Global food and drink trends, how the market is changing, and how will that affect independent retail business?
Global food and drink trends, how the market is changing, and how will that affect independent retail business?
In this article Coco's Pantry will update you on some of the ways the global food and drink market is changing, and how this may impact smaller retail businesses.
The global food and drink market is undergoing significant changes, driven by evolving consumer preferences, technological advancements, and a heightened focus on sustainability.
What are the main key trends shaping the food & drink industry?
● Health and Wellness: People are increasingly prioritising their health, leading to a surge in demand for products that promote healthy ageing, such as those with functional ingredients, probiotics, and personalised nutrition options. The trend of "age reframed" highlights this shift, where the goal is to extend healthy living years rather than just lifespan - Link to Mintel
● Sustainability and Ethical Practices: Sustainability continues to be a central theme, with companies adopting circular supply chains, regenerative agriculture practices, and carbon-neutral initiatives. People are seeking transparency and are more inclined to support brands that demonstrate a commitment to environmental and social responsibility. Link to MarketsandMarkets and Euromonitor
● Technology and Convenience: Technological innovations are transforming how consumers plan, purchase, and prepare food. AI-driven solutions are making meal planning and shopping more efficient, while robotics and precision fermentation are advancing food production. The concept of "Eating, Optimised" captures this shift towards greater convenience without compromising on quality or nutrition. Link to Mintel.
● Economic Factors: The rising cost of living is influencing purchasing decisions, with consumers looking for products that offer the best balance between taste, quality, and affordability. Brands that can communicate value effectively while maintaining product quality are likely to thrive in this environment. Link to Mintel
These trends indicate that the global food and drink market is becoming more dynamic, with a strong focus on health, sustainability, and technology-driven convenience. As things continue to evolve, companies will need to stay agile and responsive to consumer demands to succeed.
How will emerging global food and drink trends affect small business owners?
Emerging global food and drink trends present both opportunities and challenges for small business owners.
Here's how these trends might impact you.
1. Increased demand for products perceived as healthy
● Opportunities: Small businesses that offer health-focused products, such as organic, plant-based, or functional foods, can tap into the growing consumer demand for wellness-oriented products. This can allow them to differentiate themselves from larger competitors by offering niche, high-quality items.
● Challenges: Meeting the stringent health standards and sourcing high-quality ingredients can be costly. Additionally, educating consumers about the benefits of these products may require more marketing resources. Link to MarketsandMarkets and Mintel.
2. Pressure to adopt sustainable practices
● Opportunities: Small businesses can capitalise on the trend toward sustainability by implementing eco-friendly practices, such as reducing waste, sourcing locally, or adopting regenerative agriculture techniques. These practices can enhance their brand image and attract environmentally-conscious customers.
● Challenges: Implementing sustainable practices can be expensive and resource-intensive. Small businesses may struggle to afford the initial investment required for sustainable technologies, packaging, or supply chain adjustments. Link to Euromonitor.
3. Embracing technological advancements
● Opportunities: Technology offers small businesses new ways to optimise operations, from AI-driven customer service to online ordering platforms. Utilising technology can also help streamline logistics and enhance customer experience, making the business more competitive.
● Challenges: The rapid pace of technological change can be overwhelming for small business owners who may lack the resources or expertise to implement new systems effectively. Keeping up with technology trends requires continuous learning and investment. Link to Mintel.
4. Navigating economic pressures
● Opportunities: Small businesses can benefit by focusing on offering high-quality, affordable products that provide value to cost-conscious consumers. Building strong relationships with local suppliers and communities can also help small businesses remain resilient in tough economic times.
● Challenges: Rising costs of ingredients, labour, and other operational expenses can squeeze profit margins. Small businesses might also face increased competition from larger companies that can afford to lower prices or invest in economies of scale. Link to Mintel..
5. Adapting to shifts in consumer behaviour
● Opportunities: Small businesses can be more agile in responding to changes in consumer preferences, such as the demand for personalised nutrition or new dietary trends. This flexibility can allow them to quickly innovate and cater to niche markets.
● Challenges: Keeping pace with rapidly changing consumer preferences requires constant monitoring and quick adaptation, which can be challenging for small businesses with limited resources. Link to: Euromonitor
Overall, small business owners who are proactive in embracing these trends—especially in health, sustainability, and technology—can find new avenues for growth. However, they must also be prepared to face challenges related to costs, competition, and the need for continuous innovation.
Further Reading
A Rising Tide Lifts all Boats - Coco’s Pantry information download on the UK food industry - Link to https://www.cocospantry.com/blog/2024/7/29/a-rising-tide-lifts-all-boats-cocos-pantry-information-download-on-the-uk-food-industry
Rising Cost of Cocoa - Link to https://www.cocospantry.com/blog/2024/6/21/rising-cost-of-cocoa
About Coco’s Pantry
Coco’s Pantry https://www.cocospantry.com/ are a wholesale chocolate and ingredients company for Chocolatiers, Pastry Chefs, Cake Makers and Bakers.
All of our online shop is vegan friendly, apart from one shop page, where we have non vegan ingredients listed.
We stock the finest chocolate with a huge selection of Callebaut products, including the best selling 811 and 70-30-38 in a variety of pack sizes. We have a fabulous sweet treats section offering vegan marshmallows, vegan smarties alternatives, vegan honeycomb, fudge and much more! For snacking and baking our dried fruit, nuts and seeds selection has something for everyone. Not forgetting our premium baking ingredients that boast many gluten free options!
Our online shop offers competitive prices to the public and trade. We ship Monday to Friday for next working day delivery to the whole of the UK with free delivery available for orders over £150.
Recent Customer Feedback
5 star Google review Jennifer Baker
“Have ordered from Coco's Pantry many times and the service never fails to amaze me!
The delivery is quick, on time and very well packed! I would highly recommend to any baker looking for a dependable supplier.”
