Sorry, this is a bit long, but I am a bit angry.
Our eating habits are changing and if you ask me,
changing for the better. Of course food companies are struggling to keep up. Step
by step we’re learning a basic concept: we are what we eat. It’s easy to make
fun of people obsession with gluten, but more and more studies are correlating
this allergy to poor quality / processed food.
Slowly getting rid of tricky advertisement, we are turning away
products created by big
food companies. We don’t want anymore artificial colors and flavors in cereals,
for example. We want to limit antibiotics in chickens. No more artificial dyes in
macaroni and cheese. No more dubious, strange emulsifiers. We want simple and
easy-to-understand ingredients like fresh milk from local farms, cocoa beans,
cream, sugar…. natural ingredients.
This reflects a new reality: consumers are walking
away from most iconic food brands. Big food manufacturers are reacting by
cleaning up their ingredient labels, acquiring healthier brands and coming out
with a prodigious array of new products. Whenever possible, organic products.
Food companies are moving in the right direction,
but it won’t be enough to save them. If they are to survive changes in eating
habits, they need a fundamental shift in their approach. NOT just a façade
(turned to organic labels).
The food movement over the past couple of decades
has substantially altered consumer behavior and reshaped the competitive
landscape. They want more and more healthy products, no more sodas, replaced by
water. Orange juice, a drink once seen as an important part of a healthy
breakfast, is now more correctly considered a serious carrier of free sugar,
stripped of its natural fibers. Sales of packaged cereals, also heavily
sugar-laden, are down over 25 percent since 2000, with yogurt and granola
taking their place. Frozen dinner sales are down. Sales at McDonald’s have been
on a downward spiral for nearly three years (I can’t be happier): we want
healthy food.
To survive, the food industry will need more than
its current bag of tricks. There is a consumer shift ongoing: there was a time
when consumers used to walk through every aisle of the grocery store, but today
much of their time is being spent in the perimeter of the store with its vast
collection of fresh products, raw produce and fresh prepared foods. Sales of
raw fruits and vegetables are also growing.
For consumers today, packaged goods equals the
image of foods stripped of their nutrients and loaded with sugar. Also, decades
of deceptive marketing have left large food companies with brands that are fast
becoming liabilities (I can’t be happier for this too).
Food companies can’t merely tinker. For food
companies to have any hope of survival, they will have to make bold changes in
their core product offerings. Companies will have to drastically cut sugar,
process less, go local and organic, use more fruits, vegetables and other whole
foods. Develop fresh offerings. Just recently processed meat has been declared
highly carcinogenic (rightly so! Excuse me!).
McDonalds needs to do more than use antibiotic-free
chickens. The back of the house for its 36,000 restaurants currently looks like
a mini-factory serving fried frozen patties and french fries. It needs to look
more like a kitchen serving freshly prepared meals with locally sourced vegetables
and grains.
This require a complete overhaul, major
organizational restructuring and billions of dollars of investment, but these
corporations have the resources. It may be their last chance.
The message is: WE ARE WHAT WE EAT. For the time
being, bye-bye hot dogs.
….Always humble,
Angiolino
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