, chemicals or other unknowns, according to the research.
“Using nature’s technology feels good to consumers. That is Corbion’s sweet spot,” Halliburton says.
Health without stealth
ADM, a global leader in human and animal nutrition, revealed its outlook on the flavor and color trends that will drive product innovation in 2024. With unapologetic abandon for self-expression coupled with individual wellness goals top-of-mind for consumers across regions, ADM has identified four trends that illustrate evolving consumer behaviors and will inspire memorable moments.
“Color trends, and corresponding flavors, in foods and beverages provide unique insights into the human condition, revealing how we are responding and adapting to macro forces far beyond the table,” said Hélène Moeller, vice president of global product marketing for flavors and colors at ADM. “From focusing on well-being for themselves and the planet, compounded by concerns for affordability, the color and flavor trends we identified in this report indicate what foods and beverages consumers will reach for on product shelves.”
From embracing the unconventional to supporting health in all forms, reinventing nostalgic favorites and experiencing indulgent products without the price tag, ADM outlines what to expect for flavors and colors in 2024.
One of the four key trends is “Health Without Stealth.” Flavors and colors are powerful cues to support product positioning through consumer associations. Today’s shoppers are seeking out functional foods and beverages that support holistic health, from relaxation to hydration and mental to physical wellness. These associated benefits must be presented without sacrifice to the sensory experience, as consumers view better-for-you products as the norm instead of the exception.
ADM’s color and flavor experts identified these themes through a deep dive into consumer purchasing behavior and trends both online and offline, and across industries beyond foods and beverages.
“Color is at the epicenter of the food, fashion and content that the world consumes,” said Moeller. “We also know that flavor trends are dynamic, affected by cultural events, viral social media phenomena and emerging consumer tastes.”
Strategic investment
At its Capital Markets Day in London, Barry Callebaut Group revealed a strategy update and long-term growth plan, with further details on its BC Next Level strategic investment program.
“Our purpose is to create the world's best chocolate solutions for our customers – now and in the future,” explains Peter Feld, chief executive officer of Barry Callebaut Group. “As the leader in the attractive, growing chocolate ingredients market and given our strength in sustainability and innovation, we are ideally positioned to outgrow the market. Our strategic growth priorities in combination with our BC Next Level investment program set the course for sustainable profitable growth and higher cash generation. We will deliver to our customers better value, service, quality and sustainability and make Barry Callebaut a much more resilient and profitable business, creating long-term value for all our stakeholders.”
BC Next Level will fully unlock the Group's leading position in the chocolate ingredients market in pursuit of four strategic long-term growth priorities:
Deepen outsourcing partnerships: Barry Callebaut is uniquely positioned as the global partner of choice to the most important customers in the fast-moving consumer goods (FMCG) sector who want more sustainable and innovative chocolate solutions. Barry Callebaut will deepen these partnerships, leveraging its innovation capabilities to create better chocolate solutions for customers. In the coming years, Barry Callebaut aims to win two thirds of outsourcing partnership volumes expected to come to the market.
Launch Gourmet 2.0: Barry Callebaut will move closer to markets and customers to better serve foodservice and artisanal customers and chains by broadening the focus across premium and mainstream market segments, simplifying its brand portfolio and modernizing its routes to market. Barry Callebaut’s ambition is to increase its value market share in the Gourmet market globally and deliver growth at double the underlying market growth rate.
Scale up Specialties: Barry Callebaut’s ambition is to double the size of its core Specialties business by increasing the penetration of its highly differentiated specialty offerings in high growth areas such as gluten-free, vegan, single origin, and other specialty chocolates. To achieve this, Barry Callebaut will continue to evolve its product offering to focus on the most scalable market segments and launch a dedicated customer-focused innovation capability. The company will also enhance its route to market by leveraging its deepened outsourcing partnerships. The growth of Specialties will support the continued premiumization of Barry Callebaut’s Food Manufacturing and Gourmet businesses.
Move to “fair" market share in the region Asia-Pacific (APAC): Barry Callebaut’s ambition is to double the size of its APAC business to deliver value market share in line with the wider Group. Barry Callebaut will put into place localized strategies built around the new country clusters to offer solutions tailored to local markets, with optimized distribution leveraging the digital enhancements delivered by BC Next Level. Both strong demographic trends and investments from leading FMCG players support Barry Callebaut’s ambition in APAC.
These growth priorities will be underpinned by Barry Callebaut’s new streamlined, and tech-enabled organizational capabilities following the BC Next Level measures. Barry Callebaut’s commitment to best-in-class sustainability will further drive the implementation of the growth priorities. The company aims to inspire modern cocoa farming practices and therewith create the future of sustainability for the industry. The company sees execution against its own industry-leading sustainability ambitions as a key commercial differentiator and as a key source of alignment between itself, its customers and the end consumer.
Global commitments
Cargill’s Fiscal Year 2023 ESG Report details the company’s progress towards its sustainability commitments and showcases the work being done on the ground to drive even greater positive global impact across operations, supply chains and communities. Cargill’s sustainability strategy is intentionally designed to deliver on the company’s purpose of nourishing the world in a safe, responsible and sustainable way, by creating products, partnerships and programs in the prioritized areas of Climate, Land and Water and People.
“When it comes to urgent challenges facing people and the planet, Cargill’s connections across the food system give us the opportunity – and responsibility – to deliver meaningful solutions,” said Brian Sikes, president and chief executive officer at Cargill. “The problem-solving potential of agriculture has always been essential in nourishing people, supporting the livelihoods of farmers and food workers, and unlocking opportunities for growth. Leading with our values, Cargill is working to help achieve zero hunger, decarbonize our industries, protect and restore natural resources, and ultimately improve people’s lives.”
In everything the company does, it aims to put people first, do the right thing and reach higher. The impact and progress in this year’s report demonstrate those values in action. Highlights of Cargill’s progress include:
Investing $78 million in efficiency and sustainability projects within Cargill’s operations.
Reducing emissions from its operations by 10.97%, achieving its 2025 goal of reducing operations from its emissions by 10% against a 2017 baseline.
Advancing regenerative agriculture practices on 880,000 acres of North American agricultural land since 2020.
Restoring more than 9 billion liters of water in fiscal year 2023.
Distributing more than $115 million to support partners and local communities, and together, providing more than 20 million meals globally in fiscal year 2023.
“It’s the power of partnership that’s fueling our progress. Trusted relationships with our customers, food producers and stakeholders empower Cargill to deliver greater impact than any of us can alone,” said Pilar Cruz, chief sustainability officer at Cargill. “We all have a role to play in reimaging what’s possible in food and agriculture. We know that Cargill’s values in action can add still greater value—for the climate, land and water, and the people around the world whose nourishment depends on it. And we are committed, as ever, to getting it done.”